UDR, Inc. Reports Tax Status of 2012 Dividends

  UDR, Inc. Reports Tax Status of 2012 Dividends

Business Wire

DENVER -- January 21, 2013

UDR, Inc. (NYSE: UDR), reported today the tax status of its 2012 dividends
paid to shareholders. Details on the classifications of the dividends are
included in the table below:

Payment        Distribution|     Ordinary     Qualified     Long-Term     Unrecaptured     Return
Date         Per Share       Taxable    Ordinary    Gain        Section 1250   of
                                 Dividend                                 Gain             Capital
Common shares:
1/31/2012      0.21500           19.932%      0.00%         21.237%       58.831%          0.00%
4/30/2012      0.22000           19.932%      0.00%         21.237%       58.831%          0.00%
7/31/2012      0.22000           19.932%      0.00%         21.237%       58.831%          0.00%
10/31/2012     0.22000           19.932%      0.00%         21.237%       58.831%          0.00%
               
Total          $0.87500
                                                                                                   
Preferred Shares Series E:
1/31/2012      0.33220           19.932%      0.00%         21.237%       58.831%          0.00%
4/30/2012      0.33220           19.932%      0.00%         21.237%       58.831%          0.00%
7/10/2012      0.33220           19.932%      0.00%         21.237%       58.831%          0.00%
10/31/2012     0.33220           19.932%      0.00%         21.237%       58.831%          0.00%
               
Total          $1.32880
                                                                                                   
Preferred Shares Series G:
1/31/2012      0.421875          19.932%      0.00%         21.237%       58.831%          0.00%
4/30/2012      0.421875          19.932%      0.00%         21.237%       58.831%          0.00%
               
Total          $0.84375
                                                                                                   

Shareholders of record of the Company's common and preferred stock will
receive an Internal Revenue Service Form 1099-DIV from Wells Fargo Shareowner
Services, the Company's 2012 dividend paying agent. The form will report the
dividends paid and the amounts designated as total ordinary dividends,
qualified dividends, total capital gains, unrecaptured section 1250 gains, and
nontaxable dividends. If shares were held in "street name" during 2012, the
IRS form will be provided by a bank, brokerage firm, or nominee. Because the
Company's tax return has not yet been filed for the year ended December 31,
2012, the dividend income tax allocations presented herein have been
calculated using the best available information to date.

The tax treatment of these dividends by state and local authorities varies and
may not be the same as the IRS's treatment. Because federal and state tax laws
affect individuals differently, the Company cannot advise shareholders on how
dividends should be reported on their tax returns. The Company encourages
shareholders to consult with their own tax advisors with respect to the
federal, state and local income tax consequences of these dividends.

About UDR, Inc.

UDR, Inc. (NYSE:UDR), an S&P 400 company, is a leading multifamily real estate
investment trust with a demonstrated performance history of delivering
superior and dependable returns by successfully managing, buying, selling,
developing and redeveloping attractive real estate properties in targeted U.S.
markets. As of September 30, 2012, UDR owned or had an ownership position in
54,985 apartment homes including 2,441 homes under development. For 40 years,
UDR has delivered long-term value to shareholders, the best standard of
service to residents and the highest quality experience for associates.
Additional information can be found on the Company's website at www.udr.com.

Contact:

UDR, Inc.
Chris Van Ens, 720-348-7762
cvanens@udr.com