FOR IMMEDIATE RELEASE
NICOLE CULBERTSON
(650) 849-1649
ESSEX ANNOUNCES FOURTH QUARTER 2009 EARNINGS RESULTS
Palo Alto, California – February 4, 2010 - Essex Property Trust, Inc. (NYSE:ESS) announces its fourth quarter
2009 earnings results and related business activities.
Funds from Operations (“FFO”) for the quarter ended December 31, 2009, totaled $35.8 million, or $1.16 per
diluted share compared to $43.6 million, or $1.52 per diluted share for the quarter ended December 31, 2008. For
the year ended December 31, 2009, the Company’s FFO totaled $200.4 million or $6.74 per diluted share
compared to $167.5 million or $6.02 per diluted share for the year ended December 31, 2008, which represents an
11.8% increase from 2008.
The Company’s FFO, excluding non-recurring items, totaled $37.3 million, or $1.21 per diluted share for the
quarter ended December 31, 2009, compared to $40.8 million, or $1.42 per diluted share for the quarter ended
December 31, 2008. A reconciliation of FFO for non-recurring items can be found on page S-3 in the Company’s
Supplemental Financial Information package. The following non-recurring items impacted the Company’s fourth
quarter results for 2009 and 2008:
•
•
•
•
•
In 2009, the Company repurchased $95.5 million of its exchangeable bonds, and recognized a loss of $1.4
million.
In 2009 and 2008, the Company recorded severance charges of $0.6 million and $0.7 million, respectively,
related to workforce reduction.
In 2009, the Company repurchased $1.5 million of its Series G Cumulative Convertible Preferred Stock at a
discount to carrying value, and the excess of the carrying value over the cash paid to redeem the Series G
stock totaled $0.4 million.
In 2008, the Company repurchased $53.3 million of its exchangeable bonds, and recognized a gain of $4.0
million.
In 2008, the Company recorded a loan loss reserve of $0.7 million on a note receivable.
Net income available to common stockholders for the quarter and year ended December 31, 2009 totaled $6.8
million or $0.24 per diluted share and $82.2 million or $2.91 per diluted share, respectively, compared to $18.0
million, or $0.68 per diluted share and $52.9 million or $2.09 per diluted share for the quarter and year ended
December 31, 2008, respectively.
SAME-PROPERTY OPERATIONS
Same-property operating results exclude properties that do not have comparable results. The table below
illustrates the percentage change in same-property revenues, operating expenses, and net operating income
(“NOI”) for the quarter and year ended December 31, 2009 compared to December 31, 2008:
Q4 2009 compared to Q4 2008
Southern California
Northern California
Seattle Metro
Same-property average
Revenues
-4.5%
-7.4%
-11.0%
-6.5%
Expenses
7.3%
-2.3%
2.7%
3.5%
NOI
-10.0%
-9.9%
-18.0%
-11.3%
YTD 2009 compared to YTD 2008
Revenues
Expenses
NOI
-2.9%
3.2%
-5.8%
-1.9%
-3.0%
-1.3%
-4.0%
3.6%
-7.9%
-2.8%
1.3%
-4.8%
925 East Meadow Drive Palo Alto California 94303 telephone 650 494 3700 facsimile 650 494 8743
www.essexpropertytrust.com
The table below illustrates the sequential percentage change in same-property revenues, expenses, and NOI for the
quarter ended December 31, 2009 versus the quarter ended September 30, 2009:
Southern California
Northern California
Seattle Metro
Same-property average
Q4 2009 compared to Q3 2009
Revenues
Expenses
NOI
-0.7%
2.9%
-2.6%
-1.6%
-3.0%
-0.8%
-2.8%
-4.1%
-1.9%
-1.3%
-0.2%
-1.9%
Same-property financial occupancies for the quarters ended are as follows:
Southern California
Northern California
Seattle Metro
Same-property average
12/31/09
97.1%
97.8%
97.6%
97.4%
9/30/09
96.6%
97.6%
97.1%
97.0%
12/31/08
95.9%
97.6%
97.1%
96.6%
DISPOSITIONS
During the fourth quarter, the Company sold Maple Leaf, a 48-unit community located in Seattle, Washington for
$6.4 million. The community was acquired in 1997.
ACQUISITIONS
In December, the Company acquired DuPont Lofts, a 115-unit condominium development project in Irvine,
California for $27.0 million. The project is 85 percent complete and will require an additional six months of
construction and estimated remaining costs of development are $9.1 million, consisting primarily of unit interior
finishes. Following construction, the Company intends to operate the asset as an apartment community. DuPont
Lofts is located a few blocks from John Wayne International Airport, nearby major freeways and local shopping
and dining. All units feature 11-foot ceilings, custom finishes, a washer and dryer and a fireplace. Community
amenities will consist of a fitness center, business center, pool and spa as well as a barbecue area.
Also during the quarter, the Company acquired Regency at Encino, a 75-unit community located in Encino,
California for $16.0 million. The community features upgraded appliances and finishes in 51 of the units. The
Company intends to renovate the additional 24 units upon normal resident turnover. Regency at Encino is
centrally located providing easy access to multiple job centers, local dining and shopping and features a washer
and dryer in each unit as well as 9-foot ceilings.
DEVELOPMENT
In November, the Company acquired a 3.6 acre site in Dublin, California for $5.0 million. The land parcel was
previously sold for approximately $17.4 million to a third-party, and the Company was able to opportunistically
purchase the Dublin site from a commercial bank who acquired the land parcel via foreclosure. The land parcel
is located adjacent to the Dublin Bay Area Rapid Transit (“BART”) station. The Company intends to pursue
entitlements on this land parcel for future development.
Construction of Fourth and U (formerly known as “Fourth Street”), a 171-unit development located in Berkeley,
California, is nearing completion as interior finish installation and painting is ongoing. Initial pre-leasing will
commence in the first quarter, and initial occupancy is expected in April 2010.
2
Joule Broadway, a 295-unit development located in Seattle, Washington, is ahead of schedule and the Company
anticipates the project will be completed in June instead of September 2010. Initial pre-leasing will commence in
the first quarter, and initial occupancy is expected in April 2010.
LIQUIDITY AND BALANCE SHEET
Common Stock
During the fourth quarter, the Company issued 464,200 shares of common stock at an average price of $84.25 for
$38.5 million, net of fees and commissions through the Company’s Controlled Equity Offering Program. During
2009, the Company has issued 2,740,450 shares of common stock for $198.5 million, net of fees and commissions
at an average price of $73.54 per share, and repurchased 350,000 shares for $20.3 million at an average price of
$57.89 per share.
Series G Cumulative Convertible Preferred Stock
During the fourth quarter, the Company repurchased $1.5 million of its Series G Cumulative Convertible Preferred
Stock, at a discount to carrying value, and the excess of the carrying value over the cash paid to redeem the Series G
stock totaled $0.4 million. During 2009, the Company repurchased $141.6 million of the original $145.9 million
issuance at a $50.0 million discount to its carrying value.
Exchangeable Bonds
During the fourth quarter, the Company repurchased $95.5 million of its 3.625% exchangeable bonds, and
recognized a loss of $1.4 million. During 2008 and 2009, the Company has repurchased $220.0 million of the
original $225.0 million issuance at a net gain of $8.8 million.
Lines of Credit
In December, the Company entered into a new $200 million unsecured line of credit facility and cancelled the
existing $200 million unsecured facility which was to mature in March 2010. The new unsecured facility has a
one year maturity with two one-year extension options, and the underlying interest rate on this unsecured facility
is based on a tiered rate structure tied to the Company's corporate ratings and is currently at LIBOR plus 3.00%.
In the fourth quarter, the Company exercised its option to increase the borrowing capacity of the secured line of
credit facility from $150 million to $250 million which matures in December 2013.
GUIDANCE
On February 4, 2010, the Company provided 2010 guidance that FFO per diluted share will range from $4.60 $4.90 and Earnings per Share will range from $0.80 - $1.10 per diluted share.
CONFERENCE CALL WITH MANAGEMENT
The Company will host an earnings conference call with management to discuss its quarterly results and 2010
guidance on Friday, February 5, at 11:00 a.m. PST (2:00 p.m. EST), which will be broadcast live via the Internet
at www.essexpropertytrust.com, and accessible via phone by dialing (877) 407-4018, no passcode is necessary.
A rebroadcast of the live call will be available online for 90 days and digitally for 7 days. To access the replay online,
go to www.essexpropertytrust.com and select the third quarter earnings link. To access the replay digitally, dial (877)
660-6853 using the Account Code - 3055 and the Conference ID - 341967. If you are unable to access the information
via the Company’s website, please contact the Investor Relations department at investors@essexpropertytrust.com or
by calling (650) 494-3700.
3
CORPORATE PROFILE
Essex Property Trust, Inc., located in Palo Alto, California and traded on the New York Stock Exchange
(NYSE:ESS), is a fully integrated real estate investment trust (“REIT”) that acquires, develops, redevelops, and
manages apartment communities located in highly desirable, supply-constrained markets. Essex currently has
ownership interests in 133 apartment communities (27,248 units), and has 581 units in various stages of
development.
This press release and accompanying supplemental financial information will be filed electronically on Form 8-K
with the Securities and Exchange Commission and can be accessed from the Company’s Web site at
www.essexpropertytrust.com. If you are unable to obtain the information via the Web, please contact the Investor
Relations Department at (650) 494-3700.
FUNDS FROM OPERATIONS (“FFO”) RECONCILIATION
FFO, as defined by the National Association of Real Estate Investment Trusts (“NAREIT”) is generally considered
by industry analysts as an appropriate measure of performance of an equity REIT. Generally, FFO adjusts the net
income of equity REITs for non-cash charges such as depreciation and amortization of rental properties,
gains/losses on sales of real estate and extraordinary items. Management considers FFO to be a useful financial
performance measurement of an equity REIT because, together with net income and cash flows, FFO provides
investors with an additional basis to evaluate the performance and ability of a REIT to incur and service debt and to
fund acquisitions and other capital expenditures and ability to pay dividends.
FFO does not represent net income or cash flows from operations as defined by generally accepted accounting
principles (“GAAP”) and is not intended to indicate whether cash flows will be sufficient to fund cash needs. It
should not be considered as an alternative to net income as an indicator of the REIT's operating performance or to
cash flows as a measure of liquidity. FFO does not measure whether cash flow is sufficient to fund all cash needs
including principal amortization, capital improvements and distributions to shareholders. FFO also does not
represent cash flows generated from operating, investing or financing activities as defined under GAAP.
Management has consistently applied the NAREIT definition of FFO to all periods presented. However, there is
judgment involved and other REITs’ calculation of FFO may vary from the NAREIT definition for this measure,
and thus their disclosures of FFO may not be comparable to Essex’s calculation.
The following table sets forth the Company’s calculation of FFO for the three and twelve months ended December
31, 2009 and 2008.
Three Months Ended
December 31,
2008
2009
$17,954
$6,781
Funds from Operations (In thousands)
Net income available to common stockholders
Adjustments:
Depreciation and amortization
Gains not included in FFO, net of disposition costs
Noncontrolling interest and co-investments
Funds from Operations
30,349
(2,852)
1,510
$35,788
28,296
(5,356)
2,733
$43,627
Year Ended
December 31,
2008
2009
$52,899
$82,200
118,522
(7,943)
7,607
$200,386
113,294
(7,849)
9,181
$167,525
SAFE HARBOR STATEMENT UNDER THE PRIVATE LITIGATION REFORM ACT OF 1995:
This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking
statements include statements under the caption “Guidance” with respect to 2010 FFO per diluted share, and
statements and estimates set forth under the captions “Acquisitions” and “Development” on page 2 of this press
release, the captions “Development Pipeline” and “Redevelopment Pipeline” and on pages S-9 and S-10 of the
Company’s Supplemental Financial Information Package regarding estimated costs of property development, and
4
redevelopments and the anticipated timing of the construction start, construction completion, initial occupancy, and
stabilization of property developments and redevelopments. The Company's actual results may differ materially
from those projected in such forward-looking statements. Factors that might cause such a difference include, but
are not limited to, changes in market demand for rental units and the impact of competition and competitive pricing,
changes in economic conditions, unexpected delays in the development and stabilization of development and
redevelopment projects, unexpected difficulties in leasing of development and redevelopment projects, total costs of
renovation and development investments exceeding our projections and other risks detailed in the Company's filings
with the Securities and Exchange Commission (SEC). All forward-looking statements are made as of today, and the
Company assumes no obligation to update this information. For more details relating to risk and uncertainties that
could cause actual results to differ materially from those anticipated in our forward-looking statements, and risks to
our business in general, please refer to our SEC filings, including our most recent Report on Form 10-K for the year
ended December 31, 2008.
5
Fourth Quarter 2009
Supplemental Financial Information
In the fourth quarter, the Company acquired Regency at Encino,
Encino a 75-unit community located in Encino, California
for $16 million. The property features several units with upgraded appliances, countertops, cabinets, crown
molding, and flooring. Community amenities include a pool and spa and secure access for residents. Additionally,
the property is conveniently located close to multiple job centers and local shopping and dining.
Table of Contents
Page
Consolidated Operating Results
S-1 – S-2
Consolidated Funds From Operations
S-3
Consolidated Balance Sheets
S-4
Debt Summary
S-5
Capitalization
S-6
Property Operating Results – Quarter ended December 31, 2009 and 2008
S-7
Property Operating Results –Year ended December 31, 2009 and 2008
Revenue by County – Quarters ended December 31, 2009, December 31, 2008 and September 30, 2009
Revenue by County –Year ended December 31, 2009 and 2008
S-7.1
S-8
S-8.1
Development Pipeline
S-9
Redevelopment Pipeline
S-10
Co-Investments
S-11
Summary of Consolidated Co-Investments and Noncontrolling Interest
S-12
Income from Discontinued Operations and Selected Financial Data
S-13
Market Forecast (Supply, Jobs and Apartment Market Conditions)
S-14
New Residential Supply Data
S-15
Exhibit A - Property List by Region
1-2
E S S E X P R O P E R T Y T R U S T, I N C.
Three Months Ended
December 31,
2008
2009
Consolidated Operating Results
(Dollars in thousands, except per share amounts)
Revenues:
Rental and other property
Management and other fees from affiliates
$
Expenses:
Property operating
Depreciation and amortization
Interest
General and administrative
Impairment and other charges
Earnings from operations
100,004
948
100,952
$
Twelve Months Ended
December 31,
2008
2009
103,711
1,201
104,912
$
407,064
4,325
411,389
$
403,268
5,166
408,434
36,645
30,315
22,336
5,569
550
95,415
5,537
34,090
28,000
22,046
7,324
1,350
92,810
12,102
139,711
118,027
86,016
23,704
17,442
384,900
26,489
132,417
109,701
85,063
26,984
1,350
355,515
52,919
3,519
5
(1,374)
7,687
2,913
10,600
(3,647)
6,953
(549)
3,295
495
3,997
2,132
22,021
3,943
25,964
(5,700)
20,264
(2,310)
13,040
670
4,750
103
45,052
8,687
53,739
(16,631)
37,108
(4,860)
11,337
7,820
3,997
4,578
80,651
3,744
84,395
(22,255)
62,140
(9,241)
377
6,781
17,954
49,952
82,200
52,899
Interest and other income
Equity income in co-investments
Gain (loss) on early retirement of debt
Gain on sale of real estate
Income before discontinued operations
Income from discontinued operations
Net income
Net income attributable to noncontrolling interest
Net income attributable to controlling interest
Dividends to preferred stockholders
Excess of the carrying amount of preferred stock
redeemed over the cash paid to redeem preferred stock
Net income available to common stockholders
$
Net income per share - basic
$
0.24
$
0.69
$
3.01
$
2.10
Net income per share - diluted
$
0.24
$
0.68
$
2.91
$
2.09
$
See Company's 10-K and 10-Q for additional disclosures
S-1
$
$
E S S E X P R O P E R T Y T R U S T, I N C.
Consolidated Operating Results
Three Months Ended
December 31,
2009
2008
Selected Line Item Detail
(Dollars in thousands)
Rental and other property
Rental
Other property
$
Rental and other property
$
Management and other fees from affiliates
Management
Development and redevelopment
Management and other fees from affiliates
Property operating expenses
Maintenance and repairs
Real estate taxes
Utilities
Administrative
Management fees and insurance
$
$
Property operating expenses
$
General and administrative
General and administrative
Allocated to property operating expenses - administrative
Capitalized to real estate
Net general and administrative
$
$
Interest and other income
Interest and other income, net
Lease income, net
Gain from sale of marketable securities
Interest and other income
Noncontrolling interest
Limited partners of Essex Portfolio, L.P.
DownREIT limited partners' distributions
Perpetual preferred distributions
Third-party ownership interest
Noncontrolling interest
$
$
$
$
$
Twelve Months Ended
December 31,
2009
2008
93,276
6,728
100,004
$
97,479
6,232
$
380,285
26,779
407,064
$
380,003
23,265
$
103,711
$
$
403,268
882
66
948
$
822
379
$
3,505
820
4,325
$
3,217
1,949
$
1,201
$
$
5,166
8,390
9,524
6,828
8,918
2,985
36,645
$
7,628
8,496
6,556
8,548
2,862
$
30,543
36,772
26,673
33,591
12,132
$
28,862
33,107
26,173
33,378
10,897
$
34,090
$
139,711
$
132,417
8,925
(2,462)
(894)
5,569
$
10,932
(2,238)
(1,370)
$
$
7,324
$
3,519
3,519
$
1,469
1,826
3,295
$
585
1,099
1,575
388
3,647
$
1,919
1,108
2,231
442
$
$
5,700
$
$
See Company's 10-K and 10-Q for additional disclosures
S-2
$
37,319
(9,817)
(3,798)
23,704
$
41,403
(9,014)
(5,405)
$
26,984
11,841
185
1,014
13,040
$
4,811
6,526
11,337
4,225
4,431
6,300
1,675
16,631
$
6,404
4,484
9,909
1,458
$
22,255
$
E S S E X P R O P E R T Y T R U S T, I N C.
Three Months Ended
December 31,
2008
2009
Consolidated Funds From Operations
(Dollars in thousands, except share and per share amounts)
Funds from operations
Net income available to common stockholders
Adjustments:
Depreciation and amortization
Gains not included in FFO, net of disposition costs (1)
Noncontrolling interest and co-investments (2)
$
6,781
$
30,349
(2,852)
1,510
Funds from operations
$
FFO per share-diluted
$
Components of the change in FFO
Non-recurring items:
(Gain) loss on early retirement of debt
Severance payments
Redemption of Series G preferred stock at a discount
35,788
1.16
-
Cancellation of Outperformance Plan
Loan loss reserves
Write-off of deferred charges
-
Gain on sales of marketable securities
-
Income generated from TRS activities
Joint venture - preferred interest
-
Funds from operations excluding non-recurring items
FFO excluding non-recurring items per share-diluted
Changes in recurring items:
Same-property NOI
Non-same property NOI
Management and other fees from affiliates
Interest and other income
Interest expense
Dividends to preferred stockholders
General and administrative
Other items, net
Weighted average number of shares outstanding diluted (3)
1.21
$
$
17,954
$
43,627
$
1.52
$
$
-23.9%
$
200,386
6.74
% Change
52,899
113,294
(7,849)
9,181
$
167,525
$
6.02
12,428
-
650
-
3,808
620
-
650
245
-
1.42
-
(1,014)
(588)
-
40,833
(147)
(6,318)
161,488
-15.2%
5.43
(6,874)
612
(253)
224
(290)
1,761
1,755
(433)
$
(11,491)
7,993
(841)
101
(953)
4,381
3,280
360
(3,498)
$
2,830
28,663,993
29,746,614
158,658
$
5.71
27,807,946
(1) Internal disposition costs relate to a disposition incentive program established to pay incremental bonuses for the sale of certain of the Company's communities that are part of the
program.
(2) Amount includes the following adjustments for the three and twelve months ended December 31, 2009: (i) noncontrolling interest related to Operating Partnership units totaling $0.6
million and $4.2 million, respectively, (ii) add back depreciation from unconsolidated co-investments and less depreciation attributable to third party ownership of consolidated coinvestments totaling $0.9 million and $3.4 million, respectively.
(3) Assumes conversion of the weighted average operating partnership interests in the Operating Partnership into shares of the Company's common stock.
See Company's 10-K and 10-Q for additional disclosures
S-3
11.8%
(3,997)
700
-
-
$
30,893,169
$
(4,750)
550
(49,952)
(147)
$
82,200
118,522
(7,943)
7,607
(3,997)
700
-
37,335
$
% Change
28,296
(5,356)
2,733
1,374
550
(377)
Impairment of development projects
Twelve Months Ended
December 31,
2008
2009
-4.8%
E S S E X P R O P E R T Y T R U S T, I N C.
Consolidated Balance Sheets
(Dollars in thousands)
December 31, 2008
December 31, 2009
Real Estate:
Land and land improvements
Buildings and improvements
$
684,955
2,727,975
3,412,930
(749,464)
2,663,466
274,965
70,783
3,009,214
37,934
134,844
36,305
36,340
$
683,876
2,595,912
3,279,788
(640,026)
2,639,762
272,273
76,346
2,988,381
54,719
23,886
21,424
47,637
28,776
$
3,254,637
$
3,164,823
$
1,603,549
239,000
4,893
30,156
99,149
1,976,747
$
1,468,931
120,000
165,457
73,129
105,396
1,932,913
Less: accumulated depreciation
Real estate under development
Co-investments
Cash and cash equivalents
Marketable securities
Funds held by 1031 exchange facilitator
Notes and other receivables
Other assets
Total assets
Mortgage notes payable
Lines of credit
Exchangeable bonds
Cash flow hedge liabilities
Other liabilities
Total liabilities
Series G cumulative convertible preferred stock, carrying value
145,912
4,349
Stockholders' equity and noncontrolling interest:
Common stock
Series F cumulative redeemable preferred stock, liquidation value
Additional paid-in-capital
Distributions in excess of accumulated earnings
Accumulated other comprehensive (loss) income
Total stockholders' equity
Noncontrolling interest
Total stockholders' equity and noncontrolling interest
Total liabilities and equity
3
25,000
1,275,251
(222,952)
(24,206)
1,053,096
220,445
1,273,541
$
3,254,637
See Company's 10-K and 10-Q for additional disclosures
S-4
3
25,000
1,043,984
(141,336)
(75,424)
852,227
233,771
1,085,998
$
3,164,823
E S S E X P R O P E R T Y T R U S T, I N C.
Debt Summary - December 31, 2009
(Dollars in thousands)
Percentage of
Total
Debt
Mortgage notes payable
Fixed rate - secured
Variable rate - secured (1)
Total mortgage notes payable
Exchangeable bonds - unsecured (2)
Line of credit - secured (3)
Line of credit - unsecured (4)
Total lines of credit
Total debt
73%
14%
87%
Balance
Outstanding
1,351,953
251,596
1,603,549
6.1%
2.1%
5.5%
0%
4,893
5.8%
12%
1%
13%
229,000
10,000
239,000
1.6%
3.4%
1.7%
1,847,442
5.0%
160,762
174,107
31,303
188,882
62,272
991,116
1,608,442
Weighted
Average
Interest Rate
7.6%
5.7%
5.4%
5.8%
7.3%
4.8%
5.4%
100%
$
Weighted
Average
Interest Rate
$
Scheduled principal payments (excludes lines of credit)
2010 (2)
2011
2012
2013
2014
Thereafter
Total
$
$
Weighted
Average Maturity
In Years
5.6
19.5
7.8
Capitalized interest for the three and twelve months ended December 31, 2009 was approximately $2.1 million and $10.5 million, respectively.
(1) $214.1 million of the variable rate debt is tax exempt to the note holders, and $197.1 million of the tax exempt debt is subject to interest rate protection
agreements.
(2) Exchangeable bonds mature in November 2025, but the bonds are subject to a repurchase for cash at the option of the holder on November 1, 2010.
The pay rate on the bonds is 3.625%, and effective January 2009 in accordance with the accounting pronouncement for convertible debt, the bonds
have been discounted to yield 5.75%. This is an unsecured obligation of the operating partnership, and is fully and unconditionally guaranteed by the
Company.
(3) Secured line of credit facility is $250 million and matures in December 2013. This line is secured by eleven of the Company's apartment communities
and the underlying interest rate is currently the Freddie Mac Reference Rate plus .99% to 1.50%.
(4) Unsecured line of credit facility is $200 million and matures in December 2010 with two one-year extensions, exercisable at the Company's option. The
underlying interest rate on this line is based on a tiered rate structure tied to the Company's corporate ratings and is currently at LIBOR plus 3.00%.
See Company's 10-K and 10-Q for additional disclosures
S-5
E S S E X P R O P E R T Y T R U S T, I N C.
Capitalization - December 31, 2009
(Dollars and shares in thousands, except per share amounts)
Total debt
$
Common stock and potentially dilutive securities
Common stock outstanding
Limited partnership units (1)
Options-treasury method
Total common stock and potentially dilutive securities
1,847,442
28,850
2,398
51
31,299 shares
Common stock price per share as of December 31, 2009
$
83.65
Market value of common stock and potentially dilutive securities
$
2,618,161
Preferred units/stock
$
111,514
Total equity capitalization
$
2,729,675
Total market capitalization
$
4,577,117
Ratio of debt to total market capitalization
40.4%
(1) Assumes conversion of all outstanding operating partnership interests in the Operating Partnership into shares of the Company's common stock.
See Company's 10-K and 10-Q for additional disclosures
S-6
E S S E X P R O P E R T Y T R U S T, I N C.
Property Operating Results - Quarter ended December 31, 2009 and 2008
(Dollars in thousands)
Southern California
2009
2008
% Change
Revenues:
Same-property revenue
Non-same property revenue (2)
Total Revenues
Property operating expenses:
Same-property operating expenses
Non-same property operating expenses (2)
Total property operating expenses
Net operating income (NOI):
Same-property NOI
Non-same property NOI (2)
Redevelopment communities
Acquired communities
Development communities
Other real estate assets (1)
Total non-same property NOI
Total NOI
$
$
$
45,054
6,064
51,118
$
$
$
47,196
5,078
52,274
-4.5%
7.3%
-10.0%
$
16,068
2,127
18,195
$
14,977
1,790
16,767
$
28,986
$
32,219
$
3,000
180
757
3,937
32,923
$
3,233
54
1
3,288
35,507
2009
$
$
$
Northern California
2008
% Change
25,250
4,887
30,137
$
$
$
27,264
3,840
31,104
-7.4%
-2.3%
-9.9%
$
8,876
1,949
10,825
$
9,087
1,253
10,340
$
16,374
$
18,177
$
2,021
312
605
2,938
19,312
$
2,335
320
(68)
2,587
20,764
Seattle Metro
2008
2009
$
$
$
13,787
3,174
16,961
$
$
$
% Change
15,485
3,498
18,983
-11.0%
2.7%
-18.0%
$
5,389
1,383
6,772
$
5,249
1,218
6,467
$
8,398
$
10,236
$
1,088
703
1,791
10,189
$
1,365
915
2,280
12,516
Other real estate assets (1)
2009
2008
$
$
$
1,788
1,788
$
853
853
$
-
$
935
935
935
$
$
$
1,350
1,350
$
516
516
$
-
$
834
834
834
Total
2008
2009
$
$
$
84,091
15,913
100,004
$
$
$
89,945
13,766
103,711
-6.5%
3.5%
-11.3%
$
30,333
6,312
36,645
$
29,313
4,777
34,090
$
53,758
$
60,632
$
6,109
1,195
1,362
935
9,601
63,359
$
6,933
1,289
(67)
834
8,989
69,621
Same-property operating margin
64%
68%
65%
67%
61%
66%
64%
67%
Same-property turnover percentage
50%
49%
42%
47%
39%
47%
45%
48%
Same-property concessions
$
307
$
292
$
172
$
112
$
80
$
78
$
559
$
482
Average same-property concessions per turn (3)
$
234
$
219
$
295
$
170
$
193
$
155
$
242
$
193
Reconciliation of apartment units at end of period
Same-property apartment units
10,953
Consolidated apartment units
Joint venture
Under development
Total apartment units at end of period
12,339
748
115
13,202
12,500
480
268
13,248
6,695
1,575
171
8,441
6,457
1,575
693
8,725
5,249
642
295
6,186
5,338
642
295
6,275
24,283
2,965
581
27,829
24,295
2,697
1,256
28,248
48%
47%
30%
31%
22%
22%
100%
100%
97.1%
95.9%
97.8%
97.6%
97.6%
97.1%
97.4%
96.6%
Percentage of total
Average same-property financial occupancy
5,615
4,292
20,860
(1) Other real estate assets consists mainly of retail space, commercial properties, and boat slips and their operating results are classified in non-same property results. The Hollywood commercial property's operations are classified in
other real assets for 2009 due to the extension of a three year lease with the tenant, operations for 2008 are classified in interest and other income.
(2) Includes properties which subsequent to October 1, 2008 were either acquired or in a stage of development or redevelopment without stabilized operations.
(3) Average same-property concessions per turn is the dollar amount per unit resulting from the same-property concessions divided by the product of the same property turnover percentage times the same-property apartment units.
See Company's 10-K and 10-Q for additional disclosures
S-7
% Change
E S S E X P R O P E R T Y T R U S T, I N C.
Property Operating Results - Year ended December 31, 2009 and 2008
(Dollars in thousands)
2009
Revenues:
Same-property revenue
Non-same property revenue (2)
Total Revenues
Property operating expenses:
Same-property operating expenses
Non-same property operating expenses (2)
Total property operating expenses
Net operating income (NOI):
Same-property NOI
Non-same property NOI (2)
Redevelopment communities
Acquired communities
Development communities
Other real estate assets (1)
Total non-same property NOI
Total NOI
$
$
$
Southern California
2008
% Change
183,246
23,588
206,834
$
$
$
188,807
18,887
207,694
-2.9%
3.2%
-5.8%
$
61,172
7,863
69,035
$
59,255
6,305
65,560
$
122,074
$
129,552
$
12,368
438
2,919
15,725
137,799
$
12,675
90
(183)
12,582
142,134
2009
$
$
$
Northern California
2008
% Change
104,316
17,344
121,660
$
$
$
106,301
13,585
119,886
-1.9%
-3.0%
-1.3%
$
35,219
6,089
41,308
$
36,319
5,039
41,358
$
69,097
$
69,982
$
8,969
1,263
1,023
11,255
80,352
$
8,067
547
(68)
8,546
78,528
2009
$
$
$
58,041
13,229
71,270
Seattle Metro
2008
$
$
$
60,430
9,918
70,348
-4.0%
3.6%
-7.9%
$
21,362
5,094
26,456
$
20,623
3,111
23,734
$
36,679
$
39,807
$
4,575
3,560
8,135
44,814
$
5,398
1,409
6,807
46,614
Other real estate assets (1)
2009
2008
% Change
$
$
$
7,300
7,300
$
2,912
2,912
$
-
$
4,388
4,388
4,388
$
$
$
5,340
5,340
$
1,765
1,765
$
-
$
3,575
3,575
3,575
Total
2008
2009
$
$
$
345,603
61,461
407,064
$
$
$
355,538
47,730
403,268
-2.8%
1.3%
-4.8%
$
117,753
21,958
139,711
$
116,197
16,220
132,417
$
227,850
$
239,341
$
25,912
5,261
3,942
4,388
39,503
267,353
$
26,140
2,046
(251)
3,575
31,510
270,851
Same-property operating margin
67%
69%
66%
66%
63%
66%
66%
67%
Same-property turnover percentage
59%
53%
54%
53%
55%
58%
57%
54%
Same-property concessions
$
Average same-property concessions per turn (3)
$
Average same-property financial occupancy
1,316
$
212
$
96.6%
1,336
$
228
$
95.6%
605
$
202
$
97.7%
662
$
223
$
97.4%
349
$
147
$
97.2%
302
$
121
$
96.7%
2,270
$
196
$
97.0%
(1) Other real estate assets consists mainly of retail space, commercial properties, and boat slips and their operating results are classified in non-same property results. The Hollywood commercial property's operations are classified in
other real assets for 2009 due to the extension of a three year lease with the tenant, operations for 2008 are classified in interest and other income.
(2) Includes properties which subsequent to January 1, 2008 were either acquired or in a stage of development or redevelopment without stabilized operations.
(3) Average same-property concessions per turn is the dollar amount per unit resulting from the same-property concessions divided by the product of the same property turnover percentage times the same-property apartment units.
See Company's 10-K and 10-Q for additional disclosures
S-7.1
% Change
2,300
203
96.3%
E S S E X P R O P E R T Y T R U S T, I N C.
Revenue by County - Quarters ended December 31, 2009, December 31, 2008 and September 30, 2009
(Dollars in thousands)
Average Property Rental Rates
Region
Southern California
Ventura County
Los Angeles County
Orange County
San Diego County
Santa Barbara County
Riverside County
Total same-property
Non-same property
QTD
2009
Units
2,898
2,754
2,037
2,641
347
276
10,953
1,386
$
1,284
1,602
1,427
1,100
1,624
724
1,343
1,423
QTD
2008
$
1,366
1,732
1,533
1,132
1,649
791
1,427
December 31, 2009
Property
Revenue
% Change
-6.0%
-7.5%
-6.9%
-2.8%
-1.5%
-8.5%
-5.9%
$
December 31, 2008
11,470
13,471
8,842
8,933
1,725
613
45,054
6,064
97.2%
96.8%
97.0%
97.3%
99.2%
94.9%
97.1%
Financial
Occupancy
Property
Revenue
% Change
12,126
14,065
9,527
9,255
1,569
654
47,196
5,078
96.8%
94.2%
97.1%
97.7%
89.0%
89.7%
95.9%
-5.4%
-4.2%
-7.2%
-3.5%
9.9%
-6.3%
-4.5%
Property
Revenue
Financial
Occupancy
$
Property
Revenue
Q3 2009
$
Sequential
% Change
11,530
13,679
8,963
8,912
1,662
616
45,362
-0.5%
-1.5%
-1.3%
0.2%
3.8%
-0.5%
-0.7%
.
Northern California
San Francisco MSA
Santa Clara County
Alameda County
San Mateo County
Contra Costa County
Other
Total same-property
Santa Clara County
Alameda County
Other
Non-same property
175
2,058
760
768
1,720
134
5,615
390
594
96
1,080
1,826
1,525
1,205
1,568
1,433
1,309
1,464
1,334
1,520
1,698
1,468
1,864
1,686
1,298
1,682
1,521
1,387
1,581
-2.0%
-9.5%
-7.2%
-6.8%
-5.8%
-5.6%
-7.4%
969
9,577
2,903
3,702
7,573
526
25,250
1,614
2,783
490
4,887
98.0%
98.0%
97.9%
97.3%
97.7%
96.8%
97.8%
959
10,640
3,104
3,968
8,036
557
27,264
1,864
1,492
484
3,840
94.6%
98.1%
97.0%
97.6%
97.6%
97.2%
97.6%
1.0%
-10.0%
-6.5%
-6.7%
-5.8%
-5.6%
-7.4%
949
9,845
2,915
3,790
7,630
528
25,657
2.1%
-2.7%
-0.4%
-2.3%
-0.7%
-0.4%
-1.6%
Seattle Metro
Total same-property
Non-same property
4,292
957
998
1,048
1,139
-12.4%
13,787
3,174
97.6%
15,485
3,498
97.1%
-11.0%
14,178
-2.8%
96.6%
-6.5%
85,197
-1.3%
Other real estate assets
Total same-property revenue
Total non-same property revenue
1,788
20,860
$
1,304
3,423
$
1,333
$
1,409
-7.5%
$
84,091
$
15,913
1,350
97.4%
$
89,945
$
13,766
See Company's 10-K and 10-Q for additional disclosures
S-8
$
E S S E X P R O P E R T Y T R U S T, I N C.
Revenue by County - Year ended December 31, 2009 and 2008
(Dollars in thousands)
Average Property Rental Rates
Region
Southern California
Ventura County
Los Angeles County
Orange County
San Diego County
Santa Barbara County
Riverside County
Units
2,898 $
2,754
2,037
2,641
347
276
YTD 2009
YTD 2008
Year to Date 2009
Property
Revenue
% Change
1,316 $
1,652
1,470
1,116
1,623
743
1,381
1,749
1,543
1,129
1,666
812
-4.7% $
-5.5%
-4.7%
-1.2%
-2.6%
-8.5%
1,438
-4.3%
Year to Date 2008
Financial
Occupancy
46,819
54,988
36,320
35,966
6,665
2,488
96.9%
96.2%
97.0%
97.1%
94.8%
94.2%
183,246
96.6%
Property
Revenue
$
Financial
Occupancy
Property
Revenue
% Change
48,182
57,055
38,057
36,291
6,614
2,608
95.8%
94.3%
96.7%
97.1%
92.4%
89.3%
-2.8%
-3.6%
-4.6%
-0.9%
0.8%
-4.6%
188,807
95.6%
-2.9%
Total same-property
10,953
1,376
Non-same property
1,386
1,453
175
2,058
760
768
1,720
134
1,830
1,597
1,252
1,621
1,467
1,333
1,815
1,643
1,271
1,632
1,526
1,378
0.8%
-2.8%
-1.5%
-0.7%
-3.9%
-3.3%
3,866
40,253
11,948
15,307
30,799
2,143
97.2%
98.2%
97.5%
97.4%
97.3%
96.9%
3,812
41,207
12,028
15,284
31,790
2,180
96.5%
98.0%
96.6%
97.5%
96.9%
96.7%
1.4%
-2.3%
-0.7%
0.2%
-3.1%
-1.7%
5,615
1,515
1,554
-2.5%
104,316
97.7%
106,301
97.4%
-1.9%
390
594
96
1,415
1,505
1,706
6,830
8,584
1,930
6,862
5,485
1,238
1,080
1,491
17,344
13,585
4,292
1,062
96.7%
-4.0%
957
1,108
96.3%
-2.8%
Northern California
San Francisco MSA
Santa Clara County
Alameda County
San Mateo County
Contra Costa County
Other
Total same-property
Santa Clara County
Alameda County
Other
Non-same property
Seattle Metro
Total same-property
Non-same property
23,588
1,124
-5.5%
58,041
Other real estate assets
Total same-property revenue
Total non-same property revenue
20,860 $
3,423 $
1,349 $
1,368
1,404
18,887
97.2%
60,430
13,229
9,918
7,300
5,340
-3.9% $
345,603
$
61,461
97.0%
See Company's 10-K and 10-Q for additional disclosures
S-8.1
$
355,538
$
47,730
E S S E X P R O P E R T Y T R U S T, I N C.
Development Pipeline - December 31, 2009
(Dollars in millions)
Incurred to
Date
Estimated Estimated retail
Units
sq. feet (1)
Development Projects
Project Name
Remaining
Costs
Estimated
Total Cost
Initial
Stabilized
Construction Construction
Start
Complete Occupancy Operations
Location
Fourth & U
Berkeley, CA
Joule Broadway (2)
Seattle, WA
Tasman Retail Pad and Garage Sunnyvale, CA
171
295
-
15,500
29,100
14,100
63.3
94.8
21.7
Apr-08
May-08
Jul-09
Jun-10
Jun-10
Jun-10
Apr-10
Apr-10
Jun-10
Oct-10
Feb-11
Jun-10
DuPont Lofts
115
581
58,700
27.2
150.2
9.1
65.9
36.3
216.1
Feb-10
Jun-10
Jun-10
Jan-11
-
-
-
-
-
332
62,000
53.7
89.3
143.0
769
309
200
27
24
-
-
-
-
Total - Land Held for Future Development or Sale
1,329
-
71.1
-
71.1
Grand Total - Development Pipeline
2,242
120,700
Irvine, CA
Total - Development Projects
$
49.5
68.1
5.4
$
13.8
26.7
16.3
$
Predevelopment Projects
Project Name
Main Street (3)
Tasman Apts/Retail
Location
Walnut Creek, CA
Sunnyvale, CA
Total - Predevelopment Projects
Land Held for Future Development or Sale (4)
Project Name
Cadence Campus
West Dublin
City Centre
Park Boulevard
View Pointe
(1)
(2)
(3)
(4)
Location
San Jose, CA
Dublin, CA
Moorpark, CA
Palo Alto, CA
Newcastle, WA
$
275.0
$
155.2
$
430.2
Certain apartment community developments include retail space, and the Company has included the total estimated retail square footage for each development project.
There is a construction loan in place for this development project that provides financing for the majority of the estimated remaining cost to be incurred.
The Company has entered into a joint venture development agreement with a third-party to develop this property. The Company has a 50% interest in this project.
The Company owns land in various stages of entitlement that is being held for future development or sale.
See Company's 10-K and 10-Q for additional disclosures
S-9
E S S E X P R O P E R T Y T R U S T, I N C.
Redevelopment Pipeline - December 31, 2009
(Dollars in thousands)
Region/Project Name
Approved - Redevelopment Projects (1)
Marina Cove, Santa Clara, CA
Active - Redevelopment Projects
Southern California (2)
Avondale at Warner Center, Woodland Hills, CA
Pathways, Long Beach, CA
Highridge, Rancho Palos Verdes, CA
Northern California (2)
The Montclaire - Phase I - III, Sunnyvale, CA
Boulevard, Fremont, CA
Bridgeport, Newark, CA
Seattle Metro
Foothill Commons, Bellevue, WA
Woodland Commons, Bellevue, WA
Total Active - Redevelopment Projects
Units
Total
Incurred
To Date
Estimated
Remaining
Cost
Estimated
Total
Cost
NOI
For the year ended
2009
2008
Redevelopment
Start Date
292
$
4,410
$
5,448
$
9,858
Jun-07
446
296
255
997
$
11,550
9,703
7,386
28,639
$
2,520
1,057
9,177
12,754
$
14,070
10,760
16,563
41,393
Oct-04
Jun-06
Jan-07
$
4,671
3,804
3,893
12,368
$
Units
completed
5,254
3,576
3,845
12,675
198
247
13
458
390
172
184
746
14,691
8,938
4,373
28,002
441
213
654
15,132
8,938
4,586
28,656
Aug-06
Sep-06
Oct-06
4,958
1,874
2,137
8,969
4,665
1,470
1,932
8,067
390
137
12
539
388
236
624
20,650
4,677
25,327
15,688
7,102
22,790
36,338
11,779
48,117
Jun-07
Jun-07
2,883
1,692
4,575
3,333
2,066
5,399
39
39
26,141
1,036
2,367
$
81,968
$
36,198
$
118,166
$
25,912
$
(1) This project is approved and redevelopment activity has commenced but as of Q4 2009 the community has stabilized operations, and therefore is classified in same-property
operations.
(2) All redevelopment projects located in Southern and Northern California will be classified in same-property operations starting Q1 2010.
See Company's 10-K and 10-Q for additional disclosures
S-10
E S S E X P R O P E R T Y T R U S T, I N C.
Co-investments - December 31, 2009
(Dollars in thousands)
Essex
Book
Value
Total Fund
Original
Cost
Joint Ventures
Essex Apartment Value Fund II, L.P. (Fund II) (1)
Southern California
Parcwood, Corona, CA
Renaissance, Los Angeles, CA
Total Southern California
Northern California
Alderwood Park, Newark, CA
Carlmont Woods, Belmont, CA
Davey Glen, Belmont, CA
Enclave, San Jose, CA
Enclave, San Jose, CA
Harbor Cove, Foster City, CA
Regency Tower, Oakland, CA
Total Northern California
Seattle Metro
Echo Ridge, Snoqualmie, WA
Morning Run, Monroe, WA
Tower @ 801, Seattle, WA
Total Seattle Metro
Total - Operating Communities
312 $
168
480
$
69,563 $
$
720
70,283
500
70,783
Capitalized costs
Other (4)
(1)
(2)
(3)
(4)
588,404
Dec-2013
May-2011
400
178
1,575
6,846
12,453
6,654
17,653
60,000
33,580
10,683
147,869
Jun-2015
Dec-2013
Aug-2016
Jan-2018
Dec-2029
Dec-2013
Mar-2014
120
222
173
515
2,570
12,813
13,258
18,654
44,725
239,684
Sep-2014
Oct-2014
Aug-2014
127
149
119
395
17,520
35,923
19,732
73,175
2,965 $
Property Revenue for
the year ended
2009
2008
Maturity
Date
24,449
22,641
47,090
96
195
69
637
Fund II - New Development
Eastlake 2851, Seattle, WA (initial occupancy May 2008)
Studio 40-41, Studio City, CA (initial occupancy April 2009)
Cielo, Chatsworth, CA (initial occupancy July 2009)
Total - Fund II
Units
Debt
Amount
$
8,038
$
27,678
8,377
NOI for the
year ended
2009
2008
% Change
-4.0% $
4,785
5,239
-8.7%
28,418
-2.6%
17,547
17,771
-1.3%
-5.4%
4,527
26,859 $
5,003
28,013
-9.5%
-3.4% $
$
1,892 $
722
$
7,746
43,462
$
8,186
44,981
Jan-2011 (2)
Apr-2010 (3)
Jun-2010 (3)
$
3,739
$
1,106
312,859
The Company has a 28.2% interest as a general partner and limited partner in Fund II, and may earn promote income if Fund II exceeds certain financial return benchmarks.
The construction loan has a one-year extension, exercisable at Fund II's option.
The construction loan has two one-year extensions, exercisable at Fund II's option.
The other co-investment relates to a real estate technology investment.
See Company's 10-K and 10-Q for additional disclosures
S-11
$
% Change
-4.1%
E S S E X P R O P E R T Y T R U S T, I N C.
Summary of Consolidated Co-Investments and Noncontrolling Interest - December 31, 2009
(Dollars in thousands)
The Company enters into co-investment transactions with third party developers, owners and investors of apartment communities. In accordance with GAAP, the
Company consolidates certain of these co-investment transactions, resulting in noncontrolling interests corresponding to the ownership interest of the third-party
developer, owner or investor.
The following table summarizes the consolidated co-investments and noncontrolling interest:
Investment in
Real Estate
Noncontrolling Interest - DownREIT:
Anchor Village
Barkley Apartments
Brentwood
Brookside Oaks
Capri at Sunny Hills
Hidden Valley (2)
Highridge Apartments
Montejo Apartments
Thomas Jefferson
Treehouse Apartments
Valley Park Apartments
Villa Angelina Apartments
Balance as of December 31, 2009
Related
Noncontrolling
Debt
Interest
$
13,656
8,946
14,731
33,895
17,525
38,977
26,384
8,753
26,496
11,756
15,245
19,735
$
10,750
17,442
20,197
13,651
18,673
32,240
44,807
5,618
19,351
7,564
9,582
12,958
$
236,099
$
Other Components of Noncontrolling Interest:
Hillsdale Garden Apartments (3)
$ 112,409
Joint Ventures - Development (4)
$
93,400
Operating Limited Partnership Units
Perpetual Preferred Units (5)
$
Total Noncontrolling Interest
$
Operations for the year ended
December 31, 2009
Operating
Revenue
Expenses
NOI
DownREIT
Units (1)
2,404
2,322
2,568
3,805
3,930
6,089
5,831
1,216
7,067
2,951
306
3,003
110,133
79,205
58,884
96,255
167,365
62,647
293,733
29,319
62,873
67,728
43,354
57,709
$
3,074
2,523
2,340
3,042
2,338
5,183
5,443
1,838
2,907
2,385
2,830
3,672
$
1,260
917
725
835
631
1,493
1,550
491
891
763
627
990
$
1,814
1,606
1,615
2,207
1,707
3,690
3,893
1,347
2,016
1,622
2,203
2,682
212,833
41,492
1,129,205
$
37,575
$
11,173
$
26,402
37,485
22,805
4,229
71,919
80,000
$
13,807
$
5,608
$
8,199
$
220,445
(1) Represents the number of DownREIT units that are currently outstanding. Generally, DownREIT units can be redeemed at the holder's election for cash equal to the current price of
Essex's common stock.
(2) The Company has a 75% interest in this community and a joint venture partner has a 25% interest.
(3) The Company has an 81.5% interest in this community and the joint venture partner has an 18.5% interest.
(4) The Company consolidates two joint venture developments in which the Company has a 50% and 99% interest, respectively.
(5) Includes Series B Cumulative Redeemable Preferred Units with an existing distribution rate of 7.875% and can be redeemed at the Company's option.
See Company's 10-K and 10-Q for additional disclosures
S-12
E S S E X P R O P E R T Y T R U S T, I N C.
Income From Discontinued Operations and Selected Financial Data - December 31, 2009
(Dollars in thousands)
Income from Discontinued Operations
For the quarter ended December 31, 2009, the Company sold Maple Leaf and for the year ended December 31, 2009, the
Company sold Maple Leaf, Carlton Heights, Grand Regency, Mountain View and Spring Lakes apartment communities. For the
quarter ended December 31, 2008, the Company sold Coral Gardens, and for year ended December 31, 2008, the Company
sold Coral Gardens, Cardiff by the Sea, and St. Cloud apartment communities.
Three Months Ended
December 31,
2009
2008
Rental revenues
Property operating expenses
Interest expense
Depreciation and amortization
Income from real estate sold
Gain on sale
Internal disposition costs
Income from discontinued operations
$
$
120
(25)
(34)
61
2,917
(65)
2,913
$
$
1,651
(660)
(123)
(296)
572
3,371
3,943
Twelve Months Ended
December 31,
2009
2008
$
1,991
(752)
(495)
744
8,626
(683)
8,687
$
Shares Outstanding and Potentially Dilutive Securities
Common Shares
Stock Options
Weighted Avg. Shares Diluted - EPS
Operating Limited Partnership Units
Weighted Avg. Shares Diluted - FFO
Q4 2009
Weighted Avg.
Actual
As of 12/31/09
YTD 2009
Weighted Avg.
28,403,122
28,849,779
27,269,547
43,539
50,609
29,317
28,446,661
28,900,388
27,298,864
2,446,508
2,398,479
2,447,750
30,893,169
31,298,867
29,746,614
See Company's 10-K and 10-Q for additional disclosures
S-13
$
$
11,526
(5,396)
(2,210)
(3,593)
327
3,417
3,744
E S S E X P R O P E R T Y T R U S T, I N C
MSA Level Forecasts 2010: Supply, Jobs and Apartment Market Conditions (DRAFT)
Residential Supply*
Job Forecast**
Forecast Market Conditions***
Estimated
Estimated Y-o-Y Rent
Year End
Growth
Occupancy
New MF
Supply
% of Total
Stock
New SF
Supply
% of Total
Stock
Est.New Jobs DecDec
% Growth
Seattle
3,500
0.9%
2,500
0.4%
7,500
0.5%
-2.5%
94.00%
San Francisco
Oakland
1,900
900
0.5%
0.3%
200
1,000
0.1%
0.2%
95.50%
94.50%
700
0.3%
400
0.1%
0.4%
0.2%
0.5%
2.00%
-2.00%
San Jose
4,000
2,000
4,000
0.00%
95.00%
No. Cal.
3,500
0.4%
1,600
0.1%
10,000
0.4%
0.2%
95.0%
Ventura
Los Angeles
Orange
San Diego
So. Cal.
250
2,600
1,100
1,100
5,050
0.5%
0.2%
0.3%
0.3%
0.2%
200
1,500
500
1,100
3,300
0.1%
0.1%
0.1%
0.2%
0.1%
1,500
15,000
7,000
5,000
28,500
0.5%
0.4%
0.5%
0.4%
0.4%
2.00%
0.00%
2.50%
2.00%
1.1%
94.50%
94.50%
94.50%
95.00%
94.6%
Weighted
Average****
12,050
0.3%
7,400
0.1%
46,000
0.4%
0.0%
94.5%
Market
All data is an Essex Forecast
U.S. Economic Assumptions: G.D.P.: 2010 vs 2009: 2.5% , Q4 '10 vs Q4 '09: 2.0%, Jobs: Q4 '10 vs Q4 '09 0.4%
* New Residential Supply represents Essex's internal estimate of actual deliveries during the year, which are related to but can differ from the 12 month trailing
permit Levels reported on the new residential supply schedule.
** Job Forecast/Performance refers to the difference between Total Non-Farm Industry Employment (not seasonally adjusted) projected through Q4 2010 over the
comparable actual figures for Q4 2009. The first column represents the current Essex forecast of the increase in Total Non-Farm Industry Employment. The second
column represents these forecasted new jobs as a percent of the Q4 2009 base.
***The Forecast Market Conditions represents Essex's estimates of the change in rents/occupancy rates forthe fourth quarter of 2010. The estimated year-over-year rent growth
represents the forecast change in effective market rents for Q4 2010 vs.Q4 2009 (where Market refers to the entire MSA apartment market, not the Essex portfolio). The
estimated year-end occupancy represents Essex's forecast of market occupancy rates for the fourth quarter of 2010.
****Weighted Average: Markets weighted by Units in Essex Portfolio
See Company's 10-Q for additional disclosures
S-14
E S S E X P R O P E R T Y T R U S T, I N C.
New Residential Supply: Permits as % of Current Stock (12 Month Permit Period: Trailing 12 Months December 2009)
Single Family Data
Multi-Family Data
All Residential Data
Total Residential
Permits Last 12
Months
% of Stock
Median SF
Price (Q3
2009 est**)
Q3 2009 SF
Affordability*
SF Stock
2000
SF Permits Last 12
Months
% of
Stock
MF Stock
2000
New York PMSA
Chicago
Miami/Ft. Lauderdale
Nassau-Suffolk
Boston
Philadelphia
Minneapolis
Atlanta
Denver
Baltimore
Portland
Wash. D.C. PMSA
Orlando
Phoenix
Las Vegas
Dallas-Ft. Worth
Houston
Austin
Totals
$385,400
$210,100
$217,000
$385,400
$348,000
$227,500
$184,800
$129,400
$229,100
$261,100
$244,501
$324,700
$157,900
$142,700
$138,500
$150,500
$160,600
$189,101
$242,040
66%
140%
105%
66%
99%
122%
170%
234%
134%
120%
215%
122%
156%
174%
171%
181%
165%
253%
151%
760,000
1,700,000
717,000
740,000
1,530,000
1,532,000
818,000
1,122,000
582,000
797,000
561,000
1,299,000
482,000
970,000
440,000
1,381,000
1,027,000
326,000
16,024,000
613
4,442
2,272
974
3,054
4,857
3,631
5,397
2,709
3,110
3,028
9,014
3,707
8,657
3,791
14,130
22,360
6,669
101,802
0.1%
0.3%
0.3%
0.2%
0.2%
0.3%
0.4%
0.5%
0.5%
0.4%
0.5%
0.7%
0.8%
0.9%
0.9%
1.0%
2.2%
2.0%
0.6%
2,920,000
1,404,900
876,000
240,000
670,800
515,100
351,800
467,800
274,900
268,000
225,335
644,300
201,500
360,500
215,700
650,000
547,700
169,900
8,084,235
4,839
1,452
1,131
1,416
2,053
1,786
970
994
1,279
1,909
794
2,851
719
642
1,622
5,773
4,709
2,049
32,149
0.2%
0.1%
0.1%
0.3%
0.6%
0.3%
0.3%
0.2%
0.5%
0.7%
0.4%
0.4%
0.4%
0.2%
0.8%
0.9%
0.9%
1.2%
0.4%
5,452
5,894
3,403
2,390
5,107
6,643
4,601
6,391
3,988
5,019
3,822
11,865
4,426
9,299
5,413
19,903
27,069
8,718
133,951
0.1%
0.2%
0.2%
0.3%
0.3%
0.3%
0.4%
0.4%
0.5%
0.5%
0.5%
0.6%
0.6%
0.7%
0.8%
1.0%
1.7%
1.8%
0.6%
Seattle
$347,700
89%
656,000
3,684
0.6%
354,487
1,121
0.3%
4,805
0.5%
San Francisco
Oakland
San Jose
$636,100
$385,100
$566,000
58%
96%
73%
368,000
625,000
388,000
396
1,881
622
0.1%
0.3%
0.2%
344,000
270,000
192,000
532
603
426
0.2%
0.2%
0.2%
928
2,484
1,048
0.1%
0.3%
0.2%
Los Angeles
Ventura
Orange
San Diego
$299,600
$366,400
$452,700
$378,100
84%
99%
78%
73%
1,877,000
199,000
628,000
664,000
2,088
207
1,300
1,777
0.1%
0.1%
0.2%
0.3%
1,392,963
53,295
340,800
375,664
2,449
83
673
1,057
0.2%
0.2%
0.2%
0.3%
4,537
290
1,973
2,834
0.1%
0.1%
0.2%
0.3%
No Cal
$502,810
79%
1,381,000
2,899
0.2%
806,000
1,561
0.2%
4,460
0.2%
So Cal
$347,570
82%
3,368,000
5,372
0.2%
2,162,722
4,262
0.2%
9,634
0.2%
ESSEX
$387,250
82%
5,405,000
11,955
0.2%
3,323,208
6,944
0.2%
18,899
0.2%
Market
MF Permits Last 12
months
% of Stock
Permits: single family equals 1 Unit, multi-family equals 5 or more units
Sources: SF Prices; Economy.com: Permits; Total Residential Stock: U.S. Census, Axiometrics; Mortgage Rates: Freddie Mac; Single Family and multi-family breakdown of total residences: Rosen Consulting Group, US Census, EASI, Essex
*Single Family Affordability - Equals the ratio of the actual median household income to the income required to purchase the median priced home.
**Median Home Prices - Q3 2009 National Association of Realtors, DataQuick, Essex
The required Income is defined such that the mortgage payment is 35% of said Income, assuming a 10% down payment and a 30-year fixed mortgage rate (6.03%).
Median Household Income is estimated from US Census 2004 data and income growth from BEA and population growth from the US Census.
See Company's 10-Q for additional disclosures
S-15
ESSEX PROPERTY TRUST, INC.
Real Estate Information as of December 31, 2009
Property Name
Address
City
State
Units
Square
Footage
Year
Acquired
Year
Built
Property
Ownership
Age of
Property
1998
2000
2005
2004
2000
1994
1994
1995
2000
2007
1988
1988
1963
2000
1998
2002
2000
1975
1974
1989
1973
2001
1973
1988
46
9
11
7
9
34
35
20
36
8
36
21
2007
1989
1969
1989
EPLP
EPLP
Fund II
EPLP
EPLP
EPLP
EPLP
EPLP
DownREIT
EPLP
EPLP
EPLP
EPLP
DownREIT
EPLP
2000
1996
1998
2005
2009
1987
2006
1975
1978
1975
1975
2009
1987
1987
EPLP
EPLP
EPLP
EPLP
Fund II
EPLP
EPLP
Fund II
34
31
34
34
22
22
APARTMENT COMMUNITIES
NORTHERN CALIFORNIA
1
1
Santa Clara County
Pointe at Cupertino
Carlyle, The
Enclave, The
Esplanade
Waterford, The
Le Parc
Marina Cove
Bristol Commons
Brookside Oaks
Magnolia Lane
Montclaire
Summerhill Park
Tasman Place Retail Pad
Thomas Jefferson
Windsor Ridge
19920 Olivewood Street
2909 Nieman Boulevard
4355 Renaissance Drive
350 East Taylor St.
1700 N. First Street
440 N. Winchester Avenue
3480 Granada Avenue
732 E. Evelyn Avenue
1651 Belleville Way
113 South Mary Avenue
450 N. Mathilda Avenue
972 Corte Madera Avenue
315 Tasman Drive
107 South Mary Avenue
825 E. Evelyn Avenue
Cupertino
San Jose
San Jose
San Jose
San Jose
Santa Clara
Santa Clara
Sunnyvale
Sunnyvale
Sunnyvale
Sunnyvale
Sunnyvale
Sunnyvale
Sunnyvale
Sunnyvale
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
11%
116
132
637
278
238
140
292
188
170
32
390
100
156
216
3,085
135,200
129,200
525,463
279,000
219,600
113,200
250,200
142,600
119,900
31,541
294,100
78,500
14,100
110,824
161,800
2,591,128
1
1
1
1
1
1
1
Alameda County
Fourth & U
Stevenson Place
Boulevard
City View
Regency Tower
The Grand
Bridgeport
Alderwood Park Apartments
700 University Avenue
4141 Stevenson Blvd.
40001 Fremont Blvd.
25200 Carlos Bee Blvd.
1130 Third Ave.
100 Grand Avenue
36826 Cherry Street
37057 Magnolia Street
Berkeley
Fremont
Fremont
Hayward
Oakland
Oakland
Newark
Newark
CA
CA
CA
CA
CA
CA
CA
CA
6%
171
200
172
560
178
238
184
96
1,628
184,099
146,200
131,200
462,400
140,900
205,026
139,000
74,624
1,094,324
1
1
1
1
1
1
Contra Costa County
San Marcos
Bel Air
Foothill Gardens
Twin Creeks
Canyon Oaks
Mill Creek at Windermere
2601 Hilltop Drive
2000 Shoreline Drive
1110 Harness Drive
2711-2731 Morgan Drive
1 Amberstone Lane
2100 Waterstone Place
Richmond
San Ramon
San Ramon
San Ramon
San Ramon
San Ramon
CA
CA
CA
CA
CA
CA
6%
432
462
132
44
250
400
1,720
407,600
391,000
155,100
51,700
237,894
381,060
1,624,354
2003
1995
1997
1997
2007
2007
2003
1988
1985
1985
2005
2005
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
6
21
24
24
4
4
1
1
1
1
1
San Mateo County
Carlmont Woods
Harbor Cove
Davey Glen
Hillsdale Garden
Belmont Terrace
2515 Carlmont Drive
900 E. Hillsdale Blvd.
200 Davey Glen Road
3421 Edison Avenue
1606 Continetals Way
Belmont
Foster City
Belmont
San Mateo
Belmont
CA
CA
CA
CA
CA
6%
195
400
69
697
71
1,432
107,200
306,600
65,974
611,505
72,951
1,164,230
2004
2004
2006
2006
2006
1971
1971
1962
1948
1974
Fund II
Fund II
Fund II
JV - 81.5%
EPLP
38
38
47
61
35
San Francisco and Marin Counties
1 Mt. Sutro Terrace Apartments
1 Vista Belvedere
480 Warren Drive
15 Red Hill Circle
San Francisco
Tiburon
CA
CA
1%
99
76
175
64,000
78,300
142,300
1999
2004
1973
1963
EPLP
EPLP
36
46
Other
1 Tuscana
1 Harvest Park
1 Chestnut Street Apartments
315 Mt. Oso
2327 Summercreek Drive
143 Chestnut Avenue
Tracy
Santa Rosa
Santa Cruz
CA
CA
CA
1%
30
104
96
230
29,088
116,628
87,640
233,356
2007
2007
2008
2007
2004
2002
EPLP
EPLP
EPLP
2
5
7
1
1
1
1
1
1
1
1
1
1
1
1
30%
37 Total Northern California
8,270
6,849,692
40
20
25
SOUTHERN CALIFORNIA
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
Los Angeles County
Hampton Court
Hampton Place
Marbrisa
Pathways
Bunker Hill
Cochran Apartments
Kings Road
Marbella
Belmont Station
Park Place
Windsor Court
Renaissance
Marina City Club
Mirabella
Monterra del Mar
Monterra del Rey
Monterra del Sol
Fountain Park
Highridge
Studio 40-41
Coldwater Canyon
Walnut Heights
Avondale at Warner Center
1136 N. Columbus Avenue
245 W. Loraine Street
1809 Termino Ave.
5945 E. Pacific Coast Hwy.
222 and 234 S. Figueroa St.
612 South Cochran
733 North Kings Road
600 South Detroit Street
1302 West 2nd St.
400 S. Detroit Street
401 S. Detroit Street
630 South Masselin Avenue
4333 Admiralty Way
13701 Marina Point Drive
280 E. Del Mar Boulevard
350 Madison
280 South Euclid
13141 Fountain Park Drive
28125 Peacock Ridge Drive
4043 Radford Avenue
4250 Codlwater Canyon
20700 San Jose Hills Road
22222 Victory Blvd.
Glendale
Glendale
Long Beach
Long Beach
Los Angeles
Los Angeles
Los Angeles
Los Angeles
Los Angeles
Los Angeles
Los Angeles
Los Angeles
Marina Del Rey
Marina Del Rey
Pasadena
Pasadena
Pasadena
Playa Vista
Rancho Palos Verde
Studio City
Studio City
Walnut
Woodland Hills
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
16%
83
132
202
296
456
58
196
60
275
60
58
168
101
188
123
84
85
705
255
149
39
163
446
4,382
71,500
141,500
122,800
197,700
346,600
51,400
132,100
50,108
225,000
48,000
46,600
154,268
127,200
176,800
74,400
73,100
69,200
608,900
290,200
127,238
34,125
146,700
331,000
3,646,439
1999
1999
2002
1991
1998
1998
1997
2005
2009
1997
1997
2006
2004
2000
1997
1999
1999
2004
1997
2009
2007
2003
1999
1974
1970
1987
1975
1968
1989
1979
1991
2009
1988
1988
1990
1971
2000
1972
1972
1972
2002
1972
2009
1979
1964
1970
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
Fund II
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
DownREIT
Fund II
EPLP
EPLP
EPLP
35
39
22
34
41
20
30
18
21
21
19
38
9
37
37
37
7
37
30
45
39
1
1
1
1
1
1
1
1
1
1
1
1
1
Ventura County
Camarillo Oaks
Camino Ruiz Square
Cielo
Regency at Encino
Mariner's Place
Tierra Vista
Monterey Villas
Meadowood
Hidden Valley
Lofts at Pinehurst,The
Hillcrest Park
Pinehurst
Woodside Village
921 Paseo Camarillo
105 Camino Ruiz
9733 Topanga Canyon Blvd
15506 Moorpark Street
711 South B Street
1750 Montevina Circle
1040 Kelp Lane
1733 Cochran Street
5065 Hidden Park Court
1021 Scandia Avenue
1800 West Hillcrest Drive
3980 Telegraph Road
675 Providence Ave.
Camarillo
Camarillo
Chatsworth
Encino
Oxnard
Oxnard
Oxnard
Simi Valley
Simi Valley
Ventura
Newbury Park
Ventura
Ventura
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
11%
564
160
119
75
105
404
122
320
324
118
608
28
145
3,092
459,000
105,448
125,400
78,487
77,200
387,100
122,100
264,500
310,900
71,100
521,900
21,200
136,500
2,680,835
1996
2006
2009
2009
2000
2001
1997
1996
2004
1997
1998
2004
2004
1985
1990
2009
1989
1987
2001
1974
1986
2004
1971
1973
1973
1987
EPLP
EPLP
Fund II
EPLP
EPLP
EPLP
EPLP
EPLP
DownREIT
EPLP
EPLP
EPLP
EPLP
24
19
20
22
8
35
23
5
38
36
36
22
1
SOUTHERN CALIFORNIA (cont'd)
Santa Barbara County
1 Chimney Sweep
1 CBC
1 Hope Ranch (Continental Apartments)
Hope Ranch (Lucero Village)
775 Camino Del Sur Drive
6721 El Colegio Drive
3968-3974 & 3999 Via Lucero
3968-3974 & 3999 Via Lucero
Goleta
Goleta
Santa Barbara
Santa Barbara
CA
CA
CA
CA
1%
91
148
108
347
306,608
2006
2006
2007
2007
1967
1962
1965
1973
EPLP
EPLP
EPLP
EPLP
42
47
44
36
25
40
48
17
35
25
2400 E. Lincoln Ave.
17300 Euclid Ave.
2341 Daphne Place
141 West Wilshire Avenue
12911 Dale St.
21270 Beach Boulevard
2300 DuPont Drive
1501 South Beach Boulevard
25362 Mosswood Way
2 Pine Valley Lane
201 E. Chapman Ave.
2301 E. Santa Clara Ave.
2601 N. Grand Ave.
Anahiem
Fountain Valley
Fullerton
Fullerton
Garden Grove
Huntington Beach
Irvine
La Habra
Lake Forest
Newport Beach
Placentia
Santa Ana
Santa Ana
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
7%
161
160
100
149
124
342
115
235
132
74
256
140
164
2,037
139,800
169,700
128,100
128,000
103,200
241,700
170,714
215,500
131,000
107,100
217,600
154,800
135,700
1,872,200
2000
2001
2001
1997
2001
1997
1984
1969
1961
1992
1974
1984
1
1
1
1
1
1
Orange County
Barkley Apartments
Valley Park Apartments
Capri at Sunny Hills
Wilshire Promenade
Montejo Apartments
Huntington Breakers
DuPont Lofts
Hillsborough Park
Trabuco Villas
Fairways Apartments
Villa Angelina
Brentwood Apartment Homes
Treehouse Apartments
1999
1997
1999
2001
2001
2001
1999
1985
1972
1970
1970
1970
DownREIT
DownREIT
DownREIT
EPLP
DownREIT
EPLP
EPLP
EPLP
EPLP
EPLP
DownREIT
DownREIT
DownREIT
1
1
1
1
1
1
1
1
1
1
1
1
1
1
San Diego County
Alpine Country
Alpine Village
Bonita Cedars
Cambridge
Woodlawn Colonial
Mesa Village
Tierra del Sol/Norte
Mira Monte
Country Villas
Mission Hills
Bluffs II, The
Summit Park
Vista Capri - North
Shadow Point
2660 Alpine Blvd.
2055 Arnold Way
5155 Cedarwood Rd.
660 F. St.
245-255 Woodlawn Ave.
5265 Clairemont Mesa Blvd.
989 Peach Ave.
10360 Maya Linda Rd.
283 Douglas Drive
218 Rancho Del Oro
6466 Friars Road
8563 Lake Murray Blvd.
3277 Berger Ave.
9830 Dale Ave.
Alpine
Alpine
Bonita
Chula Vista
Chula Vista
Clairemont
El Cajon
Mira Mesa
Oceanside
Oceanside
San Diego
San Diego
San Diego
Spring Valley
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
CA
10%
108
306
120
40
159
133
156
355
180
282
224
300
106
172
2,641
81,900
254,400
120,800
22,100
104,500
43,600
117,000
262,600
179,700
244,000
126,700
229,400
51,800
131,200
1,969,700
2002
2002
2002
2002
2002
2002
2002
2002
2002
2005
1997
2002
2002
2002
1986
1971
1983
1965
1974
1963
1969
1982
1976
1984
1974
1972
1975
1983
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
23
38
26
44
35
46
40
27
33
25
35
37
34
26
1700 Via Pacifica
2770 West Devonshire Ave.
Corona
Hemet
CA
CA
2%
312
276
588
270,000
207,200
477,200
2004
2002
1989
1988
Fund II
EPLP
20
21
48%
13,087
10,952,982
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
WA
22%
180
180
388
192
153
236
250
224
132
196
245
333
156
108
200
222
164
301
216
264
194
192
295
100
320
183
127
142
173
120
5,891
174,200
144,000
288,300
159,700
133,500
172,300
210,400
183,600
117,100
214,800
277,700
424,674
124,300
99,700
188,300
221,786
134,300
245,900
191,900
201,300
189,200
182,500
297,146
70,806
207,000
142,200
234,086
119,200
118,500
124,359
5,295,611
100%
27,248
581
1
1
1
1
1
1
Riverside County
1 Parcwood
1 Devonshire Apartments
67 Total Southern California
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
29
SEATTLE METROPOLITAN AREA
Cedar Terrace
3205 115th Ave. NE
Emerald Ridge
3010 118th Avenue SE
Foothill Commons
13800 NE 9th Place
Palisades, The
13808 NE 12th
Sammamish View
16160 SE Eastgate Way
Woodland Commons
13700 NE 10th Place
Canyon Pointe
1630 228th St. SE
Inglenook Court
14220 Juanita Drive, NE
Salmon Run at Perry Creek
2109 228th Street SE
Stonehedge Village
14690 143rd Blvd., NE
Park Hill at Issaquah
22516 SE 56th Street
Highlands at Wynhaven
1460 NE Hawthorne Street
Wandering Creek
12910 SE 240th
Bridle Trails
6600 130th Avenue, NE
Evergreen Heights
12233 NE 131st Way
Morning Run
18463 Blueberry Lane
Laurels at Mill Creek
1110 164th Street SE
Anchor Village
9507 49th Avenue West
Castle Creek
7000 132nd Place, SE
Brighton Ridge
2307 NE 4th Street
Fairwood Pond
14700 SE Petrovitsky Rd.
Forest View
650 Duvall Ave. NE
Joule Broadway
523 Broadway Avenue, East
The Cairns
420 Yale Avenue
Fountain Court
2400 4th Street
Linden Square
13530 Linden Avenue North
Eastlake 2851
2833 - 2851 Eastlake Avenue
Wharfside Pointe
3811 14th Avenue West
Tower @ 801
801 Pine Street
Echo Ridge
34907 SE Kinsey Street
Total Seattle Metropolitan Area
133
Avg. square footage
Avg. units per property
Avg. age of property
Bellevue
Bellevue
Bellevue
Bellevue
Bellevue
Bellevue
Bothell
Bothell
Bothell
Bothell
Issaquah
Issaquah
Kent
Kirkland
Kirkland
Monroe
Mill Creek
Mukilteo
Newcastle
Renton
Renton
Renton
Seattle
Seattle
Seattle
Seattle
Seattle
Seattle
Seattle
Snoqualmie
Apartment Communities
Apartment Communities Under Construction
848
205
26
29
2005
1994
1990
1990
1994
1990
2003
1994
2000
1997
1999
2008
1995
1997
1997
2005
1996
1997
1998
1996
2004
2003
1984
1987
1978
1977
1986
1978
1990
1985
2000
1986
1999
2000
1986
1986
1990
1991
1981
1981
1998
1986
1997
1998
2007
2000
2000
2008
1994
2005
2005
2006
2000
1994
2008
1990
1970
2000
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
EPLP
Fund II
EPLP
DownREIT
EPLP
EPLP
EPLP
EPLP
JV - 99%
EPLP
EPLP
EPLP
Fund II
EPLP
Fund II
Fund II
25
22
31
32
23
31
19
24
9
23
10
9
23
23
19
18
28
28
11
23
12
11
3
9
15
1
19
39
9
19
23,098,285 (1)
666,059 (2)
Definitions for Property Ownership
EPLP The Company has a 100% ownership in the community.
Fund II The community is owned by Fund II. The Company has a 28.2% interest in Fund II which is
accounted for using the equity method of accounting.
DownREIT The Company holds a 1% special limited partner interest in the partnerships which owns the
community. In accordance with GAAP, the Company consolidates this community.
JV - 81.5% The Company has a 81.5% ownership in this community and is consolidated.
JV - 99% The Company has a 99% ownership in this development and is consolidated.
(1) Includes 44,318 square feet of retail or commercial space
(2) Includes 58,700 square feet of estimated retail or commercial space
OTHER REAL ESTATE ASSETS
Office Buildings
Essex Corporate Headquarter Bldg.
925 / 935 E. Meadow Dr.
Derian Office Building
17461 Derian Av.
Essex Southern Cal. Office Building
22110-22120 Clarendon St.
Hollywood
6230 Sunset Blvd.
10
24
37
39
39
39
Palo Alto
Irvine
Woodland Hills
Los Angeles
CA
CA
CA
CA
2
31,900
110,000
38,940
35,000
215,840
1997 / 2007
2000
2001
2006
1988 / 1962
1983
1982
1938
EPLP
EPLP
EPLP
EPLP