EX-99.2 3 ex99_2.htm EXHIBIT 99.2 Exhibit 99.2
EXHIBIT 99.2

E S S E X  P R O P E R T Y  T R U S T,  I N C.
                                     
                   
                                                                  
 
                      
Consolidated Operating Results
Three Months Ended
  
Six Months Ended
(Dollars in thousands, except per share amounts)
June 30,
  
June 30,
 
 
 
2006
  
2005
  
2006
  
2005
 
 
 
 
 
  
 
 
  
 
 
   
 
 
Revenues:
                      
 
Rental and other property
$
86,656
 
$
79,662
 
$
171,919
 
$
157,938
 
Management and other fees from affiliates
  
830
 
 
931
 
 
1,654
 
 
7,507
   
 
87,486
 
 
80,593
 
 
173,573
 
 
165,445
                           
Expenses:
                      
 
Property operating, excluding real estate taxes
  
22,095
   
20,685
   
44,710
   
40,913
 
Real estate taxes
  
7,374
   
6,610
   
14,770
   
13,451
 
Depreciation and amortization
  
20,675
   
20,043
   
40,766
   
39,622
 
Interest
  
19,497
   
18,153
   
38,487
   
36,300
 
Amortization of deferred financing costs
 
497
 
 
563
 
 
1,193
 
 
1,039
 
General and administrative
  
5,002
   
4,573
   
9,901
   
9,014
 
Other expenses
 
800
 
 
1,500
 
 
1,770
 
 
1,500
       
75,940
   
72,127
   
151,597
   
141,839
                           
Gain on sale of real estate
  
-
   
5,276
   
-
   
6,391
Interest and other income, net
  
654
   
2,431
   
3,048
   
2,954
Equity income (loss) in co-investments
  
(374)
    
2,724
   
(816)
    
17,316
Minority interests
 
(4,760)
  
 
(5,360)
  
 
(9,687)
  
 
(11,801)
Income from continuing operations before income
                      
 
tax provision
  
7,066
   
13,537
   
14,521
   
38,466
Income tax provision
  
(138)
  
 
(1,100)
  
 
(175)
  
 
(1,201)
Income from continuing operations
 
6,928
 
 
12,437
 
 
14,346
 
 
37,265
                           
Income and gain from discontinued operations,
                     
 
net of minority interests
 
15,584
 
 
26,441
 
 
18,488
 
 
28,491
Net income
  
22,512
   
38,878
   
32,834
   
65,756
Dividends to preferred stockholders
 
(489)
  
 
(488)
  
 
(977)
  
 
(977)
Net income available to common stockholders
$
22,023
 
$
38,390
 
$
31,857
 
$
64,779
     
 
 
  
 
 
  
 
 
  
 
 
Net income per share - basic
$
0.96
  
$
1.66
  
$
1.40
  
$
2.81
     
 
 
  
 
 
  
 
 
  
 
 
Net income per share - diluted
$
0.95
  
$
1.64
  
$
1.38
  
$
2.77
 
See Company's 10-Q for additional disclosures
S-1
 
E S S E X  P R O P E R T Y  T R U S T,  I N C.
                                      
                           
Consolidated Operating Results
Three Months Ended
  
Six Months Ended
Selected Line Item Detail
June 30,
  
June 30,
(Dollars in thousands)
2006
   
2005
  
2006
   
2005
 
 
 
 
 
  
 
 
  
 
 
  
 
 
Rental and other property
                      
 
Rental
$
81,782
 
$
75,250
 
$
162,315
 
$
149,141
 
Other property
  
4,874
   
4,412
   
9,604
   
8,797
   
Rental and other property
$
86,656
 
$
79,662
 
$
171,919
 
$
157,938
                           
Management and other fees from affiliates
                      
 
Management
$
816
 
$
690
 
$
1,640
 
$
2,250
 
Development and redevelopment
  
14
   
-
   
14
   
143
 
Promote distribution from Fund I
  
-
   
241
   
-
   
5,114
   
Management and other fees from affiliates
$
830
 
$
931
 
$
1,654
 
$
7,507
                           
General and administrative
                      
 
General and administrative
$
7,428
 
$
6,456
 
$
14,460
 
$
12,410
 
Allocated to property operating expenses - administrative
  
(1,374)
    
(1,261)
    
(2,636)
    
(2,506)
 
Capitalized and incremental to real estate under development
 
(1,052)
  
 
(622)
  
 
(1,923)
  
 
(890)
   
Net general and administrative
$
5,002
 
$
4,573
 
$
9,901
 
$
9,014
           
 
    
 
 
  
 
  
Interest and other income
                      
 
Interest income
$
262
 
$
196
 
$
452
 
$
284
 
Lease income
  
392
   
416
   
785
   
832
 
Participating loan (Condo conversion)
  
-
   
1,813
   
-
   
1,813
 
Gain from sale of Town & Country stock
  
-
   
-
   
1,687
   
-
 
Miscellaneous - non-recurring
 
-
   
6
   
124
   
25
   
Interest and other income
$
654
 
$
2,431
 
$
3,048
 
$
2,954
                           
Equity income (loss) in co-investments
                      
   
Equity income (loss) in co-investments
$
(374)
  
$
21
 
$
(816)
  
$
353
 
Gain on sale of co-investment activities, net
  
-
   
2,703
   
-
   
17,084
 
Early extinguishment of debt
  
-
   
-
   
-
   
(121)
     
Equity income (loss) in co-investments
$
(374)
  
$
2,724
 
$
(816)
  
$
17,316
                           
Minority interests
                      
 
Limited partners of Essex Portfolio, L.P.
$
672
 
$
1,250
 
$
1,421
 
$
3,742
 
Perpetual preferred distributions
  
2,559
   
2,559
   
5,119
   
5,118
 
Series Z and Z-1 incentive units
  
151
   
100
   
302
   
200
 
Third party ownership interests
 
312
   
364
 
 
704
   
577
 
Down REIT limited partners' distributions
 
1,066
   
1,087
 
 
2,141
   
2,164
   
Minority interests
$
4,760
 
$
5,360
 
$
9,687
 
$
11,801
 
See Company's 10-Q for additional disclosures
S-2

E S S E X  P R O P E R T Y  T R U S T,  I N C.
                                                                                                   
                             
Consolidated Funds From Operations
Three Months Ended
    
Six Months Ended
(Dollars in thousands, except share and per share amounts)
June 30,
    
June 30,
 
 
 
2006
 
2005
 
 
2006
 
2005
                             
Funds from operations
                        
Net income available to common shareholders
$
22,023
 
$
38,390
    
$
31,857
 
$
64,779
Adjustments:
                        
 
Depreciation and amortization
  
20,675
   
20,043
      
40,766
   
39,770
 
Co-investments (1)
  
876
   
207
      
1,751
   
356
 
Gains not included in FFO
  
(8,800)
    
(35,072)
      
(11,862)
    
(51,303)
 
Minority interests
  
2,378
   
3,972
     
3,555
   
6,770
      
Funds from operations
$
37,152
 
$
27,540
    
$
66,067
 
$
60,372
   
FFO per share-diluted
$
1.45
  
$
1.07
    
$
2.58
  
$
2.35
                             
Components of the change in FFO
                        
Non-recurring items:
                        
Fund I - promote distribution
        
(241)
            
(5,114)
Income generated from TRS activities, net of taxes and expenses
       
(1,813)
            
(1,813)
Deferred lease revenue on sale of RV parks
                     
(1,134)
Legal settlement
        
1,500
           
1,500
Early extinguishment of debt
                      
121
Vista Pointe - promote distribution and fees
  
(8,221)
            
(8,221)
      
Net gain on sale of Town and Country stock
                
(717)
      
Impairment of property
 
800
 
 
      
 
800
 
 
  
   
Funds from operations excluding non-recurring items
  
29,731
   
26,986
     
57,929
   
53,932     
   
FFO excluding non-recurring items per share-diluted
$
1.16
  
$
1.05
    
$
2.26
  
$
2.10
   
Percentage change in FFO excluding non-recurring items
 
10.2%
          
 
7.4%
      
Changes in recurring items:
                        
Same property NOI
$
3,418
         
$
6,248
     
Non-same property NOI
  
1,402
           
2,615
     
Management fees from joint ventures
  
140
           
(739)
      
Interest expense and amortization of deferred financing costs
  
(1,278)
            
(2,337)
      
Other items, net
 
(937)
          
 
(1,790)
      
     
$
2,745
         
$
3,997
      
   
Percentage change in FFO
 
34.9%
          
 
9.4%
      
                             
Weighted average number of shares outstanding diluted (2)
 
25,697,237
  
 
25,672,234
    
 
25,628,728
  
 
25,675,972
                             
                             
(1)
  
Amount includes the following: (i) depreciation addback for Fund II assets and minority interests, (ii) joint venture NOI, and (iii) City Heights land lease income not recognized for GAAP.
(2)
  
Assumes conversion of the weighted average operating partnership interests in the Operating Partnership into shares of the Company's common stock.
      


 See Company's 10-Q for additional disclosures
S-3

E S S E X  P R O P E R T Y  T R U S T,  I N C.
         
               
Consolidated Balance Sheets
          
(Dollars in thousands)
          
       
       
 
June 30, 2006
 
December 31, 2005
               
Real Estate:
          
 
Land and land improvements
$
561,560
 
$
551,132
 
Buildings and improvements
 
1,994,741
 
 
1,932,113
     
 
2,556,301
 
 
2,483,245
 
Less: accumulated depreciation
 
(437,154)
  
 
(398,476)
     
 
2,119,147
 
 
2,084,769
               
 
Real estate under development
  
75,429
   
54,416
 
Investments
  
36,498
   
27,228
     
 
2,231,074
 
 
2,166,413
Cash and cash equivalents
 
23,057
 
 
28,274
Other assets
  
59,735
   
29,488
Deferred charges, net
 
14,378
 
 
15,115
   
Total assets
$
2,328,244
 
$
2,239,290
               
Mortgage notes payable
$
1,100,965
 
$
1,104,918
Exchangeable bonds
  
225,000
   
225,000
Lines of credit
  
95,030
   
25,000
Other liabilities
  
74,580
   
67,998
Deferred gain
  
2,193
   
2,193
   
Total liabilities
 
1,497,768
 
 
1,425,109
               
Minority interests
  
229,694
   
233,214
               
Stockholders' Equity:
          
 
Common stock
  
2
   
2
 
Series F cumulative redeemable preferred stock, liquidation value
  
25,000
   
25,000
 
Additional paid-in-capital
  
648,142
   
632,646
 
Distributions in excess of accumulated earnings
  
(84,066)
    
(77,341)
 
Accumulated other comprehensive income
  
11,704
   
660
   
Total liabilities and stockholders' equity
$
2,328,244
 
$
2,239,290
               
 See Company's 10-Q for additional disclosures
S-4
E S S E X  P R O P E R T Y  T R U S T,  I N C.
                          
                                                                                              
Debt Summary - June 30, 2006
                                          
(Dollars in thousands)
                
 
 
 
 
 
 
 
 
 
 
 
 
 
     
Percentage of
       
Weighted
 
Weighted
  
            
Total
  
Balance
 
Average
  
Average Maturity
  
          
Debt
  
Outstanding
  
Interest Rate
 
In Years
  
Mortgage notes payable
                    
 
Fixed rate - secured
  
64%
  
$
914,433
  
6.4%
  
4.9
  
 
Tax exempt variable (1)
  
13%
    
186,532
  
4.7%
  
25.1
  
      
Total mortgage notes payable
  
77%
  
 
1,100,965
  
6.1%
  
8.3
  
           
 
            
Exchangeable bonds (2)
  
16%
  
 
225,000
  
3.6%
      
                         
Line of credit - secured (3)
  
5%
    
69,030
  
5.4%
      
Line of credit - unsecured (4)
  
2%
    
26,000
  
6.6%
      
       
7%
  
 
95,030
  
5.8%
      
   
Total debt
  
100%
  
$
1,420,995
  
5.7%
      
           
 
            
                                  Scheduled principal payments (excludes lines of credit)          
                         
       
2006
  
$
-
         
       
2007
    
69,960
          
       
2008
    
147,745
          
       
2009
    
24,937
          
       
2010
    
157,891
          
       
Thereafter
  
 
925,432
          
       
Total
  
$
1,325,965
          
                         
Capitalized interest for the quarter ended June 30, 2006 was approximately $711.
          
                         
(1)
  
Subject to interest rate protection agreements.
                  
(2)
  
Exchangeable bonds total $225 million and mature in November 2025. This is an unsecured obligation of the operating partnership, and is
   
fully and unconditionally guaranteed by Essex Property Trust, Inc.
  
(3)
  
Secured line of credit commitment is $100 million and matures in January 2009.
                
   
This line is secured by six of Essex's multi family communities. The underlying interest rate is currently the Freddie Mac Reference Rate plus .55% to .59%.
  
(4)
  
Unsecured line of credit commitment is $200 million and matures in March 2009.
               
   
The underlying interest rate on this line is based on a tiered rate structure tied to the Company's corporate ratings and is currently at LIBOR plus 0.80%.
  

 See Company's 10-Q for additional disclosures
S-5

E S S E X  P R O P E R T Y  T R U S T,  I N C.
     
           
Capitalization - June 30, 2006
        
(Dollars and shares in thousands, except per share amounts)
      
 
 
 
 
 
 
 
 
             
Total debt
$
1,420,995
      
     
 
 
      
Common stock and potentially dilutive securities
          
 
Common stock outstanding
  
23,047
      
 
Limited partnership units (1)
  
2,470
      
 
Options-treasury method
  
233
      
Total common stock and potentially dilutive securities
 
25,750
   shares
    
               
Common stock price per share as of June 30, 2006
$
111.66
      
     
 
 
      
Market value of common stock and potentially dilutive securities
$
2,875,245
      
               
Perpetual preferred units/stock
$
155,000
    7.865% weighted average pay rate
     
 
 
      
Total equity capitalization
$
3,030,245
      
     
 
 
      
Total market capitalization
$
4,451,240
      
     
 
 
      
Ratio of debt to total market capitalization
 
31.9%
      
     
 
 
      
(1)
Assumes conversion of all outstanding operating partnership interests in the Operating Partnership into shares of the Company's common stock.
  
 See Company's 10-Q for additional disclosures
S-6
E S S E X  P R O P E R T Y  T R U S T,  I N C.
                                                                              
                                                                                 
Property Operating Results - Quarter ended June 30, 2006 and 2005
                                                                      
(Dollars in thousands)
                                                                            
       
Southern California
  
Northern California
  
Pacific Northwest
  
Other real estate assets (1)
  
Total
 
 
 
2006
  
2005
  
% Change
  
2006
  
2005
  
% Change
  
2006
  
2005
  
% Change
  
2006
  
2005
  
% Change
  
2006
  
2005
  
% Change
                                                                                   
Revenues:
                                                                              
 
Same property revenue
$
46,314
 
$
43,954
  
5.4%
  
$
18,057
 
$
16,796
  
7.5%
  
$
13,926
 
$
12,879
  
8.1%
  
$
-
 
$
-
 
n/a
  
$
78,297
 
$
73,629
  
6.3%
 
Non same property revenue (2)
 
5,253
 
 
3,014
      
 
-
 
 
-
     
 
1,985
 
 
1,970
      
 
1,121
 
 
1,049
      
 
8,359
 
 
6,033
    
   
Total Revenues
$
51,567
 
$
46,968
      
$
18,057
 
$
16,796
      
$
15,911
 
$
14,849
      
$
1,121
 
$
1,049
      
$
86,656
 
$
79,662
    
                                                                                   
Property operating expenses:
                                                                              
 
Same property operating expenses
$
14,815
 
$
14,452
  
2.5%
  
$
5,822
 
$
5,339
  
9.0%
  
$
5,143
 
$
4,739
  
8.5%
  
$
-
 
$
-
 
n/a
  
$
25,780
 
$
24,530
  
5.1%
 
Non same property operating expenses (2)
 
1,777
 
 
1,058
      
 
-
 
 
-
     
 
738
 
 
731
      
 
1,174
 
 
976
      
 
3,689
 
 
2,765
    
   
Total property operating expenses
$
16,592
 
$
15,510
      
$
5,822
 
$
5,339
      
$
5,881
 
$
5,470
      
$
1,174
 
$
976
      
$
29,469
 
$
27,295
    
                                                                                   
Net operating income:
                                                                              
 
Same property net operating income
$
31,499
 
$
29,502
  
6.8%
  
$
12,235
 
$
11,457
  
6.8%
  
$
8,783
 
$
8,140
  
7.9%
  
$
-
 
$
-
 
n/a
  
$
52,517
 
$
49,099
  
7.0%
 
Non same property operating income (2)
 
3,476
 
 
1,956
      
 
-
 
 
-
     
 
1,247
 
 
1,239
      
 
(53)
  
 
73
     
 
4,670
 
 
3,268
    
   
Total net operating income
$
34,975
 
$
31,458
      
$
12,235
 
$
11,457
      
$
10,030
 
$
9,379
      
$
(53)
 
$
73
     
$
57,187
 
$
52,367
    
                     
 
 
  
 
 
      
 
 
  
 
 
      
 
 
  
 
 
                    
Same property operating margin
 
68%
  
 
67%
      
 
68%
  
 
68%
      
 
63%
  
 
63%
      
 
n/a
  
 
n/a
      
 
67%
  
 
67%
    
Same property turnover percentage
 
55%
  
 
58%
      
 
55%
  
 
56%
      
 
65%
  
 
65%
      
 
n/a
  
 
n/a
      
 
57%
  
 
59%
    
Same property concessions
$
175
  
$
127
      
$
64
  
$
116
      
$
30
  
$
105
      
$
-
 
$
-
     
$
269
  
$
348
    
Average same property concessions per turn (3)
$
107
  
$
97
      
$
104
  
$
223
      
$
36
  
$
128
      
$
-
 
$
-
     
$
87
  
$
132
    
Net operating income percentage of total
 
61%
  
 
60%
      
 
21%
  
 
22%
      
 
18%
  
 
18%
      
 
0%
  
 
0%
      
 
100%
  
 
100%
    
Loss to lease (4)
$
12,135
            
$
6,905
           
$
3,639
           
$
n/a
            
$
22,679
         
 
Loss to lease as a percentage
                
 
 
            
 
 
            
 
 
                          
 
of rental income
 
6.1%
            
 
7.4%
            
 
5.3%
            
 
n/a
            
 
6.3%
          
                     
 
 
            
 
 
            
 
 
                          
Reconciliation of apartment units at end of period
                                                                              
 
Same property apartment units
 
11,575
           
 
4,621
           
 
5,091
           
 
-
           
 
21,287
          
 
Consolidated Apartment Units
  
12,957
   
12,724
        
4,621
   
4,621
        
5,847
   
5,831
        
302
   
302
        
23,727
    
23,478
    
 
Joint Venture
  
312
   
598
        
2,005
   
1,549
        
515
   
173
       
-
   
-
       
2,832
    
2,320
    
 
Under Development (5)
 
424
 
 
607
      
 
-
 
 
-
     
 
127
 
 
-
     
 
-
 
 
-
     
 
551
  
 
607
    
   
Total apartment units at end of period
 
13,693
  
 
13,929
      
 
6,626
  
 
6,170
      
 
6,489
  
 
6,004
      
 
302
  
 
302
      
 
27,110
  
 
26,405
    
   
Percentage of total
 
51%
  
 
53%
      
 
24%
  
 
23%
      
 
24%
  
 
23%
      
 
1%
  
 
1%
      
 
100%
  
 
100%
    
                     
 
 
  
 
 
      
 
 
  
 
 
      
 
 
  
 
 
                    
Average same property financial occupancy
 
95.9%
  
 
96.5%
      
 
97.8%
  
 
97.2%
      
 
97.5%
  
 
96.8%
      
 
n/a
  
 
n/a
      
 
96.6%
  
 
96.7%
    
                     
 
 
  
 
 
      
 
 
  
 
 
      
 
 
  
 
 
                    
(1)
  
Includes apartment communities located in other geographic areas, other rental properties and commercial properties.
      
(2)
  
Includes properties which subsequent to March 31, 2005 were either acquired or in a stage of development or redevelopment without stabilized operations.
(3)
  
Average same property concessions per turn is the dollar amount per unit resulting from the same property concessions divided by the product of the same property turnover percentage times the same property apartment units.
(4)
  
Loss to lease represents the annualized difference between market rents (without considering the impact of rental concessions) and contractual rents. These numbers include the Company's pro-rata interest in unconsolidated properties.
(5)
  
Fund II owns 424 of the units under development as of June 30, 2006.
                                                                    
 See Company's 10-Q for additional disclosures
S-7

E S S E X  P R O P E R T Y  T R U S T,  I N C.
             
 
                                           
                            
 
           
Same Property Revenue by County - Quarters ended June 30, 2006, June 30, 2005 and March 31, 2006
  
(Dollars in thousands)
                    
 
          
                         
 
          
           
June 30,
  
June 30,
      
 
March 31,
  
Sequential
  
 
 
 
  
Units
  
2006
  
2005
  
% Change
  
 
2006
  
% Change
  
 
 
 
  
 
  
 
 
  
 
 
  
 
  
 
 
 
  
 
  
Southern California
                      
 
          
 
Ventura County
  
2,236
  
$
8,798
  
$
8,393
  
4.8%
  
 
$
8,723
  
0.9%
  
 
Los Angeles County
  
4,540
    
20,486
    
19,449
  
5.3%
  
 
  
20,442
  
0.2%
  
 
Orange County
  
2,037
    
8,907
    
8,297
  
7.4%
  
 
  
8,709
  
2.3%
  
 
San Diego County
  
2,486
    
7,442
    
7,161
  
3.9%
  
 
  
7,407
  
0.5%
  
 
Riverside County
  
276
  
 
681
  
 
654
  
4.1%
  
 
 
685
  
-0.6%
  
          
Total Southern California
  
11,575
  
$
46,314
  
$
43,954
  
5.4%
  
 
$
45,966
  
0.8%
  
       
 
  
 
 
  
 
 
      
 
 
 
      
Northern California
                      
 
          
 
San Francisco MSA
  
175
  
$
806
  
$
757
  
6.5%
  
 
$
793
  
1.6%
  
 
Santa Clara County
  
2,260
    
9,105
    
8,417
  
8.2%
  
 
  
8,744
  
4.1%
  
 
Alameda County
  
1,116
    
3,727
    
3,516
  
6.0%
  
 
  
3,622
  
2.9%
  
 
Contra Costa County
  
1,070
  
 
4,419
  
 
4,106
  
7.6%
  
 
 
4,285
  
3.1%
  
   
Total Northern California
  
4,621
  
$
18,057
  
$
16,796
  
7.5%
  
 
$
17,444
  
3.5%
  
       
 
  
 
 
  
 
 
      
 
 
 
      
Pacific Northwest
                      
 
          
 
Seattle
  
4,216
  
$
11,874
  
$
10,975
  
8.2%
  
 
$
11,519
  
3.1%
  
 
Portland
  
875
  
 
2,052
  
 
1,904
  
7.8%
  
 
 
1,987
  
3.3%
  
   
Total Pacific Northwest
  
5,091
  
$
13,926
  
$
12,879
  
8.1%
  
 
$
13,506
  
3.1%
  
       
 
  
 
 
  
 
 
      
 
 
 
      
Total same property revenue
  
21,287
  
$
78,297
  
$
73,629
  
6.3%
  
 
$
76,916
  
1.8%
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

 See Company's 10-Q for additional disclosures
S-8

E S S E X P R O P E R T Y T R U S T, I N C.
                                                                  
                    
                   
                                                                                              
 
    
Development Pipeline - June 30, 2006
                    
 
    
(Dollars in millions)
                        
 
    
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Estimated Units
  
Total Incurred to Date
 
Remaining Costs
 
Estimated Total Cost
 
 
Initial Occupancy
 
Stabilized Operations
Development Projects
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Project Name
  
Location
  
 
 
 
 
 
 
 
 
 
 
 
 
Northwest Gateway
 
Los Angeles, CA
 
275
 
$ 19.9
 
$ 51.2
 
$ 71.1
 
 
Dec-07
 
Sep-08
 
 
 
 
 
 
 
                
 
 
Predevelopment Projects
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of Projects
  
Region
               
 
 
      
3
 
Southern California
 
633
 
7.9
(1)
164.2
 
172.1
 
 
      
3
 
Northern California
 
1,339
 
9.8
 
340.6
 
350.4
 
 
 
 
 
 
  
 
 
 
1,972
 
17.7
 
504.8
 
522.5
 
 
 
 
 
 
 
 
 
 
              
 
 
 
 
 
For-Sale Projects (TRS)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of Projects
  
Region
 
 
 
 
 
 
 
 
 
 
 
 
 
3
 
Northern California
 
129
 
12.2
 
30.6
 
42.8
 
 
 
 
 
2
 
Pacific Northwest
 
91
 
18.2
(2)
8.7
 
26.9
 
 
 
 
 
 
 
 
 
 
220
 
30.4
 
39.3
 
69.7
 
 
 
 
 
 
 
 
 
 
              
 
 
 
 
 
Development Joint Ventures (3)
 
-
 
7.4
 
1.0
 
8.4
 
 
 
 
 
Consolidated- Real Estate Under Development
 
2,467
 
75.4
 
596.3
 
671.7
 
 
 
 
 
 
 
 
 
 
              
 
 
 
 
 
Development Projects - Fund II
 
              
 
 
 
 
 
Project Name
  
Location
  
 
 
 
 
 
 
 
 
 
      
Lake Union (4)
 
Seattle, WA
 
127
 
5.9
 
23.6
 
29.5
 
 
Dec-07
 
Mar-08
Studio City
 
Studio City, CA
 
149
 
20.8
 
32.5
 
53.3
 
 
Oct-08
 
Feb-09
 
 
 
 
 
276
 
26.7
 
56.1
 
82.8
     
 
 
 
 
 
 
 
              
 
 
 
 
 
Predevelopment Project - Fund II
 
 
              
 
 
 
 
 
 
 
 
 
 
              
 
 
 
 
 
Number of Projects
  
Region
               
 
 
      
1
 
Southern California
 
119
 
0.7
 
36.8
 
37.5
 
 
 
 
 
 
 
 
 
 
              
 
 
 
 
 
 
Fund II - Real Estate Under Development
 
395
 
27.4
 
92.9
 
120.3
 
 
 
 
 
 
Grand Total - Development Pipeline
 
2,862
 
$ 102.8
 
$ 689.2
 
$ 792.0
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
During July 2006, the Company purchased 2.1 acres in Hollywood, California. The property is currently leased, and the Company's intent
 
 
is to finalize the approval process for the development of apartments.
 
 
(2)
In April 2006, Peregrine Point was reclassed from rental property to real estate under development for sale. The property is in the process of
 
being converted to condo units. Land, building and conversion costs for Peregrine Point totaled $15.3 mllion as of June 30, 2006.
 
    
(3)
The Company has entered into two joint venture development projects with third parties. Total estimated costs are not determinable at this time,
 
except for $1.0 in additional commitments as of June 30, 2006.
 
                      
(4)
Development includes approximately 9,300 square feet of commercial space.
                  
                     
 See Company's 10-Q for additional disclosures
S-9

E S S E X  P R O P E R T Y  T R U S T,  I N C.
                                     
                     
Redevelopment Communities - June 30, 2006
                  
(Dollars in thousands)
                  
 
 
 
 
 
 
 
 
 
 
 
                     
       
Total
 
Estimated
  
Estimated
    
       
Incurred
  
Remaining
  
Total
  
Redevelopment
 
Project Name
Units
  
To Date
  
Cost
  
Cost
  
Start Date
                     
 
Mira Woods, Mira Mesa, CA
355
  
3,886
 
1,838
 
5,724
 
Sep-04
                     
 
Palisades - Phase I and II, Bellevue, WA
192
  
3,338
 
2,545
 
5,883
 
Sep-04
                     
 
Avondale at Warner Center, Woodland Hills, CA
446
  
6,707
 
4,722
 
11,429
 
Oct-04
                     
 
Bridle Trails, Kirkland, WA
108
  
4,045
 
516
 
4,561
 
May-05
                     
 
Sammamish View, Bellevue, WA
153
  
446
 
2,718
 
3,164
 
Dec-05
                     
 
Woodland/Foothill Commons, Bellevue, WA
596
  
81
 
3,122
 
3,203
 
Apr-06
   
 
  
 
  
 
  
 
    
 
Total
1,850
 
$ 18,503
 
$ 15,461
 
$ 33,964
   
                     
                     
                     
 
Re-stabilized Communities - Second Quarter 2006
                  
                     
 
Kings Road, Los Angeles, CA
                  
                     
 
The redevelopment communities are re-stabilized and added back to same-property operations when the property reaches 95% occupancy after substantial completion of the redevelopment project, and the property has been stablized for five full quarters since the redevelopment project was substantially completed.
 
 
 See Company's 10-Q for additional disclosures
S-10

 
 
                         
                   
 
 
                
 
 
 
 
 
                
 
 
                            
 
 
                                                                        
 
                  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
Investments - June 30, 2006
 
Essex
  
 
Fund
 
Debt
  
 
 
  
Essex
  
 
For the three
months ended
  
 
  
(In thousands)
 
Book
    
Estimated
 
  
                
Interest
Maturity
 
 
Value of
 
  
Essex
 
  
Equity
 
  
June 30, 2006
      
 
 
 
 
Value
  
 
Value
 
 
Amount
Type
Rate
Date
  
 
Equity
 
 
Ownership
 
 
Value
 
 
NOI
      
               
 
                
 
    
 
    
 
          
Joint Ventures
                
 
  
 
 
          
 
  
 
 
  
 
      
 
 
 
                
 
  
 
 
          
 
  
 
 
  
 
      
 
Essex Apartment Value Fund, L.P. (Fund I)
                
 
  
 
 
          
 
  
 
 
  
 
      
 
 
Net assets (1)
$
582
 
$
2,900
     
 
  
 
 
$
2,900
 
  
21.4%
 
$
621
 
$
-
     
 
 
  
 
 
  
 
        
 
  
 
 
 
  
 
  
 
 
  
 
 
  
 
      
 
Essex Apartment Value Fund II, L.P. (Fund II)
                                                    
   
Carlmont Woods, Belmont, CA
              
13,230
Fixed
4.89%
Dec-2013
                              
   
Echo Ridge, Snoqualmie, WA
              
13,555
Fixed
5.01%
Sep-2014
                              
   
Enclave, San Jose, CA
              
22,555
Fixed
7.26%
Jan-2018
                              
   
Enclave, San Jose, CA
              
60,000
Variable
3.48%
Dec-2029
                              
   
Harbor Cove, Foster City, CA
              
35,675
Fixed
4.89%
Dec-2013
                              
   
Morning Run, Monroe, WA
              
14,008
Fixed
5.10%
Oct-2014
                              
   
Parcwood, Corona, CA
              
25,975
Fixed
4.89%
Dec-2013
                              
   
Regency Towers, Oakland, CA
              
11,305
Fixed
5.16%
Mar-2015
                              
   
Tower @ 801, Seattle, WA
              
19,762
Fixed
4.91%
Aug-2014
                              
                         
 
                              
                                                         
   
Line of credit
              
76,450
Var.
LIBOR+0.875%
Jun-2007
                              
       
27,890
   
398,055
   
292,515
         
105,540
   
28.2%
    
29,762
   
 
      
 
 
Capitalized costs
  
720
           
 
  
 
 
    
 
    
 
  
720
 
  
 
      
 
 
 
  
28,610
           
 
  
 
 
    
 
    
 
  
30,482
 
  
4,767
     
 
 
 
                
 
  
 
 
    
 
    
 
  
 
 
  
 
      
 
 
Mountain Vista Apartments
 
6,806
           
 
  
 
 
    
 
    
 
  
6,806
 
  
1,130
     
 
 
Other
 
500
           
 
  
 
 
    
 
    
 
  
500
 
  
-
     
 
 
 
                
 
  
 
 
    
 
    
 
  
 
 
  
 
      
 
 
 
                
 
  
 
 
    
 
    
 
  
 
 
  
 
      
 
 
 
$
36,498
           
 
  
 
 
    
 
    
 
$
38,409
 
          
 
 
 
                
 
  
 
 
 
  
 
    
 
    
 
          
 
(1)
Net assets primarily consist of cash proceeds less estimated liabilities from the sale of River Terrace and Kelvin properties.

See Company's 10-Q for additional disclosures
S-11

E S S E X  P R O P E R T Y  T R U S T,  I N C.                             
 
                        
 
 
                         
 
                      
 
                          
 
                
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consolidated Co-Investments - June 30, 2006
 
 
 
 
 
 
 
 
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The Company enters into co-investment transactions with third party developers, owners and investors of apartment properties. In accordance with FIN 46R, the Company consolidates certain of these co-investment transactions, resulting in minority interests corresponding to the ownership interest of the third-party developer, owner or investor.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The following table summarizes the consolidated co-investment transactions:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
Operations for the quarter ended
 
 
Balance as of June 30, 2006
 
June 30, 2006
 
 
Investment in
 
Related
 
Minority
 
 
Down-REIT
 
 
 
Operating
 
 
 
 
Real Estate
 
Debt
 
Interest
 
 
Units (1)
 
Revenue
 
Expenses
 
NOI
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Down-REITs:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Anchor Village
 
10,851
 
10,750
 
2,505
   
118,988
 
649
 
278
 
371
Barkley Apartments
 
9,640
 
5,034
 
2,320
   
80,302
 
586
 
207
 
379
Brookside Oaks
 
20,986
 
14,442
 
9,363
   
230,938
 
589
 
202
 
387
Capri at Sunny Hills
 
16,417
 
11,799
 
4,069
   
188,467
 
576
 
134
 
442
Hearthstone Apartments
 
13,752
 
9,576
 
3,951
   
90,591
 
579
 
157
 
422
Hidden Valley (Parker Ranch)
 
46,001
 
33,783
 
6,089
   
62,647
 
1,331
 
361
 
970
Highridge Apartments
 
20,956
 
18,863
 
6,699
   
321,249
 
1,269
 
373
 
896
Montejo Apartments
 
9,015
 
5,941
 
1,534
   
38,038
 
428
 
121
 
307
Treehouse Apartments
 
12,289
 
7,999
 
3,265
   
75,700
 
574
 
158
 
416
Valley Park Apartments
 
15,848
 
10,133
 
1,167
   
63,827
 
686
 
166
 
520
Villa Angelina Apartments
 
20,958
 
13,702
 
2,611
   
62,339
 
923
 
227
 
696
 
 
196,713
 
142,022
 
43,573
   
1,333,086
 
8,190
 
2,384
 
5,806
 
 
                            
Other Co-investments transactions:
                            
Derian Office Building
 
17,432
 
-
 
-
   
n/a (note 2)
  
466
 
109
 
357
City Heights
 
31,602
 
32,850
 
-
   
n/a (note 3)
  
2,209
 
788
 
1,421
The Bluffs
 
9,016
 
12,466
 
(177)
    
n/a
 
724
 
207
 
517
 
 
 
 
 
 
 
 
 
 
 
        
 
(1) Represents the number of Down-REIT units that are currently outstanding. Generally, Down-REIT units can be redeemed at the holder's election for cash equal to the current price of Essex's common stock.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(2) Essex has mortgage loans to the owners of this property with an aggregate principal balance outstanding of $23.9 million as of June 30, 2006.
 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
(3) The Company owns the land and has leased the improvements to an unrelated third-party investor. The leashold interest entitles the Company to receive a monthly payment during the 34 year term of the lease. The Company may sell its interest in the property starting 2007, in which case the Company is entitled to receive 20% of the net sales price (without considering related debt), plus an incentive payment.

See Company's 10-Q for additional disclosures
S-12

  ESSEX PROPERTY TRUST, INC.
                   
REAL ESTATE INFORMATION
  
30-Jun-06
  
                                                                                                      
         
Square
  
Year
Year
  
Property Name
Address
City
State
Units
Footage
 
Acquired
Built
  
MULTIFAMILY COMMUNITIES
 
  
                   
SAN FRANCISCO BAY AREA
                
Santa Clara County
                  
Pointe at Cupertino, The (Westwood)
19920 Olivewood Street
Cupertino
CA
116
135,200
  
1998
1963
  
Carlyle, The
2909 Nieman Boulevard
San Jose
CA
132
129,200
  
2000
2000
  
Enclave, The
4355 Renaissance Drive
San Jose
CA
637
525,463
  
2005
1998
  
Esplanade
350 East Taylor St.
San Jose
CA
278
279,000
  
2004
2002
  
Waterford, The
1700 N. First Street
San Jose
CA
238
219,600
  
2000
2000
  
Le Parc (Plumtree)
440 N. Winchester Avenue
Santa Clara
CA
140
113,200
  
1994
1975
  
Marina Cove
3480 Granada Avenue
Santa Clara
CA
292
250,200
  
1994
1974
  
Bristol Commons
732 E. Evelyn Avenue
Sunnyvale
CA
188
142,600
  
1995
1989
  
Brookside Oaks
1651 Belleville Way
Sunnyvale
CA
170
119,900
  
2000
1973
  
Oak Pointe
450 N. Mathilda Avenue
Sunnyvale
CA
390
294,100
  
1988
1973
  
Summerhill Park
972 Corte Madera Avenue
Sunnyvale
CA
100
78,500
  
1988
1988
  
Windsor Ridge
825 E. Evelyn Avenue
Sunnyvale
CA
216
161,800
  
1989
1989
  
     
11%
2,897
2,448,763
        
Alameda County
                  
Stevenson Place (The Apple)
4141 Stevenson Blvd.
Fremont
CA
200
146,200
  
1983
1971
  
Waterstone at Fremont (Mountain Vista )
39600 Fremont Blvd
Fremont
CA
526
433,100
  
2000
1975
  
Treetops
40001 Fremont Blvd.
Fremont
CA
172
131,200
  
1996
1978
  
Wimbeldon Woods
25200 Carlos Bee Blvd.
Hayward
CA
560
462,400
  
1998
1975
  
Regency Towers
1130 Third Ave.
Oakland
CA
178
140,900
  
2005
1975
  
Summerhill Commons
36826 Cherry Street
Newark
CA
184
139,000
  
1987
1987
  
     
7%
1,820
1,452,800
        
Contra Costa County
                  
San Marcos (Vista del Mar)
Hilltop Drive at Richmond Pkwy
Richmond
CA
432
407,600
  
2003
2003
120 units 2005
Bel Air (The Shores)
2000 Shoreline Drive
San Ramon
CA
462
391,000
  
1995
1988
114 units 2000
Foothill Gardens
1110 Harness Drive
San Ramon
CA
132
155,100
  
1997
1985
  
Twin Creeks
2711-2731 Morgan Drive
San Ramon
CA
44
51,700
  
1997
1985
  
     
4%
1,070
1,005,400
        
San Mateo County
                  
Carlmont Woods
2515 Carlmont Drive
Belmont
CA
195
107,200
  
2004
1971
  
Harbor Cove
900 E. Hillsdale Blvd.
Foster City
CA
400
306,600
  
2004
1971
  
Davey Glen
200 Davey Glen Road
Belmont
CA
69
65,974
  
2006
1962
  
     
3%
664
479,774
        
                                        
San Francisco and Marin County
                  
Mt. Sutro Terrace Apartments
480 Warren Drive
San Francisco
CA
99
64,000
  
1999
1973
  
Vista Belvedere
15 Red Hill Circle
Tiburon
CA
76
78,300
  
2004
1963
  
     
1%
175
142,300
        
                   
Total San Francisco Bay Area
    
25%
6,626
5,529,037
 
      
                   
SOUTHERN CALIFORNIA
 
                
Los Angeles County
                  
Hampton Court (Columbus)
1136 N. Columbus Avenue
Glendale
CA
83
71,500
  
1999
1974
  
Hampton Place (Loraine)
245 W. Loraine Street
Glendale
CA
132
141,500
  
1999
1970
  
Marbrisa
1809 Termino Ave.
Long Beach
CA
202
122,800
  
2002
1987
  
Pathways
5945 E. Pacific Coast Hwy.
Long Beach
CA
296
197,700
  
1991
1975
  
Bunker Hill
222 and 234 S. Figueroa St.
Los Angeles
CA
456
346,600
  
1998
1968
  
City Heights
209 S. Westmoreland
Los Angeles
CA
687
424,100
  
2000
1968
  
Cochran Apartments
612 South Cochran
Los Angeles
CA
58
51,400
  
1998
1989
  
Kings Road
733 North Kings Road
Los Angeles
CA
196
132,100
  
1997
1979
  
Marbella
600 South Detroit Street
Los Angeles
CA
60
50,108
  
2005
1991
  
Northwest Gateway
1302 West 2nd St.
Los Angeles
CA
275
225,000
 
 
 
  
Park Place
400 S. Detroit Street
Los Angeles
CA
60
48,000
  
1997
1988
  
Windsor Court
401 S. Detroit Street
Los Angeles
CA
58
46,600
  
1997
1988
  
Marina City Club
4333 Admiralty Way
Marina Del Rey
CA
101
127,200
  
2004
1971
  
Mirabella (Marina View)
13701 Marina Point Drive
Marina Del Rey
CA
188
176,800
  
2000
2000
  
Hillcrest Park (Mirabella)
1800 West Hillcrest Drive
Newbury Park
CA
608
521,900
  
1998
1973
  
Monterra del Mar (Windsor Terrace)
280 E. Del Mar Boulevard
Pasadena
CA
123
74,400
  
1997
1972
  
Monterra del Rey (Glenbrook)
350 Madison
Pasadena
CA
84
73,100
  
1999
1972
  
Monterra del Sol (Euclid)
280 South Euclid
Pasadena
CA
85
69,200
  
1999
1972
  
Fountain Park
13141 Fountain Park Drive
Playa Vista
CA
705
608,900
  
2004
2002
  
Highridge
28125 Peacock Ridge Drive
Rancho Palos Verde
CA
255
290,200
  
1997
1972
  
Walnut Heights
20700 San Jose Hills Road
Walnut
CA
163
146,700
  
2003
1964
  
Avondale at Warner Center
22222 Victory Blvd.
Woodland Hills
CA
446
331,000
  
1999
1970
  
     
19%
5,046
4,051,808
        
Ventura County
                                          
Camarillo Oaks
921 Paseo Camarillo
Camarillo
CA
564
459,000
  
1996
1985
  
Mountain View
649 E. Las Posas Road
Camarillo
CA
106
83,900
  
2004
1980
  
Mariner's Place
711 South B Street
Oxnard
CA
105
77,200
  
2000
1987
  
Tierra Vista
Rice and Gonzales
Oxnard
CA
404
387,100
  
2001
2001
  
Monterey Villas (Village Apartments)
1040 Kelp Lane
Oxnard
CA
122
122,100
  
1997
1974
  
Meadowood
1733 Cochran Street
Simi Valley
CA
320
264,500
  
1996
1986
  
Hidden Valley (Parker Ranch)
5065 Hidden Park Court
Simi Valley
CA
324
310,900
  
2004
2004
  
Lofts at Pinehurst,The (Villa Scandia)
1021 Scandia Avenue
Ventura
CA
118
71,100
  
1997
1971
  
Pinehurst
3980 Telegraph Road
Ventura
CA
28
21,200
  
2004
1973
  
Woodside Village
675 Providence Ave.
Ventura
CA
145
136,500
  
2004
1987
  
     
8%
2,236
1,933,500
        
Santa Barbara County
                  
Chimney Sweep
  
Isle Vista
CA
91
    
2006
1967
  
CBC
  
Isle Vista
CA
148
    
2006
1962
  
     
1%
239
179,908
        
Orange County
                  
Barkley Apartments
2400 E. Lincoln Ave.
Anahiem
CA
161
139,800
  
2000
1984
  
Valley Park Apartments
17300 Euclid Ave.
Fountain Valley
CA
160
169,700
  
2001
1969
  
Capri at Sunny Hills
2341 Daphne Place
Fullerton
CA
100
128,100
  
2001
1961
  
Wilshire Promenade
141 West Wilshire Avenue
Fullerton
CA
149
128,000
(1)
1997
1992
  
Montejo Apartments
12911 Dale St.
Garden Grove
CA
124
103,200
  
2001
1974
  
Huntington Breakers
21270 Beach Boulevard
Huntington Beach
CA
342
241,700
  
1997
1984
  
Hillsborough Park
1501 South Beach Boulevard
La Habra
CA
235
215,500
  
1999
1999
  
Trabuco Villas
25362 Mosswood Way
Lake Forest
CA
132
131,000
  
1997
1985
  
Fairways Apartments
2 Pine Valley Lane
Newport Beach
CA
74
107,100
  
1999
1972
  
Villa Angelina
201 E. Chapman Ave.
Placentia
CA
256
217,600
  
2001
1970
  
Brentwood Apartment Homes (Hearthstone)
2301 E. Santa Clara Ave.
Santa Ana
CA
140
154,800
  
2001
1970
  
Treehouse Apartments
2601 N. Grand Ave.
Santa Ana
CA
164
135,700
  
2001
1970
  
     
8%
2,037
1,872,200
        
SOUTHERN CALIFORNIA (cont'd)
 
                
San Diego County
                  
Alpine Country
2660 Alpine Blvd.
Alpine
CA
108
81,900
  
2002
1986
  
Alpine Village
2055 Arnold Way
Alpine
CA
306
254,400
  
2002
1971
  
Bonita Cedars
5155 Cedarwood Rd.
Bonita
CA
120
120,800
  
2002
1983
  
Cambridge
660 F. St.
Chula Vista
CA
40
22,100
  
2002
1965
  
Woodlawn Colonial
245-255 Woodlawn Ave.
Chula Vista
CA
159
104,500
  
2002
1974
  
Mesa Village
5265 Clairemont Mesa Blvd.
Clairemont
CA
133
43,600
  
2002
1963
  
Coral Gardens
425 East Bradley
El Cajon
CA
200
182,000
  
2002
1976
  
Tierra del Sol/Norte
989 Peach Ave.
El Cajon
CA
156
117,000
  
2002
1969
  
Grand Regacy
2050 E. Grand Ave.
Escondido
CA
60
42,400
  
2002
1967
  
Mira Woods Villa
10360 Maya Linda Rd.
Mira Mesa
CA
355
262,600
  
2002
1982
  
Country Villas
283 Douglas Drive
Oceanside
CA
180
179,700
  
2002
1976
  
Mission Hills
218 Rancho Del Oro
Oceanside
CA
282
244,000
  
2005
1984
  
Bluffs II, The
6466 Friars Road
San Diego
CA
224
126,700
  
1997
1974
  
Emerald Palms
2271 Palm Ave.
San Diego
CA
152
133,000
  
2002
1986
  
Summit Park
8563 Lake Murray Blvd.
San Diego
CA
300
229,400
  
2002
1972
  
Vista Capri - North
3277 Berger Ave.
San Diego
CA
106
51,800
  
2002
1975
  
Carlton Heights
9705 Carlton Hills Blvd.
Santee
CA
70
48,400
  
2002
1979
  
Shadow Point
9830 Dale Ave.
Spring Valley
CA
172
131,200
  
2002
1983
  
     
12%
3,123
2,375,500
        
Riverside County
                  
Parcwood
1700 Via Pacifica
Corona
CA
312
270,000
  
2004
1989
  
Devonshire Apartments
2770 West Devonshire Ave.
Hemet
CA
276
207,200
  
2002
1988
  
     
2%
588
477,200
        
                                 
Total Southern California
    
50%
13,269
10,890,116
        
                   
SEATTLE METROPOLITAN AREA
 
                
Cedar Terrace
3205 115th Ave. NE
Bellevue
WA
180
174,200
  
2005
1984
  
Emerald Ridge
3010 118th Avenue SE
Bellevue
WA
180
144,000
  
1994
1987
  
Foothill Commons
13800 NE 9th Place
Bellevue
WA
360
288,300
  
1990
1978
  
Palisades, The
13808 NE 12th
Bellevue
WA
192
159,700
  
1990
1977
  
Sammamish View
16160 SE Eastgate Way
Bellevue
WA
153
133,500
  
1994
1986
  
Woodland Commons
13700 NE 10th Place
Bellevue
WA
236
172,300
  
1990
1978
  
Canyon Pointe
1630 228th St. SE
Bothell
WA
250
210,400
  
2003
1990
  
Inglenook Court
14220 Juanita Drive, NE
Bothell
WA
224
183,600
  
1994
1985
  
Salmon Run at Perry Creek
2109 228th Street SE
Bothell
WA
132
117,100
  
2000
2000
  
Stonehedge Village
14690 143rd Blvd., NE
Bothell
WA
196
214,800
  
1997
1986
  
Park Hill at Issaquah
22516 SE 56th Street
Issaquah
WA
245
277,700
  
1999
1999
  
Peregrine Point
21209 SE 42nd Street
Issaquah
WA
67
85,900
  
2003
2003
  
Wandering Creek
12910 SE 240th
Kent
WA
156
124,300
  
1995
1986
  
Bridle Trails
6600 130th Avenue, NE
Kirkland
WA
108
73,400
  
1997
1986
  16 Units 2006
Evergreen Heights
12233 NE 131st Way
Kirkland
WA
200
188,300
  
1997
1990
  
Morning Run
18463 Blueberry Lane
Monroe
WA
222
221,786
  
2005
1991
  
Laurels at Mill Creek
1110 164th Street SE
Mill Creek
WA
164
134,300
  
1996
1981
  
Anchor Village
9507 49th Avenue West
Mukilteo
WA
301
245,900
  
1997
1981
  
Castle Creek
7000 132nd Place, SE
Newcastle
WA
216
191,900
  
1998
1998
  
Brighton Ridge
2307 NE 4th Street
Renton
WA
264
201,300
  
1996
1986
  
Fairwood Pond
14700 SE Petrovitsky Rd.
Renton
WA
194
189,200
  
2004
1997
  
Forest View
650 Duvall Ave. NE
Renton
WA
192
182,500
  
2003
1998
  
Fountain Court
2400 4th Street
Seattle
WA
320
207,000
  
2000
2000
  
Linden Square
13530 Linden Avenue North
Seattle
WA
183
142,200
  
2000
1994
  
Maple Leaf
7415 5th Avenue, NE
Seattle
WA
48
35,500
  
1997
1986
  
Spring Lake
12528 35th Avenue, NE
Seattle
WA
69
42,300
  
1997
1986
  
Wharfside Pointe
3811 14th Avenue West
Seattle
WA
142
119,200
(2)
1994
1990
  
Tower @ 801
801 Pine Street
Seattle
WA
173
118,500
  
2005
1970
  
Echo Ridge
34907 SE Kinsey Street
Snoqualmie
WA
120
124,359
  
2005
2000
  
Total Seattle Metropolitan Area
    
21%
5,487
4,703,445
        
                   
PORTLAND METROPOLITAN AREA
 
                
Jackson School Village
300 NE Autumn Rose Way
Hillsboro
OR
200
196,800
  
1996
1996
  
Landmark Apartments
3120 NW John Olsen Ave.
Hillsboro
OR
285
282,900
  
1996
1990
  
Meadows @ Cascade Park
314 SE 19th Street
Vancouver
WA
198
199,300
  
1997
1989
  
Village @ Cascade Park
501 SE 123rd Avenue
Vancouver
WA
192
178,100
  
1997
1989
  
Total Portland Metropolitan Area
    
3%
875
857,100
        
                   
OTHER AREAS
 
                
St. Cloud Apartments
6525 Hilcroft
Houston
TX
302
306,800
  
2002
1968
  
     
1%
302
306,800
        
126
Multifamily Properties
    
26,559
22,286,498
        
3
Multifamily  Properties Under Construction
 
551
376,488
        
                   
Avg. square footage
839
                
Avg. units per property
211
                
Avg. age of property
2004
                
                   
(1) Also has 11,836 square feet of commercial/retail space.
                
(2) Also has 9,512 square feet of commercial space.
                
                   
OTHER REAL ESTATE ASSETS
 
                
Manufactured Housing Communities
                  
Green Valley
2130 Sunset Dr.
Vista
CA
157
pads
  
2002
1973
  
Recreational Vehicle Parks
                  
Circle RV
1835 E. Main St.
El Cajon
CA
179
spaces
  
2002
1977
  
Vacationer
1581 E. Main St.
El Cajon
CA
159
spaces
  
2002
1973
  
Office Buildings
                  
Essex Corporate Headquarter Bldg.
925 E. Meadow Dr.
Palo Alto
CA
  
17,400
  
1997
1988
  
Derian Office Building
17461 Derian Av.
Irvine
CA
  
110,000
  
2000
1983
  
Essex Southern Cal. Office Building
22110-22120 Clarendon St.
Woodland Hills
CA
  
38,940
  
2001
1982
  
         
166,340
        

New Residential Supply: Permits as % of Current Stock
 
12 Month Permit Period: Trailing 12 Months June 2006
                                                                                                
 
Single Family Data
  
Multi-Family Data
  
All Residential Data
Market
Median SF Price (2005**)
2005 SF Affordability*
SF Stock 2000
SF Permits Last 12 Months
% of Stock
  
MF Stock 2000
MF Permits Last 12 months
% of Stock
  
Total Residential Permits Last 12 Months
% of Stock
Nassau-Suffolk
$471,000
78%
740,000
4,511
0.6%
  
240,000
417
0.2%
  
4,928
0.5%
New York PMSA
$461,000
50%
760,000
2,379
0.3%
  
2,920,000
20,594
0.7%
  
22,973
0.6%
Boston
$431,000
72%
1,530,000
7,632
0.5%
  
670,800
7,886
1.2%
  
15,518
0.7%
Philadelphia
$231,000
108%
1,532,000
13,764
0.9%
  
515,100
4,019
0.8%
  
17,783
0.9%
Baltimore
$282,000
100%
797,000
7,977
1.0%
  
268,000
2,494
0.9%
  
10,471
1.0%
Wash. D.C. PMSA
$441,000
80%
1,299,000
21,516
1.7%
  
644,300
10,068
1.6%
  
31,584
1.6%
Chicago
$275,001
196%
1,700,000
35,496
2.1%
  
1,404,900
15,952
1.1%
  
51,448
1.7%
Minneapolis
$233,000
121%
818,000
15,627
1.9%
  
351,800
3,993
1.1%
  
19,620
1.7%
Denver
$254,000
108%
582,000
16,881
2.9%
  
274,900
4,168
1.5%
  
21,049
2.5%
Miami/Ft. Lauderdale
$386,000
53%
717,000
19,367
2.7%
  
876,000
22,977
2.6%
  
42,344
2.7%
Dallas-Ft. Worth
$147,000
166%
1,381,000
50,768
3.7%
  
650,000
11,001
1.7%
  
61,769
3.0%
Houston
$145,000
163%
1,027,000
54,495
5.3%
  
547,700
12,127
2.2%
  
66,622
4.2%
Phoenix
$268,000
83%
970,000
47,307
4.9%
  
360,500
8,800
2.4%
  
56,107
4.2%
Atlanta
$171,000
158%
1,122,000
61,632
5.5%
  
467,800
12,825
2.7%
  
74,457
4.7%
Orlando
$261,000
85%
482,000
26,659
5.5%
   
201,500
7,076
3.5%
  
33,735
4.9%
Austin
$167,001
255%
326,000
19,064
5.8%
  
169,900
7,236
4.3%
  
26,300
5.3%
Las Vegas
$313,000
68%
440,000
29,492
6.7%
  
215,700
11,686
5.4%
   
41,178
6.3%
Totals
$290,589
117%
16,223,000
434,567
2.7%
  
10,778,900
163,319
1.5%
  
597,886
2.2%
                         
Seattle
$342,000
81%
656,000
11,426
1.7%
  
354,487
6,695
1.9%
  
18,121
1.8%
Portland
$253,000
99%
561,000
12,663
2.3%
  
225,335
4,854
2.2%
  
17,517
2.2%
                         
San Francisco
$755,000
44%
368,000
990
0.3%
  
344,000
4,535
1.3%
  
5,525
0.8%
Oakland
$655,000
50%
625,000
6,293
1.0%
  
270,000
4,913
1.8%
  
11,206
1.3%
San Jose
$711,000
52%
388,000
2,463
0.6%
  
192,000
2,592
1.4%
  
5,055
0.9%
                         
Los Angeles
$505,000
45%
1,877,000
12,007
0.6%
  
1,392,963
12,823
0.9%
  
24,830
0.8%
Ventura
$564,000
58%
199,000
1,850
0.9%
  
53,295
903
1.7%
  
2,753
1.1%
Orange
$696,000
46%
628,000
4,460
0.7%
  
340,800
3,149
0.9%
  
7,609
0.8%
San Diego
$615,000
40%
664,000
6,015
0.9%
  
375,664
2,573
0.7%
  
8,588
0.8%
                         
PNW
$300,974
89%
1,217,000
24,089
2.0%
  
579,822
11,549
2.0%
  
35,638
2.0%
                         
No Cal
$697,381
49%
1,381,000
9,746
0.7%
  
806,000
12,040
1.5%
  
21,786
1.0%
                         
So Cal
$565,787
45%
3,368,000
24,332
0.7%
  
2,162,722
19,448
0.9%
  
43,780
0.8%
                         
ESSEX
$542,229
55%
5,966,000
58,167
1.0%
 
3,548,543
43,037
1.2%
 
101,204
1.1%
Permits: Single Family equals 1 Unit, Multi-Family equals 5 or More Units
                
Sources: SF Prices - National Association of Realtors,Rosen Consulting Group : Permits, Total Residential Stock - U.S. Census, Axiometrics
Median Home Prices - National Association of Realtors; DataQuick, Mortgage Rates - Freddie Mac, Median Household Incomes - US Census; BEA; Essex
Single Family - Multi-Family Breakdown of Total Resdiences, Rosen Consulting Group, US Census, EASI, Essex
          
*Single Family Affordability - Equals the ratio of the actual Median Household Income to the Income required to purchase the Median Priced Home.
The required Income is defined such that the Mortgage Payment is 35% of said Income, assuming a 10% Down Payment and a 30-year fixed mortgage rate (6.0%).
Median Household Income is estimated from US Census 2004 data and Income Growth from BEA and Population Growth from the US Census.
**2005 Median Home Prices - 3rd Quarter Estimates: Nationall Realtors Association
                

   
Essex Markets Forecast 2006: Supply, Jobs and Apartment Market Conditions
  
                                                                                   
   
Residential Supply*
  
Job Forecast**
  
Forecast Market Conditions***
  
Market
  
New MF Supply
% of Total Stock
  
New SF Supply
% of Total Stock
  
Est.New Jobs Dec-Dec
% Growth
  
Estimated Y-o-Y Rent Growth
Estimated
Year End Occupancy
  
   
 
      
 
  
 
 
  
 
 
  
Seattle
  
2,300
0.6%
  
11,000
1.6%
  
46,000
3.3%
  
7.50%
95.50%
  
Portland
  
3,250
1.4%
  
11,000
2.0%
  
27,000
2.8%
  
5.00%
95.00%
  
   
 
      
 
  
 
 
  
 
 
  
San Francisco
  
2,300
0.6%
  
1,000
0.3%
  
14,000
1.5%
  
7.50%
96.50%
  
Oakland
  
2,300
0.8%
  
6,700
1.1%
  
20,000
1.9%
  
6.00%
96.00%
  
San Jose
  
2,400
1.2%
  
2,300
0.6%
  
12,000
1.4%
  
7.00%
96.00%
  
No. Cal.
 
7,000
0.9%
 
10,000
0.7%
 
46,000
1.6%
 
6.75%
96.00%
  
   
 
      
 
  
 
 
  
 
 
  
Ventura
  
700
1.3%
  
2,500
1.2%
  
7,000
2.5%
  
4.50%
95.50%
  
Los Angeles
  
9,200
0.6%
  
10,000
0.5%
  
60,000
1.5%
  
4.25%
96.00%
  
Orange
  
4,000
0.8%
  
4,500
0.7%
  
27,000
1.8%
  
5.50%
96.00%
  
San Diego
  
4,800
1.2%
  
9,000
1.3%
  
24,000
1.9%
  
3.00%
95.50%
  
So. Cal.
 
18,700
0.8%
 
26,000
0.8%
 
118,000
1.6%
 
4.50%
95.75%
  
                           
All data is an Essex Forecast
                      
                           
U.S. Economic Assumptions: G.D.P. - 3.75% Growth, Jobs - 1.7% Growth
          
                           
* New Residential Supply: represents Essex's internal estimate of actual deliveries during the year, which are
        
related to but can differ from the 12 Month trailing Permit Levels reported on New Residential Supply schedule.
       
                           
** Job Forecast/Performance refers to the difference between Total Non-Farm Industry Employment (not
       
Seasonally Adjusted) projected through December 2006 over the comparable actual figures for December 2005. The first
     
column represents the current Essex forecast of the increase in Total Non-Farm Industry Employment. The second column
   
represents these forecasted new jobs as a percent of the December 2005 base.
         
                           
***The Forecast Market Conditions represents Essex's estimates of the Change in Rents/Occupancy Rates at the
      
end of 2006. The Estimated Year-over-Year Rent Growth represents the forecast change in Effective Market Rents for
     
December 2006 vs.December 2005 (where Market refers to the entire MSA apartment market, NOT the Essex portfolio).
   
The estimated Year-End Occupancy represents Essex's forecast of Market Occupancy Rates for December 2006.