Smith Residential First Quarter FFO Per Share Up 10%

Core Portfolio Net Operating Income Increased 7.6%



Apr 18, 2001, 01:00 ET from Charles E. Smith Residential Realty, Inc.

    ARLINGTON, Va., April 18 /PRNewswire/ -- Charles E. Smith Residential
 Realty, Inc. (NYSE:   SRW), the nation's leading urban multifamily REIT,
 announced today the Operating Partnership's Funds From Operations (FFO) of
 $38.4 million for the quarter ended March 31, 2001, an increase of 27.7% over
 the first quarter of 2000.  The Company's first quarter 2001 FFO per diluted
 share was $0.88, up 10% over the prior year's first quarter.  The increase is
 attributed to the strength of apartment market conditions in all of the
 Company's locations.
     "We are pleased with our first quarter results," said Ernest Gerardi, Jr.,
 CEO of Smith Residential Realty.  "We achieved our growth targets in FFO and
 in core portfolio NOI -- getting us off to an excellent start for the year.
 Our markets continue to demonstrate resilience and interest in urban living is
 still strong.  We remain comfortable with analysts' current consensus for the
 year."
 
     Dividend Declaration
     The Board of Directors of Charles E. Smith Residential Realty, Inc.
 declared a dividend of $0.585 per share for the quarter ended March 31, 2001.
 The dividend will be payable on May 10, 2001 to all shareholders of record as
 of May 2, 2001.
 
     Operating Results
     Charles E. Smith Residential Realty is structured as an umbrella
 partnership real estate investment trust, or UPREIT, in which all property
 ownership and business operations are conducted in an Operating Partnership
 and its subsidiaries and affiliates.  Charles E. Smith Residential Realty,
 Inc. (the REIT) currently owns approximately 66% of its Operating Partnership
 and is its sole general partner.
     The Operating Partnership's total revenue was $106.6 million for the first
 quarter of 2001 an increase of 19.9% over the first quarter of 2000.  The
 Operating Partnership's operating income before depreciation for the first
 quarter of 2001 was $61.1 million, up 14.5% over the first quarter of 2000.
 The Operating Partnership's total Funds from Operations (FFO) was $38.4
 million for the first quarter of 2001, an increase of 10% per diluted share
 over the first quarter of 2000.
 
     Recent Events
     In February, the Company made an investment in Plaza 440, a 457-unit
 luxury high-rise in downtown Chicago.  The investment was made in the form of
 a $23.8 million participating loan, which includes an option to convert to a
 90% ownership interest after two years.  As part of this transaction Smith
 Residential will manage the property under a multi-year contract.  Plaza 440
 is a 50-story high-rise, built in 1991.  It is located just north of the
 Chicago River, within close walking distance of the Loop and a substantial
 number of retail, dining, and entertainment venues, including the new
 Nordstrom department store on Michigan Avenue.
     The Company also announced that Steve Hallsey has joined the Company as
 Executive Vice President of Residential Operations.  Mr. Hallsey will report
 to Denny Minami, the Company's Chief Operating Officer, and will be
 responsible for day-day operations and overall management of Smith
 Residential's entire multifamily portfolio.  Prior to joining Smith
 Residential, Mr. Hallsey was Senior Vice President of Asset Management for
 Glenborough Realty Trust.  Previously, he was President and COO of Western
 National Group, which managed 38,000 multifamily units including Irvine
 Apartment Communities' portfolio.
 
     Quarterly Conference Call
     The Company will hold a conference call on Thursday, April 19, 2001, to
 review the information reported in this release.  The conference call will
 begin at 11:00 a.m. (EDT).  To participate, please call 1-888-793-1728 shortly
 before 11:00 a.m. that day, and identify yourself as a participant in the
 Charles E. Smith Residential Realty First Quarter 2001 Operating Results
 conference call.  If you are unable to join the dial-in call at 11:00 AM, a
 recording will be available from 1:30 p.m. (EDT), April 19th until 1:30 p.m.
 (EDT), April 22nd.  To access the PostView, please call 1-800-633-8284 and
 enter reservation number 18388949 followed by the "#" sign.  In addition to
 the dial-in call, a live web cast of the conference will be available on the
 Company's web site at http://www.smithreit.com .  Playback of the web cast
 will be available on the web site following the call and can be found under
 the MultiMedia section.
 
     Charles E. Smith Residential Realty, Inc. (NYSE:   SRW) is a leader in
 providing urban living solutions in selected American cities.  The Company is
 a self-managed real estate investment trust that develops, acquires, owns,
 leases, and manages multifamily residential rental properties.  The Company is
 based in Arlington, Va., with operations in Washington, D.C., Northern Va.,
 Chicago, Boston, and Southeast Fla.  As of April 2001, the Company owns or has
 an interest in a portfolio of over 30,000 apartments.  Total capitalization of
 the Company, including its operating partnerships, exceeds $3 billion.
 Investor information, including press releases about Charles E. Smith
 Residential Realty, is available on the Company's web site at
 http://www.smithreit.com and also through PR Newswire's Company News on Call
 by fax at 1-800-758-5804, ext. 101271, or at http://www.prnewswire.com .
 
     This news release contains forward-looking statements regarding the
 Company's outlook, including statements of goals, intentions, and expectations
 based on assumptions about general economic and market conditions, competitive
 dynamics and other factors that, by their nature, are subject to significant
 uncertainties, some of which are discussed in the Company's filings with the
 Securities and Exchange Commission.  Because of these uncertainties, and the
 assumptions on which statements in this release are based, actual future
 results may differ materially.
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                               Financial Highlights
                For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                 Three Months Ended March 31,
 
     (dollars in thousands, except per                                    %
     share data)                                   2001         2000   Change
 
     Financial Highlights
     Revenue from the Operating Partnership     $106,576      $88,854   19.9%
     Funds From Operations of the Operating
      Partnership                                 38,358       30,042   27.7%
     Funds From Operations - attributable to
      shareholders                                25,467       18,889   34.8%
        Per Share - basic                          $0.89        $0.81    9.9%
        Per Share - diluted (a)                    $0.88        $0.80   10.0%
 
     Net Income - attributable to common
      shareholders                                12,905       10,614   21.6%
        Per Common Share - basic                   $0.58        $0.51   13.7%
        Per Common Share - diluted                 $0.56        $0.51    9.8%
 
     Dividends Declared per Share                 $0.585        $0.55    6.4%
 
     Total Assets                             $2,170,786   $1,809,520   20.0%
 
     Interest Coverage Ratio                        2.98         3.09
 
 
                                                          As of March 31,
     Apartment Units                                 2001               2000
        Core Portfolio                              19,712             17,424
        Acquisition/Disposition
         Portfolio                                   1,044              5,251
        Redevelopment Portfolio                      5,479              1,912
        Development Portfolio (in
         service)                                      951              1,298
           Total                                    27,186             25,885
 
     (a)  Weighted average shares and partnership units outstanding on a
          diluted basis during the periods were as follows (in 000's):
 
                                                  Three Months Ended March 31,
                                                     2001               2000
        Common Shares and equivalents               23,262             21,101
        Convertible Preferred
         Shares/Units                                7,233              2,640
        Common Partnership Units                    13,245             13,835
           Total Shares and Partnership
            Units                                   43,740             37,576
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                 Operating Summary
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                              Three Months Ended March 31,
 
     (dollars in thousands, except per
     share data)                              2001 (a)      2000       % Change
 
     REVENUE                                  $106,576     $88,854       19.9%
 
     EXPENSES
 
        Operating expenses                     (45,493)    (35,499)      28.2%
        Depreciation and amortization          (12,592)    (10,567)      19.2%
                                                48,491      42,788       13.3%
 
     EQUITY IN INCOME OF
        UNCONSOLIDATED PROPERTIES                  895         783       14.3%
 
     EQUITY IN INCOME OF PROPERTY SERVICE
        BUSINESSES                               2,983         519      474.8%
 
     OTHER INCOME AND EXPENSES
 
        Corporate general and
         administrative expenses                (3,856)     (2,695)      43.1%
        Interest expense, net                  (21,873)    (17,793)      22.9%
 
     NET INCOME OF THE OPERATING
      PARTNERSHIP                               26,640      23,602       12.9%
 
        Minority Interest                       (8,538)     (7,977)       7.0%
          Net Income                            18,102      15,625       15.9%
 
        Less income attributable to
         preferred shares                       (5,197)     (5,011)       3.7%
          Net Income attributable to
           common shares                       $12,905     $10,614       21.6%
 
          Net Income per common share -
           basic                                 $0.58       $0.51       13.7%
          Net Income per common share -
           diluted                               $0.56       $0.51        9.8%
 
 
     NET INCOME OF THE OPERATING
      PARTNERSHIP                              $26,640     $23,602       12.9%
 
        Preferred dividends (b)                   (989)     (4,473)     -77.9%
        Depreciation of rental
         property                               12,384      10,567       17.2%
        Depreciation of unconsolidated
         properties                                323         239       35.1%
        Amortization of goodwill                   -           107     -100.0%
 
     FUNDS FROM OPERATIONS OF THE
      OPERATING
        PARTNERSHIP                             38,358      30,042       27.7%
 
        Minority Interest                      (12,891)    (11,153)      15.6%
        FFO attributable to shareholders       $25,467     $18,889       34.8%
 
          Funds From Operations per share
           - basic                               $0.89       $0.81        9.9%
          Funds From Operations per share
           - diluted                             $0.88       $0.80       10.0%
 
     (a)  Includes consolidated results of Smith Realty Company due to change
          in voting control.
     (b)  Includes Preferred Shares which are not considered common share
          equivalents for the period in question.
 
 
                    CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Details
                For the Three Months Ended March 31, 2001 and 2000
                                   (Unaudited)
 
                                               Three Months Ended March 31,
 
     (dollars in thousands)                   2001      2000 (e)   % Change
 
     CORE PORTFOLIO (a)
 
        Revenue                               $73,964     $68,187       8.5%
        Operating Expenses                    (28,552)    (25,987)      9.9%
                                               45,412      42,200       7.6%
 
     ACQUISITION/DISPOSITION PORTFOLIO (b)
 
        Revenue                                 4,598       4,328
        Operating Expenses                     (1,657)     (1,762)
                                                2,941       2,566         N/A
 
     REDEVELOPMENT PORTFOLIO (c)
 
        Revenue                                17,483      12,218
        Operating Expenses                     (8,094)     (5,578)
                                                9,389       6,640         N/A
 
     DEVELOPMENT PORTFOLIO (d)
 
        Revenue                                 5,732       3,295
        Operating Expenses                     (2,311)     (1,799)
                                                3,421       1,496         N/A
 
     RETAIL PORTFOLIO
 
        Revenue                                   628         826     -24.0%
        Operating Expenses                       (487)       (373)     30.6%
                                                  141         453     -68.9%
 
        TOTAL PORTFOLIO
 
          Revenue                             102,405      88,854      15.3%
          Operating Expenses                  (41,101)    (35,499)     15.8%
                                              $61,304     $53,355      14.9%
 
     (a)  Includes 19,712 apartment units.
 
     (b)  Includes the following properties:
 
          2000 Acquisitions                               2000 Dispositions
          New River Village (Southeast FL)                Orleans Village
          Delaware Place (Chicago, IL)                    Berkeley
          Reston Landing (Tysons/Dulles, VA)              Worldgate Centre
          2201 Wilson Blvd (Rosslyn/Ballston, VA)
 
     (c)  Includes the following properties:
 
          Buchanan House (Crystal City, VA)
          Mirador (Southeast FL)
          Harbour House (Southeast FL)
          Ocean View (Southeast FL)
          Ocean Crest Club (Southeast FL)
          Ocean Crest Beach (Southeast FL)
          Sagamore Towers (Boston, MA)
 
     (d)  Includes the following properties: *
 
          Alban Towers (Washington, D.C.)
          One Superior Place (Chicago, IL)
          Park Connecticut (Washington, D.C.)
 
         * Excludes 1 project under contingent pre-purchase agreement.
 
     (e)  Certain amounts have been reclassified to conform with the current
          year's presentation.
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Statistics
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                      Gross Operating Income
                                           Number of
                                           Apartment
              Market/Sub-Market              Units       Q1 01    % of Total
                                                        (000's)
 
     WASHINGTON, D.C.                          3,595      $13,468      18.2%
 
     NORTHERN VIRGINIA
         Crystal City                          4,007       16,280      22.0%
         Rosslyn/Ballston                      1,674        7,751      10.5%
         Tysons/Dulles                         2,617        8,926      12.1%
         Other                                 3,525       11,488      15.5%
             Total Northern Virginia          11,823       44,445      60.1%
 
     BOSTON                                      469        3,093       4.2%
 
     CHICAGO                                   3,825       12,958      17.5%
 
     CORE RESIDENTIAL PORTFOLIO               19,712      $73,964       100%
 
 
     REDEVELOPMENT PORTFOLIO (1)               2,980       $9,417         N/A
 
     (1)  Reflects properties held as of December 31, 1999 (Buchanan House,
          Mirador, Ocean View).
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Statistics
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                             Monthly GOI
                                               Per Unit               Occupancy
                                                    % Change          % Change
                                                      From              From
              Market/Sub-Market             Q1 01     Q1 00    Q1 01    Q1 00
 
     WASHINGTON, D.C.                        $1,249    10.3%    97.0%    -0.3%
 
     NORTHERN VIRGINIA
         Crystal City                         1,354     6.4%    95.7%    -0.7%
         Rosslyn/Ballston                     1,543    10.2%    97.5%     0.0%
         Tysons/Dulles                        1,137     8.5%    95.8%    -1.8%
         Other                                1,086     8.6%    97.4%    -0.6%
             Total Northern Virginia          1,253     8.0%    96.4%    -0.9%
 
     BOSTON                                   2,198     9.5%    99.8%     0.4%
 
     CHICAGO                                  1,129     7.9%    94.4%     0.3%
 
     CORE RESIDENTIAL PORTFOLIO              $1,251     8.5%    96.3%    -0.5%
 
 
 
     REDEVELOPMENT PORTFOLIO (1)             $1,053     8.8%    96.0%    -1.4%
 
     (1)  Reflects properties held as of December 31, 1999 (Buchanan House,
          Mirador, Ocean View).
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                 Funds Available for Distribution (FAD) Calculation
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                  Three Months Ended March 31,
 
     (dollars in thousands, except
      per share data)                           2001         2000      % Change
 
     FFO OF THE OPERATING PARTNERSHIP         $38,358      $30,042       27.7%
 
        Amortization of deferred
         financing costs                          390          390        0.0%
 
        Recurring capital improvements
         (a)                                   (5,242)      (1,872)     180.0%
 
        Principal curtailments on
         mortgage debt                         (1,469)      (1,314)      11.8%
 
        Other                                     300          236       27.1%
 
     FAD OF THE OPERATING PARTNERSHIP          32,337       27,482       17.7%
 
        Minority Interest                     (10,867)     (10,202)       6.5%
 
        FAD attributable to shareholders      $21,470      $17,280       24.2%
 
        Funds Available for Distribution
         per Share - basic                      $0.75        $0.74        1.4%
 
        Dividend declared per Share            $0.585        $0.55        6.4%
 
        Payout Ratios
          As a percentage of FFO                  66%          68%
          As a percentage of FAD                  78%          74%
 
 
     (a)  Capital improvements consist of the following:
          Core Residential Portfolio           $5,236       $1,754
          Disposition & Retail Portfolios           6          118
            Total Recurring capital
             improvements                       5,242        1,872
          Non-recurring Core
           Repositioning                        7,010        5,071
          Acquisition Portfolio                   346             -
          Redevelopment Portfolio              14,597        4,245
            Total                             $27,195      $11,188
 
     Non-recurring Core Repositioning improvements (primarily kitchen and
     bath renovations) as well as capital improvements on the acquisition and
     redevelopment portfolios are excluded from the FAD calculation.
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                  Debt Composition
                               As of March 31, 2001
                                    (Unaudited)
 
                                          Average                       Average
                                                                         Years
                                         Interest  Dollars in    % of     to
                                                                         Matur-
                                           Rate     Thousands    Total    ity
     Fixed Rate Debt
 
         Long Term Mortgages              7.26%    $1,109,088    84.9%    9.0
 
     Variable Rate Debt
 
         Construction Loans               6.55%        22,137     1.7%    0.9
         $300M Revolver                   6.46%       134,000    10.3%    9.2
         $100M Revolver                   6.25%        41,000     3.1%    2.8
         $50M Revolver                      N/A            -      0.0%    2.8
             Sub-Total                     6.43%      197,137    15.1%    6.9
 
     Total Debt                            7.13%   $1,306,225   100.0%    8.7
 
 
     Scheduled principal payments:
                                       Apr. 2001 - Dec. 2001           37,658
                                     Year Ending December 31,
                                                    2002               27,691
                                                    2003                6,130
                                                    2004               76,326
                                                    2005                8,456
                                                    2006              108,378
                                                Thereafter          1,041,586
                                                                   $1,306,225
 
 
                                    As of    As of    As of    As of    As of
                                   3/31/01 12/31/00  9/30/00  6/30/00  3/31/00
        Debt to Total Market
         Capitalization Ratio        39.4%    37.3%    36.1%    39.5%    40.5%
        Market Capitalization
         (in millions)              $3,319   $3,278   $3,106   $2,730   $2,644
        Stock Price                $45.490  $47.000  $45.375  $38.000  $36.125
 
     *  Debt to Total Market Capitalization Ratio at 3/31/01 is based on
        22,698,543 common shares, 7,232,949 convertible preferred shares/units,
        and 13,213,990 partnership units outstanding at a common stock price of
        $45.490, plus $50M of perpetual preferred shares.
 
 

SOURCE Charles E. Smith Residential Realty, Inc.
    ARLINGTON, Va., April 18 /PRNewswire/ -- Charles E. Smith Residential
 Realty, Inc. (NYSE:   SRW), the nation's leading urban multifamily REIT,
 announced today the Operating Partnership's Funds From Operations (FFO) of
 $38.4 million for the quarter ended March 31, 2001, an increase of 27.7% over
 the first quarter of 2000.  The Company's first quarter 2001 FFO per diluted
 share was $0.88, up 10% over the prior year's first quarter.  The increase is
 attributed to the strength of apartment market conditions in all of the
 Company's locations.
     "We are pleased with our first quarter results," said Ernest Gerardi, Jr.,
 CEO of Smith Residential Realty.  "We achieved our growth targets in FFO and
 in core portfolio NOI -- getting us off to an excellent start for the year.
 Our markets continue to demonstrate resilience and interest in urban living is
 still strong.  We remain comfortable with analysts' current consensus for the
 year."
 
     Dividend Declaration
     The Board of Directors of Charles E. Smith Residential Realty, Inc.
 declared a dividend of $0.585 per share for the quarter ended March 31, 2001.
 The dividend will be payable on May 10, 2001 to all shareholders of record as
 of May 2, 2001.
 
     Operating Results
     Charles E. Smith Residential Realty is structured as an umbrella
 partnership real estate investment trust, or UPREIT, in which all property
 ownership and business operations are conducted in an Operating Partnership
 and its subsidiaries and affiliates.  Charles E. Smith Residential Realty,
 Inc. (the REIT) currently owns approximately 66% of its Operating Partnership
 and is its sole general partner.
     The Operating Partnership's total revenue was $106.6 million for the first
 quarter of 2001 an increase of 19.9% over the first quarter of 2000.  The
 Operating Partnership's operating income before depreciation for the first
 quarter of 2001 was $61.1 million, up 14.5% over the first quarter of 2000.
 The Operating Partnership's total Funds from Operations (FFO) was $38.4
 million for the first quarter of 2001, an increase of 10% per diluted share
 over the first quarter of 2000.
 
     Recent Events
     In February, the Company made an investment in Plaza 440, a 457-unit
 luxury high-rise in downtown Chicago.  The investment was made in the form of
 a $23.8 million participating loan, which includes an option to convert to a
 90% ownership interest after two years.  As part of this transaction Smith
 Residential will manage the property under a multi-year contract.  Plaza 440
 is a 50-story high-rise, built in 1991.  It is located just north of the
 Chicago River, within close walking distance of the Loop and a substantial
 number of retail, dining, and entertainment venues, including the new
 Nordstrom department store on Michigan Avenue.
     The Company also announced that Steve Hallsey has joined the Company as
 Executive Vice President of Residential Operations.  Mr. Hallsey will report
 to Denny Minami, the Company's Chief Operating Officer, and will be
 responsible for day-day operations and overall management of Smith
 Residential's entire multifamily portfolio.  Prior to joining Smith
 Residential, Mr. Hallsey was Senior Vice President of Asset Management for
 Glenborough Realty Trust.  Previously, he was President and COO of Western
 National Group, which managed 38,000 multifamily units including Irvine
 Apartment Communities' portfolio.
 
     Quarterly Conference Call
     The Company will hold a conference call on Thursday, April 19, 2001, to
 review the information reported in this release.  The conference call will
 begin at 11:00 a.m. (EDT).  To participate, please call 1-888-793-1728 shortly
 before 11:00 a.m. that day, and identify yourself as a participant in the
 Charles E. Smith Residential Realty First Quarter 2001 Operating Results
 conference call.  If you are unable to join the dial-in call at 11:00 AM, a
 recording will be available from 1:30 p.m. (EDT), April 19th until 1:30 p.m.
 (EDT), April 22nd.  To access the PostView, please call 1-800-633-8284 and
 enter reservation number 18388949 followed by the "#" sign.  In addition to
 the dial-in call, a live web cast of the conference will be available on the
 Company's web site at http://www.smithreit.com .  Playback of the web cast
 will be available on the web site following the call and can be found under
 the MultiMedia section.
 
     Charles E. Smith Residential Realty, Inc. (NYSE:   SRW) is a leader in
 providing urban living solutions in selected American cities.  The Company is
 a self-managed real estate investment trust that develops, acquires, owns,
 leases, and manages multifamily residential rental properties.  The Company is
 based in Arlington, Va., with operations in Washington, D.C., Northern Va.,
 Chicago, Boston, and Southeast Fla.  As of April 2001, the Company owns or has
 an interest in a portfolio of over 30,000 apartments.  Total capitalization of
 the Company, including its operating partnerships, exceeds $3 billion.
 Investor information, including press releases about Charles E. Smith
 Residential Realty, is available on the Company's web site at
 http://www.smithreit.com and also through PR Newswire's Company News on Call
 by fax at 1-800-758-5804, ext. 101271, or at http://www.prnewswire.com .
 
     This news release contains forward-looking statements regarding the
 Company's outlook, including statements of goals, intentions, and expectations
 based on assumptions about general economic and market conditions, competitive
 dynamics and other factors that, by their nature, are subject to significant
 uncertainties, some of which are discussed in the Company's filings with the
 Securities and Exchange Commission.  Because of these uncertainties, and the
 assumptions on which statements in this release are based, actual future
 results may differ materially.
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                               Financial Highlights
                For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                 Three Months Ended March 31,
 
     (dollars in thousands, except per                                    %
     share data)                                   2001         2000   Change
 
     Financial Highlights
     Revenue from the Operating Partnership     $106,576      $88,854   19.9%
     Funds From Operations of the Operating
      Partnership                                 38,358       30,042   27.7%
     Funds From Operations - attributable to
      shareholders                                25,467       18,889   34.8%
        Per Share - basic                          $0.89        $0.81    9.9%
        Per Share - diluted (a)                    $0.88        $0.80   10.0%
 
     Net Income - attributable to common
      shareholders                                12,905       10,614   21.6%
        Per Common Share - basic                   $0.58        $0.51   13.7%
        Per Common Share - diluted                 $0.56        $0.51    9.8%
 
     Dividends Declared per Share                 $0.585        $0.55    6.4%
 
     Total Assets                             $2,170,786   $1,809,520   20.0%
 
     Interest Coverage Ratio                        2.98         3.09
 
 
                                                          As of March 31,
     Apartment Units                                 2001               2000
        Core Portfolio                              19,712             17,424
        Acquisition/Disposition
         Portfolio                                   1,044              5,251
        Redevelopment Portfolio                      5,479              1,912
        Development Portfolio (in
         service)                                      951              1,298
           Total                                    27,186             25,885
 
     (a)  Weighted average shares and partnership units outstanding on a
          diluted basis during the periods were as follows (in 000's):
 
                                                  Three Months Ended March 31,
                                                     2001               2000
        Common Shares and equivalents               23,262             21,101
        Convertible Preferred
         Shares/Units                                7,233              2,640
        Common Partnership Units                    13,245             13,835
           Total Shares and Partnership
            Units                                   43,740             37,576
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                 Operating Summary
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                              Three Months Ended March 31,
 
     (dollars in thousands, except per
     share data)                              2001 (a)      2000       % Change
 
     REVENUE                                  $106,576     $88,854       19.9%
 
     EXPENSES
 
        Operating expenses                     (45,493)    (35,499)      28.2%
        Depreciation and amortization          (12,592)    (10,567)      19.2%
                                                48,491      42,788       13.3%
 
     EQUITY IN INCOME OF
        UNCONSOLIDATED PROPERTIES                  895         783       14.3%
 
     EQUITY IN INCOME OF PROPERTY SERVICE
        BUSINESSES                               2,983         519      474.8%
 
     OTHER INCOME AND EXPENSES
 
        Corporate general and
         administrative expenses                (3,856)     (2,695)      43.1%
        Interest expense, net                  (21,873)    (17,793)      22.9%
 
     NET INCOME OF THE OPERATING
      PARTNERSHIP                               26,640      23,602       12.9%
 
        Minority Interest                       (8,538)     (7,977)       7.0%
          Net Income                            18,102      15,625       15.9%
 
        Less income attributable to
         preferred shares                       (5,197)     (5,011)       3.7%
          Net Income attributable to
           common shares                       $12,905     $10,614       21.6%
 
          Net Income per common share -
           basic                                 $0.58       $0.51       13.7%
          Net Income per common share -
           diluted                               $0.56       $0.51        9.8%
 
 
     NET INCOME OF THE OPERATING
      PARTNERSHIP                              $26,640     $23,602       12.9%
 
        Preferred dividends (b)                   (989)     (4,473)     -77.9%
        Depreciation of rental
         property                               12,384      10,567       17.2%
        Depreciation of unconsolidated
         properties                                323         239       35.1%
        Amortization of goodwill                   -           107     -100.0%
 
     FUNDS FROM OPERATIONS OF THE
      OPERATING
        PARTNERSHIP                             38,358      30,042       27.7%
 
        Minority Interest                      (12,891)    (11,153)      15.6%
        FFO attributable to shareholders       $25,467     $18,889       34.8%
 
          Funds From Operations per share
           - basic                               $0.89       $0.81        9.9%
          Funds From Operations per share
           - diluted                             $0.88       $0.80       10.0%
 
     (a)  Includes consolidated results of Smith Realty Company due to change
          in voting control.
     (b)  Includes Preferred Shares which are not considered common share
          equivalents for the period in question.
 
 
                    CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Details
                For the Three Months Ended March 31, 2001 and 2000
                                   (Unaudited)
 
                                               Three Months Ended March 31,
 
     (dollars in thousands)                   2001      2000 (e)   % Change
 
     CORE PORTFOLIO (a)
 
        Revenue                               $73,964     $68,187       8.5%
        Operating Expenses                    (28,552)    (25,987)      9.9%
                                               45,412      42,200       7.6%
 
     ACQUISITION/DISPOSITION PORTFOLIO (b)
 
        Revenue                                 4,598       4,328
        Operating Expenses                     (1,657)     (1,762)
                                                2,941       2,566         N/A
 
     REDEVELOPMENT PORTFOLIO (c)
 
        Revenue                                17,483      12,218
        Operating Expenses                     (8,094)     (5,578)
                                                9,389       6,640         N/A
 
     DEVELOPMENT PORTFOLIO (d)
 
        Revenue                                 5,732       3,295
        Operating Expenses                     (2,311)     (1,799)
                                                3,421       1,496         N/A
 
     RETAIL PORTFOLIO
 
        Revenue                                   628         826     -24.0%
        Operating Expenses                       (487)       (373)     30.6%
                                                  141         453     -68.9%
 
        TOTAL PORTFOLIO
 
          Revenue                             102,405      88,854      15.3%
          Operating Expenses                  (41,101)    (35,499)     15.8%
                                              $61,304     $53,355      14.9%
 
     (a)  Includes 19,712 apartment units.
 
     (b)  Includes the following properties:
 
          2000 Acquisitions                               2000 Dispositions
          New River Village (Southeast FL)                Orleans Village
          Delaware Place (Chicago, IL)                    Berkeley
          Reston Landing (Tysons/Dulles, VA)              Worldgate Centre
          2201 Wilson Blvd (Rosslyn/Ballston, VA)
 
     (c)  Includes the following properties:
 
          Buchanan House (Crystal City, VA)
          Mirador (Southeast FL)
          Harbour House (Southeast FL)
          Ocean View (Southeast FL)
          Ocean Crest Club (Southeast FL)
          Ocean Crest Beach (Southeast FL)
          Sagamore Towers (Boston, MA)
 
     (d)  Includes the following properties: *
 
          Alban Towers (Washington, D.C.)
          One Superior Place (Chicago, IL)
          Park Connecticut (Washington, D.C.)
 
         * Excludes 1 project under contingent pre-purchase agreement.
 
     (e)  Certain amounts have been reclassified to conform with the current
          year's presentation.
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Statistics
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                      Gross Operating Income
                                           Number of
                                           Apartment
              Market/Sub-Market              Units       Q1 01    % of Total
                                                        (000's)
 
     WASHINGTON, D.C.                          3,595      $13,468      18.2%
 
     NORTHERN VIRGINIA
         Crystal City                          4,007       16,280      22.0%
         Rosslyn/Ballston                      1,674        7,751      10.5%
         Tysons/Dulles                         2,617        8,926      12.1%
         Other                                 3,525       11,488      15.5%
             Total Northern Virginia          11,823       44,445      60.1%
 
     BOSTON                                      469        3,093       4.2%
 
     CHICAGO                                   3,825       12,958      17.5%
 
     CORE RESIDENTIAL PORTFOLIO               19,712      $73,964       100%
 
 
     REDEVELOPMENT PORTFOLIO (1)               2,980       $9,417         N/A
 
     (1)  Reflects properties held as of December 31, 1999 (Buchanan House,
          Mirador, Ocean View).
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                Portfolio Statistics
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                             Monthly GOI
                                               Per Unit               Occupancy
                                                    % Change          % Change
                                                      From              From
              Market/Sub-Market             Q1 01     Q1 00    Q1 01    Q1 00
 
     WASHINGTON, D.C.                        $1,249    10.3%    97.0%    -0.3%
 
     NORTHERN VIRGINIA
         Crystal City                         1,354     6.4%    95.7%    -0.7%
         Rosslyn/Ballston                     1,543    10.2%    97.5%     0.0%
         Tysons/Dulles                        1,137     8.5%    95.8%    -1.8%
         Other                                1,086     8.6%    97.4%    -0.6%
             Total Northern Virginia          1,253     8.0%    96.4%    -0.9%
 
     BOSTON                                   2,198     9.5%    99.8%     0.4%
 
     CHICAGO                                  1,129     7.9%    94.4%     0.3%
 
     CORE RESIDENTIAL PORTFOLIO              $1,251     8.5%    96.3%    -0.5%
 
 
 
     REDEVELOPMENT PORTFOLIO (1)             $1,053     8.8%    96.0%    -1.4%
 
     (1)  Reflects properties held as of December 31, 1999 (Buchanan House,
          Mirador, Ocean View).
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                 Funds Available for Distribution (FAD) Calculation
                 For the Three Months Ended March 31, 2001 and 2000
                                    (Unaudited)
 
                                                  Three Months Ended March 31,
 
     (dollars in thousands, except
      per share data)                           2001         2000      % Change
 
     FFO OF THE OPERATING PARTNERSHIP         $38,358      $30,042       27.7%
 
        Amortization of deferred
         financing costs                          390          390        0.0%
 
        Recurring capital improvements
         (a)                                   (5,242)      (1,872)     180.0%
 
        Principal curtailments on
         mortgage debt                         (1,469)      (1,314)      11.8%
 
        Other                                     300          236       27.1%
 
     FAD OF THE OPERATING PARTNERSHIP          32,337       27,482       17.7%
 
        Minority Interest                     (10,867)     (10,202)       6.5%
 
        FAD attributable to shareholders      $21,470      $17,280       24.2%
 
        Funds Available for Distribution
         per Share - basic                      $0.75        $0.74        1.4%
 
        Dividend declared per Share            $0.585        $0.55        6.4%
 
        Payout Ratios
          As a percentage of FFO                  66%          68%
          As a percentage of FAD                  78%          74%
 
 
     (a)  Capital improvements consist of the following:
          Core Residential Portfolio           $5,236       $1,754
          Disposition & Retail Portfolios           6          118
            Total Recurring capital
             improvements                       5,242        1,872
          Non-recurring Core
           Repositioning                        7,010        5,071
          Acquisition Portfolio                   346             -
          Redevelopment Portfolio              14,597        4,245
            Total                             $27,195      $11,188
 
     Non-recurring Core Repositioning improvements (primarily kitchen and
     bath renovations) as well as capital improvements on the acquisition and
     redevelopment portfolios are excluded from the FAD calculation.
 
 
                     CHARLES E. SMITH RESIDENTIAL REALTY, INC.
                                  Debt Composition
                               As of March 31, 2001
                                    (Unaudited)
 
                                          Average                       Average
                                                                         Years
                                         Interest  Dollars in    % of     to
                                                                         Matur-
                                           Rate     Thousands    Total    ity
     Fixed Rate Debt
 
         Long Term Mortgages              7.26%    $1,109,088    84.9%    9.0
 
     Variable Rate Debt
 
         Construction Loans               6.55%        22,137     1.7%    0.9
         $300M Revolver                   6.46%       134,000    10.3%    9.2
         $100M Revolver                   6.25%        41,000     3.1%    2.8
         $50M Revolver                      N/A            -      0.0%    2.8
             Sub-Total                     6.43%      197,137    15.1%    6.9
 
     Total Debt                            7.13%   $1,306,225   100.0%    8.7
 
 
     Scheduled principal payments:
                                       Apr. 2001 - Dec. 2001           37,658
                                     Year Ending December 31,
                                                    2002               27,691
                                                    2003                6,130
                                                    2004               76,326
                                                    2005                8,456
                                                    2006              108,378
                                                Thereafter          1,041,586
                                                                   $1,306,225
 
 
                                    As of    As of    As of    As of    As of
                                   3/31/01 12/31/00  9/30/00  6/30/00  3/31/00
        Debt to Total Market
         Capitalization Ratio        39.4%    37.3%    36.1%    39.5%    40.5%
        Market Capitalization
         (in millions)              $3,319   $3,278   $3,106   $2,730   $2,644
        Stock Price                $45.490  $47.000  $45.375  $38.000  $36.125
 
     *  Debt to Total Market Capitalization Ratio at 3/31/01 is based on
        22,698,543 common shares, 7,232,949 convertible preferred shares/units,
        and 13,213,990 partnership units outstanding at a common stock price of
        $45.490, plus $50M of perpetual preferred shares.
 
 SOURCE  Charles E. Smith Residential Realty, Inc.

RELATED LINKS

http://www.smithreit.com