AIV Apartment Investment and Management Company

8-K

The Separation will be effected through (i) the pro rata distribution by AIR OP, the operating partnership of Apartment Investment and Management Company (“Aimco”), to the holders of AIR OP common limited partnership units and the holders of AIR OP Class I High Performance partnership units of all of the common limited partnership units of New OP and (ii) the pro rata distribution by Aimco to its stockholders of all of the outstanding shares of common stock of Apartment Income REIT Corp. After the Separation, Aimco and New OP will own the redevelopment and development business and a portfolio of 11 stabilized multifamily properties, primarily located in the Boston and San Diego areas, as well as certain other investments. Aimco will be well-capitalized with an estimated gross asset value of $1.3 billion, and an estimated Net Asset Value, or NAV (as defined in the Information Statement), of $1.2 billion, each as of March 31, 2020 (in each case, without giving effect to the value of the Initial Leased Properties or the Separate Portfolio Assets (each as defined in the Information Statement)).

This document contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief, or expectations, including, but not limited to: the anticipated timing, structure and benefits of the Separation; and tax treatment and tax consequences of the Separation. In addition, we may not complete the Separation at all. We caution investors not to place undue reliance on any such forward-looking statements.

Words such as “anticipate(s),” “expect(s),” “intend(s),” “plan(s),” “believe(s),” “may,” “will,” “would,” “could,” “should,” “seek(s)” and similar expressions, or the negative of these terms, are intended to identify such forward-looking statements. These statements are based on management’s current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we can give no assurance that our expectations will be attained.

Risks and uncertainties that could cause actual results to differ materially from our expectations include, but are not limited to: whether or not we complete the Separation on the anticipated terms or at all; the effects of the coronavirus pandemic on Aimco’s and Apartment Income REIT Corp.’s (“AIR”) respective businesses and on the global and U.S. economies generally; real estate and operating risks, including fluctuations in real estate values and the general economic climate in the markets in which Aimco and AIR will operate and competition for residents in such markets; national and local economic conditions, including the pace of job growth and the level of unemployment; the amount, location and quality of competitive new housing supply; the timing and effects of acquisitions, dispositions, redevelopments and developments; changes in operating costs, including energy costs; negative economic conditions in our geographies of operation; loss of key personnel; Aimco’s or AIR’s ability to maintain current or meet projected occupancy, rental rates and property operating results; Aimco’s or AIR’s ability to meet budgeted costs and timelines, and, if applicable, achieve budgeted rental rates related to redevelopment and development investments; expectations regarding sales of apartment communities and the use of the proceeds thereof; the ability to successfully operate as two separate companies each with more narrowed focus; insurance risks, including the cost of insurance, and natural disasters and severe weather such as hurricanes; financing risks, including the availability and cost of financing; the risk that cash flows from operations may be insufficient to meet required payments of principal and interest; the risk that earnings may not be sufficient to maintain compliance with debt covenants, including financial coverage ratios; legal and regulatory risks, including costs associated with prosecuting or defending claims and any adverse outcomes; the terms of laws and governmental regulations that affect us and interpretations of those laws and regulations; possible environmental liabilities, including costs, fines or penalties that may be incurred due to necessary remediation of contamination of apartment communities presently or previously owned by Aimco; activities by stockholder activists, including a proxy contest; Aimco’s and AIR’s relationship with each other after the consummation of the Separation; the ability and willingness of Aimco and AIR

and their subsidiaries to meet and/or perform their obligations under any contractual arrangements that are entered into among the parties in connection with the Separation and any of their obligations to indemnify, defend and hold the other party harmless from and against various claims, litigation and liabilities; the ability to achieve some or all the benefits that we expect to achieve from the Separation; and such other risks and uncertainties described from time to time in filings by Aimco and AIR with the SEC.

In addition, Aimco’s current and continuing qualification and, if the REIT Distribution is completed, AIR’s qualification and continuing qualification as a real estate investment trust involves the application of highly technical and complex provisions of the Internal Revenue Code of 1986, as amended (the “Code”), and depends on Aimco’s and, if applicable, AIR’s ability to meet the various requirements imposed by the Code, through actual operating results, distribution levels and diversity of stock ownership.

10-K

10-Q

These forward-looking statements reflect management’s judgment as of this date, and Aimco and New OP assume no (and disclaim any) obligation to revise or update them to reflect future events or circumstances.