Financial News
Equity Residential Reports Third Quarter 2024 Results
Equity Residential (NYSE: EQR) today reported results for the quarter and nine months ended September 30, 2024 and has posted a Q3 2024 Management Presentation to its website as referenced below.
Third Quarter 2024 Results
All per share results are reported as available to common shares/units on a diluted basis.
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Quarter Ended September 30, |
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2024 |
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2023 |
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$ Change |
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% Change |
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Earnings Per Share (EPS) |
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$ |
0.38 |
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$ |
0.45 |
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$ |
(0.07 |
) |
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(15.6 |
%) |
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Funds from Operations (FFO) per share |
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$ |
0.99 |
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$ |
0.96 |
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$ |
0.03 |
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3.1 |
% |
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Normalized FFO (NFFO) per share |
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$ |
0.98 |
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$ |
0.96 |
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$ |
0.02 |
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2.1 |
% |
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Nine Months Ended September 30, |
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2024 |
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2023 |
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$ Change |
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% Change |
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Earnings Per Share (EPS) |
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$ |
1.62 |
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$ |
1.38 |
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$ |
0.24 |
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17.4 |
% |
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Funds from Operations (FFO) per share |
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$ |
2.79 |
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$ |
2.74 |
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$ |
0.05 |
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1.8 |
% |
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Normalized FFO (NFFO) per share |
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$ |
2.89 |
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$ |
2.78 |
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$ |
0.11 |
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4.0 |
% |
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Recent Highlights
- During the third quarter of 2024, the Company acquired fourteen properties, consisting of 4,418 apartment units, for an aggregate acquisition price of approximately $1.26 billion at a weighted average Acquisition Cap Rate of 5.1%. These assets are located in the Company’s Expansion Markets of Atlanta, Dallas/Ft. Worth and Denver.
- In September of 2024, the Company issued $600.0 million of unsecured 10-year notes at a coupon rate of 4.65%, the lowest 10-year coupon rate issued by a REIT since 2022, and an all-in effective yield of 4.9%. Proceeds from this issuance were used to partially fund the acquisitions described above.
- Same store revenue increased 2.7% for the third quarter of 2024 compared to the third quarter of 2023, driven by good demand and modest supply across most of the Company’s markets. Same store expense increased 3.2% with low growth in the primary expense categories. Same store Net Operating Income (NOI) increased 2.5%.
- The Company published its 11th annual Corporate Responsibility report highlighting Equity Residential’s goals and accomplishments.
“We delivered solid same store revenue results in the quarter with the underlying drivers mostly in line with expectations. Our business continues to benefit from high employment levels among our well earning resident base, wage growth across the economy and limited home ownership and rental options in most of our markets, making our well-located apartment properties an appealing choice," said Mark J. Parrell, Equity Residential’s President and CEO. “Looking ahead, we continue to be excited about the prospects for our business as lower levels of competitive new supply in future years, especially in our Established Markets on the coasts, along with a positive forward employment picture for our higher earning customer, positions us well to continue to grow cash flows.”
Results Per Share
The change in EPS for the quarter ended September 30, 2024 compared to the same period of 2023 is due primarily to lower property sale gains, higher depreciation expense, the various adjustment items listed on page 27 of this release and the items described below. The change in EPS for the nine months ended September 30, 2024 compared to the same period of 2023 is due primarily to higher property sale gains, higher depreciation expense, the various adjustment items listed on page 27 of this release and the items described below.
The per share changes in FFO for the quarter and nine months ended September 30, 2024 compared to the same periods of 2023 are due primarily to the various adjustment items listed on page 27 of this release and the items described below.
The per share changes in Normalized FFO are due primarily to:
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Positive/(Negative) Impact |
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Third Quarter 2024 vs.
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September YTD 2024 vs.
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Same store NOI |
$ |
0.03 |
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$ |
0.13 |
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Lease-Up NOI |
– |
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0.01 |
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2024 and 2023 transaction activity impact on NOI, net |
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0.01 |
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(0.02 |
) |
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Interest expense, net |
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(0.01 |
) |
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(0.01 |
) |
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Corporate overhead (1) |
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(0.01 |
) |
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(0.02 |
) |
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Other items |
– |
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0.02 |
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Net |
$ |
0.02 |
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$ |
0.11 |
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(1) |
Corporate overhead includes property management and general and administrative expenses. |
The Company has a glossary of defined terms and related reconciliations of Non-GAAP financial measures on pages 29 through 34 of this release. Reconciliations and definitions of FFO and Normalized FFO are provided on pages 7, 31 and 32 of this release.
Same Store Results
The following table shows the total same store results for the periods presented (includes Residential and Non-Residential).
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Third Quarter 2024 vs.
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Third Quarter 2024 vs.
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September YTD 2024 vs.
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Apartment Units |
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77,203 |
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78,633 |
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76,916 |
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Physical Occupancy |
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96.1% vs. 96.0% |
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96.1% vs. 96.3% |
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96.3% vs. 95.9% |
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Revenues |
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2.7% |
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0.5% |
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3.2% |
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Expenses |
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3.2% |
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2.3% |
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2.3% |
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NOI |
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2.5% |
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(0.4%) |
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3.7% |
The following table reflects the detail of the change in Same Store Residential Revenues, which is presented on a GAAP basis showing Leasing Concessions on a straight-line basis.
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Third Quarter 2024 vs.
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Third Quarter 2024 vs.
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September YTD 2024 vs.
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% Change |
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% Change |
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% Change |
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Same Store Residential Revenues- |
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comparable period |
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Lease rates |
2.0 |
% |
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0.9 |
% |
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2.5 |
% |
Leasing Concessions |
(0.1 |
%) |
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0.0 |
% |
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(0.2 |
%) |
Vacancy gain (loss) |
0.2 |
% |
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(0.4 |
%) |
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0.3 |
% |
Bad Debt, Net (1) |
0.2 |
% |
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0.1 |
% |
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0.2 |
% |
Other (2) |
0.2 |
% |
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0.0 |
% |
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0.3 |
% |
Same Store Residential Revenues- |
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current period |
2.5 |
% |
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0.6 |
% |
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3.1 |
% |
(1) |
Change in rental income due to bad debt write-offs and reserves, net of amounts (including governmental rental assistance payments) collected on previously written-off or reserved accounts. See page 13 for more detail. |
(2) |
Includes ancillary income, utility recoveries, early lease termination income, miscellaneous income and other items. |
See page 12 for detail and reconciliations of Same Store Residential Revenues on a GAAP basis to Same Store Residential Revenues with Leasing Concessions on a cash basis.
Residential Same Store Operating Statistics
The following table includes select operating metrics for Residential Same Store Properties (for 76,916 same store apartment units):
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Q3 2024 |
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Q2 2024 |
Physical Occupancy |
96.1% |
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96.4% |
Percentage of Residents Renewing by quarter |
56.7% |
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57.7% |
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New Lease Change |
(1.2%) |
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0.2% |
Renewal Rate Achieved |
4.6% |
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5.0% |
Blended Rate (1) |
2.0% |
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2.9% |
(1) |
Blended Rates for Established Markets were 2.4% and 3.3% for Q3 2024 and Q2 2024, respectively. See page 17. |
In the third quarter of 2024, Physical Occupancy and Percentage of Residents Renewing exceeded expectations while Renewal Rate Achieved remained strong. In September 2024, New Lease Change, a volatile metric, seasonally decelerated more quickly than anticipated, primarily due to weakness in the city of Los Angeles and in our Expansion Markets, leading to Blended Rates at the low end of the Company's expected range for the third quarter of 2024. Blended Rate has normalized with typical seasonal patterns thus far in the fourth quarter of 2024 and is expected to be between 0.75% and 1.25% for the fourth quarter of 2024.
Investment Activity
During the third quarter of 2024, the Company acquired 14 properties consisting of 4,418 apartment units, located in the Company’s Expansion Markets of Atlanta, Dallas/Ft. Worth and Denver, for an aggregate acquisition price of approximately $1.26 billion at a weighted average Acquisition Cap Rate of 5.1%. The acquired properties are seven years old on average. Subsequent to the end of the third quarter of 2024, the Company acquired a two year old, 274 apartment unit property in suburban Atlanta for a purchase price of $89.5 million. During the third quarter of 2024, the Company sold a 63 year old property, located in Washington, D.C., consisting of 138 apartment units, for a sale price of approximately $31.5 million at a Disposition Yield of 6.1%.
During the first nine months of 2024, the Company acquired 15 properties, consisting of 4,578 apartment units, for an aggregate purchase price of approximately $1.3 billion at a weighted average Acquisition Cap Rate of 5.1%. The acquired properties are six years old on average. Also during the first nine months of 2024, the Company sold six properties consisting of 969 apartment units, for an aggregate sale price of approximately $365.5 million at a weighted average Disposition Yield of 5.7%. The properties sold during 2024 have an average age of 43 years.
As of September 30, 2024, the Company has 42 properties (including those under development) located in its Expansion Markets of Atlanta, Austin, Dallas/Ft. Worth and Denver, which constitutes approximately 10% of total portfolio NOI.
“We are seeing an increasingly active transaction market providing us with opportunities to acquire properties in our Expansion Markets at attractive prices relative to replacement costs and at reasonable cap rates on depressed rent rolls as we execute on our strategy to better balance our portfolio,” said Alec Brackenridge, Equity Residential's Executive Vice President and Chief Investment Officer. “We are continuing to build a portfolio in the metro areas on the coasts and in select markets in the sunbelt that are most desirable to our target affluent renter demographic and have favorable long-term return characteristics.”
Capital Markets Activity
On September 11, 2024, the Company closed on the issuance of $600.0 million of 10-year unsecured notes at a coupon rate of 4.65%, which is the lowest 10-year coupon rate issued by a REIT since 2022, and an all-in effective yield of 4.9%. Proceeds from the offering were used to partially fund the Company’s acquisition activity during the quarter.
Fourth Quarter 2024 Guidance
The Company has established guidance ranges for the fourth quarter of 2024 EPS, FFO per share and Normalized FFO per share as listed below:
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Q4 2024
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EPS |
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$1.01 to $1.05 |
FFO per share |
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$0.95 to $0.99 |
Normalized FFO per share |
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$0.98 to $1.02 |
The difference between the third quarter of 2024 actual EPS of $0.38 and the fourth quarter of 2024 EPS guidance midpoint of $1.03 is due primarily to higher expected property sale gains, higher expected depreciation expense, lower expected non-operating asset gains and the items described below.
The difference between the third quarter of 2024 actual FFO of $0.99 per share and the fourth quarter of 2024 FFO guidance midpoint of $0.97 per share is due primarily to lower expected non-operating asset gains and the items described below.
The difference between the third quarter of 2024 actual Normalized FFO of $0.98 per share and the fourth quarter of 2024 Normalized FFO guidance midpoint of $1.00 per share is due primarily to:
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Expected
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Fourth Quarter 2024 vs.
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Same store NOI |
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$ |
0.01 |
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2024 and 2023 transaction activity impact on NOI, net |
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0.02 |
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Interest expense, net |
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(0.02 |
) |
Corporate overhead |
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0.01 |
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Net |
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$ |
0.02 |
|
About Equity Residential
Equity Residential is committed to creating communities where people thrive. The Company, a member of the S&P 500, is focused on the acquisition, development and management of residential properties located in and around dynamic cities that attract affluent long-term renters. Equity Residential owns or has investments in 312 properties consisting of 84,018 apartment units, with an established presence in Boston, New York, Washington, D.C., Seattle, San Francisco and Southern California, and an expanding presence in Denver, Atlanta, Dallas/Ft. Worth and Austin. For more information on Equity Residential, please visit our website at www.equityapartments.com.
Forward-Looking Statements
In addition to historical information, this press release contains forward-looking statements and information within the meaning of the federal securities laws. These statements are based on current expectations, estimates, projections and assumptions made by management. While Equity Residential’s management believes the assumptions underlying its forward-looking statements are reasonable, such information is inherently subject to uncertainties and may involve certain risks, including, without limitation, changes in general market conditions, including the rate of job growth and cost of labor and construction material, the level of new multifamily construction and development, government regulations and competition. These and other risks and uncertainties are described under the heading “Risk Factors” in our Annual Report on Form 10-K and subsequent periodic reports filed with the Securities and Exchange Commission (SEC) and available on our website, www.equityapartments.com. Many of these uncertainties and risks are difficult to predict and beyond management’s control. Forward-looking statements are not guarantees of future performance, results or events. Equity Residential assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
A live web cast of the Company’s conference call discussing these results will take place tomorrow, Thursday, October 31, 2024 at 10:30 a.m. CT. In connection with the conference call, the Company is also providing a Management Presentation on its website. Please visit the Investor section of the Company’s website at www.equityapartments.com for the webcast link.
Equity Residential |
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Consolidated Statements of Operations |
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(Amounts in thousands except per share data) |
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(Unaudited) |
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Nine Months Ended September 30, |
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Quarter Ended September 30, |
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2024 |
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2023 |
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2024 |
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2023 |
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REVENUES |
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Rental income |
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$ |
2,213,329 |
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$ |
2,146,464 |
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$ |
748,348 |
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$ |
724,067 |
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EXPENSES |
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Property and maintenance |
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396,349 |
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|
391,437 |
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135,221 |
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129,087 |
|
Real estate taxes and insurance |
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320,452 |
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312,607 |
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105,954 |
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102,858 |
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Property management |
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100,381 |
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90,314 |
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31,412 |
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28,169 |
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General and administrative |
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48,902 |
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49,135 |
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14,551 |
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14,094 |
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Depreciation |
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688,041 |
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661,921 |
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237,948 |
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224,736 |
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Total expenses |
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1,554,125 |
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1,505,414 |
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525,086 |
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498,944 |
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Net gain (loss) on sales of real estate properties |
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227,829 |
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|
127,034 |
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(165 |
) |
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|
26,912 |
|
Interest and other income |
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|
26,501 |
|
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|
11,296 |
|
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|
15,844 |
|
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|
7,627 |
|
Other expenses |
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(59,094 |
) |
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|
(20,517 |
) |
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(13,971 |
) |
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(4,958 |
) |
Interest: |
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Expense incurred, net |
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(205,762 |
) |
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|
(200,882 |
) |
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(72,722 |
) |
|
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(68,891 |
) |
Amortization of deferred financing costs |
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(5,784 |
) |
|
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(7,023 |
) |
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(1,948 |
) |
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|
(3,027 |
) |
Income before income and other taxes, income (loss) from |
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investments in unconsolidated entities and net gain (loss) |
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on sales of land parcels |
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642,894 |
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550,958 |
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150,300 |
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182,786 |
|
Income and other tax (expense) benefit |
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(925 |
) |
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(892 |
) |
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(290 |
) |
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(258 |
) |
Income (loss) from investments in unconsolidated entities |
|
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(4,865 |
) |
|
|
(3,847 |
) |
|
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(1,493 |
) |
|
|
(1,242 |
) |
Net income |
|
|
637,104 |
|
|
|
546,219 |
|
|
|
148,517 |
|
|
|
181,286 |
|
Net (income) loss attributable to Noncontrolling Interests: |
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|
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Operating Partnership |
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(17,290 |
) |
|
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(17,174 |
) |
|
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(4,012 |
) |
|
|
(5,561 |
) |
Partially Owned Properties |
|
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(3,098 |
) |
|
|
(5,299 |
) |
|
|
(1,059 |
) |
|
|
(3,217 |
) |
Net income attributable to controlling interests |
|
|
616,716 |
|
|
|
523,746 |
|
|
|
143,446 |
|
|
|
172,508 |
|
Preferred distributions |
|
|
(1,258 |
) |
|
|
(2,318 |
) |
|
|
(356 |
) |
|
|
(773 |
) |
Premium on redemption of Preferred Shares |
|
|
(1,444 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income available to Common Shares |
|
$ |
614,014 |
|
|
$ |
521,428 |
|
|
$ |
143,090 |
|
|
$ |
171,735 |
|
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|
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Earnings per share – basic: |
|
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|
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|
|
|
|
|
|
|
|
||||
Net income available to Common Shares |
|
$ |
1.62 |
|
|
$ |
1.38 |
|
|
$ |
0.38 |
|
|
$ |
0.45 |
|
Weighted average Common Shares outstanding |
|
|
378,718 |
|
|
|
378,614 |
|
|
|
378,756 |
|
|
|
378,853 |
|
|
|
|
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|
||||
Earnings per share – diluted: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income available to Common Shares |
|
$ |
1.62 |
|
|
$ |
1.38 |
|
|
$ |
0.38 |
|
|
$ |
0.45 |
|
Weighted average Common Shares outstanding |
|
|
390,688 |
|
|
|
391,135 |
|
|
|
391,026 |
|
|
|
391,351 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Distributions declared per Common Share outstanding |
|
$ |
2.025 |
|
|
$ |
1.9875 |
|
|
$ |
0.675 |
|
|
$ |
0.6625 |
|
Equity Residential |
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Consolidated Statements of Funds From Operations and Normalized Funds From Operations |
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(Amounts in thousands except per share and Unit data) |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
Nine Months Ended September 30, |
|
Quarter Ended September 30, |
||||||||||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Net income |
|
$ |
637,104 |
|
|
$ |
546,219 |
|
|
$ |
148,517 |
|
|
$ |
181,286 |
|
Net (income) loss attributable to Noncontrolling Interests – Partially |
||||||||||||||||
Owned Properties |
|
(3,098 |
) |
|
|
(5,299 |
) |
|
|
(1,059 |
) |
|
|
(3,217 |
) |
|
Preferred distributions |
|
|
(1,258 |
) |
|
|
(2,318 |
) |
|
|
(356 |
) |
|
|
(773 |
) |
Premium on redemption of Preferred Shares |
|
|
(1,444 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income available to Common Shares and Units |
|
|
631,304 |
|
|
|
538,602 |
|
|
|
147,102 |
|
|
|
177,296 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Depreciation |
|
|
688,041 |
|
|
|
661,921 |
|
|
|
237,948 |
|
|
|
224,736 |
|
Depreciation – Non-real estate additions |
|
|
(2,839 |
) |
|
|
(3,291 |
) |
|
|
(942 |
) |
|
|
(1,032 |
) |
Depreciation – Partially Owned Properties |
|
|
(1,645 |
) |
|
|
(1,599 |
) |
|
|
(556 |
) |
|
|
(544 |
) |
Depreciation – Unconsolidated Properties |
|
|
3,881 |
|
|
|
1,921 |
|
|
|
2,429 |
|
|
|
695 |
|
Net (gain) loss on sales of unconsolidated entities - operating assets |
|
|
(710 |
) |
|
|
— |
|
|
|
(710 |
) |
|
|
— |
|
Net (gain) loss on sales of real estate properties |
|
|
(227,829 |
) |
|
|
(127,034 |
) |
|
|
165 |
|
|
|
(26,912 |
) |
Noncontrolling Interests share of gain (loss) on sales |
||||||||||||||||
of real estate properties |
|
|
— |
|
|
|
2,336 |
|
|
|
— |
|
|
|
2,336 |
|
FFO available to Common Shares and Units |
|
|
1,090,203 |
|
|
|
1,072,856 |
|
|
|
385,436 |
|
|
|
376,575 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjustments (see note for additional detail): |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Write-off of pursuit costs |
|
|
1,905 |
|
|
|
2,739 |
|
|
|
536 |
|
|
|
746 |
|
Debt extinguishment and preferred share redemption (gains) losses |
|
|
1,444 |
|
|
|
1,143 |
|
|
|
— |
|
|
|
1,096 |
|
Non-operating asset (gains) losses |
|
|
(17,452 |
) |
|
|
(4,735 |
) |
|
|
(14,236 |
) |
|
|
(5,766 |
) |
Other miscellaneous items |
|
|
53,432 |
|
|
|
14,831 |
|
|
|
12,758 |
|
|
|
3,488 |
|
Normalized FFO available to Common Shares and Units |
|
$ |
1,129,532 |
|
|
$ |
1,086,834 |
|
|
$ |
384,494 |
|
|
$ |
376,139 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
FFO |
|
$ |
1,092,905 |
|
|
$ |
1,075,174 |
|
|
$ |
385,792 |
|
|
$ |
377,348 |
|
Preferred distributions |
|
|
(1,258 |
) |
|
|
(2,318 |
) |
|
|
(356 |
) |
|
|
(773 |
) |
Premium on redemption of Preferred Shares |
|
|
(1,444 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
FFO available to Common Shares and Units |
|
$ |
1,090,203 |
|
|
$ |
1,072,856 |
|
|
$ |
385,436 |
|
|
$ |
376,575 |
|
FFO per share and Unit – basic |
|
$ |
2.80 |
|
|
$ |
2.75 |
|
|
$ |
0.99 |
|
|
$ |
0.97 |
|
FFO per share and Unit – diluted |
|
$ |
2.79 |
|
|
$ |
2.74 |
|
|
$ |
0.99 |
|
|
$ |
0.96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Normalized FFO |
|
$ |
1,130,790 |
|
|
$ |
1,089,152 |
|
|
$ |
384,850 |
|
|
$ |
376,912 |
|
Preferred distributions |
|
|
(1,258 |
) |
|
|
(2,318 |
) |
|
|
(356 |
) |
|
|
(773 |
) |
Normalized FFO available to Common Shares and Units |
|
$ |
1,129,532 |
|
|
$ |
1,086,834 |
|
|
$ |
384,494 |
|
|
$ |
376,139 |
|
Normalized FFO per share and Unit – basic |
|
$ |
2.90 |
|
|
$ |
2.79 |
|
|
$ |
0.99 |
|
|
$ |
0.96 |
|
Normalized FFO per share and Unit – diluted |
|
$ |
2.89 |
|
|
$ |
2.78 |
|
|
$ |
0.98 |
|
|
$ |
0.96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Weighted average Common Shares and Units outstanding – basic |
|
389,379 |
|
|
|
389,991 |
|
|
|
389,379 |
|
|
|
390,087 |
|
|
Weighted average Common Shares and Units outstanding – diluted |
|
390,688 |
|
|
|
391,135 |
|
|
|
391,026 |
|
|
|
391,351 |
|
Note: See Adjustments from FFO to Normalized FFO for additional detail regarding the adjustments from FFO to Normalized FFO. See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for the definitions of non-GAAP financial measures and other terms as well as the reconciliations of EPS to FFO per share and Normalized FFO per share.
Equity Residential |
||||||||
Consolidated Balance Sheets |
||||||||
(Amounts in thousands except for share amounts) |
||||||||
(Unaudited) |
||||||||
|
|
September 30, |
|
December 31, |
||||
|
|
2024 |
|
2023 |
||||
ASSETS |
|
|
|
|
|
|
||
Land |
|
$ |
5,675,037 |
|
|
$ |
5,581,876 |
|
Depreciable property |
|
|
24,148,043 |
|
|
|
22,938,426 |
|
Projects under development |
|
|
222,055 |
|
|
|
78,036 |
|
Land held for development |
|
|
65,113 |
|
|
|
114,300 |
|
Investment in real estate |
|
|
30,110,248 |
|
|
|
28,712,638 |
|
Accumulated depreciation |
|
|
(10,386,783 |
) |
|
|
(9,810,337 |
) |
Investment in real estate, net |
|
|
19,723,465 |
|
|
|
18,902,301 |
|
Investments in unconsolidated entities1 |
|
|
359,810 |
|
|
|
282,049 |
|
Cash and cash equivalents |
|
|
28,610 |
|
|
|
50,743 |
|
Restricted deposits |
|
|
97,949 |
|
|
|
89,252 |
|
Right-of-use assets |
|
|
458,673 |
|
|
|
457,266 |
|
Other assets |
|
|
257,314 |
|
|
|
252,953 |
|
Total assets |
|
$ |
20,925,821 |
|
|
$ |
20,034,564 |
|
|
|
|
|
|
|
|
||
LIABILITIES AND EQUITY |
|
|
|
|
|
|
||
Liabilities: |
|
|
|
|
|
|
||
Mortgage notes payable, net |
|
$ |
1,633,414 |
|
|
$ |
1,632,902 |
|
Notes, net |
|
|
5,945,670 |
|
|
|
5,348,417 |
|
Line of credit and commercial paper |
|
|
786,561 |
|
|
|
409,131 |
|
Accounts payable and accrued expenses |
|
|
165,787 |
|
|
|
87,377 |
|
Accrued interest payable |
|
|
50,633 |
|
|
|
65,716 |
|
Lease liabilities |
|
|
306,119 |
|
|
|
311,640 |
|
Other liabilities |
|
|
294,543 |
|
|
|
272,596 |
|
Security deposits |
|
|
74,350 |
|
|
|
69,178 |
|
Distributions payable |
|
|
263,425 |
|
|
|
259,231 |
|
Total liabilities |
|
|
9,520,502 |
|
|
|
8,456,188 |
|
|
|
|
|
|
|
|
||
Commitments and contingencies |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
||
Redeemable Noncontrolling Interests – Operating Partnership |
|
|
351,803 |
|
|
|
289,248 |
|
Equity: |
|
|
|
|
|
|
||
Shareholders' equity: |
|
|
|
|
|
|
||
Preferred Shares of beneficial interest, $0.01 par value; |
||||||||
100,000,000 shares authorized; 343,100 shares issued and |
||||||||
outstanding as of September 30, 2024 and 745,600 shares issued |
||||||||
and outstanding as of December 31, 2023 |
|
|
17,155 |
|
|
|
37,280 |
|
Common Shares of beneficial interest, $0.01 par value; |
||||||||
1,000,000,000 shares authorized; 379,354,738 shares issued |
||||||||
and outstanding as of September 30, 2024 and 379,291,417 |
||||||||
shares issued and outstanding as of December 31, 2023 |
|
|
3,794 |
|
|
|
3,793 |
|
Paid in capital |
|
|
9,584,539 |
|
|
|
9,601,866 |
|
Retained earnings |
|
|
1,244,953 |
|
|
|
1,437,185 |
|
Accumulated other comprehensive income (loss) |
|
|
3,534 |
|
|
|
5,704 |
|
Total shareholders’ equity |
|
|
10,853,975 |
|
|
|
11,085,828 |
|
Noncontrolling Interests: |
|
|
|
|
|
|
||
Operating Partnership |
|
|
199,206 |
|
|
|
202,306 |
|
Partially Owned Properties |
|
|
335 |
|
|
|
994 |
|
Total Noncontrolling Interests |
|
|
199,541 |
|
|
|
203,300 |
|
Total equity |
|
|
11,053,516 |
|
|
|
11,289,128 |
|
Total liabilities and equity |
|
$ |
20,925,821 |
|
|
$ |
20,034,564 |
|
1 Includes $297.5 million and $220.2 million in unconsolidated projects (primarily development) as of September 30, 2024 and December 31, 2023, respectively. See Development and Lease-Up Projects for additional detail on unconsolidated projects. |
Equity Residential Portfolio Summary As of September 30, 2024 |
|
|
|
|
|
|
|
|
% of
|
|
Average |
||||||
|
|
|
|
|
Apartment |
|
Budgeted |
|
Rental |
|||||||
Markets/Metro Areas |
|
Properties |
|
Units |
|
NOI |
|
Rate |
||||||||
Established Markets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Los Angeles |
|
|
58 |
|
|
|
14,732 |
|
|
|
16.7 |
% |
|
$ |
2,943 |
|
Orange County |
|
|
12 |
|
|
|
3,718 |
|
|
|
4.9 |
% |
|
|
2,937 |
|
San Diego |
|
|
12 |
|
|
|
2,878 |
|
|
|
3.9 |
% |
|
|
3,127 |
|
Subtotal – Southern California |
|
|
82 |
|
|
|
21,328 |
|
|
|
25.5 |
% |
|
|
2,967 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Washington, D.C. |
|
|
46 |
|
|
|
14,728 |
|
|
|
15.6 |
% |
|
|
2,761 |
|
San Francisco |
|
|
41 |
|
|
|
11,410 |
|
|
|
14.6 |
% |
|
|
3,343 |
|
New York |
|
|
34 |
|
|
|
8,536 |
|
|
|
13.8 |
% |
|
|
4,669 |
|
Boston |
|
|
27 |
|
|
|
7,237 |
|
|
|
11.6 |
% |
|
|
3,612 |
|
Seattle |
|
|
44 |
|
|
|
9,267 |
|
|
|
10.1 |
% |
|
|
2,636 |
|
Subtotal – Established Markets |
|
|
274 |
|
|
|
72,506 |
|
|
|
91.2 |
% |
|
|
3,209 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Expansion Markets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Denver |
|
|
14 |
|
|
|
4,181 |
|
|
|
3.9 |
% |
|
|
2,350 |
|
Atlanta |
|
|
12 |
|
|
|
3,788 |
|
|
|
2.9 |
% |
|
|
2,020 |
|
Dallas/Ft. Worth |
|
|
9 |
|
|
|
2,802 |
|
|
|
1.6 |
% |
|
|
1,903 |
|
Austin |
|
|
3 |
|
|
|
741 |
|
|
|
0.4 |
% |
|
|
1,780 |
|
Subtotal – Expansion Markets |
|
|
38 |
|
|
|
11,512 |
|
|
|
8.8 |
% |
|
|
2,096 |
|
Total |
|
|
312 |
|
|
|
84,018 |
|
|
|
100.0 |
% |
|
$ |
3,058 |
|
|
|
Properties |
|
Apartment Units |
Wholly Owned Properties |
|
297 |
|
80,749 |
Partially Owned Properties – Consolidated |
|
14 |
|
3,060 |
Partially Owned Properties – Unconsolidated |
|
1 |
|
209 |
|
|
312 |
|
84,018 |
Note: Projects under development are not included in the Portfolio Summary until construction has been completed. |
Equity Residential |
Portfolio Rollforward Q3 2024 |
||||||||||||||||
($ in thousands) |
||||||||||||||||
|
|
Properties |
|
Apartment
|
|
Purchase
|
|
Acquisition
|
||||||||
6/30/2024 |
|
|
299 |
|
|
|
79,738 |
|
|
|
|
|
|
|
||
Acquisitions: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Consolidated Rental Properties |
|
|
14 |
|
|
|
4,418 |
|
|
$ |
1,255,250 |
|
|
|
5.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
Sales Price |
|
Disposition
|
||||||
Dispositions: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Consolidated Rental Properties |
|
|
(1 |
) |
|
|
(138 |
) |
|
$ |
(31,500 |
) |
|
|
(6.1 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
9/30/2024 |
|
|
312 |
|
|
|
84,018 |
|
|
|
|
|
|
|
Portfolio Rollforward 2024 |
||||||||||||||||
($ in thousands) |
||||||||||||||||
|
|
Properties |
|
Apartment
|
|
Purchase
|
|
Acquisition
|
||||||||
12/31/2023 |
|
|
302 |
|
|
|
80,191 |
|
|
|
|
|
|
|
||
Acquisitions: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Consolidated Rental Properties |
|
|
14 |
|
|
|
4,418 |
|
|
$ |
1,255,250 |
|
|
|
5.1 |
% |
Consolidated Rental Properties – Not Stabilized (1) |
|
|
1 |
|
|
|
160 |
|
|
$ |
62,595 |
|
|
|
5.7 |
% |
Unconsolidated Land Parcels (2) |
|
|
— |
|
|
|
— |
|
|
$ |
33,394 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
Sales Price |
|
Disposition
|
||||||
Dispositions: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Consolidated Rental Properties |
|
|
(6 |
) |
|
|
(969 |
) |
|
$ |
(365,500 |
) |
|
|
(5.7 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Completed Developments – Unconsolidated |
|
|
1 |
|
|
|
209 |
|
|
|
|
|
|
|
||
Configuration Changes |
|
|
— |
|
|
|
9 |
|
|
|
|
|
|
|
||
9/30/2024 |
|
|
312 |
|
|
|
84,018 |
|
|
|
|
|
|
|
(1) |
The Company acquired one property in the Boston market during the nine months ended September 30, 2024 that is in lease-up and is expected to stabilize in its second year of ownership at the Acquisition Cap Rate listed above. |
(2) |
The Company previously entered into separate unconsolidated joint ventures for the purpose of developing vacant land parcels in suburban Boston, MA and suburban Seattle, WA. The joint ventures acquired their respective land parcels during the nine months ended September 30, 2024 for the total purchase price listed. The Company's total investment in these two joint ventures is approximately $69.0 million as of September 30, 2024. See Development and Lease-Up Projects for additional detail. |
Equity Residential |
Third Quarter 2024 vs. Third Quarter 2023 |
||||||||||||||||||||||||
Same Store Results/Statistics Including 77,203 Same Store Apartment Units |
||||||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||||||
($ in thousands except for Average Rental Rate) |
||||||||||||||||||||||||
|
|
Results |
|
Statistics |
|
|||||||||||||||||||
Description |
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||
Q3 2024 |
|
$ |
722,308 |
|
|
$ |
230,098 |
|
|
$ |
492,210 |
|
|
$ |
3,132 |
|
|
|
96.1 |
% |
|
|
13.3 |
% |
Q3 2023 |
|
$ |
703,370 |
|
|
$ |
223,047 |
|
|
$ |
480,323 |
|
|
$ |
3,060 |
|
|
|
96.0 |
% |
|
|
13.8 |
% |
Change |
|
$ |
18,938 |
|
|
$ |
7,051 |
|
|
$ |
11,887 |
|
|
$ |
72 |
|
|
|
0.1 |
% |
|
|
(0.5 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Change |
|
|
2.7 |
% |
|
|
3.2 |
% |
|
|
2.5 |
% |
|
|
2.4 |
% |
|
|
|
|
|
|
||
Third Quarter 2024 vs. Second Quarter 2024 |
||||||||||||||||||||||||
Same Store Results/Statistics Including 78,633 Same Store Apartment Units |
||||||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||||||
($ in thousands except for Average Rental Rate) |
||||||||||||||||||||||||
|
|
Results |
|
Statistics |
||||||||||||||||||||
Description |
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||
Q3 2024 |
|
$ |
731,670 |
|
|
$ |
233,606 |
|
|
$ |
498,064 |
|
|
$ |
3,116 |
|
|
|
96.1 |
% |
|
|
13.3 |
% |
Q2 2024 |
|
$ |
728,288 |
|
|
$ |
228,344 |
|
|
$ |
499,944 |
|
|
$ |
3,091 |
|
|
|
96.3 |
% |
|
|
11.7 |
% |
Change |
|
$ |
3,382 |
|
|
$ |
5,262 |
|
|
$ |
(1,880 |
) |
|
$ |
25 |
|
|
|
(0.2 |
%) |
|
|
1.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Change |
|
|
0.5 |
% |
|
|
2.3 |
% |
|
|
(0.4 |
%) |
|
|
0.8 |
% |
|
|
|
|
|
|
||
September YTD 2024 vs. September YTD 2023 |
||||||||||||||||||||||||
Same Store Results/Statistics Including 76,916 Same Store Apartment Units |
||||||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||||||
($ in thousands except for Average Rental Rate) |
||||||||||||||||||||||||
|
|
Results |
|
Statistics |
||||||||||||||||||||
Description |
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||
September YTD 2024 |
|
$ |
2,151,275 |
|
|
$ |
684,342 |
|
|
$ |
1,466,933 |
|
|
$ |
3,108 |
|
|
|
96.3 |
% |
|
|
33.5 |
% |
September YTD 2023 |
|
$ |
2,083,707 |
|
|
$ |
668,633 |
|
|
$ |
1,415,074 |
|
|
$ |
3,025 |
|
|
|
95.9 |
% |
|
|
34.6 |
% |
Change |
|
$ |
67,568 |
|
|
$ |
15,709 |
|
|
$ |
51,859 |
|
|
$ |
83 |
|
|
|
0.4 |
% |
|
|
(1.1 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Change |
|
|
3.2 |
% |
|
|
2.3 |
% |
|
|
3.7 |
% |
|
|
2.7 |
% |
|
|
|
|
|
|
Equity Residential |
Same Store Residential Revenues – GAAP to Cash Basis (1) |
|||||||||||||||||||||||
($ in thousands) |
|||||||||||||||||||||||
|
Third Quarter 2024 vs. Third Quarter 2023 |
|
Third Quarter 2024 vs. Second Quarter 2024 |
|
Sept. YTD 2024 vs. Sept. YTD 2023 |
||||||||||||||||||
|
77,203 Same Store Apartment Units |
|
78,633 Same Store Apartment Units |
|
76,916 Same Store Apartment Units |
||||||||||||||||||
|
Q3 2024 |
|
Q3 2023 |
|
Q3 2024 |
|
Q2 2024 |
|
Sept. YTD 2024 |
|
Sept. YTD 2023 |
||||||||||||
Same Store Residential Revenues (GAAP Basis) |
$ |
696,686 |
|
|
$ |
679,652 |
|
|
$ |
706,030 |
|
|
$ |
701,912 |
|
|
$ |
2,069,756 |
|
|
$ |
2,007,129 |
|
Leasing Concessions amortized |
|
4,903 |
|
|
|
4,065 |
|
|
|
5,277 |
|
|
|
5,326 |
|
|
|
14,859 |
|
|
|
9,997 |
|
Leasing Concessions granted (2) |
|
(5,891 |
) |
|
|
(5,387 |
) |
|
|
(6,187 |
) |
|
|
(4,070 |
) |
|
|
(14,503 |
) |
|
|
(13,538 |
) |
Same Store Residential Revenues with Leasing
|
$ |
695,698 |
|
|
$ |
678,330 |
|
|
$ |
705,120 |
|
|
$ |
703,168 |
|
|
$ |
2,070,112 |
|
|
$ |
2,003,588 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
% change - GAAP revenue |
|
2.5 |
% |
|
|
|
|
|
0.6 |
% |
|
|
|
|
|
3.1 |
% |
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
% change - cash revenue |
|
2.6 |
% |
|
|
|
|
|
0.3 |
% |
|
|
|
|
|
3.3 |
% |
|
|
|
(1) |
See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional detail. |
(2) |
Concession usage is primarily concentrated in San Francisco, Los Angeles, Seattle and the Expansion Markets. Material declines for the nine months ended September 30, 2024 in Leasing Concessions granted in Seattle and San Francisco have been offset by increases in Los Angeles and the Expansion Markets in the same period. |
Same Store Net Operating Income By Quarter |
||||||||||||||||||||
Including 76,916 Same Store Apartment Units |
||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||
($ in thousands) |
||||||||||||||||||||
|
|
Q3 2024 |
|
Q2 2024 |
|
Q1 2024 |
|
Q4 2023 |
|
Q3 2023 |
||||||||||
Same store revenues |
|
$ |
720,371 |
|
|
$ |
717,335 |
|
|
$ |
713,569 |
|
|
$ |
705,600 |
|
|
$ |
701,423 |
|
Same store expenses |
|
|
229,559 |
|
|
|
224,220 |
|
|
|
230,563 |
|
|
|
216,667 |
|
|
|
222,586 |
|
Same store NOI |
|
$ |
490,812 |
|
|
$ |
493,115 |
|
|
$ |
483,006 |
|
|
$ |
488,933 |
|
|
$ |
478,837 |
|
Equity Residential |
Same Store Residential Accounts Receivable Balances |
||||||||||||
Including 76,916 Same Store Apartment Units |
||||||||||||
($ in thousands) |
||||||||||||
Balance Sheet (Other assets): |
|
September 30, 2024 |
|
June 30, 2024 |
|
September 30, 2023 |
||||||
Residential accounts receivable balances |
|
$ |
15,273 |
|
|
$ |
16,270 |
|
|
$ |
24,670 |
|
Allowance for doubtful accounts |
|
|
(9,754 |
) |
|
|
(11,147 |
) |
|
|
(19,436 |
) |
Net receivable balances |
$ |
5,519 |
|
|
$ |
5,123 |
|
|
$ |
5,234 |
|
|
|
|
|
|
|
|
|
|
|
|
|||
Straight-line receivable balances |
|
$ |
8,075 |
|
(1) |
$ |
7,088 |
|
|
$ |
7,824 |
|
(1) |
Total same store Residential Leasing Concessions granted in the third quarter of 2024 were approximately $5.9 million. The straight-line receivable balance of $8.1 million reflects Residential Leasing Concessions that the Company expects will be primarily recognized as a reduction of rental revenues in the remainder of 2024 and the first three quarters of 2025. |
Same Store Residential Bad Debt |
||||||||||||
Including 76,916 Same Store Apartment Units |
||||||||||||
($ in thousands) |
||||||||||||
Income Statement (Rental income): |
|
Q3 2024 |
|
Q2 2024 |
|
Q3 2023 |
||||||
Bad debts before governmental rental assistance |
|
$ |
7,697 |
|
|
$ |
8,079 |
|
|
$ |
9,092 |
|
Governmental rental assistance received |
|
(295 |
) |
|
|
(426 |
) |
|
|
(410 |
) |
|
Bad Debt, Net |
|
$ |
7,402 |
|
|
$ |
7,653 |
|
|
$ |
8,682 |
|
|
|
|
|
|
|
|
|
|
|
|||
Bad Debt, Net as a % of Same Store Residential Revenues |
|
1.1 |
% |
|
|
1.1 |
% |
|
|
1.3 |
% |
Equity Residential Third Quarter 2024 vs. Third Quarter 2023 Same Store Residential Results/Statistics by Market |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (Decrease) from Prior Year's Quarter |
|||||||||||||||||||||||||||
Markets/Metro Areas |
|
Apartment
|
|
Q3 2024
|
|
Q3 2024
|
|
Q3 2024
|
|
Q3 2024
|
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||||||||||||
Los Angeles |
|
|
14,135 |
|
|
|
17.2 |
% |
|
$ |
2,940 |
|
|
|
95.5 |
% |
|
|
12.5 |
% |
|
|
1.2 |
% |
|
|
3.7 |
% |
|
|
0.2 |
% |
|
|
1.5 |
% |
|
|
(0.2 |
%) |
|
|
0.2 |
% |
Orange County |
|
|
3,718 |
|
|
|
5.1 |
% |
|
|
2,937 |
|
|
|
96.1 |
% |
|
|
10.7 |
% |
|
|
2.7 |
% |
|
|
6.7 |
% |
|
|
1.5 |
% |
|
|
3.3 |
% |
|
|
(0.6 |
%) |
|
|
(0.2 |
%) |
San Diego |
|
|
2,878 |
|
|
|
4.2 |
% |
|
|
3,127 |
|
|
|
95.7 |
% |
|
|
12.5 |
% |
|
|
2.5 |
% |
|
|
3.9 |
% |
|
|
2.1 |
% |
|
|
2.1 |
% |
|
|
0.4 |
% |
|
|
0.0 |
% |
Subtotal – Southern California |
|
20,731 |
|
|
|
26.5 |
% |
|
|
2,965 |
|
|
|
95.6 |
% |
|
|
12.1 |
% |
|
|
1.7 |
% |
|
|
4.1 |
% |
|
|
0.7 |
% |
|
|
1.9 |
% |
|
|
(0.2 |
%) |
|
|
0.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Washington, D.C. |
|
|
14,416 |
|
|
|
16.4 |
% |
|
|
2,764 |
|
|
|
96.6 |
% |
|
|
14.1 |
% |
|
|
4.2 |
% |
|
|
7.8 |
% |
|
|
2.5 |
% |
|
|
4.4 |
% |
|
|
(0.2 |
%) |
|
|
(0.4 |
%) |
San Francisco |
|
|
11,188 |
|
|
|
15.8 |
% |
|
|
3,347 |
|
|
|
95.8 |
% |
|
|
12.7 |
% |
|
|
1.2 |
% |
|
|
1.6 |
% |
|
|
1.0 |
% |
|
|
0.9 |
% |
|
|
0.2 |
% |
|
|
(0.5 |
%) |
New York |
|
|
8,536 |
|
|
|
14.5 |
% |
|
|
4,669 |
|
|
|
97.4 |
% |
|
|
11.0 |
% |
|
|
3.9 |
% |
|
|
3.9 |
% |
|
|
3.9 |
% |
|
|
3.1 |
% |
|
|
0.9 |
% |
|
|
(1.7 |
%) |
Boston |
|
|
7,077 |
|
|
|
11.2 |
% |
|
|
3,627 |
|
|
|
96.1 |
% |
|
|
14.9 |
% |
|
|
3.2 |
% |
|
|
0.4 |
% |
|
|
4.3 |
% |
|
|
3.1 |
% |
|
|
0.0 |
% |
|
|
(1.0 |
%) |
Seattle |
|
|
9,266 |
|
|
|
10.4 |
% |
|
|
2,635 |
|
|
|
96.1 |
% |
|
|
13.8 |
% |
|
|
3.3 |
% |
|
|
4.9 |
% |
|
|
2.6 |
% |
|
|
2.4 |
% |
|
|
0.9 |
% |
|
|
(0.5 |
%) |
Denver |
|
|
2,792 |
|
|
|
2.8 |
% |
|
|
2,403 |
|
|
|
95.8 |
% |
|
|
17.8 |
% |
|
|
(0.9 |
%) |
|
|
2.0 |
% |
|
|
(2.1 |
%) |
|
|
0.0 |
% |
|
|
(0.7 |
%) |
|
|
(0.4 |
%) |
Other Expansion Markets |
|
|
3,197 |
|
|
|
2.4 |
% |
|
|
1,931 |
|
|
|
95.1 |
% |
|
|
16.4 |
% |
|
|
(2.6 |
%) |
|
|
(21.2 |
%) |
(1) |
|
11.5 |
% |
|
|
(3.2 |
%) |
|
|
0.5 |
% |
|
|
(1.6 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
|
|
77,203 |
|
|
|
100.0 |
% |
|
$ |
3,132 |
|
|
|
96.1 |
% |
|
|
13.3 |
% |
|
|
2.5 |
% |
|
|
3.0 |
% |
|
|
2.3 |
% |
|
|
2.4 |
% |
|
|
0.1 |
% |
|
|
(0.5 |
%) |
(1) |
Expense decline primarily due to favorable Texas real estate taxes. |
Note: The above table reflects Residential same store results only. Residential operations account for approximately 96.3% of total revenues for the nine months ended September 30, 2024. |
Equity Residential Third Quarter 2024 vs. Second Quarter 2024 Same Store Residential Results/Statistics by Market |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (Decrease) from Prior Quarter |
|||||||||||||||||||||||||||
Markets/Metro Areas |
|
Apartment
|
|
Q3 2024
|
|
Q3 2024
|
|
Q3 2024
|
|
Q3 2024
|
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||||||||||||
Los Angeles |
|
|
14,135 |
|
|
|
17.0 |
% |
|
$ |
2,940 |
|
|
|
95.5 |
% |
|
|
12.5 |
% |
|
|
0.0 |
% |
|
|
5.3 |
% |
|
|
(2.3 |
%) |
|
|
0.2 |
% |
|
|
(0.2 |
%) |
|
|
0.8 |
% |
Orange County |
|
|
3,718 |
|
|
|
5.1 |
% |
|
|
2,937 |
|
|
|
96.1 |
% |
|
|
10.7 |
% |
|
|
1.0 |
% |
|
|
4.5 |
% |
|
|
0.0 |
% |
|
|
0.8 |
% |
|
|
0.2 |
% |
|
|
(0.1 |
%) |
San Diego |
|
|
2,878 |
|
|
|
4.1 |
% |
|
|
3,127 |
|
|
|
95.7 |
% |
|
|
12.5 |
% |
|
|
(0.2 |
%) |
|
|
4.7 |
% |
|
|
(1.6 |
%) |
|
|
0.0 |
% |
|
|
(0.2 |
%) |
|
|
0.9 |
% |
Subtotal – Southern California |
|
20,731 |
|
|
|
26.2 |
% |
|
|
2,965 |
|
|
|
95.6 |
% |
|
|
12.1 |
% |
|
|
0.1 |
% |
|
|
5.1 |
% |
|
|
(1.7 |
%) |
|
|
0.3 |
% |
|
|
(0.2 |
%) |
|
|
0.6 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Washington, D.C. |
|
|
14,728 |
|
|
|
16.4 |
% |
|
|
2,761 |
|
|
|
96.6 |
% |
|
|
14.0 |
% |
|
|
1.6 |
% |
|
|
6.6 |
% |
|
|
(0.7 |
%) |
|
|
1.9 |
% |
|
|
(0.3 |
%) |
|
|
2.5 |
% |
San Francisco |
|
|
11,410 |
|
|
|
15.9 |
% |
|
|
3,342 |
|
|
|
95.8 |
% |
|
|
12.6 |
% |
|
|
0.5 |
% |
|
|
6.6 |
% |
|
|
(2.0 |
%) |
|
|
0.7 |
% |
|
|
(0.3 |
%) |
|
|
1.0 |
% |
New York |
|
|
8,536 |
|
|
|
14.3 |
% |
|
|
4,669 |
|
|
|
97.4 |
% |
|
|
11.0 |
% |
|
|
1.3 |
% |
|
|
0.1 |
% |
|
|
2.1 |
% |
|
|
1.3 |
% |
|
|
0.0 |
% |
|
|
1.5 |
% |
Boston |
|
|
7,077 |
|
|
|
11.1 |
% |
|
|
3,627 |
|
|
|
96.1 |
% |
|
|
14.9 |
% |
|
|
(0.2 |
%) |
|
|
0.2 |
% |
|
|
(0.3 |
%) |
|
|
0.5 |
% |
|
|
(0.6 |
%) |
|
|
3.5 |
% |
Seattle |
|
|
9,266 |
|
|
|
10.3 |
% |
|
|
2,635 |
|
|
|
96.1 |
% |
|
|
13.8 |
% |
|
|
1.0 |
% |
|
|
0.2 |
% |
|
|
1.4 |
% |
|
|
1.2 |
% |
|
|
(0.2 |
%) |
|
|
1.4 |
% |
Denver |
|
|
2,792 |
|
|
|
2.8 |
% |
|
|
2,403 |
|
|
|
95.8 |
% |
|
|
17.8 |
% |
|
|
(1.5 |
%) |
|
|
5.3 |
% |
|
|
(4.3 |
%) |
|
|
(0.6 |
%) |
|
|
(1.0 |
%) |
|
|
3.8 |
% |
Other Expansion Markets |
|
|
4,093 |
|
|
|
3.0 |
% |
|
|
1,934 |
|
|
|
95.1 |
% |
|
|
16.1 |
% |
|
|
(1.2 |
%) |
|
|
(19.8 |
%) |
(1) |
|
13.3 |
% |
|
|
(1.4 |
%) |
|
|
0.2 |
% |
|
|
0.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
|
|
78,633 |
|
|
|
100.0 |
% |
|
$ |
3,116 |
|
|
|
96.1 |
% |
|
|
13.3 |
% |
|
|
0.6 |
% |
|
|
2.4 |
% |
|
|
(0.3 |
%) |
|
|
0.8 |
% |
|
|
(0.2 |
%) |
|
|
1.6 |
% |
(1) |
Expense decline primarily due to favorable Texas real estate taxes. |
Note: The above table reflects Residential same store results only. Residential operations account for approximately 96.3% of total revenues for the nine months ended September 30, 2024. |
Equity Residential September YTD 2024 vs. September YTD 2023 Same Store Residential Results/Statistics by Market |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (Decrease) from Prior Year |
|||||||||||||||||||||||||||
Markets/Metro Areas |
|
Apartment
|
|
Sept. YTD 24
|
|
Sept. YTD 24
|
|
Sept. YTD 24
|
|
Sept. YTD 24
|
|
Revenues |
|
Expenses |
|
NOI |
|
Average
|
|
Physical
|
|
Turnover |
||||||||||||||||||||||
Los Angeles |
|
|
14,135 |
|
|
|
17.5 |
% |
|
$ |
2,932 |
|
|
|
95.6 |
% |
|
|
33.7 |
% |
|
|
3.2 |
% |
|
|
2.2 |
% |
|
|
3.7 |
% |
|
|
3.0 |
% |
|
|
0.2 |
% |
|
|
0.1 |
% |
Orange County |
|
|
3,718 |
|
|
|
5.2 |
% |
|
|
2,917 |
|
|
|
96.0 |
% |
|
|
28.9 |
% |
|
|
4.1 |
% |
|
|
4.6 |
% |
|
|
3.9 |
% |
|
|
4.3 |
% |
|
|
(0.3 |
%) |
|
|
0.0 |
% |
San Diego |
|
|
2,878 |
|
|
|
4.2 |
% |
|
|
3,119 |
|
|
|
95.9 |
% |
|
|
32.1 |
% |
|
|
4.5 |
% |
|
|
1.9 |
% |
|
|
5.2 |
% |
|
|
4.0 |
% |
|
|
0.4 |
% |
|
|
0.0 |
% |
Subtotal – Southern California |
|
20,731 |
|
|
|
26.9 |
% |
|
|
2,955 |
|
|
|
95.7 |
% |
|
|
32.6 |
% |
|
|
3.6 |
% |
|
|
2.5 |
% |
|
|
4.0 |
% |
|
|
3.4 |
% |
|
|
0.1 |
% |
|
|
0.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Washington, D.C. |
|
|
14,416 |
|
|
|
16.5 |
% |
|
|
2,716 |
|
|
|
96.9 |
% |
|
|
32.6 |
% |
|
|
4.8 |
% |
|
|
2.8 |
% |
|
|
5.8 |
% |
|
|
4.6 |
% |
|
|
0.2 |
% |
|
|
0.1 |
% |
San Francisco |
|
|
11,188 |
|
|
|
15.9 |
% |
|
|
3,321 |
|
|
|
96.2 |
% |
|
|
33.8 |
% |
|
|
1.5 |
% |
|
|
0.6 |
% |
|
|
1.9 |
% |
|
|
1.0 |
% |
|
|
0.5 |
% |
|
|
0.3 |
% |
New York |
|
|
8,536 |
|
|
|
14.3 |
% |
|
|
4,624 |
|
|
|
97.3 |
% |
|
|
27.1 |
% |
|
|
3.6 |
% |
|
|
4.0 |
% |
|
|
3.4 |
% |
|
|
3.1 |
% |
|
|
0.5 |
% |
|
|
(3.2 |
%) |
Boston |
|
|
7,077 |
|
|
|
11.2 |
% |
|
|
3,597 |
|
|
|
96.2 |
% |
|
|
33.8 |
% |
|
|
4.1 |
% |
|
|
0.9 |
% |
|
|
5.4 |
% |
|
|
3.9 |
% |
|
|
0.2 |
% |
|
|
(1.7 |
%) |
Seattle |
|
|
9,266 |
|
|
|
10.4 |
% |
|
|
2,602 |
|
|
|
96.2 |
% |
|
|
36.0 |
% |
|
|
1.7 |
% |
|
|
4.9 |
% |
|
|
0.5 |
% |
|
|
0.7 |
% |
|
|
1.0 |
% |
|
|
(3.8 |
%) |
Denver |
|
|
2,505 |
|
|
|
2.6 |
% |
|
|
2,418 |
|
|
|
96.3 |
% |
|
|
42.7 |
% |
|
|
0.4 |
% |
|
|
0.1 |
% |
|
|
0.6 |
% |
|
|
0.8 |
% |
|
|
0.0 |
% |
|
|
(3.9 |
%) |
Other Expansion Markets |
|
|
3,197 |
|
|
|
2.2 |
% |
|
|
1,958 |
|
|
|
95.2 |
% |
|
|
45.8 |
% |
|
|
(0.8 |
%) |
|
|
(6.8 |
%) |
(1) |
|
3.9 |
% |
|
|
(1.4 |
%) |
|
|
0.4 |
% |
|
|
0.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
|
|
76,916 |
|
|
|
100.0 |
% |
|
$ |
3,108 |
|
|
|
96.3 |
% |
|
|
33.5 |
% |
|
|
3.1 |
% |
|
|
2.3 |
% |
|
|
3.5 |
% |
|
|
2.7 |
% |
|
|
0.4 |
% |
|
|
(1.1 |
%) |
(1) |
Expense decline primarily due to favorable Texas real estate taxes. |
Note: The above table reflects Residential same store results only. Residential operations account for approximately 96.3% of total revenues for the nine months ended September 30, 2024. |
Equity Residential |
Same Store Residential Net Effective Lease Pricing Statistics |
||||||||||||||||||||||||
For 76,916 Same Store Apartment Units |
||||||||||||||||||||||||
|
|
New Lease Change (1) |
|
Renewal Rate Achieved (1) |
|
Blended Rate (1) |
||||||||||||||||||
Markets/Metro Areas |
|
Q3 2024 |
|
Q2 2024 |
|
Q3 2024 |
|
Q2 2024 |
|
Q3 2024 |
|
Q2 2024 |
||||||||||||
Southern California |
|
|
(2.7 |
%) |
(2) |
|
(2.4 |
%) |
|
|
4.2 |
% |
|
|
4.5 |
% |
|
|
0.9 |
% |
|
|
1.4 |
% |
Washington, D.C. |
|
|
2.3 |
% |
|
|
4.8 |
% |
|
|
5.2 |
% |
|
|
6.7 |
% |
|
|
3.9 |
% |
|
|
5.9 |
% |
San Francisco |
|
|
(1.2 |
%) |
|
|
0.4 |
% |
|
|
5.2 |
% |
|
|
5.1 |
% |
|
|
2.0 |
% |
|
|
2.9 |
% |
New York |
|
|
0.9 |
% |
|
|
3.5 |
% |
|
|
4.1 |
% |
|
|
4.4 |
% |
|
|
2.9 |
% |
|
|
4.0 |
% |
Boston |
|
|
1.5 |
% |
|
|
0.3 |
% |
|
|
5.1 |
% |
|
|
5.0 |
% |
|
|
3.6 |
% |
|
|
3.0 |
% |
Seattle |
|
|
(3.8 |
%) |
|
|
0.5 |
% |
|
|
4.8 |
% |
|
|
5.3 |
% |
|
|
0.9 |
% |
|
|
3.3 |
% |
Subtotal – Established Markets |
|
|
(0.5 |
%) |
|
|
0.9 |
% |
|
|
4.7 |
% |
|
|
5.1 |
% |
|
|
2.4 |
% |
|
|
3.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Denver |
|
|
(10.0 |
%) |
|
|
(4.6 |
%) |
|
|
4.3 |
% |
|
|
3.9 |
% |
|
|
(3.1 |
%) |
|
|
(0.5 |
%) |
Other Expansion Markets |
|
|
(13.6 |
%) |
|
|
(12.5 |
%) |
|
|
1.2 |
% |
|
|
2.7 |
% |
|
|
(6.8 |
%) |
|
|
(6.2 |
%) |
Subtotal – Expansion Markets |
|
|
(11.8 |
%) |
|
|
(9.1 |
%) |
|
|
2.8 |
% |
|
|
3.3 |
% |
|
|
(4.9 |
%) |
|
|
(3.5 |
%) |
Total |
|
|
(1.2 |
%) |
|
|
0.2 |
% |
|
|
4.6 |
% |
|
|
5.0 |
% |
|
|
2.0 |
% |
|
|
2.9 |
% |
(1) |
See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for definitions. |
(2) |
As previously mentioned, New Lease Change in the city of Los Angeles decelerated more quickly than expected during the third quarter of 2024. Performance in the city of Los Angeles has improved thus far in the fourth quarter of 2024. |
Equity Residential |
Third Quarter 2024 vs. Third Quarter 2023 |
||||||||||||||||||||
Total Same Store Operating Expenses Including 77,203 Same Store Apartment Units |
||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||
($ in thousands) |
||||||||||||||||||||
|
|
Q3 2024 |
|
Q3 2023 |
|
$
|
|
%
|
|
% of
|
||||||||||
Real estate taxes |
|
$ |
92,513 |
|
|
$ |
90,731 |
|
|
$ |
1,782 |
|
|
|
2.0 |
% |
|
|
40.2 |
% |
On-site payroll |
|
|
43,732 |
|
|
|
44,066 |
|
|
|
(334 |
) |
|
|
(0.8 |
%) |
|
|
19.0 |
% |
Utilities |
|
|
36,838 |
|
|
|
34,023 |
|
|
|
2,815 |
|
|
|
8.3 |
% |
|
|
16.0 |
% |
Repairs and maintenance |
|
|
32,121 |
|
|
|
31,043 |
|
|
|
1,078 |
|
|
|
3.5 |
% |
|
|
14.0 |
% |
Insurance |
|
|
9,223 |
|
|
|
8,438 |
|
|
|
785 |
|
|
|
9.3 |
% |
|
|
4.0 |
% |
Leasing and advertising |
|
|
2,948 |
|
|
|
2,784 |
|
|
|
164 |
|
|
|
5.9 |
% |
|
|
1.3 |
% |
Other on-site operating expenses |
|
|
12,723 |
|
|
|
11,962 |
|
|
|
761 |
|
|
|
6.4 |
% |
|
|
5.5 |
% |
Total Same Store Operating Expenses (2) |
|
$ |
230,098 |
|
|
$ |
223,047 |
|
|
$ |
7,051 |
|
|
|
3.2 |
% |
|
|
100.0 |
% |
September YTD 2024 vs. September YTD 2023 |
||||||||||||||||||||
Total Same Store Operating Expenses Including 76,916 Same Store Apartment Units |
||||||||||||||||||||
(includes Residential and Non-Residential) |
||||||||||||||||||||
($ in thousands) |
||||||||||||||||||||
|
|
YTD 2024 |
|
YTD 2023 |
|
$
|
|
%
|
|
% of
|
||||||||||
Real estate taxes |
|
$ |
279,731 |
|
|
$ |
271,701 |
|
|
$ |
8,030 |
|
|
|
3.0 |
% |
|
|
40.9 |
% |
On-site payroll |
|
|
128,807 |
|
|
|
128,853 |
|
|
|
(46 |
) |
|
|
0.0 |
% |
|
|
18.8 |
% |
Utilities |
|
|
105,976 |
|
|
|
104,312 |
|
|
|
1,664 |
|
|
|
1.6 |
% |
|
|
15.5 |
% |
Repairs and maintenance |
|
|
93,180 |
|
|
|
92,406 |
|
|
|
774 |
|
|
|
0.8 |
% |
|
|
13.6 |
% |
Insurance |
|
|
27,800 |
|
|
|
25,258 |
|
|
|
2,542 |
|
|
|
10.1 |
% |
|
|
4.0 |
% |
Leasing and advertising |
|
|
7,990 |
|
|
|
7,882 |
|
|
|
108 |
|
|
|
1.4 |
% |
|
|
1.2 |
% |
Other on-site operating expenses |
|
|
40,858 |
|
|
|
38,221 |
|
|
|
2,637 |
|
|
|
6.9 |
% |
|
|
6.0 |
% |
Total Same Store Operating Expenses (2) |
|
$ |
684,342 |
|
|
$ |
668,633 |
|
|
$ |
15,709 |
|
|
|
2.3 |
% |
|
|
100.0 |
% |
(1) |
The year-over-year changes were primarily driven by the following factors: |
|
|
|
Real estate taxes – Increase due to escalation in rates and assessed values including an approximately one percentage point contribution to growth from 421-a tax abatement burnoffs in New York City. Once the burnoffs are completed, previously rent-restricted apartment units will transition to market. |
|
|
|
On-site payroll – No change as higher wages were offset by the impact of various innovation initiatives. |
|
|
|
Utilities – Increase primarily driven by higher water, sewer and trash expense, partially offset by lower commodity prices for gas and electric. |
|
|
|
Repairs and maintenance – Modest growth benefiting from lower resident Turnover compared to the same period of 2023. |
|
|
|
Insurance – Increase due to higher premiums on property insurance renewal due to conditions in the insurance market that while less difficult than recent years, remain challenging. |
|
|
|
Other on-site operating expenses – Increase primarily driven by higher property-related legal expenses. |
|
|
(2) |
See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details. |
Equity Residential |
Debt Summary as of September 30, 2024 |
||||||||||||||||
($ in thousands) |
||||||||||||||||
|
|
Debt
|
|
% of Total |
|
Weighted
|
|
Weighted
|
||||||||
Secured |
|
$ |
1,633,414 |
|
|
|
19.5 |
% |
|
|
3.85 |
% |
|
|
7.1 |
|
Unsecured |
|
|
6,732,231 |
|
|
|
80.5 |
% |
|
|
3.67 |
% |
|
|
7.3 |
|
Total |
|
$ |
8,365,645 |
|
|
|
100.0 |
% |
|
|
3.71 |
% |
|
|
7.3 |
|
Fixed Rate Debt: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Secured – Conventional |
|
$ |
1,400,472 |
|
|
|
16.7 |
% |
|
|
3.89 |
% |
|
|
6.7 |
|
Unsecured – Public |
|
|
5,945,670 |
|
|
|
71.1 |
% |
|
|
3.52 |
% |
|
|
8.2 |
|
Fixed Rate Debt |
|
|
7,346,142 |
|
|
|
87.8 |
% |
|
|
3.60 |
% |
|
|
7.9 |
|
Floating Rate Debt: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Secured – Tax Exempt |
|
|
232,942 |
|
|
|
2.8 |
% |
|
|
3.62 |
% |
|
|
10.0 |
|
Unsecured – Revolving Credit Facility |
|
|
— |
|
|
|
— |
|
|
|
6.14 |
% |
|
|
3.1 |
|
Unsecured – Commercial Paper Program (2) |
|
|
786,561 |
|
|
|
9.4 |
% |
|
|
5.51 |
% |
|
|
— |
|
Floating Rate Debt |
|
|
1,019,503 |
|
|
|
12.2 |
% |
|
|
4.85 |
% |
|
|
2.4 |
|
Total |
|
$ |
8,365,645 |
|
|
|
100.0 |
% |
|
|
3.71 |
% |
|
|
7.3 |
|
(1) |
See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details. |
(2) |
At September 30, 2024, the weighted average maturity of commercial paper outstanding was 22 days. The weighted average amount outstanding for the nine months ended September 30, 2024 was approximately $420.5 million. |
Note: The Company capitalized interest of approximately $10.7 million and $9.6 million during the nine months ended September 30, 2024 and 2023, respectively. The Company capitalized interest of approximately $3.8 million and $2.6 million during the quarters ended September 30, 2024 and 2023, respectively. |
Equity Residential |
Debt Maturity Schedule as of September 30, 2024 |
||||||||||||||||||||||||
($ in thousands) |
||||||||||||||||||||||||
Year |
|
Fixed
|
|
Floating
|
|
Total |
|
% of Total |
|
Weighted
|
|
Weighted
|
||||||||||||
2024 |
|
$ |
— |
|
|
$ |
792,700 |
|
(2) |
$ |
792,700 |
|
|
|
9.4 |
% |
|
|
— |
|
|
|
5.11 |
% |
2025 |
|
|
450,000 |
|
|
|
8,100 |
|
|
|
458,100 |
|
|
|
5.4 |
% |
|
|
3.38 |
% |
|
|
3.37 |
% |
2026 |
|
|
592,025 |
|
|
|
9,000 |
|
|
|
601,025 |
|
|
|
7.1 |
% |
|
|
3.58 |
% |
|
|
3.58 |
% |
2027 |
|
|
400,000 |
|
|
|
9,800 |
|
|
|
409,800 |
|
|
|
4.9 |
% |
|
|
3.25 |
% |
|
|
3.24 |
% |
2028 |
|
|
900,000 |
|
|
|
10,700 |
|
|
|
910,700 |
|
|
|
10.8 |
% |
|
|
3.79 |
% |
|
|
3.78 |
% |
2029 |
|
|
888,120 |
|
|
|
11,500 |
|
|
|
899,620 |
|
|
|
10.7 |
% |
|
|
3.30 |
% |
|
|
3.30 |
% |
2030 |
|
|
1,148,462 |
|
|
|
12,700 |
|
|
|
1,161,162 |
|
|
|
13.8 |
% |
|
|
2.53 |
% |
|
|
2.54 |
% |
2031 |
|
|
528,500 |
|
|
|
39,800 |
|
|
|
568,300 |
|
|
|
6.7 |
% |
|
|
1.94 |
% |
|
|
2.03 |
% |
2032 |
|
|
— |
|
|
|
28,100 |
|
|
|
28,100 |
|
|
|
0.3 |
% |
|
|
— |
|
|
|
2.93 |
% |
2033 |
|
|
550,000 |
|
|
|
2,300 |
|
|
|
552,300 |
|
|
|
6.5 |
% |
|
|
5.22 |
% |
|
|
5.21 |
% |
2034+ |
|
|
1,950,850 |
|
|
|
108,600 |
|
|
|
2,059,450 |
|
|
|
24.4 |
% |
|
|
4.47 |
% |
|
|
4.35 |
% |
Subtotal |
|
|
7,407,957 |
|
|
|
1,033,300 |
|
|
|
8,441,257 |
|
|
|
100.0 |
% |
|
|
3.62 |
% |
|
|
3.73 |
% |
Deferred Financing Costs and Unamortized (Discount) |
|
|
(61,815 |
) |
|
|
(13,797 |
) |
|
|
(75,612 |
) |
|
N/A |
|
|
N/A |
|
|
N/A |
|
|||
Total |
|
$ |
7,346,142 |
|
|
$ |
1,019,503 |
|
|
$ |
8,365,645 |
|
|
|
100.0 |
% |
|
|
3.62 |
% |
|
|
3.73 |
% |
(1) |
See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details. |
(2) |
Includes $789.0 million in principal outstanding on the Company's Commercial Paper Program. |
Equity Residential |
Selected Unsecured Public Debt Covenants |
||||
|
|
September 30, |
|
June 30, |
|
|
2024 |
|
2024 |
Debt to Adjusted Total Assets (not to exceed 60%) |
|
28.4% |
|
25.6% |
|
|
|
|
|
Secured Debt to Adjusted Total Assets (not to exceed 40%) |
|
6.3% |
|
6.7% |
|
|
|
|
|
Consolidated Income Available for Debt Service to |
||||
Maximum Annual Service Charges |
||||
(must be at least 1.5 to 1) |
|
5.97 |
|
6.68 |
|
|
|
|
|
Total Unencumbered Assets to Unsecured Debt |
||||
(must be at least 125%) |
|
457.7% |
|
534.8% |
Note: These selected covenants represent the most restrictive financial covenants relating to ERP Operating Limited Partnership's ("ERPOP") outstanding public debt securities. Equity Residential is the general partner of ERPOP. |
Selected Credit Ratios |
||||
|
|
September 30, |
|
June 30, |
|
|
2024 |
|
2024 |
Total debt to Normalized EBITDAre |
|
4.60x |
|
3.96x |
|
|
|
|
|
Net debt to Normalized EBITDAre |
|
4.56x |
|
3.92x |
|
|
|
|
|
Unencumbered NOI as a % of total NOI |
|
89.7% |
|
89.6% |
Note: See Normalized EBITDAre Reconciliations for detail.
Equity Residential |
Capital Structure as of September 30, 2024 |
||||||||||||||||||||
(Amounts in thousands except for share/unit and per share amounts) |
||||||||||||||||||||
Secured Debt |
|
|
|
|
|
|
|
$ |
1,633,414 |
|
|
|
19.5 |
% |
|
|
|
|||
Unsecured Debt |
|
|
|
|
|
|
|
|
6,732,231 |
|
|
|
80.5 |
% |
|
|
|
|||
Total Debt |
|
|
|
|
|
|
|
|
8,365,645 |
|
|
|
100.0 |
% |
|
|
22.3 |
% |
||
Common Shares (includes Restricted Shares) |
|
|
379,354,738 |
|
|
|
97.0 |
% |
|
|
|
|
|
|
|
|
|
|||
Units (includes OP Units and Restricted Units) |
|
|
11,562,954 |
|
|
|
3.0 |
% |
|
|
|
|
|
|
|
|
|
|||
Total Shares and Units |
|
|
390,917,692 |
|
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|||
Common Share Price at September 30, 2024 |
|
$ |
74.46 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
29,107,731 |
|
|
|
99.9 |
% |
|
|
|
|||
Perpetual Preferred Equity (see below) |
|
|
|
|
|
|
|
|
17,155 |
|
|
|
0.1 |
% |
|
|
|
|||
Total Equity |
|
|
|
|
|
|
|
|
29,124,886 |
|
|
|
100.0 |
% |
|
|
77.7 |
% |
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total Market Capitalization |
|
|
|
|
|
|
|
$ |
37,490,531 |
|
|
|
|
|
|
100.0 |
% |
|||
Perpetual Preferred Equity as of September 30, 2024 |
||||||||||||||||||
(Amounts in thousands except for share and per share amounts) |
||||||||||||||||||
Series |
|
Call Date |
|
Outstanding
|
|
|
Liquidation
|
|
|
Annual
|
|
|
Annual
|
|
||||
Preferred Shares: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
8.29% Series K |
|
12/10/26 |
|
|
343,100 |
|
|
$ |
17,155 |
|
|
$ |
4.145 |
|
|
$ |
1,422 |
|
Equity Residential Common Share and Unit Weighted Average Amounts Outstanding |
|
|
Sept. YTD 2024 |
|
Sept. YTD 2023 |
|
Q3 2024 |
|
Q3 2023 |
||||||||
Weighted Average Amounts Outstanding for Net Income Purposes: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Common Shares - basic |
|
|
378,718,147 |
|
|
|
378,613,604 |
|
|
|
378,755,925 |
|
|
|
378,852,510 |
|
Shares issuable from assumed conversion/vesting of: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
- OP Units |
|
|
10,661,328 |
|
|
|
11,377,365 |
|
|
|
10,622,681 |
|
|
|
11,234,877 |
|
- long-term compensation shares/units |
|
|
1,308,755 |
|
|
|
1,144,517 |
|
|
|
1,647,562 |
|
|
|
1,263,254 |
|
Total Common Shares and Units - diluted |
|
|
390,688,230 |
|
|
|
391,135,486 |
|
|
|
391,026,168 |
|
|
|
391,350,641 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Weighted Average Amounts Outstanding for FFO and Normalized FFO Purposes: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Common Shares - basic |
|
|
378,718,147 |
|
|
|
378,613,604 |
|
|
|
378,755,925 |
|
|
|
378,852,510 |
|
OP Units - basic |
|
|
10,661,328 |
|
|
|
11,377,365 |
|
|
|
10,622,681 |
|
|
|
11,234,877 |
|
Total Common Shares and OP Units - basic |
|
|
389,379,475 |
|
|
|
389,990,969 |
|
|
|
389,378,606 |
|
|
|
390,087,387 |
|
Shares issuable from assumed conversion/vesting of: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
- long-term compensation shares/units |
|
|
1,308,755 |
|
|
|
1,144,517 |
|
|
|
1,647,562 |
|
|
|
1,263,254 |
|
Total Common Shares and Units - diluted |
|
|
390,688,230 |
|
|
|
391,135,486 |
|
|
|
391,026,168 |
|
|
|
391,350,641 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Period Ending Amounts Outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Common Shares (includes Restricted Shares) |
|
|
379,354,738 |
|
|
|
379,723,838 |
|
|
|
|
|
|
|
||
Units (includes OP Units and Restricted Units) |
|
|
11,562,954 |
|
|
|
11,733,485 |
|
|
|
|
|
|
|
||
Total Shares and Units |
|
|
390,917,692 |
|
|
|
391,457,323 |
|
|
|
|
|
|
|
Equity Residential Development and Lease-Up Projects as of September 30, 2024 (Amounts in thousands except for project and apartment unit amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Estimated/Actual |
|
|
||||||||||
Projects |
|
Location |
|
Ownership
|
|
No. of
|
|
|
Total
|
|
Total
|
|
Total
|
|
Percentage
|
|
Start
|
|
Initial
|
|
Completion
|
|
Stabilization
|
|
Percentage
|
|||||||
CONSOLIDATED: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Projects Under Development: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Lorien (fka Laguna Clara II) |
|
Santa Clara, CA |
|
100% |
|
|
225 |
|
|
$ |
152,621 |
|
|
$ |
122,760 |
|
|
$ |
— |
|
|
86% |
|
Q2 2022 |
|
Q4 2024 |
|
Q1 2025 |
|
Q4 2025 |
|
– / – |
The Basin |
|
Wakefield, MA |
|
95% |
|
|
440 |
|
|
|
232,172 |
|
|
|
99,295 |
|
|
|
— |
|
|
30% |
|
Q1 2024 |
|
Q4 2025 |
|
Q3 2026 |
|
Q2 2027 |
|
– / – |
Projects Under Development - Consolidated |
|
|
|
|
665 |
|
|
|
384,793 |
|
|
|
222,055 |
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
UNCONSOLIDATED: |
|
|
�� |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Projects Under Development: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Alexan Harrison |
|
Harrison, NY |
|
62% |
|
|
450 |
|
|
|
200,664 |
|
|
|
194,298 |
|
|
|
104,339 |
|
|
99% |
|
Q3 2021 |
|
Q1 2024 |
|
Q4 2024 |
|
Q2 2026 |
|
55% / 47% |
Solana Beeler Park |
|
Denver, CO |
|
90% |
|
|
270 |
|
|
|
85,206 |
|
|
|
77,833 |
|
|
|
43,398 |
|
|
91% |
|
Q4 2021 |
|
Q3 2024 |
|
Q2 2025 |
|
Q4 2025 |
|
7% / 1% |
Remy (Toll) |
|
Frisco, TX |
|
75% |
|
|
357 |
|
|
|
98,937 |
|
|
|
93,201 |
|
|
|
47,621 |
|
|
97% |
|
Q1 2022 |
|
Q2 2024 |
|
Q4 2024 |
|
Q3 2025 |
|
55% / 51% |
Sadie (fka Settler) (Toll) |
|
Fort Worth, TX |
|
75% |
|
|
362 |
|
|
|
82,775 |
|
|
|
75,341 |
|
|
|
33,675 |
|
|
98% |
|
Q2 2022 |
|
Q2 2024 |
<