SEC Dropping Investigation of Aimco

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DENVER-The central regional office of the Securities and Exchange Commission told Denver-based Apartment and Investment Management Co., one of the nation’s largest apartment real estate investment trusts, that is recommending terminating its investigation of the company. As part of the termination, no enforcement action will be recommended regarding Aimco, the company reports in an 8-K filing with the SEC. The Denver office of the SEC did not respond to a phone call.

In March, Aimco reported that the SEC had issued a formal investigation. At the time, Aimco disclosed that the SEC investigation involved a miscalculation of revenue measures in 2003 news releases, including “our forecasted guidance and our accounts payable.” In May, Aimco disclosed that the SEC had expanded the investigation. At the time, the company said it believed the investigation also includes “rent concessions, vendor rebates, and capitalization of expenses and payroll.”

Jennifer Martin of the company notes that it had contended since it learned of the investigation that it did not think it would materially impact the company. She says that the news from the SEC is “welcome.”

Aimco owns and operates a geographically diversified portfolio of apartment communities through 25 regional operating centers. Aimco, through its subsidiaries, operates approximately 1,425 properties, including approximately 250,000 apartment units, and serves approximately one million residents each year. Aimco’s properties are in 47 states, the District of Columbia and Puerto Rico. Aimco common shares are included in the S&P 500.