Essex Property Trust, Inc. · NYSE:ESS
Essex Property Trust — Investor Presentation (February 2026)
39 slides from Essex Property Trust's investor presentation, February 2026
Slide 1: Investor Presentation February 2026
INVESTOR PRESENTATION FEBRUARY 2026 ViO San Jose, CA
Slide 2: Table of Contents
TABLE OF CONTENTS 3 Company Highlights & Track Record 11 2026 Full-Year Guidance 15 West Coast Demand Fundamentals 22 West Coast Supply Fundamentals 26 Balance Sheet 28 Sustainability Highlights 30 Appendix: Portfolio Overview 33 Definitions & Reconciliations 2
Slide 3: Company Highlights & Track Record
COMPANY HIGHLIGHTS & TRACK RECORD 1250 Lakeside Sunnyvale, CA 3
Slide 4: Company Highlights
COMPANY HIGHLIGHTS 32 Consecutive Long, Proven Years of Best-in- S&P 500 Track Record Increasing Class Total Company Cash Returns Dividends Est. 1971 S&P Dividend +13.3% CAGR Since 2014 IPO 1994 Aristocrat Since IPO Superior Experienced Large-Cap Long-Term Investment- Management U.S. REIT Core FFO G
Slide 5: Core Metric Outperformance
CORE METRIC OUTPERFORMANCE Essex drives core metric growth through disciplined capital allocation decisions, focusing on creating value for shareholders. This approach has led to outperformance over a 20-year period in Core FFO, same-property NOI, and dividend growth The Company has generated un
Slide 6: Total Returns Outperform
TOTAL RETURNS OUTPERFORM Robust value creation for shareholders since IPO A S&P 500 Dividend Aristocrat, Essex has increased its cash dividend for 32 consecutive years, with 520% cumulative dividend growth since the Company’s IPO in 1994 Total Shareholder Return Since ESS IPO(1) Dividend Per Sha
Slide 7: West Coast Investment Thesis
WEST COAST INVESTMENT THESIS STRONG DEMAND DRIVERS Economy Jobs / Income Affordability California and Centers of innovation High median home prices Washington combine for generating leading job and elevated mortgage the 3rd highest GDP(1) and income growth, rates make purchasing a globally and highe
Slide 8: Key Drivers of Value Creation
KEY DRIVERS OF VALUE CREATION Essex generates shareholder value through two primary pillars: 1 External Growth 2 Value Optimization Expanding and enhancing the portfolio Driving efficiencies and improving when capital conditions are favorable Operating Platform returns from existing assets Efficienc
Slide 9: Essex Value Creation Through Capital Allocation: 2024-2025
ESSEX VALUE CREATION THROUGH CAPITAL ALLOCATION: 2024 -2025 Essex has targeted acquisitions in select submarkets of Northern California — the region with the strongest rent growth outlook over the next several years —simultaneously improving the age of the portfolio and generating accretion relati
Slide 10: Value Optimization
VALUE OPTIMIZATION The Company’s implementation of Property Collections and other operating initiatives have contributed to sector-leading operating margins and efficiencies Proven efficiencies of 45:1 unit-to-staff ratio, a significant improvement from 40:1 in 2019 Since 2020, Essex’s control
Slide 11: 2026 Full-Year Guidance
2026 FULL-YEAR GUIDANCE 500 Folsom San Francisco, CA 11
Slide 12: 2026 Full-Year Guidance
2026 FULL-YEAR GUIDANCE(1) The Company’s topline growth is expected to lead the peer group for a third consecutive year, supported by growing momentum in Essex’s West Coast markets Operating trends to begin the year are consistent with the Company’s expectations 2026E Same-Property Revenue Growt
Slide 13: 2026E Same-Property Revenue Guidance
2026E SAME-PROPERTY REVENUE GUIDANCE Our 2026 outlook assumes a muted U.S. labor market with the West Coast modestly outperforming, driven by growth in the technology sector We expect similar blended rate growth to 2025 at a midpoint of 2.5%, with lower supply in 2026 offsetting the soft U.S. jo
Slide 14: 2026E Core FFO per Share Guidance
2026E CORE FFO PER SHARE GUIDANCE In 2026, the Company faces its final year of structured finance headwinds, with the strategic reduction of the portfolio behind us Excluding the impact from structured finance redemptions, the Company’s Core FFO per diluted share would be $16.23, equating to 1.8
Slide 15: West Coast Demand Fundamentals
WEST COAST DEMAND FUNDAMENTALS Belcarra Bellevue, WA 15
Slide 16: Bay Area Leads the Way for Innovation
BAY AREA LEADS THE WAY FOR INNOVATION Bay Area employment growth in high-paying industries exceeded the U.S. average and other major regions in 2025, driven by growth in the technology industry. The two leading Artificial Intelligence (“AI”) companies headcount growth of 55% in 2025 is a key examp
Slide 17: Bay Area Office Activity
BAY AREA OFFICE ACTIVITY Technology company office expansions in the Bay Area continued to gain momentum throughout 2025 and into 2026, with OpenAI in advanced talks to lease a 450K square foot campus in Mountain View Essex is well positioned to capture increased housing demand driven by these o
Slide 18: Favorable Trends Emerging in Seattle
FAVORABLE TRENDS EMERGING IN SEATTLE Improving demand trends from migration and return-to-office enforcement combined with a notable reduction in new multifamily supply deliveries, position Seattle favorably in 2026 Consistent with past innovation cycles, Seattle office leasing by the major tech
Slide 19: Los Angeles Fundamentals Improving
LOS ANGELES FUNDAMENTALS IMPROVING Legacy delinquency and pockets of elevated supply in Los Angeles continue to improve, setting up the conditions for occupancy to increase As economic occupancy(1) stabilizes to 95%, pricing power is expected to improve in Los Angeles Los Angeles Multifamily Sup
Slide 20: Propensity to Rent in Essex Markets
PROPENSITY TO RENT IN ESSEX MARKETS It is 2.4x more expensive to own versus rent in Essex markets, making the transition from renting to homeownership more challenging in Essex markets compared to other major metros Cost to Own vs. Rent(1)(2) Own vs. Rent Cost Differential(1) ESS Markets vs. Other
Slide 21: Embedded Growth Potential in Essex Markets
EMBEDDED GROWTH POTENTIAL IN ESSEX MARKETS Since 2019, healthy median household income growth relative to rent growth in the Essex markets has resulted in compelling affordability metrics. This spread is an indicator of the embedded rent growth potential in the Essex markets Northern California
Slide 22: West Coast Supply Fundamentals
WEST COAST SUPPLY FUNDAMENTALS One Hundred Grand Foster City, CA 22
Slide 23: MSA Level Supply Forecast: 2025E-2026E
MSA LEVEL SUPPLY FORECAST: 2025E – 2026E Residential Supply Forecast (1) 2025A 2026E Total Total Total Total MF/SF Supply as a % of Multifamily MF/SF Supply as a % of Supply Stock Supply Supply Stock Market Los Angeles 14,900 0.4% 6,300 12,100 0.3% Orange County 4,400 0.4% 2,500 5,200 0.5% San Diego
Slide 24: Supply-Demand Fundamentals
SUPPLY-DEMAND FUNDAMENTALS Low levels of total housing supply and healthy market occupancy position the Essex markets favorably in 2026 Conversely, elevated levels of supply and market occupancy pressures remain impactful across many other major U.S. markets Essex Markets to Experience Low Suppl
Slide 25: Favorable Supply Landscape in Essex Markets
FAVORABLE SUPPLY LANDSCAPE IN ESSEX MARKETS In Essex markets, total permitting activity continues to decline and remains well below 1% of stock, indicating a favorable supply picture for the foreseeable future Single-family supply represents approximately 2/3 of total housing stock in the Sunbel
Slide 26: Balance Sheet
BALANCE SHEET The Plaza Foster City, CA 26
Slide 27: Investment Grade Balance Sheet & Strong Liquidity
INVESTMENT GRADE BALANCE SHEET & STRONG LIQUIDITY(1) Baa1/BBB+ $24.3B 510% 93% 291% $1.7B 5.6X Stable Total Market Interest Unencumbered NOI to Unsecured Debt In Total Liquidity(2) Net-Debt-to- Credit Ratings Capitalization Coverage Adjusted Total NOI Ratio EBITDAre Equity Unsecured Debt Debt Maturi
Slide 28: Sustainability Highlights
SUSTAINABILITY HIGHLIGHTS ROEN Menlo Park Menlo Park, CA 28
Slide 29: Sustainability Highlights
SUSTAINABILITY HIGHLIGHTS In May 2025, Science Based Targets initiative (SBTi) approved Essex's near-term targets to reduce Scope 1 and 2 absolute GHG emissions by 67.2% from a 2018 base year by 2034 and to reduce absolute Scope 3 GHG emissions by 35% from a 2023 base year by 2034 Received a 4-S
Slide 30: Appendix: Portfolio Overview
APPENDIX: PORTFOLIO OVERVIEW Slater 116 Kirkland, WA 30
Slide 31: Portfolio Overview
PORTFOLIO OVERVIEW The only public multifamily REIT focused on the West Coast Together, California and Washington represent the 3rd highest GDP in the world(1) 8 Major West Coast Markets 259 Apartment Communities Over 63,000 Apartment Homes Portfolio Composition(2) Urban Suburban 15% 85% % of Po
Slide 32: Property Maps and Key Market Statistics
PROPERTY MAPS AND KEY MARKET STATISTICS SOUTHERN NORTHERN SEATTLE CALIFORNIA CALIFORNIA Total Median Rent Cost to Own(3) 2026E Unit % of Household Median Household as a % of versus Total Supply as a Market Count Total NOI(1) Income(2) Income Growth(2) Income Cost to Rent % of Stock(4) Los Angeles 11
Slide 33: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS Emerson Valley Village Valley Village, CA 33
Slide 34: Forward Looking Statements
FORWARD LOOKING STATEMENTS SAFE HARBOR STATEMENT UNDER THE PRIVATE LITIGATION REFORM ACT OF 1995 This presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Fo
Slide 35: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS ADJUSTED EBITDAre RECONCILIATION The National Association of Real Estate Investment Trusts ("NAREIT”) defines earnings before interest, taxes, depreciation and amortization for real estate ("EBITDAre") (September 2017 White Paper) as net income (computed in accordance w
Slide 36: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS ENCUMBERED Encumbered means any mortgage, deed of trust, lien, charge, pledge, security interest, security agreement or other encumbrance of any kind. FUNDS FROM OPERATIONS (“FFO”) AND CORE FFO FFO, as defined by NAREIT, is generally considered by industry analysts as a
Slide 37: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS NET INDEBTEDNESS DIVIDED BY ADJUSTED EBITDAre This credit ratio is presented on page S-6 of the earnings supplement for the fourth quarter of 2025 in the section titled "Selected Credit Ratios." This credit ratio is calculated by dividing net indebtedness by Adjusted EB
Slide 38: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS NET OPERATING INCOME (“NOI”) AND SAME-PROPERTY NOI RECONCILIATIONS NOI and same-property NOI are considered by management to be important supplemental performance measures to earnings from operations included in the Company’s consolidated statements of income. The prese
Slide 39: Definitions & Reconciliations
DEFINITIONS & RECONCILIATIONS SAME-PROPERTY REVENUE GROWTH WITH CONCESSIONS ON A GAAP BASIS Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, (Dollars in millions) 2025 2024 2025 2024 Reported rental revenue (1) $ 414.9 $ 399.5 $ 1,643.0 $ 1,590.4 Straight-li
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