EXHIBIT 99

HOME PROPERTIES, INC.

SUPPLEMENTAL FINANCIAL INFORMATION

SECOND QUARTER 2010

TABLE OF CONTENTS

	2Q 2010 Supplemental Reports	Page
1.	Earnings Release	1-9
2.	Owned Community Results, Quarterly and Year-to-Date	10-13
3.	Physical Occupancy Comparison by Region	14
4.	Net Operating Results	15
5.	New Lease and Renewal Lease Rents vs. Expiring Lease Rents	16
6.	Resident Statistics	17
7.	Net Operating Income Detail and Seasonality Factor for NAV Calculation	18
8.	Operating Expense Detail	19
9.	Discontinued Operations	20
10.	Summary of Recent Acquisitions	21
11.	Summary of Recent Sales	22
12.	Breakdown of Owned Units by Market	23
13.	Debt Summary Schedule	24-26
14.	Recurring Capital Expenditure and Adjusted NOI Summary	27-29
15.	Development Communities	30
16.	2010 Earnings Guidance	31

FOR IMMEDIATE RELEASE

Home Properties Reports Second Quarter 2010 Results

FFO Per Share Exceeds Wall Street’s Mean Estimate by Three Cents

ROCHESTER, N.Y., August 5, 2010 – Home Properties (NYSE:HME) today released financial results for the second quarter ending June 30, 2010.  All results are reported on a diluted basis.

“The first to second quarter 2010 sequential change in rental rate growth and net operating income (NOI) growth was positive for the first time since the second quarter of 2009, contributing to second quarter 2010 Funds From Operations per share that were three cents higher than analysts’ estimates,” said Edward J. Pettinella, Home Properties President and CEO.  “Sequential NOI growth of 7.0% reflects continued operating efficiencies.  Even without substantive economic recovery, we are pleased with our operating results, fueled by strong geographic markets and a stable business model.”

Earnings per share ("EPS") for the quarter ended June 30, 2010 was $0.14, compared to $0.18 for the quarter ended June 30, 2009.  The $0.04 decrease in EPS is primarily attributable to a $1.0 million decrease in income from continuing operations.  EPS for the six months ended June 30, 2010 was $0.21, compared to $0.52 for the six months ended June 30, 2009.  The year-over-year decrease of $0.31 per share is primarily attributable to a $13.5 million decrease in gain on disposition of three properties sold in the first quarter of 2009.  There were no dispositions in the first half of 2010.

For the quarter ended June 30, 2010, Funds From Operations ("FFO") was $37.0 million, or $0.76 per share, compared to $37.9 million, or $0.84 per share, for the quarter ended June 30, 2009.  Second quarter 2010 FFO of $0.76 per share was $0.03 above analysts’ mean estimate, as reported by Thomson, and $0.05 above the midpoint of the guidance range provided by management.  Included in the $0.76 per share 2010 FFO is $0.01 in costs related to the acquisition of three properties, which are now recorded as other expense rather than included in the cost basis of the acquisition, as was the prior accounting treatment.  FFO for the six months ended June 30, 2010 was $1.47 per share, compared to $1.63 in the year-ago period.  Year-to-date 2010 FFO includes $0.05 in costs related to record severe storms that occurred in the first quarter as well as $0.01 in acquisition costs.  A reconciliation of GAAP net income to FFO is included in the financial data accompanying this news release.

Second Quarter Operating Results

For the second quarter of 2010, same-property comparisons (for 105 "Core" properties containing 35,798 apartment units owned since January 1, 2009) reflected a decrease in total revenues of 0.2% compared to the same quarter a year ago.  Net operating income ("NOI") increased by 1.3% from the second quarter of 2009.  Property level operating expenses decreased by 2.4% compared to the prior year quarter, primarily due to decreases in electricity, natural gas heating costs, repairs and maintenance, and personnel costs, which were partially offset by increases in real estate taxes and property general and administrative expense.

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Average physical occupancy for the Core properties was 95.5% during the second quarter of 2010, up from 95.0% during the second quarter of 2009.  Average monthly rental rates of $1,129 represent a 1.0% decrease compared to the year-ago period.

On a sequential basis, compared to the 2010 first quarter results for the Core properties, rental income increased 1.0% in the second quarter of 2010, total revenues decreased 1.7%, expenses were down 12.7%, and net operating income increased 7.0%.  Average physical occupancy increased 0.7% to 95.5%.  The total revenue decrease in the second quarter compared to the first quarter was due to the typical seasonality from lower heating cost reimbursements.  The expense decrease between the first and second quarters represented seasonality from lower natural gas and snow removal costs in addition to higher first quarter costs related to record severe storms.

Physical occupancy for the 931 apartment units acquired/developed between January 1, 2009 and June 30, 2010 averaged 50.4% during the second quarter of 2010, at average monthly rents of $1,312.  Of the 931 apartment units, 600 units relate to communities acquired during the second quarter of 2010 with average occupancy of 90.2% and average monthly rents of $879.  The remaining 331 units are newly developed apartments that commenced leasing in 2010.  The initial lease-up activity at 1200 East West Highway and the Courts at Huntington Station has reached 24.9% with average monthly rents of $1,915.  See additional information below in the acquisitions/dispostions and development sections.

Year-to-Date Operating Results

For the six months ended June 30, 2010, same-property comparisons for the Core properties reflected a decrease in total revenues of 0.4% and a decrease in total expenses of 0.6%, resulting in a 0.2% decrease in net operating income compared to the first six months of 2009.  Property level operating expenses decreased primarily due to decreases in electricity, natural gas heating costs, and repairs and maintenance, which were partially offset by an increase in property insurance, real estate taxes, and snow removal costs.

Average physical occupancy for the Core properties was 95.2% during the first six months of 2010, up from 94.6% a year ago, with average monthly rental rates of $1,128, a decrease of 1.2% over the prior year, reflecting the tougher economic environment and resulting pressures on rental rates experienced in 2010 as compared to 2009.

Acquisitions/Dispositions

There were no dispositions during the first half of 2010.

As previously reported, during the quarter the Company purchased three properties with a total of 600 units in the Baltimore region for a combined $56.2 million.  Acquisition costs of $0.62 million were included in other expenses in the second quarter of 2010.

In addition, on July 29, 2010, the Company acquired The Greens at Columbia, a 168-unit apartment community located in Columbia, Maryland for a total $25.6 million.  The property is currently 94.0% occupied at monthly rents averaging $1,316.  Consideration for the purchase included the assumption of a $9.6 million fixed-rate mortgage at 4.93% maturing in August 2014, with the balance paid in cash.  The projected weighted average first year capitalization rate is 6.1% after allocating 3% of rental revenues for management and overhead expenses and before normalized capital expenditures.  The property, built in 1986 and 1987, includes fourteen, three-story, brick, garden style buildings.

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Also, on August 5, 2010, the Company acquired Village at Potomac Falls, a 247-unit apartment community located in Sterling, Virginia for a total purchase price of $38.5 million, which was paid in cash.  The property is currently 96.6% occupied at monthly rents averaging $1,368.  The expected weighted average first year capitalization rate is 5.6%.  The garden style property, completed in 1999, consists of 10 three- and four-story buildings.

Acquisition costs of approximately $0.5 million for the two properties described above will be included in other expenses in the 2010 third quarter.

Year-to-date, the Company has purchased a total of five properties with 1,015 units for a combined price of $120.3 million.

Development

The Company has two projects currently under construction, 1200 East West Highway and The Courts at Huntington Station.  At 1200 East West Highway in Silver Spring, Maryland, construction is substantially complete, and move-ins began in mid-March.  As of August 5, 2010, 173 of the 247 units, or 70%, are leased.  The Courts at Huntington Station is in Alexandria, Virginia, and construction of the 202 units in Phase One is expected to be completed during the third quarter of 2010.  As of August 5, 2010, 99 of the 202 units, or 49%, are leased.  Construction on Phase Two (219 units) has commenced and is scheduled to be complete in the second quarter of 2011, reaching stabilized occupancy a year later.

Capital Markets Activities

As of June 30, 2010, the Company’s ratio of debt-to-total market capitalization was 50.9% (based on a June 30, 2010 stock price of $45.07 to determine equity value), with $9 million outstanding on its $175 million revolving credit facility and $8 million of unrestricted cash on hand.  Total debt of $2.3 billion was outstanding, at rates of interest averaging 5.5% and with staggered maturities averaging approximately six years.  Approximately 89% of total indebtedness is at fixed rates.  Interest coverage for the quarter averaged 2.3 times, and the fixed charge ratio averaged 2.1 times.

The Company did not repurchase any of its common stock during the second quarter.  As of June 30, 2010, the Company has Board authorization to buy back up to approximately 2.3 million additional shares of its common stock or Operating Partnership Units, although it has no current plans to do so.

During the second quarter, the Company completed its At-the-Market (ATM) equity offering program, which resulted in the sale of a total of 3,178,700 common shares at an average price of $47.19 generating net proceeds of approximately $147.0 million.  In the second quarter, the Company issued 865,500 shares of the total shares sold at an average price of $49.41 per share.

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Outlook

For 2010, the Company has increased the midpoint of its prior guidance to $2.99 while tightening the range of FFO per share to $2.95 to $3.03 from $2.81 to $2.99.  This guidance range reflects management’s current assessment of economic and market conditions.

The quarterly breakdown for the balance of 2010 guidance on FFO per share results is as follows:  Third quarter $0.73 to $0.77; fourth quarter $0.75 to $0.79.

Dividend Declared

The Company announced a regular cash dividend on the Company’s common stock of $0.58 per share for the quarter ended June 30, 2010.  The dividend is payable on August 26, 2010 to stockholders of record on August 16, 2010 and is equivalent to an annualized rate of $2.32 per share.  The current annual dividend represents a 4.6% yield based on yesterday's closing price of $50.33.  Home Properties’ common stock will begin trading ex-dividend on August 12, 2010.

Supplemental Information

The Company produces supplemental information that includes details regarding property operations, other income, acquisitions, sales, market geographic breakdown, debt and new development.  The supplemental information is available via the Company's website through the "Investors" section, e-mail or facsimile upon request.

Second Quarter 2010 Earnings Conference Call

The Company will conduct a conference call and simultaneous webcast tomorrow at 11:00 AM ET to review and comment on the information reported in this release.  To listen to the call, please dial 800-758-5606 (International 212-231-2906).  An audio replay of the call will be available through August 11, 2010, by dialing 800-633-8284 or 402-977-9140 and entering the passcode 21442492.  The Company webcast, which includes audio and a slide presentation, will be available, live at 11:00 AM and archived by 1:00 PM, through the "Investors" section home page of the website homeproperties.com.

Third Quarter 2010 Conference/Event Schedule

Home Properties is scheduled to participate in the Barclays Capital 2010 Global Financial Services Conference on September 14 at the Sheraton New York in New York City, the BMO Capital Markets’ 2010 North American Real Estate Conference September 15-17 at The Peninsula Hotel in Chicago, and in the Bank of America Merrill Lynch Global Real Estate Conference at the Grand Hyatt Hotel in New York City September 28.

In addition, Home Properties is hosting an investor meeting and property tour in Washington, D.C. on September 22, 2010.  For all conference/events, any audio presentation, webcast and related materials will be available in the “Investors” section of Home Properties' website.

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Third Quarter 2010 Earnings Release and Conference Call

The third quarter financial results are scheduled to be released after the stock market closes on Thursday, November 4, 2010.  A conference call, which will be simultaneously webcast, is scheduled for Friday, November 5, 2010 at 11:00 AM ET and is accessible following the above instructions.  The passcode for that replay will be 21442493.

This press release contains forward-looking statements.  Although the Company believes expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved.  Factors that may cause actual results to differ include general economic and local real estate conditions, the weather and other conditions that might affect operating expenses, the timely completion of repositioning and new development activities within anticipated budgets, the actual pace of future acquisitions and dispositions, and continued access to capital to fund growth.

Home Properties is a publicly traded apartment real estate investment trust that owns, operates, develops, acquires and rehabilitates apartment communities primarily in selected Northeast and Mid-Atlantic markets.  Currently, Home Properties operates 113 communities containing 38,019 apartment units.  Of these, 37,151 units in 112 communities are owned directly by the Company and 868 units are partially owned and managed by the Company as general partner.  For more information, visit Home Properties’ website at homeproperties.com.

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HOME PROPERTIES, INC.

SUMMARY OF OCCUPANCY AND PROPERTY OPERATING RESULTS

	Avg. Physical
Second Quarter Results:	Occupancy(a)							2Q 2010	2Q 2010 vs. 2Q 2009 % Growth
							Average
							Monthly		Base
							Rent /		Rental			Total			Total
		2Q 2010			2Q 2009		Occ Unit		Rates			Revenue			Expense			NOI
Core Properties(b)		95.5	%		95.0	%	$	1,129		(1.0	%)		(0.2	%)		(2.4	%)		1.3	%
Acquisition Properties(c)		50.4	%	NA			$	1,312	NA			NA			NA			NA
TOTAL PORTFOLIO		94.6	%	NA			$	1,131	NA			NA			NA			NA
	Avg. Physical
Year-To-Date Results:	Occupancy(a)						YTD 2010		YTD 2010 vs. YTD 2009 % Growth
							Average
							Monthly		Base
	YTD			YTD			Rent /		Rental			Total			Total
		2010			2009		Occ Unit		Rates			Revenue			Expense			NOI
Core Properties(b)		95.2	%		94.6	%	$	1,128		(1.2	%)		(0.4	%)		(0.6	%)		(0.2	%)
Acquisition Properties(c)		48.4	%	NA			$	1,326	NA			NA			NA			NA
TOTAL PORTFOLIO		94.7	%	NA			$	1,128	NA			NA			NA			NA

 (a) Average physical occupancy is defined as total possible rental income, net of vacancy expense, as a percentage of total possible rental income.  Total possible rental income is determined by valuing occupied units at contract rates and vacant units at market rents.

(b) Core Properties consist of 105 properties with 35,798 apartment units owned throughout 2009 and 2010.

(c) Acquisition Properties consist of 5 properties with 931 apartment units acquired/developed subsequent to January 1, 2009.

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HOME PROPERTIES, INC.

SUMMARY CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data – Unaudited)

	Three Months Ended						Six Months Ended
	June 30						June 30
	2010			2009			2010			2009
Rental income	$	116,624		$	116,125		$	230,939		$	231,500
Property other income		9,350			8,895			21,971			21,089
Interest income		7			6			11			14
Other income		23			90			77			368
Total revenues		126,004			125,116			252,998			252,971
Operating and maintenance		50,632			50,968			107,689			107,399
General and administrative		7,110			6,249			12,668			12,138
Interest		29,927			30,257			60,361			60,810
Depreciation and amortization		30,964			29,848			61,359			59,502
Other expenses		623			-			623			-
Total expenses		119,256			117,322			242,700			239,849
Income from continuing operations		6,748			7,794			10,298			13,122
Discontinued operations
Income (loss) from discontinued operations		33			504			5			(3,274	)
Gain (loss) on disposition of property		(2	)		(16	)		(13	)		13,493
Discontinued operations		31			488			(8	)		10,219
Net income		6,779			8,282			10,290			23,341
Net income attributable to noncontrolling interest		(1,611	)		(2,262	)		(2,485	)		(6,419	)
Net income attributable to common stockholders	$	5,168		$	6,020		$	7,805		$	16,922
Reconciliation from net income attributable to common stockholders to Funds From Operations:
Net income available to common stockholders	$	5,168		$	6,020		$	7,805		$	16,922
Real property depreciation and amortization		30,245			29,629			59,968			59,050
Noncontrolling interest		1,611			2,262			2,485			6,419
(Gain) loss on disposition of property		2			16			13			(13,493	)
Loss from early extinguishment of debt in connection with sale of real estate		-			-			-			4,927
FFO - basic and diluted (1)	$	37,026		$	37,927		$	70,271		$	73,825

(1) Pursuant to the revised definition of Funds From Operations adopted by the Board of Governors of the National Association of Real Estate Investment Trusts ("NAREIT"), FFO is defined as net income (computed in accordance with accounting principles generally accepted in the United States of America ("GAAP")) excluding gains or losses from disposition of property, noncontrolling interest and extraordinary items plus depreciation from real property.  In 2009, the Company added back debt extinguishment costs which were incurred as a result of repaying property specific debt triggered upon sale as a gain or loss on sale of the property.  Because of the limitations of the FFO definition as published by NAREIT as set forth above, the Company has made certain interpretations in applying the definition.  The Company believes all adjustments not specifically provided for are consistent with the definition.  Other similarly titled measures may not be calculated in the same manner.

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HOME PROPERTIES, INC.

SUMMARY CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data – Unaudited)

	Three Months Ended						Six Months Ended
	June 30						June 30
	2010			2009			2010			2009
FFO – basic, diluted and Operating FFO (2)	$	37,026		$	37,927		$	70,271		$	73,825
FFO – basic, diluted and Operating FFO	$	37,026		$	37,927		$	70,271		$	73,825
Recurring non-revenue generating capital expenses		(7,284	)		(7,278	)		(14,448	)		(14,605	)
Addback of non-cash interest expense		518			490			1,026			970
AFFO (3) and Operating AFFO (2) (3)	$	30,260		$	31,139		$	56,849		$	60,190
Weighted average shares/units outstanding:
Shares – basic		36,795.3			32,868.8			35,894.1			32,777.0
Shares – diluted		37,247.2			32,919.4			36,304.3			32,811.4
Shares/units – basic (4)		48,283.2			45,227.0			47,350.3			45,211.3
Shares/units – diluted (4)		48,735.0			45,277.6			47,860.5			45,245.7
Per share/unit:
Net income – basic	$	0.14		$	0.18		$	0.22		$	0.52
Net income – diluted	$	0.14		$	0.18		$	0.21		$	0.52
FFO – basic	$	0.77		$	0.84		$	1.48		$	1.63
FFO – diluted (2) and Operating FFO	$	0.76		$	0.84		$	1.47		$	1.63
AFFO (3) and Operating AFFO (2) (3)	$	0.62		$	0.69		$	1.19		$	1.33
Common Dividend paid	$	0.58		$	0.67		$	1.16		$	1.34

(2) Operating FFO is defined as FFO as computed in accordance with NAREIT definition, adjusted for the addback of real estate impairment charges.

(3) Adjusted Funds From Operations ("AFFO") is defined as gross FFO less an annual reserve for anticipated recurring, non-revenue generating capitalized costs of $800 per apartment unit in 2010 and 2009.  Non-cash interest expense of the exchangeable senior notes in accordance with ASC 470-20 (formerly APB14-1) has been added back for 2010 and 2009.  The resulting sum is divided by the weighted average shares/units on a diluted basis to arrive at AFFO per share/unit.

(4) Basic includes common stock outstanding plus operating partnership units in Home Properties, L.P., which can be converted into shares of common stock.  Diluted includes additional common stock equivalents.

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HOME PROPERTIES, INC.

SUMMARY CONSOLIDATED BALANCE SHEETS

(in thousands - Unaudited)

	June 30, 2010			December 31, 2009
Land	$	526,478		$	508,087
Construction in progress		177,622			184,617
Buildings, improvements and equipment		3,332,582			3,223,275
		4,036,682			3,915,979
Accumulated depreciation		(793,652	)		(733,142	)
Real estate, net		3,243,030			3,182,837
Cash and cash equivalents		8,455			8,809
Cash in escrows		31,463			27,278
Accounts receivable		13,396			14,137
Prepaid expenses		11,280			16,783
Deferred charges		12,578			13,931
Other assets		6,385			4,259
Total assets	$	3,326,587		$	3,268,034
Mortgage notes payable	$	2,136,742		$	2,112,645
Exchangeable senior notes		137,162			136,136
Line of credit		9,000			53,500
Accounts payable		20,121			19,695
Accrued interest payable		10,680			10,661
Accrued expenses and other liabilities		29,526			27,989
Security deposits		19,507			19,334
Total liabilities		2,362,738			2,379,960
Common stockholders’ equity		734,847			661,112
Noncontrolling interest		229,002			226,962
Total equity		963,849			888,074
Total liabilities and equity	$	3,326,587		$	3,268,034
Total shares/units outstanding:
Common stock		37,481.4			34,655.4
Operating partnership units		11,532.8			11,734.6
		49,014.2			46,390.0

For further information:

David P. Gardner, Executive Vice President and Chief Financial Officer, (585) 246-4113

Charis W. Warshof, Vice President, Investor Relations, (585) 295-4237

###

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Second Quarter 2010												2Q '10 versus 2Q '09
												% Growth
	# of		Date	2Q '10		2Q '10			2Q '09			Rental			Total			Total			Total			2Q '10
	Units		Acquired	Rent/Mo.		Occup.			Occup.			Rates(1)			Revenue			Expense			NOI			% Co. NOI
Baltimore Region
Annapolis Roads		282	6/17/2010	$	1,179		90.2	%		n/a			n/a			n/a			n/a			n/a
Bonnie Ridge		960	7/1/1999	$	1,049		95.2	%		93.4	%		(2.8	%)		(1.7	%)		1.0	%		(3.0	%)
Canterbury Apartments		618	7/16/1999	$	942		95.6	%		94.4	%		0.2	%		2.4	%		(0.3	%)		4.0	%
Country Village		344	4/30/1998	$	915		97.1	%		96.5	%		2.6	%		5.4	%		(1.2	%)		10.4	%
Dunfield Townhomes		312	11/1/2007	$	1,116		93.3	%		96.4	%		3.3	%		(2.0	%)		8.4	%		(7.5	%)
Falcon Crest		396	7/16/1999	$	976		92.0	%		92.3	%		0.2	%		(2.0	%)		(2.8	%)		(1.6	%)
Fox Hall Apartments		720	3/29/2007	$	823		91.7	%		91.0	%		(0.3	%)		(1.6	%)		(6.9	%)		3.3	%
Gateway Village		132	7/16/1999	$	1,286		97.6	%		95.1	%		0.2	%		6.9	%		(3.2	%)		12.5	%
Heritage Woods		164	10/4/2006	$	1,050		97.7	%		96.4	%		3.0	%		2.9	%		(0.4	%)		4.9	%
Middlebrooke Apartments		208	4/1/2010	$	864		90.4	%		n/a			n/a			n/a			n/a			n/a
Mill Towne Village Apts		384	5/31/2001	$	873		94.6	%		95.2	%		0.7	%		0.8	%		(12.9	%)		11.2	%
Morningside Heights		1,050	4/30/1998	$	862		92.7	%		92.5	%		(1.2	%)		0.1	%		(2.0	%)		1.2	%
Owings Run		504	7/16/1999	$	1,187		96.2	%		95.7	%		0.6	%		0.5	%		(4.4	%)		3.0	%
Ridgeview at Wakefield Valley		204	1/13/2005	$	1,153		97.0	%		94.6	%		(1.5	%)		2.3	%		(0.9	%)		4.4	%
Saddle Brooke Apartments		468	10/29/2008	$	984		94.4	%		90.3	%		(7.6	%)		(2.2	%)		(3.7	%)		(1.2	%)
Selford Townhomes		102	7/16/1999	$	1,300		96.2	%		91.3	%		0.7	%		2.1	%		(7.9	%)		7.3	%
The Coves at Chesapeake		469	11/20/2006	$	1,189		93.3	%		93.2	%		(0.0	%)		(0.1	%)		(12.4	%)		7.3	%
Timbercroft Townhomes		284	7/16/1999	$	914		99.6	%		99.2	%		3.3	%		6.8	%		(6.2	%)		15.0	%
Top Field		156	10/4/2006	$	1,180		97.1	%		95.7	%		(0.4	%)		0.4	%		(6.1	%)		3.9	%
Village Square Townhomes		370	7/16/1999	$	1,117		94.0	%		92.9	%		(1.9	%)		0.7	%		(2.3	%)		2.3	%
Westbrooke Apartments		110	4/1/2010	$	786		89.7	%		n/a			n/a			n/a			n/a			n/a
Woodholme Manor		177	3/31/2001	$	870		94.4	%		95.9	%		1.7	%		(1.5	%)		4.1	%		(5.4	%)
Total Baltimore Region		8,414		$	993		94.5	%		93.8	%		(0.6	%)		0.4	%		(3.3	%)		2.5	%		20.8	%
Boston Region
Gardencrest		696	6/28/2002	$	1,496		96.9	%		94.4	%		(1.0	%)		2.0	%		(8.2	%)		7.3	%
Highland House		172	5/31/2006	$	1,137		97.7	%		94.7	%		(1.3	%)		2.7	%		(7.6	%)		12.7	%
Liberty Place		107	6/6/2006	$	1,399		97.9	%		97.3	%		(0.4	%)		4.9	%		(6.7	%)		13.6	%
Stone Ends		280	2/12/2003	$	1,214		91.2	%		97.3	%		(0.8	%)		(6.7	%)		0.2	%		(10.4	%)
The Heights at Marlborough		348	9/7/2006	$	1,155		96.2	%		95.6	%		(1.0	%)		(0.5	%)		(17.8	%)		16.5	%
The Meadows at Marlborough		264	9/7/2006	$	1,107		96.7	%		96.1	%		(3.0	%)		(1.8	%)		(32.2	%)		30.7	%
The Townhomes of Beverly		204	2/15/2007	$	1,411		98.9	%		95.5	%		(2.8	%)		(1.7	%)		(11.1	%)		4.7	%
The Village at Marshfield		276	3/17/2004	$	1,102		97.4	%		96.9	%		(2.9	%)		2.8	%		(8.8	%)		10.2	%
Westwoods		35	4/30/2007	$	1,179		96.3	%		94.2	%		(6.0	%)		0.6	%		(7.3	%)		9.5	%
Total Boston Region		2,382		$	1,282		96.5	%		95.6	%		(1.6	%)		0.2	%		(12.2	%)		8.7	%		7.9	%
Chicago Region
Blackhawk		371	10/20/2000	$	839		97.0	%		96.3	%		(5.0	%)		(2.5	%)		7.3	%		(12.5	%)
Courtyards Village		224	8/29/2001	$	804		98.6	%		97.9	%		(3.6	%)		1.9	%		1.9	%		1.9	%
Cypress Place		192	12/27/2000	$	904		98.4	%		98.2	%		(4.6	%)		(2.7	%)		(0.6	%)		(4.8	%)
The Colony		783	9/1/1999	$	855		95.6	%		94.9	%		(3.9	%)		(2.6	%)		1.9	%		(6.8	%)
The New Colonies		672	6/23/1998	$	722		95.3	%		95.5	%		(0.6	%)		(1.0	%)		16.1	%		(10.7	%)
Total Chicago Region		2,242		$	812		96.3	%		95.9	%		(3.3	%)		(1.7	%)		5.6	%		(7.9	%)		3.8	%
Florida Region
The Hamptons		668	7/7/2004	$	979		94.0	%		94.3	%		(3.1	%)		(1.3	%)		2.4	%		(5.1	%)
Vinings at Hampton Village		168	7/7/2004	$	1,109		94.4	%		94.9	%		(0.6	%)		(0.3	%)		0.0	%		(0.6	%)
Total Florida Region		836		$	1,005		94.1	%		94.4	%		(2.6	%)		(1.1	%)		1.9	%		(4.1	%)		1.6	%
Long Island, NY Region
Bayview / Colonial		160	11/1/2000	$	1,210		94.5	%		95.5	%		(0.8	%)		(1.7	%)		1.6	%		(4.7	%)
Cambridge Village		82	3/1/2002	$	1,686		97.3	%		97.3	%		1.0	%		(0.4	%)		7.2	%		(6.4	%)
Devonshire Hills		297	7/16/2001	$	1,691		95.8	%		96.8	%		0.8	%		(0.9	%)		0.1	%		(1.3	%)
Hawthorne Court		434	4/4/2002	$	1,381		97.3	%		97.2	%		1.1	%		1.8	%		(2.0	%)		5.1	%
Heritage Square		80	4/4/2002	$	1,697		97.3	%		95.7	%		1.5	%		3.9	%		6.7	%		1.3	%
Holiday Square		144	5/31/2002	$	1,178		96.4	%		94.6	%		0.0	%		3.5	%		(2.0	%)		7.8	%
Lake Grove Apartments		368	2/3/1997	$	1,373		96.3	%		97.6	%		0.1	%		(1.2	%)		(1.7	%)		(0.8	%)
Mid- Island Estates		232	7/1/1997	$	1,342		97.1	%		96.4	%		1.9	%		3.3	%		1.6	%		4.8	%
Sayville Commons		342	7/15/2005	$	1,555		93.6	%		97.0	%		1.3	%		(1.9	%)		7.6	%		(8.1	%)
South Bay Manor		61	9/11/2000	$	1,629		98.5	%		98.0	%		1.1	%		4.1	%		10.8	%		(0.9	%)
Southern Meadows		452	6/29/2001	$	1,351		95.9	%		96.7	%		(0.9	%)		(2.4	%)		(3.9	%)		(1.2	%)
Stratford Greens		359	3/1/2002	$	1,418		97.2	%		96.9	%		(0.1	%)		(0.6	%)		4.4	%		(4.0	%)
Westwood Village Apts		242	3/1/2002	$	2,275		96.2	%		95.7	%		(2.5	%)		(3.0	%)		0.3	%		(5.4	%)
Woodmont Village Apts		97	3/1/2002	$	1,286		99.3	%		97.0	%		2.0	%		4.4	%		(5.0	%)		10.2	%
Yorkshire Village Apts		40	3/1/2002	$	1,738		98.8	%		97.3	%		(1.3	%)		3.0	%		16.5	%		(8.2	%)
Total Long Island Region		3,390		$	1,490		96.3	%		96.7	%		0.1	%		(0.3	%)		1.1	%		(1.4	%)		11.5	%
Maine Region
Liberty Commons		120	8/30/2006	$	1,193		97.1	%		95.7	%		0.7	%		2.1	%		(6.9	%)		7.1	%
Redbank Village		500	7/7/1998	$	856		96.8	%		96.6	%		(0.6	%)		(1.6	%)		1.4	%		(3.7	%)
Total Maine Region		620		$	921		96.9	%		96.4	%		(0.2	%)		(0.6	%)		(0.4	%)		(0.8	%)		1.3	%
																									Page 10

SECOND QUARTER 2010
									2Q '10 versus 2Q '09
									% Growth
	# of	Date		2Q '10	2Q '10		2Q '09			Rental		Total		Total		Total		2Q '10
	Units	Acquired		Rent/Mo.	Occup.		Occup.			Rates(1)		Revenue		Expense		NOI		% Co. NOI
New Jersey Region
Barrington Gardens	148	3/1/2005	$	1,129	95.6	%	95.3	%		0.1	%	1.6	%	16.8	%	(9.7	%)
Chatham Hill Apartments	308	1/30/2004	$	1,671	93.9	%	93.3	%		(2.3	%)	(2.6	%)	13.6	%	(9.2	%)
East Hill Gardens	33	7/7/1998	$	1,505	99.2	%	97.9	%		1.7	%	3.2	%	(11.5	%)	11.9	%
Hackensack Gardens	198	3/1/2005	$	1,075	93.8	%	91.5	%		0.7	%	1.3	%	(11.7	%)	14.4	%
Jacob Ford Village	270	2/15/2007	$	1,161	94.6	%	94.9	%		3.0	%	0.1	%	(2.6	%)	1.9	%
Lakeview	106	7/7/1998	$	1,354	94.7	%	92.9	%		(0.1	%)	3.6	%	10.0	%	(0.3	%)
Northwood Apartments	134	1/30/2004	$	1,291	95.9	%	95.3	%		(1.8	%)	(2.1	%)	1.4	%	(4.9	%)
Oak Manor	77	7/7/1998	$	1,746	94.6	%	93.9	%		(1.7	%)	(1.3	%)	(32.6	%)	15.6	%
Pleasant View	1,142	7/7/1998	$	1,109	96.5	%	92.7	%		(3.2	%)	0.4	%	(6.6	%)	5.4	%
Pleasure Bay	270	7/7/1998	$	1,002	96.1	%	95.2	%		(4.2	%)	(3.2	%)	8.4	%	(11.4	%)
Royal Gardens Apartments	550	5/28/1997	$	1,213	97.6	%	95.0	%		(0.7	%)	2.5	%	(6.9	%)	8.3	%
Wayne Village	275	7/7/1998	$	1,380	97.4	%	96.9	%		(0.3	%)	(0.1	%)	(16.9	%)	9.6	%
Windsor Realty	67	7/7/1998	$	1,161	96.7	%	94.6	%		(2.7	%)	(1.8	%)	(4.4	%)	0.2	%
Total New Jersey Region	3,578		$	1,221	96.0	%	94.1	%		(1.5	%)	0.1	%	(3.6	%)	2.4	%	11.1	%
Philadelphia Region
Castle Club	158	3/15/2000	$	945	95.0	%	93.0	%		(1.0	%)	(4.5	%)	(5.3	%)	(3.8	%)
Chesterfield	247	9/23/1997	$	891	95.7	%	95.4	%		(2.6	%)	(1.6	%)	(3.2	%)	0.1	%
Curren Terrace	318	9/23/1997	$	847	92.6	%	95.2	%		(4.2	%)	(7.8	%)	(4.5	%)	(10.8	%)
Glen Brook	174	7/28/1999	$	806	95.5	%	91.9	%		(1.4	%)	(1.2	%)	6.0	%	(9.6	%)
Glen Manor	174	9/23/1997	$	782	96.0	%	96.5	%		(2.5	%)	(5.0	%)	7.4	%	(16.8	%)
Golf Club	399	3/15/2000	$	1,038	95.4	%	93.3	%		(3.8	%)	(0.3	%)	5.6	%	(3.6	%)
Hill Brook Place	274	7/28/1999	$	854	95.7	%	94.9	%		(0.1	%)	0.2	%	(5.7	%)	7.2	%
Home Properties of Bryn Mawr	316	3/15/2000	$	1,138	85.6	%	91.6	%		3.0	%	(2.4	%)	5.2	%	(8.8	%)
Home Properties of Devon	631	3/15/2000	$	1,079	93.7	%	94.6	%		(1.6	%)	(5.6	%)	(5.3	%)	(5.7	%)
New Orleans Park	442	7/28/1999	$	841	95.4	%	94.9	%		(2.5	%)	(5.3	%)	(3.0	%)	(7.5	%)
Racquet Club	466	7/7/1998	$	1,020	96.1	%	96.0	%		(1.0	%)	0.2	%	(9.3	%)	8.5	%
Racquet Club South	103	5/27/1999	$	877	96.7	%	97.2	%		(1.0	%)	(4.0	%)	(2.1	%)	(5.9	%)
Ridley Brook	244	7/28/1999	$	899	93.6	%	93.9	%		(2.0	%)	(9.0	%)	(1.8	%)	(15.6	%)
Sherry Lake	298	7/23/1998	$	1,134	95.2	%	95.2	%		(4.3	%)	(6.5	%)	(3.4	%)	(8.2	%)
The Brooke at Peachtree Village	146	8/15/2005	$	1,108	96.9	%	97.4	%		0.2	%	(1.1	%)	(5.2	%)	1.8	%
The Landings	384	11/25/1996	$	956	97.2	%	95.5	%		(3.4	%)	(4.5	%)	(7.2	%)	(2.8	%)
Trexler Park	250	3/15/2000	$	1,019	96.5	%	92.9	%		(3.4	%)	(0.1	%)	(10.2	%)	8.3	%
Trexler Park West	216	8/15/2008	$	1,226	96.6	%	95.8	%		(0.5	%)	(0.8	%)	(8.3	%)	3.8	%
William Henry	363	3/15/2000	$	1,057	91.9	%	94.4	%		(5.1	%)	0.5	%	0.5	%	0.4	%
Total Philadelphia Region	5,603		$	987	94.5	%	94.6	%		(2.1	%)	(3.1	%)	(3.0	%)	(3.2	%)	13.0	%
Washington, D.C. Region
1200 East West	247	Under Construction	$	1,881	26.0	%	n/a			n/a		n/a		n/a		n/a
Braddock Lee	255	3/16/1998	$	1,269	98.4	%	96.5	%		(0.3	%)	0.3	%	(3.3	%)	2.7	%
Cider Mill	864	9/27/2002	$	1,095	95.2	%	94.5	%		(1.2	%)	1.8	%	4.0	%	0.1	%
Cinnamon Run	511	12/28/2005	$	1,200	96.1	%	96.5	%		1.0	%	1.8	%	8.4	%	(1.1	%)
Courts at Huntington Station	84	Under Construction	$	2,077	20.3	%	n/a			n/a		n/a		n/a		n/a
East Meadow	150	8/1/2000	$	1,271	98.1	%	99.2	%		(0.9	%)	(1.8	%)	4.8	%	(5.6	%)
Elmwood Terrace	504	6/30/2000	$	899	93.5	%	92.4	%		(2.3	%)	0.4	%	0.5	%	0.3	%
Falkland Chase	450	9/10/2003	$	1,341	95.0	%	94.3	%		(1.3	%)	(1.3	%)	(2.4	%)	(0.7	%)
Mount Vernon Square	1,387	12/27/2006	$	1,192	94.8	%	95.7	%		(0.1	%)	0.0	%	(3.5	%)	1.8	%
Orleans Village	851	11/16/2000	$	1,318	95.7	%	94.7	%		(0.5	%)	(0.5	%)	(7.4	%)	3.9	%
Park Shirlington	294	3/16/1998	$	1,285	96.5	%	96.9	%		(0.9	%)	(1.3	%)	(0.3	%)	(1.9	%)
Peppertree Farm	879	12/28/2005	$	1,182	93.0	%	93.0	%		0.6	%	5.2	%	(3.0	%)	10.7	%
Seminary Hill	296	7/1/1999	$	1,246	97.2	%	97.0	%		(0.1	%)	1.5	%	(2.0	%)	4.3	%
Seminary Towers	541	7/1/1999	$	1,291	96.0	%	95.3	%		0.0	%	(0.9	%)	(2.4	%)	0.3	%
Tamarron Apartments	132	7/16/1999	$	1,434	95.9	%	98.1	%		(1.3	%)	(4.1	%)	(4.0	%)	(4.2	%)
The Apts at Wellington Trace	240	3/2/2004	$	1,267	96.9	%	97.6	%		0.8	%	0.1	%	5.0	%	(2.6	%)
The Manor - MD	435	8/31/2001	$	1,242	95.6	%	93.0	%		2.2	%	8.7	%	(4.6	%)	17.8	%
The Manor - VA	198	2/19/1999	$	990	97.8	%	96.2	%		(4.0	%)	(0.3	%)	(14.2	%)	11.4	%
The Sycamores	185	12/16/2002	$	1,294	98.2	%	97.6	%		(3.6	%)	(3.0	%)	(5.5	%)	(1.5	%)
Virginia Village	344	5/31/2001	$	1,256	98.4	%	98.9	%		0.0	%	(1.0	%)	0.4	%	(1.8	%)
West Springfield	244	11/18/2002	$	1,388	97.4	%	97.4	%		(2.0	%)	(2.2	%)	(9.1	%)	1.1	%
Westchester West	345	12/30/2008	$	1,270	94.5	%	91.7	%		(1.2	%)	7.9	%	(3.6	%)	15.8	%
Woodleaf Apartments	228	3/19/2004	$	1,192	94.3	%	92.9	%		1.5	%	3.6	%	(7.8	%)	10.9	%
Total Washington, D.C. Region	9,664		$	1,215	95.6	%	95.2	%		(0.4	%)	1.0	%	(2.2	%)	3.0	%	29.0	%
TOTAL OWNED PORTFOLIO	36,729		$	1,131	94.6	%	n/a			n/a		n/a		n/a		n/a		100.0	%
TOTAL CORE PORTFOLIO	35,798		$	1,129	95.5	%	95.0	%		(1.0	%)	(0.2	%)	(2.4	%)	1.3	%

(1) Reflects net change in base rental rates before utility reimbursements and economic occupancy changes.

Page 11

June YTD												YTD '10 versus YTD '09
												% Growth
	# of		Date	YTD '10		YTD '10			YTD '09			Rental			Total			Total			Total			YTD '10
	Units		Acquired	Rent/Mo.		Occup.			Occup.			Rates(1)			Revenue			Expense			NOI			% Co. NOI
Baltimore Region
Annapolis Roads		282	6/17/2010	$	1,179		90.2	%		n/a			n/a			n/a			n/a			n/a
Bonnie Ridge		960	7/1/1999	$	1,051		93.9	%		92.6	%		(3.2	%)		(2.5	%)		1.4	%		(4.8	%)
Canterbury Apartments		618	7/16/1999	$	943		95.0	%		94.0	%		0.5	%		2.8	%		3.0	%		2.6	%
Country Village		344	4/30/1998	$	914		96.6	%		95.4	%		2.1	%		5.4	%		3.2	%		7.0	%
Dunfield Townhomes		312	11/1/2007	$	1,110		92.4	%		96.2	%		3.2	%		(3.9	%)		13.6	%		(13.3	%)
Falcon Crest		396	7/16/1999	$	980		92.0	%		93.1	%		0.5	%		(2.6	%)		9.3	%		(8.9	%)
Fox Hall Apartments		720	3/29/2007	$	815		92.7	%		90.9	%		(2.0	%)		(1.9	%)		(0.3	%)		(3.3	%)
Gateway Village		132	7/16/1999	$	1,283		97.3	%		95.8	%		0.7	%		5.0	%		3.9	%		5.5	%
Heritage Woods		164	10/4/2006	$	1,044		97.2	%		95.6	%		2.3	%		3.3	%		6.0	%		1.8	%
Middlebrooke Apartments		208	4/1/2010	$	864		90.4	%		n/a			n/a			n/a			n/a			n/a
Mill Towne Village Apts		384	5/31/2001	$	871		94.4	%		93.7	%		0.4	%		2.1	%		(0.5	%)		4.1	%
Morningside Heights		1,050	4/30/1998	$	860		93.0	%		92.0	%		(1.5	%)		(0.2	%)		6.2	%		(3.8	%)
Owings Run		504	7/16/1999	$	1,185		96.0	%		95.4	%		0.3	%		0.7	%		5.1	%		(1.4	%)
Ridgeview at Wakefield Valley		204	1/13/2005	$	1,146		96.4	%		94.1	%		(2.1	%)		1.9	%		4.4	%		0.3	%
Saddle Brooke Apartments		468	10/29/2008	$	986		94.4	%		89.5	%		(7.1	%)		1.5	%		(6.5	%)		8.0	%
Selford Townhomes		102	7/16/1999	$	1,292		95.3	%		90.6	%		(0.5	%)		3.3	%		2.9	%		3.5	%
The Coves at Chesapeake		469	11/20/2006	$	1,185		92.6	%		92.4	%		(0.4	%)		0.5	%		(4.1	%)		3.4	%
Timbercroft Townhomes		284	7/16/1999	$	905		99.6	%		99.2	%		3.6	%		5.6	%		4.2	%		6.4	%
Top Field		156	10/4/2006	$	1,178		96.7	%		96.1	%		(0.5	%)		(1.1	%)		2.2	%		(2.8	%)
Village Square Townhomes		370	7/16/1999	$	1,115		93.3	%		93.8	%		(2.3	%)		(1.9	%)		6.6	%		(6.1	%)
Westbrooke Apartments		110	4/1/2010	$	786		89.7	%		n/a			n/a			n/a			n/a			n/a
Woodholme Manor		177	3/31/2001	$	868		93.2	%		95.3	%		1.9	%		(0.7	%)		4.7	%		(4.6	%)
Total Baltimore Region		8,414		$	997		94.3	%		93.4	%		(0.9	%)		0.2	%		2.7	%		(1.3	%)		20.3	%
Boston Region
Gardencrest		696	6/28/2002	$	1,502		95.1	%		94.7	%		(0.3	%)		0.2	%		(12.1	%)		7.9	%
Highland House		172	5/31/2006	$	1,130		97.7	%		95.9	%		(1.6	%)		(0.1	%)		(2.2	%)		1.9	%
Liberty Place		107	6/6/2006	$	1,396		98.3	%		97.6	%		(0.8	%)		4.4	%		(5.7	%)		11.7	%
Stone Ends		280	2/12/2003	$	1,213		92.7	%		96.9	%		(1.0	%)		(5.4	%)		(3.6	%)		(6.4	%)
The Heights at Marlborough		348	9/7/2006	$	1,154		95.1	%		94.9	%		(1.4	%)		(0.8	%)		(16.0	%)		15.4	%
The Meadows at Marlborough		264	9/7/2006	$	1,105		96.6	%		95.8	%		(3.5	%)		(1.5	%)		(20.5	%)		20.2	%
The Townhomes of Beverly		204	2/15/2007	$	1,406		98.2	%		94.4	%		(3.2	%)		0.7	%		(16.4	%)		15.3	%
The Village at Marshfield		276	3/17/2004	$	1,104		96.8	%		95.1	%		(3.5	%)		(0.2	%)		(8.5	%)		5.4	%
Westwoods		35	4/30/2007	$	1,164		96.4	%		95.9	%		(7.6	%)		(1.5	%)		(9.1	%)		6.0	%
Total Boston Region		2,382		$	1,282		95.8	%		95.3	%		(1.6	%)		(0.6	%)		(12.0	%)		8.2	%		7.7	%
Chicago Region
Blackhawk		371	10/20/2000	$	839		97.0	%		95.7	%		(5.4	%)		(1.3	%)		(0.0	%)		(2.9	%)
Courtyards Village		224	8/29/2001	$	803		97.4	%		96.4	%		(3.8	%)		(1.6	%)		(3.0	%)		(0.3	%)
Cypress Place		192	12/27/2000	$	905		97.7	%		96.8	%		(4.5	%)		(4.8	%)		1.7	%		(11.5	%)
The Colony		783	9/1/1999	$	857		95.4	%		94.5	%		(4.0	%)		(3.5	%)		0.0	%		(6.7	%)
The New Colonies		672	6/23/1998	$	720		95.5	%		95.5	%		(1.0	%)		(1.4	%)		6.6	%		(7.3	%)
Total Chicago Region		2,242		$	812		96.1	%		95.4	%		(3.5	%)		(2.5	%)		1.4	%		(6.1	%)		3.9	%
Florida Region
The Hamptons		668	7/7/2004	$	983		93.6	%		95.0	%		(3.1	%)		(2.1	%)		2.8	%		(7.2	%)
Vinings at Hampton Village		168	7/7/2004	$	1,108		94.3	%		95.7	%		(1.1	%)		(2.4	%)		2.6	%		(7.2	%)
Total Florida Region		836		$	1,008		93.8	%		95.2	%		(2.7	%)		(2.1	%)		2.7	%		(7.2	%)		1.6	%
Long Island, NY Region
Bayview / Colonial		160	11/1/2000	$	1,215		94.1	%		94.8	%		0.0	%		1.7	%		6.4	%		(2.6	%)
Cambridge Village		82	3/1/2002	$	1,679		98.0	%		98.1	%		1.0	%		(1.2	%)		1.4	%		(3.4	%)
Devonshire Hills		297	7/16/2001	$	1,687		96.4	%		97.1	%		1.0	%		(0.3	%)		(2.3	%)		0.9	%
Hawthorne Court		434	4/4/2002	$	1,378		96.7	%		96.6	%		0.8	%		1.4	%		(5.4	%)		8.3	%
Heritage Square		80	4/4/2002	$	1,698		97.4	%		95.6	%		1.5	%		4.4	%		5.6	%		3.4	%
Holiday Square		144	5/31/2002	$	1,181		94.8	%		95.9	%		0.1	%		(0.7	%)		0.6	%		(1.7	%)
Lake Grove Apartments		368	2/3/1997	$	1,369		95.9	%		96.3	%		(1.0	%)		(2.6	%)		(4.3	%)		(1.4	%)
Mid- Island Estates		232	7/1/1997	$	1,338		96.5	%		97.5	%		1.9	%		0.9	%		1.0	%		0.9	%
Sayville Commons		342	7/15/2005	$	1,552		93.4	%		96.4	%		1.4	%		(2.0	%)		8.2	%		(8.8	%)
South Bay Manor		61	9/11/2000	$	1,622		98.2	%		97.0	%		0.4	%		2.4	%		3.3	%		1.5	%
Southern Meadows		452	6/29/2001	$	1,353		96.1	%		95.7	%		(0.9	%)		(0.5	%)		(3.7	%)		2.3	%
Stratford Greens		359	3/1/2002	$	1,418		97.2	%		96.1	%		(0.5	%)		(0.4	%)		1.5	%		(1.9	%)
Westwood Village Apts		242	3/1/2002	$	2,260		95.5	%		95.1	%		(4.0	%)		(6.0	%)		(4.0	%)		(7.5	%)
Woodmont Village Apts		97	3/1/2002	$	1,284		97.5	%		96.6	%		2.4	%		2.4	%		(8.7	%)		9.9	%
Yorkshire Village Apts		40	3/1/2002	$	1,741		98.0	%		96.6	%		(1.1	%)		3.9	%		11.9	%		(3.6	%)
Total Long Island Region		3,390		$	1,488		96.0	%		96.2	%		(0.1	%)		(0.8	%)		(0.8	%)		(0.8	%)		11.9	%
																									Page 12

JUNE YTD
											YTD '10 versus YTD '09
											% Growth
	# of	Date		YTD '10	YTD '10			YTD '09			Rental		Totl		Total		Total		YTD '10
	Units	Acquired		Rent/Mo.		Occup.			Occup.		Rates		Revenue		Expense		NOI		% Co. NOI
Maine Region
Liberty Commons	120	8/30/2006	$	1,186		97.7	%		96.4	%	(0.5	%)	0.2	%	(1.0	%)	0.7	%
Redbank Village	500	7/7/1998	$	857		96.7	%		95.2	%	(0.6	%)	(0.1	%)	1.7	%	(1.4	%)
Total Maine Region	620		$	921		96.9	%		95.5	%	(0.6	%)	(0.0	%)	1.1	%	(0.8	%)	1.4	%
New Jersey Region
Barrington Gardens	148	3/1/2005	$	1,120		95.7	%		94.9	%	0.5	%	2.2	%	17.1	%	(9.2	%)
Chatham Hill Apartments	308	1/30/2004	$	1,678		90.3	%		94.2	%	(1.8	%)	(5.9	%)	(2.6	%)	(7.6	%)
East Hill Gardens	33	7/7/1998	$	1,514		98.0	%		96.3	%	2.1	%	4.0	%	(24.0	%)	26.6	%
Hackensack Gardens	198	3/1/2005	$	1,067		94.5	%		91.4	%	0.8	%	5.2	%	(16.5	%)	37.2	%
Jacob Ford Village	270	2/15/2007	$	1,161		94.1	%		96.2	%	3.0	%	(0.2	%)	(1.4	%)	0.7	%
Lakeview	106	7/7/1998	$	1,354		95.6	%		92.5	%	0.1	%	3.8	%	1.6	%	5.7	%
Northwood Apartments	134	1/30/2004	$	1,294		96.8	%		95.1	%	(1.8	%)	0.7	%	(2.5	%)	3.9	%
Oak Manor	77	7/7/1998	$	1,751		94.9	%		94.5	%	(1.3	%)	(2.4	%)	(16.3	%)	7.5	%
Pleasant View	1,142	7/7/1998	$	1,108		95.7	%		92.6	%	(3.5	%)	(0.1	%)	(7.6	%)	6.5	%
Pleasure Bay	270	7/7/1998	$	1,002		95.2	%		93.4	%	(4.6	%)	(2.5	%)	3.2	%	(7.5	%)
Royal Gardens Apartments	550	5/28/1997	$	1,210		96.6	%		94.9	%	(1.3	%)	0.8	%	(7.7	%)	7.8	%
Wayne Village	275	7/7/1998	$	1,376		97.4	%		96.4	%	(0.8	%)	(0.7	%)	(9.8	%)	5.5	%
Windsor Realty	67	7/7/1998	$	1,162		95.5	%		96.0	%	(2.4	%)	(3.6	%)	(7.4	%)	(0.2	%)
Total New Jersey Region	3,578		$	1,220		95.2	%		94.0	%	(1.7	%)	(0.5	%)	(5.7	%)	3.7	%	10.6	%
Philadelphia Region
Castle Club	158	3/15/2000	$	949		93.7	%		94.6	%	(0.3	%)	(2.7	%)	(3.4	%)	(2.0	%)
Chesterfield	247	9/23/1997	$	888		95.1	%		96.1	%	(3.3	%)	(3.0	%)	0.5	%	(6.5	%)
Curren Terrace	318	9/23/1997	$	850		93.1	%		94.5	%	(4.3	%)	(5.6	%)	(2.1	%)	(9.4	%)
Glen Brook	174	7/28/1999	$	805		95.4	%		92.6	%	(2.6	%)	0.2	%	8.5	%	(10.5	%)
Glen Manor	174	9/23/1997	$	781		95.8	%		95.7	%	(2.9	%)	(2.8	%)	7.3	%	(13.4	%)
Golf Club	399	3/15/2000	$	1,039		95.0	%		93.1	%	(3.9	%)	0.4	%	2.1	%	(0.7	%)
Hill Brook Place	274	7/28/1999	$	852		95.3	%		95.2	%	(1.1	%)	(0.2	%)	(1.1	%)	0.9	%
Home Properties of Bryn Mawr	316	3/15/2000	$	1,136		87.8	%		92.1	%	3.5	%	(1.7	%)	7.2	%	(9.0	%)
Home Properties of Devon	631	3/15/2000	$	1,074		93.5	%		92.8	%	(2.5	%)	(2.1	%)	(2.7	%)	(1.6	%)
New Orleans Park	442	7/28/1999	$	842		95.0	%		93.8	%	(2.9	%)	(2.9	%)	(0.2	%)	(5.8	%)
Racquet Club	466	7/7/1998	$	1,021		96.4	%		95.5	%	(1.1	%)	1.3	%	(3.9	%)	5.7	%
Racquet Club South	103	5/27/1999	$	869		95.5	%		94.5	%	(3.2	%)	(2.0	%)	3.2	%	(7.8	%)
Ridley Brook	244	7/28/1999	$	904		93.8	%		94.2	%	(1.7	%)	(4.9	%)	2.0	%	(11.6	%)
Sherry Lake	298	7/23/1998	$	1,134		94.7	%		94.8	%	(4.4	%)	(3.4	%)	0.8	%	(5.8	%)
The Brooke at Peachtree Village	146	8/15/2005	$	1,108		96.9	%		98.1	%	0.2	%	(1.1	%)	(3.6	%)	0.4	%
The Landings	384	11/25/1996	$	954		96.0	%		96.1	%	(3.7	%)	(6.6	%)	(6.3	%)	(6.8	%)
Trexler Park	250	3/15/2000	$	1,027		92.9	%		92.5	%	(2.7	%)	1.4	%	(9.8	%)	12.0	%
Trexler Park West	216	8/15/2008	$	1,226		94.9	%		94.2	%	(0.9	%)	(0.6	%)	(7.0	%)	3.5	%
William Henry	363	3/15/2000	$	1,051		93.4	%		94.3	%	(6.7	%)	(1.9	%)	10.4	%	(11.5	%)
Total Philadelphia Region	5,603		$	987		94.2	%		94.3	%	(2.5	%)	(2.0	%)	(0.1	%)	(3.6	%)	13.3	%
Washington, D.C. Region
1200 East West	247	Under Construction	$	1,863		24.6	%		n/a		n/a		n/a		n/a		n/a
Braddock Lee	255	3/16/1998	$	1,266		97.7	%		97.6	%	(0.5	%)	(0.4	%)	2.3	%	(2.1	%)
Cider Mill	864	9/27/2002	$	1,094		95.2	%		94.3	%	(1.3	%)	2.8	%	7.0	%	(0.8	%)
Cinnamon Run	511	12/28/2005	$	1,200		95.7	%		96.4	%	1.0	%	0.6	%	12.1	%	(4.6	%)
Courts at Huntington Station	84	Under Construction	$	2,065		20.3	%		n/a		n/a		n/a		n/a		n/a
East Meadow	150	8/1/2000	$	1,267		97.9	%		99.3	%	(1.5	%)	(0.1	%)	10.1	%	(6.0	%)
Elmwood Terrace	504	6/30/2000	$	900		93.2	%		91.6	%	(2.1	%)	0.8	%	0.2	%	1.3	%
Falkland Chase	450	9/10/2003	$	1,336		95.4	%		92.6	%	(1.9	%)	1.1	%	1.2	%	1.1	%
Mount Vernon Square	1,387	12/27/2006	$	1,191		94.8	%		94.4	%	(0.3	%)	1.0	%	0.6	%	1.2	%
Orleans Village	851	11/16/2000	$	1,315		95.6	%		95.5	%	(0.6	%)	(0.9	%)	(2.3	%)	(0.0	%)
Park Shirlington	294	3/16/1998	$	1,283		96.3	%		96.5	%	(0.9	%)	(0.4	%)	2.7	%	(2.5	%)
Peppertree Farm	879	12/28/2005	$	1,179		92.7	%		93.1	%	0.5	%	1.3	%	(1.8	%)	3.5	%
Seminary Hill	296	7/1/1999	$	1,247		97.5	%		97.1	%	(0.3	%)	1.5	%	(2.5	%)	5.0	%
Seminary Towers	541	7/1/1999	$	1,284		96.0	%		94.6	%	(0.7	%)	(1.3	%)	(3.7	%)	0.7	%
Tamarron Apartments	132	7/16/1999	$	1,433		96.8	%		97.3	%	(1.7	%)	(1.8	%)	6.5	%	(5.6	%)
The Apts at Wellington Trace	240	3/2/2004	$	1,268		96.6	%		96.8	%	0.4	%	(0.4	%)	8.1	%	(4.7	%)
The Manor - MD	435	8/31/2001	$	1,235		96.5	%		92.3	%	1.9	%	10.0	%	1.4	%	16.4	%
The Manor - VA	198	2/19/1999	$	992		96.6	%		96.2	%	(4.3	%)	(1.7	%)	(2.1	%)	(1.3	%)
The Sycamores	185	12/16/2002	$	1,301		97.6	%		97.0	%	(3.6	%)	(3.3	%)	3.8	%	(7.2	%)
Virginia Village	344	5/31/2001	$	1,249		98.7	%		98.2	%	(0.7	%)	1.3	%	1.8	%	1.0	%
West Springfield	244	11/18/2002	$	1,383		97.9	%		96.3	%	(3.0	%)	(1.4	%)	0.7	%	(2.5	%)
Westchester West	345	12/30/2008	$	1,261		93.0	%		92.0	%	(1.5	%)	1.3	%	12.2	%	(4.9	%)
Woodleaf Apartments	228	3/19/2004	$	1,188		94.5	%		93.1	%	1.7	%	3.2	%	(1.3	%)	5.9	%
Total Washington, D.C. Region	9,664		$	1,212		95.5	%		94.8	%	(0.7	%)	0.9	%	1.7	%	0.4	%	29.3	%
TOTAL OWNED PORTFOLIO	36,729		$	1,128		94.7	%		n/a		n/a		n/a		n/a		n/a		100.0	%
TOTAL CORE PORTFOLIO	35,798		$	1,128		95.2	%		94.6	%	(1.2	%)	(0.4	%)	(0.6	%)	(0.2	%)

(1) Reflects net change in base rental rates before utility reimbursements and economic occupancy changes.

Page 13

Physical Occupancy Comparison By Region - Core Properties

Sequential Comparison
Second Quarter 2010 vs. First Quarter 2010
Region	% Units			2Q '10			1Q '10			Variance
Washington, D.C.		26.1	%		95.6	%		95.4	%		0.2	%
Baltimore		21.8	%		94.7	%		93.9	%		0.8	%
New Jersey, Long Island		19.5	%		96.1	%		95.0	%		1.1	%
Philadelphia		15.7	%		94.5	%		94.0	%		0.5	%
Boston		6.7	%		96.5	%		95.1	%		1.4	%
Chicago		6.3	%		96.3	%		95.9	%		0.4	%
Florida		2.3	%		94.1	%		93.4	%		0.7	%
Maine		1.6	%		96.9	%		97.0	%		(0.1	%)
Total Core		100.0	%		95.5	%		94.8	%		0.7	%
Year over Year Comparison
Second Quarter 2010 vs. Second Quarter 2009
Region	% Units			2Q '10			2Q '09			Variance
Washington, D.C.		26.1	%		95.6	%		95.2	%		0.4	%
Baltimore		21.8	%		94.7	%		93.8	%		0.9	%
New Jersey, Long Island		19.5	%		96.1	%		95.4	%		0.7	%
Philadelphia		15.7	%		94.5	%		94.6	%		(0.1	%)
Boston		6.7	%		96.5	%		95.6	%		0.9	%
Chicago		6.3	%		96.3	%		95.9	%		0.4	%
Florida		2.3	%		94.1	%		94.4	%		(0.3	%)
Maine		1.6	%		96.9	%		96.4	%		0.5	%
Total Core		100.0	%		95.5	%		95.0	%		0.5	%
June vs. Quarter Comparison
Region	% Units			Jun '10			2Q '10			Variance
Washington, D.C.		26.1	%		95.7	%		95.6	%		0.1	%
Baltimore		21.8	%		95.2	%		94.7	%		0.5	%
New Jersey, Long Island		19.5	%		96.5	%		96.1	%		0.4	%
Philadelphia		15.7	%		93.7	%		94.5	%		(0.8	%)
Boston		6.7	%		96.0	%		96.5	%		(0.5	%)
Chicago		6.3	%		96.5	%		96.3	%		0.2	%
Florida		2.3	%		93.7	%		94.1	%		(0.4	%)
Maine		1.6	%		97.7	%		96.9	%		0.8	%
Total Core		100.0	%		95.6	%		95.5	%		0.1	%

Page 14

Net Operating Results - Core Properties

Sequential Results

Second Quarter 2010 vs. First Quarter 2010

				Base Rental			Total
Region	% Units			Revenues(1)			Revenues			Expenses			NOI
Washington, D.C.		26.1	%		0.4	%		(2.5	%)		(13.3	%)		5.2	%
Baltimore		21.8	%		1.4	%		(0.8	%)		(15.5	%)		10.1	%
New Jersey, Long Island		19.5	%		1.7	%		(1.2	%)		(12.7	%)		8.6	%
Philadelphia		15.7	%		0.4	%		(5.4	%)		(14.4	%)		3.1	%
Boston		6.7	%		1.8	%		2.8	%		(10.5	%)		11.9	%
Chicago		6.3	%		1.3	%		(0.7	%)		(3.9	%)		2.6	%
Florida		2.3	%		1.2	%		2.1	%		(1.8	%)		6.8	%
Maine		1.6	%		(0.5	%)		(0.0	%)		(4.1	%)		2.6	%
Total Core		100.0	%		1.0	%		(1.7	%)		(12.7	%)		7.0	%
Year Over Year Results
Second Quarter 2010 vs. Second Quarter 2009
				Base Rental			Total
Region	% Units			Revenues(1)			Revenues			Expenses			NOI
Washington, D.C.		26.1	%		0.1	%		1.0	%		(2.2	%)		3.0	%
Baltimore		21.8	%		(0.2	%)		0.4	%		(3.3	%)		2.5	%
New Jersey, Long Island		19.5	%		0.0	%		(0.1	%)		(1.0	%)		0.5	%
Philadelphia		15.7	%		(2.4	%)		(3.1	%)		(3.0	%)		(3.2	%)
Boston		6.7	%		(0.8	%)		0.2	%		(12.2	%)		8.7	%
Chicago		6.3	%		(2.7	%)		(1.7	%)		5.6	%		(7.9	%)
Florida		2.3	%		(2.3	%)		(1.1	%)		1.9	%		(4.1	%)
Maine		1.6	%		(1.0	%)		(0.6	%)		(0.4	%)		(0.7	%)
Total Core		100.0	%		(0.6	%)		(0.2	%)		(2.4	%)		1.3	%

(1) Reflects net change in base rental revenues before utility reimbursements and economic occupancy changes.

Page 15

Percentage change in New Lease and Renewal Lease Rents compared to

Expiring Lease Rents

	2009						2010						2010
	4Q			4Q			1Q			1Q			2Q			2Q
Region	New			Renewal			New			Renewal			New			Renewal
Washington, D.C.		(6.0	%)		2.0	%		(4.1	%)		1.9	%		(0.7	%)		2.3	%
Baltimore		(6.0	%)		1.8	%		(3.4	%)		2.2	%		0.8	%		3.4	%
New Jersey, Long Island		(5.0	%)		1.8	%		(4.1	%)		1.6	%		(0.1	%)		2.6	%
Philadelphia		(9.0	%)		1.0	%		(5.0	%)		0.6	%		0.8	%		1.5	%
Boston		(7.4	%)		0.7	%		(5.4	%)		1.2	%		(1.4	%)		1.5	%
Chicago		(8.0	%)		0.2	%		(4.7	%)		0.8	%		(2.7	%)		1.1	%
Florida		(5.4	%)		0.7	%		(4.6	%)		0.5	%		(0.7	%)		0.5	%
Maine		(7.4	%)		1.5	%		(0.7	%)		1.0	%		1.3	%		1.1	%
Total Core		(6.0	%)		1.6	%		(4.2	%)		1.6	%		(0.2	%)		2.3	%
Spread					7.6	%					5.8	%					2.5	%

	2010						2010						2010						2010						2010						2010						2010
	Jan						Feb						Mar						April						May						June						July
Region	New			Renewal			New			Renewal			New			Renewal			New			Renewal			New			Renewal			New			Renewal			New			Renewal
Washington, D.C.		(5.0	%)		2.2	%		(4.9	%)		1.9	%		(2.1	%)		1.6	%		(2.5	%)		1.9	%		(0.7	%)		2.1	%		0.9	%		3.0	%		0.3	%		3.4	%
Baltimore		(3.5	%)		1.9	%		(4.2	%)		1.9	%		(2.6	%)		2.9	%		0.1	%		3.0	%		0.9	%		3.6	%		1.2	%		3.5	%		2.3	%		3.8	%
New Jersey, Long Island		(4.2	%)		1.6	%		(4.9	%)		1.6	%		(3.2	%)		1.5	%		(3.3	%)		2.2	%		(0.0	%)		2.9	%		2.9	%		2.7	%		2.7	%		3.0	%
Philadelphia		(6.6	%)		0.4	%		(5.3	%)		0.5	%		(2.8	%)		0.7	%		0.1	%		1.1	%		(0.1	%)		1.3	%		1.7	%		1.9	%		3.2	%		2.3	%
Boston		(5.8	%)		1.0	%		(6.3	%)		1.3	%		(3.9	%)		1.3	%		(1.1	%)		1.4	%		(1.6	%)		1.3	%		(1.1	%)		2.0	%		2.6	%		2.4	%
Chicago		(8.4	%)		1.0	%		(5.0	%)		0.9	%		(2.0	%)		0.7	%		(4.8	%)		1.1	%		(1.7	%)		0.6	%		(1.9	%)		1.6	%		(2.5	%)		2.7	%
Florida		(7.0	%)		0.2	%		(4.6	%)		0.7	%		(2.7	%)		0.7	%		(3.2	%)		0.3	%		(1.3	%)		1.0	%		2.7	%		0.8	%		(0.7	%)		1.3	%
Maine		1.5	%		1.3	%		0.3	%		0.7	%		(3.3	%)		1.3	%		0.3	%		1.8	%		0.4	%		0.6	%		2.9	%		1.4	%		6.7	%		1.3	%
Total Core		(5.0	%)		1.6	%		(4.8	%)		1.5	%		(2.7	%)		1.6	%		(1.9	%)		2.0	%		(0.3	%)		2.3	%		1.3	%		2.6	%		1.7	%		3.1	%
Spread					6.6	%					6.3	%					4.3	%					3.9	%					2.6	%					1.3	%					1.4	%

Page 16

Resident Statistics

Top Six Reasons for Moveouts - Owned Communities

	2Q '10			1Q '10			4Q '09			3Q '09			2Q '09			1Q '09			Year '09			Year '08			Year '07
Eviction/skip		14.8	%		17.0	%		14.8	%		12.5	%		12.2	%		16.6	%		14.6	%		14.6	%		14.6	%
Employment related		14.1	%		14.8	%		14.7	%		14.0	%		16.4	%		17.7	%		15.2	%		15.2	%		16.1	%
Location convenience/
apartment size		13.4	%		10.0	%		10.4	%		11.6	%		10.0	%		8.3	%		10.3	%		10.3	%		13.7	%
Domestic Situation		12.2	%		7.9	%		7.4	%		10.7	%		10.4	%		6.2	%		10.1	%		8.5	%		9.2	%
Home purchase		11.5	%		11.1	%		14.8	%		12.4	%		12.2	%		9.9	%		12.0	%		12.0	%		15.5	%
Transfer w/in HME		10.4	%		14.6	%		13.6	%		11.8	%		12.4	%		13.8	%		10.7	%		10.7	%		8.3	%
Traffic - Core													Turnover - Core
							Signed			Signed
	Traffic			Traffic			Leases			Leases
	2Q '10			YTD '10			2Q '10			YTD '10
	vs.			vs.			vs.			vs.
	2Q '09			YTD '09			2Q '09			YTD '09			2Q '10			2Q '09			YTD '10			YTD '09
Region
Baltimore		(8.0	%)		(8.0	%)		(1.0	%)		(3.0	%)		10.1	%		10.4	%		18.5	%		18.7	%
Boston		(3.0	%)		(5.0	%)		4.0	%		0.0	%		10.1	%		10.7	%		17.8	%		19.4	%
Chicago		23.0	%		8.0	%		27.0	%		2.0	%		12.4	%		11.2	%		21.4	%		21.6	%
Florida		15.0	%		8.0	%		(15.0	%)		1.0	%		12.1	%		14.2	%		24.5	%		25.0	%
Long Island		(2.0	%)		10.0	%		(6.0	%)		(4.0	%)		8.6	%		8.8	%		15.7	%		15.8	%
Maine		10.0	%		(9.0	%)		33.0	%		(9.0	%)		13.2	%		11.6	%		23.2	%		21.8	%
New Jersey		0.0	%		2.0	%		(9.0	%)		(6.0	%)		9.6	%		10.3	%		16.0	%		18.6	%
Philadelphia		3.0	%		6.0	%		10.0	%		(7.0	%)		12.8	%		12.9	%		19.9	%		21.1	%
Washington, D.C.		3.0	%		0.0	%		3.0	%		(3.0	%)		9.2	%		9.0	%		16.4	%		16.9	%
Total Core		1.0	%		1.0	%		3.0	%		(4.0	%)		10.3	%		10.4	%		18.0	%		18.7	%
Bad Debt as % of Rent and Utility Recovery - Core
	2Q '10			2Q '09			YTD '10			YTD '09
		1.20	%		1.10	%		1.23	%		1.20	%

Page 17

Net Operating Income Detail - Core Properties

($ in thousands, except per unit data)

							Qtr			%									YTD			%
	2Q '10			2Q '09			Variance			Variance			YTD '10			YTD '09			Variance			Variance
Rent	$	114,336		$	114,992		$	(656	)		(0.6	%)	$	227,521		$	229,217		$	(1,696	)		(0.7	%)
Utility recovery		3,767			3,674			93			2.5	%		11,451			10,924			527			4.8	%
Rent including recoveries		118,103			118,666			(563	)		(0.5	%)		238,972			240,141			(1,169	)		(0.5	%)
Other income		5,497			5,222			275			5.3	%		10,411			10,135			276			2.7	%
Total income		123,600			123,888			(288	)		(0.2	%)		249,383			250,276			(893	)		(0.4	%)
Operating & maintenance		(48,846	)		(50,067	)		1,221			2.4	%		(104,779	)		(105,417	)		638			0.6	%
Net Core NOI	$	74,754		$	73,821		$	933			1.3	%	$	144,604		$	144,859		$	(255	)		(0.2	%)
Physical Occupancy %		95.5	%		95.0	%		0.5	%					95.2	%		94.6	%		0.6	%
Weighted Avg Rent per Unit	$	1,129		$	1,140		$	(11	)		(1.0	%)	$	1,128		$	1,142		$	(14	)		(1.2	%)

Seasonality Factor for NAV Calculation

To annualize net operating income in order to calculate a net asset value, the seasonality factor to apply to the current quarter's

effective NOI run rate is 25.4%.  This will adjust for the typical seasonal variability in NOI for each quarter.

Page 18

Operating Expense Detail - Core Properties

($ in thousands)

					Qtr			%							YTD			%
	2Q '10		2Q '09		Variance			Variance			YTD '10		YTD '09		Variance			Variance
Electricity	$	1,766	$	2,047	$	(281	)		(13.7	%)	$	3,975	$	4,461	$	(486	)		(10.9	%)
Gas		2,199		2,980		(781	)		(26.2	%)		10,044		11,955		(1,911	)		(16.0	%)
Water & sewer		3,668		3,485		183			5.3	%		7,461		6,947		514			7.4	%
Repairs & maintenance		7,947		8,458		(511	)		(6.0	%)		13,721		14,396		(675	)		(4.7	%)
Personnel expense		11,700		12,155		(455	)		(3.7	%)		23,698		24,078		(380	)		(1.6	%)
Advertising		1,035		1,060		(25	)		(2.4	%)		2,034		2,118		(84	)		(4.0	%)
Legal & professional		312		444		(132	)		(29.7	%)		695		818		(123	)		(15.0	%)
Office & telephone		1,441		1,356		85			6.3	%		2,858		2,891		(33	)		(1.1	%)
Property insurance		2,032		1,900		132			6.9	%		4,992		4,332		660			15.2	%
Real estate taxes		11,969		11,655		314			2.7	%		24,105		23,617		488			2.1	%
Snow		61		22		39			177.3	%		1,954		725		1,229			169.5	%
Trash		840		859		(19	)		(2.2	%)		1,704		1,716		(12	)		(0.7	%)
Property management G & A		3,876		3,646		230			6.3	%		7,538		7,363		175			2.4	%
Total Core	$	48,846	$	50,067	$	(1,221	)		(2.4	%)	$	104,779	$	105,417	$	(638	)		(0.6	%)

Page 19

Discontinued Operations

($ in thousands)

The operating results of discontinued operations are summarized as follows for the three and six months ended June 30, 2010 and 2009:

	2Q '10			2Q '09		Year '10		Year '09
Revenues:
Rental income	$	16		$	1,432	$	15	$	3,531
Property other income		11			105		21		378
Total revenues		27			1,537		36		3,909
Expenses:
Operating and maintenance		(6	)		638		31		1,897
Interest expense (1)		-			-		-		4,497
Depreciation and amortization		-			395		-		789
Total expenses		(6	)		1,033		31		7,183
Income(Loss) from discontinued operations	$	33		$	504	$	5	$	(3,274	)

(1) Includes prepayment penalties of $4,927 in 2009.

Page 20

Summary Of Recent Acquisitions

($ in millions, except per unit data)

											Wgtd. Avg.
			Purchase	# of		CAP			Purchase		Price Per
Community	Market	State	Date	Units		Rate (1)			Price		Unit
2010 Acquisitions
Middlebrooke Apartments	Baltimore	MD	4/1/2010		208		6.3	%	$	17.4	$	83,413
Westbrooke Apartments	Baltimore	MD	4/1/2010		110		6.3	%		6.3		57,727
Annapolis Roads	Baltimore	MD	6/17/2010		282		6.6	%		32.5		115,248
			Subtotal		600		6.5	%	$	56.2	$	93,667
Acquired after the close of the 2nd quarter
The Greens at Columbia	Baltimore	MD	7/29/2010		168		6.1	%		25.6		152,381
Village at Potomac Falls	Suburban D.C.	VA	8/5/2010		247		5.6	%		38.5		155,870
			Total 2010		1,015		6.1	%	$	120.3	$	118,522
											Wgtd. Avg.
			Purchase	# of		CAP			Purchase		Price Per
Community	Market	State	Date	Units		Rate (1)			Price		Unit
2009 Acquisitions
			Total 2009		-				$	-
		Total 2010 and 2009 Acquisitions			1,015		6.1	%	$	120.3	$	118,522

(1) CAP rate based on projected NOI at the time of acquisition after an allowance for a 3% management fee but before capital expenditures.

Page 21

Summary Of Recent Sales

($ in millions, except per unit data)

											Wtd. Avg.
			Sale	# of		CAP			Sales		Price Per
Community	Market	State	Date	Units		Rate (1)			Price		Unit
2010 Sales
			Total 2010		-				$	-
											Wtd. Avg.
			Sale	# of		CAP			Sales		Price Per
Community	Market	State	Date	Units		Rate (1)			Price		Unit
2009 Sales
Regency Club	New Jersey	NJ	1/30/2009		372		7.3	%	$	39.9	$	107,277
Lakeshore Villas	Hudson Valley	NY	1/30/2009		152		8.4	%		11.5		75,631
Sunset Gardens	Hudson Valley	NY	1/30/2009		217		8.0	%		16.4		75,631
Home Properties of Newark	Philadelphia	PA	10/1/2009		432		8.4	%		30.0		69,444
Beechwood Gardens	Philadelphia	PA	12/16/2009		160		7.6	%		10.5		65,625
			Total 2009		1,333		7.8	%	$	108.3	$	81,256
			Total 2010 and 2009 Sales		1,333		7.8	%	$	108.3	$	81,256

(1) CAP rate based on projected NOI at the time of sale after an allowance for a 3% management fee but before capital expenditures.

Page 22

Breakdown Of Owned Units By Market

		Net								Net
		Acquired/								Acquired/
		Developed			As of		12/31/2009			Developed		As of		Current
Market	State	in 2009			12/31/2009		% of Units			in 2010		6/30/2010		% of Units
Suburban Washington, D.C.	DC/MD/VA		-			9,333		26.07	%		331		9,664		26.31	%
Baltimore	MD		-			7,814		21.83	%		600		8,414		22.91	%
Suburban New York City	NY/NJ		(741	)		6,967		19.46	%		1		6,968		18.97	%
Philadelphia	PA		(592	)		5,603		15.65	%		-		5,603		15.25	%
Boston	MA		-			2,382		6.65	%		-		2,382		6.49	%
Chicago	IL		-			2,242		6.26	%		-		2,242		6.10	%
Florida	FL		-			836		2.34	%		-		836		2.28	%
Portland	ME		-			620		1.73	%		-		620		1.69	%
Total			(1,333	)		35,797		100.0	%		932		36,729		100.0	%

Page 23

Debt Summary Schedule

			INTEREST		06/30/10			MATURITY	YEARS TO
PROPERTY		LENDER	RATE		BALANCE			DATE	MATURITY
FIXED RATE SECURED
Home Properties of Devon		Prudential - Fannie Mae		7.500		28,892,000		10/01/10		0.25
Trexler Park		Prudential - Fannie Mae		7.500		10,140,000		10/01/10		0.25
Multi-Property		Prudential - Fannie Mae		7.250		32,978,000		01/01/11		0.51
Multi-Property		Prudential - Fannie Mae		6.360		8,141,000		01/01/11		0.51
Multi-Property		Prudential - Fannie Mae		6.160		58,881,000		01/01/11		0.51
Orleans Village - 1st		Prudential - Fannie Mae		6.815		43,745,000		01/01/11		0.51
Orleans Village - 2nd		Prudential - Fannie Mae		5.360		22,248,000		01/01/11		0.51
Annapolis Roads	(1)	Allstate Life Insurance		4.250		20,238,236		01/05/11		0.52
New Orleans/Arbor Crossing		Prudential - Fannie Mae		4.860		17,960,793		03/01/11		0.67
Racquet Club East - 1st		Prudential - Fannie Mae		6.875		19,959,478		04/01/11		0.75
Racquet Club East - 2nd		Prudential - Fannie Mae		5.490		9,814,318		04/01/11		0.75
Timbercroft Townhomes 1 - 1st		Capmark - HUD		8.500		114,519		05/01/11		0.84
The Meadows at Marlborough	(1)	Prudential - Fannie Mae		5.500		19,537,497		08/01/11		1.09
Lake Grove - 1st		Prudential - Fannie Mae		6.540		24,300,295		12/01/11		1.42
Lake Grove - 2nd		Prudential - Fannie Mae		5.510		10,525,610		12/01/11		1.42
Mount Vernon Square	(1)	KeyBank RE Cap-Fannie Mae		5.490		84,935,935		01/01/12		1.51
Multi-Property Notes Pay		Seller Financing		4.000		166,333		02/01/12		1.59
Timbercroft III - 1st		Capmark - HUD		8.000		255,208		02/01/12		1.59
Castle Club Apartments		NorthMarq - Freddie Mac		7.080		6,259,042		05/01/12		1.84
Gateway Village		Prudential - Fannie Mae		6.885		6,442,044		05/01/12		1.84
The New Colonies		Prudential - Fannie Mae		7.110		18,432,412		06/01/12		1.92
Woodholme Manor		Prudential - Fannie Mae		7.165		3,478,072		07/01/12		2.01
Liberty Place	(1)	CW Capital - Fannie Mae		5.710		5,965,509		11/01/12		2.34
Hackensack Gardens - 1st		JPMorgan Chase - Fannie Mae		5.260		4,428,534		03/01/13		2.67
Hackensack Gardens - 2nd		JPMorgan Chase - Fannie Mae		5.440		4,306,991		03/01/13		2.67
Barrington Gardens		Wachovia - Freddie Mac		4.960		11,089,733		04/01/13		2.76
Topfield Apartments		M&T Realty-Fannie Mae		5.300		5,949,206		04/01/13		2.76
Canterbury Apartments - 1st		M&T Realty-Fannie Mae		5.020		27,045,719		05/01/13		2.84
Canterbury Apartments - 2nd		M&T Realty-Fannie Mae		6.460		16,735,013		05/01/13		2.84
Multi-Property		Prudential - Fannie Mae		6.475		100,000,000		08/31/13		3.17
Heritage Woods Apts	(1)	Oak Grove Capital-Fannie Mae		5.290		4,793,443		09/01/13		3.18
Saddle Brook Apts. - 1st	(1)	Wells Fargo - Fannie Mae		5.840		27,070,968		11/01/13		3.34
Saddle Brook Apts. - 2nd	(1)	Wells Fargo - Fannie Mae		6.290		3,209,282		11/01/13		3.34
Falkland Chase		Centerline - Fannie Mae		5.480		11,873,997		04/01/14		3.76
The Apts. At Wellington Trace		M&T Realty - Freddie Mac		5.520		24,155,664		04/01/14		3.76
Hawthorne Court		Centerline - Fannie Mae		5.270		34,895,020		07/01/14		4.01
Curren Terrace - 1st		M&T Realty - Freddie Mac		5.360		13,602,074		10/01/14		4.26
Curren Terrace - 2nd		M&T Realty - Freddie Mac		5.090		9,877,066		10/01/14		4.26
Westchester West - 1st	(1)	Deutsche Bank - Freddie		6.150		26,833,424		03/01/15		4.67
Westchester West - 2nd	(1)	Deutsche Bank - Freddie		6.640		7,473,688		03/01/15		4.67
Stratford Greens		Capital One Bank		5.750		31,307,506		07/01/15		5.01
Sayville Commons		M&T Realty - Freddie Mac		5.000		40,170,955		08/01/15		5.09
Cypress Place Apartments		Prudential - Fannie Mae		6.555		10,263,411		11/01/15		5.34
Golf Club Apartments		Prudential - Fannie Mae		6.380		33,102,845		11/01/15		5.34
Northwood Apartments		M&T Realty - Freddie Mac		5.500		10,604,085		12/01/15		5.42
Cinnamon Run - 1st		M&T Realty - Freddie Mac		5.250		50,449,414		01/01/16		5.51
Cinnamon Run - 2nd		M&T Realty - Freddie Mac		5.550		5,227,864		01/01/16		5.51
Peppertree Farm - 1st		M&T Realty - Freddie Mac		5.250		77,651,584		01/01/16		5.51
Peppertree Farm - 2nd		M&T Realty - Freddie Mac		5.550		1,901,037		01/01/16		5.51
The Hamptons/Vinings at Hamptons		Prudential - Fannie Mae		5.565		51,330,024		02/01/16		5.59
Devonshire - 1st		Wachovia - Fannie Mae		5.600		37,557,430		04/01/16		5.76
Devonshire - 2nd		Wachovia - Fannie Mae		6.235		8,390,940		04/01/16		5.76
Mid-Island		Prudential - Fannie Mae		5.480		19,597,447		04/01/16		5.76
Owings Run 1 & 2		Prudential - Fannie Mae		5.590		42,411,912		04/01/16		5.76
Country Village		Centerline - Fannie Mae		5.520		18,847,606		06/01/16		5.93
Fox Hall Apartments		Columbia Nat'l - Freddie Mac		5.610		47,000,000		06/01/17		6.93
Mill Towne Village		Prudential - Fannie Mae		5.990		24,239,000		09/01/17		7.18
Royal Gardens Apts.		M&T Realty - Freddie Mac		5.830		47,000,000		11/01/17		7.35
Village Square 1, 2 & 3		Prudential - Fannie Mae		5.810		39,285,000		12/01/17		7.43
Chatham Hill		M&T Realty - Freddie Mac		5.590		44,755,599		01/01/18		7.51
Seminary Towers Apartments		Prudential - Fannie Mae		5.485		53,515,000		07/01/18		8.01
Bonnie Ridge - 1st		Prudential Life		6.600		11,708,864		12/15/18		8.47
Bonnie Ridge - 2nd		Prudential Life		6.160		17,948,917		12/15/18		8.47
Bonnie Ridge - 3rd		Prudential Life		6.070		25,055,151		12/15/18		8.47
Westwood Village		M&T Realty - Freddie Mac		5.680		47,098,285		01/01/19		8.51
Ridgeview at Wakefield Valley		M&T Realty - Freddie Mac		5.750		18,433,584		01/01/19		8.51
The Sycamores		M&T Realty - Freddie Mac		5.710		21,493,067		01/01/19		8.51
Timbercroft III - 2nd		M & T Realty - HUD		8.375		2,284,690		06/01/19		8.93
Timbercroft Townhomes 1 - 2nd		M & T Realty - HUD		8.375		1,551,131		06/01/19		8.93
The Brooke at Peachtree		Wells Fargo - Fannie Mae		5.470		12,443,911		07/01/19		9.01
Glen Manor		Prudential - Fannie Mae		5.830		7,975,668		08/01/19		9.09
Ridley Brook		Prudential - Fannie Mae		5.830		13,240,302		08/01/19		9.09
Southern Meadows		Red Mortgage - Fannie Mae		5.360		41,115,073		10/01/19		9.26
Elmwood Terrace		M & T Realty - Fannie Mae		5.560		26,964,776		11/01/19		9.35
Lakeview		Greystone - Fannie Mae		5.310		9,164,264		12/01/19		9.43
The Landings		Prudential - Fannie Mae		5.600		26,406,073		01/01/20		9.51
East Meadow Apartments		M&T Realty - Freddie Mac		5.400		14,870,396		05/01/20		9.84
Selford Townhomes		M&T Realty - Freddie Mac		5.400		8,989,962		05/01/20		9.84
Stone Ends Apts.		M&T Realty - Freddie Mac		5.400		25,321,727		05/01/20		9.84
South Bay Manor		M&T Realty - Freddie Mac		5.400		6,817,388		05/01/20		9.84
Tamarron Apartments		M&T Realty - Freddie Mac		5.400		14,878,387		05/01/20		9.84
The Manor (VA)		M&T Realty - Freddie Mac		5.400		13,964,408		05/01/20		9.84
Woodmont Village		M&T Realty - Freddie Mac		5.400		10,075,750		05/01/20		9.84
Dunfield Townhomes		Centerline Capital - HUD		5.250		12,106,851		09/01/28		18.19
Highland House	(1)	Arbor Comml - Fannie Mae		6.320		6,008,725		01/01/29		18.52
Westwoods	(1)	Midland Loan Services - HUD		5.940		3,565,995		06/01/34		23.94
Briggs-Wedgewood	(2)	Berkshire Mtg - HUD		6.000		15,858,154		11/01/34		24.36
WTD AVG - FIXED SECURED				5.793		1,896,700,282				5.35
VARIABLE RATE SECURED
William Henry		NorthMarq - Freddie Mac		2.134		21,237,736		12/01/10		0.42
Adjusts Monthly - Freddie 30d Ref + 2.50
Bayview Apartments		M&T Realty - Freddie Mac		2.625		10,750,998		03/01/11		0.67
Adjusts Monthly - Freddie 30d Ref + 2.50
Virginia Village		Wachovia - Freddie Mac		2.134		30,302,585		07/01/15		5.01
Adjusts Monthly - Freddie 30d Ref + 1.99
Hill Brook Apts		M&T Realty - Freddie Mac		3.641		12,981,988		09/01/16		6.18
Adjusts Monthly - 30L + 2.85 + .44
Wayne Village		M&T Realty - Freddie Mac		3.738		26,415,860		09/01/16		6.18
Adjusts Monthly - 30L + 3.00 + .387
Cider Mill Apts		M&T Realty - Freddie Mac		3.521		63,463,285		01/01/17		6.51
Adjusts Monthly - 30L + 2.89 + .31
The Heights at Marlborough		PNC Real Estate		3.721		23,853,917		01/01/17		6.51
Adjusts Monthly - 30L + 3.02 + .35
Sherry Lake		M&T Realty - Freddie Mac		3.247		26,340,315		04/01/17		6.76
Adjusts Monthly - 30L + 2.67 + .226
Falkland Chase		Montgomery Cty HOC-Fannie		1.317		24,695,000		10/01/30		20.27
Adjusts Weekly - BMA Index + 1.10
WTD AVG - VARIABLE SECURED				2.976		240,041,683				6.91
WTD AVG - TOTAL SECURED DEBT				5.477		2,136,741,965				5.53
FIXED RATE UNSECURED
Exchangeable Senior Notes				5.750		137,162,431		11/01/26		16.35
VARIABLE RATE UNSECURED - LINE OF CREDIT
Unsecured Line of Credit		M and T Bank et. al.		4.500		9,000,000		08/31/12		2.17
Adjusts Daily  30 LIBOR (Floor 1.50) + 3.00
TOTAL COMBINED DEBT				5.489	$	2,282,904,396				6.164
% OF PORTFOLIO - FIXED						89.1	%
WTG AVG - TOTAL SECURED DEBT				5.477						5.53
WTD AVG - TOTAL PORTFOLIO				5.489						6.16

(1) General ledger balance and rate have been adjusted pursuant to ASC 805-10 (f.k.a FAS 141R) to reflect fair market value of debt.

(2) Affordable general partner minority interest property consolidated pursuant to ASC 810-10 (f.k.a FIN46R).

MATURING DEBT SCHEDULE
YEAR OF MATURITY	FIXED RATE				VARIABLE RATE				TOTAL DEBT
	WTD AVG				WTD AVG						% OF
	RATE		DEBT		RATE		DEBT		DEBT		TOTAL
2010		7.50	$	39,032,000		2.13	$	21,237,736	$	60,269,736		2.82	%
2011		6.10		288,443,747		2.63		10,750,998		299,194,744		14.00	%
2012		5.94		125,934,554		-		-		125,934,554		5.89	%
2013		6.00		204,628,890		-		-		204,628,890		9.58	%
2014		5.35		94,403,821		-		-		94,403,821		4.42	%
2015		5.84		159,755,915		2.13		30,302,585		190,058,500		8.89	%
2016		5.45		313,365,258		3.71		39,397,848		352,763,105		16.51	%
2017		5.78		157,524,000		3.50		113,657,517		271,181,517		12.69	%
2018		5.78		152,983,532		-		-		152,983,532		7.16	%
2019		5.65		201,764,749		-		-		201,764,749		9.44	%
2020 - 2034		5.53		158,863,816		1.32		24,695,000		183,558,816		8.59	%
TOTAL		5.79	$	1,896,700,282		2.98	$	240,041,683	$	2,136,741,965		100.00	%

Page 25

Unencumbered Properties

Property	# Units		Market	State
Middlebrooke Apartments		208	Baltimore	MD
Morningside Heights		1,050	Baltimore	MD
The Coves at Chesapeake		469	Baltimore	MD
Westbrooke Apartments		110	Baltimore	MD
Gardencrest		696	Boston	MA
The Townhomes of Beverly		204	Boston	MA
The Village at Marshfield		276	Boston	MA
Blackhawk Apartments		371	Chicago	IL
Courtyards Village		224	Chicago	IL
The Colony		783	Chicago	IL
Cambridge Village		82	Long Island	NY
Heritage Square		80	Long Island	NY
Holiday Square		144	Long Island	NY
Yorkshire Village		40	Long Island	NY
Liberty Commons		120	Portland	ME
East Hill Gardens		33	Northern NJ	NJ
Jacob Ford Village		270	Northern NJ	NJ
Pleasure Bay		270	Northern NJ	NJ
Windsor Realty		67	Northern NJ	NJ
Glen Brook		177	Philadelphia	PA
Racquet Club South		103	Philadelphia	PA
Trexler Park West		216	Philadelphia	PA
1200 East West Highway (1)		247	Suburban Washington, DC	DC
Courts at Huntington Station (1)		84	Suburban Washington, DC	DC
Braddock Lee		255	Suburban Washington, DC	DC
Seminary Hill		296	Suburban Washington, DC	DC
Woodleaf Apartments		228	Suburban Washington, DC	DC
Total Number of Units:		7,103
Total Number of Properties:		27

(1) Properties in development - now leasing

Page 26

Recurring Capital Expenditure Summary

For 2010, the Company estimates that the amount of recurring, non-revenue enhancing capital expenditures incurred on an annual basis for a standard garden style apartment will remain unchanged at $800 per apartment unit.

The Company's policy is to capitalize costs related to the acquisition, development, rehabilitation, construction and improvement of properties.  Capital improvements are costs that increase the value and extend the useful life of an asset.  Ordinary repair and maintenance costs that do not extend the useful life of the asset are expensed as incurred.  Costs incurred on a lease turnover due to normal wear and tear by the resident are expensed on the turn.  Recurring capital improvements typically include appliances, carpeting and flooring, HVAC equipment, kitchen/bath cabinets, new roofs, site improvements and various exterior building improvements.   Non-recurring, revenue generating upgrades include, among other items community centers, new windows, and kitchen/bath apartment upgrades.  Revenue generating capital improvements will directly result in increased rental earnings or expense savings.  The Company capitalizes interest and certain internal personnel costs related to the communities under rehabilitation and construction.

The table below is a list of the items that management considers recurring, non-revenue enhancing capital and maintenance expenditures for a standard garden style apartment.  Included are the per unit replacement cost and the useful life that Management estimates the Company incurs on an annual basis.

							Maintenance
					Capitalized		Expense		Total
	Capitalized				Expenditure		Cost Per		Cost Per
	Cost Per		Useful		Per Unit		Unit		Unit
Category	Unit		Life(1)		Per Year(2)		Per Year(3)		Per Year
Appliances	$	1,436		9	$	160	$	13	$	173
Blinds/shades		135		3		45		7		52
Carpets/cleaning		770		4		193		180		373
Computers, equipment, misc.(4)		120		6		20		18		38
Contract repairs		-		-		-		147		147
Exterior painting (5)		84		3		28		-		28
Flooring		250		9		28		-		28
Furnace/air (HVAC)		824		24		34		105		139
Hot water heater		260		7		37		-		37
Interior painting		-				-		205		205
Kitchen/bath cabinets upgrades		1,200		15		80		-		80
Landscaping site		-		-		-		131		131
New roof		800		24		33		-		33
Parking lot site		540		15		36		-		36
Pool/exercise facility		119		15		8		54		62
Windows major		1,505		20		75		-		75
Miscellaneous (6)		385		17		23		-		23
Total	$	8,428			$	800	$	860	$	1,660

(1) Estimated weighted average actual physical useful life of the expenditure capitalized.

(2) This amount is not necessarily incurred each and every year.  Some years will be higher, or lower depending on the timing of certain longer life expenditures.

(3) These expenses are included in the Operating and Maintenance line item of the Consolidated Statement of Operations.  Maintenance labor costs are not included in the $860 per unit estimate.  All personnel costs for site supervision, leasing agents, and maintenance staff are combined and disclosed in the Company's same-store expense detail schedule.

(4) Includes computers, office equipment/furniture, and maintenance vehicles.

(5) The level of exterior painting may be lower than other similarly titled presentations as the Company's portfolio has a significant amount of brick exteriors.  In addition, the other exposed surfaces are most often covered in aluminum or vinyl.

(6) Includes items such as: balconies, siding, and concrete/sidewalks.

In reviewing the breakdown of costs above, one must consider the Company's unique strategy in operating apartments which has been to improve every property every year regardless of age.  Another part of its strategy is to purchase older properties and rehabilitate and reposition them to enhance internal rates of return.  This strategy results in higher costs of capital expenditures and maintenance costs which is more than justified by higher revenue growth, higher net operating income growth and a higher rate of property appreciation.

Page 27

Capital Expenditure Summary

The Company estimates that on an annual basis $800 per unit is spent on recurring capital expenditures in 2010 and 2009.  During the three months ended June 30, 2010 and 2009, approximately $200 per unit was spent on recurring capital expenditures.  For the six months ended June 30, 2010 and 2009, approximately $400 per unit was spent on recurring capital expenditures.  The table below summarizes the actual total capital improvements incurred by major categories and an estimate of the breakdown of total capital improvements by major categories between recurring and non-recurring, revenue generating capital improvements for the three and six months ended June 30, 2010 as follows:

For the three months ended June 30, 2010
($ in thousands, except per unit data)
					Non-				Total
	Recurring				Recurring				Capital
	Cap Ex		Per Unit(a)		Cap Ex		Per Unit(a)		Improvements		Per Unit(a)
New buildings	$	-	$	-	$	36	$	1	$	36	$	1
Major building improvements		1,139		32		2,573		71		3,712		103
Roof replacements		398		11		376		10		774		21
Site improvements		398		11		1,853		51		2,251		62
Apartment upgrades		1,169		32		6,340		176		7,509		208
Appliances		1,307		36		-		-		1,307		36
Carpeting/flooring		1,998		55		502		14		2,500		69
HVAC/mechanicals		642		18		3,696		102		4,338		120
Miscellaneous		181		5		336		9		517		14
Totals	$	7,232	$	200	$	15,712	$	434	$	22,944	$	634

(a) Calculated using the weighted average number of units owned, including 35,798 core units, and 2010 acquisition units of 362 for the three months ended June 30, 2010.

For the six months ended June 30, 2010
(in thousands, except per unit data)
					Non-				Total
	Recurring				Recurring				Capital
	Cap Ex		Per Unit(b)		Cap Ex		Per Unit(b)		Improvements		Per Unit(b)
New Buildings	$	-	$	-	$	84	$	2	$	84	$	2
Major building improvements		2,267		63		2,758		77		5,025		140
Roof replacements		594		17		375		10		969		27
Site improvements		792		22		2,682		75		3,474		97
Apartment upgrades		2,808		78		9,752		271		12,560		349
Appliances		2,319		64		-		-		2,319		64
Carpeting/Flooring		3,976		111		510		14		4,486		125
HVAC/Mechanicals		1,277		35		5,835		162		7,112		197
Miscellaneous		360		10		512		14		872		24
Totals	$	14,393	$	400	$	22,508	$	625	$	36,901	$	1,025

(b) Calculated using the weighted average number of units owned, including 35,798 core units, and 2010 acquisition units of 180 for the six months ended June 30, 2010.

Page 28

Capital Expenditure Summary

The schedule below summarizes the breakdown of total capital improvements between core and non-core as follows:

For the three months ended June 30, 2010
($ in thousands, except per unit data)
					Non-				Total
	Recurring				Recurring				Capital
	Cap Ex		Per Unit(c)		Cap Ex		Per Unit(c)		Improvements		Per Unit(c)
Core Communities	$	7,160	$	200	$	15,689	$	438	$	22,849	$	638
2010 Acquisition Communities		72		200		23		63		95		263
Sub-total		7,232		200		15,712		434		22,944		634
2009 Disposed Communities		-		-		-		-		-		-
Corporate office expenditures (1)		-		-		-		-		1,065		-
	$	7,232	$	200	$	15,712	$	434	$	24,009	$	634

(c) Calculated using the weighted average number of units owned, including 35,798 core units and 2010 acquisition units of 362 for the three months ended June 30, 2010.

For the six months ended June 30, 2010
(in thousands, except per unit data)
					Non-				Total
	Recurring				Recurring				Capital
	Cap Ex		Per Unit(d)		Cap Ex		Per Unit(d)		Improvements		Per Unit(d)
Core Communities	$	14,321	$	400	$	22,485	$	628	$	36,806	$	1,028
2010 Acquisition Communities		72		400		23		128		95		528
Sub-total		14,393		400		22,508		625		36,901		1,025
2009 Disposed Communities		-		-		-		-		-		-
Corporate office expenditures (1)		-		-		-		-		1,975		-
	$	14,393	$	400	$	22,508	$	625	$	38,876	$	1,025

(1) No distinction is made between recurring and non-recurring expenditures for corporate office.  Corporate office expenditures includes principally computer hardware, software, office furniture, fixtures and leasehold improvements.

(d) Calculated using the weighted average number of units owned, including 35,798 core units and 2010 acquisition units of 180 for the six months ended June 30, 2010.

Adjusted Net Operating Income - Core Properties

($ in thousands)

	Quarter			Quarter
	6/30/2010			6/30/2009		Change
Net Operating Income	$	74,754		$	73,821		1.3	%
Less: Non Recurring Cap Ex @ 6%		(941	)		-		-
Adjusted Net Operating Income	$	73,813		$	73,821		(0.0	%)

Some of our Core Property NOI reflects incremental investments in the communities above and beyond normal capital replacements.  After charging ourselves a 6% cost of debt capital on these additional expenditures, what we refer to as the adjusted NOI for the quarter is recalculated and presented above.

Page 29

Development Communities as of June 30, 2010

($ in thousands)

# of

Estimated

%

Property

Units at

Estimated

Costs

Costs

Construction

Initial

Construction

Physical

Type

Completion

Costs

Per Unit

Incurred

Start

Occupancy

Completion

Occupancy

Under construction:

1200 East West Highway

High Rise

247

$

86,600

(1)

$

332.4

$

81,343

2Q 07

1Q 10

3Q 10

48.6

% (2)

Silver Spring, MD

Courts at Huntington Station

Podium

Phase One

202

2Q 10

3Q 10

50.0

% (3)

Alexandria, VA

Phase Two

219

1Q 11

2Q 11

Total Courts at Huntington Station

421

$

127,200

$

302.1

$

96,056

1Q 08

2Q 10

2Q 11

Total Under Construction

668

$

213,800

$

313.3

Pre-construction:

Falkland North

High Rise

tbd

tbd

tbd

2,568

tbd

tbd

tbd

n/a

Silver Spring, MD

Ripley Street

High Rise

300

(4)

tbd

tbd

19,688

tbd

tbd

tbd

n/a

Silver Spring, MD

Total

$

199,655

(1) Estimated costs have increased mostly attributed to approximately 10,000 sq ft of retail space that will be retained on space no longer under contract to sell.

(2) Physical occupancy percentage is calculated using 247 available units at June 30, 2010.

(3) Physical occupancy percentage is calculated using 84 available units at June 30, 2010.

(4) Preliminary estimates.

Page 30

	Actual			Actual
2010 Earnings Guidance	First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter			Year
2010 compared to 2009
FFO per share - 2010 guidance	$	0.707		$	0.760		$	.73 - $.77		$	.75 - $.79		$	2.95 - $3.03
Midpoint of guidance	$	0.707		$	0.760		$	0.750		$	0.770		$	2.99
FFO per share - 2009 actual	$	0.794		$	0.838		$	0.814		$	0.773		$	3.219
Improvement projected		-11.0	%		-9.3	%		-7.9	%		-0.4	%		-7.1	%
2010 unusual items included in actual / guidance above
Expensed property acquisition costs	$	0.000		$	0.013		$	0.022		$	0.000		$	0.035
Costs related to record severe storms	$	0.050		$	0.000		$	0.000		$	0.000		$	0.050
Combined unusual items	$	0.050		$	0.013		$	0.022		$	0.000		$	0.085
Assumptions for midpoint of guidance:
Same store revenue growth		-0.5	%		-0.2	%		0.0	%		0.1	%		-0.2	%
Same store expense growth		1.0	%		-2.4	%		-0.8	%		1.2	%		-0.2	%
Same store NOI growth		-1.7	%		1.3	%		0.5	%		-0.6	%		-0.1	%
Same store rental income growth		-0.9	%		-0.6	%		0.1	%		0.7	%		-0.2	%
Assumption for occupancy in guidance:
Same store 2010 physical occupancy		94.8	%		95.5	%		95.5	%		95.1	%		95.2	%
Same store 2009 physical occupancy		94.3	%		95.0	%		95.1	%		95.0	%		94.8	%
Change in occupancy		0.5	%		0.5	%		0.4	%		0.1	%		0.4	%

Changes in guidance since last quarter.

Same store revenue - Current guidance assumes -0.2% revenue growth for the year versus previous guidance of slightly positive revenue

growth of 0.2%. The main factor for the change results from a significant reduction in utility recovery income which is offset by a similar

reduction in utility expenses.

Same store expense - Current guidance reflects a 0.3% reduction in costs year-over-year versus a 2.6% increase previously forecasted. There

are numerous line items that are contributing to this much better run-rate.

Electric costs are benefiting from rebate programs in two regions, re-bidding resulting in lower rates in two other regions, and energy conservation efforts which are paying big dividends. Projection now expecting electric down 14% versus original projection of up 3.2%.

Both natural gas heating cost rates and usage have been lower than originally projected. Now expect year-over-year decrease of 11% versus reduction of only 3.1% in original projection.

Repairs and maintenance have been reduced by a combination of lower turnover and a significant re-bidding process resulting in much lower pricing. We now expect costs to go down in this line item 2% versus going up 3.9% before.

Contracts for trash removal costs recently have been re-bid, resulting in projected reduction of 1.6% versus original increase of 6.4%.

Interest expense - We projected higher line of credit costs year-over-year which hurt our original projection. Our debt activity now (on any

refinance or new loan) is coming in at rates lower than originally expected which is adding approximately 2 cents to the bottom line.

Acquisition activity - We were conservative in our original guidance suggesting $100 million of acquisitions. As of August 5th, we have closed

on $120 million with a weighted average first year cap rate of 6.1%. Based on the existing pipeline of deals, we are now assuming we will

close on $325 million of acquisitions. Based on our current cost of capital, especially the low interest rate environment, these are immediately

accretive to earnings.

Page 31