Developer Posts Mixed Results

Irvine Apartment Communities, a Newport Beach apartment developer, reported lower net income for the fourth quarter but said funds from operations, a key indicator, climbed 21%.

The real estate investment trust, which has agreed to be acquired by billionaire developer Donald L. Bren, reported net income of $4.7 million, or 23 cents a share, for the three months, down 33% from the year-earlier figure of $7 million, or 35 cents a share. Funds from operations increased to $28 million, or 62 cents a share, from $23.2 million, or 52 cents a share. Revenue rose 19% to $59.4 million from $50.1 million.

For the year, net income totaled $8.4 million, or 41 cents a share, which included an extraordinary charge of $42.5 million related to retiring debt. In 1997, the company earned $26.4 million, or $1.33 a share. Funds from operations increased 18% to $103.6 million, or $2.30 a share, from $87.6 million, or $2 a share. Revenue rose 18% to $220.8 million from $186.9 million.