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T H I R D Q U A R T E R 2 0 2 5 C R E D I T U P D A T E ARLO Mountain View 164 Apartment Homes Mountain View, CA
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C R E D I T U P D A T E | Q 3 2 0 2 5 S E L E C T E D R A T I O S & C R E D I T R A T I N G S Agency Rating Outlook Moody's Baa1 Stable S&P BBB+ Stable Public Bond Covenants(1) & Selected Credit Ratios Q3 ’25 Q2 ’25 Q1 ’25 Q4 ’24 Q3 ’24 Covenant Debt to Total Assets 34% 35% 35% 35% 34% < 65% Secured Debt to Total Assets 4% 4% 5% 5% 5% < 40% Interest Coverage 517% 524% 532% 540% 547% > 150% Unsecured Debt Ratio (2) 293% 288% 286% 291% 293% > 150% Net Indebtedness to Adjusted EBITDAre (3)(4) 5.5X 5.5X 5.6X 5.6X 5.5X - Unencumbered NOI to Adjusted Total NOI 93% 93% 92% 92% 93% - Credit Ratings (1) Please refer to the Company’s Public Bond Filings with the SEC for the definitions of the covenants. (2) Unsecured Debt Ratio is unsecured assets (excluding investments in co-investments) divided by unsecured indebtedness. (3) Net Indebtedness is total debt less unamortized premiums, debt issuance costs, unrestricted cash and cash equivalents, and marketable securities at pro rata share. (4) Adjusted EBITDAre is reflected on a pro rata basis and excludes non-routine items in earnings and other adjustments as outlined on page S-17.1 of the supplemental financial information furnished as Exhibit 99.1 to the Company’s Current Report on Form 8-K filed with the SEC on October 29th, 2025.
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T H I R D Q U A R T E R 2 0 2 5 H I G H L I G H T S A N D 2 0 2 5 G U I D A N C E C R E D I T U P D A T E | Q 3 2 0 2 5 ▪ Reported Net Income per diluted share for the third quarter of 2025 of $2.56, compared to $1.84 in the third quarter of 2024. The increase was primarily driven by gains on sale of real estate. ▪ Grew Core FFO per diluted share by 1.5% compared to the third quarter of 2024, exceeding the midpoint of the Company’s guidan ce range by $0.03. ▪ Achieved same-property revenue and net operating income (“NOI”) growth of 2.7% and 2.4%, respectively, compared to the third qua rter of 2024. On a sequential basis, same-property revenue improved 0.7%. ▪ Acquired ViO, a 234-unit apartment home community built in 2016 and located in San Jose, CA for a contract price of $100.0 million. ▪ Disposed of three apartment home communities for a total contract price of $244.7 million ($197.2 million at pro rata share) and recorded a combined gain on sale of $67.5 million at pro rata share, which has been excluded from Total and Core FFO. ▪ Increased its unsecured credit facility from $1.2 billion to $1.5 billion and extended the maturity date to January 2030 with two six-month extension options, exercisable at the Company’s option. Pricing on the credit facility is SOFR plus 0.775%. ▪ Subsequent to quarter end, amended its existing $300.0 million unsecured term loan to extend the maturity date from October 2027 to January 2031, inclusive of extension options exercisable at the Company’s option. The interest rate was reduced by 0.10% to SOFR plus 0.85% . ▪ Raised full-year Net Income and Core FFO per diluted share guidance and reaffirmed the full-year midpoints for same-property revenues, expenses, and NOI growth as detailed in the table below: 2025 Full-Year Guidance Previous Range Revised Range Revised Midpoint Change at Midpoint Per Diluted Share Net Income $10.05 - $10.29 $10.53 - $10.63 $10.58 +$0.41 Total FFO $15.77 - $16.01 $15.91 - $16.01 $15.96 +$0.07 Core FFO $15.80 - $16.02 $15.89 - $15.99 $15.94 +$0.03 Same-Property Portfolio Growth (1) Revenues 2.90% to 3.40% 3.00% to 3.30% 3.15% - Operating Expenses 3.00% to 3.50% 3.00% to 3.50% 3.25% - NOI 2.70% to 3.50% 2.80% to 3.40% 3.10% - (1) Reflects guidance on a cash basis. On a GAAP basis, the midpoints of the Company’s same-property revenue and NOI guidance are 3.20% and 3.20%, respectively.
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Commercial Paper and Credit Facility 4% Secured Fixed Rate 8% Secured Variable Rate 4% Unsecured Term Loan 8% Unsecured Bonds 76% Equity 73% Commercial Paper and Credit Facility 1% Unsecured Debt 23% Secured Debt 3% Secured 12% Unsecured 88% C R E D I T U P D A T E | Q 3 2 0 2 5 $24.5 Billion Total Market Capitalization (1) C A P I T A L S T U C T U R E & L I Q U I D I T Y P R O F I L E Debt Composition (1) (2) Liquidity Profile ($M) 9/30/2025 Unsecured Credit Facility – Committed $1,575 Unsecured Term Loan - Undrawn $50 Commercial Paper Balance Outstanding ($245) Available Unsecured Commitments $1,380 Cash, Cash Equivalents & Marketable Securities (3) $127 Total Liquidity $1,507 (1) As of 9/30/2025. (2) Consolidated portfolio only. (3) Includes value of undrawn equity forward contracts.
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450 650 450 500 800 600 650 550 400 600 11 99 84 68 1 67 2 2 330 2 2 128 0 200 400 600 800 1,000 1,200 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Thereafter Unsecured Secured M A T U R I T Y S C H E D U L E C R E D I T U P D A T E | Q 3 2 0 2 5 Disclaimer: This presentation is not, and does not constitute, an offer to sell or the solicitation, invitation or recommendation to purchase any securities and neither this presentation nor anything contained herein shall form the basis of any contract or commitment. This presentation contains certain “forward-looking statements” within the meaning of Section 27A of the US Securities Act of 1933, as amended, and Section 21E of the US Securities Exchange Act of 1934, as amended. These forward-looking statements, some of which can be identified by terms and phrases such as “forecast”, “estimate”, “expect”, “anticipate”, “should”, “could”, “may” and similar expressions, reflect the current views of Essex Property Trust, Inc. (“Essex” or the “Company”) or any of its affiliates with respect to future events and are subject to risks and uncertainties. Assumptions and, therefore, the forward-looking statements, are by their nature subject to significant uncertainties and contingencies, many of which are outside the control of the Company and are not reliably predictable. Should any of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated in any forward-looking statements. As such, undue reliance should not be placed on any forward-looking statements. Debt Maturities in Millions ($) Q3 2025 Conference Call Webcast Information: October 30, 2025 at 11:00 am Pacific Time Dial-In Number – (877) 407-0784/www.essex.com Replay available online for 30 days/digitally for 7 days Contact Information: Kyle Poirier, Group Vice President, Finance (650) 655-7890 kpoirier@essex.com % of Total Debt Maturing/Year 0.2% 8.5% 11.4% 8.0% 7.8% 13.4% 9.3% 10.2% 5.1% 8.6% 6.2% 11.3% Debt Maturity Schedule (1) (as of 9/30/2025) (1) Excludes credit facility and commercial paper balances.