HOME PROPERTIES, INC.

REAL ESTATE AND ACCUMULATED DEPRECIATION

DECEMBER 31, 2011

(Dollars in thousands)


Community	Encum- brances		Land		UPREIT Unit Alloc. Land^(a)		Initial Cost Buildings, Improvements & Equipment		UPREIT Unit Alloc. Bldg.^(a)		Costs Capitalized Subsequent to Acquisition		Land		Total Cost Buildings, Improvements & Equipment		Total^(b)		Accumulated Depreciation		Total Cost, Net of Accumulated Depreciation		Year of Acquisition or Completion
1200 East West	$	—	$	13,068	$	—	$	—	$	—	$	70,663	$	13,068	$	70,663	$	83,731	$	3,164	$	80,567		2010	(c)
Annapolis Roads Apartments		23,687		14,400		—		18,035		—		3,510		14,400		21,545		35,945		961		34,984		2010
Arbor Park of Alexandria		95,968		8,528		429		58,912		4,286		34,799		8,957		97,997		106,954		29,907		77,047		2000
Barrington Gardens		10,802		888		35		6,658		296		5,943		923		12,897		13,820		3,035		10,785		2005
Bayview & Colonial		—		1,600		72		8,471		709		5,322		1,672		14,502		16,174		5,125		11,049		2000
Blackhawk Apartments		—		2,968		83		14,568		858		7,550		3,051		22,976		26,027		8,021		18,006		2000
Bonnie Ridge Apartments		51,961		4,830		411		42,769		4,147		35,302		5,241		82,218		87,459		31,815		55,644		1999
Braddock Lee Apartments		—		3,810		152		8,842		1,488		8,182		3,962		18,512		22,474		7,833		14,641		1998
Cambridge Village Associates		—		2,460		54		3,188		520		2,482		2,514		6,190		8,704		1,984		6,720		2002
Canterbury Apartments		42,472		4,944		235		21,384		2,353		13,667		5,179		37,404		42,583		12,934		29,649		1999
Castle Club Apartments		6,070		948		57		8,933		566		6,402		1,005		15,901		16,906		5,316		11,590		2000
Charleston Place		74,610		22,764		—		84,648		—		3,614		22,764		88,262		111,026		3,223		107,803		2010
Chatham Hill Apartments		43,827		1,848		286		46,150		2,434		14,197		2,134		62,781		64,915		13,751		51,164		2004
Chesterfield Apartments		—		1,482		89		8,206		869		9,183		1,571		18,258		19,829		7,211		12,618		1997
Cider Mill		61,497		15,552		464		65,939		4,549		15,269		16,016		85,757		101,773		22,881		78,892		2002
Cinnamon Run Apartments		54,280		7,731		231		59,693		1,934		7,429		7,962		69,056		77,018		11,878		65,140		2005
Country Village Apartments		18,338		2,236		113		11,149		1,120		10,967		2,349		23,236		25,585		9,635		15,950		1998
Courts at Huntington Station		—		33,409		—		—		—		88,548		33,409		88,548		121,957		2,503		119,454		2011	(c)
Courtyards Village		—		3,360		53		9,824		525		4,871		3,413		15,220		18,633		4,753		13,880		2001
Crescent Club Apartments		—		2,338		—		28,792		—		2,488		2,338		31,280		33,618		1,136		32,482		2010
Curren Terrace		22,766		1,908		109		10,957		1,082		8,405		2,017		20,444		22,461		8,926		13,535		1997
Cypress Place		10,068		2,304		45		7,861		479		5,335		2,349		13,675		16,024		4,749		11,275		2000
Devonshire Hills		75,212		27,415		572		66,713		5,727		22,076		27,987		94,516		122,503		25,689		96,814		2001
Dunfield Townhomes		11,462		1,683		—		30,302		—		6,268		1,683		36,570		38,253		4,521		33,732		2007
East Hill Gardens		—		231		24		1,560		241		1,504		255		3,305		3,560		1,306		2,254		1998
East Meadow Apartments		14,558		2,250		89		10,803		863		3,725		2,339		15,391		17,730		4,557		13,173		2000
Elmwood Terrace		26,431		6,048		155		14,680		1,561		11,809		6,203		28,050		34,253		9,625		24,628		2000
Falcon Crest Townhomes		18,555		2,772		161		11,116		1,590		10,258		2,933		22,964		25,897		8,536		17,361		1999
Falkland Chase Apartments		35,421		9,000		327		49,753		3,008		6,692		9,327		59,453		68,780		13,223		55,557		2003
Fox Hall Apartments		47,000		9,959		—		51,874		—		12,708		9,959		64,582		74,541		9,502		65,039		2007
Gardencrest Apartments		—		24,674		507		61,526		4,974		24,490		25,181		90,990		116,171		25,726		90,445		2002
Gateway Village Apartments		6,224		1,320		71		6,621		695		3,146		1,391		10,462		11,853		3,691		8,162		1999
Glen Brook Apartments		—		1,414		46		4,816		452		5,124		1,460		10,392		11,852		3,674		8,178		1999
Glen Manor Apartments		7,824		1,044		44		4,565		440		3,928		1,088		8,933		10,021		3,398		6,623		1997
Golf Club Apartments		32,453		3,990		187		21,298		1,840		15,773		4,177		38,911		43,088		13,802		29,286		2000
Hackensack Gardens		8,466		2,376		50		10,900		423		6,372		2,426		17,695		20,121		3,917		16,204		2005
Hawthorne Court		33,771		8,940		260		23,446		2,521		20,567		9,200		46,534		55,734		13,751		41,983		2002
Heritage Square		—		2,000		58		4,805		566		2,900		2,058		8,271		10,329		2,394		7,935		2002
Heritage Woods		14,326		1,602		—		12,420		—		3,775		1,602		16,195		17,797		2,688		15,109		2006
Highland House Apartments		5,741		3,414		—		14,761		—		2,517		3,414		17,278		20,692		2,795		17,897		2006
Hill Brook Place Apartments		12,572		2,192		85		9,118		848		8,986		2,277		18,952		21,229		6,336		14,893		1999
Holiday Square		—		3,575		77		6,108		722		2,514		3,652		9,344		12,996		2,462		10,534		2002
Home Properties of Bryn Mawr		17,138		3,160		154		17,956		1,537		16,243		3,314		35,736		39,050		11,317		27,733		2000
Home Properties of Devon		60,116		6,280		332		35,643		3,280		31,563		6,612		70,486		77,098		24,008		53,090		2000
Hunters Glen		—		2,239		—		4,729		—		431		2,239		5,160		7,399		114		7,285		2011
Jacob Ford Village		—		6,750		—		20,022		—		8,146		6,750		28,168		34,918		4,356		30,562		2007
Lake Grove Apartments		—		7,360		254		11,952		2,557		17,178		7,614		31,687		39,301		13,900		25,401		1997
Lakeview Apartments		8,975		636		59		4,552		590		4,145		695		9,287		9,982		3,643		6,339		1998
Lakeview Townhomes		—		1,118		—		13,335		—		1,200		1,118		14,535		15,653		500		15,153		2010
Liberty Commons		—		1,330		15		—		125		13,354		1,345		13,479		14,824		4,099		10,725		2005	(c)
Liberty Place Apartments		5,718		2,033		—		13,125		—		2,628		2,033		15,753		17,786		2,565		15,221		2006
Mid-Island Apartments		19,161		4,160		128		6,567		1,268		7,171		4,288		15,006		19,294		6,506		12,788		1997
Middlebrooke Apartments		—		2,888		—		14,369		—		2,128		2,888		16,497		19,385		845		18,540		2010
Mill Towne Village		24,239		3,840		154		13,279		1,486		13,442		3,994		28,207		32,201		9,617		22,584		2001
Morningside Heights Apartments		—		6,147		406		28,699		4,000		31,191		6,553		63,890		70,443		26,919		43,524		1998
Mount Vernon Square Apartments		—		55,810		—		86,946		—		16,101		55,810		103,047		158,857		15,932		142,925		2006
New Orleans Park Apartments		23,321		2,920		124		13,215		1,227		13,390		3,044		27,832		30,876		10,901		19,975		1997&1999
Newport Village		—		56,501		—		147,420		—		426		56,501		147,846		204,347		969		203,378		2011
Northwood Apartments		10,379		804		71		14,299		602		4,236		875		19,137		20,012		4,131		15,881		2004
Oak Manor Apartments		6,923		616		70		4,111		690		3,564		686		8,365		9,051		3,320		5,731		1998
Owings Run Apartments		41,485		5,533		255		32,622		2,538		8,764		5,788		43,924		49,712		14,681		35,031		1999
Park Shirlington Apartments		21,095		4,410		157		10,180		1,581		8,864		4,567		20,625		25,192		9,235		15,957		1998
Peppertree Farm Apartments		77,549		12,571		317		83,804		2,654		18,104		12,888		104,562		117,450		18,900		98,550		2005
Pleasant View Gardens		94,933		5,710		499		47,816		5,021		30,289		6,209		83,126		89,335		31,170		58,165		1998
Pleasure Bay Apartments		—		1,620		124		6,234		1,210		9,440		1,744		16,884		18,628		6,483		12,145		1998
Racquet Club East Apartments		37,315		1,868		218		23,107		2,137		13,822		2,086		39,066		41,152		13,781		27,371		1998
Racquet Club South		—		309		35		3,891		353		2,728		344		6,972		7,316		2,779		4,537		1999
Redbank Village Apartments		15,455		2,000		164		14,030		1,686		12,192		2,164		27,908		30,072		10,398		19,674		1998
Ridgeview at Wakefield Valley		18,035		2,300		72		17,247		635		4,435		2,372		22,317		24,689		4,876		19,813		2005
Ridley Brook Apartments		12,988		1,952		74		7,719		748		6,214		2,026		14,681		16,707		5,001		11,706		1999
Royal Gardens Apartments		47,000		5,500		258		14,067		2,603		17,604		5,758		34,274		40,032		14,649		25,383		1997
Saddle Brooke Apartments		29,790		7,609		—		44,040		—		6,600		7,609		50,640		58,249		4,641		53,608		2008
Sayville Commons		38,927		8,005		187		55,346		1,599		1,682		8,192		58,627		66,819		9,893		56,926		2005
Selford Townhomes		8,801		1,224		57		4,200		565		3,122		1,281		7,887		9,168		2,949		6,219		1999
Seminary Hill Apartments		—		2,960		135		10,194		1,344		10,328		3,095		21,866		24,961		8,278		16,683		1999
Seminary Towers Apartments		53,515		5,480		292		19,348		2,868		21,181		5,772		43,397		49,169		15,811		33,358		1999
Sherry Lake Apartments		25,508		2,428		165		15,620		1,617		11,745		2,593		28,982		31,575		10,865		20,710		1998
Somerset Apartments		—		7,253		—		12,937		—		20		7,253		12,957		20,210		86		20,124		2011
South Bay Manor		6,674		1,098		45		1,958		440		5,186		1,143		7,584		8,727		2,771		5,956		2000
Southern Meadows		40,264		9,040		343		31,875		3,397		10,832		9,383		46,104		55,487		13,552		41,935		2001
Stone Ends Apartments		24,790		5,600		166		28,468		1,554		5,216		5,766		35,238		41,004		8,462		32,542		2003
Tamarron Apartments		14,566		1,320		92		8,474		896		3,609		1,412		12,979		14,391		4,247		10,144		1999
The Apts at Cambridge Court		—		7,378		—		82,641		—		327		7,378		82,968		90,346		911		89,435		2011
The Apts at Wellington Trace		23,445		3,060		167		26,305		1,418		840		3,227		28,563		31,790		5,930		25,860		2004
The Brooke at Peachtree		12,171		992		51		15,137		437		4,045		1,043		19,619		20,662		3,536		17,126		2005
The Colony		—		7,830		197		34,121		2,025		14,638		8,027		50,784		58,811		17,773		41,038		1999
The Commons at Haynes Farm		—		7,550		—		32,771		—		1,383		7,550		34,154		41,704		464		41,240		2011
The Courts at Dulles		—		15,413		—		76,947		—		23		15,413		76,970		92,383		333		92,050		2011
The Courts at Fair Oaks		49,126		12,377		—		61,107		—		1,244		12,377		62,351		74,728		2,203		72,525		2010
The Coves at Chesapeake		—		8,915		—		57,974		—		9,021		8,915		66,995		75,910		10,090		65,820		2006
The Gates of Deer Grove		—		1,247		—		18,973		—		5		1,247		18,978		20,225		43		20,182		2011
The Greens at Columbia		9,558		5,040		—		20,886		—		1,117		5,040		22,003		27,043		899		26,144		2010
The Hamptons		49,918		5,749		303		50,489		2,599		12,844		6,052		65,932		71,984		14,708		57,276		2004
The Heights at Marlborough		23,135		6,253		—		44,268		—		6,684		6,253		50,952		57,205		7,421		49,784		2006
The Landings		25,859		2,459		162		16,753		1,595		12,667		2,621		31,015		33,636		12,264		21,372		1996
The Manor Apartments (MD)		45,871		8,700		257		27,703		2,513		11,951		8,957		42,167		51,124		12,958		38,166		2001
The Manor Apartments (VA)		13,671		1,386		85		5,738		832		5,832		1,471		12,402		13,873		5,078		8,795		1999
The Meadows at Marlborough		20,922		6,598		—		28,736		—		4,590		6,598		33,326		39,924		4,954		34,970		2006
The New Colonies		17,452		1,680		151		21,350		1,545		13,256		1,831		36,151		37,982		15,176		22,806		1998
The Sycamores		21,025		4,625		136		15,737		1,283		3,233		4,761		20,253		25,014		5,277		19,737		2002
The Townhomes of Beverly		—		5,820		—		30,465		—		5,031		5,820		35,496		41,316		5,000		36,316		2007
The Village at Marshfield		—		3,158		134		28,354		1,158		6,643		3,292		36,155		39,447		7,400		32,047		2004
Timbercroft Townhomes & Apts.		3,406		1,704		87		6,826		842		6,546		1,791		14,214		16,005		5,048		10,957		1999
Top Field Apartments		16,403		1,635		—		16,684		—		4,132		1,635		20,816		22,451		3,211		19,240		2006
Trexler Park Apartments		38,068		2,490		114		13,841		1,129		8,525		2,604		23,495		26,099		8,035		18,064		2000
Trexler Park West		—		2,684		—		—		—		23,325		2,684		23,325		26,009		6,430		19,579		2006	(c)
Village at Potomac Falls		—		7,380		—		30,960		—		1,005		7,380		31,965		39,345		1,226		38,119		2010
Village Square Townhomes & Apts.		39,285		2,590		191		13,306		1,900		9,847		2,781		25,053		27,834		8,691		19,143		1999
Vinings at Hampton Village		—		1,772		77		12,148		657		3,967		1,849		16,772		18,621		3,853		14,768		2004
Virginia Village		29,102		5,160		207		21,918		2,027		14,156		5,367		38,101		43,468		11,429		32,039		2001
Waterview Apartments		—		1,531				23,030		—		955		1,531		23,985		25,516		321		25,195		2011
Wayne Village		25,603		1,925		177		12,895		1,744		8,971		2,102		23,610		25,712		9,173		16,539		1998
West Springfield Terrace		20,834		2,440		194		31,766		1,845		3,992		2,634		37,603		40,237		9,308		30,929		2002
Westbrooke Apartments		—		1,103		—		5,229		—		1,078		1,103		6,307		7,410		358		7,052		2010
Westchester West Apartments		33,841		6,978		—		41,513		—		3,767		6,978		45,280		52,258		4,018		48,240		2008
Westwood Village Apartments		46,067		7,260		270		22,757		2,629		12,318		7,530		37,704		45,234		10,994		34,240		2002
Westwoods		3,470		1,260		—		2,694		—		570		1,260		3,264		4,524		477		4,047		2007
William Henry Apartments		28,268		4,666		187		22,277		1,839		16,226		4,853		40,342		45,195		12,876		32,319		2000
Windsor Realty Company		—		402		34		3,300		337		2,427		436		6,064		6,500		2,473		4,027		1998
Woodholme Manor Apartments		3,366		1,232		59		4,599		576		5,515		1,291		10,690		11,981		3,865		8,116		2001
Woodleaf Apartments		—		2,862		122		17,720		1,028		3,160		2,984		21,908		24,892		5,044		19,848		2004
Woodmont Village Apartments		9,864		2,880		63		5,699		622		3,057		2,943		9,378		12,321		2,744		9,577		2002
Yorkshire Village Apartments		—		1,196		27		2,016		260		1,416		1,223		3,692		4,915		1,089		3,826		2002
Other Assets (d)		84		—		—		2		—		99,150		—		99,152		99,152		21,194		77,958		Various

	$	2,260,836	$	707,037	$	14,505	$	2,893,195	$	140,334	$	1,287,253	$	721,542	$	4,320,782	$	5,042,324	$	983,759	$	4,058,565

^(a)	In 2008 and prior periods, authoritative guidance required the exchange of noncontrolling interests (UPREIT Units) for shares to be recorded under the purchase method with the difference between the fair value and book value of an exchanged UPREIT Unit allocated to real estate assets.

^(b)	The aggregate cost for federal income tax purposes was approximately $4,621,394.

^(c)	Property was constructed by the Company and completed in the year indicated.

^(d)	Includes construction in progress of $64,201, assets of one development community placed into service of $5,887 and corporate office assets of $29,064.

Depreciation and amortization of the Company's investments in real estate assets reflected in the consolidated statements of operations are calculated over the estimated useful lives of the assets as follows:


Land improvements		3-20 years
Buildings and improvements		3-40 years
Furniture, fixtures and equipment		5-10 years
Computer software		5years

The changes in total real estate assets are as follows:


	2011			2010			2009

Balance, beginning of year	$	4,377,730		$	3,915,979		$	3,872,390
New property acquisitions		511,308			346,770			—
Additions		160,109			146,645			149,134
Disposals associated with deconsolidation of the VIE ⁽¹⁾		—			(27,464	)		—
Disposals and retirements		(6,823	)		(4,200	)		(105,545	)

Balance, end of year	$	5,042,324		$	4,377,730		$	3,915,979

The changes in accumulated depreciation are as follows:


	2011			2010			2009

Balance, beginning of year	$	841,801		$	733,142		$	636,970
Depreciation		143,093			126,249			120,002
Disposals associated with deconsolidation of the VIE ⁽¹⁾		—			(13,627	)		—
Disposals and retirements		(1,135	)		(3,963	)		(23,830	)

Balance, end of year	$	983,759		$	841,801		$	733,142

⁽¹⁾	Refer to Note 4 for discussion of the Company's sale of its general partnership interest in the VIE and the resulting deconsolidation of the VIE.