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Equity Residential Reports Fourth Quarter 2024 Results

By: Equity Residential via Business Wire

February 03, 2025 at 16:15 PM EST

Provides 2025 Guidance

Equity Residential (NYSE: EQR) today reported results for the quarter and year ended December 31, 2024 and has posted a Q4 2024 Management Presentation to its website as referenced below.

Fourth Quarter 2024 Results

All per share results are reported as available to common shares/units on a diluted basis.


	Quarter Ended December 31,
	2024		2023		$ Change			% Change
Earnings Per Share (EPS)	$	1.10	$	0.82	$	0.28			34.1	%
Funds from Operations (FFO) per share	$	0.97	$	1.00	$	(0.03	)		(3.0	%)
Normalized FFO (NFFO) per share	$	1.00	$	1.00	$	-			0.0	%


	Year Ended December 31,
	2024		2023		$ Change		% Change
Earnings Per Share (EPS)	$	2.72	$	2.20	$	0.52		23.6	%
Funds from Operations (FFO) per share	$	3.76	$	3.75	$	0.01		0.3	%
Normalized FFO (NFFO) per share	$	3.89	$	3.78	$	0.11		2.9	%

Recent Highlights

For the full year of 2024 compared to the full year of 2023, same store revenues increased 3.0%, same store expenses increased 2.9% and same store Net Operating Income (NOI) increased 3.1%.
The Company has provided guidance for the full year of 2025 with same store revenue growth expected to be between 2.25% and 3.25%.
During the fourth quarter of 2024, the Company acquired three properties, consisting of 795 apartment units, for an aggregate acquisition price of approximately $274.3 million at a weighted average Acquisition Cap Rate of 5.2%. These assets are located in the Company’s Expansion Markets of Atlanta and Denver. Also during the quarter, the company sold seven properties, consisting of 1,629 apartment units, for an aggregate sale price of approximately $610.1 million at a weighted average Disposition Yield of 5.2%.
The Company's Board of Trustees has voted to increase the Company's 2025 annual common share dividend by 2.6% to $2.77 per share reflecting confidence in the prospects of the business going forward. All dividend payments remain subject to declaration by the Board of Trustees in its sole discretion.
The Company was recognized for its commitment to sustainability with its inclusion in both the Dow Jones Sustainability World and North American Indices. The Company is the first residential REIT to receive this distinction. The Company was also recently honored with Nareit’s Residential Sector Leader in the Light award, further demonstrating its leadership in this area.

“Our 2024 operating results were solid and generally consistent with our expectations. We expect a steady improvement in our same store revenue results as we go through 2025 driven by higher lease rate growth, continued elevated occupancy levels and significant contributions from other income in 2025. Our view is underpinned by an assumption that the economy remains steady and is supported by continuing subdued levels of supply in our mostly coastal footprint, an expectation of positive employment conditions for our higher earning renter demographic and continued value creation by our industry leading operations platform. With new apartment supply in 2026 at decade lows in our coastal markets and declining significantly in our Expansion Markets of Atlanta, Dallas and Denver, the longer term set up for our business is outstanding,” said Mark J. Parrell, Equity Residential’s President and CEO.

Full Year 2025 Guidance

The Company has provided guidance for its full year 2025 same store operating performance, EPS, FFO per share, Normalized FFO per share and transactions as listed below:

Same Store (includes Residential and Non-Residential):
Physical Occupancy		96.2%
Revenue change		2.25% to 3.25%
Expense change		3.5% to 4.5%
NOI change		1.4% to 3.0%

EPS		$3.00 to $3.10
FFO per share		$3.87 to $3.97
Normalized FFO per share		$3.90 to $4.00

Transactions ⁽¹⁾:
Consolidated rental acquisitions		$1.5B
Consolidated rental dispositions		$1.0B
Transaction Accretion (Dilution)		(25 basis points)

(1)	The Company expects to fund its acquisition activity with a combination of proceeds from dispositions and/or debt issuance.

The difference between the Company's full year 2024 actual EPS of $2.72 and the full year 2025 EPS guidance midpoint of $3.05 is due primarily to higher expected property sale gains, lower expected other expenses, lower expected non-operating asset gains and the items described below.

The difference between the Company's full year 2024 actual FFO of $3.76 per share and the full year 2025 FFO guidance midpoint of $3.92 per share is due primarily to lower expected other expenses, lower expected non-operating asset gains and the items described below.

The difference between the Company's full year 2024 actual Normalized FFO of $3.89 per share and the full year 2025 Normalized FFO guidance midpoint of $3.95 per share is due primarily to:

	Expected Positive/(Negative) Impact
	Full Year 2025 vs. Full Year 2024
Residential same store NOI	$	0.12
Non-Residential same store NOI		(0.01	)
Lease-Up NOI ⁽¹⁾		0.01
2025 and 2024 transaction activity impact on NOI, net ⁽²⁾		0.05
Interest expense, net ⁽³⁾		(0.08	)
Corporate overhead ⁽⁴⁾		(0.02	)
Other items		(0.01	)
Net	$	0.06

(1)	Lease-Up NOI reflects the contribution from consolidated lease-up properties only. The Company does not expect a contribution to growth in 2025 from recently completed unconsolidated joint venture development projects given the current lease-up velocity and cessation of capitalized interest on construction loans. See the income (loss) from investments in unconsolidated entities line item on page 28 for 2025 guidance on this matter.
(2)	Transaction activity impact on NOI, net represents acquisition NOI net of disposition NOI.
(3)	Interest expense, net is driven by higher rates on refinancing and higher balances due to 2024 and 2025 net investment activity.
(4)	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.

Results Per Share

The changes in EPS for the quarter and year ended December 31, 2024 compared to the same periods of 2023 are 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 year ended December 31, 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:

	Positive/(Negative) Impact
	Fourth Quarter 2024 vs. Fourth Quarter 2023			Full Year 2024 vs. Full Year 2023
Residential same store NOI	$	0.02		$	0.14
Non-Residential same store NOI		-			0.01
Lease-Up NOI		-			0.01
2024 and 2023 transaction activity impact on NOI, net		0.04			0.02
Interest expense, net		(0.03	)		(0.04	)
Corporate overhead		(0.01	)		(0.04	)
Other items		(0.02	)		0.01
Net	$	-		$	0.11

Same Store Results

The following table shows the total same store results for the periods presented (includes Residential and Non-Residential).

	Fourth Quarter 2024 vs. Fourth Quarter 2023	Fourth Quarter 2024 vs. Third Quarter 2024	Full Year 2024 vs. Full Year 2023
Apartment Units	75,876	77,016	75,299
Physical Occupancy	96.1% vs. 95.8%	96.1% vs. 96.1%	96.2% vs. 95.9%

Revenues	2.4%	0.4%	3.0%
Expenses	4.3%	(2.0%)	2.9%
NOI	1.6%	1.5%	3.1%

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.

	Fourth Quarter 2024 vs. Fourth Quarter 2023			Fourth Quarter 2024 vs. Third Quarter 2024			Full Year 2024 vs. Full Year 2023
	% Change			% Change			% Change
Same Store Residential Revenues-
comparable period
Lease rates		1.8	%		0.1	%		2.3	%
Leasing Concessions		0.0	%		0.0	%		(0.2	%)
Vacancy gain (loss)		0.3	%		0.2	%		0.4	%
Bad Debt, Net ⁽¹⁾		0.2	%		0.0	%		0.2	%
Other ⁽²⁾		0.2	%		0.1	%		0.3	%
Same Store Residential Revenues-
current period		2.5	%		0.4	%		3.0	%

(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. The full year 2024 vs. full year 2023 improvement in Bad Debt, Net was less than assumed in the midpoint of our same store revenue guidance range. 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 75,299 same store apartment units):

	Q4 2024	Q3 2024	Q4 2023
Physical Occupancy	96.1%	96.1%	95.8%
Percentage of Residents Renewing by quarter	61.3%	56.7%	59.0%

New Lease Change	(4.3%)	(1.2%)	(4.6%)
Renewal Rate Achieved	5.0%	4.6%	5.1%
Blended Rate ⁽¹⁾	1.0%	2.0%	0.7%

(1)	Blended Rates for Established Markets were 1.4%, 2.4% and 0.9% for Q4 2024, Q3 2024 and Q4 2023, respectively. See page 17.

In the fourth quarter of 2024, Physical Occupancy and Blended Rate met our expectations and were consistent with seasonal patterns. For the first quarter of 2025, Blended Rate is expected to be between 1.4% and 2.2%.

Investment Activity

During the fourth quarter of 2024, the Company acquired three properties consisting of 795 apartment units, located in the Company’s Expansion Markets of Atlanta and Denver, for an aggregate acquisition price of approximately $274.3 million at a weighted average Acquisition Cap Rate of 5.2%. The acquired properties are one year old on average. During the fourth quarter of 2024, the Company sold seven properties, located in the Washington, D.C., Seattle, San Francisco and San Diego markets, consisting of 1,629 apartment units, for an aggregate sale price of approximately $610.1 million at a weighted average Disposition Yield of 5.2%. The properties sold during the fourth quarter of 2024 have an average age of 29 years.

During the full year of 2024, the Company acquired 18 properties, consisting of 5,373 apartment units, for an aggregate purchase price of approximately $1.6 billion at a weighted average Acquisition Cap Rate of 5.1%. The acquired properties are five years old on average. Also during the full year of 2024, the Company sold 13 properties consisting of 2,598 apartment units, for an aggregate sale price of approximately $975.6 million at a weighted average Disposition Yield of 5.4%. The properties sold during 2024 have an average age of 35 years.

During 2024, the Company completed four joint venture development projects in its Expansion Markets of Dallas/Ft. Worth and Denver, consisting of 1,262 apartment units, for a total cost of approximately $338.0 million. See the income (loss) from investments in unconsolidated entities line item on page 28 for the Company's 2025 guidance assumption for these and other unconsolidated assets. The Company also commenced construction in 2024 on three joint venture development projects in suburban Boston (two projects) and Seattle, consisting of 1,079 apartment units, for a total anticipated cost of approximately $539.4 million.

“We are particularly pleased with our progress in 2024 in adding almost $2 billion of newer, high quality assets to our Atlanta, Dallas and Denver Expansion Market portfolios, which we funded with a combination of older asset sales and opportunistically sourced long term debt. While operating conditions in these markets continue to be challenging given historically high new supply levels, we remain enthusiastic about the balance these markets will create in our portfolio from the strong rental growth we expect to see in future years once this supply is absorbed,” said Mr. Parrell.

First Quarter 2025 Guidance

The Company has established guidance ranges for the first quarter of 2025 EPS, FFO per share and Normalized FFO per share as listed below:

		Q1 2025 Guidance
EPS		$0.63 to $0.67
FFO per share		$0.89 to $0.93
Normalized FFO per share		$0.90 to $0.94

The difference between the fourth quarter of 2024 actual EPS of $1.10 and the first quarter of 2025 EPS guidance midpoint of $0.65 is due primarily to lower expected property sale gains and the items described below.

The difference between the fourth quarter of 2024 actual FFO of $0.97 per share and the first quarter of 2025 FFO guidance midpoint of $0.91 per share is due primarily to the items described below.

The difference between the fourth quarter of 2024 actual Normalized FFO of $1.00 per share and the first quarter of 2025 Normalized FFO guidance midpoint of $0.92 per share is due primarily to:

	Expected Positive/(Negative) Impact
	First Quarter 2025 vs. Fourth Quarter 2024
Residential same store NOI	$	(0.03	)
2025 and 2024 transaction activity impact on NOI, net		(0.02	)
Interest expense, net		0.01
Corporate overhead		(0.03	)
Other items		(0.01	)
Net	$	(0.08	)

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 311 properties consisting of 84,249 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, Tuesday, February 4, 2025 at 10:00 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
Consolidated Statements of Operations
(Amounts in thousands except per share data)
(Unaudited)

	Year Ended December 31,						Quarter Ended December 31,
	2024			2023			2024			2023
REVENUES
Rental income	$	2,980,108		$	2,873,964		$	766,779		$	727,500

EXPENSES
Property and maintenance		529,737			514,575			133,388			123,138
Real estate taxes and insurance		432,089			412,114			111,637			99,507
Property management		132,739			119,804			32,358			29,490
General and administrative		61,653			60,716			12,751			11,581
Depreciation		952,191			888,709			264,150			226,788
Total expenses		2,108,409			1,995,918			554,284			490,504

Net gain (loss) on sales of real estate properties		546,797			282,539			318,968			155,505
Interest and other income		30,329			22,345			3,828			11,049
Other expenses		(74,051	)		(29,419	)		(14,957	)		(8,902	)
Interest:
Expense incurred, net		(285,735	)		(269,556	)		(79,973	)		(68,674	)
Amortization of deferred financing costs		(7,834	)		(8,941	)		(2,050	)		(1,918	)
Income before income and other taxes, income (loss) from
investments in unconsolidated entities and net gain (loss)
on sales of land parcels		1,081,205			875,014			438,311			324,056
Income and other tax (expense) benefit		(1,256	)		(1,148	)		(331	)		(256	)
Income (loss) from investments in unconsolidated entities		(8,974	)		(5,378	)		(4,109	)		(1,531	)
Net income		1,070,975			868,488			433,871			322,269
Net (income) loss attributable to Noncontrolling Interests:
Operating Partnership		(28,932	)		(26,710	)		(11,642	)		(9,536	)
Partially Owned Properties		(6,212	)		(6,340	)		(3,114	)		(1,041	)
Net income attributable to controlling interests		1,035,831			835,438			419,115			311,692
Preferred distributions		(1,613	)		(3,090	)		(355	)		(772	)
Premium on redemption of Preferred Shares		(1,444	)		—			—			—
Net income available to Common Shares	$	1,032,774		$	832,348		$	418,760		$	310,920

Earnings per share – basic:
Net income available to Common Shares	$	2.73		$	2.20		$	1.10		$	0.82
Weighted average Common Shares outstanding		378,795			378,773			379,023			379,247

Earnings per share – diluted:
Net income available to Common Shares	$	2.72		$	2.20		$	1.10		$	0.82
Weighted average Common Shares outstanding		390,740			390,897			391,195			390,787

Distributions declared per Common Share outstanding	$	2.70		$	2.65		$	0.675		$	0.6625

Equity Residential
Consolidated Statements of Funds From Operations and Normalized Funds From Operations
(Amounts in thousands except per share and Unit data)
(Unaudited)

	Year Ended December 31,						Quarter Ended December 31,
	2024			2023			2024			2023
Net income	$	1,070,975		$	868,488		$	433,871		$	322,269
Net (income) loss attributable to Noncontrolling Interests – Partially
Owned Properties		(6,212	)		(6,340	)		(3,114	)		(1,041	)
Preferred distributions		(1,613	)		(3,090	)		(355	)		(772	)
Premium on redemption of Preferred Shares		(1,444	)		—			—			—
Net income available to Common Shares and Units		1,061,706			859,058			430,402			320,456

Adjustments:
Depreciation		952,191			888,709			264,150			226,788
Depreciation – Non-real estate additions		(3,791	)		(4,268	)		(952	)		(977	)
Depreciation – Partially Owned Properties		(2,132	)		(2,130	)		(487	)		(531	)
Depreciation – Unconsolidated Properties		7,191			2,860			3,310			939
Net (gain) loss on sales of unconsolidated entities - operating
assets		(515	)		—			195			—
Net (gain) loss on sales of real estate properties		(546,797	)		(282,539	)		(318,968	)		(155,505	)
Noncontrolling Interests share of gain (loss) on sales
of real estate properties		1,857			2,336			1,857			—
FFO available to Common Shares and Units		1,469,710			1,464,026			379,507			391,170

Adjustments (see note for additional detail):
Write-off of pursuit costs		5,155			3,647			3,250			908
Debt extinguishment and preferred share redemption (gains)
losses		1,444			1,143			—			—
Non-operating asset (gains) losses		(16,311	)		(13,323	)		1,141			(8,588	)
Other miscellaneous items		61,608			21,588			8,176			6,757
Normalized FFO available to Common Shares and Units	$	1,521,606		$	1,477,081		$	392,074		$	390,247

FFO	$	1,472,767		$	1,467,116		$	379,862		$	391,942
Preferred distributions		(1,613	)		(3,090	)		(355	)		(772	)
Premium on redemption of Preferred Shares		(1,444	)		—			—			—
FFO available to Common Shares and Units	$	1,469,710		$	1,464,026		$	379,507		$	391,170
FFO per share and Unit – basic	$	3.77		$	3.75		$	0.97		$	1.00
FFO per share and Unit – diluted	$	3.76		$	3.75		$	0.97		$	1.00

Normalized FFO	$	1,523,219		$	1,480,171		$	392,429		$	391,019
Preferred distributions		(1,613	)		(3,090	)		(355	)		(772	)
Normalized FFO available to Common Shares and Units	$	1,521,606		$	1,477,081		$	392,074		$	390,247
Normalized FFO per share and Unit – basic	$	3.91		$	3.79		$	1.01		$	1.00
Normalized FFO per share and Unit – diluted	$	3.89		$	3.78		$	1.00		$	1.00

Weighted average Common Shares and Units outstanding – basic		389,425			389,954			389,560			389,844
Weighted average Common Shares and Units outstanding – diluted		390,740			390,897			391,195			390,787

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)

	December 31,			December 31,
	2024			2023
ASSETS
Land	$	5,606,531		$	5,581,876
Depreciable property		24,039,412			22,938,426
Projects under development		261,706			78,036
Land held for development		63,142			114,300
Investment in real estate		29,970,791			28,712,638
Accumulated depreciation		(10,412,463	)		(9,810,337	)
Investment in real estate, net		19,558,328			18,902,301
Investments in unconsolidated entities¹		386,531			282,049
Cash and cash equivalents		62,302			50,743
Restricted deposits		97,864			89,252
Right-of-use assets		455,445			457,266
Other assets		273,706			252,953
Total assets	$	20,834,176		$	20,034,564

LIABILITIES AND EQUITY
Liabilities:
Mortgage notes payable, net	$	1,630,690		$	1,632,902
Notes, net		5,947,376			5,348,417
Line of credit and commercial paper		543,679			409,131
Accounts payable and accrued expenses		99,347			87,377
Accrued interest payable		74,176			65,716
Lease liabilities		304,897			311,640
Other liabilities		310,559			272,596
Security deposits		75,611			69,178
Distributions payable		263,494			259,231
Total liabilities		9,249,829			8,456,188

Commitments and contingencies

Redeemable Noncontrolling Interests – Operating Partnership		338,563			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 December 31, 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; 379,475,383 shares issued
and outstanding as of December 31, 2024 and 379,291,417
shares issued and outstanding as of December 31, 2023		3,795			3,793
Paid in capital		9,611,826			9,601,866
Retained earnings		1,407,570			1,437,185
Accumulated other comprehensive income (loss)		4,214			5,704
Total shareholders’ equity		11,044,560			11,085,828
Noncontrolling Interests:
Operating Partnership		201,942			202,306
Partially Owned Properties		(718	)		994
Total Noncontrolling Interests		201,224			203,300
Total equity		11,245,784			11,289,128
Total liabilities and equity	$	20,834,176		$	20,034,564

¹ Includes $324.0 million and $220.2 million in unconsolidated projects (primarily development) as of December 31, 2024 and December 31, 2023, respectively. See Development and Lease-Up Projects for additional detail on unconsolidated projects.

Equity Residential

Portfolio Summary

As of December 31, 2024

					% of Stabilized			Average
			Apartment		Budgeted			Rental
Markets/Metro Areas	Properties		Units		NOI			Rate
Established Markets:
Los Angeles		58		14,733		16.7	%	$	2,942
Orange County		12		3,718		4.7	%		2,949
San Diego		11		2,649		3.7	%		3,189
Subtotal – Southern California		81		21,100		25.1	%		2,974

Washington, D.C.		43		13,846		15.1	%		2,788
San Francisco		40		11,315		14.8	%		3,351
New York		34		8,536		14.1	%		4,690
Boston		27		7,237		11.3	%		3,643
Seattle		42		8,854		9.9	%		2,636
Subtotal – Established Markets		267		70,888		90.3	%		3,232

Expansion Markets:
Denver		15		4,408		4.0	%		2,369
Atlanta		14		4,356		3.1	%		2,020
Dallas/Ft. Worth		12		3,855		2.3	%		1,965
Austin		3		742		0.3	%		1,754
Subtotal – Expansion Markets		44		13,361		9.7	%		2,105
Total		311		84,249		100.0	%	$	3,056

	Properties	Apartment Units
Wholly Owned Properties	295	80,331
Partially Owned Properties – Consolidated	12	2,656
Partially Owned Properties – Unconsolidated	4	1,262
	311	84,249

Note: Projects under development are not included in the Portfolio Summary until construction has been completed.

Equity Residential

Portfolio Rollforward Q4 2024
($ in thousands)

	Properties			Apartment Units			Purchase Price			Acquisition Cap Rate
9/30/2024		312			84,018
Acquisitions:
Consolidated Rental Properties		2			568		$	183,000			5.0	%
Consolidated Rental Properties – Not Stabilized (1)		1			227		$	91,250			5.4	%

							Sales Price			Disposition Yield
Dispositions:
Consolidated Rental Properties		(7	)		(1,629	)	$	(610,141	)		(5.2	%)

Completed Developments – Unconsolidated		3			1,053
Configuration Changes		—			12
12/31/2024		311			84,249

Portfolio Rollforward 2024
($ in thousands)

	Properties			Apartment Units			Purchase Price			Acquisition Cap Rate
12/31/2023		302			80,191
Acquisitions:
Consolidated Rental Properties		16			4,986		$	1,438,250			5.1	%
Consolidated Rental Properties – Not Stabilized (1)		2			387		$	153,845			5.5	%
Unconsolidated Land Parcels (2)		—			—		$	33,394

							Sales Price			Disposition Yield
Dispositions:
Consolidated Rental Properties		(13	)		(2,598	)	$	(975,641	)		(5.4	%)

Completed Developments – Unconsolidated		4			1,262
Configuration Changes		—			21
12/31/2024		311			84,249

(1)

The Company acquired two properties during the year ended December 31, 2024, including a property in the Denver market in the fourth quarter of 2024, that are in lease-up and are expected to stabilize in their second year of ownership at the weighted average Acquisition Cap Rates 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 year ended December 31, 2024 for the total purchase price listed. The Company's total investment in these two joint ventures is approximately $90.9 million as of December 31, 2024. See Development and Lease-Up Projects for additional detail.

Equity Residential

Fourth Quarter 2024 vs. Fourth Quarter 2023
Same Store Results/Statistics Including 75,876 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands except for Average Rental Rate)

	Results									Statistics
Description	Revenues			Expenses			NOI			Average Rental Rate			Physical Occupancy			Turnover
Q4 2024	$	713,789		$	223,039		$	490,750		$	3,147			96.1	%		9.0	%
Q4 2023	$	696,874		$	213,905		$	482,969		$	3,080			95.8	%		9.4	%
Change	$	16,915		$	9,134		$	7,781		$	67			0.3	%		(0.4	%)

Change		2.4	%		4.3	%		1.6	%		2.2	%

Fourth Quarter 2024 vs. Third Quarter 2024
Same Store Results/Statistics Including 77,016 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands except for Average Rental Rate)

	Results									Statistics
Description	Revenues			Expenses			NOI			Average Rental Rate			Physical Occupancy			Turnover
Q4 2024	$	721,504		$	224,814		$	496,690		$	3,135			96.1	%		9.0	%
Q3 2024	$	718,813		$	229,507		$	489,306		$	3,125			96.1	%		13.3	%
Change	$	2,691		$	(4,693	)	$	7,384		$	10			0.0	%		(4.3	%)

Change		0.4	%		(2.0	%)		1.5	%		0.3	%

2024 vs. 2023
Same Store Results/Statistics Including 75,299 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands except for Average Rental Rate)

	Results									Statistics
Description	Revenues			Expenses			NOI			Average Rental Rate			Physical Occupancy			Turnover
2024	$	2,823,418		$	894,477		$	1,928,941		$	3,127			96.2	%		42.5	%
2023	$	2,740,193		$	869,635		$	1,870,558		$	3,047			95.9	%		44.0	%
Change	$	83,225		$	24,842		$	58,383		$	80			0.3	%		(1.5	%)

Change		3.0	%		2.9	%		3.1	%		2.6	%

Equity Residential

Same Store Residential Revenues – GAAP to Cash Basis (1)
($ in thousands)

	Fourth Quarter 2024 vs. Fourth Quarter 2023						Fourth Quarter 2024 vs. Third Quarter 2024						2024 vs. 2023
	75,876 Same Store Apartment Units						77,016 Same Store Apartment Units						75,299 Same Store Apartment Units
	Q4 2024			Q4 2023			Q4 2024			Q3 2024			2024			2023
Same Store Residential Revenues (GAAP Basis)	$	688,118		$	671,373		$	695,808		$	693,324		$	2,716,579		$	2,638,467
Leasing Concessions amortized		5,036			4,724			5,326			5,217			19,698			14,508
Leasing Concessions granted		(5,822	)		(5,322	)		(5,944	)		(6,108	)		(20,125	)		(18,664	)
Same Store Residential Revenues with Leasing
Concessions on a cash basis	$	687,332		$	670,775		$	695,190		$	692,433		$	2,716,152		$	2,634,311

% change - GAAP revenue		2.5	%					0.4	%					3.0	%

% change - cash revenue		2.5	%					0.4	%					3.1	%

(1)	See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional detail.

Same Store Net Operating Income By Quarter
Including 75,299 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands)

	Q4 2024		Q3 2024		Q2 2024		Q1 2024		Q4 2023
Same store revenues	$	710,216	$	707,513	$	704,663	$	701,026	$	693,156
Same store expenses		222,179		225,459		220,203		226,636		212,904
Same store NOI	$	488,037	$	482,054	$	484,460	$	474,390	$	480,252

Equity Residential

Same Store Residential Accounts Receivable Balances
Including 75,299 Same Store Apartment Units
($ in thousands)

Balance Sheet (Other assets):	December 31, 2024				September 30, 2024			December 31, 2023
Residential accounts receivable balances	$	14,453			$	15,088		$	20,528
Allowance for doubtful accounts		(9,536	)			(9,691	)		(15,210	)
Net receivable balances	$	4,917			$	5,397		$	5,318

Straight-line receivable balances	$	8,779		(1)	$	7,976		$	8,352

(1)

Total same store Residential Leasing Concessions granted in the fourth quarter of 2024 were approximately $5.8 million. The straight-line receivable balance of $8.8 million reflects Residential Leasing Concessions that the Company expects will be primarily recognized as a reduction of rental revenues in 2025.

Same Store Residential Bad Debt
Including 75,299 Same Store Apartment Units
($ in thousands)

Income Statement (Rental income):	Q4 2024			Q3 2024			Q4 2023
Bad debts before governmental rental assistance	$	7,927		$	7,513		$	9,060
Governmental rental assistance received		(362	)		(290	)		(376	)
Bad Debt, Net	$	7,565		$	7,223		$	8,684

Bad Debt, Net as a % of Same Store Residential Revenues ⁽¹⁾		1.1	%		1.1	%		1.3	%

(1)	Bad Debt, Net remained relatively constant in Q4 2024 versus Q4 2023 as compared to the Company's guidance assumption of continuing improvement.

Equity Residential
Fourth Quarter 2024 vs. Fourth Quarter 2023
Same Store Residential Results/Statistics by Market

														Increase (Decrease) from Prior Year's Quarter
Markets/Metro Areas	Apartment Units		Q4 2024 % of Actual NOI			Q4 2024 Average Rental Rate		Q4 2024 Weighted Average Physical Occupancy %			Q4 2024 Turnover			Revenues			Expenses			NOI			Average Rental Rate			Physical Occupancy			Turnover
Los Angeles		14,136		17.5	%	$	2,939		95.8	%		9.6	%		1.8	%		4.8	%		0.5	%		1.0	%		0.7	%		(1.3	%)
Orange County		3,718		5.2	%		2,949		95.6	%		9.4	%		1.4	%		8.0	%		(0.4	%)		2.1	%		(0.7	%)		0.7	%
San Diego		2,649		4.1	%		3,189		95.8	%		9.6	%		2.0	%		0.9	%		2.3	%		1.3	%		0.6	%		(1.4	%)
Subtotal – Southern California		20,503		26.8	%		2,973		95.7	%		9.5	%		1.7	%		4.8	%		0.6	%		1.3	%		0.4	%		(1.0	%)

San Francisco		11,093		16.2	%		3,355		96.1	%		10.4	%		2.1	%		(0.6	%)		3.2	%		1.4	%		0.7	%		(0.5	%)
Washington, D.C.		13,534		16.0	%		2,792		96.6	%		8.0	%		4.2	%		6.6	%		3.2	%		4.7	%		(0.4	%)		0.0	%
New York		8,536		14.5	%		4,690		97.4	%		6.5	%		3.6	%		4.8	%		2.7	%		2.7	%		0.8	%		(0.4	%)
Boston		7,077		11.1	%		3,665		95.3	%		7.8	%		2.2	%		6.6	%		0.5	%		2.7	%		(0.5	%)		(0.8	%)
Seattle		8,853		10.3	%		2,636		96.3	%		9.1	%		4.1	%		3.3	%		4.4	%		3.1	%		1.0	%		0.9	%
Denver		2,792		2.8	%		2,383		96.0	%		12.0	%		(1.2	%)		5.6	%		(3.9	%)		(1.2	%)		0.0	%		0.2	%
Other Expansion Markets		3,488		2.3	%		1,913		94.8	%		10.9	%		(4.8	%)		0.4	%		(8.3	%)		(4.8	%)		0.0	%		(1.9	%)

Total		75,876		100.0	%	$	3,147		96.1	%		9.0	%		2.5	%		4.2	%		1.7	%		2.2	%		0.3	%		(0.4	%)

Note: The above table reflects Residential same store results only. Residential operations account for more than 96.0% of total revenues for the year ended December 31, 2024.

Equity Residential
Fourth Quarter 2024 vs. Third Quarter 2024
Same Store Residential Results/Statistics by Market

														Increase (Decrease) from Prior Quarter
Markets/Metro Areas	Apartment Units		Q4 2024 % of Actual NOI			Q4 2024 Average Rental Rate		Q4 2024 Weighted Average Physical Occupancy %			Q4 2024 Turnover			Revenues			Expenses				NOI			Average Rental Rate			Physical Occupancy			Turnover
Los Angeles		14,136		17.3	%	$	2,939		95.8	%		9.6	%		0.3	%		(2.5	%)			1.5	%		0.0	%		0.3	%		(2.9	%)
Orange County		3,718		5.1	%		2,949		95.6	%		9.4	%		(0.1	%)		(2.1	%)			0.5	%		0.4	%		(0.5	%)		(1.3	%)
San Diego		2,649		4.0	%		3,189		95.8	%		9.6	%		0.7	%		(6.9	%)			2.9	%		0.5	%		0.1	%		(2.7	%)
Subtotal – Southern California		20,503		26.4	%		2,973		95.7	%		9.5	%		0.3	%		(2.9	%)			1.5	%		0.1	%		0.1	%		(2.6	%)

San Francisco		11,315		16.4	%		3,352		96.1	%		10.3	%		0.7	%		(6.6	%)			3.9	%		0.4	%		0.3	%		(2.3	%)
Washington, D.C.		13,846		16.2	%		2,788		96.6	%		8.0	%		0.6	%		(6.3	%)			4.0	%		0.6	%		0.0	%		(6.1	%)
New York		8,536		14.3	%		4,690		97.4	%		6.5	%		0.5	%		0.8	%			0.2	%		0.5	%		0.0	%		(4.5	%)
Boston		7,077		10.9	%		3,665		95.3	%		7.8	%		0.3	%		5.8	%			(1.9	%)		1.1	%		(0.8	%)		(7.1	%)
Seattle		8,853		10.2	%		2,636		96.3	%		9.1	%		0.4	%		(7.3	%)			3.7	%		0.3	%		0.2	%		(4.9	%)
Denver		2,792		2.8	%		2,383		96.0	%		12.0	%		(0.6	%)		(1.9	%)			(0.1	%)		(0.8	%)		0.2	%		(5.8	%)
Other Expansion Markets		4,094		2.8	%		1,904		95.0	%		10.7	%		(1.6	%)		12.2	%	(1)		(9.3	%)		(1.5	%)		(0.1	%)		(5.3	%)

Total		77,016		100.0	%	$	3,135		96.1	%		9.0	%		0.4	%		(2.2	%)			1.6	%		0.3	%		0.0	%		(4.3	%)

(1)	Expense increase primarily due to favorable Texas real estate taxes in the third quarter of 2024.

Note: The above table reflects Residential same store results only. Residential operations account for more than 96.0% of total revenues for the year ended December 31, 2024.

Equity Residential

2024 vs. 2023

Same Store Residential Results/Statistics by Market

														Increase (Decrease) from Prior Year
Markets/Metro Areas	Apartment Units		2024 % of Actual NOI			2024 Average Rental Rate		2024 Weighted Average Physical Occupancy %			2024 Turnover			Revenues			Expenses				NOI			Average Rental Rate			Physical Occupancy			Turnover
Los Angeles		14,136		17.7	%	$	2,933		95.6	%		43.3	%		2.9	%		2.8	%			2.9	%		2.5	%		0.3	%		(1.2	%)
Orange County		3,718		5.3	%		2,925		95.9	%		38.2	%		3.4	%		5.4	%			2.8	%		3.7	%		(0.4	%)		0.6	%
San Diego		2,649		4.1	%		3,167		95.9	%		40.6	%		4.1	%		1.5	%			4.8	%		3.5	%		0.5	%		(1.3	%)
Subtotal – Southern California		20,503		27.1	%		2,962		95.7	%		42.0	%		3.1	%		3.0	%			3.1	%		2.9	%		0.2	%		(0.9	%)

San Francisco		11,093		16.1	%		3,326		96.1	%		44.2	%		1.6	%		0.3	%			2.2	%		1.1	%		0.5	%		(0.1	%)
Washington, D.C.		13,534		15.9	%		2,743		96.8	%		40.7	%		4.6	%		3.9	%			5.0	%		4.6	%		0.0	%		0.0	%
New York		8,536		14.6	%		4,640		97.3	%		33.6	%		3.6	%		4.2	%			3.2	%		3.0	%		0.5	%		(3.6	%)
Boston		7,077		11.3	%		3,615		96.0	%		41.5	%		3.6	%		2.3	%			4.1	%		3.6	%		0.0	%		(2.6	%)
Seattle		8,853		10.2	%		2,607		96.2	%		45.2	%		2.3	%		4.5	%			1.4	%		1.2	%		1.0	%		(3.1	%)
Denver		2,505		2.6	%		2,410		96.2	%		54.9	%		0.0	%		1.1	%			(0.5	%)		0.2	%		(0.1	%)		(3.2	%)
Other Expansion Markets		3,198		2.2	%		1,946		95.1	%		56.9	%		(1.7	%)		(4.3	%)	(1)		0.2	%		(2.2	%)		0.3	%		(1.0	%)

Total		75,299		100.0	%	$	3,127		96.2	%		42.5	%		3.0	%		2.8	%			3.1	%		2.6	%		0.3	%		(1.5	%)

(1)	Expense decline primarily due to favorable Texas real estate taxes in the third quarter of 2024.

Note: The above table reflects Residential same store results only. Residential operations account for more than 96.0% of total revenues for the year ended December 31, 2024.

Equity Residential

Same Store Residential Net Effective Lease Pricing Statistics
For 75,299 Same Store Apartment Units

	New Lease Change (1)						Renewal Rate Achieved (1)						Blended Rate (1)
Markets/Metro Areas	Q4 2024			Q3 2024			Q4 2024			Q3 2024			Q4 2024			Q3 2024
Southern California		(4.8	%)		(2.7	%)		4.4	%		4.2	%		0.4	%		0.9	%
San Francisco		(2.7	%)		(1.2	%)		6.6	%		5.3	%		2.5	%		2.0	%
Washington, D.C.		(2.7	%)		2.3	%		5.5	%		5.2	%		1.9	%		3.9	%
New York		(1.6	%)		0.9	%		4.3	%		4.1	%		2.3	%		2.9	%
Boston		(4.7	%)		1.5	%		4.4	%		5.1	%		1.1	%		3.6	%
Seattle		(6.1	%)		(4.0	%)		6.9	%		4.8	%		0.5	%		0.8	%
Subtotal – Established Markets		(3.7	%)		(0.5	%)		5.1	%		4.7	%		1.4	%		2.4	%

Denver		(12.5	%)		(10.0	%)		2.8	%		4.3	%		(5.4	%)		(3.1	%)
Other Expansion Markets		(13.5	%)		(13.9	%)		1.7	%		1.3	%		(7.0	%)		(6.9	%)
Subtotal – Expansion Markets		(13.0	%)		(11.8	%)		2.3	%		2.9	%		(6.1	%)		(4.9	%)
Total		(4.3	%)		(1.2	%)		5.0	%		4.6	%		1.0	%		2.0	%

(1)	See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for definitions.

Equity Residential

Fourth Quarter 2024 vs. Fourth Quarter 2023
Total Same Store Operating Expenses Including 75,876 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands)

	Q4 2024		Q4 2023		$ Change		% Change			% of Q4 2024 Operating Expenses
Real estate taxes	$	92,665	$	89,587	$	3,078		3.4	%		41.5	%
On-site payroll		41,772		41,315		457		1.1	%		18.7	%
Utilities		35,655		33,764		1,891		5.6	%		16.0	%
Repairs and maintenance		27,998		26,495		1,503		5.7	%		12.6	%
Insurance		9,179		8,344		835		10.0	%		4.1	%
Leasing and advertising		3,162		2,625		537		20.5	%		1.4	%
Other on-site operating expenses		12,608		11,775		833		7.1	%		5.7	%
Total Same Store Operating Expenses ⁽²⁾	$	223,039	$	213,905	$	9,134		4.3	%		100.0	%

2024 vs. 2023
Total Same Store Operating Expenses Including 75,299 Same Store Apartment Units
(includes Residential and Non-Residential)
($ in thousands)

	2024		2023		$ Change ⁽¹⁾		% Change			% of 2024 Operating Expenses
Real estate taxes	$	368,087	$	356,847	$	11,240		3.1	%		41.1	%
On-site payroll		168,006		167,486		520		0.3	%		18.8	%
Utilities		139,116		135,721		3,395		2.5	%		15.6	%
Repairs and maintenance		118,829		116,529		2,300		2.0	%		13.3	%
Insurance		36,551		33,227		3,324		10.0	%		4.1	%
Leasing and advertising		10,935		10,302		633		6.1	%		1.2	%
Other on-site operating expenses		52,953		49,523		3,430		6.9	%		5.9	%
Total Same Store Operating Expenses⁽²⁾	$	894,477	$	869,635	$	24,842		2.9	%		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 – Modest increase primarily driven by higher wages, partially 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 – Increase primarily driven by higher minimum wage on contracted services, partially offset by 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 December 31, 2024
($ in thousands)

	Debt Balances (1)		% of Total			Weighted Average Rates (1)			Weighted Average Maturities (years)
Secured	$	1,630,690		20.1	%		3.84	%		6.9
Unsecured		6,491,055		79.9	%		3.70	%		7.3
Total	$	8,121,745		100.0	%		3.73	%		7.2
Fixed Rate Debt:
Secured – Conventional	$	1,401,099		17.3	%		3.89	%		6.4
Unsecured – Public		5,947,376		73.2	%		3.54	%		8.0
Fixed Rate Debt		7,348,475		90.5	%		3.61	%		7.7
Floating Rate Debt:
Secured – Tax Exempt		229,591		2.8	%		3.54	%		9.9
Unsecured – Revolving Credit Facility		—		—			5.98	%		2.8
Unsecured – Commercial Paper Program (2)		543,679		6.7	%		5.25	%		—
Floating Rate Debt		773,270		9.5	%		4.74	%		3.0
Total	$	8,121,745		100.0	%		3.73	%		7.2

(1)	See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.
(2)	At December 31, 2024, the weighted average maturity of commercial paper outstanding was 13 days. The weighted average amount outstanding for the year ended December 31, 2024 was approximately $535.7 million.

Note: The Company capitalized interest of approximately $14.5 million and $12.3 million during the years ended December 31, 2024 and 2023, respectively. The Company capitalized interest of approximately $3.8 million and $2.7 million during the quarters ended December 31, 2024 and 2023, respectively.

Equity Residential

Debt Maturity Schedule as of December 31, 2024
($ in thousands)

Year	Fixed Rate			Floating Rate				Total			% of Total			Weighted Average Coupons on Fixed Rate Debt (1)			Weighted Average Coupons on Total Debt (1)
2025	$	450,000		$	552,595		(2)	$	1,002,595			12.2	%		3.38	%		4.04	%
2026		592,025			9,000				601,025			7.3	%		3.58	%		3.58	%
2027		400,000			9,800				409,800			5.0	%		3.25	%		3.25	%
2028		900,000			10,700				910,700			11.1	%		3.79	%		3.78	%
2029		888,120			11,500				899,620			11.0	%		3.30	%		3.30	%
2030		1,148,462			12,700				1,161,162			14.2	%		2.53	%		2.54	%
2031		528,500			39,800				568,300			6.9	%		1.94	%		2.03	%
2032		—			28,100				28,100			0.4	%		—			3.58	%
2033		550,000			2,300				552,300			6.7	%		5.22	%		5.21	%
2034		600,000			2,400				602,400			7.4	%		4.65	%		4.64	%
2035+		1,350,850			106,200				1,457,050			17.8	%		4.39	%		4.24	%
Subtotal		7,407,957			785,095				8,193,052			100.0	%		3.62	%		3.66	%
Deferred Financing Costs and Unamortized (Discount)		(59,482	)		(11,825	)			(71,307	)	N/A			N/A			N/A
Total	$	7,348,475		$	773,270			$	8,121,745			100.0	%		3.62	%		3.66	%

(1)	See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.
(2)	Includes $544.5 million in principal outstanding on the Company's Commercial Paper Program.

Equity Residential

Selected Unsecured Public Debt Covenants

	December 31,	September 30,
	2024	2024
Debt to Adjusted Total Assets (not to exceed 60%)	27.7%	28.4%

Secured Debt to Adjusted Total Assets (not to exceed 40%)	6.3%	6.3%

Consolidated Income Available for Debt Service to
Maximum Annual Service Charges
(must be at least 1.5 to 1)	5.67	5.97

Total Unencumbered Assets to Unsecured Debt
(must be at least 125%)	473.7%	457.7%

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

	December 31,	September 30,
	2024	2024
Total debt to Normalized EBITDAre	4.43x	4.60x

Net debt to Normalized EBITDAre	4.38x	4.56x

Unencumbered NOI as a % of total NOI	89.7%	89.7%

Note: See Normalized EBITDAre Reconciliations for detail.

Equity Residential

Capital Structure as of December 31, 2024
(Amounts in thousands except for share/unit and per share amounts)

Secured Debt					$	1,630,690	20.1	%
Unsecured Debt						6,491,055	79.9	%
Total Debt						8,121,745	100.0	%	22.4	%
Common Shares (includes Restricted Shares)		379,475,383	97.0	%
Units (includes OP Units and Restricted Units)		11,543,773	3.0	%
Total Shares and Units		391,019,156	100.0	%
Common Share Price at December 31, 2024	$	71.76
						28,059,535	99.9	%
Perpetual Preferred Equity (see below)						17,155	0.1	%
Total Equity						28,076,690	100.0	%	77.6	%

Total Market Capitalization					$	36,198,435			100.0	%

Perpetual Preferred Equity as of December 31, 2024

(Amounts in thousands except for share and per share amounts)

Series

Call Date

Outstanding

Shares

Liquidation

Value

Annual

Dividend

Per Share

Annual

Dividend

Amount

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

	2024		2023		Q4 2024		Q4 2023
Weighted Average Amounts Outstanding for Net Income Purposes:
Common Shares - basic		378,794,889		378,773,303		379,023,449		379,247,194
Shares issuable from assumed conversion/vesting of:
- OP Units		10,630,008		11,180,536		10,536,726		10,596,465
- long-term compensation shares/units		1,315,217		942,712		1,634,401		942,942
Total Common Shares and Units - diluted		390,740,114		390,896,551		391,194,576		390,786,601

Weighted Average Amounts Outstanding for FFO and Normalized FFO Purposes:
Common Shares - basic		378,794,889		378,773,303		379,023,449		379,247,194
OP Units - basic		10,630,008		11,180,536		10,536,726		10,596,465
Total Common Shares and OP Units - basic		389,424,897		389,953,839		389,560,175		389,843,659
Shares issuable from assumed conversion/vesting of:
- long-term compensation shares/units		1,315,217		942,712		1,634,401		942,942
Total Common Shares and Units - diluted		390,740,114		390,896,551		391,194,576		390,786,601

Period Ending Amounts Outstanding:
Common Shares (includes Restricted Shares)		379,475,383		379,291,417
Units (includes OP Units and Restricted Units)		11,543,773		11,581,306
Total Shares and Units		391,019,156		390,872,723

Equity Residential

Development and Lease-Up Projects as of December 31, 2024

(Amounts in thousands except for project and apartment unit amounts)

												Estimated/Actual
Projects	Location	Ownership Percentage	No. of Apartment Units		Total Budgeted Capital Cost		Total Book Value to Date		Total Debt (1)		Percentage Completed	Start Date	Initial Occupancy	Completion Date	Stabilization Date	Percentage Leased / Occupied
CONSOLIDATED:
Projects Under Development:
Lorien (fka Laguna Clara II)	Santa Clara, CA	100%		225	$	152,621	$	140,939	$	—	97%	Q2 2022	Q1 2025	Q1 2025	Q4 2025	2% / –
The Basin	Wakefield, MA	95%		440		232,172		120,767		—	43%	Q1 2024	Q4 2025	Q3 2026	Q2 2027	– / –
Projects Under Development - Consolidated				665		384,793		261,706		—

UNCONSOLIDATED:
Projects Under Development:
Alexan Harrison	Harrison, NY	62%		450		200,664		198,595		108,413	99%	Q3 2021	Q1 2024	Q1 2025	Q2 2026	67% / 62%
Solana Beeler Park	Denver, CO	90%		270		85,206		82,803		48,063	98%	Q4 2021	Q3 2024	Q2 2025	Q4 2025	19% / 15%
Modera Bridle Trails	Kirkland, WA	95%		369		185,282		66,603		—	19%	Q3 2024	Q2 2027	Q3 2027	Q4 2028	– / –
Modera South Shore	Marshfield, MA	95%		270		121,918		38,486		—	17%	Q3 2024	Q1 2026	Q4 2026	Q2 2027	– / –
Projects Under Development - Unconsolidated				1,359		593,070		386,487		156,476

Projects Completed Not Stabilized:
Alloy Sunnyside	Denver, CO	80%		209		70,004		69,277		35,815	100%	Q3 2021	Q2 2024	Q2 2024	Q3 2025	40% / 31%
Remy (Toll)	Frisco, TX	75%		357		98,937		96,869		49,855	97%	Q1 2022	Q2 2024	Q4 2024	Q3 2025	68% / 64%
Sadie (fka Settler) (Toll)	Fort Worth, TX	75%		362		82,775		77,311		37,374	98%	Q2 2022	Q2 2024	Q4 2024	Q3 2025	60% / 55%
Lyle (Toll) (2)	Dallas, TX	75%		334		86,332		82,949		46,676	98%	Q3 2022	Q1 2024	Q4 2024	Q1 2026	60% / 55%
Projects Completed Not Stabilized - Unconsolidated				1,262		338,048		326,406		169,720

Total Development Projects - Consolidated				665		384,793		261,706		—
Total Development Projects - Unconsolidated				2,621		931,118		712,893		326,196
Total Development Projects				3,286	$	1,315,911	$	974,599	$	326,196

NOI CONTRIBUTION FROM DEVELOPMENT PROJECTS	Total Budgeted Capital Cost		Q4 2024 NOI
Projects Under Development - Consolidated	$	384,793	$	(52	)
Projects Under Development - Unconsolidated		593,070		1,591
Projects Completed Not Stabilized - Unconsolidated		338,048		1,428
	$	1,315,911	$	2,967

(1)	All unconsolidated projects are being partially funded with project-specific construction loans. None of these loans are recourse to the Company.
(2)	The land parcel under this project is subject to a long-term ground lease.

Equity Residential

Capital Expenditures to Real Estate

For the Year Ended December 31, 2024

(Amounts in thousands except for apartment unit and per apartment unit amounts)

	Same Store Properties				Non-Same Store Properties/Other				Total Consolidated Properties			Same Store Avg. Per Apartment Unit

Total Consolidated Apartment Units		75,299				7,688				82,987

Building Improvements	$	122,515			$	12,781		(2)	$	135,296		$	1,627

Renovation Expenditures		100,456		(1)		10,837		(2)		111,293			1,334

Replacements		51,026				3,819				54,845			678

Capital Expenditures to Real Estate (3)		273,997				27,437				301,434			3,639

Less: NOI-Enhancing Expenditures (3)		(123,724	)	(4)		(11,203	)			(134,927	)		(1,643	)

Recurring Capital Expenditures to Real Estate (3)	$	150,273			$	16,234			$	166,507		$	1,996

(1)	Renovation Expenditures on 3,353 same store apartment units for the year ended December 31, 2024 approximated $30,000 per apartment unit renovated.
(2)	Includes expenditures for two properties that have been removed from same store while undergoing major renovations requiring a significant number of apartment units to be vacated to accommodate the extensive planned improvements. The renovation at one property was substantially completed in the second quarter of 2024, while the renovation of the other is ongoing and expected to continue into 2026.
(3)	See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.
(4)	The $123.7 million of NOI-Enhancing Expenditures for Same Store Properties noted above consists of the $100.5 million of Renovation Expenditures for Same Store Properties noted above with the remainder concentrated in sustainability and property-level technology spend

Equity Residential

Normalized EBITDAre Reconciliations

(Amounts in thousands)

	Trailing Twelve Months						2024												2023
	December 31, 2024			September 30, 2024			Q4			Q3			Q2			Q1			Q4
Net income	$	1,070,975		$	959,373		$	433,871		$	148,517		$	183,555		$	305,032		$	322,269
Interest expense incurred, net		285,735			274,436			79,973			72,722			65,828			67,212			68,674
Amortization of deferred financing costs		7,834			7,702			2,050			1,948			1,918			1,918			1,918
Amortization of above/below market lease intangibles		4,512			4,476			1,152			1,128			1,116			1,116			1,116
Depreciation		952,191			914,829			264,150			237,948			224,398			225,695			226,788
Income and other tax expense (benefit)		1,256			1,181			331			290			331			304			256
EBITDA		2,322,503			2,161,997			781,527			462,553			477,146			601,277			621,021

Net (gain) loss on sales of real estate properties		(546,797	)		(383,334	)		(318,968	)		165			(39,809	)		(188,185	)		(155,505	)
Net (gain) loss on sales of unconsolidated entities - operating assets		(515	)		(710	)		195			(710	)		—			—			—
EBITDAre		1,775,191			1,777,953			462,754			462,008			437,337			413,092			465,516

Write-off of pursuit costs (other expenses)		5,155			2,813			3,250			536			821			548			908
(Income) loss from investments in unconsolidated entities - operations		9,489			7,106			3,914			2,203			1,674			1,698			1,531
Realized (gain) loss on investment securities (interest and other income)		1,992			1,323			676			—			1,316			—			7
Unrealized (gain) loss on investment securities (interest and other income)		(19,880	)		(28,885	)		—			(14,135	)		1,316			(7,061	)		(9,005	)
Insurance/litigation settlement or reserve income (interest and other income)		(4,447	)		(1,584	)		(2,863	)		(25	)		(1,454	)		(105	)		—
Insurance/litigation/environmental settlement or reserve expense (other expenses)		44,645			48,762			1,577			3,199			9,391			30,478			5,694
Advocacy contributions (other expenses)		21,515			13,948			9,232			9,584			2,558			141			1,665
Other		(105	)		(937	)		230			—			(412	)		77			(602	)
Normalized EBITDAre	$	1,833,555		$	1,820,499		$	478,770		$	463,370		$	452,547		$	438,868		$	465,714

Balance Sheet Items:	December 31, 2024			September 30, 2024
Total debt	$	8,121,745		$	8,365,645
Cash and cash equivalents		(62,302	)		(28,610	)
Mortgage principal reserves/sinking funds		(31,208	)		(33,124	)
Net debt	$	8,028,235		$	8,303,911

Note: EBITDA, EBITDAre and Normalized EBITDAre do not include any adjustments for the Company’s share of partially owned unconsolidated entities or the minority partner’s share of partially owned consolidated entities due to the immaterial size of the Company’s partially owned portfolio.

Equity Residential

Adjustments from FFO to Normalized FFO

(Amounts in thousands)

	Year Ended December 31,									Quarter Ended December 31,
	2024			2023			Variance			2024			2023			Variance

Impairment – non-operating real estate assets	$	—		$	—		$	—		$	—		$	—		$	—

Write-off of pursuit costs (other expenses)		5,155			3,647			1,508			3,250			908			2,342

Write-off of unamortized deferred financing costs (interest expense)		—			1,143			(1,143	)		—			—			—
Premium on redemption of Preferred Shares		1,444			—			1,444			—			—			—
Debt extinguishment and preferred share redemption (gains) losses		1,444			1,143			301			—			—			—

(Income) loss from investments in unconsolidated entities ─ non-operating assets		1,577			1,647			(70	)		465			410			55
Realized (gain) loss on investment securities (interest and other income)		1,992			(1,504	)		3,496			676			7			669
Unrealized (gain) loss on investment securities (interest and other income)		(19,880	)		(13,466	)		(6,414	)		—			(9,005	)		9,005
Non-operating asset (gains) losses		(16,311	)		(13,323	)		(2,988	)		1,141			(8,588	)		9,729

Insurance/litigation settlement or reserve income (interest and other income)		(4,447	)		(1,055	)		(3,392	)		(2,863	)		—			(2,863	)
Insurance/litigation/environmental settlement or reserve expense (other expenses) (1)		44,645			17,310			27,335			1,577			5,694			(4,117	)
Advocacy contributions (other expenses)		21,515			2,142			19,373			9,232			1,665			7,567
Data transformation project (other expenses)		—			3,780			(3,780	)		—			—			—
Other		(105	)		(589	)		484			230			(602	)		832
Other miscellaneous items		61,608			21,588			40,020			8,176			6,757			1,419

Adjustments from FFO to Normalized FFO	$	51,896		$	13,055		$	38,841		$	12,567		$	(923	)	$	13,490

(1)	Insurance/litigation/environmental settlement or reserve expense for the year ended December 31, 2024 primarily relates to a reserve increased in the first quarter of 2024 regarding litigation over late fees charged by the Company.

Note: 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

Normalized FFO Guidance and Assumptions

The guidance/projections provided below are based on current expectations and are forward-looking. All guidance is given on a Normalized FFO basis. Therefore, certain items excluded from Normalized FFO, such as debt extinguishment costs/prepayment penalties and the write-off of pursuit costs, are not included in the estimates provided on this page. 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.

	Q1 2025	Full Year 2025

2025 Normalized FFO Guidance (per share diluted)

Expected Normalized FFO Per Share	$0.90 to $0.94	$3.90 to $4.00

2025 Same Store Assumptions (includes Residential and Non-Residential)

Physical Occupancy		96.2%
Revenue change		2.25% to 3.25%
Expense change		3.5% to 4.5%
NOI change (1)		1.4% to 3.0%

2025 Transaction Assumptions

Consolidated rental acquisitions		$1.5B
Consolidated rental dispositions		$1.0B
Transaction Accretion (Dilution)		(25 basis points)

2025 Debt Assumptions

Weighted average debt outstanding		$8.20B to $8.40B
Interest expense, net (on a Normalized FFO basis)		$313.5M to $319.5M
Capitalized interest		$12.6M to $13.6M

2025 Capital Expenditures to Real Estate Assumptions for Residential Same Store Properties

NOI-Enhancing Capital Expenditures for Residential Same Store Properties (2)		$130.0M
Recurring Capital Expenditures for Residential Same Store Properties		$165.0M
Capital Expenditures to Real Estate for Residential Same Store Properties		$295.0M

2025 Other Guidance Assumptions

Property management expense		$139.0M to $141.0M
General and administrative expense		$60.0M to $64.0M
Income (loss) from investments in unconsolidated entities (on a Normalized FFO basis) (3)		$(3.0M) to $1.0M
Debt offerings		$500.0M to $1.0B
Weighted average Common Shares and Units - Diluted		391.5M

(1)	Approximately 20 basis point change in NOI percentage = $0.01 per share change in EPS/FFO per share/Normalized FFO per share.
(2)	During 2025, the Company expects to spend approximately $95.8 million for apartment unit Renovation Expenditures on approximately 2,900 Residential same store apartment units at an average cost of approximately $33,000 per apartment unit renovated. The remainder of the NOI-Enhancing spend includes other items, such as sustainability and property-level technology expenditures.
(3)	Income (loss) from investments in unconsolidated entities (on a Normalized FFO basis) primarily consists of our share of both Lease-Up NOI and interest expense, net that is no longer being capitalized from the recently completed unconsolidated development projects referenced on page 24.

Equity Residential

Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms

(Amounts in thousands except per share and per apartment unit data)

(All per share data is diluted)

This Earnings Release and Supplemental Financial Information includes certain non-GAAP financial measures and other terms that management believes are helpful in understanding our business. The definitions and calculations of these non-GAAP financial measures and other terms may differ from the definitions and methodologies used by other real estate investment trusts (“REIT”) and, accordingly, may not be comparable. These non-GAAP financial measures should not be considered as an alternative to net earnings or any other measurement of performance computed in accordance with accounting principles generally accepted in the United States (“GAAP”) or as an alternative to cash flows from specific operating, investing or financing activities. Furthermore, these non-GAAP financial measures are not intended to be a measure of cash flow or liquidity.

Acquisition Capitalization Rate or Cap Rate – NOI that the Company anticipates receiving in the next 12 months (or the year two or three stabilized NOI for properties that are in lease-up at acquisition) less an estimate of property management costs/management fees allocated to the project (generally ranging from 2.0% to 4.0% of revenues depending on the size and income streams of the asset) and less an estimate for in-the-unit replacement capital expenditures (generally ranging from $100-$450 per apartment unit depending on the age and condition of the asset) divided by the gross purchase price of the asset. The weighted average Acquisition Cap Rate for acquired properties is weighted based on the projected NOI streams and the relative purchase price for each respective property.

Average Rental Rate – Total Residential rental revenues reflected on a straight-line basis in accordance with GAAP divided by the weighted average occupied apartment units for the reporting period presented.

Bad Debt, Net – Change in rental income due to bad debt write-offs and reserves, net of amounts collected on previously written-off or reserved accounts.

Blended Rate – The weighted average of New Lease Change and Renewal Rate Achieved.

Capital Expenditures to Real Estate:

Building Improvements – Includes roof replacement, paving, building mechanical equipment systems, exterior siding and painting, major landscaping, furniture, fixtures and equipment for amenities and common areas, vehicles and office and maintenance equipment.

NOI-Enhancing – Primarily includes Renovation Expenditures as well as sustainability and property-level technology expenditures that are intended to increase revenues or decrease expenses.

Recurring – Capital expenditures necessary to help preserve the value of and maintain the functionality at our apartment properties.

Renovation Expenditures – Apartment unit renovation costs (primarily kitchens and baths) designed to reposition these units for higher rental levels in their respective markets.

Replacements – Includes appliances, mechanical equipment, fixtures and flooring (including hardwood and carpeting).

Debt Balances:

Commercial Paper Program – The Company may borrow up to a maximum of $1.5 billion under its Commercial Paper Program subject to market conditions. The notes bear interest at various floating rates.

Revolving Credit Facility – The Company’s $2.5 billion unsecured revolving credit facility matures October 26, 2027. The interest rate on advances under the facility will generally be SOFR plus a spread (currently 0.725%), or based on bids received from the lending group, and an annual facility fee (currently 0.125%). Both the spread and the facility fee are dependent on the Company’s senior unsecured credit rating and other terms and conditions per the agreement. In addition, the Company limits its utilization of the facility in order to maintain liquidity to support its $1.5 billion Commercial Paper Program along with certain other obligations. The following table presents the availability on the Company’s unsecured revolving credit facility:

	December 31, 2024
Unsecured revolving credit facility commitment	$	2,500,000
Commercial paper balance outstanding		(544,495	)
Unsecured revolving credit facility balance outstanding		—
Other restricted amounts		(3,438	)
Unsecured revolving credit facility availability	$	1,952,067

Debt Covenant Compliance – Our unsecured debt includes certain financial and operating covenants including, among other things, maintenance of certain financial ratios. These provisions are contained in the indentures applicable to each notes payable or the credit agreement for our line of credit. The Debt Covenant Compliance ratios that are provided show the Company's compliance with certain covenants governing our public unsecured debt. These covenants generally reflect our most restrictive financial covenants. The Company was in compliance with its unsecured debt covenants for all periods presented.

Development Yield – NOI that the Company anticipates receiving in the next 12 months following stabilization less an estimate of property management costs/management fees allocated to the project (generally ranging from 2.0% to 4.0% of revenues depending on the size and income streams of the asset) and less an estimate for in-the-unit replacement capital expenditures (generally ranging from $50-$150 per apartment unit depending on the type of asset) divided by the Total Budgeted Capital Cost of the asset. The weighted average Development Yield for development properties is weighted based on the projected NOI streams and the relative Total Budgeted Capital Cost for each respective property.

Disposition Yield – NOI that the Company anticipates giving up in the next 12 months less an estimate of property management costs/management fees allocated to the project (generally ranging from 2.0% to 4.0% of revenues depending on the size and income streams of the asset) and less an estimate for in-the-unit replacement capital expenditures (generally ranging from $150-$450 per apartment unit depending on the age and condition of the asset) divided by the gross sales price of the asset. The weighted average Disposition Yield for sold properties is weighted based on the projected NOI streams and the relative sales price for each respective property.

Earnings Per Share ("EPS") – Net income per share calculated in accordance with GAAP. Expected EPS is calculated on a basis consistent with actual EPS. Due to the uncertain timing and extent of property dispositions and the resulting gains/losses on sales, actual EPS could differ materially from expected EPS.

EBITDA for Real Estate and Normalized EBITDA for Real Estate:

Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (“EBITDAre”) – The National Association of Real Estate Investment Trusts (“Nareit”) defines EBITDAre (September 2017 White Paper) as net income (computed in accordance with GAAP) before interest expense, income taxes, depreciation and amortization expense, and further adjusted for gains and losses from sales of depreciated operating properties, impairment write-downs of depreciated operating properties, impairment write-downs of investments in unconsolidated entities caused by a decrease in value of depreciated operating properties within the joint venture and adjustments to reflect the Company’s share of EBITDAre of investments in unconsolidated entities.

The Company believes that EBITDAre is useful to investors, creditors and rating agencies as a supplemental measure of the Company’s ability to incur and service debt because it is a recognized measure of performance by the real estate industry, and by excluding gains or losses related to sales or impairment of depreciated operating properties, EBITDAre can help compare the Company’s credit strength between periods or as compared to different companies.

Normalized Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (“Normalized EBITDAre”) – Represents net income (computed in accordance with GAAP) before interest expense, income taxes, depreciation and amortization expense, and further adjusted for non-comparable items. Normalized EBITDAre, total debt to Normalized EBITDAre and net debt to Normalized EBITDAre are important metrics in evaluating the credit strength of the Company and its ability to service its debt obligations. The Company believes that Normalized EBITDAre, total debt to Normalized EBITDAre, and net debt to Normalized EBITDAre are useful to investors, creditors and rating agencies because they allow investors to compare the Company’s credit strength to prior reporting periods and to other companies without the effect of items that by their nature are not comparable from period to period and tend to obscure the Company’s actual credit quality.

Economic Gain (Loss) – Economic Gain (Loss) is calculated as the net gain (loss) on sales of real estate properties in accordance with GAAP, excluding accumulated depreciation. The Company generally considers Economic Gain (Loss) to be an appropriate supplemental measure to net gain (loss) on sales of real estate properties in accordance with GAAP because it is one indication of the gross value created by the Company's acquisition, development, renovation, management and ultimate sale of a property and because it helps investors to understand the relationship between the cash proceeds from a sale and the cash invested in the sold property. The following table presents a reconciliation of net gain (loss) on sales of real estate properties in accordance with GAAP to Economic Gain (Loss):

	Year Ended December 31, 2024			Quarter Ended December 31, 2024
Net Gain (Loss) on Sales of Real Estate Properties	$	546,797		$	318,968
Accumulated Depreciation Gain		(350,066	)		(238,470	)
Economic Gain (Loss)	$	196,731		$	80,498

Established Markets – Includes Boston, New York, Washington, D.C., Seattle, San Francisco and Southern California (Los Angeles, Orange County and San Diego).

Expansion Markets – Includes Denver, Atlanta, Dallas/Ft. Worth and Austin.

FFO and Normalized FFO:

Funds From Operations (“FFO”) – Nareit defines FFO (December 2018 White Paper) as net income (computed in accordance with GAAP), excluding gains or losses from sales and impairment write-downs of depreciable real estate and land when connected to the main business of a REIT, impairment write-downs of investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity and depreciation and amortization related to real estate. Adjustments for partially owned consolidated and unconsolidated partnerships and joint ventures are calculated to reflect FFO on the same basis. Expected FFO per share is calculated on a basis consistent with actual FFO per share and is considered an appropriate supplemental measure of expected operating performance when compared to expected EPS.

The Company believes that FFO and FFO available to Common Shares and Units are helpful to investors as supplemental measures of the operating performance of a real estate company, because they are recognized measures of performance by the real estate industry and by excluding gains or losses from sales and impairment write-downs of depreciable real estate and excluding depreciation related to real estate (which can vary among owners of identical assets in similar condition based on historical cost accounting and useful life estimates), FFO and FFO available to Common Shares and Units can help compare the operating performance of a company’s real estate between periods or as compared to different companies.

Normalized Funds From Operations ("Normalized FFO" or "NFFO") – Normalized FFO begins with FFO and excludes:

the impact of any expenses relating to non-operating real estate asset impairment;
pursuit cost write-offs;
gains and losses from early debt extinguishment and preferred share redemptions;
gains and losses from non-operating assets; and
other miscellaneous items.

Expected Normalized FFO per share is calculated on a basis consistent with actual Normalized FFO per share and is considered an appropriate supplemental measure of expected operating performance when compared to expected EPS.

The Company believes that Normalized FFO and Normalized FFO available to Common Shares and Units are helpful to investors as supplemental measures of the operating performance of a real estate company because they allow investors to compare the Company's operating performance to its performance in prior reporting periods and to the operating performance of other real estate companies without the effect of items that by their nature are not comparable from period to period and tend to obscure the Company's actual operating results.

FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units do not represent net income, net income available to Common Shares or net cash flows from operating activities in accordance with GAAP. Therefore, FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units should not be exclusively considered as alternatives to net income, net income available to Common Shares or net cash flows from operating activities as determined by GAAP or as a measure of liquidity. The Company's calculation of FFO, FFO available to Common Shares and Units, Normalized FFO and Normalized FFO available to Common Shares and Units may differ from other real estate companies due to, among other items, variations in cost capitalization policies for capital expenditures and, accordingly, may not be comparable to such other real estate companies.

FFO available to Common Shares and Units and Normalized FFO available to Common Shares and Units are calculated on a basis consistent with net income available to Common Shares and reflects adjustments to net income for preferred distributions and premiums on redemption of preferred shares in accordance with GAAP. The equity positions of various individuals and entities that contributed their properties to the Operating Partnership in exchange for OP Units are collectively referred to as the "Noncontrolling Interests – Operating Partnership". Subject to certain restrictions, the Noncontrolling Interests – Operating Partnership may exchange their OP Units for Common Shares on a one-for-one basis.

The following table presents reconciliations of EPS to FFO per share and Normalized FFO per share for Consolidated Statements of Funds From Operations and Normalized Funds From Operations.

							Actual			Actual			Expected			Expected
	Actual 2024			Actual 2023			Q4 2024			Q4 2023			Q1 2025			2025
	Per Share			Per Share			Per Share			Per Share			Per Share			Per Share
EPS – Diluted	$	2.72		$	2.20		$	1.10		$	0.82		$0.63 to $0.67			$3.00 to $3.10
Depreciation expense		2.44			2.27			0.68			0.58			0.66			2.46
Net (gain) loss on sales		(1.40	)		(0.72	)		(0.81	)		(0.40	)		(0.40	)		(1.59	)
Impairment – operating real estate assets		—			—			—			—			—			—

FFO per share – Diluted		3.76			3.75			0.97			1.00		0.89 to 0.93			3.87 to 3.97

Adjustments ⁽¹⁾:
Impairment – non-operating real estate
assets		—			—			—			—			—			—
Write-off of pursuit costs		0.01			0.01			0.01			—			—			0.01
Debt extinguishment and preferred
share redemption (gains) losses		—			—			—			—			—			—
Non-operating asset (gains) losses		(0.04	)		(0.03	)		—			(0.02	)		—			—
Other miscellaneous items		0.16			0.05			0.02			0.02			0.01			0.02

Normalized FFO per share – Diluted	$	3.89		$	3.78		$	1.00		$	1.00		$0.90 to $0.94			$3.90 to $4.00

(1)	See Adjustments from FFO to Normalized FFO for additional detail.

Lease-Up NOI – Represents NOI for development properties: (i) in various stages of lease-up; and (ii) where lease-up has been completed but the properties were not stabilized (defined as having achieved 90% Physical Occupancy for three consecutive months) for all of the current and comparable periods presented.

Leasing Concessions – Reflects upfront discounts on both new move-in and renewal leases on a straight-line basis.

Net Operating Income (“NOI”) – NOI is the Company’s primary financial measure for evaluating each of its apartment properties. NOI is defined as rental income less direct property operating expenses (including real estate taxes and insurance). The Company believes that NOI is helpful to investors as a supplemental measure of its operating performance because it is a direct measure of the actual operating results of the Company's apartment properties. NOI does not include an allocation of property management expenses either in the current or comparable periods. Rental income for all leases and operating expense for ground leases (for both same store and non-same store properties) are reflected on a straight-line basis in accordance with GAAP for the current and comparable periods.

The following tables present reconciliations of net income per the consolidated statements of operations to NOI, along with rental income, operating expenses and NOI per the consolidated statements of operations allocated between same store and non-same store/other results and further allocated between Residential same store and Non-Residential same store results (see Same Store Results):

	Year Ended December 31,						Quarter Ended December 31,
	2024			2023			2024			2023
Net income	$	1,070,975		$	868,488		$	433,871		$	322,269
Adjustments:
Property management		132,739			119,804			32,358			29,490
General and administrative		61,653			60,716			12,751			11,581
Depreciation		952,191			888,709			264,150			226,788
Net (gain) loss on sales of real estate
properties		(546,797	)		(282,539	)		(318,968	)		(155,505	)
Interest and other income		(30,329	)		(22,345	)		(3,828	)		(11,049	)
Other expenses		74,051			29,419			14,957			8,902
Interest:
Expense incurred, net		285,735			269,556			79,973			68,674
Amortization of deferred financing costs		7,834			8,941			2,050			1,918
Income and other tax expense (benefit)		1,256			1,148			331			256
(Income) loss from investments in unconsolidated
entities		8,974			5,378			4,109			1,531
Total NOI	$	2,018,282		$	1,947,275		$	521,754		$	504,855

	Year Ended December 31,				Quarter Ended December 31,
Rental income:	2024		2023		2024		2023
Residential same store	$	2,716,579	$	2,638,467	$	688,118	$	671,373
Non-Residential same store		106,839		101,726		25,671		25,501
Total same store		2,823,418		2,740,193		713,789		696,874
Non-same store/other		156,690		133,771		52,990		30,626
Total rental income		2,980,108		2,873,964		766,779		727,500
Operating expenses:
Residential same store		864,592		841,376		215,431		206,801
Non-Residential same store		29,885		28,259		7,608		7,104
Total same store		894,477		869,635		223,039		213,905
Non-same store/other		67,349		57,054		21,986		8,740
Total operating expenses		961,826		926,689		245,025		222,645
NOI:
Residential same store		1,851,987		1,797,091		472,687		464,572
Non-Residential same store		76,954		73,467		18,063		18,397
Total same store		1,928,941		1,870,558		490,750		482,969
Non-same store/other		89,341		76,717		31,004		21,886
Total NOI	$	2,018,282	$	1,947,275	$	521,754	$	504,855

New Lease Change – The net effective change in rent (inclusive of Leasing Concessions) for a lease with a new or transferring resident compared to the rent for the prior lease of the identical apartment unit, regardless of lease term.

Non-Residential – Consists of revenues and expenses from retail and public parking garage operations.

Non-Same Store Properties – For annual comparisons, primarily includes all properties acquired during 2023 and 2024, plus any properties in lease-up and not stabilized as of January 1, 2023. Unless otherwise noted, includes both Residential and Non-Residential operations for these properties.

Percentage of Residents Renewing – Leases renewed expressed as a percentage of total renewal offers extended during the reporting period.

Physical Occupancy – The weighted average occupied apartment units for the reporting period divided by the average of total apartment units available for rent for the reporting period.

Pricing Trend – Weighted average of 12-month base rent including amenity amount less Leasing Concessions on 12-month signed leases for the reporting period.

Renewal Rate Achieved – The net effective change in rent (inclusive of Leasing Concessions) for a new lease on an apartment unit where the lease has been renewed as compared to the rent for the prior lease of the identical apartment unit, regardless of lease term.

Residential – Consists of multifamily apartment revenues and expenses.

Same Store Operating Expenses:

Insurance – Includes third-party insurance premiums, broker fees and other insurance-related procurement fees along with an allocation of estimated uninsured losses.

On-site Payroll – Includes payroll and related expenses for on-site personnel including property managers, leasing consultants and maintenance staff.

Other On-site Operating Expenses – Includes ground lease costs and administrative costs such as office supplies, telephone and data charges and association and business licensing fees.

Repairs and Maintenance – Includes general maintenance costs, apartment unit turnover costs including interior painting, routine landscaping, security, exterminating, fire protection, snow removal, elevator, roof and parking lot repairs and other miscellaneous building repair and maintenance costs.

Utilities – Represents gross expenses prior to any recoveries under the Resident Utility Billing System (“RUBS”). Recoveries are reflected in rental income.

Same Store Properties – For annual comparisons, primarily includes all properties acquired or completed that are stabilized prior to January 1, 2023, less properties subsequently sold. Properties are included in Same Store when they are stabilized for all of the current and comparable periods presented. Unless otherwise noted, includes both Residential and Non-Residential operations for these properties.

Same Store Residential Revenues – Revenues from our Residential Same Store Properties only presented on a GAAP basis which reflects the impact of Leasing Concessions on a straight-line basis.

Same Store Residential Revenues with Leasing Concessions on a cash basis is presented in Same Store Results and is considered by the Company to be a supplemental measure to Same Store Residential Revenues in conformity with GAAP to help investors evaluate the impact of both current and historical Leasing Concessions on GAAP-based Same Store Residential Revenues and to more readily enable comparisons to revenue as reported by other companies. Same Store Residential Revenues with Leasing Concessions on a cash basis reflects the impact of Leasing Concessions used in the period and allows an investor to understand the historical trend in cash Leasing Concessions.

% of Stabilized Budgeted NOI – Represents original budgeted 2025 NOI for stabilized properties and projected annual NOI at stabilization (defined as having achieved 90% Physical Occupancy for three consecutive months) for properties that are in lease-up.

Total Budgeted Capital Cost – Estimated remaining cost for projects under development and/or developed plus all capitalized costs incurred to date, including land acquisition costs, construction costs, capitalized real estate taxes and insurance, capitalized interest and loan fees, permits, professional fees, allocated development overhead and other regulatory fees, plus any estimates of costs remaining to be funded for all projects, all in accordance with GAAP. Amounts for partially owned consolidated and unconsolidated properties are presented at 100% of the project.

Total Market Capitalization – The aggregate of the market value of the Company’s outstanding common shares, including restricted shares, the market value of the Company’s operating partnership units outstanding, including restricted units (based on the market value of the Company’s common shares) and the outstanding principal balance of debt. The Company believes this is a useful measure of a real estate operating company’s long-term liquidity and balance sheet strength, because it shows an approximate relationship between a company’s total debt and the current total market value of its assets based on the current price at which the Company’s common shares trade. However, because this measure of leverage changes with fluctuations in the Company’s share price, which occur regularly, this measure may change even when the Company’s earnings, interest and debt levels remain stable.

Traffic – Consists of an expression of interest in an apartment by completing an in-person tour, self-guided tour or virtual tour that may result in an application to lease.

Transaction Accretion (Dilution) – Represents the spread between the Acquisition Cap Rate and the Disposition Yield.

Turnover – Total Residential move-outs (including inter-property and intra-property transfers) divided by total Residential apartment units.

Unencumbered NOI % – Represents NOI generated by consolidated real estate assets unencumbered by outstanding secured debt as a percentage of total NOI generated by all of the Company's consolidated real estate assets.

Weighted Average Coupons – Contractual interest rate for each debt instrument weighted by principal balances as of December 31, 2024. In case of debt for which fair value hedges are in place, the rate payable under the corresponding derivatives is used in lieu of the contractual interest rate.

Weighted Average Rates – Interest expense for each debt instrument for the year ended December 31, 2024 weighted by its average principal balance for the same period. Interest expense includes amortization of premiums, discounts and other comprehensive income on debt and related derivative instruments. In case of debt for which derivatives are in place, the income or expense recognized under the corresponding derivatives is included in the total interest expense for the period.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250203148224/en/

Contacts

Marty McKenna

312-928-1901

mmckenna@eqr.com

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