Mid-America Apartment Communities Establishes $250 MM Acquisition Fund

MEMPHIS, Tenn., June 29 /PRNewswire-FirstCall/ -- Mid-America Apartment
Communities, Inc. (NYSE: MAA) reported today that it has established
Mid-America Multifamily Fund II, LLC ("Fund II"). The fund will be a joint
venture between Mid-America and institutional capital. Targeted investment
opportunities will be within Mid-America's existing Sunbelt markets and
operating region. Mid-America will own a 1/3 interest in Fund II, with plans
to acquire up to $250 million of apartment properties over the next eighteen
months, and have a 6-8 year investment life. Fund II will focus on acquiring
properties with redevelopment upside offering value creation opportunity
through capital improvements, operating enhancements and restructuring
in-place financing. Mid-America expects to invest a total of approximately
$25 million in equity as investments are made.

Eric Bolton, CEO, said, "We've had excellent success with past investment
funds, and we're excited about the opportunity to leverage Mid-America's
experienced and strong re-development and operating skills. We think this new
initiative provides an excellent opportunity to create value for Mid-America's
shareholders."

Mid-America will earn a management fee, an asset management fee, and have the
potential to earn promote fees. Mid-America will target apartment properties
that are 7 years old or older for Fund II, and will continue to acquire newer
properties for its own portfolio. There are no plans for Mid-America to
contribute its existing properties to Fund II.

About Mid-America Apartment Communities, Inc.
MAA is a self-administered, self-managed apartment-only real estate investment
trust, which currently owns or has ownership interest in 42,390 apartment
units throughout the Sunbelt region of the U.S. For further details, please
refer to the Company website at www.maac.net or contact Investor Relations at
investor.relations@maac.net or (901) 435-5371. 6584 Poplar Ave., Memphis, TN
38138.

Forward-Looking Statements
We consider portions of this press release to be forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934, with respect to our expectations
for future periods. Forward looking statements do not discuss historical fact,
but instead include statements related to expectations, projections,
intentions or other items related to the future. Such forward-looking
statements include, without limitation, statements concerning property
acquisitions and dispositions, development activity and capital expenditures,
capital raising activities, rent growth, occupancy, and rental expense growth.
Words such as "expects," "anticipates," "intends," "plans," "believes,"
"seeks," "estimates," and variations of such words and similar expressions are
intended to identify such forward-looking statements. Such statements involve
known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements to be materially different from
the results of operations or plans expressed or implied by such
forward-looking statements. Such factors include, among other things,
unanticipated adverse business developments affecting us, or our properties,
adverse changes in the real estate markets and general and local economies and
business conditions. Although we believe that the assumptions underlying the
forward-looking statements contained herein are reasonable, any of the
assumptions could be inaccurate, and therefore such forward-looking statements
included in this press release may not prove to be accurate. In light of the
significant uncertainties inherent in the forward-looking statements included
herein, the inclusion of such information should not be regarded as a
representation by us or any other person that the results or conditions
described in such statements or our objectives and plans will be achieved.

The following factors, among others, could cause our future results to differ
materially from those expressed in the forward-looking statements:
-- inability to generate sufficient cash flows due to market conditions,
changes in supply and/or demand, competition, uninsured losses,
changes
in tax and housing laws, or other factors;
-- increasing real estate taxes and insurance costs;
-- failure of new acquisitions to achieve anticipated results or be
efficiently integrated into us;
-- failure of development communities to lease-up as anticipated;
-- inability of a joint venture to perform as expected;
-- inability to acquire additional or dispose of existing apartment units
on favorable economic terms;
-- losses from catastrophes in excess of our insurance coverage;
-- unexpected capital needs;
-- inability to attract and retain qualified personnel;
-- potential liability for environmental contamination;
-- adverse legislative or regulatory tax changes;
-- litigation and compliance costs associated with laws requiring access
for disabled persons;
-- imposition of federal taxes if we fail to qualify as a REIT under the
Internal Revenue Code in any taxable year or foregone opportunities to
ensure REIT status;
-- inability to acquire funding through the capital markets;
-- inability to pay required distributions to maintain REIT status due to
required debt payments;
-- changes in interest rate levels, including that of variable rate debt,
such as extensively used by us;
-- loss of hedge accounting treatment for interest rate swaps due to
volatility in the financial markets;
-- the continuation of the good credit of our interest rate swap and cap
providers;
-- the availability of credit, including mortgage financing, and the
liquidity of the debt markets, including that provided to us by Fannie
Mae and Freddie Mac, at present operating under the conservatorship of
the United States Government; and
-- inability to meet loan covenants.

Reference is hereby made to the filings of Mid-America Apartment Communities,
Inc., with the Securities and Exchange Commission, including quarterly reports
on Form 10-Q, reports on Form 8-K, and its annual report on Form 10-K,
particularly including the risk factors contained in the latter filing.

SOURCE Mid-America Apartment Communities, Inc.

Investor Relations of Mid-America Apartment Communities, +1-901-682-6600,
investor.relations@maac.net