Equity Residential Reports Fourth Quarter 2025 Results

CHICAGO--( BUSINESS WIRE)--Equity Residential (NYSE: EQR) today reported results for the quarter and year ended December 31, 2025 and has posted a Q4 2025 Management Presentation to its website as referenced below.

Fourth Quarter 2025 Results

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

Quarter Ended December 31,

2025

2024

$ Change

% Change

Earnings Per Share (EPS)

1.00

1.10

(0.10

)

(9.1

Funds from Operations (FFO) per share

0.97

0.0

Normalized FFO (NFFO) per share

1.03

1.00

0.03

3.0

Year Ended December 31,

2025

2024

$ Change

% Change

Earnings Per Share (EPS)

2.94

2.72

0.22

8.1

Funds from Operations (FFO) per share

3.94

3.76

0.18

4.8

Normalized FFO (NFFO) per share

3.99

3.89

0.10

2.6

Recent Highlights

“With new apartment supply dramatically declining, continued social and cost considerations that favor rental housing and a portfolio that is well positioned with high current occupancy and significant exposure to the strong San Francisco and New York markets, we expect operating momentum to improve as we move through the year," said Mark J. Parrell, Equity Residential's President and CEO. "In the meantime, we continue to be opportunistic and agile with our investors’ capital. We repurchased approximately $300 million of our stock during the year using sale proceeds from properties with slower forward growth prospects. At this price, and with the positive near term prospects we see for our business, we feel that our stock is a bargain.”

Full Year 2026 Guidance

The Company has provided guidance for its full year 2026 same store operating performance, EPS, FFO per share and Normalized FFO per share as listed below:

Same Store (includes Residential and Non-Residential):

Physical Occupancy

96.4%

Revenue change

1.2% to 3.2%

Expense change

3.0% to 4.0%

NOI change

0.5% to 2.5%

EPS

$1.44 to $1.56

Growth at midpoint vs. 2025 actual

(49.0%)

FFO per share

$3.98 to $4.10

Growth at midpoint vs. 2025 actual

2.5%

Normalized FFO per share

$4.02 to $4.14

Growth at midpoint vs. 2025 actual

2.3%

The Company's guidance assumes that excess disposition proceeds from 2025 of approximately $200 million are invested in share repurchases in the first half of 2026. No operating property acquisitions or dispositions are included in 2026 guidance.

The difference between the Company's full year 2025 actual EPS of $2.94 and the full year 2026 EPS guidance midpoint of $1.50 is due primarily to lower expected property sale gains, lower expected depreciation expense and the items described below.

The difference between the Company's full year 2025 actual FFO of $3.94 per share and the full year 2026 FFO guidance midpoint of $4.04 per share is due primarily to the items described below.

The difference between the Company's full year 2025 actual Normalized FFO of $3.99 per share and the full year 2026 Normalized FFO guidance midpoint of $4.08 per share is due primarily to:

Expected

Positive/(Negative)

Impact

Full Year 2026 vs.

Full Year 2025

Residential same store NOI

0.08

Lease-Up NOI

0.06

2025 transaction activity impact on NOI, net

(0.06

)

Interest expense, net

(0.05

)

Corporate overhead (1)

(0.01

)

Other items (primarily share repurchase impacts)

0.07

Net

0.09

(1)

Corporate overhead includes property management and general administrative expenses.

The Company has a glossary of defined terms and related reconciliations of Non-GAAP financial measures on pages 30 through 35 of this release. Reconciliations and definitions of FFO and Normalized FFO are provided on pages 7, 32 and 33 of this release.

Results Per Share

The change in EPS for the quarter ended December 31, 2025 compared to the same period of 2024 is due primarily to lower property sale gains, the various adjustment items listed on page 28 of this release and the items described below. The change in EPS for the year ended December 31, 2025 compared to the same period of 2024 is due primarily to higher property sale gains, higher depreciation expense, the various adjustment items listed on page 28 of this release and the items described below.

The per share changes in FFO for the quarter and year ended December 31, 2025 compared to the same periods of 2024 are due primarily to the various adjustment items listed on page 28 of this release and the items described below.

The per share changes in Normalized FFO are due primarily to:

Positive/(Negative) Impact

Fourth Quarter 2025 vs.

Fourth Quarter 2024

Full Year 2025 vs.

Full Year 2024

Residential same store NOI

0.03

0.11

Non-Residential same store NOI

–

(0.01

)

Lease-Up NOI

0.01

0.02

2025 and 2024 transaction activity impact on NOI, net

(0.02

)

0.03

Interest expense, net

–

(0.05

)

Other items (including corporate overhead)

0.01

–

Net

0.03

0.10

Same Store Results

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

Fourth Quarter 2025 vs.

Fourth Quarter 2024

Fourth Quarter 2025 vs.

Third Quarter 2025

Full Year 2025 vs.

Full Year 2024

Apartment Units

78,921

81,780

73,465

Physical Occupancy

96.2% vs. 96.0%

96.1% vs. 96.2%

96.4% vs. 96.2%

Revenues

2.5%

(0.1%)

2.6%

Expenses

2.9%

(2.6%)

3.7%

NOI

2.3%

1.1%

2.2%

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 2025 vs.

Fourth Quarter 2024

Fourth Quarter 2025 vs.

Third Quarter 2025

Full Year 2025 vs.

Full Year 2024

% Change

Same Store Residential Revenues-

comparable period

Lease rates

1.8

0.0

2.0

Leasing Concessions

(0.2

(0.1

Vacancy gain (loss)

0.3

0.2

Bad Debt, Net (1)

0.0

(0.2

0.1

Other (2)

0.5

0.0

0.6

Same Store Residential Revenues-

current period

2.4

(0.1

2.8

(1)

Change in rental income due to bad debt write-offs and reserves, net of amounts (including governmental rental assistance payments) collected on previously written-off or reserved accounts. See page 13 for more detail.

(2)

Includes ancillary income, utility recoveries, early lease termination income, miscellaneous income and other items.

See page 12 for detail and reconciliations of Same Store Residential Revenues on a GAAP basis to Same Store Residential Revenues with Leasing Concessions on a cash basis.

Residential Same Store Operating Statistics

The following table includes select operating metrics for Residential Same Store Properties (for 73,465 same store apartment units):

Q4 2025

Q3 2025

Q4 2024

Physical Occupancy

96.3%

96.1%

Percentage of Residents Renewing by quarter

62.1%

58.5%

61.4%

New Lease Change

(4.7%)

(1.0%)

(4.4%)

Renewal Rate Achieved

4.4%

4.5%

5.0%

Blended Rate (1)

0.5%

2.2%

1.0%

(1)

Blended Rates for Established Markets were 1.0%, 2.6% and 1.4% for Q4 2025, Q3 2025 and Q4 2024, respectively. See page 17.

Investments Activity

The Company did not acquire any properties in the fourth quarter of 2025. During the full year of 2025, the Company acquired nine properties, consisting of 2,439 apartment units, for an aggregate acquisition price of approximately $636.8 million at a weighted average Acquisition Cap Rate of 5.1%. The acquired properties are 14 years old on average.

During the fourth quarter of 2025, the Company sold six properties, two in the Los Angeles market, two in Seattle, WA, one in Cambridge, MA and one in Hoboken, NJ, consisting of 1,138 apartment units, for an aggregate sale price of approximately $527.6 million at a weighted average Disposition Yield of 5.6%. The operating properties sold during the quarter ended December 31, 2025 have an average age of 24 years. During the full year of 2025, the Company sold 11 properties consisting of 2,468 apartment units, for an aggregate sale price of approximately $1.1 billion at a weighted average Disposition Yield of 5.4%. The operating properties sold during 2025 have an average age of 24 years.

The Company did not commence construction on any new development projects in 2025. During the full year of 2025, the Company completed a wholly owned development project in each of its San Francisco and Denver markets, consisting of 495 apartment units in the aggregate, for a total cost of approximately $237.8 million, as well as one joint venture development project in its New York market, consisting of 450 apartment units, for a total cost of approximately $201.2 million.

Capital Markets and Balance Sheet Activity

During and just subsequent to the end of the fourth quarter of 2025, the Company repurchased and retired approximately 3.4 million of its common shares at a weighted average purchase price of $61.06 per share, for an aggregate purchased amount of approximately $205.7 million. During and just subsequent to the end of the full year of 2025, the Company repurchased and retired approximately 4.8 million of its common shares (or 1.3% of its outstanding common shares just prior to beginning repurchases in August 2025) at a weighted average purchase price of $62.03, for an aggregate purchased amount of approximately $300.0 million. All common share repurchases were funded with excess disposition proceeds.

During the fourth quarter of 2025, the Company entered into a new $2.5 billion unsecured revolving credit agreement. The new facility matures in December 2030 and has an interest rate of SOFR plus a spread (currently 0.725%) and an annual facility fee (currently 0.125%). Both the spread and the facility fee are dependent on the credit rating of the Company’s long-term debt. This facility replaced the Company's existing $2.5 billion facility, which was scheduled to mature in October 2027.

During 2025, the Company's annual common share dividend was $2.77 per share, totaling over $1.0 billion.

First Quarter 2026 Guidance

The Company has established guidance ranges for the first quarter of 2026 EPS, FFO per share and Normalized FFO per share as listed below:

Q1 2026

Guidance

EPS

$0.29 to $0.33

FFO per share

$0.93 to $0.97

Normalized FFO per share

$0.94 to $0.98

The difference between the fourth quarter of 2025 actual EPS of $1.00 and the first quarter of 2026 EPS guidance midpoint of $0.31 is due primarily to lower expected property sale gains, lower expected depreciation expense, lower expected other expenses and the items described below.

The difference between the fourth quarter of 2025 actual FFO of $0.97 per share and the first quarter of 2026 FFO guidance midpoint of $0.95 per share is due primarily to lower expected other expenses and the items described below.

The difference between the fourth quarter of 2025 actual Normalized FFO of $1.03 per share and the first quarter of 2026 Normalized FFO guidance midpoint of $0.96 per share is due primarily to:

Expected

Positive/(Negative)

Impact

First Quarter 2026 vs.

Fourth Quarter 2025

Residential same store NOI

(0.03

)

2025 transaction activity impact on NOI, net

(0.02

)

Corporate overhead

(0.03

)

Other items

0.01

Net

(0.07

)

About Equity Residential

Equity Residential is committed to creating communities where people thrive. The Company, a member of the S&P 500, owns and manages 312 rental properties consisting of 85,190 apartment units in dynamic metro areas across the U.S. with a primary concentration in major coastal markets, diversified by a targeted presence in the high-growth metro areas of Atlanta, Austin, Dallas/Ft. Worth and Denver. 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, Friday, February 6, 2026 at 9:00 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,

2025

2024

2025

2024

REVENUES

Rental income

3,093,959

2,980,108

781,911

766,779

EXPENSES

Property and maintenance

564,704

529,737

139,836

133,388

Real estate taxes and insurance

450,454

432,089

114,537

111,637

Property management

133,369

132,739

32,678

32,358

General and administrative

65,280

61,653

13,830

12,751

Depreciation

1,010,400

952,191

258,108

264,150

Total expenses

2,224,207

2,108,409

558,989

554,284

Net gain (loss) on sales of real estate properties

626,388

546,797

271,271

318,968

Interest and other income

52,440

30,329

3,400

3,828

Other expenses

(60,485

)

(74,051

)

(20,582

)

(14,957

)

Interest:

Expense incurred, net

(306,798

)

(285,735

)

(79,226

)

(79,973

)

Amortization of deferred financing costs

(8,768

)

(7,834

)

(2,399

)

(2,050

)

Income before income and other taxes, income (loss) from

investments in unconsolidated entities and net gain (loss)

on sales of land parcels

1,172,529

1,081,205

395,386

438,311

Income and other tax (expense) benefit

(1,585

)

(1,256

)

(361

)

(331

)

Income (loss) from investments in unconsolidated entities

(18,915

)

(8,974

)

(3,527

)

(4,109

)

Net gain (loss) on sales of land parcels

(80

)

—

Net income

1,151,949

1,070,975

391,498

433,871

Net (income) loss attributable to Noncontrolling Interests:

Operating Partnership

(27,405

)

(28,932

)

(8,361

)

(11,642

)

Partially Owned Properties

(4,455

)

(6,212

)

(1,047

)

(3,114

)

Net income attributable to controlling interests

1,120,089

1,035,831

382,090

419,115

Preferred distributions

(1,422

)

(1,613

)

(355

)

(355

)

Premium on redemption of Preferred Shares

—

(1,444

)

—

Net income available to Common Shares

1,118,667

1,032,774

381,735

418,760

Earnings per share – basic:

Net income available to Common Shares

2.95

2.73

1.01

1.10

Weighted average Common Shares outstanding

379,610

378,795

379,121

379,023

Earnings per share – diluted:

Net income available to Common Shares

2.94

2.72

1.00

1.10

Weighted average Common Shares outstanding

390,411

390,740

388,748

391,195

Distributions declared per Common Share outstanding

2.77

2.70

0.6925

0.675

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,

2025

2024

2025

2024

Net income

1,151,949

1,070,975

391,498

433,871

Net (income) loss attributable to Noncontrolling Interests – Partially

Owned Properties

(4,455

)

(6,212

)

(1,047

)

(3,114

)

Preferred distributions

(1,422

)

(1,613

)

(355

)

(355

)

Premium on redemption of Preferred Shares

—

(1,444

)

—

Net income available to Common Shares and Units

1,146,072

1,061,706

390,096

430,402

Adjustments:

Depreciation

1,010,400

952,191

258,108

264,150

Depreciation – Non-real estate additions

(3,600

)

(3,791

)

(903

)

(952

)

Depreciation – Partially Owned Properties

(2,013

)

(2,132

)

(546

)

(487

)

Depreciation – Unconsolidated Properties

16,890

7,191

3,972

3,310

Net (gain) loss on sales of unconsolidated entities - operating

assets

(2,781

)

(515

)

(2,643

)

195

Net (gain) loss on sales of real estate properties

(626,388

)

(546,797

)

(271,271

)

(318,968

)

Noncontrolling Interests share of gain (loss) on sales

of real estate properties

—

1,857

—

1,857

FFO available to Common Shares and Units

1,538,580

1,469,710

376,813

379,507

Adjustments (see note for additional detail):

Write-off of pursuit costs

7,735

5,155

1,613

3,250

Debt extinguishment and preferred share redemption (gains)

losses

366

1,444

269

—

Non-operating asset (gains) losses

(20,777

)

(16,311

)

2,940

1,141

Other miscellaneous items

32,499

61,608

18,310

8,176

Normalized FFO available to Common Shares and Units

1,558,403

1,521,606

399,945

392,074

FFO

1,540,002

1,472,767

377,168

379,862

Preferred distributions

(1,422

)

(1,613

)

(355

)

(355

)

Premium on redemption of Preferred Shares

—

(1,444

)

—

FFO available to Common Shares and Units

1,538,580

1,469,710

376,813

379,507

FFO per share and Unit – basic

3.95

3.77

0.97

FFO per share and Unit – diluted

3.94

3.76

0.97

Normalized FFO

1,559,825

1,523,219

400,300

392,429

Preferred distributions

(1,422

)

(1,613

)

(355

)

(355

)

Normalized FFO available to Common Shares and Units

1,558,403

1,521,606

399,945

392,074

Normalized FFO per share and Unit – basic

4.01

3.91

1.03

1.01

Normalized FFO per share and Unit – diluted

3.99

3.89

1.03

1.00

Weighted average Common Shares and Units outstanding – basic

389,101

389,425

387,424

389,560

Weighted average Common Shares and Units outstanding – diluted

390,411

390,740

388,748

391,195

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,

2025

2024

ASSETS

Land

5,563,407

5,606,531

Depreciable property

24,705,540

24,039,412

Projects under development

100,561

261,706

Land held for development

86,341

63,142

Investment in real estate

30,455,849

29,970,791

Accumulated depreciation

(11,016,900

)

(10,412,463

)

Investment in real estate, net

19,438,949

19,558,328

Investments in unconsolidated entities 1

325,939

386,531

Cash and cash equivalents

55,904

62,302

Restricted deposits

102,950

97,864

Right-of-use assets

454,916

455,445

Other assets

367,365

273,706

Total assets

20,746,023

20,834,176

LIABILITIES AND EQUITY

Liabilities:

Mortgage notes payable, net

1,589,904

1,630,690

Notes, net

5,998,458

5,947,376

Line of credit and commercial paper

586,648

543,679

Accounts payable and accrued expenses

109,165

99,347

Accrued interest payable

73,860

74,176

Lease liabilities

304,575

304,897

Other liabilities

324,616

310,559

Security deposits

82,155

75,611

Distributions payable

267,508

263,494

Total liabilities

9,336,889

9,249,829

Commitments and contingencies

Redeemable Noncontrolling Interests – Operating Partnership

176,289

338,563

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, 2025 and December 31, 2024

17,155

Common Shares of beneficial interest, $0.01 par value;

1,000,000,000 shares authorized; 377,806,173 shares issued

and outstanding as of December 31, 2025 and 379,475,383

shares issued and outstanding as of December 31, 2024

3,778

3,795

Paid in capital

9,824,460

9,611,826

Retained earnings

1,193,931

1,407,570

Accumulated other comprehensive income (loss)

2,175

4,214

Total shareholders’ equity

11,041,499

11,044,560

Noncontrolling Interests:

Operating Partnership

192,135

201,942

Partially Owned Properties

(789

)

(718

)

Total Noncontrolling Interests

191,346

201,224

Total equity

11,232,845

11,245,784

Total liabilities and equity

20,746,023

20,834,176

1 Includes $261.4 million and $324.0 million in unconsolidated development and lease-up projects as of December 31, 2025 and December 31, 2024, respectively. See Development and Lease-Up Projects for additional detail on unconsolidated projects.

Equity Residential

Portfolio Summary

As of December 31, 2025

% of

Stabilized

Average

Apartment

Budgeted

Rental

Markets/Metro Areas

Properties

Units

NOI

Rate

Established Markets:

Los Angeles

14,431

16.0

2,977

Orange County

3,718

4.9

3,011

San Diego

2,217

3.1

3,329

Subtotal – Southern California

20,366

24.0

3,022

San Francisco

11,558

16.4

3,546

Washington, D.C.

13,553

14.7

2,854

New York

8,685

14.4

4,832

Boston

6,907

10.7

3,716

Seattle

8,051

9.1

2,726

Subtotal – Established Markets

258

69,120

89.3

3,342

Expansion Markets:

Atlanta

6,420

4.4

1,938

Denver

4,678

3.6

2,195

Dallas/Ft. Worth

4,230

2.4

1,937

Austin

742

0.3

1,686

Subtotal – Expansion Markets

16,070

10.7

2,002

Total

312

85,190

100.0

3,092

Properties

Apartment Units

Wholly Owned Properties (1)

297

81,518

Partially Owned Properties – Consolidated

2,656

Partially Owned Properties – Unconsolidated (1)

1,016

312

85,190

(1)

During the fourth quarter of 2025, the Company acquired its joint venture partner's 25% interest in two previously unconsolidated properties, located in the Dallas/Ft. Worth market and totaling 696 apartment units, and now wholly-owns both properties. The Company paid approximately $18.8 million in cash and contributed approximately $101.6 million for the repayment of the construction loans, one of which was held by the Company. See Development and Lease-Up Projects for additional detail.

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

Equity Residential

Portfolio Rollforward Q4 2025

($ in thousands)

Properties

Apartment

Units

Purchase

Price

Acquisition

Cap Rate

9/30/2025

318

86,320

Acquisitions:

Consolidated Land Parcels

—

22,847

Sales Price

Disposition

Yield

Dispositions:

Consolidated Rental Properties

)

(1,138

)

(527,611

)

(5.6

Unconsolidated Land Parcels

—

(8,813

)

Configuration Changes

—

12/31/2025

312

85,190

Portfolio Rollforward 2025

($ in thousands)

Properties

Apartment

Units

Purchase

Price

Acquisition

Cap Rate

12/31/2024

311

84,249

Acquisitions:

Consolidated Rental Properties

2,439

636,843

5.1

Consolidated Land Parcels

—

22,847

Sales Price

Disposition

Yield

Dispositions:

Consolidated Rental Properties

(11

)

(2,468

)

(1,122,061

)

(5.4

Consolidated Land Parcels

—

(4,300

)

Unconsolidated Land Parcels

—

(8,813

)

Completed Developments – Consolidated

495

Completed Developments – Unconsolidated

450

Configuration Changes

—

12/31/2025

312

85,190

Equity Residential

Fourth Quarter 2025 vs. Fourth Quarter 2024

Same Store Results/Statistics Including 78,921 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 2025

743,543

234,690

508,853

3,152

96.2

8.3

Q4 2024

725,673

228,132

497,541

3,085

96.0

9.2

Change

17,870

6,558

11,312

0.2

(0.9

Change

2.5

2.9

2.3

2.2

Fourth Quarter 2025 vs. Third Quarter 2025

Same Store Results/Statistics Including 81,780 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 2025

759,306

240,165

519,141

3,111

96.1

8.3

Q3 2025

760,111

246,539

513,572

3,111

96.2

13.2

Change

(805

)

(6,374

)

5,569

—

(0.1

(4.9

Change

(0.1

(2.6

1.1

0.0

2025 vs. 2024

Same Store Results/Statistics Including 73,465 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

2025

2,821,804

904,887

1,916,917

3,203

96.4

40.2

2024

2,749,354

872,799

1,876,555

3,124

96.2

42.6

Change

72,450

32,088

40,362

0.2

(2.4

Change

2.6

3.7

2.2

2.5

Equity Residential

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

($ in thousands)

Fourth Quarter 2025 vs. Fourth Quarter 2024

Fourth Quarter 2025 vs. Third Quarter 2025

2025 vs. 2024

78,921 Same Store Apartment Units

81,780 Same Store Apartment Units

73,465 Same Store Apartment Units

Q4 2025

Q4 2024

Q4 2025

Q3 2025

2025

2024

Same Store Residential Revenues (GAAP Basis)

717,476

700,506

733,240

734,004

2,720,779

2,647,730

Leasing Concessions amortized

6,813

5,332

7,123

6,672

21,773

19,179

Leasing Concessions granted

(7,112

)

(6,533

)

(7,633

)

(7,881

)

(23,338

)

(19,511

)

Same Store Residential Revenues with Leasing

Concessions on a cash basis

717,177

699,305

732,730

732,795

2,719,214

2,647,398

% change - GAAP revenue

2.4

(0.1

2.8

% change - cash revenue

2.6

0.0

2.7

(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 73,465 Same Store Apartment Units

(includes Residential and Non-Residential)

($ in thousands)

Q4 2025

Q3 2025

Q2 2025

Q1 2025

Q4 2024

Same store revenues

709,996

709,911

704,405

697,492

691,631

Same store expenses

222,862

229,542

222,844

229,639

216,398

Same store NOI

487,134

480,369

481,561

467,853

475,233

Equity Residential

Same Store Residential Accounts Receivable Balances

Including 73,465 Same Store Apartment Units

($ in thousands)

Balance Sheet (Other assets):

December 31, 2025

September 30, 2025

December 31, 2024

Residential accounts receivable balances

12,123

12,015

14,107

Allowance for doubtful accounts

(7,673

)

(6,919

)

(9,310

)

Net receivable balances

4,450

5,096

4,797

Straight-line receivable balances

10,194

(1)

9,918

8,630

(1)

Total same store Residential Leasing Concessions granted in the fourth quarter of 2025 were approximately $6.1 million. The straight-line receivable balance of $10.2 million reflects Residential Leasing Concessions that the Company expects will be primarily recognized as a reduction of rental revenues in 2026.

Same Store Residential Bad Debt

Including 73,465 Same Store Apartment Units

($ in thousands)

Income Statement (Rental income):

Q4 2025

Q3 2025

Q4 2024

Bad debts before governmental rental assistance

7,337

6,192

7,651

Governmental rental assistance received

(215

)

(170

)

(358

)

Bad Debt, Net

7,122

6,022

7,293

Bad Debt, Net as a % of Same Store Residential Revenues

1.0

0.9

1.1

Equity Residential

Fourth Quarter 2025 vs. Fourth Quarter 2024

Same Store Residential Results/Statistics by Market

Increase (Decrease) from Prior Year's Quarter

Markets/Metro Areas

Apartment

Units

Q4 2025

% of

Actual

NOI

Q4 2025

Average

Rental

Rate

Q4 2025

Weighted

Average

Physical

Occupancy %

Q4 2025

Turnover

Revenues

Expenses

NOI

Average

Rental

Rate

Physical

Occupancy

Turnover

Los Angeles

13,834

16.5

2,976

95.9

8.9

1.2

4.9

(0.5

1.0

0.1

(0.7

Orange County

3,718

5.2

3,011

96.5

8.0

3.1

(0.5

4.2

2.1

0.9

(1.4

San Diego

2,217

3.4

3,329

95.9

10.9

2.4

5.5

1.5

2.3

0.0

1.0

Subtotal – Southern California

19,769

25.1

3,022

96.0

9.0

1.7

4.1

0.7

1.4

0.2

(0.6

San Francisco

11,333

16.9

3,520

96.9

9.3

6.0

3.6

7.0

5.1

0.8

(1.0

Washington, D.C. (1)

13,553

15.6

2,854

96.0

7.4

2.1

6.0

0.4

2.7

(0.5

(0.6

New York

8,235

14.3

4,884

97.6

5.8

4.2

1.2

6.3

4.0

0.2

(0.6

Boston

6,907

10.5

3,716

96.0

6.5

1.8

6.8

(0.1

1.2

0.7

(1.4

Seattle

8,050

9.3

2,726

96.3

7.9

2.8

1.7

3.3

2.8

0.1

(1.2

Denver

3,972

3.5

2,201

95.6

10.6

(5.8

(3.1

(7.1

(6.7

0.7

(2.3

Other Expansion Markets

7,102

4.8

1,900

94.7

10.0

(2.4

(4.1

(1.4

(2.6

0.1

(0.8

Total

78,921

100.0

3,152

96.2

8.3

2.4

2.9

2.2

0.2

(0.9

(1)

Same store results include the negative impact from a single property undergoing a major repositioning/capital project. Excluding this property, same store revenues, expenses and NOI growth would have been 2.7%, 5.6% and 1.4%, respectively.

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, 2025.

Equity Residential

Fourth Quarter 2025 vs. Third Quarter 2025

Same Store Residential Results/Statistics by Market

Increase (Decrease) from Prior Quarter

Markets/Metro Areas

Apartment

Units

Q4 2025

% of

Actual

NOI

Q4 2025

Average

Rental

Rate

Q4 2025

Weighted

Average

Physical

Occupancy %

Q4 2025

Turnover

Revenues

Expenses

NOI

Average

Rental

Rate

Physical

Occupancy

Turnover

Los Angeles

13,834

16.1

2,976

95.9

8.9

(0.4

(0.5

(0.3

(0.4

0.0

(3.0

Orange County

3,718

5.1

3,011

96.5

8.0

0.7

(5.7

2.6

0.3

(4.1

San Diego

2,217

3.3

3,329

95.9

10.9

(0.4

(1.5

(0.1

(0.3

(0.2

(1.1

Subtotal – Southern California

19,769

24.5

3,022

96.0

9.0

(0.2

(1.4

0.3

(0.3

0.0

(3.0

San Francisco

11,333

16.6

3,520

96.9

9.3

1.3

(3.1

3.1

1.3

0.0

(2.4

Washington, D.C. (1)

13,553

15.3

2,854

96.0

7.4

(0.6

(6.2

2.2

(0.3

(7.0

New York

8,235

14.0

4,884

97.6

5.8

0.4

(1.9

2.1

0.4

0.0

(6.1

Boston

6,907

10.3

3,716

96.0

6.5

(0.6

0.8

(1.2

(0.2

(0.4

(8.5

Seattle

8,050

9.1

2,726

96.3

7.9

0.5

(3.7

2.3

0.4

0.1

(4.6

Denver

4,199

3.6

2,212

95.5

11.0

(2.7

(3.1

0.4

(7.3

Other Expansion Markets

9,734

6.6

1,902

94.6

9.7

(1.6

(1.5

(1.7

(1.0

(0.6

(4.4

Total

81,780

100.0

3,111

96.1

8.3

(0.1

(2.5

1.1

0.0

(0.1

(4.9

(1)

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, 2025.

Equity Residential

2025 vs. 2024

Same Store Residential Results/Statistics by Market

Increase (Decrease) from Prior Year

Markets/Metro Areas

Apartment

Units

2025

% of

Actual

NOI

2025

Average

Rental

Rate

2025

Weighted

Average

Physical

Occupancy %

2025

Turnover

Revenues

Expenses

NOI

Average

Rental

Rate

Physical

Occupancy

Turnover

Los Angeles

13,834

17.5

2,976

95.8

40.6

1.5

4.2

0.3

1.3

0.2

(2.5

Orange County

3,718

5.4

2,987

96.4

36.8

2.6

2.0

2.8

2.1

0.5

(1.4

San Diego

2,217

3.6

3,305

96.3

42.7

2.5

6.8

1.3

2.2

0.3

0.4

Subtotal – Southern California

19,769

26.5

3,015

96.0

40.1

1.8

4.1

0.9

1.5

0.3

(2.0

San Francisco

11,111

17.0

3,448

96.9

39.6

4.7

3.9

5.0

3.8

0.8

(4.5

Washington, D.C. (1)

13,241

16.0

2,837

96.6

39.6

3.6

5.2

2.9

3.7

(0.2

(1.1

New York

8,235

14.6

4,815

97.7

33.7

4.0

2.8

4.9

3.6

0.4

0.3

Boston

6,747

11.1

3,721

96.2

39.8

2.3

6.0

0.8

2.1

0.2

(1.7

Seattle

8,050

9.7

2,697

96.4

40.6

3.1

2.2

3.5

2.9

0.2

(4.2

Denver

2,792

2.8

2,316

95.5

53.1

(4.2

(2.1

(5.1

(3.6

(0.7

(1.2

Other Expansion Markets

3,520

2.3

1,875

94.9

49.1

(3.7

0.1

(6.4

(3.5

(0.3

(6.8

Total

73,465

100.0

3,203

96.4

40.2

2.8

3.7

2.3

2.5

0.2

(2.4

(1)

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, 2025.

Equity Residential

Same Store Residential Net Effective Lease Pricing Statistics

For 73,465 Same Store Apartment Units

New Lease Change (1)

Renewal Rate Achieved (1)

Blended Rate (1)

Markets/Metro Areas

Q4 2025

Q3 2025

Q4 2025

Q3 2025

Q4 2025

Q3 2025

Southern California

(6.0

(3.6

3.9

4.4

(0.6

0.9

San Francisco

2.6

5.9

7.0

6.6

5.1

6.3

Washington, D.C.

(7.5

(1.2

3.7

4.5

(0.9

2.1

New York

(0.9

3.0

3.9

3.6

2.3

3.4

Boston

(7.0

(1.4

3.5

4.1

(0.6

1.7

Seattle

(7.7

(3.8

4.9

5.0

(1.6

1.4

Subtotal – Established Markets

(3.9

(0.2

4.5

1.0

2.6

Denver

(18.0

(12.1

2.5

2.8

(7.5

(4.8

Other Expansion Markets

(11.8

(10.3

3.5

3.4

(5.7

(3.0

Subtotal – Expansion Markets

(14.8

(11.3

2.9

3.1

(6.7

(3.9

Total

(4.7

(1.0

4.4

4.5

0.5

2.2

(1)

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

Equity Residential

Fourth Quarter 2025 vs. Fourth Quarter 2024

Total Same Store Operating Expenses Including 78,921 Same Store Apartment Units

(includes Residential and Non-Residential)

($ in thousands)

Q4 2025

Q4 2024

Change

% of

Q4 2025

Operating

Expenses

Real estate taxes

95,018

93,828

1,190

1.3

40.5

On-site payroll

43,533

43,034

499

1.2

18.6

Utilities

39,436

36,468

2,968

8.1

16.8

Repairs and maintenance

30,329

29,038

1,291

4.4

12.9

Insurance

9,457

9,402

0.6

4.0

Leasing and advertising

3,790

3,442

348

10.1

1.6

Other on-site operating expenses

13,127

12,920

207

1.6

5.6

Total Same Store Operating Expenses (2)

234,690

228,132

6,558

2.9

100.0

2025 vs. 2024

Total Same Store Operating Expenses Including 73,465 Same Store Apartment Units

(includes Residential and Non-Residential)

($ in thousands)

YTD 2025

YTD 2024

Change (1)

Change

% of

YTD 2025

Operating

Expenses

Real estate taxes

366,792

358,681

8,111

2.3

40.5

On-site payroll

166,131

164,029

2,102

1.3

18.4

Utilities

146,950

135,688

11,262

8.3

16.2

Repairs and maintenance

121,764

115,599

6,165

5.3

13.5

Insurance

36,222

35,763

459

1.3

4.0

Leasing and advertising

12,206

10,651

1,555

14.6

1.3

Other on-site operating expenses

54,822

52,388

2,434

4.6

6.1

Total Same Store Operating Expenses (2)

904,887

872,799

32,088

3.7

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.

On-site payroll – Sub-inflationary growth due to the impact of various innovation initiatives and lower employee benefit costs.

Utilities – Increase primarily driven by higher commodity prices, higher sewer and trash rates and higher water usage in Southern California.

Repairs and maintenance – Increase primarily driven by costs associated with the implementation of various resident technology initiatives (including bulk Wi-Fi programs).

Insurance – Sub-inflationary growth due to property premium reductions in the 2025 policy renewal offset by increases in other insurance-related costs.

Leasing and advertising – Increase primarily driven by higher advertising expenses and processing fees. Broker fees are not driving growth and remain an immaterial portion of this expense category.

Other on-site operating expenses – Increase primarily due to higher ground lease rent, association fees and other 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, 2025

($ in thousands)

Debt

Balances (1)

% of Total

Weighted

Average

Rates (1)

Weighted

Average

Maturities

(years)

Secured

1,589,904

19.4

3.75

5.9

Unsecured

6,585,106

80.6

3.76

6.8

Total

8,175,010

100.0

3.76

6.7

Fixed Rate Debt:

Secured – Conventional

1,403,671

17.1

3.87

5.4

Unsecured – Public

5,998,458

73.4

3.69

7.5

Fixed Rate Debt

7,402,129

90.5

3.73

7.1

Floating Rate Debt:

Secured – Tax Exempt

186,233

2.3

2.94

9.5

Unsecured – Revolving Credit Facility

—

4.9

Unsecured – Commercial Paper Program (2)

586,648

7.2

4.43

—

Floating Rate Debt

772,881

9.5

4.06

2.4

Total

8,175,010

100.0

3.76

6.7

(1)

See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.

(2)

At December 31, 2025, the weighted average maturity of commercial paper outstanding was 13 days. The weighted average amount outstanding for the year ended December 31, 2025 was approximately $583.2 million.

Note: The Company capitalized interest of approximately $12.4 million and $14.5 million during the years ended December 31, 2025 and 2024, respectively. The Company capitalized interest of approximately $2.8 million and $3.8 million during the quarters ended December 31, 2025 and 2024, respectively.

Equity Residential

Debt Maturity Schedule as of December 31, 2025

($ 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)

2026

592,025

594,825

(2)

1,186,850

14.4

3.58

3.74

2027

400,000

8,200

408,200

4.9

3.25

3.23

2028

900,000

9,000

909,000

11.0

3.79

3.78

2029

888,120

9,700

897,820

10.9

3.30

2030

1,148,462

10,800

1,159,262

14.1

2.53

2031

528,500

37,700

566,200

6.9

1.94

1.97

2032

500,000

26,100

526,100

6.4

4.95

4.83

2033

550,000

—

550,000

6.7

5.22

2034

600,000

—

600,000

7.3

4.65

2035

—

25,175

0.3

—

2.25

2036+

1,350,850

61,785

1,412,635

17.1

4.39

4.30

Subtotal

7,457,957

783,285

8,241,242

100.0

3.72

3.70

Deferred Financing Costs and Unamortized (Discount)

(55,828

)

(10,404

)

(66,232

)

N/A

Total

7,402,129

772,881

8,175,010

100.0

3.72

3.70

(1)

See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.

(2)

Includes $587.4 million in principal outstanding on the Company's Commercial Paper Program.

Equity Residential

Selected Unsecured Public Debt Covenants

December 31,

September 30,

2025

Debt to Adjusted Total Assets (not to exceed 60%)

27.4%

28.0%

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

6.1%

Consolidated Income Available for Debt Service to

Maximum Annual Service Charges

(must be at least 1.5 to 1)

5.77

5.59

Total Unencumbered Assets to Unsecured Debt

(must be at least 125%)

477.1%

462.3%

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,

2025

Total debt to Normalized EBITDAre

4.32x

4.47x

Net debt to Normalized EBITDAre

4.27x

4.41x

Unencumbered NOI as a % of total NOI

90.3%

90.4%

Note: See Normalized EBITDAre Reconciliations for detail.

Equity Residential

Capital Structure as of December 31, 2025

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

Secured Debt

1,589,904

19.4

Unsecured Debt

6,585,106

80.6

Total Debt

8,175,010

100.0

25.1

Common Shares (includes Restricted Shares)

377,806,173

97.6

Units (includes OP Units and Restricted Units)

9,325,363

2.4

Total Shares and Units

387,131,536

100.0

Common Share Price at December 31, 2025

63.04

24,404,772

99.9

Perpetual Preferred Equity (see below)

17,155

0.1

Total Equity

24,421,927

100.0

74.9

Total Market Capitalization

32,596,937

100.0

Perpetual Preferred Equity as of December 31, 2025

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

Series

Call Date

Outstanding

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

2025

2024

Q4 2025

Q4 2024

Weighted Average Amounts Outstanding for Net Income Purposes:

Common Shares - basic

379,609,794

378,794,889

379,120,798

379,023,449

Shares issuable from assumed conversion/vesting of:

- OP Units

9,491,664

10,630,008

8,303,555

10,536,726

- long-term compensation shares/units

1,309,538

1,315,217

1,323,244

1,634,401

Total Common Shares and Units - diluted

390,410,996

390,740,114

388,747,597

391,194,576

Weighted Average Amounts Outstanding for FFO and Normalized FFO Purposes:

Common Shares - basic

379,609,794

378,794,889

379,120,798

379,023,449

OP Units - basic

9,491,664

10,630,008

8,303,555

10,536,726

Total Common Shares and OP Units - basic

389,101,458

389,424,897

387,424,353

389,560,175

Shares issuable from assumed conversion/vesting of:

- long-term compensation shares/units

1,309,538

1,315,217

1,323,244

1,634,401

Total Common Shares and Units - diluted

390,410,996

390,740,114

388,747,597

391,194,576

Period Ending Amounts Outstanding:

Common Shares (includes Restricted Shares)

377,806,173

379,475,383

Units (includes OP Units and Restricted Units)

9,325,363

11,543,773

Total Shares and Units

387,131,536

391,019,156

Equity Residential

Partially Owned Properties as of December 31, 2025

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

Partially Owned Properties

Weighted

Average

Ownership

Percentage

Total

Properties

Total

Apartment

Units

December YTD

2025

NOI

December YTD

2025

Interest

Expense

Total Debt

CONSOLIDATED:

Projects Under Development (1) (3)

95.0%

—

174

—

Operating properties (stabilized)

86.2%

2,656

65,118

1,020

28,336

Total Partially Owned Properties - Consolidated

2,656

65,292

1,020

28,336

UNCONSOLIDATED:

Projects Under Development (2) (3)

95.0%

—

(389

)

291

66,863

Operating properties (stabilized) (3)

80.0%

1,016

17,644

10,177

212,782

Total Partially Owned Properties - Unconsolidated

1,016

17,255

10,468

279,645

Total Partially Owned Properties

3,672

82,547

11,488

307,981

(1)

The Company is currently developing one property, which is expected to add 440 apartment units upon completion.

(2)

The Company is currently developing two properties, which are expected to add 639 apartment units upon completion.

(3)

See Development and Lease-Up Projects for more information.

Note: Partially owned consolidated and unconsolidated amounts are presented at 100% of the project/property. This schedule only includes those projects/properties that are partially owned at December 31, 2025.

Equity Residential

Development and Lease-Up Projects as of December 31, 2025

(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:

The Basin

Wakefield, MA

95%

440

232,172

204,846

—

93%

Q1 2024

Q3 2025

Q3 2026

Q2 2027

25% / 21%

Projects Under Development - Consolidated

440

232,172

204,846

—

Projects Completed Not Stabilized:

Lorien (fka Laguna Clara II)

Santa Clara, CA

100%

225

152,621

149,229

—

100%

Q2 2022

Q1 2025

Q1 2026

95% / 94%

Projects Completed Not Stabilized - Consolidated

225

152,621

149,229

—

Projects Completed and Stabilized During the Quarter:

Jade Beeler Park (fka Solana Beeler Park)

Denver, CO

100%

270

85,206

85,132

—

100%

Q4 2021

Q3 2024

Q1 2025

Q4 2025

97% / 96%

Lyle (2)

Dallas, TX

100%

334

84,032

83,983

—

100%

Q3 2022

Q1 2024

Q4 2024

Q4 2025

95% / 95%

Projects Completed and Stabilized During the Quarter - Consolidated

604

169,238

169,115

—

UNCONSOLIDATED:

Projects Under Development:

Modera Bridle Trails

Kirkland, WA

95%

369

185,282

134,857

30,484

72%

Q3 2024

Q3 2026

Q1 2028

– / –

Modera South Shore

Marshfield, MA

95%

270

121,918

97,628

36,379

83%

Q3 2024

Q3 2025

Q4 2026

Q2 2027

23% / 13%

Projects Under Development - Unconsolidated

639

307,200

232,485

66,863

Projects Completed and Stabilized During the Quarter:

Alloy Sunnyside

Denver, CO

80%

209

70,004

69,045

34,773

100%

Q3 2021

Q2 2024

Q4 2025

95% / 91%

Projects Completed and Stabilized During the Quarter - Unconsolidated

209

70,004

69,045

34,773

Total Development Projects - Consolidated

1,269

554,031

523,190

—

Total Development Projects - Unconsolidated

848

377,204

301,530

101,636

Total Development Projects

2,117

931,235

824,720

101,636

NOI CONTRIBUTION FROM DEVELOPMENT PROJECTS

Total Budgeted

Capital Cost

December YTD 2025

NOI

Projects Under Development - Consolidated

232,172

174

Projects Completed Not Stabilized - Consolidated

152,621

3,231

Projects Completed and Stabilized During the Quarter - Consolidated

169,238

3,677

Projects Under Development - Unconsolidated

307,200

(389

)

Projects Completed and Stabilized During the Quarter - Unconsolidated

70,004

1,325

931,235

8,018

(1)

All unconsolidated projects are being partially funded with third party, project-specific construction loans, none of which are recourse to the Company.

(2)

The land parcel under this project is subject to a long-term ground lease.

Equity Residential

Residential Capital Expenditures to Real Estate

For the Year Ended December 31, 2025

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

Same Store

Properties

Non-Same Store

Properties

Total Consolidated

Properties

Same Store Avg.

Per Apartment Unit

Total Consolidated Apartment Units

73,465

10,709

84,174

Recurring Capital Expenditures

168,828

25,003

193,831

2,298

NOI-Enhancing Expenditures:

Renovation Expenditures

83,048

(1)

17,555

(3)

100,603

1,130

Other (2)

25,635

8,534

34,169

349

Total NOI-Enhancing Expenditures

108,683

26,089

134,772

1,479

Total Capital Expenditures to Real Estate (4)

277,511

51,092

328,603

3,777

(1)

Renovation Expenditures on 2,732 same store apartment units for the year ended December 31, 2025 approximated $30,000 per apartment unit renovated.

(2)

Includes sustainability, property-level technology and Accessory Dwelling Units (ADU) spend.

(3)

Includes expenditures for one property that has 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 is expected to continue through the fourth quarter of 2026 and is being paid for, in part, by funds from a replacement reserve account required by the ground lease arrangement.

(4)

See Additional Reconciliations and Definitions of Non-GAAP Financial Measures and Other Terms for additional details.

Note: Non-Residential Capital Expenditures to Real Estate were approximately $12.4 million, $1.0 million and $13.4 million for Same Store Properties, Non-Same Store Properties and Total Consolidated Properties, respectively.

Equity Residential

Normalized EBITDAre Reconciliations

(Amounts in thousands)

Trailing Twelve Months

2025

2024

December 31, 2025

September 30, 2025

Net income

1,151,949

1,194,322

391,498

296,868

198,785

264,798

433,871

Interest expense incurred, net

306,798

307,545

79,226

80,141

75,317

72,114

79,973

Amortization of deferred financing costs

8,768

8,419

2,399

2,122

2,103

2,144

2,050

Amortization of above/below market lease intangibles

4,610

1,152

1,153

1,152

Depreciation

1,010,400

1,016,442

258,108

254,657

240,889

256,746

264,150

Income and other tax expense (benefit)

1,585

1,555

361

395

407

422

331

EBITDA

2,484,110

2,532,893

732,744

635,336

518,654

597,376

781,527

Net (gain) loss on sales of real estate properties

(626,388

)

(674,085

)

(271,271

)

(142,685

)

(58,280

)

(154,152

)

(318,968

)

Net (gain) loss on sales of unconsolidated entities - operating assets

(2,781

)

(2,643

)

—

(174

)

195

EBITDAre

1,854,941

1,858,865

458,830

492,651

460,200

443,260

462,754

Write-off of pursuit costs (other expenses)

7,735

9,372

1,613

4,074

727

1,321

3,250

(Income) loss from investments in unconsolidated entities - operations

21,089

19,440

5,563

3,981

5,170

6,375

3,914

Net (gain) loss on sales of unconsolidated entities - non-operating assets

607

—

607

—

Net (gain) loss on sales of land parcels

—

Realized (gain) loss on investment securities (interest and other income)

727

—

676

Unrealized (gain) loss on investment securities (interest and other income)

(25,399

)

(25,399

)

—

(25,399

)

—

Insurance/litigation settlement or reserve income (interest and other income)

(199

)

(3,062

)

—

(101

)

(98

)

(2,863

)

Insurance/litigation/environmental settlement or reserve expense (other expenses) (1)

48,668

32,295

17,950

25,857

3,149

1,712

1,577

Advocacy contributions (other expenses)

966

9,838

360

208

185

213

9,232

Employment tax refund (interest and other income)

(16,867

)

(16,867

)

—

(16,867

)

—

Other

(69

)

161

—

(100

)

230

Normalized EBITDAre

1,891,603

1,885,450

484,923

484,529

469,361

452,790

478,770

Balance Sheet Items:

December 31, 2025

September 30, 2025

Total debt

8,175,010

8,435,787

Cash and cash equivalents

(55,904

)

(93,092

)

Mortgage principal reserves/sinking funds

(33,143

)

(34,941

)

Net debt

8,085,963

8,307,754

(1)

Insurance/litigation/environmental settlement or reserve expense includes reserves relating to various legal proceedings being defended by the Company.

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

Equity Residential

Adjustments from FFO to Normalized FFO

(Amounts in thousands)

Year Ended December 31,

Quarter Ended December 31,

2025

2024

Variance

2025

2024

Variance

Impairment – non-operating real estate assets

—

Write-off of pursuit costs (other expenses)

7,735

5,155

2,580

1,613

3,250

(1,637

)

Write-off of unamortized deferred financing costs (interest expense)

366

—

366

269

—

269

Premium on redemption of Preferred Shares

—

1,444

(1,444

)

—

Debt extinguishment and preferred share redemption (gains) losses

366

1,444

(1,078

)

269

—

269

Net (gain) loss on sales of land parcels

—

(Income) loss from investments in unconsolidated entities ─ non-operating assets

4,491

1,577

2,914

2,940

465

2,475

Realized (gain) loss on investment securities (interest and other income)

1,992

(1,941

)

—

676

(676

)

Unrealized (gain) loss on investment securities (interest and other income)

(25,399

)

(19,880

)

(5,519

)

—

Non-operating asset (gains) losses

(20,777

)

(16,311

)

(4,466

)

2,940

1,141

1,799

Insurance/litigation settlement or reserve income (interest and other income)

(199

)

(4,447

)

4,248

—

(2,863

)

2,863

Insurance/litigation/environmental settlement or reserve expense (other expenses) (1)

48,668

44,645

4,023

17,950

1,577

16,373

Advocacy contributions (other expenses)

966

21,515

(20,549

)

360

9,232

(8,872

)

Employment tax refund (interest and other income)

(16,867

)

—

(16,867

)

—

Other

(69

)

(105

)

—

230

(230

)

Other miscellaneous items

32,499

61,608

(29,109

)

18,310

8,176

10,134

Adjustments from FFO to Normalized FFO

19,823

51,896

(32,073

)

23,132

12,567

10,565

(1)

Insurance/litigation/environmental settlement or reserve expense includes reserves relating to various legal proceedings being defended 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 2026

Full Year 2026

2026 Normalized FFO Guidance (per share diluted)

Expected Normalized FFO Per Share

$0.94 to $0.98

$4.02 to $4.14

2026 Same Store Assumptions (includes Residential and Non-Residential)

Physical Occupancy

96.4%

Revenue change

1.2% to 3.2%

Expense change

3.0% to 4.0%

NOI change (1)

0.5% to 2.5%

2026 Transaction Assumptions (2)

2026 Debt Assumptions

Weighted average debt outstanding

$8.33B to $8.53B

Interest expense, net (on a Normalized FFO basis)

$321.0M to $327.0M

Capitalized interest

$6.3M to $8.3M

2026 Capital Expenditures to Real Estate Assumptions for Residential Same Store Properties

NOI-Enhancing Capital Expenditures for Residential Same Store Properties (3)

$125.0M

Recurring Capital Expenditures for Residential Same Store Properties

$185.0M

Capital Expenditures to Real Estate for Residential Same Store Properties

$310.0M

2026 Other Guidance Assumptions

Property management expense

$142.0M to $144.0M

General and administrative expense

$59.0M to $64.0M

Income (loss) from investments in unconsolidated entities (on a Normalized FFO basis) (4)

$1.0M to $5.0M

Debt offerings

$500.0M to $1.0B

Weighted average Common Shares and Units - Diluted

384.2M

(1)

Approximately 20 basis point change in NOI percentage = $0.01 per share change in EPS/FFO per share/Normalized FFO per share.

(2)

(3)

During 2026, the Company expects to spend approximately $90.0 million for apartment unit Renovation Expenditures on approximately 2,900 Residential same store apartment units at an average cost of approximately $31,000 per apartment unit renovated. The remainder of the NOI-Enhancing spend includes other items, such as sustainability, property-level technology and ADU expenditures.

(4)

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 pages 24 and 25.

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:

Accessory Dwelling Units (ADU) – Includes costs to convert existing underutilized spaces of our properties into new apartment units.

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

Recurring – Capital expenditures necessary to help preserve the value of and maintain the functionality of 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.

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 December 3, 2030. 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. 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, 2025

Unsecured revolving credit facility commitment

2,500,000

Commercial paper balance outstanding

(587,425

)

Unsecured revolving credit facility balance outstanding

—

Other restricted amounts

(3,448

)

Unsecured revolving credit facility availability

1,909,127

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, 2025

Quarter Ended December 31, 2025

Net Gain (Loss) on Sales of Real Estate Properties

626,388

271,271

Accumulated Depreciation Gain

(404,223

)

(216,238

)

Economic Gain (Loss)

222,165

55,033

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:

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

Expected

Actual 2025

Actual 2024

Q4 2025

Q4 2024

Q1 2026

2026

Per Share

EPS – Diluted

2.94

2.72

1.00

1.10

$0.29 to $0.33

$1.44 to $1.56

Depreciation expense

2.61

2.44

0.67

0.68

0.64

2.54

Net (gain) loss on sales

(1.61

)

(1.40

)

(0.70

)

(0.81

)

—

Impairment – operating real estate assets

—

FFO per share – Diluted

3.94

3.76

0.97

0.93 to 0.97

3.98 to 4.10

Adjustments (1):

Impairment – non-operating real estate

assets

—

Write-off of pursuit costs

0.02

0.01

—

0.01

—

0.01

Debt extinguishment and preferred

share redemption (gains) losses

—

Non-operating asset (gains) losses

(0.05

)

(0.04

)

0.01

—

Other miscellaneous items

0.08

0.16

0.05

0.02

0.01

0.03

Normalized FFO per share – Diluted

3.99

3.89

1.03

1.00

$0.94 to $0.98

$4.02 to $4.14

(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,

2025

2024

2025

2024

Net income

1,151,949

1,070,975

391,498

433,871

Adjustments:

Property management

133,369

132,739

32,678

32,358

General and administrative

65,280

61,653

13,830

12,751

Depreciation

1,010,400

952,191

258,108

264,150

Net (gain) loss on sales of real estate

properties

(626,388

)

(546,797

)

(271,271

)

(318,968

)

Interest and other income

(52,440

)

(30,329

)

(3,400

)

(3,828

)

Other expenses

60,485

74,051

20,582

14,957

Interest:

Expense incurred, net

306,798

285,735

79,226

79,973

Amortization of deferred financing costs

8,768

7,834

2,399

2,050

Income and other tax expense (benefit)

1,585

1,256

361

331

(Income) loss from investments in unconsolidated

entities

18,915

8,974

3,527

4,109

Net (gain) loss on sales of land parcels

—

Total NOI

2,078,801

2,018,282

527,538

521,754

Year Ended December 31,

Quarter Ended December 31,

Rental income:

2025

2024

2025

2024

Residential same store

2,720,779

2,647,730

717,476

700,506

Non-Residential same store

101,025

101,624

26,067

25,167

Total same store

2,821,804

2,749,354

743,543

725,673

Non-same store/other

272,155

230,754

38,368

41,106

Total rental income

3,093,959

2,980,108

781,911

766,779

Operating expenses:

Residential same store

875,150

844,317

227,310

220,822

Non-Residential same store

29,737

28,482

7,380

7,310

Total same store

904,887

872,799

234,690

228,132

Non-same store/other

110,271

89,027

19,683

16,893

Total operating expenses

1,015,158

961,826

254,373

245,025

NOI:

Residential same store

1,845,629

1,803,413

490,166

479,684

Non-Residential same store

71,288

73,142

18,687

17,857

Total same store

1,916,917

1,876,555

508,853

497,541

Non-same store/other

161,884

141,727

18,685

24,213

Total NOI

2,078,801

2,018,282

527,538

521,754

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 2024 and 2025, plus any properties in lease-up and not stabilized as of January 1, 2024. 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, 2024, 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 2026 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. Retention rate is the opposite of Turnover.

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, 2025. 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, 2025 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.