<SUBMISSION>
<ACCESSION-NUMBER>0001047469-04-009589
<TYPE>424B3
<PUBLIC-DOCUMENT-COUNT>2
<FILING-DATE>20040326
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>AVALONBAY COMMUNITIES INC
<CIK>0000915912
<ASSIGNED-SIC>6798
<IRS-NUMBER>770404318
<STATE-OF-INCORPORATION>MD
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>424B3
<ACT>33
<FILE-NUMBER>333-87063
<FILM-NUMBER>04693516
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>2900 EISENHOWER AVENUE
<STREET2>SUITE 300
<CITY>ALEXANDRIA
<STATE>VA
<ZIP>22314
<PHONE>7033296300
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>2900 EISENHOWER AVENUE
<STREET2>STE 300
<CITY>ALEXANDRIA
<STATE>VA
<ZIP>22314
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>AVALON BAY COMMUNITIES INC
<DATE-CHANGED>19980618
</FORMER-COMPANY>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>BAY APARTMENT COMMUNITIES INC
<DATE-CHANGED>19931208
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>424B3
<SEQUENCE>1
<FILENAME>a2130887z424b3.htm
<DESCRIPTION>424B3
<TEXT>
<HTML>
<HEAD>

</HEAD>
<BODY BGCOLOR="#FFFFFF" LINK=BLUE  VLINK=PURPLE>
<BR>
<P><FONT SIZE=3 >
Use these links to rapidly review the document<BR>
<A HREF="#ho1160_toc"> TABLE OF CONTENTS</A><BR></font>
</P>

<P><FONT SIZE=3><B>Prospectus  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=4><B>3,000,000 Shares  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=4><B>
<IMG SRC="g836571.jpg" ALT="GRAPHIC" WIDTH="345" HEIGHT="123">
  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=4><B> Common Stock  </B></FONT></P>

<HR NOSHADE ALIGN="CENTER" WIDTH="72">
<P ALIGN="CENTER"><FONT SIZE=4><B>Dividend Reinvestment and Stock Purchase Plan  </B></FONT></P>

<HR NOSHADE ALIGN="CENTER" WIDTH="72">

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are offering shares of our common stock through our Dividend Reinvestment and Stock Purchase Plan. The plan provides you with an economical and
convenient way to purchase shares of our common stock. All holders of our common stock and preferred stock are eligible to participate in the plan even if the shares are held in the name of a broker,
bank or other nominee. Our common stock is listed on the New York Stock Exchange and the Pacific Exchange under the symbol "AVB." Some of the significant features of the plan are: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may purchase additional shares of common stock by automatically reinvesting some or all of your cash dividends on our common stock and preferred stock.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may also purchase shares of common stock by making optional cash payments of $100 to $100,000 per calendar quarter (or such greater amount as we may approve after
considering a Request for Waiver).
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may decide whether or not to participate in the plan, and you may terminate your participation, at any time.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>The
purchase price for newly issued shares of common stock that you purchase directly from us with either reinvested dividends or optional cash payments will be 100% of the
last reported sale price for a share of our common stock as reported by the NYSE on the applicable investment date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>The
purchase price for shares purchased directly from us with optional cash payments in excess of $100,000 made with a Request for Waiver will be 100% of the average of the
daily high and low sales prices of our common stock on the NYSE for the ten trading days immediately preceding the investment date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>Generally,
shares purchased through the plan will be newly issued shares purchased directly from us at the prices described above. However, we may announce before one or
more investment dates that shares purchased through the plan will be purchased from third parties, either in the open market or in privately negotiated transactions. In that event, the purchase price
will be the weighted average price per share paid by the plan administrator for all shares purchased for participants in the plan on the investment date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>We
will receive proceeds from the sale of newly issued shares of our common stock purchased by the plan administrator directly from us. However, we will not receive any
proceeds if the shares are purchased under the plan from third parties, either in the open market or in privately negotiated transactions.
<BR></FONT></DD></DL>
</UL>

<P><FONT SIZE=2>Any
investment in shares of our common stock involves risk. You should read "Risk Factors" beginning on page&nbsp;4 before enrolling in the plan or purchasing any shares of our common stock. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><I>Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed upon the accuracy or
adequacy of this prospectus. Any representation to the contrary is a criminal offense.</I></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B><I>The date of this prospectus is March 26, 2004.</I></B></FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=1,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=763120,FOLIO='blank',FILE='DISK022:[04WDC0.04WDC1160]BE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:53' -->
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="page_ca1160_1_2"> </A> </FONT></P>

<!-- TOC_END -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ca1160_summary_of_the_plan"> </A>
<A NAME="toc_ca1160_1"> </A>
<BR></FONT><FONT SIZE=2><B><I>Summary of the Plan    <BR>    </I></B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following summary of our Dividend Reinvestment and Stock Purchase Plan may omit information that may be important to you. You should carefully read the entire
text of the plan contained in this prospectus before you decide to participate in the plan. Unless the context otherwise requires, all references to "we," "us" or "our company" in this prospectus
refer to AvalonBay Communities,&nbsp;Inc., a Maryland corporation. </FONT></P>

<!-- User-specified TAGGED TABLE -->
<TABLE WIDTH="100%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
ENROLLMENT:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
If you currently own shares of our common stock or preferred stock, then you may participate in the plan by submitting a completed Authorization Form. You may obtain an Authorization Form from the plan administrator, Wachovia Bank, N.A. You may
participate directly in the plan only if you hold our stock in your own name. If your shares are registered in the name of a broker, bank or other nominee, you may arrange to have your broker, bank or other nominee participate on your
behalf.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
REINVESTMENT OF DIVIDENDS:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
You may purchase additional shares of common stock by reinvesting cash dividends on some or all of your shares of common stock and/or some or all of your shares of preferred stock.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
OPTIONAL CASH<BR>
PAYMENTS:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
You may purchase additional shares of common stock by investing amounts between $100 and $100,000 (or such larger amount as we may approve after considering a Request for Waiver) in any calendar quarter.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
SOURCE OF SHARES:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
The plan administrator will purchase shares of common stock in one of the following three ways:</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
directly from us as newly issued shares of common stock;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
from parties other than AvalonBay in the open market; or</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
from parties other than AvalonBay in privately negotiated transactions.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
PURCHASE PRICE:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
The purchase price of shares of common stock purchased under the plan depends on whether we issue new shares or the plan administrator obtains shares by purchasing them from third parties. Generally, we expect that we will sell newly issued shares to
the plan administrator, and the price you will pay for those shares will be determined as follows:</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><BR><FONT SIZE=2><I>Reinvested Dividends and Optional Cash Payments:</I></FONT><FONT SIZE=2> The purchase price for shares of common stock that the plan administrator purchases directly from us using either reinvested
dividends or optional cash payments will be 100% of the last reported sale price for shares of our common stock as reported by the NYSE on the applicable investment date.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2>&nbsp;</FONT></TD>
</TR>
</TABLE>
<!-- insert table folio -->
<P ALIGN="CENTER"><FONT SIZE=2>2</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=2,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=1014620,FOLIO='2',FILE='DISK022:[04WDC0.04WDC1160]CA1160A.;20',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ca1160_1_3"> </A>
<!-- end of table folio -->
<TABLE WIDTH="100%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><BR><FONT SIZE=2><I>Optional Cash Payments made with Requests for Waiver:</I></FONT><FONT SIZE=2> If we waive the maximum allowable amount that may be purchased per calendar quarter with optional cash payments, then
the purchase price for shares of common stock that the plan administrator purchases directly from us will be 100% of the average of the daily high and low sales prices of our common stock on the NYSE for the ten trading days immediately preceding the
investment date.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
We may announce before one or more investment dates, in a press release that we will issue and file with the SEC, that the plan administrator will purchase shares from parties other than AvalonBay, either in the open market or in privately negotiated
transactions. In such event, the purchase price per share will be the weighted average price per share actually paid by the plan administrator for all shares purchased for plan participants on the applicable investment date.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
TRACKING YOUR INVESTMENT:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
You will receive quarterly statements of the transactions made in your plan account as soon as practicable after each dividend payment date. These statements will show you:</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
any cash dividends reinvested and optional cash payments made to purchase shares of common stock;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
the number of shares purchased;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
the purchase price for the shares;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
the number of shares you hold in the plan;</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
the number of enrolled shares registered in your name; and</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>
&#149;</FONT></TD>
<TD WIDTH="1%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD WIDTH="62%" VALIGN="BOTTOM"><FONT SIZE=2><BR>
an accumulation of the transactions for the calendar year to date.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
ADMINISTRATION:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
Wachovia Bank, N.A. serves as the administrator of the plan. You should send all correspondence with the administrator to:</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
Wachovia Bank, N.A.<BR>
Attention: Shareholder Services Group<BR>
1525 West W.T. Harris Boulevard, 3C3<BR>
Charlotte, North Carolina 28262-1153</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
You may call Wachovia Bank, N.A. at (800) 829-8432.</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
CONTACTING US:</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
You may write to us at our principal executive offices:</FONT></TD>
</TR>
<TR VALIGN="TOP">
<TD WIDTH="31%"><FONT SIZE=2><BR>
&nbsp;</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2><BR>&nbsp;</FONT></TD>
<TD COLSPAN=3><FONT SIZE=2><BR>
AvalonBay Communities, Inc.<BR>
2900 Eisenhower Avenue, Suite 300<BR>
Alexandria, Virginia 22314<BR>
Attention: Chief Financial Officer<BR>
Our telephone number is (703) 329-6300.</FONT></TD>
</TR>
</TABLE>
<!-- end of user-specified TAGGED TABLE -->

<P ALIGN="CENTER"><FONT SIZE=2>3</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=2,SEQ=3,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=785535,FOLIO='3',FILE='DISK022:[04WDC0.04WDC1160]CA1160A.;20',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="page_cc1160_1_4"> </A> </FONT></P>

<!-- TOC_END -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="cc1160_risk_factors"> </A>
<A NAME="toc_cc1160_1"> </A>
<BR></FONT><FONT SIZE=2><B>Risk Factors    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT SIZE=2><I>Before you participate in our Dividend Reinvestment and Stock Purchase Plan and invest in our common stock, you should be aware that there
are risks in making such an investment, including those described below. You should consider carefully these risk factors together with all of the information included or incorporated by reference in
this prospectus before you decide to participate in the plan and purchase our common stock. This section includes or refers to forward-looking statements.</I></FONT></P>

<P><FONT SIZE=2><A
NAME="cc1160_risk_factors_related_to_an_inv__ris02751_1"> </A>
<A NAME="toc_cc1160_2"> </A>
<BR></FONT><FONT SIZE=2><B>Risk Factors Related to an Investment in AvalonBay through the Plan    <BR>    </B></FONT></P>

<P><FONT SIZE=2><B><I>You will not know the price at which you will be purchasing shares under the plan until several days after you have made an investment decision.  </I></B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you have enrolled in dividend reinvestment, you may not withdraw less than five business days before a dividend record date. If you elect to make optional cash
payments, you must send funds to the plan administrator at least two business days prior to the related investment date. Between the time that you decide to purchase shares through the plan and the
time of actual purchase, the price of our common stock may fluctuate, or other information may become available to you that would affect your investment decision. Accordingly, you bear the risk of
buying shares of our common stock through the plan at prices higher than you would otherwise be willing to pay, or under circumstances in which you would otherwise not invest in shares of our common
stock. </FONT></P>

<P><FONT SIZE=2><B><I>The price of our stock may decline between the time you decide to sell shares of stock in your plan account and the time that your shares are sold.  </I></B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Direct participation in the plan requires that you register shares of your stock with the plan administrator. If you decide to sell these shares, you may request
the plan administrator either to sell your shares or to issue certificates to you so that you may engage a broker to sell your shares. The plan administrator may take up to ten days to satisfy your
request. If the market price of our common stock declines during that time, you will have lost the opportunity to sell your shares at the highest possible price. </FONT></P>

<P><FONT SIZE=2><B><I>You will not be able to direct the time or price at which the plan administrator sells your shares.  </I></B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you request the plan administrator to sell the shares held in your plan account, you will not be able to direct the time or price at which your shares are
sold. Although the plan administrator will attempt in good faith to sell your shares without delay, we cannot assure you that the plan administrator will be able to sell your shares at the highest
possible price. Moreover, the plan administrator may sell your shares at a price that is lower than the price at which you would otherwise prefer to sell your shares. </FONT></P>

<P><FONT SIZE=2><A
NAME="cc1160_risk_factors_related_to__cc102514"> </A>
<A NAME="toc_cc1160_3"> </A>
<BR></FONT><FONT SIZE=2><B>Risk Factors Related to an Investment in AvalonBay Generally    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the risks relating to an investment in AvalonBay through the plan, there are additional risks related to an investment in AvalonBay generally. The
risks associated with an investment in AvalonBay include those risk factors that we identify and discuss in our reports and documents that we file with the SEC from time to time, including the
Company's Annual Report on Form&nbsp;10-K for the fiscal year ended December&nbsp;31, 2003 and subsequent annual and quarterly reports, and in other materials we may furnish to the
public from time to time through Forms 8-K or otherwise. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>4</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=4,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=739430,FOLIO='4',FILE='DISK022:[04WDC0.04WDC1160]CC1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_cc1160_1_5"> </A>
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="cc1160_where_you_can_find_more_information"> </A>
<A NAME="toc_cc1160_4"> </A>
<BR></FONT><FONT SIZE=2><B>Where You Can Find More Information    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We file annual, quarterly and current reports, proxy statements and other information with the SEC. You may read and copy any document we file at the SEC's Public
Reference Room at 450 Fifth Street, N.W., Washington, D.C. 20549. You may call the SEC at 1-800-SEC-0330 for further information on the operation of the Public
Reference Room. Our SEC filings are also available to the public from the SEC's Web site at http://www.sec.gov. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
SEC allows us to incorporate by reference the information we file with it, which means that we can disclose important information to you by referring you to these documents. The
information incorporated by reference is an important part of this prospectus, and information that we file later with the SEC will automatically update and supersede the information already
incorporated by reference. We are incorporating by reference the documents listed below, which we have already filed with the SEC, and any future filings we make with the SEC under Sections 13(a),
13(c), 14 or 15(d) of the Securities Exchange Act of 1934 until we sell all of the securities. </FONT></P>

<!-- User-specified TAGGED TABLE -->
<DIV ALIGN="CENTER"><TABLE WIDTH="63%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="BOTTOM">
<TH WIDTH="60%" ALIGN="LEFT"><FONT SIZE=1><B>AvalonBay Communities, Inc. SEC Filings<BR>
(File No. 001-12672)<BR> </B></FONT><HR NOSHADE></TH>
<TH WIDTH="3%"><FONT SIZE=1>&nbsp;</FONT></TH>
<TH WIDTH="37%" ALIGN="CENTER"><FONT SIZE=1><B>Period</B></FONT><HR NOSHADE></TH>
</TR>
<TR BGCOLOR="#CCEEFF" VALIGN="TOP">
<TD WIDTH="60%"><FONT SIZE=2>Annual Report on Form 10-K</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="37%"><FONT SIZE=2>Year ended December 31, 2003</FONT></TD>
</TR>
<TR BGCOLOR="White" VALIGN="TOP">
<TD WIDTH="60%"><FONT SIZE=2>Current Report on Form 8-K</FONT></TD>
<TD WIDTH="3%"><FONT SIZE=2>&nbsp;</FONT></TD>
<TD WIDTH="37%"><FONT SIZE=2>Filed February 13, 2004</FONT></TD>
</TR>
</TABLE></DIV>
<!-- end of user-specified TAGGED TABLE -->


<P><FONT SIZE=2>In
addition, we are incorporating by reference the description of our common stock from our Registration Statement on Form&nbsp;8-B filed June&nbsp;8, 1995. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B>You may request a copy of any of the information that is incorporated by reference in this prospectus, as well as any exhibit we have specifically incorporated by
reference as an exhibit in this prospectus, at no cost by writing us at the following address: AvalonBay Communities,&nbsp;Inc., 2900 Eisenhower Avenue, Suite 300, Alexandria, Virginia 22314,
Attention: Chief Financial Officer. Telephone requests may be directed to (703)&nbsp;329-6300.</B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
should rely only on the information incorporated by reference or provided in this prospectus or any prospectus supplement. We have not authorized anyone to provide you with different
information. We are not making an offer of these securities in any state where the offer is not permitted. You should not assume that the information in this prospectus or the documents incorporated
by reference is accurate as of any date other than the date on the front of this prospectus or those documents. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><B>AvalonBay Communities,&nbsp;Inc.  </B></FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>AvalonBay
Communities,&nbsp;Inc. focuses on the ownership and operation of apartment communities in high barrier-to-entry markets of the United
States. Our markets are located in the Northeast, Mid-Atlantic, Midwest, Pacific Northwest, and Northern and Southern California regions of the United States. We believe that we have
penetrated substantially all of the high barrier-to-entry markets of the country. A substantial majority of our current communities are upscale, commanding among the highest
rents in their submarkets. We also pursue the ownership and operation of apartment communities that target a variety of customer segments and price points, consistent with our goal to offer a broad
range of products and services. </FONT></DD></DL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2>5</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=2,SEQ=5,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=780264,FOLIO='5',FILE='DISK022:[04WDC0.04WDC1160]CC1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_cc1160_1_6"> </A>
<UL>
<UL>
</UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>Our
principal operating objectives are to develop, own and operate, in our selected markets, high-quality, upscale communities that contain features and
amenities desired by prospective residents, and to provide our residents with efficient and effective service. At February&nbsp;27, 2004, we owned or held a direct or indirect ownership interest in
131 operating apartment communities containing 38,504 apartment homes in ten states and the District of Columbia, of which two communities are under reconstruction. In addition, we owned or held a
direct or indirect ownership interest in eleven communities under construction that are anticipated to contain an aggregate of 3,493 apartment homes when completed.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>AvalonBay
is a Maryland corporation that is the surviving entity from the merger of Avalon Properties,&nbsp;Inc. with and into Bay Apartment Communities,&nbsp;Inc. on
June&nbsp;4, 1998. In October&nbsp;1998, we changed our name to AvalonBay Communities,&nbsp;Inc. Our common stock is listed on the NYSE and the PCX under the symbol "AVB."
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>AvalonBay
elected to qualify as a REIT for federal income tax purposes for the taxable year ended December&nbsp;31, 1994. As long as we qualify for taxation as a REIT, we
generally will not be subject to federal income tax on that portion of our ordinary income and capital gains that is currently distributed to our stockholders. Even if we qualify for taxation as a
REIT, we may be subject to state and local taxes on our income and property, to federal income and excise taxes on our undistributed income, and to federal and state income taxes on the income earned
by subsidiaries that are taxed as regular corporations. </FONT></DD></DL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="cc1160_terms_and_conditions_of_the_di__ter02979"> </A>
<A NAME="toc_cc1160_5"> </A>
<BR></FONT><FONT SIZE=2><B>Terms and Conditions of the Dividend Reinvestment<BR>  and Stock Purchase Plan    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following questions and answers constitute our Dividend Reinvestment and Stock Purchase Plan and explain how it works. Although our board of directors may
elect at any time to increase, decrease, eliminate or modify the payment of dividends on our stock, we currently expect to continue to pay quarterly cash dividends on shares of our stock in a manner
that is consistent with our past practices. If you are a stockholder and do not participate in this plan, you will continue to receive cash dividends in the usual manner, as we declare and pay them.
All references to "our stock" in this prospectus refer collectively to our common stock and all classes or series of our preferred stock (including any additional class or series of our preferred
stock that we may designate and issue in the future). </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>6</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=3,SEQ=6,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=860834,FOLIO='6',FILE='DISK022:[04WDC0.04WDC1160]CC1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="page_ce1160_1_7"> </A> </FONT></P>

<!-- TOC_END -->
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_general_information"> </A>
<A NAME="toc_ce1160_1"> </A>
<BR></FONT><FONT SIZE=2><B><I>General Information</I></B></FONT></P>

<P><FONT SIZE=2><B>1.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;What is the purpose of the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The purpose of this plan is to provide current owners of our stock with an economical and convenient way to invest in additional shares of our common stock. As a
current owner of our stock, you may reinvest cash dividends in additional shares of our common stock that the plan administrator buys directly from us without paying any brokerage commissions, service
charges or fees. In addition to reinvesting cash dividends, you may also purchase shares of common stock through quarterly optional cash payments. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Generally,
the shares you purchase under the plan will be newly issued shares that the plan administrator will purchase directly from AvalonBay. However, we may announce before an
investment date, in a press release that we will file with the SEC, that the plan administrator will purchase shares from parties other than us, either in the open market or in privately negotiated
transactions. As long as we elect to sell newly issued shares of common stock, the plan has the added benefit of providing us with additional funds for general corporate purposes. </FONT></P>

<P><FONT SIZE=2><B>2.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;What are the advantages of the plan?  </B></FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
will not pay any brokerage commissions, fees or service charges in connection with purchases of newly issued shares of common stock directly from AvalonBay.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may reinvest </FONT><FONT SIZE=2><I>all</I></FONT><FONT SIZE=2> cash dividends paid on your shares of our stock because the plan allows you to purchase fractional
shares of common stock. Account balances will be computed to three decimal places and dividends will be paid on fractional shares.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>If
you request, the plan administrator will send you certificates for shares purchased and credited to your plan account, or provide for the safekeeping of such certificates
against loss, theft or destruction. You pay no fee for this service.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>We
will send you periodic statements showing current account information, including purchases of common stock held in your plan account and your most recent plan account
balance. This simplifies your record keeping. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2><B>3.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;What are the disadvantages of the plan?  </B></FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>We
will not determine the purchase price of shares that you purchase under the plan until the applicable investment date. As a result, you will not know the actual price per
share or number of shares you will purchase until that date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>We
will not pay you any interest on dividends or optional cash payments held by the plan administrator before the applicable investment date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>In
the event we announce that shares purchased under the plan will be purchased from third parties, you will pay your pro rata share of any brokerage fees and transaction
costs incurred in connection with the purchase of shares using reinvested cash dividends. However, we may elect, in our sole discretion, to pay all or a part of these fees and costs to the extent that
they do not exceed 5% of the aggregate amount of the dividends reinvested. </FONT></DD></DL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2>7</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=7,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=580793,FOLIO='7',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_8"> </A>
<UL>
<UL>
</UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>In
the event we announce that shares purchased under the plan will be purchased from third parties, you will pay your pro rata share of all brokerage fees and transaction
costs incurred in connection with the purchase of shares using optional cash payments.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>If
your shares are registered in the name of a nominee or broker, the nominee or broker may charge commissions or fees for both shares purchased from parties other than
AvalonBay and newly issued shares. You will be responsible for these commissions and fees.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>If
you decide to purchase common stock through the plan using optional cash payments, you may be exposed to changes in market conditions for a longer period of time than if
you had arranged to buy shares through a broker.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>If
you request the plan administrator to sell common stock credited to your plan account, the plan administrator will deduct a transaction fee, any brokerage commissions and
any applicable stock transfer taxes from the proceeds of the sale.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may not pledge shares of common stock deposited in your plan account until the shares are withdrawn from your plan account. </FONT></DD></DL>
</UL>
<BR>

<P><FONT SIZE=2><B>4.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Who is eligible to participate in the plan?  </B></FONT></P>


<P><FONT SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Record Owners.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;If you own our stock in your own name as a "record owner" you are eligible to participate directly in this
plan. </FONT></P>

<P><FONT SIZE=2><I>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beneficial Owners.</I></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;You are a "beneficial owner" if your stock is held in a brokerage account or in the name of a bank, broker
or other nominee. If you are a beneficial owner, you may participate in the plan in one of two ways: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may participate directly in the dividend reinvestment feature of the plan by becoming a record owner. You may arrange this by having one or more shares of our stock
transferred into your name from that of your bank, broker or other nominee, or
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>You
may also ask the bank, broker or other nominee who is the record owner to participate on your behalf. Except for instructions received from brokers and bank nominees, we
cannot recognize instructions received from anyone acting as an agent on behalf of other participants in this plan. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2><B>5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Are there limitations on participation in the plan other than those described above?  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may, for any reason or no reason, decide not to allow you to participate in the plan even if you qualify for participation in this plan. For example, some
stockholders may be residents of jurisdictions in which we determine that it may not be legally or economically practical to offer our stock under this plan. We may preclude residents of those
jurisdictions from participating in this plan. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We
may also limit for federal income tax purposes participation by some stockholders in order to maintain our qualification as a real estate investment trust. To maintain our
qualification as a real estate investment trust for federal income tax purposes, not more than 50% in value of our outstanding stock may be owned, directly or indirectly, by five or fewer individuals
at any time during the last half of any year. Our charter generally prohibits ownership, directly, indirectly or by virtue of the attribution provisions of the Internal Revenue Code, by any single
stockholder of more than 9.8% of the issued </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>8</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=2,SEQ=8,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=966650,FOLIO='8',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_9"> </A>
<BR>

<P><FONT SIZE=2>and
outstanding shares of any class or series of our stock. In general, our charter provides that pension plans and mutual funds may actually and beneficially own up to 15% of the outstanding shares
of any class or series of our stock. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under
our charter, if you attempt to transfer or acquire any shares of our stock that would result in direct or indirect ownership of our stock in excess of these two limits, or if the
transfer or acquisition would for any other reason result in disqualification of AvalonBay as a real estate investment trust, the transfer or acquisition will be null and void. Our charter provides
that our stock subject to this limitation is subject to various rights of AvalonBay to enforce this limitation, including transfer of the shares to a trust. We may invalidate any purchases made under
this plan that, in our sole discretion, may violate either the 9.8% ownership limit or the 15% ownership limit. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may not transfer your right to participate in this plan except by transferring your interest in our stock to another person. </FONT></P>


<P><FONT SIZE=2><B>6.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Who administers the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Wachovia Bank, N.A., the transfer agent for our common stock and preferred stock, administers the plan for participants, maintains records, provides regular
account statements to participants and performs other duties relating to this plan. Shares of common stock purchased under the plan are held by Wachovia Bank, N.A. as your agent and are registered in
the name of Wachovia Bank, N.A. or its nominee, unless and until you request a stock certificate for your plan shares, as more fully described below in Question 36. You may write to the plan
administrator at: </FONT></P>

<UL>
<UL>
<UL>
<UL>
<UL>
<UL>
<UL>

<P><FONT SIZE=2>Wachovia
Bank, N.A.<BR>
Attention: Shareholder Services Group<BR>
1525 West W.T. Harris Boulevard, 3C3<BR>
Charlotte, North Carolina 28262-1153<BR></FONT></P>

</UL>
</UL>
</UL>
</UL>
</UL>
</UL>
</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may also telephone the plan administrator at (800)&nbsp;829-8432. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_your_choices_under_the_plan"> </A>
<A NAME="toc_ce1160_2"> </A>
<BR></FONT><FONT SIZE=2><B><I>Your Choices Under the Plan    <BR>    </I></B></FONT></P>


<P><FONT SIZE=2><B>7.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;What investment choices are available under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We offer you three ways of investing in additional shares of our common stock through the plan: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>First,
you may automatically reinvest all, part or none of the cash dividends paid on shares of AvalonBay stock that you own.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>Second,
you may make optional cash payments ranging from a minimum of $100 up to a maximum of $100,000 (or such greater amount as we may approve after considering a Request
for Waiver) per calendar quarter.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>Third,
you may invest both your cash dividends and optional cash payments. </FONT></DD></DL>
</UL>
<BR>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may reinvest 100% of your dividends under the plan because the plan permits you to purchase whole shares as well as fractional shares of common stock. In addition, we will credit
your account for dividends on both full and fractional shares, according to the investment option you select. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>9</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=3,SEQ=9,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=301758,FOLIO='9',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_10"> </A>

<P><FONT SIZE=2><B>8.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;How does the optional cash payment feature work?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Optional cash payments allow you to purchase more shares than you could otherwise purchase by only reinvesting your cash dividends. You may buy shares of our
common stock each quarter with optional cash payments after you submit a properly signed Authorization Form or Broker and Nominee Form. The plan administrator will use your optional cash payment to
purchase common stock for your plan account after it receives your cash payment. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may invest optional cash payments even if you have not chosen to reinvest your cash dividends. If you choose to make only optional cash payments, we will continue to pay cash
dividends when and as declared on any shares of our stock registered in your name, as well as on full and fractional shares held in your plan account. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may make your first optional cash payment when you enroll by enclosing a check with the Authorization Form or Broker and Nominee Form. Checks should be made payable to Wachovia Bank,
N.A., the plan administrator, and returned along with the Authorization Form or Broker and Nominee Form. Afterwards, you may make optional cash payments by completing the Cash Payment Form attached to
your account statement. If you use the Cash Payment Form, you must send the plan administrator a separate Cash Payment Form and a separate check for each transaction. The plan administrator will not
accept third party checks. We may, in the future, offer you the ability to make automatic quarterly cash payments electronically. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
any check you deliver to the plan administrator is returned unpaid, the plan administrator may consider the request for the investment of such money null and void and may immediately
remove from your account shares of common stock purchased with that payment. Checks should be made payable to Wachovia Bank, N.A. and should be made in United States currency drawn on a United States
bank. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>If you elect to make optional cash payments in any quarter, you must mail funds to the address indicated on the Authorization Form. If the plan administrator does
not receive your funds and Cash Payment Form at least two business days prior to the next investment date, then your optional cash payments will not be invested until the next investment
date.</I></B></FONT></P>

<P><FONT SIZE=2><B>9.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;What are the limitations on making optional cash payments?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may make optional cash payments at any time. However, your optional cash payments may not exceed $100,000 in any calendar quarter unless we approve your
Request for Waiver, as described in question 10. We will not accept optional cash payments of less than $100. You do not have to send the same amount of money each quarter, and there is no requirement
that you make an optional cash payment each quarter. </FONT></P>

<P><FONT SIZE=2><B>10.&nbsp;&nbsp;&nbsp;Is it possible for me to invest more than $100,000 per quarter in AvalonBay common stock?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes. If you submit a Request for Waiver Form and we approve your request, you may invest more than the $100,000 maximum in any calendar quarter in our common
stock. No pre-established maximum limit applies to optional cash payments that may be made pursuant to a Request for Waiver. You should submit your request along with funds just as you
would with an optional cash payment. However, you must send the Request for Waiver Form directly to us by registered or certified mail, </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>10</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=4,SEQ=10,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=510110,FOLIO='10',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_11"> </A>
<BR>

<P><FONT SIZE=2>return
receipt requested, and we must receive it at least 16 business days before the next investment date. Then, you must send funds for your optional cash payment to the plan administrator at least
five business days before the next investment date. We will promptly notify you whether we approved your request and, if approved, the amount of your request that we approved. To receive a Request for
Waiver Form, you should request the form from us by calling our Chief Financial Officer at (703)&nbsp;329-6300. </FONT></P>

<P><FONT SIZE=2><B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We may grant or deny any Request for Waiver for any reason or no reason.</B></FONT><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;If you and other participants request to invest
amounts that are, in total, more than what we would accept, we may
honor your request and the requests of other participants, in whole or in part, on a pro rata basis or by any other method we deem appropriate. </FONT></P>

<P><FONT SIZE=2><B>11.&nbsp;&nbsp;&nbsp;Are there any special terms relating to optional cash payments I may make with Requests for Waiver?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The purchase price for shares purchased with a Request for Waiver (i.e., the shares purchased using optional cash payments in excess of $100,000) will be 100% of
the average of the daily high and low sales prices of our common stock on the NYSE over the ten trading day period preceding the next investment date. For some investment dates, we may establish a
minimum price per share at which common stock will be sold upon receipt of optional cash payments made with Requests for Waiver. If we establish a minimum price, it will be stated as the per share
minimum purchase price that our common stock must equal or exceed, and it will be established in our sole discretion after a review of market conditions and other factors we deem relevant. If the
minimum price is not satisfied for a particular investment date, then we have the option in our sole discretion to return the optional cash payments made pursuant to a Request for Waiver without
interest. The establishment of a minimum price and the possible return of your investment applies </FONT><FONT SIZE=2><I>only</I></FONT><FONT SIZE=2> to optional cash payments made pursuant to a
Request for Waiver. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Question
10 describes the time periods applicable to optional cash payments made with a Request for Waiver. To obtain specific information for a specific investment date, please call our
Chief Financial Officer at (703)&nbsp;329-6300. </FONT></P>

<P><FONT SIZE=2><B>12.&nbsp;&nbsp;&nbsp;When must funds for optional cash payments be received by the plan administrator?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan administrator must receive funds for optional cash payments at least two business days prior to the next investment date. Funds for optional cash
payments will be invested quarterly on the next investment date. However, optional cash payments received after the second business day preceding the related investment date will not be invested until
after the next investment date. No interest will be paid on optional cash payments. We therefore suggest that your optional cash payments be sent so as to reach the plan administrator as close as
possible to, but in any event before, the second business day preceding the relevant investment date. The plan administrator will return to you any funds you send for optional cash investments if your
optional cash investment is less than $100. The plan administrator will also return funds for your optional cash payment that exceed the maximum allowable investment of $100,000 per calendar quarter,
unless we grant your prior Request for Waiver. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Neither we nor the plan administrator will pay you interest on funds you send for optional cash payments.</I></B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>11</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=5,SEQ=11,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=794609,FOLIO='11',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_12"> </A>

<P><FONT SIZE=2><B>13.&nbsp;&nbsp;&nbsp;Are there any expenses in connection with purchases under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You will not pay any brokerage commissions, service charges or fees on newly issued shares you purchase directly from AvalonBay under the plan. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
the event we announce before one or more investment dates that the plan administrator will purchase shares using reinvested dividends from parties other than AvalonBay, then you will
be responsible for paying your pro rata share of all brokerage fees and transaction costs in connection with these purchases. However, we may elect, in our sole discretion, to pay all or a part of
these fees and costs to the extent that they do not exceed 5% of the aggregate amount of the dividends reinvested. If we elect to do so, our announcement will describe how much of these fees and costs
we will pay. However, you will in any case be responsible for paying your pro rata share of any brokerage fees in connection with purchases of shares from parties other than AvalonBay using reinvested
dividends to the extent that such fees, together with other transactions costs, exceed 5% of the aggregate amount of the reinvested dividends. You will also be responsible for paying your pro rata
share of all brokerage fees incurred in connection with purchases of shares from parties other than AvalonBay using optional cash payments. However, we believe that you will generally pay a reduced
brokerage cost as a result of the larger bulk purchase made on behalf of all participants. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
your shares are registered in the name of a nominee or broker, such nominee or broker may charge a commission or fee for both shares purchased in the open market and shares issued by
AvalonBay. Any such commissions or fees will be your responsibility. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AvalonBay
pays all fees of Wachovia Bank, N.A. for administering the plan. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_participating_in_the_plan"> </A>
<A NAME="toc_ce1160_3"> </A>
<BR></FONT><FONT SIZE=2><B><I>Participating in the Plan</I></B></FONT></P>

<P><FONT SIZE=2><B>14.&nbsp;&nbsp;&nbsp;How may I participate?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you are a record owner of our stock you may join the plan by completing and signing an Authorization Form and returning it to the plan administrator or by
contacting the plan administrator at (800)&nbsp;829-8432. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you are a beneficial owner and wish to join the plan, you must contact your bank, broker or other nominee to arrange participation in the plan on your behalf. If you wish to
participate in the stock purchase feature of this plan, a Broker and Nominee Form must also be sent to the plan administrator for the bank, broker or other nominee to participate on your behalf. To
facilitate participation by beneficial owners, we have made arrangements with the plan administrator to reinvest dividends and accept optional cash payments under the stock purchase feature of this
plan by record owners such as brokers, banks and other nominees, on behalf of beneficial owners. You must make sure that the broker, bank or other nominee passes along the proceeds of any applicable
discount for purchases through the plan to your plan account. For information concerning how to obtain a Broker and Nominee Form, see Question 16. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Alternatively,
if you are a beneficial owner of our stock you may simply request that the number of shares of our stock you wish to be enrolled in this plan be reregistered by the bank,
broker or other nominee in your own name as record owner. You can then participate in the plan directly. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>12</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=6,SEQ=12,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=285538,FOLIO='12',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_13"> </A>
<BR>

<P><FONT SIZE=2><B>15.&nbsp;&nbsp;&nbsp;What alternatives does the Authorization Form provide?  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Authorization Form allows you to decide the extent of your participation in this plan. By checking the appropriate box on the Authorization Form, you indicate
which features of the plan you will use. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Full Reinvestment of Dividends</I></B></FONT><FONT SIZE=2>: Select this option if you wish to reinvest the dividends on all AvalonBay stock
registered in your name, as well as on all common stock credited to your plan account. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Partial Reinvestment of Dividends</I></B></FONT><FONT SIZE=2>: Select this option if you wish to reinvest the dividends on a specified number of
shares of AvalonBay stock registered in your name, as well as on all common stock credited to your plan account. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Reinvestment of Dividends and Optional Cash Payments</I></B></FONT><FONT SIZE=2>: Select this option if you wish to (1)&nbsp;reinvest the dividends
on a specified number of shares of AvalonBay stock registered in your name, as well as on all common stock credited to your plan account, and (2)&nbsp;make optional cash payments for common stock. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Optional Cash Payments Only</I></B></FONT><FONT SIZE=2>: Select this option if you wish to participate in the plan by making </FONT> <FONT SIZE=2><I>only</I></FONT><FONT SIZE=2> quarterly optional cash payments. You will continue to
receive cash dividends on all AvalonBay stock registered in your name, as well as on all
common stock credited to your plan account. </FONT></P>

<P><FONT SIZE=2><B>IMPORTANT:  </B></FONT></P>

<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2><B><I>If you return a properly signed Authorization Form to the plan administrator without any of the boxes checked, the plan administrator will
automatically enroll you in the full dividend reinvestment alternative (alternative (a)).</I></B></FONT><FONT SIZE=2>
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2><B><I>The plan administrator will not process your Authorization Form if the form does not have the proper signature(s).</I></B></FONT></DD></DL>

<P><FONT SIZE=2><B>16.&nbsp;&nbsp;&nbsp;What is the purpose of the Broker and Nominee Form?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you hold shares of our stock in a brokerage account, or through a bank or other nominee, then you must use a Broker and Nominee Form in order to participate in
the plan. The bank, broker or other nominee must send a Broker and Nominee Form to the plan administrator each time that it makes an optional cash purchase for you. Broker and Nominee Forms may be
obtained by contacting the plan administrator by mail or telephone at the address or telephone number given in question 6. </FONT></P>

<P><FONT SIZE=2><B>17.&nbsp;&nbsp;&nbsp;How may I change my method of participation?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may change your method of participation at any time by completing an Authorization Form and returning it to the plan administrator or by submitting a request
to the plan administrator. A change in your investment option will be effective on the next dividend payment date if the plan administrator receives the new Authorization Form at least one business
day before the related dividend record date. If the new Authorization Form is received on or after the related dividend record date, then the change will be effective on the dividend payment date for
the following quarter. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>13</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=7,SEQ=13,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=543170,FOLIO='13',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_14"> </A>
<BR>

<P><FONT SIZE=2><B>18.&nbsp;&nbsp;&nbsp;In whose name will plan accounts be maintained?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you enroll in the plan directly, the plan administrator will maintain your account in your name as shown on our records at the time you enroll. When issued,
certificates for full shares of common stock will be registered in your name as it appears on your plan account. </FONT></P>

<P><FONT SIZE=2><B>19.&nbsp;&nbsp;&nbsp;May I withdraw from the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes. The plan is entirely voluntary, and you may withdraw at any time by giving written notice to the plan administrator. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
the plan administrator receives your request to withdraw from the plan at least five business days before the applicable dividend record date for the next dividend, then the
withdrawal will be processed and you will once again receive cash dividends on whole shares you own. The plan administrator will refund optional cash payments that have not been invested if the plan
administrator receives your request for refund either prior to or at the same time your request for withdrawal is made. Otherwise, the plan administrator will invest your optional cash payments on the
next investment date. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
the plan administrator receives your request to withdraw from the plan less than five business days before the applicable dividend record date, then it will process your request as
promptly as possible following that investment date. </FONT></P>

<P><FONT SIZE=2><B>20.&nbsp;&nbsp;&nbsp;How do I withdraw from or re-enroll in the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In order to withdraw from the plan, you must notify the plan administrator in writing. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you withdraw from the plan, you may request the plan administrator to sell the stock credited to your plan account on your behalf. If you do not request the plan administrator to sell
your shares, it will send you certificates for whole shares of common stock in your plan account and a cash payment for any fractional shares. The plan administrator will generally not issue
certificates until approximately three business days after it receives your request. If the plan administrator receives your request to withdraw on or after the second business day before the
applicable dividend record date and before the related investment date, certificates will not be issued until approximately ten business days after the related investment date. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Generally,
you may elect to re-enroll in this plan at any time, simply by following the same procedures used to enroll initially. However, we may reject your Authorization
Form if we believe that you have enrolled in the plan and withdrawn too often. We would do this because we intend to
minimize unnecessary administrative expense and encourage the use of this plan as a long-term stockholder investment service. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_purchasing_stock_under_the_plan"> </A>
<A NAME="toc_ce1160_4"> </A>
<BR></FONT><FONT SIZE=2><B><I>Purchasing Stock Under the Plan</I></B></FONT></P>

<P><FONT SIZE=2><B>21.&nbsp;&nbsp;&nbsp;What is the source of the common stock that I purchase under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan administrator will generally purchase newly issued shares of common stock directly from AvalonBay. However, we may elect to have the plan administrator
purchase the common stock in the open market or in privately negotiated transactions. Each quarter we will decide how the plan </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>14</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=8,SEQ=14,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=1011980,FOLIO='14',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_15"> </A>
<BR>

<P><FONT SIZE=2>administrator
will purchase common stock. If we elect to have the plan administrator purchase the common stock from third parties, then we will issue a press release and file the press release with
the SEC. If we do not make any public announcement, then the source of the common stock that you will purchase under the plan will continue to be newly issued shares. </FONT></P>

<P><FONT SIZE=2><B>22.&nbsp;&nbsp;&nbsp;What will be the price of common stock that I purchase under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the plan administrator purchases common stock directly from us, the price per share will be: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>for
shares purchased with reinvested dividends and optional cash investments, 100% of the last reported sale price for our common stock as reported on the NYSE on the
applicable investment date.
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>for
shares purchased using optional cash payments pursuant to a Request for Waiver (i.e., the shares purchased using optional cash payments in excess of $100,000), 100% of
the average of the daily high and low sales prices for our common stock as reported on the NYSE for the ten trading days immediately preceding the applicable investment date. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
the event we announce in advance of one or more investment dates that the plan administrator will purchase shares of common stock from parties other than AvalonBay, either in the open
market or in privately negotiated purchases, then the price per share will be the weighted average of the actual prices that the plan administrator pays for all of the shares of common stock purchased
by the plan administrator for that quarter. In addition, as described in greater detail in Question 13, you will be responsible for brokerage fees and transaction costs incurred in connection with
shares purchased using optional cash payments, and you may also be responsible for all or a portion of these fees and costs in connection with shares purchased using reinvested dividends. </FONT></P>

<P><FONT SIZE=2><B>23.&nbsp;&nbsp;&nbsp;What is the "investment date"?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The investment date is the date or dates on which shares of our common stock are purchased with reinvested dividends and optional cash payments. The investment
date under the plan depends on how you purchase the shares and whether we issue new shares to you or the plan obtains your shares by purchasing them from parties other than AvalonBay. </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2><I>Reinvested Dividends:</I></FONT><FONT SIZE=2> If the plan administrator acquires shares directly from us, then the investment date for reinvested
dividends is the date or dates declared by our board of directors for the payment of quarterly dividends. This means that if you are reinvesting dividends declared on our common stock, then the
investment date is the date declared for the payment of quarterly dividends on our common stock. If you are reinvesting cash dividends declared on a particular class or series of our preferred stock,
then the investment date is the date declared for the payment of dividends for that particular series or class of our preferred stock. If our stock is not traded on the dividend payment date, then the
investment date shall be the next trading day. If the plan administrator acquires shares from parties other than AvalonBay either in open market or privately negotiated purchases, then the investment
date will be the date or dates of the actual purchases, but no later than ten business days following the date on which we paid the applicable cash dividend. The record date associated with a
particular dividend is referred to in this plan as a "dividend record date." </FONT></DD></DL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2>15</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=9,SEQ=15,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=341248,FOLIO='15',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_16"> </A>
<UL>
<UL>
</UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2><I>Optional Cash Payments:</I></FONT><FONT SIZE=2> If the plan administrator acquires shares directly from us, then the investment date for optional
cash payments will be the next common stock dividend payment date after the plan administrator receives your cash payment, provided that your cash payment is received at least two business days prior
to such next dividend payment date. If the plan administrator acquires shares from parties other than AvalonBay either in open market or privately negotiated purchases, then the investment date will
be the date or dates of the actual purchases, but no later than ten business days following the next investment date. Optional cash payments received after the second business day preceding an
investment date will not be invested until the following investment date. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2><B>24.&nbsp;&nbsp;&nbsp;When will investments be made under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan administrator will credit shares of our common stock purchased with reinvested dividends to your account on the applicable investment date for that
quarter. The plan administrator will credit shares to your account for optional cash payments on the next investment date after it receives your cash payment. However, the plan administrator must
receive your payment at least two business days before the next investment date in order to invest your payment on that investment date. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;When
the plan administrator makes purchases from parties other than AvalonBay, those purchases may be made on any securities exchange where shares of our common stock are traded, in the
over-the-counter market or by negotiated transactions. The plan administrator will make these purchases on terms that it approves. Neither we nor any participant will have any
power to direct the time or price at which the plan administrator purchases shares. However, if the plan administrator purchases shares in the open market or in negotiated transactions, it will
attempt in good faith to purchase the shares at the lowest possible price. </FONT></P>

<P><FONT SIZE=2><B>25.&nbsp;&nbsp;&nbsp;How many shares of common stock will I be purchasing through the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The number of shares of common stock that you purchase depends on several factors including: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>the
amount of dividends you reinvest, including dividends on stock credited to your plan account;
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>the
amount of any optional cash payments you make;
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>whether
the shares are purchased directly from us or from third parties, either in open market or privately negotiated transactions; and
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>the
market price of the common stock on the applicable investment date. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
plan administrator will credit your account with the number of shares equal to the total amount to be invested divided by the applicable purchase price. The only limit on the number
of shares available for purchase directly from us is the number of shares of common stock registered for issuance under the plan. </FONT></P>

<P><FONT SIZE=2><B>26.&nbsp;&nbsp;&nbsp;How will I be notified of my purchases of common stock?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The plan administrator will send you a quarterly account statement showing the activity and balance in your plan account. Your account statement will show the
number of shares purchased that </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>16</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=10,SEQ=16,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=298988,FOLIO='16',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_17"> </A>
<BR>

<P><FONT SIZE=2>quarter
and their purchase price. Your account statement will also show the total number of shares you purchased through the plan to date during the calendar year, as well as the total number of
shares held in your account as of the investment date. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
final quarterly statement for each year will show all pertinent information for that calendar year. You should keep this statement for tax purposes. The plan administrator may charge
you a fee if you request additional copies of your prior account statements. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_selling_shares_of_stock_held_in_your_plan_account"> </A>
<A NAME="toc_ce1160_5"> </A>
<BR></FONT><FONT SIZE=2><B><I>Selling Shares of Stock Held in Your Plan Account</I></B></FONT></P>

<P><FONT SIZE=2><B>27.&nbsp;&nbsp;&nbsp;How may I sell stock held in my plan account?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may sell some or all of your stock held in your plan account, whether or not you are withdrawing from this plan. You may sell your shares either through your
broker or through the plan administrator. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you elect to sell through a broker, you must first request the plan administrator to send you a certificate representing the number of shares you want to sell. The plan administrator
will generally issue certificates for your shares within three business days after it receives your request. If the plan administrator receives your request on or after a dividend record date but
before the related investment date, it will issue certificates approximately ten business days after the investment date. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Alternatively,
you may send the plan administrator a request to sell some or all of the shares held in your plan account. You will not be able to direct the date or price at which the
plan administrator sells your stock. The plan administrator will attempt in good faith to make the sale in the open market within three trading days after receiving your request. After the sale you
will receive the proceeds of the sale minus: </FONT></P>

<UL>
<DL compact>
<DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>a
brokerage commission;
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>any
applicable taxes; and
<BR><BR></FONT></DD><DT style='margin-bottom:-11pt;'><FONT SIZE=2>&#149;</FONT></DT><DD><FONT SIZE=2>other
fees incurred by the plan administrator that are allocable to the sale of the shares. </FONT></DD></DL>
</UL>

<P><FONT SIZE=2>You
may inquire about brokerage commissions or other fees by contacting the plan administrator. Although you can hold fractional shares in your plan account, you may only sell whole shares in this
manner. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
plan administrator will engage a broker to sell your shares, and the broker may be affiliated with the plan administrator. The plan administrator will mail you a check for the shares
you sell after it receives the funds from the brokerage firm. We provide all information regarding the sale of shares to the Internal Revenue Service. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you wish to sell some or all of the shares in your plan account, you should send a request to the plan administrator at: </FONT></P>

<UL>
<UL>
<UL>
<UL>
<UL>
<UL>
<UL>

<P><FONT SIZE=2>Wachovia
Bank, N.A.<BR>
Attention: Shareholder Services Group<BR>
1525 West W.T. Harris Boulevard, 3C3<BR>
Charlotte, North Carolina 28262-1153<BR></FONT></P>

</UL>
</UL>
</UL>
</UL>
</UL>
</UL>
</UL>
<P ALIGN="CENTER"><FONT SIZE=2>17</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=11,SEQ=17,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=198874,FOLIO='17',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_18"> </A>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B>Please remember that if you elect to sell your stock through the plan administrator, the price of our common stock may decline during the period between the plan
administrator's receipt of your request to sell your shares and the date of the sale in the open market. The plan administrator will attempt in good faith to sell your shares within three trading days
after receiving your request. You should carefully evaluate this risk, which you bear. You bear a similar risk between the time that you request a certificate and the time the certificate is actually
delivered to you.</B></FONT></P>

<P><FONT SIZE=2><B>28.&nbsp;&nbsp;&nbsp;What happens when I sell or transfer all of the shares of common stock held outside the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you sell or transfer all shares of AvalonBay stock registered in your name outside your plan account, the plan administrator, until you give other
instructions, will continue to reinvest the dividends on the common stock in your plan account according to your instructions on the Authorization Form. You may also continue to participate in the
optional cash payment feature of this plan as long as there is at least one whole share of common stock remaining in your plan account. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you direct the plan administrator to pay cash dividends on some of your stock and to reinvest dividends on the remaining shares, and you sell or transfer a portion of your shares, you
should provide new instructions to the plan administrator regarding payment of cash dividends and/or reinvestment of dividends. If the plan administrator does not receive new instructions, it will pay
cash dividends on all shares. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please
note that if your plan account holds less than one full share, we may close your account, liquidate the fractional share and send you a check representing the market value of the
fractional share that was in the account. </FONT></P>

<P><FONT SIZE=2><B>29.&nbsp;&nbsp;&nbsp;What happens to a fraction of a share of common stock when I withdraw from the plan or the plan is terminated?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;When you withdraw from this plan or this plan is terminated by AvalonBay, the plan administrator will mail you a cash payment for any fractional share of common
stock. The cash payment will be based upon the market price at the time the plan administrator processes your termination. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_owning_stock_in_the_plan"> </A>
<A NAME="toc_ce1160_6"> </A>
<BR></FONT><FONT SIZE=2><B><I>Owning Stock in the Plan</I></B></FONT></P>

<P><FONT SIZE=2><B>30.&nbsp;&nbsp;&nbsp;How will I be credited with dividends on stock held in my plan account?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We pay dividends to all holders of record of our stock, when and as declared. The plan administrator will receive and credit you with dividends for all stock you
hold in the plan, including fractional shares. The plan administrator will reinvest dividends in additional shares of our common stock or distribute dividends, according to your instructions. </FONT></P>

<P><FONT SIZE=2><B>31.&nbsp;&nbsp;&nbsp;Will I still receive AvalonBay's periodic reports and proxy statements?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes. We will send you the same information that we send to other stockholders, including annual reports, notices of stockholders' meetings, proxy statements, and
income tax information for reporting dividends paid. We will also send you copies of each prospectus and any amendments or supplements to prospectuses describing this plan. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>18</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=12,SEQ=18,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=292471,FOLIO='18',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_19"> </A>
<BR>

<P><FONT SIZE=2><B>32.&nbsp;&nbsp;&nbsp;May I have dividends on stock held in the plan sent directly to me?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you elect the partial dividend reinvestment alternative, you will receive cash dividends on the specified number of shares of stock registered in your name
outside the plan or held in your plan account. For purposes of the partial dividend reinvestment alternative, dividends will first be applied and paid on stock held in certificate form and then to
shares held in your plan account. Participants making only optional cash payments will have all cash dividends paid to them. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may withdraw from the plan by written notice. When the plan administrator issues a stock certificate to you, future dividends on these shares of common stock will be treated
according to the instructions on your Authorization Form. </FONT></P>

<P><FONT SIZE=2><B>33.&nbsp;&nbsp;&nbsp;What happens if AvalonBay issues a stock dividend or declares a stock split?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any
shares representing stock dividends (payable in common stock) or stock splits that we distribute on shares of our common stock credited to your plan account will be added to your
plan account. Shares representing stock dividends payable other than in our common stock will be paid to the plan administrator, which will distribute the shares in accordance with the interests of
participants in the plan. Shares representing stock dividends or split shares distributed on shares registered in your name will be mailed directly to you in the same manner as to stockholders who are
not participating in the plan. </FONT></P>

<P><FONT SIZE=2><B>34.&nbsp;&nbsp;&nbsp;If AvalonBay issues rights to purchase securities to the holders of common stock, how will the rights on plan shares be handled?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If we issue transferable rights to purchase additional shares of our common stock or any other securities to holders of our common stock, the plan administrator
will sell those rights (if such rights are detachable and saleable) relating to shares of common stock held by the plan administrator for participants and invest the proceeds in additional shares of
common stock on the next investment date. In the event that those rights are not detachable or saleable, the plan administrator will hold those rights for your benefit. If you wish to receive any
rights directly, you may do so by sending to the plan administrator, at least five business days before the record date for the rights offering, a written request that certificates for shares in your
plan account be sent to you. </FONT></P>

<P><FONT SIZE=2><B>35.&nbsp;&nbsp;&nbsp;How will the stock held under this plan be voted at meetings of stockholders?  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you own shares of stock registered in your name and return a properly completed and signed proxy card, the plan administrator will vote any stock held in your
plan account in accordance with the instructions on your proxy card. If no stock is registered in your name, stock credited to your plan account will be voted in accordance with instructions you give
on an instruction form which we will furnish to you. If you desire to vote in person at the meeting, a proxy for full shares of common stock credited to your account under this plan may be obtained
upon written request received by the plan administrator at least 15 business days before the meeting. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you return a properly signed proxy card or instruction form but no instructions are set forth thereon with respect to any item, all of your stock, both that registered in your name,
and that credited to your plan account, will be voted in the same manner as for non-participating stockholders who </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>19</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=13,SEQ=19,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=238414,FOLIO='19',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_20"> </A>
<BR>

<P><FONT SIZE=2>return
proxies and do not provide instructions with respect to that item. If the proxy card or instruction form is not returned or if it is returned unsigned, none of the participant's stock will be
voted unless the participant votes in person. </FONT></P>

<P><FONT SIZE=2><B>36.&nbsp;&nbsp;&nbsp;Will stock certificates be issued for common stock purchased under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Normally we will not issue certificates for shares that you purchase under the plan. Your account statement will show the number of shares held in your plan
account. In addition to minimizing the costs of this plan, this additional service protects against loss, theft, or destruction of stock certificates. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;However,
you may at any time request the plan administrator to issue a certificate for any whole number of shares of common stock, up to the number of full shares credited to your plan
account. The plan administrator will generally issue certificates approximately three business days after it receives your request. If the plan administrator receives your request on or after a
dividend record date and
before the related investment date, it will issue certificates approximately ten business days after the related investment date. Your request must be in writing, and you should mail it to: </FONT></P>

<UL>
<UL>
<UL>
<UL>
<UL>
<UL>
<UL>

<P><FONT SIZE=2>Wachovia
Bank, N.A.<BR>
Attention: Shareholder Services Group<BR>
1525 West W.T. Harris Boulevard, 3C3<BR>
Charlotte, North Carolina 28262-1153<BR></FONT></P>

</UL>
</UL>
</UL>
</UL>
</UL>
</UL>
</UL>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Future
dividends on any shares for which you request a stock certificate will be treated according to your instructions indicated on the Authorization Form. If you request certificates
for less than all of the stock in your plan account, any remaining full shares and fractional shares will continue to be reflected in your plan account. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>We will not issue certificates for fractional shares of common stock under any circumstances.</I></B></FONT></P>

<P><FONT SIZE=2><B>37.&nbsp;&nbsp;&nbsp;In whose name will certificates be registered when issued?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will issue stock certificates registered in your name as it appears on your plan account. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may ask the plan administrator to issue certificates in names other than the plan account name, but you must comply with any applicable laws and you must pay any applicable taxes.
You must make this request in writing, and your signature must be guaranteed by a qualified medallion guarantee member. </FONT></P>

<P><FONT SIZE=2><B>38.&nbsp;&nbsp;&nbsp;Is a safekeeping service available to hold my shares?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes. The plan administrator will hold your shares in safekeeping without cost, thus eliminating the worry about certificates being lost or stolen. Your account
statement will identify the number of shares of common stock you hold and the number of shares in your plan account. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
may also transfer other shares of our common stock that are registered in your name to your plan account at no cost. This eliminates the need for safekeeping of the certificates for
those shares. If you send certificates representing shares of common stock to the plan administrator, please send them </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>20</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=14,SEQ=20,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=114554,FOLIO='20',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_21"> </A>

<P><FONT SIZE=2>registered
mail or certified mail, return receipt requested, properly insured, because you will bear the risk if the certificates are lost or stolen in transit. You may mail certificates to the
following address: </FONT></P>

<UL>
<UL>
<UL>
<UL>
<UL>
<UL>
<UL>

<P><FONT SIZE=2>Wachovia
Bank, N.A.<BR>
Attention: Shareholder Services Group<BR>
1525 West W.T. Harris Boulevard, 3C3<BR>
Charlotte, North Carolina 28262-1153<BR></FONT></P>

</UL>
</UL>
</UL>
</UL>
</UL>
</UL>
</UL>

<P><FONT SIZE=2>When
necessary, you can simply request that certificates be issued as your needs require. </FONT></P>

<P><FONT SIZE=2><B>39.&nbsp;&nbsp;&nbsp;May I pledge shares in my plan account?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may not pledge any shares of AvalonBay stock that you hold in your plan account. Any pledge of shares in a plan account is null and void. If you wish to
pledge shares, you must first withdraw those shares from your plan account and request the plan administrator to issue certificates for those shares in your name. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_important_tax_consequences"> </A>
<A NAME="toc_ce1160_7"> </A>
<BR></FONT><FONT SIZE=2><B><I>Important Tax Consequences</I></B></FONT></P>

<P><FONT SIZE=2><B>40.&nbsp;&nbsp;&nbsp;What are the federal income tax consequences of participation in the plan?  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In general, if you enroll in the plan, as of the date of this prospectus, you will have the same federal income tax obligations with respect to reinvested
dividends as you would with dividends not reinvested under this plan. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
will be treated for federal income tax purposes as having received, on each investment date, a cash distribution equal to the full amount of the cash dividend payable on that date on
the shares of common stock held in your account and all other AvalonBay stock that you own. The Internal Revenue Code requires this treatment even though you never actually receive the reinvested
dividends in cash because your dividends are used instead to purchase shares of common stock. In the case of reinvested dividends used to purchase stock directly from us, your tax basis in common
stock acquired through dividend reinvestment will equal the amount treated as a distribution for federal income tax purposes. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If
you make optional cash payments, and the optional cash payments are used to purchase common stock directly from us, you will not recognize income for federal income tax purposes by
virtue of the purchase of common stock with the optional cash payments. The tax cost and basis of stock purchased with optional cash payments will be the amount you paid for such stock. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
federal income tax consequences to you of the payment by the plan of any brokerage fees and transactions costs that you would otherwise pay are not entirely clear. Private letter
rulings issued to other real estate investment trusts suggest that the following is the correct treatment, and tax reporting will be made accordingly. These private letter rulings, however, are not
binding on the Internal Revenue Service with respect to our plan. </FONT><FONT SIZE=2><B><I>Therefore, we strongly urge you to consult your own tax advisor in this regard.</I></B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
federal income tax treatment of purchases of common stock under the plan from third parties differs from purchases directly from us in the following manner. If you reinvest some or
all of your dividends, you will be treated as receiving a distribution in an amount equal to your pro rata share of any brokerage fees and transaction costs incurred in connection with the purchase
that we pay on your </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>21</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=15,SEQ=21,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=795195,FOLIO='21',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_22"> </A>
<BR>

<P><FONT SIZE=2>behalf.
Any amount treated as a distribution will be added to your tax basis in the common stock you acquire. If you make optional cash payments but do not reinvest any of your dividends through the
plan, you should not recognize income for federal income tax purposes by virtue of the fact that we pay part or all of your pro rata share of the brokerage and transactions costs. Your tax basis in
the common stock acquired should equal the amount you paid for the stock. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
holding period for stock purchased with dividends or optional cash payments begins on the day after the applicable investment date. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Distributions
with respect to your stock will generally be taxable as ordinary dividend income for federal income tax purposes to the extent made out of our current or accumulated
earnings and profits. Distributions in excess of our current or accumulated earnings and profits will be treated for federal income tax purposes as a return of capital. The amount of a return of
capital would first reduce the tax basis of the common stock to which the distribution is attributable to the extent of that tax basis, and the excess, if any, of the amount treated as a return of
capital over such tax basis would be treated as a gain from the disposition of such stock. In the event that we designate a part or all of the amount distributed as a capital gain dividend, the amount
so designated should be treated by you as long-term capital gain. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
will recognize gain or loss when a fractional share interest is liquidated or when you sell or exchange common stock. The gain or loss will equal the difference between the amount
you receive for the fractional share interest or the common stock and the tax basis for the fractional share or common stock. </FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>Tax consequences will vary depending on your specific circumstances. You should discuss specific tax questions regarding your participation in the plan with your
own tax advisor.</I></B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>We urge you to save your account statements in order to calculate your tax basis per share of common stock. The plan administrator will charge you a fee for
copies of past account statements.</I></B></FONT></P>

<P><FONT SIZE=2><B>41.&nbsp;&nbsp;&nbsp;What provision is made for stockholders subject to income tax withholding?  </B></FONT></P>


<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If you are a foreign stockholder whose dividends are subject to United States income tax withholding, or a domestic stockholder whose dividends are subject to
backup withholding taxes, the plan administrator will reinvest an amount equal to the dividend less the amount of any tax required to be withheld. Optional cash payments may also create a withholding
obligation with respect to any deemed distribution that results. We will have amounts withheld from dividends, and any other amounts required to be withheld, paid to the United States Treasury and the
respective participants will be advised of the amounts withheld. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign
stockholders who elect to make optional cash payments only will continue to receive cash dividends on stock registered in their names in the same manner as if they were not
participating in this plan. Funds for optional cash payments must be in United States dollars and will be invested in the same way as payments from other participants. Checks must be drawn on a United
States bank. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>22</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=16,SEQ=22,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=901758,FOLIO='22',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<A NAME="page_ce1160_1_23"> </A>
<BR>
<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_other_important_provisions"> </A>
<A NAME="toc_ce1160_8"> </A>
<BR></FONT><FONT SIZE=2><B><I>Other Important Provisions</I></B></FONT></P>

<P><FONT SIZE=2><B>42.&nbsp;&nbsp;&nbsp;May AvalonBay change or discontinue the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;While we currently intend to continue this plan indefinitely, we may amend, suspend, modify or terminate this plan at any time. We will provide notice of any
amendment, suspension, modification or termination. The plan administrator may resign at any time upon reasonable notice to AvalonBay in writing. We may elect and appoint at any time a new plan
administrator, including ourselves, to administer this plan. </FONT></P>

<P><FONT SIZE=2><B>43.&nbsp;&nbsp;&nbsp;What are the responsibilities of AvalonBay and the plan administrator under the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AvalonBay and the plan administrator will not be liable for any act done in good faith or for any omission to act, in good faith, including, without limitation,
any claim of liability arising out of failure to terminate a participant's plan account upon the participant's death prior to receipt of notice in writing of such death. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><FONT
SIZE=2><B><I>You should recognize that neither AvalonBay nor the plan administrator can assure you of a profit or protect you against a loss on the stock purchased or sold by
you under this plan.</I></B></FONT></P>

<P><FONT SIZE=2><B>44.&nbsp;&nbsp;&nbsp;Who interprets and regulates the plan?  </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any questions of interpretation arising under this plan will be determined by AvalonBay and any determination will be final. We may adopt rules and regulations to
facilitate the administration of this plan. The terms and conditions of this plan and its operation will be governed by the laws of the State of Maryland. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_use_of_proceeds"> </A>
<A NAME="toc_ce1160_9"> </A>
<BR></FONT><FONT SIZE=2><B>Use of Proceeds    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We will receive proceeds from the sale of newly issued shares of common stock purchased by the plan administrator directly from us. We intend to use the proceeds
from the sale of newly issued shares of our common stock for general corporate purposes, including the repayment of indebtedness, the acquisition and development of additional apartment home
communities, and/or the redevelopment of currently owned apartment communities. </FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We
have no basis for estimating either the number of shares of common stock that ultimately will be sold under the plan or the prices at which the shares will be sold. We will not
receive any proceeds under the plan from the purchase of shares of common stock by the plan administrator from parties other than us. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_experts"> </A>
<A NAME="toc_ce1160_10"> </A>
<BR></FONT><FONT SIZE=2><B>Experts    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ernst&nbsp;&amp;&nbsp;Young LLP, independent auditors, have audited our consolidated financial statements and schedules included in our Annual Report on
Form&nbsp;10-K for the year ended December&nbsp;31, 2003, as set forth in their report, which is incorporated by reference in this prospectus. Our financial statements and schedules are
incorporated by reference in this prospectus. Our financial statements and schedules are incorporated by reference in reliance on Ernst&nbsp;&amp;&nbsp;Young LLP's report, given on their authority as
experts in accounting and auditing. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2><A
NAME="ce1160_validity_of_the_common_stock"> </A>
<A NAME="toc_ce1160_11"> </A>
<BR></FONT><FONT SIZE=2><B>Validity of the Common Stock    <BR>    </B></FONT></P>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The validity of the shares of common stock offered by this prospectus has been passed upon for us by Goodwin Procter LLP, Boston, Massachusetts. </FONT></P>

<P ALIGN="CENTER"><FONT SIZE=2>23</FONT></P>

<HR NOSHADE>
<!-- ZEQ.=17,SEQ=23,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=809536,FOLIO='23',FILE='DISK022:[04WDC0.04WDC1160]CE1160A.;16',USER='WAVILES',CD='22-MAR-2004;09:47' -->
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<HR NOSHADE>
<HR NOSHADE>

<P><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You
should rely only on the information incorporated by reference or provided in this prospectus. We have not authorized anyone to provide you with different information. We are not
making an offer of these securities in any state where the offer is not permitted. You should not assume that the information in this prospectus or the documents incorporated by reference is accurate
as of any date other than the date on the front of this prospectus or those documents. </FONT></P>

<HR NOSHADE ALIGN="CENTER" WIDTH="72">
<P ALIGN="CENTER"><FONT SIZE=2><B>SUMMARY TABLE OF CONTENTS  </B></FONT></P>

<P><FONT SIZE=2>
<A NAME="HO1160_TOC"></A> </FONT></P>

<!-- User-specified TAGGED TABLE -->
<TABLE WIDTH="100%" BORDER=0 CELLSPACING=0 CELLPADDING=0>
<TR VALIGN="BOTTOM">
<TH COLSPAN=3 ALIGN="LEFT"><FONT SIZE=2>&nbsp;</FONT><BR></TH>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#ca1160_summary_of_the_plan"><FONT SIZE=2>Summary of the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#cc1160_risk_factors"><FONT SIZE=2><BR>
Risk Factors</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#cc1160_risk_factors_related_to_an_inv__ris02751_1"><FONT SIZE=2>Risk Factors Related to an Investment in AvalonBay through the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="95%"><A HREF="#page_cc1160_1_4"><FONT SIZE=2>You will not know the price at which you will be purchasing shares under the plan until several days after you have made an investment decision</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="95%"><A HREF="#page_cc1160_1_4"><FONT SIZE=2>The price of our stock may decline between the time you decide to sell shares of stock in your plan account and the time that your shares are sold</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="2%">&nbsp;</TD>
<TD WIDTH="95%"><A HREF="#page_cc1160_1_4"><FONT SIZE=2>You will not be able to direct the time or price at which the plan administrator sells your shares</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#cc1160_risk_factors_related_to__cc102514"><FONT SIZE=2>Risk Factors Related to an Investment in AvalonBay Generally</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#cc1160_where_you_can_find_more_information"><FONT SIZE=2><BR>
Where You Can Find More Information</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#cc1160_terms_and_conditions_of_the_di__ter02979"><FONT SIZE=2><BR>
Terms and Conditions of the Dividend Reinvestment and Stock Purchase Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_general_information"><FONT SIZE=2>General Information</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_your_choices_under_the_plan"><FONT SIZE=2>Your Choices Under the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_participating_in_the_plan"><FONT SIZE=2>Participating in the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_purchasing_stock_under_the_plan"><FONT SIZE=2>Purchasing Stock Under the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_selling_shares_of_stock_held_in_your_plan_account"><FONT SIZE=2>Selling Shares of Stock Held in Your Plan Account</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_owning_stock_in_the_plan"><FONT SIZE=2>Owning Stock in the Plan</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_important_tax_consequences"><FONT SIZE=2>Important Tax Consequences</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD WIDTH="2%">&nbsp;</TD>
<TD COLSPAN=2><A HREF="#ce1160_other_important_provisions"><FONT SIZE=2>Other Important Provisions</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#ce1160_use_of_proceeds"><FONT SIZE=2><BR>
Use of Proceeds</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#ce1160_experts"><FONT SIZE=2><BR>
Experts</FONT></A></TD>
</TR>
<TR VALIGN="BOTTOM">
<TD COLSPAN=3><A HREF="#ce1160_validity_of_the_common_stock"><FONT SIZE=2><BR>
Validity of the Common Stock</FONT></A></TD>
</TR>
</TABLE>
<!-- end of user-specified TAGGED TABLE -->

<P ALIGN="CENTER"><FONT SIZE=4><B>3,000,000 Shares  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=4><B>
<IMG SRC="g836571.jpg" ALT="GRAPHIC" WIDTH="207" HEIGHT="75">
  </B></FONT></P>

<P ALIGN="CENTER"><FONT SIZE=4><B> Common Stock  </B></FONT></P>

<HR NOSHADE ALIGN="CENTER" WIDTH="72">
<P ALIGN="CENTER"><FONT SIZE=3><B>PROSPECTUS  </B></FONT></P>

<BR>
<HR NOSHADE ALIGN="CENTER" WIDTH="72">
<P ALIGN="CENTER"><FONT SIZE=2><B>March 26, 2004  </B></FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=24,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=437679,FOLIO='blank',FILE='DISK022:[04WDC0.04WDC1160]HO1160A.;32',USER='WAVILES',CD='22-MAR-2004;09:51' -->
<HR NOSHADE>
<HR NOSHADE>
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<P ALIGN="CENTER"><FONT SIZE=2>
(This page has been left blank intentionally.) </FONT></P>

<HR NOSHADE>
<!-- ZEQ.=1,SEQ=25,EFW="2130887",CP="AVALONBAY COMMUNITIES, INC.",DN="1",CHK=730308,FOLIO='blank',FILE='DISK022:[04WDC0.04WDC1160]IB1160A.;1',USER='WAVILES',CD=';9-MAR-2004;07:37' -->
<!-- THIS IS THE END OF A COMPOSITION COMPONENT -->
<BR>
<!-- TOCEXISTFLAG -->
</BODY>
</HTML>

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>3
<FILENAME>g836571.jpg
<DESCRIPTION>G836571.JPG
<TEXT>
begin 644 g836571.jpg
M_]C_X``02D9)1@`!`0$!L`&P``#__@`U35),3%]'4D%02$E#4SI;059!3$].
M7T)!65U!5D%,3TY?0D%97T),04-+7TQ/1T\N15!3_]L`0P`'!08&!@4'!@8&
M"`@'"0L2#`L*"@L7$!$-$AL7'!P:%QH9'2$J)!T?*"`9&B4R)2@L+2\P+QTC
M-#@T+C<J+B\N_\``"P@`>P%9`0$1`/_$`!T``0`#`0$!`0$!```````````&
M!P@%!`,"`0G_Q`!5$``!`P,!!`0)`P\*`PD!```!`@,$``41!@<2(3$($U%A
M%!4B055Q@9/2,I&R%A<S-C="5G)U@I*AL;/1(R0U1E)B<W2$PU.#HAA#1%1D
MH\'"T_#_V@`(`0$``#\`TC2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*
M4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2H/M.VA6[9_;H<J7&7+?EO=
M6W';6$**0,J7DCD.'K)%3"!,CW"#'G1'`Y'D-I=:6.2DJ&0?F->BE*4I2E*\
MMSGQ+7;Y-QGO!F)&;+KKB@2$)`R3PXU4.H.D)HZWA:+5'G75X<BE'4M^U2^/
M_34QV3ZSD:ZTT]>Y$)J&1+<90TVLJPE(21DGF?*[!4WI2E*4I2HYJ?4KUA6T
MEO3-]NR5H*BNVL(="..,$%8.?4#5=2ND)I*)(<C2K+J!A]I12MIV,VE2#V$%
M>0:_#?2)T:ZL(;M-^6L\DI8;)/\`[E?5SI`Z4:3ON6/42$]JHJ`/IUT+3MWV
M?7!Q+;TV7`4K@#+C$)SZT;P'MJS;?.A7*(W,M\MF5&=&4.LK"TJ'<17II2E*
M4I2E*4I2L1[<-6+U9K>6\PLJMD!1AQ"/DJW3Y2A^,KCZMVKJZ,>K?&FF9&F9
M3F95K.\SD\5,*/\`]59'J*:O*E*4I2E*$`C!Y5F3I80(3$S3DUF*TW)D)D(=
M=0D!3@26]W/;C>/SU-^B_P#<W=_*+WT45<E*4I2E*4P*RATJ8$=C6%JG--I2
M]*A8=('RRA9`)[3@@>H"N_T3(<92-23U,I,E"F&DN$<4I(62`?-D@9]0K1ZD
MI4,*`([#QJLMJ.RNP:HLLR3!MS$.^-MJ6Q(80$=8H#.XL#@H'ED\1^JLR;+-
M>W+0^H6'D/N*M3S@3-BDG=6@\"H#S*3S![L<C6YT*2M"5I(4E0R"/.*_5*4I
M2E*4I2E5SMQU;]2FA99C.[ERN&8D7=^4"H>4H>I.>/:14!N6RCJM@[4%,8^/
MHP\:KPGRBX4^6W[&\)QVI%49LSU0YH_6EMO0*C'0OJY*1]\RK@KYN8[P*WHR
MZV\TAYI:5MK2%)4DY"@>((J#ZFVIZ/TQ=7+7>I<N-*;\QA.E*AC.4J`PH<>8
MKF,;;]GLAY#$>Y2W75G"4(@/*4H]@`3QJP+-<H]WMS-PBMR$,NYW4R&%,K&"
M1Q0H`CEYQ4=U7M"TWI.26+VY-8P$GK4PG5M'/(;X3NY[LU\=*;3-)ZLN7BZQ
MRI4E_=*E'P-Q*$`#/E*(P.7#/.OMJW:-I#2;O@UVN[8F\/YHPDNN\>64I^3G
MOQ47D[;;!#0'YNG-4189(`DO6\);.>7$JJ:Z0UIIO6$9;]AN3<@M_9&2"AQO
M\9!XCU\N^I'6;>EO_53_`%7^U4NZ+_W-W?RB]]%%7)4%U+M2T;IZ:;<_<53+
MB%;IB0&R^X#V''`'N)S7!?VWZ=A*3XVL.I;:TLX2[+M^XD_]6:F^E=8Z:U8P
MIZP79B7N#*VP2EQ'XR%84/7C%2`D)&2<#M-0S4NTW1&G$K%PO\5;Z?\`P\97
M7.9[,)SCVXKLR=3V2%IYC4-QG-P;<\RAY*Y!"3A20H#'G5@\ADU6TCI"Z$:E
M=0VS=WF\XZ]$9(3Z\*4%?JJR-)ZIL>K;9XRL4Y$I@*W5C!2MM7]E23Q!KN5E
MOI8?;#8/\FY].NYT2_Z/U/\`XT?Z*ZT17PG2F8,*1-DK"&&&U.N*/)*4C)/S
M"O\`/!IA^ZW9$>&RI<B6_N--)XDJ6K@/UU_H9;(QAVZ)$4K>++*&RKMW4@9_
M57EO]^LVGH)GWNY1X,8'`6\O&\>P#FH]PR:@!VU:;?"W+39=1W:.@D%^%;BI
MOYR1^RO?I;:_HG4<Y%N9G.P9RU;J&)[?5%2N6Z#DISGS9S4XNUQCVFVR;E+Z
MWP>.@K7U3:G%8'8E/$^RJY.W39P"0;M(!'_HG?AKK:?VIZ1U%-:AV=^?*<<<
M#>\B`]N))Y;RMW"1WFIG<)C4""_->2ZIIA!<4EILN+('8E.23W"J[D[;=G\5
M]<>3<9C+R#A3;D!Y*DGO!3D5.=.7R!J*T,7>V*=5$?SU:G6E-E0!QG"@#BNI
M2E*SO)4-J&W9J,!UNG],Y*\C*7%I5Q_2<`'>E%:'(R,5AK;+I,Z1UW.ALM[D
M"2?"HF!P#:B?)_-.4^P5H?HY:M\?Z*%HDNA4ZSD,$$\5,G[&?9@I_-%2?:YH
M]G66C)L%+*5W%A!?@KQY270,[H/8H#=/K'963]C5]9TWM(L\R8`EA;AC.E0^
MQAP%&]W8)&>[-;H%5IM^O;%GV:W)I:4K?N.(3*#QRI7$G'<D$^O%>*R6>5LY
MV(RUP(X3>F[>Y,?4$Y(?4G))[=P8'YM4YT;(YNFTR3/GL&8XU#=?+[OEE#I6
MD;Y)^^.5<>?$UK:3'8E1W8TEI#S#J2AQMP;R5I/,$'F*Q-`G.;/=L;WBYQ28
MT&Z+C*2#\N.7-TI/;Y/ZP#6WJS;TM_ZJ?ZK_`&JEW1?^YN[^47OHHKA](G:7
M*M"AH^PR5,RW&PN=(;.%-H4.#:3YB1Q)[,=IJ<[&M!0-(:8B2'(R#>YC*79;
MZAE:2H9ZL'S)&<<.9R:GT^##N,-V%/C-28SR=UQIY(4E0["#6--INGIVRW:"
MV_8);\9AP>%0'DJ\IM.2"V3Y\'A@\P1GG6@[`;#MFT';YEY9=ZQE:D2&6)"F
MPV^!@\CQ!!"@#GG65]I>G&-):WNU@B/+=C1EI+2G,;VZI`4`<<R`K&>ZM':1
MV7MZFM%HO6OK@[=3X$R(=O9<4U'BM;@W1P(*E8QDY''MKR;4=BFE_J7GW33,
M)5ON$)E3X;0ZI3;R4C*DD*)P<`X(QQYU5W1MO3]MVCL6X.$1[FRXRXD\BI*2
MM!]>4D?G&MCUEOI8?;#8/\FY].N-L(VA6K1$.\M7&WW.4J6XTI!A,I6$[H4#
MO94,<ZM.7T@M-LLEQO3VH%$?\1A"!\^\:J?7VV"\:\0+#'\&L%G?5AY3CBEE
MP=BU)23N]R4^O-6EL.V<Z2M83J*/?(>H+HD82Y'(+44GGNI/E;W]Y6#CD!5X
M>:L4[:KI=;YM4N$&8EUQ$22(D6+DX".&-T=J\YSY\CNK9\*+'A1&8D5A#$=I
M`0VTV,)0!Y@!67^E198<"_V:]164-/SVG$2"@8WU-E.%'OPO&>X5=6Q;4,G4
MNSJU3ISBG)C05&><5S6I!P%'O*=TGOS5$=)G2#5FU+&U%!8#<2Z@A\)'`2$\
MSW;P(/K"JL?HNWF+,T3*LZ4H1*M\I2E@<"M#G%*CVG(4/8*NVL\Z@M$'7/2,
M:A*CH<@V6(VN=Y.0XI&5!*NWRG$)/<"*T*```!R%?VE*@NV'5OU'Z&G3V70F
MX/CP:&,\>L5]\/Q1E7L%41L;VG:.T'8)+$^%=7[K,?+DAYEI"D[HX(2"5@G`
MR>7-1JQ/^T;HKT9?/<M?_I5:;:=H^CM?V>&FWPKHQ=83I+3C[380IM0\M)(6
M3YDD</-WU$-C>K#I#74&:\YNP))\%EY/`-J(\H_BG"O8:W,"",@\#6*MO6EC
MIG7\MUAO<@W+^>,8Y`J/EI]BLGU$5I[8_J@:LT%;;@XYO3&4>#2^.3UJ.!)_
M&&%?G5!=5)^KO;E:-.@%RTZ;;\,F#FE3IPH)/;QZL?I5>"T)6A2%I"DJ&"",
M@BHQ.EZ)T!!=EOIM5C8>.5!II+:GB.Q*1E9]0-1*/M-O&IE*1H'1TRX,9W?&
M-P4(T8=I'G5ZA@]U98U[XP^KR^>-3&-P\/<\(\&WNJW][CN[W'&>6:WVU]C1
MZA6;^EO_`%4_U7^U4NZ,'W-G?RB]]%NLUWF>=0;2),Z6=],RZY(/F07<`>Q.
M!6]QRK^U0G2NMR'=,66Z;@+D>:IC>QQ"5H)_:V*XG1-GN"1J.V%1+10R^D=A
M!4D_."GYJKOI`?=;O_\`R/W"*U_HK[3K!^3H_P"Z37HU)]KUU_RCWT#6+]AG
MW5].?XR_W2ZW&.0K+?2P^V&P?Y-SZ==SHE_T=J?_`!H_T5UH<I"AA0!'8:K[
M7NRK2VKH+W\P8@7,I):G1FPA05YM\#`6.W/'L(K(#<C4&@]5OHC2G(5UM[ZF
MEJ:5P)2>(/F4D]AX$5M79IJUO6ND(5\#:6GU9:DM)Y(=3P4!W'@1W$5UIUIT
M^F;X^GVZW"9'3O>'/,H"VP!SZPC(`[<U!KCMAL"YYM6E8,_4UR_X=N:_DQWE
MP\,=X!%4OTAI6L)J-/2=4VNWVQ"O"/!8L=XO.H'\GO=8KY)/R<;O?5I]%_[F
M[OY1>^BBIAM:TN-7:%N=K;1O2T(\(B]O6HX@>T93^=66-A>ISI?:'"\(7U<.
M>?`I&\<!.\?))]2PGV9K9UYN,>T6B;=91PQ$86^YQ\R4DG]E53T=K7)<LMVU
MG<@3/U!,6]O*''JTJ/[5%7L`JXZ4I69]>OJVG[:K;I"*LKL]I64R%)/DG=\I
MY7Z@V._UUHU-N@)2$B%'``P`&D\!\U?WQ?!_\G']TG^%?EVUVYUI;3D&,I"T
ME*DEI."",$<JPGM+TNYH_6=QLI"O!T+ZR,M7W[*N*3WX'`]X-:LV#:M^JG0D
M9N0Z%7"V8B2.U0`\A9]:?UI->+I$Z5.H=".W".WO3;0HR48'$MXPXGYL*_-J
MF.C_`*\CZ2FWJ%<WMVWOQ%R4`G_OFDDX'>I.1WD"KFV`6>2G3\_5]T&;IJ.2
MJ4M1YAO>.Z/425'U$5+-IVKVM$:1EWHMI=DY#,5I7);JN6>X`$GN%4'L:TX[
MM/U5<M5:S?7<F890.J=/DNN*R0G`X!"0/DCAQ'FSG4[333#2&66T-MH2$H0@
M8"0.0`'(5@_:C]TW4OY3>^G6\6OL:/4*S?TM_P"JG^J_VJEW1@^YL[^47OHM
MUF'6=N?L&M;Q;U)W'(DUP([QO90?:"#6\=/7-J]6*W79A0+<R.V\G!Y;R0<>
MSE71JE>E)(:;V?0V%'^4>N3>Z/4A9)_9\]1OHGVEU+&H+XX@AIQ345I7:1E2
M_P!J*K/I`?=;O_\`R/W"*U_HK[3K!^3H_P"Z37HU)]KUU_RCWT#6+]AGW5].
M?XR_W2ZW&.0K+?2P^V&P?Y-SZ==SHE_T?J?_`!H_T5UHBAY5AW;J\P_M6U$N
M/C<#K:%8_M):0%?K!J\NBRT\QH*Y2'CNL.7%:D;QX8#:`H^K/[*K#5VK;QM;
MU_$TO`F*C6)V6&8[2>2D@G+RQ]\<`D`\!R[2=1Z4TO9-*6INV62$B.R`-]6,
MK=5_:6KFH_\`\,"J)Z6W]5/]5_M5+NB_]S=W\HO?115R5B;;MI<Z6V@S%1T=
M7"N'\\C[O`)WCY:1ZE9]A%6=JS6\C5^Q_3=IA.;][U!*;MSZ1SWFR.L/J)ZL
M^I57W8;7'LEE@6B(,1X;"&4=X2,9]O.NA2E5]M5VAVS1FGI2FI;+MZ=041(J
M5A2PL\-]0\R4\^//&*J;HLO6D7'4$J;-;%Y>#:&TNK`6MLDJ61GY65;N?4.V
MM-`@C(.12A(',UF+I5N69^=8E1I3+EV;0ZV^VVH*4EKR2G>QRXE6,]IJO=BV
MN1H?5@?F;_BJ:D,2PD9*!G*7,>?=/ZB:VC"FVR]V\/PI4:="?01O-+#B%I(X
MCA6++OL\F1]K)T/'"@A^6`PYS_FZO*"^_",Y[TFMM0(D>!"CPHK8;CQVTM-(
M')*4C`'S"JFZ2]DFW;9\B3";6[XNEIDO(2,_R>ZI)5CNW@?5DU4&P#:+:]&3
M;A;;\M;-OGE"TR$H*@TXG(\H#C@@\QG&!5]W#:WI)(1&L4AV_P!T>X,0;<TI
M:W#WG&$CM)Y#S5D;:"W>&-<7A5_C(C7-R27WV6U92@K\O`/G&".-;*TSM#TY
MJ69#@6)YZ<XXQUSZFFCN1!C@'5'&"3P`&3GNXU272LNL"9<M/VZ+);>DQ6WU
MOI;4%=7OE`2#CD?(/"I;T7+M;U:,F6GPEM,YF<MU3*E`**%)1A0'G&01[*_'
M2`V7RM1[NJ=/,%ZYLMA$J,GY4A`Y*3VK`X8\XQCB,&.;`]J$.R1?J-U2_P"!
MMM.*\#DODI2WDY4TLGY/')!/:0<<*T:]=+:Q",]Z?%;AA.\7UO)#8';O9QBL
MR[0)ETVT:WBV7232W+);<I5-6DAH*4?+=4>S``2.9P<<ZT1I+3]MT?IJ'982
M@F/%1Y3J\`N*/%2U=Y/'NY>:L;;:[E#N^T^_3;>\A^,7$-I=0<I44-I02".8
MRD\:UYLTN]ONVA["]!E-NA$%EMQ*5`J0M*`E22/,00:].N[O;[/I.[RKA*:9
M;$1T`*4`5J*"`D#SDD@`5C+9%<8EIVDZ?GSWDL16Y&ZMQ9PE&\E202?,,J&3
M6Z?"HP8#Y?:#6,[^^-W';GE61.DCJ6V:@UC$CVF2W*9M\;JG'FE!22X5$D`C
M@<#'MS75Z-FL]/::7>K??9[<`S"TXR\]P;.Z%`I*O,?*!X\.=7ZO:5H%*2HZ
MNM&`,\)*2?F%0#7>WO3EM@O1]++5=+DI)#;NX4,-'M)5@JQV`8/;5#Z,V?ZL
MV@W94IMAU$9]TN2;G)20WDG*B#]^KCR'MP*V-9],0;'I!O3%LWFHS<93*5GY
M1*@<K/>2236);%,N&@=>Q94V(M,NTR\/L'@2!P4`>]).#W@UK:-MDV=/6X33
MJ)IH;N2RZTL.I/9N@')]615&=("\W?5#-FOALDFWZ>0IQF$[*3N.R%*`4I91
M]ZDA(W<\\$^J2[`]H&F].Z&F6RXR7!<DS5N,PVFE+=D[Z4!*6P!Q42",?_%:
M/86766W%-K;*DA10O&\G(Y''#(JIND9I7Q_H9=SCM[TVSJ,A.!Q+1X.#YL*_
M-JHNC-IY=VUFY=WTJ5$L[1<0#Q2'G/)3P]04?8*US2E*A2]ENS]Q:EKTK;U*
M4222D\2?;7Y^M7L]_!.W_H'^-2NTVR!9[<Q;;9&1&AL`AME'R4@DGA[2:]E>
M.[6R!>+<_;;G&1)AO@)<:7\E0!!X^T"HI]:O9[^"=O\`T#_&GUJ]GOX)V_\`
M0/\`&NMI[1NF--RG9=CLL6"^ZCJUK9!!4G.<<^T"O8[8+0[J%C4;D)"KLQ'5
M&;D$G*6R<D8SCMXXSQ/;75K^*2E22E0!21@@^>J\N>QO9U<9IF.Z>0TXHY4F
M.\XTA1_%20![,5*=.:5T[IEDLV*T1825#"E-H\M?XRCY1]IKEZNV=:0U?+:F
MWRTI>E-IW`\VXII2D]BBDC(]?*O9"T3I6#8']/1;)%;M4C'7,`$AW!!!4<Y4
M>`XDUR_K5[/?P3M_Z!_C3ZU>SW'VJ6_]$_QJ:H0EM"6T)`2D``=@J,ZDT%I#
M4SA>O5AB27SP+X26W#ZUI()]IJ.P]BFSF*Z'/$2GMWDAZ4ZM(_-WL&I];+;;
M[3#1"MD&/#BH^2TPV$)'L%>/46FK%J5EEF^VQB<VRHK;2\"0DD8)X'LK@?6K
MV>_@G;_T#_&O5;-G6B;7/CW"WZ<A1Y<=6^TZA)!0>T<:_=XT!HV]7%ZYW73T
M.5->QUCSB25*P`!Y^P`5XOK5[/?P3M_Z!_C3ZU>SW.?J3M_Z)_C3ZU>SW\$[
M?^@?XT^M7L]_!.W_`*!_C3ZU>SW\$[?^@?XU[K=L_P!$VU8<AZ6M3;@Y+,9*
ME#VJS4H2E*$A*4@)`P`!P%?VHKJS0&DM6K2]?;,R_(2-T2$*+;@'9O)()'<<
MUX]/;+M":??3)MVGHYDH.4O2"IY23VC?)P>\5(]0V&TZCM3MJO4)N7#=P5-K
MR,$<B".(([1QJ/Z5V::+TK+$ZSV5MN8`0E]U:G5I_%*B=WV8J9UP=;W:)8M(
MWBZS4(<8CQ5DMK&0X2,!!]9('MJ'[`--G3^SR&\\UN2[FHS'<CB$J`"!^B`?
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ME:L'&\&R!P_.SCYJ^%YU.WMGU#;-(Z?9E(TY'<3,NTIU&YOI2?);`\P)X<>9
M.<835_-H0VVEMM(0A(`2E(P`!R`K]4I2E*4I7!U'J>!8G8<-;3\RYSE%$2!%
M2%.O$<R,D!*1S*E$`=M<V[:KN=C@*N-WTO*3$3NA:XDAM\M9(&5C@0D9XD;V
M/54AO=WMUBM<FZW64B-#CIWG'%^;S``#B23P`'$DUQ$:BOCD,7!O2$XQ2D+#
M2I#:9)1SSU1.`<?>E0/MX5U]/WNVZAM3-UM,@/Q7<@'!24D'!2H'B"#P(-1Z
M'KV"YKQW1$R%(AW(,EYI:UH4V^G&0$D'.<9."/,:[FJ[_"TQ8)M[N&^IB,C>
MW&\%;AY!*1VDU\]*WU6HM/QKVW;WHK,IL.L-O+25*01D$[I(&:Y.E->6_4&H
M[QII4.1!NMK/\JR\I*@L9P2@I)R!D?I"O7K[6-LT18C>+DV\\DN);0RP`5K)
M[,D#`&2377AS94JT-SC;UM2'&PM,9;J=[CR!4.&:X6A]9)U?XP6Q:)<-F#(7
M$=7(6@DO)QO)`23RSSKVR+_(8U5%T_XFD*$EI;Z)8=1U80@I"R1G>R"M/#''
M/KKP:\UO&T2S$FW2VRW;8^ZEE<J.4J#*CGY220HC`)X9Y5V+C>FF-/N7V`UX
MQC)8\(2&'$CK&]W>RDG@>%?NSW)^YV5FY^+UQU/M!UMAQQ)404@IR1D`G/LK
MB:2UF=276[6YNRRXAM3YC2G'W6R`X,\$[I)/+GWU]IVIYK$B[)BZ=F2HMM.'
M)(?:0EPAL+4$!2LG`.#D#C7.LVO7KM9K=?F--3Q:9KJ$)?+S.6PISJ]]2=[.
MZ#SQDXXUT->ZN1HRT&\2K9)EP4*2AQ4=:`I!4<)X*(R,]E=R/*F.VT2EV]3<
MDIWA&4ZDG/F!4.%0ZP:_G:A;FN6G1]R>1"E+B/E4F.C==1C>'%?'F.-2;3]Y
M>NOAK<NU2;;*B.AM;,A2%$@I"@I*D$@@@]O,&O`O4[\F[7&VV2SNW%5M4EN4
MZ7T-(#A2%=6@J^4H`@GD!D#//'4TW>$7VT-7)$21$WUN(5'DI"7&E(6I!2H`
MD`Y2?/74I2E*4JG;[L!T;=;P]<D2+C!2\LN.1X[B.KR3D[N\DE(SYN795B:1
MTG8M(6P6VQ0DQVB=YQ9.\MU7]I2CQ)_9YL5WJ4I2E*4I530G">D3<47#((L2
M!;]_EN[R2O=[\[_S&K6>::>96R\A*VEI*5)4,A0/,&JJVZJ6E&C"_GQ5]4$?
MPO\`LX\V]W?*JU_-54[&"KQYM"\'_HSQ\YX/N_)W^._C_IKC[1[3,D7/4FH[
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M*/\`9)Y?/_:JXM+@C3-H!YB$S^[34#V2_;1M'_+JOV&I[J%"4Z?NNZD#,5XG
M`QD[AXU$MAZ$KV3Z<2M(4DL+R",C[*NO!TA_N6W'_'C?O4U9K?V-'J%4SLA8
MU"ZSJU5IN=NC,?5'+"D28*WE%64Y(4'4<,8X8]M6=I5N[L6KJ=02&GKGU[ZE
MK:&$J075;A2G)(3NE/`DXY5!-4:9U+:+W/UKLZG-/O2E9N-G?.\S+4CR24'/
MDKX8QD<<\?,93LVU7$UCIP76/!7!?2\MF7&6.+3XP5#.!GF#G'GX\:EAY&H9
MH&3+ESM8(ES)#Z(MZ<BL)<=*@VT&FU!(]JU<>=<&S7ZZ6AYR!J*:\]:+I*DL
M6VXJ7A<=U+JT".XOO"<H6>?$'S5ZY-ZN*;;H*Q,37FI5^2GPB<H[SB4(8ZUS
M!/):C@`XX9.!RJ7-6=R-<XLN-<IO@Z&UH=C/2%.H<)`PKRB3O#';CB>'*NS2
ME*4I2E*4I2H[J;2EOO\`(@SU.R(5U@**HD^(H)=9SS'$$*2?.E0(-?UNR7-]
M`9N]]7+BX`6TU'2QUO<L@DD'S@8SR/#A70OMEME^M$BSW6(B1!?3NK:5P]1!
M'$$'B".5<5&G;XU"%N:U?-$4)ZM+JH[2I*48Q]EQ@J_O%)/K/&NQIZQVW3MI
M9M5ICAF*UD@9RI:CQ*E$\2HGB2:\-LT\["OMTNKMU=DIN(0'8SC*`A(0G=3N
MX&>1XY)S7/:T';86BY.D+1(>@09)>#JVTI4LI<)W@-X8'`A(..``KJZ5L2M.
MZ?C61NX.RF8K8:8<>0D*2@#`!W0`<5XK=I%MB!>[=<+B[<8EW6ZX^V\TA.ZI
MP85N[H'#E@'..VO#>]GT"Y:(BZ*9GR85H9:0VL,I05NA!!&2H'!*ADX'$U*[
M5%>A6]B(_+7*6TD(ZY:`E2@.`R!PSZJCJ='KM][N%WT]=W;:JY+#LR,IE+S+
MC@&.L"3@I4?/@X/976M%E3"F2+C*EN3;C(2E"WW$A(0A.2$(2."4Y)/G))R2
M>&/AJ.POWF3;7V[L_"$"0)+:&FD*"W`%)&]O`\,*(P,<Z]>H+';]0V659KLP
M'XDEO<6#P([%#L(/$&O3&B>"VQF"PZH=2REI#B@">"<`D<CRJ-:2T8K35UNM
MQ;O<J6;J^9,IM]IL`N'/%.Z`1SY<>52"^0'KG;'X#,U<3KT*;6ZA"5*"5`@X
MWN`/'G7-T1IH:2L;%C9N+\R''!#'7H0%(!))&4@9XFOAKW2*-9V@V>5<Y,2$
MI25N)CH05+*3E/%0.!GLKMQXLQJV"*NX*<DA.Z)*FD@Y\Q*1PS4.T_H"=IY$
MUNTZQN;*)LI<M\+C1U[SJOE*&4<,X'"I%8K'(MTN7.G7F7=)4A*$!R0AM`:0
MG/DI2A(`!))/G/#LKPM:8N$&;<Y-HU%(C-W"0J0N.['0\VTM0&2WG!3DC)R2
M,G.*Z.EM.P=,VLV^"IUS?=6^^^\07'W5G*EJ(`&3W`"O'HRWW6`U<T7&Z3I[
M+DQ:XJYP'6I1@9'#DG>SN@^;LSBO1IW3XLDB\/MS7'S<YBIK@6@`(<*4I(3C
MS82G@?GKYC2T*1IF7IR[*-PARE.J<ZQ`23UBRLXQR(4HD$<1@5_)VDX$NRVF
MVE^0T[:>J5"F-J`>:6VG="N6#D9!!&"">%=*'"FH?2]-N*I"D)(2AMOJD<?.
M1DY/MP.ROK;HLB*F0)$]Z87'UNH+J4CJDJ.0V-T#@D<!GCVU[*4I2E*4I2E*
M4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*4I2E*
)4I2E*4I2O__9
`
end

</TEXT>
</DOCUMENT>
</SUBMISSION>
