AvalonBay Communities Announces 2009 Dividend Income Tax Treatment

ALEXANDRIA, Va.--(BUSINESS WIRE)-- AvalonBay Communities, Inc. ("AvalonBay" or the "Company") (NYSE: AVB) announced today the final income allocations of the Company's 2009 dividend distributions on its Common Stock. The final income allocations as they will be reported on Form 1099-DIV are set forth in the following table:



Common Shares (CUSIP #053484101)

                                               Taxable   Return              Unrecap.
Declaration  Record    Payable   Distribution  Ordinary  of        Capital   Section
Date         Date      Date      Per Share     Income    Capital   Gain      1250
                                               (1)                           Gain

03/16/09     04/01/09  04/15/09  $0.89250      $0.61583  $0.00000  $0.18743  $0.08925

06/15/09     06/30/09  07/15/09  0.89250       0.61583   0.00000   0.18743   0.08925

09/14/09     09/28/09  10/15/09  0.89250       0.61583   0.00000   0.18743   0.08925

12/15/09     12/31/09  01/15/10  0.89250       0.61583   0.00000   0.18743   0.08925

             Totals              $3.57000      $2.46330  $0.00000  $0.74970  $0.35700

                                 100%          69%       0%        21%       10%

Components may not sum to the totals due to rounding differences. Additionally, the Company did not incur any foreign taxes, and the information above presents final income allocations.

(1) None of the dividends classified as taxable ordinary income represents "qualified dividend income" and, therefore, are not eligible for capital gains rates.

About AvalonBay Communities, Inc.

As of December 31, 2009, the Company owned or held a direct or indirect ownership interest in 172 apartment communities containing 50,364 apartment homes in ten states and the District of Columbia, of which seven communities were under construction and seven communities were under reconstruction. AvalonBay is in the business of developing, redeveloping, acquiring, and managing apartment communities in high barrier-to-entry markets of the United States. More information on AvalonBay, an S&P 500 company, may be found on the Company's Web site at http://www.avalonbay.com.


    Source: AvalonBay Communities, Inc.

Released January 18, 2010