Silver Bay Realty Trust (SBY) rode its increasing portfolio of single-family rental homes to a 23% jump in first quarter revenue, the company reported earlier this week.
In April, Silver Bay completed the previously announced acquisition of more than 2,000 rental homes from The American Home.
When Silver Bay first announced the transaction in February, the real estate investment trust called the deal a “transformational milestone.”
The company reported its first quarter earnings on Wednesday, with its total revenue increasing 23% over the first quarter of 2014 to $22.3 million.
The REIT also reported that its net operating income was $11.9 million for the first quarter of 2015, an increase of 29% compared to the first quarter of 2014.
“We are pleased with our first quarter 2015 performance as we made steady incremental improvement across our core operating and financial metrics,” said David Miller, Silver Bay’s president and chief executive officer.
“In addition, subsequent to quarter end we closed a strategically important transaction that will create significant value for our stockholders through increased cash flow and net asset value growth in coming quarters,” Miller said.
Silver Bay said that its strong first quarter was primarily attributable to an increase in leased properties generating rental income during the first quarter, and to a lesser extent, rental growth.
The company also reported net loss attributable to common stockholders for the first quarter of 2015 was $3.6 million, or $(0.10) per common share, compared to net loss attributable to common stockholders for the first quarter of 2014 of $4.4 million, or $(0.11) per common share.
Silver Bay also reported an occupancy rate of 96% on stabilized properties as of March 31, an increase of two percentage points from the prior quarter.
Silver Bay reported an occupancy rate of 92% for the aggregate portfolio as of March 31, an increase of six percentage points compared to an occupancy rate of 86% on the aggregate portfolio as of Dec. 31, 2014.
Silver Bay said that it acquired 85 single-family properties in the first quarter of 2015. The increase in the stabilized occupancy percentage was primarily a function of positive leasing momentum in the Jacksonville, Atlanta and Phoenix markets.
Silver Bay also reported an average monthly rent for the aggregate portfolio of $1,200 for the first quarter of 2015, compared to an average monthly rent of $1,194 for the fourth quarter of 2014.