----

|         |                                                                                      |
|---------|--------------------------------------------------------------------------------------|
| • | Multifamily same-property NOI increased 8.3 percent compared with third quarter 2010 |

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | Multifamily same-property revenue increased 5.5 percent compared with third quarter 2010 |

|         |                                                                                     |
|---------|-------------------------------------------------------------------------------------|
| • | Ended the quarter with multifamily same-property physical occupancy of 96.1 percent |

|         |                                                                                                                                                                                       |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Executed on the company's asset recycling strategy with the sale of six apartment communities for $105.8 million and the acquisition of three apartment communities for $90.3 million |

|         |                                                            |
|---------|------------------------------------------------------------|
| • | Closed a $250 million unsecured term loan maturing in 2018 |

----

----

|                                                                          |
|--------------------------------------------------------------------------|
|                                                                          |  |  |  |  |  |  |  |
|                                                                     | Full-Year 2011 Range |
|                                                                     | Low | - | High |
|                                                                     |   |   |   |
| Diluted EPS                                                              | $ | (0.20 | ) | - | $ | (0.03 | ) |
| Plus: Real Estate Depreciation & Amortization                        | 1.60 |  | - | 1.60 |  |
| Less: Gain on Sale of Operating Properties                               | (0.26 | ) | - | (0.41 | ) |
| Total Diluted FFO per share                                              | $ | 1.14 |  | - | $ | 1.16 |  |
|                                                                     |   |   |   |
| Less: Transaction Income                                                 |   |   |   |
| (Gain)/Loss on Sale of Land and Bond or Preferred Stock Unit Repurchases | 0.00 | - | 0.00 |
| Operating FFO per share                                                  | $ | 1.14 |  |   | $ | 1.16 |  |

|         |                                                                                 |
|---------|---------------------------------------------------------------------------------|
| • | Multifamily same-property net operating income: growth of 6.50 to 7.25 percent. |

|         |                                                                   |
|---------|-------------------------------------------------------------------|
| ◦ | Revenue:     Increase of 3.75 to 4.50 percent |

|         |                                                                   |
|---------|-------------------------------------------------------------------|
| ◦ | Expense:     Increase of 0.00 to 0.75 percent |

|         |                                                                                           |
|---------|-------------------------------------------------------------------------------------------|
| • | Development spending of $50 million to $60 million ($25.4 million spent to date in 2011). |

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | Acquisitions of $200 million to $250 million ($200.8 million completed to date in 2011). |

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | Dispositions of $125 million to $225 million ($105.8 million completed to date in 2011). |

|         |                                                                              |
|---------|------------------------------------------------------------------------------|
| • | Unsecured debt financings of $250 million, which was completed in July 2011. |

|         |                                                                                                                              |
|---------|------------------------------------------------------------------------------------------------------------------------------|
| • | Land and for-sale residential property dispositions of $16 million to $18 million ($16.1 million completed to date in 2011). |

|         |                                                           |
|---------|-----------------------------------------------------------|
| • | Corporate G&A expenses of $20 million to $21 million. |

----

----

----

----

|                                                                               |
|-------------------------------------------------------------------------------|
|                                                                               |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                                     |
| Financial Statements                                                          |
| Third Quarter 2011                                                            |
|                                                                          |   |   |   |
| BALANCE SHEET                                                                 |   |   |   |
| ($ in 000s)                                                                   | As of |   | As of |
|                                                                          | 9/30/2011 |   | 12/31/2010 |
| ASSETS                                                                        |   |   |   |
| Real Estate Assets                                                            |   |   |   |
| Operating Properties                                                          | $ | 3,423,680 |  |   | $ | 3,331,108 |  |
| Undeveloped Land & Construction in Progress                               | 290,401 |  |   | 261,955 |  |
|      Total Real Estate, before Depreciation          | 3,714,081 |  |   | 3,593,063 |  |
|                                                                          |   |   |   |
| Less: Accumulated Depreciation                                                | (703,230 | ) |   | (640,981 | ) |
| Real Estate Assets Held for Sale, net                                         | 12,073 |  |   | 16,861 |  |
|                                                                          |   |   |   |
|      Net Real Estate Assets                          | 3,022,924 |  |   | 2,968,943 |  |
|                                                                          |   |   |   |
| Cash and Equivalents                                                          | 3,697 |  |   | 4,954 |  |
| Restricted Cash                                                               | 22,076 |  |   | 9,294 |  |
| Accounts Receivable, net                                                      | 26,210 |  |   | 20,734 |  |
| Notes Receivable                                                              | 43,923 |  |   | 44,538 |  |
| Prepaid Expenses                                                              | 21,519 |  |   | 23,225 |  |
| Deferred Debt and Lease Costs                                                 | 23,035 |  |   | 23,035 |  |
| Investment in Unconsolidated Subsidiaries                                     | 19,253 |  |   | 22,828 |  |
| Other Assets                                                                  | 51,264 |  |   | 53,583 |  |
|      Total Assets                                    | $ | 3,233,901 |  |   | $ | 3,171,134 |  |
|                                                                          |   |   |   |
| LIABILITIES                                                                   |   |   |   |
| Unsecured Credit Facility                                                     | $ | 105,529 |  |   | $ | 377,362 |  |
| Notes and Mortgages Payable                                                   | 1,576,191 |  |   | 1,384,209 |  |
|      Total Debt                                      | 1,681,720 |  |   | 1,761,571 |  |
| Accounts Payable                                                              | 39,302 |  |   | 38,915 |  |
| Accrued Interest                                                              | 16,317 |  |   | 12,002 |  |
| Accrued Expenses                                                              | 28,550 |  |   | 15,267 |  |
| Investment in Unconsolidated Subsidiaries                                     | 31,126 |  |   | 27,954 |  |
| Other Liabilities                                                             | 20,898 |  |   | 10,129 |  |
|      Total Liabilities                               | 1,817,913 |  |   | 1,865,838 |  |
|                                                                          |   |   |   |
| Redeemable Common Units                                                       | 144,616 |  |   | 145,539 |  |
|                                                                          |   |   |   |
| EQUITY                                                                        |   |   |   |
| Noncontrolling Interest                                                       |   |   |   |
| Series B 7 1/4%, Preferred Units                                              | 50,000 |  |   | 50,000 |  |
| Limited Partner's Noncontrolling Interest                                     | 756 |  |   | 769 |  |
|      Total Noncontrolling Interest                   | 50,756 |  |   | 50,769 |  |
|                                                                          |   |   |   |
| Cumulative Earnings                                                           | 1,257,944 |  |   | 1,260,944 |  |
| Cumulative Distributions                                                      | (1,848,863 | ) |   | (1,808,700 | ) |
| Common Equity, including Additional Paid-in Capital                           | 1,976,956 |  |   | 1,809,138 |  |
| Treasury Shares, at Cost                                                      | (150,163 | ) |   | (150,163 | ) |
| Accumulated Other Comprehensive Loss                                          | (15,258 | ) |   | (2,231 | ) |
|      Total Equity, including Noncontrolling Interest | 1,271,372 |  |   | 1,159,757 |  |
|                                                                          |   |   |   |
| Total Liabilities and Equity                                                  | $ | 3,233,901 |  |   | $ | 3,171,134 |  |
|                                                                          |   |   |   |

|                                                                      |
|----------------------------------------------------------------------|
|                                                                      |  |  |  |  |  |
| SHARES & UNITS OUTSTANDING, END OF PERIOD                        |   |   |   |
| (shares and units in 000s)                                           | As of |   | As of |
|                                                                 | 9/30/2011 |   | 12/31/2010 |
| Basic                                                                |   |   |   |
|      Shares                                 | 87,306 |  |   | 78,334 |  |
|      Operating Partnership Units (OP Units) | 7,249 |  |   | 7,300 |  |
|      Total Shares & OP Units            | 94,555 |  |   | 85,634 |  |

----

|                                                                                                              |
|--------------------------------------------------------------------------------------------------------------|
|                                                                                                              |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                                                                    |
| Financial Statements                                                                                         |
| Third Quarter 2011                                                                                           |
|                                                                                                         |   |   |   |   |   |   |   |
| CONSOLIDATED STATEMENTS OF OPERATIONS                                                                        |   |   |   |   |   |   |   |
| ($ in 000s, except per share data)                                                                           | Three Months Ended |   | Nine Months Ended |
|                                                                                                         | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Revenue                                                                                                      |   |   |   |   |   |   |   |
|    Minimum Rent                                                                               | $ | 79,073 |  |   | $ | 70,807 |  |   | $ | 229,782 |  |   | $ | 211,893 |  |
|    Tenant Recoveries                                                                          | 2,888 |  |   | 2,410 |  |   | 8,081 |  |   | 7,795 |  |
|    Other Property Related Revenue                                                             | 13,177 |  |   | 11,737 |  |   | 38,531 |  |   | 34,225 |  |
|    Other Non-Property Related Revenue                                                         | 1,967 |  |   | 2,614 |  |   | 5,950 |  |   | 8,912 |  |
|       Total Revenue                                                            | 97,105 |  |   | 87,568 |  |   | 282,344 |  |   | 262,825 |  |
| Operating Expenses                                                                                           |   |   |   |   |   |   |   |
|    Operating Expenses:                                                                        |   |   |   |   |   |   |   |
|       Property Operating Expenses                                              | 28,740 |  |   | 26,925 |  |   | 79,520 |  |   | 75,970 |  |
|       Taxes, Licenses and Insurance                                            | 10,556 |  |   | 9,419 |  |   | 31,641 |  |   | 30,506 |  |
|          Total Property Operating Expenses                      | 39,296 |  |   | 36,344 |  |   | 111,161 |  |   | 106,476 |  |
|    Property Management Expenses                                                               | 2,395 |  |   | 2,323 |  |   | 6,998 |  |   | 6,008 |  |
|    General and Administrative Expenses                                                        | 5,204 |  |   | 3,757 |  |   | 15,595 |  |   | 14,022 |  |
|    Management Fee and Other Expenses                                                          | 2,028 |  |   | 2,001 |  |   | 5,681 |  |   | 7,259 |  |
|    Investment and Development Expenses (1)                                                    | 458 |  |   | 9 |  |   | 1,437 |  |   | 42 |  |
|    Depreciation                                                                               | 31,147 |  |   | 29,359 |  |   | 92,895 |  |   | 87,563 |  |
|    Amortization                                                                               | 2,232 |  |   | 2,297 |  |   | 6,519 |  |   | 6,688 |  |
|    Impairment and Other Losses (2)                                                       | 100 |  |   | 131 |  |   | 2,344 |  |   | 914 |  |
|       Total Operating Expenses                                                 | 82,860 |  |   | 76,221 |  |   | 242,630 |  |   | 228,972 |  |
| Income from Operations                                                                                       | 14,245 |  |   | 11,347 |  |   | 39,714 |  |   | 33,853 |  |
|                                                                                                         |   |   |   |   |   |   |   |
| Other Income (Expense)                                                                                       |   |   |   |   |   |   |   |
|    Interest Expense                                                                           | (22,309 | ) |   | (20,854 | ) |   | (63,582 | ) |   | (61,957 | ) |
|    Debt Cost Amortization                                                                     | (1,218 | ) |   | (1,149 | ) |   | (3,516 | ) |   | (3,452 | ) |
|    Gain on Retirement of Debt                                                                 | — |  |   | — |  |   | — |  |   | 1,044 |  |
|    Interest Income                                                                            | 418 |  |   | 444 |  |   | 1,224 |  |   | 1,162 |  |
|    Loss from Partially-Owned Investments                                                      | (618 | ) |   | (687 | ) |   | (1,091 | ) |   | (23 | ) |
| Loss on Hedging Activities                                                                                   | — |  |   | — |  |   | — |  |   | (289 | ) |
|    Gain (Loss) on Sale of Property, net of Income Taxes of $ - (Q3) and $ - (YTD) in 2011 and |   |   |   |   |   |   |   |
|    $24 (Q3) and $117 (YTD) in 2010                                                            | 69 |  |   | (287 | ) |   | 13 |  |   | (947 | ) |
|    Income Tax Expense                                                                         | (221 | ) |   | (196 | ) |   | (740 | ) |   | (883 | ) |
|       Total Other Income (Expense)                                             | (23,879 | ) |   | (22,729 | ) |   | (67,692 | ) |   | (65,345 | ) |
| Loss from Continuing Operations                                                                              | (9,634 | ) |   | (11,382 | ) |   | (27,978 | ) |   | (31,492 | ) |
|                                                                                                         |   |   |   |   |   |   |   |
| Discontinued Operations                                                                                      |   |   |   |   |   |   |   |
|  Income from Discontinued Operations                                                                    | 402 |  |   | 250 |  |   | 947 |  |   | 1,031 |  |
|  Gain (Loss) on Disposal of Discontinued Operations                                                     | 23,681 |  |   | (347 | ) |   | 23,681 |  |   | (396 | ) |
| Income (Loss) from Discontinued Operations                                                                   | 24,083 |  |   | (97 | ) |   | 24,628 |  |   | 635 |  |
| Net Income (Loss)                                                                                            | 14,449 |  |   | (11,479 | ) |   | (3,350 | ) |   | (30,857 | ) |
|                                                                                                         |   |   |   |   |   |   |   |
| Noncontrolling Interest                                                                                      |   |   |   |   |   |   |   |
| Continuing Operations                                                                                        |   |   |   |   |   |   |   |
|    Noncontrolling Interest of Limited Partners                                                | (4 | ) |   | (1 | ) |   | (47 | ) |   | 110 |  |
|    Noncontrolling Interest in CRLP - Preferred                                                | (906 | ) |   | (1,813 | ) |   | (2,719 | ) |   | (5,438 | ) |
|    Noncontrolling Interest in CRLP - Common                                                   | 810 |  |   | 1,639 |  |   | 2,449 |  |   | 4,537 |  |
| Discontinued Operations                                                                                      |   |   |   |   |   |   |   |
|    Noncontrolling Interest in CRLP - Common                                                   | (1,850 | ) |   | 8 |  |   | (1,962 | ) |   | (62 | ) |
|    Noncontrolling Interest of Limited Partners                                                | — |  |   | — |  |   | — |  |   | (5 | ) |
| Income Attributable to Noncontrolling Interest                                                               | (1,950 | ) |   | (167 | ) |   | (2,279 | ) |   | (858 | ) |
|                                                                                                         |   |   |   |   |   |   |   |
| Net Income (Loss) Attributable to Parent Company                                                             | 12,499 |  |   | (11,646 | ) |   | (5,629 | ) |   | (31,715 | ) |
|                                                                                                         |   |   |   |   |   |   |   |
| Dividends to Preferred Shareholders                                                                          | — |  |   | (1,582 | ) |   | — |  |   | (5,649 | ) |
| Preferred Share Issuance Costs Write-off, net of Discount                                                    | — |  |   | (3,550 | ) |   | — |  |   | (3,550 | ) |
| Net Income (Loss) Available to Common Shareholders                                                           | $ | 12,499 |  |   | $ | (16,778 | ) |   | $ | (5,629 | ) |   | $ | (40,914 | ) |
|                                                                                                         |   |   |   |   |   |   |   |
| _________________________                                                                                    |   |   |   |   |   |   |   |
|                                                                                                         |   |   |   |   |   |   |   |
| Continued on following page                                                                                  |   |   |   |   |   |   |   |

----

|                                                                                                                                                                            |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                            |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                                                                                                                                  |
| Financial Statements                                                                                                                                                       |
| Third Quarter 2011                                                                                                                                                         |
|                                                                                                                                                                       |   |   |   |   |   |
|                                                                                                                                                                       | Three Months Ended |   | Nine Months Ended |
|                                                                                                                                                                       | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Income (Loss) per Share - Basic                                                                                                                                            |   |   |   |   |   |   |   |
| Continuing Operations                                                                                                                                                      | $ | (0.11 | ) |   | $ | (0.23 | ) |   | $ | (0.34 | ) |   | $ | (0.60 | ) |
| Discontinued Operations                                                                                                                                                    | 0.25 |  |   | — |  |   | 0.27 |  |   | 0.01 |  |
| EPS - Basic                                                                                                                                                                | $ | 0.14 |  |   | $ | (0.23 | ) |   | $ | (0.07 | ) |   | $ | (0.59 | ) |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Income (Loss) per Share - Diluted                                                                                                                                          |   |   |   |   |   |   |   |
| Continuing Operations                                                                                                                                                      | $ | (0.11 | ) |   | $ | (0.23 | ) |   | $ | (0.34 | ) |   | $ | (0.60 | ) |
| Discontinued Operations                                                                                                                                                    | 0.25 |  |   | — |  |   | 0.27 |  |   | 0.01 |  |
| EPS - Diluted                                                                                                                                                              | $ | 0.14 |  |   | $ | (0.23 | ) |   | $ | (0.07 | ) |   | $ | (0.59 | ) |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| (1)  Reflects costs incurred related to acquisitions and abandoned pursuits.  These costs are volatile and therefore may vary between periods.                             |
| (2)  For the nine months ended September 30, 2011, the Company recorded a $1.5 million charge for a loss contingency related to certain litigation, $0.6 million in        |
| casualty losses and $0.2 million in non-cash impairment charges.  The casualty loss is related to property damage at four of the Company's multifamily apartment           |
| communities.  Of the impairment charge, $0.1 million is related to sales of various for-sale residential units and $0.1 million is related to the sale of land outparcels. |
| For the nine months ended September 30, 2010, the Company incurred $0.8 million in casualty losses related to property damage at three of the Company's                    |
| multifamily apartment communities and $0.1 million in non-cash impairment charges related to the sales of various for-sale residential units.                              |

|                                                                                                                                                                |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                |  |  |  |  |  |  |  |  |  |  |  |
| SHARES AND UNITS OUTSTANDING, WEIGHTED                                                                                                                         |   |   |   |   |   |   |   |
| (shares and units in 000s)                                                                                                                                     | Three Months Ended |   | Nine Months Ended |
|                                                                                                                                                           | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Basic                                                                                                                                                          |   |   |   |   |   |   |   |
|    Shares                                                                                                                                       | 86,573 |  |   | 74,411 |  |   | 83,250 |  |   | 70,157 |  |
|    Operating Partnership Units (OP Units)                                                                                                       | 7,253 |  |   | 7,371 |  |   | 7,265 |  |   | 7,722 |  |
|    Total Shares & OP Units                                                                                                                  | 93,826 |  |   | 81,782 |  |   | 90,515 |  |   | 77,879 |  |
|                                                                                                                                                           |   |   |   |   |   |   |   |
| Dilutive Common Share Equivalents                                                                                                                              | — |  |   | — |  |   | — |  |   | — |  |
|                                                                                                                                                           |   |   |   |   |   |   |   |
| Diluted (1)                                                                                                                                                    |   |   |   |   |   |   |   |
|    Shares                                                                                                                                       | 86,573 |  |   | 74,411 |  |   | 83,250 |  |   | 70,157 |  |
|    Total Shares & OP Units                                                                                                                  | 93,826 |  |   | 81,782 |  |   | 90,515 |  |   | 77,879 |  |
|                                                                                                                                                           |   |   |   |   |   |   |   |
| (1)  For periods where the Company reported a net loss from continuing operations (after preferred dividends), the effect of dilutive shares has been excluded |
| from per share computations as including such shares would be anti-dilutive.                                                                                   |   |   |   |   |

----

|                                                                                                                                                                            |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                            |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                                                                                                                                  |
| Financial Statements                                                                                                                                                       |
| Third Quarter 2011                                                                                                                                                         |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| FUNDS FROM OPERATIONS (FFO) RECONCILIATION                                                                                                                                 |   |   |   |   |   |   |   |
| ($ in 000s, except per share data)                                                                                                                                         | Three Months Ended |   | Nine Months Ended |
|                                                                                                                                                                       | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Net Income (Loss) Available to Common Shareholders                                                                                                                         | $ | 12,499 |  |   | $ | (16,778 | ) |   | $ | (5,629 | ) |   | $ | (40,914 | ) |
| Noncontrolling Interest in CRLP (Operating Partnership Unitholders)                                                                                                        | 1,040 |  |   | (1,647 | ) |   | (487 | ) |   | (4,475 | ) |
| Total                                                                                                                                                                      | 13,539 |  |   | (18,425 | ) |   | (6,116 | ) |   | (45,389 | ) |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Adjustments - Consolidated Properties                                                                                                                                      |   |   |   |   |   |   |   |
|    Depreciation - Real Estate                                                                                                                               | 31,634 |  |   | 30,156 |  |   | 95,165 |  |   | 89,779 |  |
|    Amortization - Real Estate                                                                                                                               | 2,228 |  |   | 1,888 |  |   | 6,259 |  |   | 5,370 |  |
|    Remove:  (Gain)/Loss on Sale of Property, net of Income Tax and Noncontrolling Interest                                                                  | (23,751 | ) |   | 633 |  |   | (23,695 | ) |   | 1,343 |  |
|    Include:  Gain/(Loss) on Sale of Undepreciated Property, net of Income Tax and                                                                           |   |   |   |   |   |   |   |
|    Noncontrolling Interest                                                                                                                                  | 75 |  |   | (635 | ) |   | 6 |  |   | (1,276 | ) |
|          Total Adjustments - Consolidated                                                                                     | 10,186 |  |   | 32,042 |  |   | 77,735 |  |   | 95,216 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Adjustments - Unconsolidated Properties                                                                                                                                    |   |   |   |   |   |   |   |
|    Depreciation - Real Estate                                                                                                                               | 1,678 |  |   | 2,070 |  |   | 4,927 |  |   | 6,193 |  |
|    Amortization - Real Estate                                                                                                                               | 1,181 |  |   | 739 |  |   | 2,363 |  |   | 2,185 |  |
|    Remove:  Gain/(Loss) on Sale of Property                                                                                                                 | — |  |   | (23 | ) |   | 22 |  |   | (117 | ) |
|          Total Adjustments - Unconsolidated                                                                                   | 2,859 |  |   | 2,786 |  |   | 7,312 |  |   | 8,261 |  |
| Funds from Operations                                                                                                                                                      | $ | 26,584 |  |   | $ | 16,403 |  |   | $ | 78,931 |  |   | $ | 58,088 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Income Allocated to Participating Securities                                                                                                                               | (183 | ) |   | (125 | ) |   | (563 | ) |   | (465 | ) |
| Funds from Operations Available to Common Shareholders and Unitholders                                                                                                     | $ | 26,401 |  |   | $ | 16,278 |  |   | $ | 78,368 |  |   | $ | 57,623 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| FFO per Share                                                                                                                                                              |   |   |   |   |   |   |   |
|    Basic                                                                                                                                                    | $ | 0.28 |  |   | $ | 0.20 |  |   | $ | 0.87 |  |   | $ | 0.74 |  |
|    Diluted                                                                                                                                                  | $ | 0.28 |  |   | $ | 0.20 |  |   | $ | 0.87 |  |   | $ | 0.74 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Operating FFO:                                                                                                                                                             |   |   |   |   |   |   |   |
|    Funds from Operations                                                                                                                                    | $ | 26,401 |  |   | $ | 16,278 |  |   | $ | 78,368 |  |   | $ | 57,623 |  |
|    Less:  Transaction Income                                                                                                                                |   |   |   |   |   |   |   |
|               -Development and Land (Gains)/Losses                                                   | (75 | ) |   | 635 |  |   | (6 | ) |   | 1,163 |  |
|               -Bond Repurchase Gains, net of Write-off                                               | — |  |   | — |  |   | — |  |   | (755 | ) |
|               -Preferred Share Issuance Costs, net of Discount                                       | — |  |   | 3,550 |  |   | — |  |   | 3,550 |  |
| Operating FFO                                                                                                                                                              | $ | 26,326 |  |   | $ | 20,463 |  |   | $ | 78,362 |  |   | $ | 61,581 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| Operating FFO per Share                                                                                                                                                    |   |   |   |   |   |   |   |
|    Basic                                                                                                                                                    | $ | 0.28 |  |   | $ | 0.25 |  |   | $ | 0.87 |  |   | $ | 0.79 |  |
|    Diluted                                                                                                                                                  | $ | 0.28 |  |   | $ | 0.25 |  |   | $ | 0.87 |  |   | $ | 0.79 |  |
|                                                                                                                                                                       |   |   |   |   |   |   |   |
| FFO, as defined by the National Association of Real Estate Investment Trusts (NAREIT), means income (loss) before Noncontrolling Interest (determined in                   |
| accordance with GAAP), excluding gains (losses) from debt restructuring and sales of depreciated property, plus real estate depreciation and after adjustments for         |
| unconsolidated partnerships and joint ventures.  FFO is presented to assist investors in analyzing the Company's performance.  The Company believes that FFO               |
| is useful to investors because it provides an additional indicator of the Company's financial and operating performance.  This is because, by excluding the effect of      |
| real estate depreciation and gains (or losses) from sales of properties (all of which are based on historical costs which may be of limited relevance in evaluating        |
| current performance), FFO can facilitate comparison of operating performance among equity REITs.  FFO is a widely recognized measure in the Company's                      |
| industry.                                                                                                                                                                  |   |   |   |   |
|                                                                                                                                                                       |   |   |   |   |
| The Company defines Operating FFO as FFO excluding gains on the sale of land and development properties, gains on the repurchase of bonds, net of the                      |
| attributable write-off of future interest expense held in OCI, and gains on the repurchase of preferred shares/units, net of the write-off of issuance costs.  The Company |
| believes Operating FFO is an important supplemental measure because it provides a measure of operating performance.  While land and development gains or the               |
| repurchase of debt/preferred shares/units are components of the Company's current business plan, the timing and amount of these transactions can vary significantly        |
| between periods.                                                                                                                                                           |   |   |   |   |
|                                                                                                                                                                       |   |   |   |   |
| The Company's method of calculating FFO and Operating FFO may be different from methods used by other REITs and, accordingly, may not be comparable to                     |
| such other REITs.  Neither FFO nor Operating FFO should be considered (1) as an alternative to net income (determined in accordance with GAAP), (2) as an                  |
| indicator of financial performance, (3) as cash flow from operating activities (determined in accordance with GAAP) or (4) as a measure of liquidity nor is it             |
| indicative of sufficient cash flow to fund all of our needs, including our ability to make distributions.                                                                  |   |   |   |   |

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|------------------------------------------------------------------------|
|                                                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                              |
| Corporate Reconciliations                                              |
| ($ in 000s)                                                            |
|                                                                   |   |   |   |   |   |   |   |
| RECONCILIATION OF REVENUES                                             |   |   |   |   |   |   |   |
|                                                                   | Three Months Ended |   | Nine Months Ended |
|                                                                   | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Divisional Total Revenues                                              |   |   |   |   |   |   |   |
|    Multifamily - Same Property                          | $ | 74,764 |  |   | $ | 70,869 |  |   | $ | 220,113 |  |   | $ | 211,540 |  |
|    Multifamily - Non-Same Property (1)                  | 11,640 |  |   | 6,710 |  |   | 30,433 |  |   | 18,950 |  |
|    Commercial                                           | 19,626 |  |   | 19,477 |  |   | 58,450 |  |   | 60,789 |  |
|       Total Divisional Revenues          | 106,030 |  |   | 97,056 |  |   | 308,996 |  |   | 291,279 |  |
|                                                                   |   |   |   |   |   |   |   |
| Less:  Unconsolidated Revenues - Multifamily                           | (462 | ) |   | (662 | ) |   | (1,877 | ) |   | (2,573 | ) |
| Less:  Unconsolidated Revenues - Commercial                            | (6,813 | ) |   | (7,869 | ) |   | (19,918 | ) |   | (24,050 | ) |
| Discontinued Operations                                                | (3,617 | ) |   | (3,571 | ) |   | (10,807 | ) |   | (10,743 | ) |
| Unallocated Corporate Revenues                                         | 1,967 |  |   | 2,614 |  |   | 5,950 |  |   | 8,912 |  |
| Consolidated Revenue Adjusted - '10 Discontinued Operations (2)        | 97,105 |  |   | 87,568 |  |   | 282,344 |  |   | 262,825 |  |
| Add:  Additional Discontinued Operations Revenue, post filing (3)      | — |  |   | 3,571 |  |   | — |  |   | 10,743 |  |
| Total Consolidated Revenue, per 10-Q (4)                          | $ | 97,105 |  |   | $ | 91,139 |  |   | $ | 282,344 |  |   | $ | 273,568 |  |
|                                                                   |   |   |   |   |   |   |   |
| RECONCILIATION OF EXPENSES                                             |   |   |   |   |   |   |   |
|                                                                   | Three Months Ended |   | Nine Months Ended |
|                                                                   | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Divisional Total Expenses                                              |   |   |   |   |   |   |   |
|    Multifamily - Same Property                          | $ | 31,549 |  |   | $ | 30,950 |  |   | $ | 90,855 |  |   | $ | 91,179 |  |
|    Multifamily - Non-Same Property (1)                  | 5,713 |  |   | 3,542 |  |   | 14,576 |  |   | 10,052 |  |
|    Commercial                                           | 6,606 |  |   | 6,645 |  |   | 18,857 |  |   | 19,633 |  |
|       Total Divisional Expenses          | 43,868 |  |   | 41,137 |  |   | 124,288 |  |   | 120,864 |  |
|                                                                   |   |   |   |   |   |   |   |
| Less:  Unconsolidated Expenses - Multifamily                           | (218 | ) |   | (379 | ) |   | (941 | ) |   | (1,412 | ) |
| Less:  Unconsolidated Expenses - Commercial                            | (2,283 | ) |   | (2,663 | ) |   | (6,582 | ) |   | (7,895 | ) |
| Discontinued Operations                                                | (2,071 | ) |   | (1,751 | ) |   | (5,604 | ) |   | (5,081 | ) |
| Total Property Operating Expenses                                      | 39,296 |  |   | 36,344 |  |   | 111,161 |  |   | 106,476 |  |
| Property Management Expenses                                           | 2,395 |  |   | 2,323 |  |   | 6,998 |  |   | 6,008 |  |
| General & Administrative Expenses                                  | 5,204 |  |   | 3,757 |  |   | 15,595 |  |   | 14,022 |  |
| Management Fee and Other Expenses                                      | 2,028 |  |   | 2,001 |  |   | 5,681 |  |   | 7,259 |  |
| Investment and Development Expenses (5)                                | 458 |  |   | 9 |  |   | 1,437 |  |   | 42 |  |
| Impairment and Other Losses                                            | 100 |  |   | 131 |  |   | 2,344 |  |   | 914 |  |
| Depreciation                                                           | 31,147 |  |   | 29,359 |  |   | 92,895 |  |   | 87,563 |  |
| Amortization                                                           | 2,232 |  |   | 2,297 |  |   | 6,519 |  |   | 6,688 |  |
| Consolidated Expense Adjusted - '10 Discontinued Operations (2)        | 82,860 |  |   | 76,221 |  |   | 242,630 |  |   | 228,972 |  |
| Add:  Additional Discontinued Operations Expense, post filing (3) | — |  |   | 2,934 |  |   | — |  |   | 8,539 |  |
| Total Consolidated Expense, per 10-Q (4)                               | $ | 82,860 |  |   | $ | 79,155 |  |   | $ | 242,630 |  |   | $ | 237,511 |  |
|                                                                   |   |   |   |   |   |   |   |
| ________________________                                               |   |   |   |   |   |   |   |
| Continued on following page                                            |   |   |   |   |   |   |   |

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|                                                                                                                                                                 |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| COLONIAL PROPERTIES TRUST                                                                                                                                       |
| Corporate Reconciliations                                                                                                                                       |
| ($ in 000s)                                                                                                                                                     |
|                                                                                                                                                            |   |   |   |   |   |   |   |
| RECONCILIATION OF NOI                                                                                                                                           |   |   |   |   |   |   |   |
|                                                                                                                                                            | Three Months Ended |   | Nine Months Ended |
|                                                                                                                                                            | 9/30/2011 |   | 9/30/2010 |   | 9/30/2011 |   | 9/30/2010 |
| Divisional Total NOI                                                                                                                                            |   |   |   |   |   |   |   |
|    Multifamily - Same Property                                                                                                                   | $ | 43,215 |  |   | $ | 39,919 |  |   | $ | 129,258 |  |   | $ | 120,361 |  |
|    Multifamily - Non-Same Property (1)                                                                                                           | 5,927 |  |   | 3,168 |  |   | 15,857 |  |   | 8,898 |  |
|    Commercial                                                                                                                                    | 13,020 |  |   | 12,832 |  |   | 39,593 |  |   | 41,156 |  |
|       Total Divisional NOI                                                                                                        | $ | 62,162 |  |   | $ | 55,919 |  |   | $ | 184,708 |  |   | $ | 170,415 |  |
|                                                                                                                                                            |   |   |   |   |   |   |   |
| Less:  Unconsolidated NOI - Multifamily                                                                                                                         | (244 | ) |   | (283 | ) |   | (936 | ) |   | (1,161 | ) |
| Less:  Unconsolidated NOI - Commercial                                                                                                                          | (4,530 | ) |   | (5,206 | ) |   | (13,336 | ) |   | (16,155 | ) |
| Discontinued Operations                                                                                                                                         | (1,546 | ) |   | (1,820 | ) |   | (5,203 | ) |   | (5,662 | ) |
| Unallocated Corporate Revenues                                                                                                                                  | 1,967 |  |   | 2,614 |  |   | 5,950 |  |   | 8,912 |  |
| Property Management Expenses                                                                                                                                    | (2,395 | ) |   | (2,323 | ) |   | (6,998 | ) |   | (6,008 | ) |
| General & Administrative Expenses                                                                                                                           | (5,204 | ) |   | (3,757 | ) |   | (15,595 | ) |   | (14,022 | ) |
| Management Fee and Other Expenses                                                                                                                               | (2,028 | ) |   | (2,001 | ) |   | (5,681 | ) |   | (7,259 | ) |
| Investment and Development Expenses (5)                                                                                                                         | (458 | ) |   | (9 | ) |   | (1,437 | ) |   | (42 | ) |
| Impairment and Other Losses                                                                                                                                     | (100 | ) |   | (131 | ) |   | (2,344 | ) |   | (914 | ) |
| Depreciation                                                                                                                                                    | (31,147 | ) |   | (29,359 | ) |   | (92,895 | ) |   | (87,563 | ) |
| Amortization                                                                                                                                                    | (2,232 | ) |   | (2,297 | ) |   | (6,519 | ) |   | (6,688 | ) |
| Income from Operations                                                                                                                                          | 14,245 |  |   | 11,347 |  |   | 39,714 |  |   | 33,853 |  |
| Total Other Income (Expense)                                                                                                                                    | (23,879 | ) |   | (22,729 | ) |   | (67,692 | ) |   | (65,345 | ) |
| Loss from Continuing Operations (6)                                                                                                                             | (9,634 | ) |   | (11,382 | ) |   | (27,978 | ) |   | (31,492 | ) |
| Discontinued Operations                                                                                                                                         | — |  |   | 261 |  |   | — |  |   | 1,090 |  |
| Loss from Continuing Operations, per 10-Q (4)                                                                                                                   | $ | (9,634 | ) |   | $ | (11,121 | ) |   | $ | (27,978 | ) |   | $ | (30,402 | ) |
|                                                                                                                                                            |   |   |   |   |   |   |   |
| (1)  Includes operations from for-sale portfolio.                                                                                                               |
| (2)  Reflects total consolidated revenue and total consolidated expense (as applicable), adjusted to reflect discontinued operations classifications made after |
| filing of prior period financials.                                                                                                                              |   |   |   |   |   |   |   |
| (3)  Adjustment to prior period financials to reflect discontinued operations classifications made after filing of prior period financials.                     |
| (4)  For prior period, reflects total consolidated revenue, expense or (loss) income from continuing operations (as applicable) as presented in prior period    |
|  financials (i.e., excluding adjustment for discontinued operations classifications made after filing of prior period financials).                         |
| (5)  Reflects costs incurred related to acquisitions and abandoned pursuits.  These costs are volatile and therefore may vary between periods.                  |
| (6)  Loss from Continuing Operations before extraordinary items, noncontrolling interest and discontinued operations.  Adjustments for additional               |
| discontinued operations have restated prior periods in accordance with ASC 205-20.                                                                              |