8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

Current Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): December 31, 2009

ESSEX PROPERTY TRUST, INC.

(Exact Name of Registrant as Specified in its Charter)

001-13106

(Commission File Number)

Maryland	77-0369576
(State or Other Jurisdiction of Incorporation)	(I.R.S. Employer Identification No.)

925 East Meadow Drive, Palo Alto, California 94303

(Address of principal executive offices) (Zip Code)

(650) 494-3700

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

£ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

£ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

£ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

£ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition

On February 4, 2010, Essex Property Trust, Inc. (the “Company”) issued a press release announcing the Company’s earnings for the quarter and full year ended December 31, 2009. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated by reference herein in its entirety.

The information in this report (including Exhibits 99.1 and 99.2) is being furnished pursuant to Item 2.02 and shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act.

Item 9.01. Financial Statements and Exhibits.

(a) - (b) Not applicable.

(c) Exhibits.

The exhibits listed below are being furnished with this Form 8-K.

99.1 Press Release issued by Essex Property Trust, Inc. dated February 4, 2010

99.2 Supplemental Information

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Essex Property Trust

/s/ Michael T. Dance

Name: Michael T. Dance

Title: Executive Vice President & Chief Financial Officer

Date: February 4, 2010

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release issued by Essex Property Trust, Inc. dated February 4, 2010
99.2	Supplemental Information

EX-99.1

for immediate release

Nicole Culbertson

(650) 849-1649

Essex Announces Fourth Quarter 2009 Earnings Results

Palo Alto, California – February 4, 2010 - Essex Property Trust, Inc. (NYSE:ESS) announces its fourth quarter 2009 earnings results and related business activities.

Funds from Operations (“FFO”) for the quarter ended December 31, 2009, totaled $35.8 million, or $1.16 per diluted share compared to $43.6 million, or $1.52 per diluted share for the quarter ended December 31, 2008.  For the year ended December 31, 2009, the Company’s FFO totaled $200.4 million or $6.74 per diluted share compared to $167.5 million or $6.02 per diluted share for the year ended December 31, 2008, which represents an 11.8% increase from 2008.

The Company’s FFO, excluding non-recurring items, totaled $37.3 million, or $1.21 per diluted share for the quarter ended December 31, 2009, compared to $40.8 million, or $1.42 per diluted share for the quarter ended December 31, 2008.  A reconciliation of FFO for non-recurring items can be found on page S-3 in the Company’s Supplemental Financial Information package.  The following non-recurring items impacted the Company’s fourth quarter results for 2009 and 2008:

· In 2009, the Company repurchased $95.5 million of its exchangeable bonds, and recognized a loss of $1.4 million.

· In 2009 and 2008, the Company recorded severance charges of $0.6 million and $0.7 million, respectively, related to workforce reduction.

· In 2009, the Company repurchased $1.5 million of its Series G Cumulative Convertible Preferred Stock at a discount to carrying value, and the excess of the carrying value over the cash paid to redeem the Series G stock totaled $0.4 million.

· In 2008, the Company repurchased $53.3 million of its exchangeable bonds, and recognized a gain of $4.0 million.

· In 2008, the Company recorded a loan loss reserve of $0.7 million on a note receivable.

Net income available to common stockholders for the quarter and year ended December 31, 2009 totaled $6.8 million or $0.24 per diluted share and $82.2 million or $2.91 per diluted share, respectively, compared to $18.0 million, or $0.68 per diluted share and $52.9 million or $2.09 per diluted share for the quarter and year ended December 31, 2008, respectively.

Same-Property Operations

Same-property operating results exclude properties that do not have comparable results.  The table below illustrates the percentage change in same-property revenues, operating expenses, and net operating income (“NOI”) for the quarter and year ended December 31, 2009 compared to December 31, 2008:

	Q4 2009 compared to Q4 2008									YTD 2009 compared to YTD 2008
	Revenues			Expenses			NOI			Revenues			Expenses			NOI
Southern California		-4.5	%		7.3	%		-10.0	%		-2.9	%		3.2	%		-5.8	%
Northern California		-7.4	%		-2.3	%		-9.9	%		-1.9	%		-3.0	%		-1.3	%
Seattle Metro		-11.0	%		2.7	%		-18.0	%		-4.0	%		3.6	%		-7.9	%
Same-property average		-6.5	%		3.5	%		-11.3	%		-2.8	%		1.3	%		-4.8	%

925 East Meadow Drive Palo Alto California 94303 telephone 650 494 3700 facsimile 650 494 8743

www.essexpropertytrust.com

The table below illustrates the sequential percentage change in same-property revenues, expenses, and NOI for the quarter ended December 31, 2009 versus the quarter ended September 30, 2009:

	Q4 2009 compared to Q3 2009
	Revenues			Expenses			NOI
Southern California		-0.7	%		2.9	%		-2.6	%
Northern California		-1.6	%		-3.0	%		-0.8	%
Seattle Metro		-2.8	%		-4.1	%		-1.9	%
Same-property average		-1.3	%		-0.2	%		-1.9	%

Same-property financial occupancies for the quarters ended are as follows:

	12/31/09			9/30/09			12/31/08
Southern California		97.1	%		96.6	%		95.9	%
Northern California		97.8	%		97.6	%		97.6	%
Seattle Metro		97.6	%		97.1	%		97.1	%
Same-property average		97.4	%		97.0	%		96.6	%

Dispositions

During the fourth quarter, the Company sold Maple Leaf, a 48-unit community located in Seattle, Washington for $6.4 million.  The community was acquired in 1997.

acquisitions

In December, the Company acquired DuPont Lofts, a 115-unit condominium development project in Irvine, California for $27.0 million.  The project is 85 percent complete and will require an additional six months of construction and estimated remaining costs of development are $9.1 million, consisting primarily of unit interior finishes.  Following construction, the Company intends to operate the asset as an apartment community.  DuPont Lofts is located a few blocks from John Wayne International Airport, nearby major freeways and local shopping and dining.  All units feature 11-foot ceilings, custom finishes, a washer and dryer and a fireplace.  Community amenities will consist of a fitness center, business center, pool and spa as well as a barbecue area.

Also during the quarter, the Company acquired Regency at Encino, a 75-unit community located in Encino, California for $16.0 million. The community features upgraded appliances and finishes in 51 of the units.  The Company intends to renovate the additional 24 units upon normal resident turnover.  Regency at Encino is centrally located providing easy access to multiple job centers, local dining and shoppingand features a washer and dryer in each unit as well as 9-foot ceilings.

Development

In November, the Company acquired a 3.6 acre site in Dublin, California for $5.0 million.  The land parcel was previously sold for approximately $17.4 million to a third-party, and the Company was able to opportunistically purchase the Dublin site from a commercial bank who acquired the land parcel via foreclosure.   The land parcel is located adjacent to the Dublin Bay Area Rapid Transit (“BART”) station.  The Company intends to pursue entitlements on this land parcel for future development.

Construction of Fourth and U (formerly known as “Fourth Street”), a 171-unit development located in Berkeley, California, is nearing completion as interior finish installation and painting is ongoing.  Initial pre-leasing will commence in the first quarter, and initial occupancy is expected in April 2010.

2

Joule Broadway, a 295-unit development located in Seattle, Washington, is ahead of schedule and the Company anticipates the project will be completed in June instead of September 2010.  Initial pre-leasing will commence in the first quarter, and initial occupancy is expected in April 2010.

Liquidity and Balance Sheet

Common Stock

During the fourth quarter, the Company issued 464,200 shares of common stock at an average price of $84.25 for $38.5 million, net of fees and commissions through the Company’s Controlled Equity Offering Program.  During 2009, the Company has issued 2,740,450 shares of common stock for $198.5 million, net of fees and commissions at an average price of $73.54 per share, and repurchased 350,000 shares for $20.3 million at an average price of $57.89 per share.

Series G Cumulative Convertible Preferred Stock

During the fourth quarter, the Company repurchased $1.5 million of its Series G Cumulative Convertible Preferred Stock, at a discount to carrying value, and the excess of the carrying value over the cash paid to redeem the Series G stock totaled $0.4 million.  During 2009, the Company repurchased $141.6 million of the original $145.9 million issuance at a $50.0 million discount to its carrying value.

Exchangeable Bonds

During the fourth quarter, the Company repurchased $95.5 million of its 3.625% exchangeable bonds, and recognized a loss of $1.4 million.  During 2008 and 2009, the Company has repurchased $220.0 million of the original $225.0 million issuance at a net gain of $8.8 million.

Lines of Credit

In December, the Company entered into a new $200 million unsecured line of credit facility and cancelled the existing $200 million unsecured facility which was to mature in March 2010.  The new unsecured facility has a one year maturity with two one-year extension options, and the underlying interest rate on this unsecured facility is based on a tiered rate structure tied to the Company's corporate ratings and is currently at LIBOR plus 3.00%.

In the fourth quarter, the Company exercised its option to increase the borrowing capacity of the secured line of credit facility from $150 million to $250 million which matures in December 2013.

Guidance

On February 4, 2010, the Company provided 2010 guidance that FFO per diluted share will range from $4.60 - $4.90 and Earnings per Share will range from $0.80 - $1.10 per diluted share.

Conference Call with Management

The Company will host an earnings conference call with management to discuss its quarterly results and 2010 guidance on Friday, February 5, at 11:00 a.m. PST (2:00 p.m. EST), which will be broadcast live via the Internet at www.essexpropertytrust.com, and accessible via phone by dialing (877) 407-4018, no passcode is necessary.

A rebroadcast of the live call will be available online for 90 days and digitally for 7 days. To access the replay online, go to www.essexpropertytrust.com and select the third quarter earnings link.  To access the replay digitally, dial (877) 660-6853 using the Account Code - 3055 and the Conference ID - 341967. If you are unable to access the information via the Company’s website, please contact the Investor Relations department at investors@essexpropertytrust.com or by calling (650) 494-3700.

3

Corporate Profile

Essex Property Trust, Inc., located in Palo Alto, California and traded on the New York Stock Exchange (NYSE:ESS), is a fully integrated real estate investment trust (“REIT”) that acquires, develops, redevelops, and manages apartment communities located in highly desirable, supply-constrained markets. Essex currently has ownership interests in 133 apartment communities (27,248 units), and has 581 units in various stages of development.

This press release and accompanying supplemental financial information will be filed electronically on Form 8-K with the Securities and Exchange Commission and can be accessed from the Company’s Web site at www.essexpropertytrust.com. If you are unable to obtain the information via the Web, please contact the Investor Relations Department at (650) 494-3700.

Funds from Operations (“FFO”) Reconciliation

FFO, as defined by the National Association of Real Estate Investment Trusts (“NAREIT”) is generally considered by industry analysts as an appropriate measure of performance of an equity REIT. Generally, FFO adjusts the net income of equity REITs for non-cash charges such as depreciation and amortization of rental properties, gains/losses on sales of real estate and extraordinary items. Management considers FFO to be a useful financial performance measurement of an equity REIT because, together with net income and cash flows, FFO provides investors with an additional basis to evaluate the performance and ability of a REIT to incur and service debt and to fund acquisitions and other capital expenditures and ability to pay dividends.

FFO does not represent net income or cash flows from operations as defined by generally accepted accounting principles (“GAAP”) and is not intended to indicate whether cash flows will be sufficient to fund cash needs. It should not be considered as an alternative to net income as an indicator of the REIT's operating performance or to cash flows as a measure of liquidity. FFO does not measure whether cash flow is sufficient to fund all cash needs including principal amortization, capital improvements and distributions to shareholders. FFO also does not represent cash flows generated from operating, investing or financing activities as defined under GAAP. Management has consistently applied the NAREIT definition of FFO to all periods presented. However, there is judgment involved and other REITs’ calculation of FFO may vary from the NAREIT definition for this measure, and thus their disclosures of FFO may not be comparable to Essex’s calculation.

The following table sets forth the Company’s calculation of FFO for the three and twelve months ended December 31, 2009 and 2008.

	Three Months Ended						Year Ended
	December 31,						December 31,
Funds from Operations (In thousands)	2009			2008			2009			2008
Net income available to common stockholders	$	6,781		$	17,954		$	82,200		$	52,899
Adjustments:
Depreciation and amortization		30,349			28,296			118,522			113,294
Gains not included in FFO, net of disposition costs		(2,852	)		(5,356	)		(7,943	)		(7,849	)
Noncontrolling interest and co-investments		1,510			2,733			7,607			9,181
Funds from Operations	$	35,788		$	43,627		$	200,386		$	167,525

SAFE HARBOR STATEMENT UNDER THE PRIVATE LITIGATION REFORM ACT OF 1995:

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.  Such forward-looking statements include statements under the caption “Guidance” with respect to 2010 FFO per diluted share, and statements and estimates set forth under the captions “Acquisitions” and “Development” on page 2 of this press release, the captions “Development Pipeline” and “Redevelopment Pipeline” and on pages S-9 and S-10 of the Company’s Supplemental Financial Information Package regarding estimated costs of property development, and redevelopments and the anticipated timing of the construction start, construction completion, initial occupancy, and stabilization of property developments and redevelopments.  The Company's actual results may differ materially from those projected in such forward-looking statements.  Factors that might cause such a difference include, but are not limited to, changes in market demand for rental units and the impact of competition and competitive pricing, changes in economic conditions, unexpected delays in the development and stabilization of development and redevelopment projects, unexpected difficulties in leasing of development and redevelopment projects, total costs of renovation and development investments exceeding our projections and other risks detailed in the Company's filings with the Securities and Exchange Commission (SEC).  All forward-looking statements are made as of today, and the Company assumes no obligation to update this information.  For more details relating to risk and uncertainties that could cause actual results to differ materially from those anticipated in our forward-looking statements, and risks to our business in general, please refer to our SEC filings, including our most recent Report on Form 10-K for the year ended December 31, 2008.

4

EX-99.2

Exhibit 99.2

Fourth Quarter 2009

Supplemental Financial Information

In the fourth quarter, the Company acquired Regency at Encino, a 75-unit community located in Encino, California for $16 million. The property features several units with upgraded appliances, countertops, cabinets, crown molding, and flooring. Community amenities include a pool and spa and secure access for residents. Additionally, the property is conveniently located close to multiple job centers and local shopping and dining.

Table of Contents

	Page
Consolidated Operating Results	S-1 – S-2
Consolidated Funds From Operations	S-3
Consolidated Balance Sheets	S-4
Debt Summary	S-5
Capitalization	S-6
Property Operating Results – Quarter ended December 31, 2009 and 2008	S-7
Property Operating Results –Year ended December 31, 2009 and 2008	S-7.1
Revenue by County – Quarters ended December 31, 2009, December 31, 2008 and September 30, 2009	S-8
Revenue by County –Year ended December 31, 2009 and 2008	S-8.1
Development Pipeline	S-9
Redevelopment Pipeline	S-10
Co-Investments	S-11
Summary of Consolidated Co-Investments and Noncontrolling Interest	S-12
Income from Discontinued Operations and Selected Financial Data	S-13
New Residential Supply Data	S-14
Market Forecast (Supply, Jobs and Apartment Market Conditions)	S-15
Exhibit A - Property List by Region	1 - 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						Twelve Months Ended
(Dollars in thousands, except per share amounts)	December 31,						December 31,
	2009			2008			2009			2008
Revenues:
Rental and other property	$	100,004		$	103,711		$	407,064		$	403,268
Management and other fees from affiliates		948			1,201			4,325			5,166
		100,952			104,912			411,389			408,434
Expenses:
Property operating		36,645			34,090			139,711			132,417
Depreciation and amortization		30,315			28,000			118,027			109,701
Interest		22,336			22,046			86,016			85,063
General and administrative		5,569			7,324			23,704			26,984
Impairment and other charges		550			1,350			17,442			1,350
		95,415			92,810			384,900			355,515
Earnings from operations		5,537			12,102			26,489			52,919
Interest and other income		3,519			3,295			13,040			11,337
Equity income in co-investments		5			495			670			7,820
Gain (loss) on early retirement of debt		(1,374	)		3,997			4,750			3,997
Gain on sale of real estate		-			2,132			103			4,578
Income before discontinued operations		7,687			22,021			45,052			80,651
Income from discontinued operations		2,913			3,943			8,687			3,744
Net income		10,600			25,964			53,739			84,395
Net income attributable to noncontrolling interest		(3,647	)		(5,700	)		(16,631	)		(22,255	)
Net income attributable to controlling interest		6,953			20,264			37,108			62,140
Dividends to preferred stockholders		(549	)		(2,310	)		(4,860	)		(9,241	)
Excess of the carrying amount of preferred stock redeemed over the cash paid to redeem preferred stock		377			-			49,952			-
Net income available to common stockholders	$	6,781		$	17,954		$	82,200		$	52,899
Net income per share - basic	$	0.24		$	0.69		$	3.01		$	2.10
Net income per share - diluted	$	0.24		$	0.68		$	2.91		$	2.09

 See Company's 10-K and 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						Twelve Months Ended
Selected Line Item Detail	December 31,						December 31,
(Dollars in thousands)	2009			2008			2009			2008
Rental and other property
Rental	$	93,276		$	97,479		$	380,285		$	380,003
Other property		6,728			6,232			26,779			23,265
Rental and other property	$	100,004		$	103,711		$	407,064		$	403,268
Management and other fees from affiliates
Management	$	882		$	822		$	3,505		$	3,217
Development and redevelopment		66			379			820			1,949
Management and other fees from affiliates	$	948		$	1,201		$	4,325		$	5,166
Property operating expenses
Maintenance and repairs	$	8,390		$	7,628		$	30,543		$	28,862
Real estate taxes		9,524			8,496			36,772			33,107
Utilities		6,828			6,556			26,673			26,173
Administrative		8,918			8,548			33,591			33,378
Management fees and insurance		2,985			2,862			12,132			10,897
Property operating expenses	$	36,645		$	34,090		$	139,711		$	132,417
General and administrative
General and administrative	$	8,925		$	10,932		$	37,319		$	41,403
Allocated to property operating expenses - administrative		(2,462	)		(2,238	)		(9,817	)		(9,014	)
Capitalized to real estate		(894	)		(1,370	)		(3,798	)		(5,405	)
Net general and administrative	$	5,569		$	7,324		$	23,704		$	26,984
Interest and other income
Interest and other income, net	$	3,519		$	1,469		$	11,841		$	4,811
Lease income, net		-			1,826			185			6,526
Gain from sale of marketable securities		-			-			1,014			-
Interest and other income	$	3,519		$	3,295		$	13,040		$	11,337
Noncontrolling interest
Limited partners of Essex Portfolio, L.P.	$	585		$	1,919		$	4,225		$	6,404
DownREIT limited partners' distributions		1,099			1,108			4,431			4,484
Perpetual preferred distributions		1,575			2,231			6,300			9,909
Third-party ownership interest		388			442			1,675			1,458
Noncontrolling interest	$	3,647		$	5,700		$	16,631		$	22,255

 See Company's 10-K and 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									Twelve Months Ended
(Dollars in thousands, except share and per share amounts)	December 31,									December 31,
	2009			2008			% Change			2009			2008			% Change
Funds from operations
Net income available to common stockholders	$	6,781		$	17,954					$	82,200		$	52,899
Adjustments:
Depreciation and amortization		30,349			28,296						118,522			113,294
Gains not included in FFO, net of disposition costs (1)		(2,852	)		(5,356	)					(7,943	)		(7,849	)
Noncontrolling interest and co-investments (2)		1,510			2,733						7,607			9,181
Funds from operations	$	35,788		$	43,627					$	200,386		$	167,525
FFO per share-diluted	$	1.16		$	1.52			-23.9	%	$	6.74		$	6.02			11.8	%
Components of the change in FFO
Non-recurring items:
(Gain) loss on early retirement of debt		1,374			(3,997	)					(4,750	)		(3,997	)
Severance payments		550			700						550			700
Redemption of Series G preferred stock at a discount		(377	)		-						(49,952	)		-
Impairment of development projects		-			-						12,428			-
Cancellation of Outperformance Plan		-									3,808			-
Loan loss reserves		-			650						620			650
Write-off of deferred charges		-			-						-			245
Gain on sales of marketable securities		-			-						(1,014	)		-
Income generated from TRS activities		-			(147	)					(588	)		(147	)
Joint venture - preferred interest		-			-						-			(6,318	)
Funds from operations excluding non-recurring items		37,335			40,833						161,488			158,658
FFO excluding non-recurring items per share-diluted	$	1.21		$	1.42			-15.2	%	$	5.43		$	5.71			-4.8	%
Changes in recurring items:
Same-property NOI	$	(6,874	)							$	(11,491	)
Non-same property NOI		612									7,993
Management and other fees from affiliates		(253	)								(841	)
Interest and other income		224									101
Interest expense		(290	)								(953	)
Dividends to preferred stockholders		1,761									4,381
General and administrative		1,755									3,280
Other items, net		(433	)								360
	$	(3,498	)							$	2,830
Weighted average number of shares outstanding diluted (3)		30,893,169			28,663,993						29,746,614			27,807,946

(1) Internal disposition costs relate to a disposition incentive program established to pay incremental bonuses for the sale of certain of the Company's communities that are part of the program.

(2) Amount includes the following adjustments for the three and twelve months ended December 31, 2009: (i) noncontrolling interest related to Operating Partnership units totaling $0.6 million and $4.2 million, respectively, (ii) add back depreciation from unconsolidated co-investments and less depreciation attributable to third party ownership of consolidated co-investments totaling $0.9 million and $3.4 million, respectively.

(3) 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-K and 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)
	December 31, 2009			December 31, 2008
Real Estate:
Land and land improvements	$	684,955		$	683,876
Buildings and improvements		2,727,975			2,595,912
		3,412,930			3,279,788
Less:  accumulated depreciation		(749,464	)		(640,026	)
		2,663,466			2,639,762
Real estate under development		274,965			272,273
Co-investments		70,783			76,346
		3,009,214			2,988,381
Cash and cash equivalents		37,934			54,719
Marketable securities		134,844			23,886
Funds held by 1031 exchange facilitator		-			21,424
Notes and other receivables		36,305			47,637
Other assets		36,340			28,776
Total assets	$	3,254,637		$	3,164,823
Mortgage notes payable	$	1,603,549		$	1,468,931
Lines of credit		239,000			120,000
Exchangeable bonds		4,893			165,457
Cash flow hedge liabilities		30,156			73,129
Other liabilities		99,149			105,396
Total liabilities		1,976,747			1,932,913
Series G cumulative convertible preferred stock, carrying value		4,349			145,912
Stockholders' equity and noncontrolling interest:
Common stock		3			3
Series F cumulative redeemable preferred stock, liquidation value		25,000			25,000
Additional paid-in-capital		1,275,251			1,043,984
Distributions in excess of accumulated earnings		(222,952	)		(141,336	)
Accumulated other comprehensive (loss) income		(24,206	)		(75,424	)
Total stockholders' equity		1,053,096			852,227
Noncontrolling interest		220,445			233,771
Total stockholders' equity and noncontrolling interest		1,273,541			1,085,998
Total liabilities and equity	$	3,254,637		$	3,164,823

 See Company's 10-K and 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 - December 31, 2009

(Dollars in thousands)

	Percentage of Total Debt		Balance Outstanding		Weighted Average Interest Rate		Weighted Average Maturity In Years
Mortgage notes payable
Fixed rate - secured	73	%	$	1,351,953	6.1	%	5.6
Variable rate - secured (1)	14	%		251,596	2.1	%	19.5
Total mortgage notes payable	87	%		1,603,549	5.5	%	7.8
Exchangeable bonds - unsecured (2)	0	%		4,893	5.8	%
Line of credit - secured (3)	12	%		229,000	1.6	%
Line of credit - unsecured (4)	1	%		10,000	3.4	%
Total lines of credit	13	%		239,000	1.7	%
Total debt	100	%	$	1,847,442	5.0	%
					Weighted
Scheduled principal payments (excludes lines of credit)					Average
					Interest Rate
	2010	(2)	$	160,762	7.6	%
	2011			174,107	5.7	%
	2012			31,303	5.4	%
	2013			188,882	5.8	%
	2014			62,272	7.3	%
Thereafter				991,116	4.8	%
Total			$	1,608,442	5.4	%

Capitalized interest for the three and twelve months ended December 31, 2009 was approximately $2.1 million and $10.5 million, respectively.

(1) $214.1 million of the variable rate debt is tax exempt to the note holders, and $197.1 million of the tax exempt debt is subject to interest rate protection agreements.

(2) Exchangeable bonds mature in November 2025, but the bonds are subject to a repurchase for cash at the option of the holder on November 1, 2010. The pay rate on the bonds is 3.625%, and effective January 2009 in accordance with the accounting pronouncement for convertible debt, the bonds have been discounted to yield 5.75%.  This is an unsecured obligation of the operating partnership, and is fully and unconditionally guaranteed by the Company.

(3) Secured line of credit facility is $250 million and matures in December 2013.  This line is secured by eleven of the Company's apartment communities and the underlying interest rate is currently the Freddie Mac Reference Rate plus .99% to 1.50%.

(4) Unsecured line of credit facility is $200 million and matures in December 2010 with two one-year extensions, exercisable at the Company's option.  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 3.00%.

 See Company's 10-K and 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 - December 31, 2009
(Dollars and shares in thousands, except per share amounts)
Total debt	$	1,847,442
Common stock and potentially dilutive securities
Common stock outstanding		28,850
Limited partnership units (1)		2,398
Options-treasury method		51
Total common stock and potentially dilutive securities		31,299		shares
Common stock price per share as of December 31, 2009	$	83.65
Market value of common stock and potentially dilutive securities	$	2,618,161
Preferred units/stock	$	111,514
Total equity capitalization	$	2,729,675
Total market capitalization	$	4,577,117
Ratio of debt to total market capitalization		40.4	%

(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-K and 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 December 31, 2009 and 2008
(Dollars in thousands)
	Southern California									Northern California									Seattle Metro									Other real estate assets (1)				Total
	2009			2008			% Change			2009			2008			% Change			2009			2008			% Change			2009		2008		2009			2008			% Change
Revenues:
Same-property revenue	$	45,054		$	47,196			-4.5	%	$	25,250		$	27,264			-7.4	%	$	13,787		$	15,485			-11.0	%	$	-	$	-	$	84,091		$	89,945			-6.5	%
Non-same property revenue (2)		6,064			5,078						4,887			3,840						3,174			3,498						1,788		1,350		15,913			13,766
Total Revenues	$	51,118		$	52,274					$	30,137		$	31,104					$	16,961		$	18,983					$	1,788	$	1,350	$	100,004		$	103,711
Property operating expenses:
Same-property operating expenses	$	16,068		$	14,977			7.3	%	$	8,876		$	9,087			-2.3	%	$	5,389		$	5,249			2.7	%	$	-	$	-	$	30,333		$	29,313			3.5	%
Non-same property operating expenses (2)		2,127			1,790						1,949			1,253						1,383			1,218						853		516		6,312			4,777
Total property operating expenses	$	18,195		$	16,767					$	10,825		$	10,340					$	6,772		$	6,467					$	853	$	516	$	36,645		$	34,090
Net operating income (NOI):
Same-property NOI	$	28,986		$	32,219			-10.0	%	$	16,374		$	18,177			-9.9	%	$	8,398		$	10,236			-18.0	%	$	-	$	-	$	53,758		$	60,632			-11.3	%
Non-same property NOI (2)
Redevelopment communities		3,000			3,233						2,021			2,335						1,088			1,365						-		-		6,109			6,933
Acquired communities		180			54						312			320						703			915						-		-		1,195			1,289
Development communities		757			1						605			(68	)					-			-						-		-		1,362			(67	)
Other real estate assets (1)		-			-						-			-						-			-						935		834		935			834
Total non-same property NOI		3,937			3,288						2,938			2,587						1,791			2,280						935		834		9,601			8,989
Total NOI	$	32,923		$	35,507					$	19,312		$	20,764					$	10,189		$	12,516					$	935	$	834	$	63,359		$	69,621
Same-property operating margin		64	%		68	%					65	%		67	%					61	%		66	%									64	%		67	%
Same-property turnover percentage		50	%		49	%					42	%		47	%					39	%		47	%									45	%		48	%
Same-property concessions	$	307		$	292					$	172		$	112					$	80		$	78									$	559		$	482
Average same-property concessions per turn (3)	$	234		$	219					$	295		$	170					$	193		$	155									$	242		$	193
Reconciliation of apartment units at end of period
Same-property apartment units		10,953									5,615									4,292													20,860
Consolidated apartment units		12,339			12,500						6,695			6,457						5,249			5,338										24,283			24,295
Joint venture		748			480						1,575			1,575						642			642										2,965			2,697
Under development		115			268						171			693						295			295										581			1,256
Total apartment units at end of period		13,202			13,248						8,441			8,725						6,186			6,275										27,829			28,248
Percentage of total		48	%		47	%					30	%		31	%					22	%		22	%									100	%		100	%
Average same-property financial occupancy		97.1	%		95.9	%					97.8	%		97.6	%					97.6	%		97.1	%									97.4	%		96.6	%

(1) Other real estate assets consists mainly of retail space, commercial properties, and boat slips and their operating results are classified in non-same property results.  The Hollywood commercial property's operations are classified in other real assets for 2009 due to the extension of a three year lease with the tenant, operations for 2008 are classified in interest and other income.

(2) Includes properties which subsequent to October 1, 2008 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.

 See Company's 10-K and 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

Property Operating Results - Year ended December 31, 2009 and 2008
(Dollars in thousands)
	Southern California									Northern California									Seattle Metro									Other real estate assets (1)				Total
	2009			2008			% Change			2009			2008			% Change			2009			2008			% Change			2009		2008		2009			2008			% Change
Revenues:
Same-property revenue	$	183,246		$	188,807			-2.9	%	$	104,316		$	106,301			-1.9	%	$	58,041		$	60,430			-4.0	%	$	-	$	-	$	345,603		$	355,538			-2.8	%
Non-same property revenue (2)		23,588			18,887						17,344			13,585						13,229			9,918						7,300		5,340		61,461			47,730
Total Revenues	$	206,834		$	207,694					$	121,660		$	119,886					$	71,270		$	70,348					$	7,300	$	5,340	$	407,064		$	403,268
Property operating expenses:
Same-property operating expenses	$	61,172		$	59,255			3.2	%	$	35,219		$	36,319			-3.0	%	$	21,362		$	20,623			3.6	%	$	-	$	-	$	117,753		$	116,197			1.3	%
Non-same property operating expenses (2)		7,863			6,305						6,089			5,039						5,094			3,111						2,912		1,765		21,958			16,220
Total property operating expenses	$	69,035		$	65,560					$	41,308		$	41,358					$	26,456		$	23,734					$	2,912	$	1,765	$	139,711		$	132,417
Net operating income (NOI):
Same-property NOI	$	122,074		$	129,552			-5.8	%	$	69,097		$	69,982			-1.3	%	$	36,679		$	39,807			-7.9	%	$	-	$	-	$	227,850		$	239,341			-4.8	%
Non-same property NOI (2)
Redevelopment communities		12,368			12,675						8,969			8,067						4,575			5,398						-		-		25,912			26,140
Acquired communities		438			90						1,263			547						3,560			1,409						-		-		5,261			2,046
Development communities		2,919			(183	)					1,023			(68	)					-			-						-		-		3,942			(251	)
Other real estate assets (1)		-			-						-			-						-			-						4,388		3,575		4,388			3,575
Total non-same property NOI		15,725			12,582						11,255			8,546						8,135			6,807						4,388		3,575		39,503			31,510
Total NOI	$	137,799		$	142,134					$	80,352		$	78,528					$	44,814		$	46,614					$	4,388	$	3,575	$	267,353		$	270,851
Same-property operating margin		67	%		69	%					66	%		66	%					63	%		66	%									66	%		67	%
Same-property turnover percentage		59	%		53	%					54	%		53	%					55	%		58	%									57	%		54	%
Same-property concessions	$	1,316		$	1,336					$	605		$	662					$	349		$	302									$	2,270		$	2,300
Average same-property concessions per turn (3)	$	212		$	228					$	202		$	223					$	147		$	121									$	196		$	203
Average same-property financial occupancy		96.6	%		95.6	%					97.7	%		97.4	%					97.2	%		96.7	%									97.0	%		96.3	%

(1) Other real estate assets consists mainly of retail space, commercial properties, and boat slips and their operating results are classified in non-same property results.  The Hollywood commercial property's operations are classified in other real assets for 2009 due to the extension of a three year lease with the tenant, operations for 2008 are classified in interest and other income.

(2) Includes properties which subsequent to January 1, 2008 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.

 See Company's 10-K and 10-Q for additional disclosures

S-7.1

E S S E X  P R O P E R T Y  T R U S T, I N C.

Revenue by County - Quarters ended December 31, 2009, December 31, 2008 and September 30, 2009
(Dollars in thousands)
			Average Property Rental Rates							December 31, 2009					December 31, 2008
Region	Units		QTD 2009		QTD 2008		% Change			Property Revenue		Financial Occupancy			Property Revenue		Financial Occupancy			Property Revenue % Change			Property Revenue Q3 2009		Sequential % Change
Southern California
Ventura County		2,898	$	1,284	$	1,366		-6.0	%	$	11,470		97.2	%	$	12,126		96.8	%		-5.4	%	$	11,530		-0.5	%
Los Angeles County		2,754		1,602		1,732		-7.5	%		13,471		96.8	%		14,065		94.2	%		-4.2	%		13,679		-1.5	%
Orange County		2,037		1,427		1,533		-6.9	%		8,842		97.0	%		9,527		97.1	%		-7.2	%		8,963		-1.3	%
San Diego County		2,641		1,100		1,132		-2.8	%		8,933		97.3	%		9,255		97.7	%		-3.5	%		8,912		0.2	%
Santa Barbara County		347		1,624		1,649		-1.5	%		1,725		99.2	%		1,569		89.0	%		9.9	%		1,662		3.8	%
Riverside County		276		724		791		-8.5	%		613		94.9	%		654		89.7	%		-6.3	%		616		-0.5	%
Total same-property		10,953		1,343		1,427		-5.9	%		45,054		97.1	%		47,196		95.9	%		-4.5	%		45,362		-0.7	%
Non-same property		1,386		1,423							6,064					5,078
Northern California
San Francisco MSA		175		1,826		1,864		-2.0	%		969		98.0	%		959		94.6	%		1.0	%		949		2.1	%
Santa Clara County		2,058		1,525		1,686		-9.5	%		9,577		98.0	%		10,640		98.1	%		-10.0	%		9,845		-2.7	%
Alameda County		760		1,205		1,298		-7.2	%		2,903		97.9	%		3,104		97.0	%		-6.5	%		2,915		-0.4	%
San Mateo County		768		1,568		1,682		-6.8	%		3,702		97.3	%		3,968		97.6	%		-6.7	%		3,790		-2.3	%
Contra Costa County		1,720		1,433		1,521		-5.8	%		7,573		97.7	%		8,036		97.6	%		-5.8	%		7,630		-0.7	%
Other		134		1,309		1,387		-5.6	%		526		96.8	%		557		97.2	%		-5.6	%		528		-0.4	%
Total same-property		5,615		1,464		1,581		-7.4	%		25,250		97.8	%		27,264		97.6	%		-7.4	%		25,657		-1.6	%
Santa Clara County		390		1,334							1,614					1,864
Alameda County		594		1,520							2,783					1,492
Other		96		1,698							490					484
Non-same property		1,080		1,468							4,887					3,840
Seattle Metro
Total same-property		4,292		998		1,139		-12.4	%		13,787		97.6	%		15,485		97.1	%		-11.0	%		14,178		-2.8	%
Non-same property		957		1,048							3,174					3,498
Other real estate assets											1,788					1,350
Total same-property revenue		20,860	$	1,304	$	1,409		-7.5	%	$	84,091		97.4	%	$	89,945		96.6	%		-6.5	%	$	85,197		-1.3	%
Total non-same property revenue		3,423	$	1,333						$	15,913				$	13,766

 See Company's 10-K and 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.

Revenue by County - Year ended December 31, 2009 and 2008
(Dollars in thousands)
			Average Property Rental Rates							Year to Date 2009					Year to Date 2008
Region	Units		YTD 2009		YTD 2008		% Change			Property Revenue		Financial Occupancy			Property Revenue		Financial Occupancy			Property Revenue % Change
Southern California
Ventura County		2,898	$	1,316	$	1,381		-4.7	%	$	46,819		96.9	%	$	48,182		95.8	%		-2.8	%
Los Angeles County		2,754		1,652		1,749		-5.5	%		54,988		96.2	%		57,055		94.3	%		-3.6	%
Orange County		2,037		1,470		1,543		-4.7	%		36,320		97.0	%		38,057		96.7	%		-4.6	%
San Diego County		2,641		1,116		1,129		-1.2	%		35,966		97.1	%		36,291		97.1	%		-0.9	%
Santa Barbara County		347		1,623		1,666		-2.6	%		6,665		94.8	%		6,614		92.4	%		0.8	%
Riverside County		276		743		812		-8.5	%		2,488		94.2	%		2,608		89.3	%		-4.6	%
Total same-property		10,953		1,376		1,438		-4.3	%		183,246		96.6	%		188,807		95.6	%		-2.9	%
Non-same property		1,386		1,453							23,588					18,887
Northern California
San Francisco MSA		175		1,830		1,815		0.8	%		3,866		97.2	%		3,812		96.5	%		1.4	%
Santa Clara County		2,058		1,597		1,643		-2.8	%		40,253		98.2	%		41,207		98.0	%		-2.3	%
Alameda County		760		1,252		1,271		-1.5	%		11,948		97.5	%		12,028		96.6	%		-0.7	%
San Mateo County		768		1,621		1,632		-0.7	%		15,307		97.4	%		15,284		97.5	%		0.2	%
Contra Costa County		1,720		1,467		1,526		-3.9	%		30,799		97.3	%		31,790		96.9	%		-3.1	%
Other		134		1,333		1,378		-3.3	%		2,143		96.9	%		2,180		96.7	%		-1.7	%
Total same-property		5,615		1,515		1,554		-2.5	%		104,316		97.7	%		106,301		97.4	%		-1.9	%
Santa Clara County		390		1,415							6,830					6,862
Alameda County		594		1,505							8,584					5,485
Other		96		1,706							1,930					1,238
Non-same property		1,080		1,491							17,344					13,585
Seattle Metro
Total same-property		4,292		1,062		1,124		-5.5	%		58,041		97.2	%		60,430		96.7	%		-4.0	%
Non-same property		957		1,108							13,229					9,918
Other real estate assets											7,300					5,340
Total same-property revenue		20,860	$	1,349	$	1,404		-3.9	%	$	345,603		97.0	%	$	355,538		96.3	%		-2.8	%
Total non-same property revenue		3,423	$	1,368						$	61,461				$	47,730

 See Company's 10-K and 10-Q for additional disclosures

S-8.1

E S S E X P R O P E R T Y T R U S T, I N C.
Development Pipeline - December 31, 2009
(Dollars in millions)
		Estimated Units		Estimated retail sq. feet (1)		Incurred to Date		Remaining Costs		Estimated Total Cost		Construction Start	Construction Complete	Initial Occupancy	Stabilized Operations
Development Projects
Project Name	Location
Fourth & U	Berkeley, CA		171		15,500	$	49.5	$	13.8	$	63.3	Apr-08	Jun-10	Apr-10	Oct-10
Joule Broadway (2)	Seattle, WA		295		29,100		68.1		26.7		94.8	May-08	Jun-10	Apr-10	Feb-11
Tasman Retail Pad and Garage	Sunnyvale, CA		-		14,100		5.4		16.3		21.7	Jul-09	Jun-10	Jun-10	Jun-10
DuPont Lofts	Irvine, CA		115		-		27.2		9.1		36.3	Feb-10	Jun-10	Jun-10	Jan-11
Total- Development Projects			581		58,700		150.2		65.9		216.1
Predevelopment Projects
Project Name	Location
Main Street (3)	Walnut Creek, CA		-		-		-		-		-
Tasman Apts/Retail	Sunnyvale, CA		-		-		-		-		-
Total- Predevelopment Projects			332		62,000		53.7		89.3		143.0
Land Held for Future Development or Sale (4)
Project Name	Location
Cadence Campus	San Jose, CA		769		-		-		-		-
West Dublin	Dublin, CA		309		-		-		-		-
City Centre	Moorpark, CA		200		-		-		-		-
Park Boulevard	Palo Alto, CA		27		-		-		-		-
View Pointe	Newcastle, WA		24		-		-		-		-
Total - Land Held for Future Development or Sale			1,329		-		71.1		-		71.1
Grand Total - Development Pipeline			2,242		120,700	$	275.0	$	155.2	$	430.2

(1) Certain apartment community developments include retail space, and the Company has included the total estimated retail square footage for each development project.

(2) There is a construction loan in place for this development project that provides financing for the majority of the estimated remaining cost to be incurred.

(3) The Company has entered into a joint venture development agreement with a third-party to develop this property.  The Company has a 50% interest in this project.

(4) The Company owns land in various stages of entitlement that is being held for future development or sale.

 See Company's 10-K and 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 Pipeline - December 31, 2009
(Dollars in thousands)
			Total		Estimated		Estimated			NOI
			Incurred		Remaining		Total		Redevelopment	For the year ended				Units
Region/Project Name	Units		To Date		Cost		Cost		Start Date	2009		2008		completed
Approved - Redevelopment Projects (1)
Marina Cove, Santa Clara, CA		292	$	4,410	$	5,448	$	9,858	Jun-07
Active - Redevelopment Projects
Southern California (2)
Avondale at Warner Center, Woodland Hills, CA		446	$	11,550	$	2,520	$	14,070	Oct-04	$	4,671	$	5,254		198
Pathways, Long Beach, CA		296		9,703		1,057		10,760	Jun-06		3,804		3,576		247
Highridge, Rancho Palos Verdes, CA		255		7,386		9,177		16,563	Jan-07		3,893		3,845		13
		997		28,639		12,754		41,393			12,368		12,675		458
Northern California (2)
The Montclaire - Phase I - III, Sunnyvale, CA		390		14,691		441		15,132	Aug-06		4,958		4,665		390
Boulevard, Fremont, CA		172		8,938		-		8,938	Sep-06		1,874		1,470		137
Bridgeport, Newark, CA		184		4,373		213		4,586	Oct-06		2,137		1,932		12
		746		28,002		654		28,656			8,969		8,067		539
Seattle Metro
Foothill Commons, Bellevue, WA		388		20,650		15,688		36,338	Jun-07		2,883		3,333		39
Woodland Commons, Bellevue, WA		236		4,677		7,102		11,779	Jun-07		1,692		2,066		-
		624		25,327		22,790		48,117			4,575		5,399		39
Total Active - Redevelopment Projects		2,367	$	81,968	$	36,198	$	118,166		$	25,912	$	26,141		1,036

(1) This project is approved and redevelopment activity has commenced but as of Q4 2009 the community has stabilized operations, and therefore is classified in same-property operations.

(2) All redevelopment projects located in Southern and Northern California will be classified in same-property operations starting Q1 2010.

 See Company's 10-K and 10-Q for additional disclosures

S-10

E S S E X  P R O P E R T Y  T R U S T, I N C.

Co-investments - December 31, 2009		Essex		Total Fund							Property Revenue for							NOI for the
(Dollars in thousands)		Book		Original			Debt		Maturity		the year ended							year ended
		Value		Cost	Units		Amount		Date		2009		2008		% Change			2009		2008		% Change
Joint Ventures
Essex Apartment Value Fund II, L.P. (Fund II) (1)
Southern California
Parcwood, Corona, CA						312	$	24,449	Dec-2013
Renaissance, Los Angeles, CA						168		22,641	May-2011
Total Southern California						480		47,090			$	8,038	$	8,377		-4.0	%	$	4,785	$	5,239		-8.7	%
Northern California
Alderwood Park, Newark, CA						96		6,846	Jun-2015
Carlmont Woods, Belmont, CA						195		12,453	Dec-2013
Davey Glen, Belmont, CA						69		6,654	Aug-2016
Enclave, San Jose, CA						637		17,653	Jan-2018
Enclave, San Jose, CA								60,000	Dec-2029
Harbor Cove, Foster City, CA						400		33,580	Dec-2013
Regency Tower, Oakland, CA						178		10,683	Mar-2014
Total Northern California						1,575		147,869				27,678		28,418		-2.6	%		17,547		17,771		-1.3	%
Seattle Metro
Echo Ridge, Snoqualmie, WA						120		12,813	Sep-2014
Morning Run, Monroe, WA						222		13,258	Oct-2014
Tower @ 801, Seattle, WA						173		18,654	Aug-2014
Total Seattle Metro						515		44,725				7,746		8,186		-5.4	%		4,527		5,003		-9.5	%
Total - Operating Communities						2,570		239,684			$	43,462	$	44,981		-3.4	%	$	26,859	$	28,013		-4.1	%
Fund II - New Development
Eastlake 2851, Seattle, WA (initial occupancy May 2008)						127		17,520	Jan-2011	(2)
Studio 40-41, Studio City, CA (initial occupancy April 2009)						149		35,923	Apr-2010	(3)
Cielo, Chatsworth, CA (initial occupancy July 2009)						119		19,732	Jun-2010	(3)
						395		73,175			$	3,739	$	1,106				$	1,892	$	722
Total - Fund II	$	69,563	$	588,404		2,965	$	312,859
Capitalized costs		720
		70,283
Other (4)		500
	$	70,783

(1) The Company has a 28.2% interest as a general partner and limited partner in Fund II, and may earn promote income if Fund II exceeds certain financial return benchmarks.

(2) The construction loan has a one-year extension, exercisable at Fund II's option.

(3) The construction loan has two one-year extensions, exercisable at Fund II's option.

(4) The other co-investment relates to a real estate technology investment.

 See Company's 10-K and 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.

Summary of Consolidated Co-Investments and Noncontrolling Interest - December 31, 2009

(Dollars in thousands)

The Company enters into co-investment transactions with third party developers, owners and investors of apartment communities.  In accordance with GAAP, the Company consolidates certain of these co-investment transactions, resulting in noncontrolling interests corresponding to the ownership interest of the third-party developer, owner or investor.

The following table summarizes the consolidated co-investments and noncontrolling interest:

									Operations for the year ended
	Balance as of December 31, 2009								December 31, 2009
	Investment in		Related		Noncontrolling		DownREIT				Operating
	Real Estate		Debt		Interest		Units (1)		Revenue		Expenses		NOI
Noncontrolling Interest - DownREIT:
Anchor Village	$	13,656	$	10,750	$	2,404		110,133	$	3,074	$	1,260	$	1,814
Barkley Apartments		8,946		17,442		2,322		79,205		2,523		917		1,606
Brentwood		14,731		20,197		2,568		58,884		2,340		725		1,615
Brookside Oaks		33,895		13,651		3,805		96,255		3,042		835		2,207
Capri at Sunny Hills		17,525		18,673		3,930		167,365		2,338		631		1,707
Hidden Valley (2)		38,977		32,240		6,089		62,647		5,183		1,493		3,690
Highridge Apartments		26,384		44,807		5,831		293,733		5,443		1,550		3,893
Montejo Apartments		8,753		5,618		1,216		29,319		1,838		491		1,347
Thomas Jefferson		26,496		19,351		7,067		62,873		2,907		891		2,016
Treehouse Apartments		11,756		7,564		2,951		67,728		2,385		763		1,622
Valley Park Apartments		15,245		9,582		306		43,354		2,830		627		2,203
Villa Angelina Apartments		19,735		12,958		3,003		57,709		3,672		990		2,682
	$	236,099	$	212,833		41,492		1,129,205	$	37,575	$	11,173	$	26,402
Other Components of Noncontrolling Interest:
Hillsdale Garden Apartments (3)	$	112,409		-		22,805			$	13,807	$	5,608	$	8,199
Joint Ventures - Development (4)	$	93,400	$	37,485		4,229
Operating Limited Partnership Units						71,919
Perpetual Preferred Units (5)						80,000
Total Noncontrolling Interest					$	220,445

(1) Represents the number of DownREIT units that are currently outstanding.  Generally, DownREIT units can be redeemed at the holder's election for cash equal to the current price of Essex's common stock.

(2) The Company has a 75% interest in this community and a joint venture partner has a 25% interest.

(3) The Company has an 81.5% interest in this community and the joint venture partner has an 18.5% interest.

(4) The Company consolidates two joint venture developments in which the Company has a 50% and 99% interest, respectively.

(5) Includes Series B Cumulative Redeemable Preferred Units with an existing distribution rate of 7.875% and can be redeemed at the Company's option.

 See Company's 10-K and 10-Q for additional disclosures

S-12

E S S E X  P R O P E R T Y  T R U S T, I N C.

Income From Discontinued Operations and Selected Financial Data - December 31, 2009

(Dollars in thousands)

Income from Discontinued Operations

For the quarter ended December 31, 2009, the Company sold Maple Leaf and for the year ended December 31, 2009, the Company sold Maple Leaf, Carlton Heights, Grand Regency, Mountain View and Spring Lakes apartment communities.  For the quarter ended December 31, 2008, the Company sold Coral Gardens, and for year ended December 31, 2008, the Company sold Coral Gardens, Cardiff by the Sea, and St. Cloud apartment communities.

	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
	2009			2008			2009			2008
Rental revenues	$	120		$	1,651		$	1,991		$	11,526
Property operating expenses		(25	)		(660	)		(752	)		(5,396	)
Interest expense		-			(123	)		-			(2,210	)
Depreciation and amortization		(34	)		(296	)		(495	)		(3,593	)
Income from real estate sold		61			572			744			327
Gain on sale		2,917			3,371			8,626			3,417
Internal disposition costs		(65	)		-			(683	)		-
Income from discontinued operations	$	2,913		$	3,943		$	8,687		$	3,744

Shares Outstanding and Potentially Dilutive Securities

	Q4 2009		Actual		YTD 2009
	Weighted Avg.		As of 12/31/09		Weighted Avg.
Common Shares		28,403,122		28,849,779		27,269,547
Stock Options		43,539		50,609		29,317
Weighted Avg. Shares Diluted - EPS		28,446,661		28,900,388		27,298,864
Operating Limited Partnership Units		2,446,508		2,398,479		2,447,750
Weighted Avg. Shares Diluted - FFO		30,893,169		31,298,867		29,746,614

 See Company's 10-K and 10-Q for additional disclosures

S-13

E S S E X  P R O P E R T Y  T R U S T, I N C
MSA Level Forecasts 2010: Supply, Jobs and Apartment Market Conditions (DRAFT)
	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		3,500		0.9	%		2,500		0.6	%		7,500		0.5	%		-2.5	%		94.00	%
San Francisco		1,900		0.5	%		200		0.1	%		4,000		0.4	%		2.00	%		95.50	%
Oakland		900		0.3	%		1,000		0.2	%		2,000		0.2	%		-2.00	%		94.50	%
San Jose		700		0.3	%		400		0.1	%		4,000		0.5	%		0.00	%		95.00	%
No. Cal.		3,500		0.4	%		1,600		0.1	%		10,000		0.4	%		0.2	%		95.0	%
Ventura		250		0.5	%		200		0.1	%		1,500		0.5	%		2.00	%		94.50	%
Los Angeles		2,600		0.2	%		1,500		0.1	%		15,000		0.4	%		0.00	%		94.50	%
Orange		1,100		0.3	%		500		0.1	%		7,000		0.5	%		2.50	%		94.50	%
San Diego		1,100		0.3	%		1,100		0.2	%		5,000		0.4	%		2.00	%		95.00	%
So. Cal.		5,050		0.2	%		3,300		0.1	%		28,500		0.4	%		1.1	%		94.6	%
Weighted Average****		12,050		0.3	%		7,400		0.1	%		46,000		0.4	%		0.0	%		94.5	%

All data is an Essex Forecast

U.S. Economic Assumptions:  G.D.P.: 2010 vs 2009:  2.5% , Q4 '10 vs Q4 '09: 2.0%, Jobs: Q4 '10 vs Q4 '09  0.4%

* 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 the new residential supply schedule.

** Job Forecast/Performance refers to the difference between Total Non-Farm Industry Employment (not seasonally adjusted) projected through Q4 2010 over the comparable actual figures for Q4 2009.  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 Q4 2009 base.

***The Forecast Market Conditions represents Essex's estimates of the change in rents/occupancy rates for the fourth quarter of 2010.  The estimated year-over-year rent growth represents the forecast change in effective market rents for Q4 2010 vs.Q4 2009 (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 the fourth quarter of 2010.

****Weighted Average: Markets weighted by Units in Essex Portfolio

See Company's 10-K and 10-Q for additional disclosures

S-14

E S S E X  P R O P E R T Y  T R U S T, I N C.
New Residential Supply: Permits as % of Current Stock (12 Month Permit Period: Trailing 12 Months December 2009)
	Single Family Data												Multi-Family Data							All Residential Data
Market	Median SF Price (Q3 2009 est**)		Q2 2009 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
New York PMSA	$	385,400		66	%		760,000		613		0.1	%		2,920,000		4,839		0.2	%		5,452		0.1	%
Chicago	$	210,100		140	%		1,700,000		4,442		0.3	%		1,404,900		1,452		0.1	%		5,894		0.2	%
Miami/Ft. Lauderdale	$	217,000		105	%		717,000		2,272		0.3	%		876,000		1,131		0.1	%		3,403		0.2	%
Nassau-Suffolk	$	385,400		66	%		740,000		974		0.2	%		240,000		1,416		0.3	%		2,390		0.3	%
Boston	$	348,000		99	%		1,530,000		3,054		0.2	%		670,800		2,053		0.6	%		5,107		0.3	%
Philadelphia	$	227,500		122	%		1,532,000		4,857		0.3	%		515,100		1,786		0.3	%		6,643		0.3	%
Minneapolis	$	184,800		170	%		818,000		3,631		0.4	%		351,800		970		0.3	%		4,601		0.4	%
Atlanta	$	129,400		234	%		1,122,000		5,397		0.5	%		467,800		994		0.2	%		6,391		0.4	%
Denver	$	229,100		134	%		582,000		2,709		0.5	%		274,900		1,279		0.5	%		3,988		0.5	%
Baltimore	$	261,100		120	%		797,000		3,110		0.4	%		268,000		1,909		0.7	%		5,019		0.5	%
Portland	$	244,501		215	%		561,000		3,028		0.5	%		225,335		794		0.4	%		3,822		0.5	%
Wash. D.C. PMSA	$	324,700		122	%		1,299,000		9,014		0.7	%		644,300		2,851		0.4	%		11,865		0.6	%
Orlando	$	157,900		156	%		482,000		3,707		0.8	%		201,500		719		0.4	%		4,426		0.6	%
Phoenix	$	142,700		174	%		970,000		8,657		0.9	%		360,500		642		0.2	%		9,299		0.7	%
Las Vegas	$	138,500		171	%		440,000		3,791		0.9	%		215,700		1,622		0.8	%		5,413		0.8	%
Dallas-Ft. Worth	$	150,500		181	%		1,381,000		14,130		1.0	%		650,000		5,773		0.9	%		19,903		1.0	%
Houston	$	160,600		165	%		1,027,000		22,360		2.2	%		547,700		4,709		0.9	%		27,069		1.7	%
Austin	$	189,101		253	%		326,000		6,669		2.0	%		169,900		2,049		1.2	%		8,718		1.8	%
Totals	$	242,040		151	%		16,024,000		101,802		0.6	%		8,084,235		32,149		0.4	%		133,951		0.6	%
Seattle	$	347,700		89	%		656,000		3,684		0.6	%		354,487		1,121		0.3	%		4,805		0.5	%
San Francisco	$	636,100		58	%		368,000		396		0.1	%		344,000		532		0.2	%		928		0.1	%
Oakland	$	385,100		96	%		625,000		1,881		0.3	%		270,000		603		0.2	%		2,484		0.3	%
San Jose	$	566,000		73	%		388,000		622		0.2	%		192,000		426		0.2	%		1,048		0.2	%
Los Angeles	$	299,600		84	%		1,877,000		2,088		0.1	%		1,392,963		2,449		0.2	%		4,537		0.1	%
Ventura	$	366,400		99	%		199,000		207		0.1	%		53,295		83		0.2	%		290		0.1	%
Orange	$	452,700		78	%		628,000		1,300		0.2	%		340,800		673		0.2	%		1,973		0.2	%
San Diego	$	378,100		73	%		664,000		1,777		0.3	%		375,664		1,057		0.3	%		2,834		0.3	%
No Cal	$	502,810		79	%		1,381,000		2,899		0.2	%		806,000		1,561		0.2	%		4,460		0.2	%
So Cal	$	347,570		82	%		3,368,000		5,372		0.2	%		2,162,722		4,262		0.2	%		9,634		0.2	%
ESSEX	$	387,250		82	%		5,405,000		11,955		0.2	%		3,323,208		6,944		0.2	%		18,899		0.2	%

Permits:  single family equals 1 Unit, multi-family equals 5 or more units

Sources:  SF Prices; Economy.com: Permits; Total Residential Stock: U.S. Census, Axiometrics; Mortgage Rates: Freddie Mac; Single Family and multi-family breakdown of total residences: 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.

**Median Home Prices -  Q3 2009 National Association of Realtors, DataQuick, Essex

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 (6.03%).

Median Household Income is estimated from US Census 2004 data and income growth from BEA and population growth from the US Census.

See Company's 10-K and 10-Q for additional disclosures

S-15

	ESSEX PROPERTY TRUST, INC.
	Real Estate Information as of December 31, 2009
						Square	Year	Year	Property	Age of
	Property Name	Address	City	State	Units	Footage	Acquired	Built	Ownership	Property
	APARTMENT COMMUNITIES
	NORTHERN CALIFORNIA
	Santa Clara County
1	Pointe at Cupertino	19920 Olivewood Street	Cupertino	CA	116	135,200	1998	1963	EPLP	46
1	Carlyle, The	2909 Nieman Boulevard	San Jose	CA	132	129,200	2000	2000	EPLP	9
1	Enclave, The	4355 Renaissance Drive	San Jose	CA	637	525,463	2005	1998	Fund II	11
1	Esplanade	350 East Taylor St.	San Jose	CA	278	279,000	2004	2002	EPLP	7
1	Waterford, The	1700 N. First Street	San Jose	CA	238	219,600	2000	2000	EPLP	9
1	Le Parc	440 N. Winchester Avenue	Santa Clara	CA	140	113,200	1994	1975	EPLP	34
1	Marina Cove	3480 Granada Avenue	Santa Clara	CA	292	250,200	1994	1974	EPLP	35
1	Bristol Commons	732 E. Evelyn Avenue	Sunnyvale	CA	188	142,600	1995	1989	EPLP	20
1	Brookside Oaks	1651 Belleville Way	Sunnyvale	CA	170	119,900	2000	1973	DownREIT	36
1	Magnolia Lane	113 South Mary Avenue	Sunnyvale	CA	32	31,541	2007	2001	EPLP	8
1	Montclaire	450 N. Mathilda Avenue	Sunnyvale	CA	390	294,100	1988	1973	EPLP	36
1	Summerhill Park	972 Corte Madera Avenue	Sunnyvale	CA	100	78,500	1988	1988	EPLP	21
	Tasman Place Retail Pad	315 Tasman Drive	Sunnyvale	CA	-	14,100			EPLP
1	Thomas Jefferson	107 South Mary Avenue	Sunnyvale	CA	156	110,824	2007	1969	DownREIT	40
1	Windsor Ridge	825 E. Evelyn Avenue	Sunnyvale	CA	216	161,800	1989	1989	EPLP	20
				11%	3,085	2,591,128
	Alameda County
	Fourth & U	700 University Avenue	Berkeley	CA	171	184,099			EPLP
1	Stevenson Place	4141 Stevenson Blvd.	Fremont	CA	200	146,200	2000	1975	EPLP	34
1	Boulevard	40001 Fremont Blvd.	Fremont	CA	172	131,200	1996	1978	EPLP	31
1	City View	25200 Carlos Bee Blvd.	Hayward	CA	560	462,400	1998	1975	EPLP	34
1	Regency Tower	1130 Third Ave.	Oakland	CA	178	140,900	2005	1975	Fund II	34
1	The Grand	100 Grand Avenue	Oakland	CA	238	205,026	2009	2009	EPLP	-
1	Bridgeport	36826 Cherry Street	Newark	CA	184	139,000	1987	1987	EPLP	22
1	Alderwood Park Apartments	37057 Magnolia Street	Newark	CA	96	74,624	2006	1987	Fund II	22
				6%	1,628	1,094,324
	Contra Costa County
1	San Marcos	2601 Hilltop Drive	Richmond	CA	432	407,600	2003	2003	EPLP	6
1	Bel Air	2000 Shoreline Drive	San Ramon	CA	462	391,000	1995	1988	EPLP	21
1	Foothill Gardens	1110 Harness Drive	San Ramon	CA	132	155,100	1997	1985	EPLP	24
1	Twin Creeks	2711-2731 Morgan Drive	San Ramon	CA	44	51,700	1997	1985	EPLP	24
1	Canyon Oaks	1 Amberstone Lane	San Ramon	CA	250	237,894	2007	2005	EPLP	4
1	Mill Creek at Windermere	2100 Waterstone Place	San Ramon	CA	400	381,060	2007	2005	EPLP	4
				6%	1,720	1,624,354
	San Mateo County
1	Carlmont Woods	2515 Carlmont Drive	Belmont	CA	195	107,200	2004	1971	Fund II	38
1	Harbor Cove	900 E. Hillsdale Blvd.	Foster City	CA	400	306,600	2004	1971	Fund II	38
1	Davey Glen	200 Davey Glen Road	Belmont	CA	69	65,974	2006	1962	Fund II	47
1	Hillsdale Garden	3421 Edison Avenue	San Mateo	CA	697	611,505	2006	1948	JV - 81.5%	61
1	Belmont Terrace	1606 Continetals Way	Belmont	CA	71	72,951	2006	1974	EPLP	35
				6%	1,432	1,164,230
	San Francisco and Marin Counties
1	Mt. Sutro Terrace Apartments	480 Warren Drive	San Francisco	CA	99	64,000	1999	1973	EPLP	36
1	Vista Belvedere	15 Red Hill Circle	Tiburon	CA	76	78,300	2004	1963	EPLP	46
				1%	175	142,300
	Other
1	Tuscana	315 Mt. Oso	Tracy	CA	30	29,088	2007	2007	EPLP	2
1	Harvest Park	2327 Summercreek Drive	Santa Rosa	CA	104	116,628	2007	2004	EPLP	5
1	Chestnut Street Apartments	143 Chestnut Avenue	Santa Cruz	CA	96	87,640	2008	2002	EPLP	7
				1%	230	233,356
37	Total Northern California			30%	8,270	6,849,692				25
	SOUTHERN CALIFORNIA
	Los Angeles County
1	Hampton Court	1136 N. Columbus Avenue	Glendale	CA	83	71,500	1999	1974	EPLP	35
1	Hampton Place	245 W. Loraine Street	Glendale	CA	132	141,500	1999	1970	EPLP	39
1	Marbrisa	1809 Termino Ave.	Long Beach	CA	202	122,800	2002	1987	EPLP	22
1	Pathways	5945 E. Pacific Coast Hwy.	Long Beach	CA	296	197,700	1991	1975	EPLP	34
1	Bunker Hill	222 and 234 S. Figueroa St.	Los Angeles	CA	456	346,600	1998	1968	EPLP	41
1	Cochran Apartments	612 South Cochran	Los Angeles	CA	58	51,400	1998	1989	EPLP	20
1	Kings Road	733 North Kings Road	Los Angeles	CA	196	132,100	1997	1979	EPLP	30
1	Marbella	600 South Detroit Street	Los Angeles	CA	60	50,108	2005	1991	EPLP	18
1	Belmont Station	1302 West 2nd St.	Los Angeles	CA	275	225,000	2009	2009	EPLP	-
1	Park Place	400 S. Detroit Street	Los Angeles	CA	60	48,000	1997	1988	EPLP	21
1	Windsor Court	401 S. Detroit Street	Los Angeles	CA	58	46,600	1997	1988	EPLP	21
1	Renaissance	630 South Masselin Avenue	Los Angeles	CA	168	154,268	2006	1990	Fund II	19
1	Marina City Club	4333 Admiralty Way	Marina Del Rey	CA	101	127,200	2004	1971	EPLP	38
1	Mirabella	13701 Marina Point Drive	Marina Del Rey	CA	188	176,800	2000	2000	EPLP	9
1	Monterra del Mar	280 E. Del Mar Boulevard	Pasadena	CA	123	74,400	1997	1972	EPLP	37
1	Monterra del Rey	350 Madison	Pasadena	CA	84	73,100	1999	1972	EPLP	37
1	Monterra del Sol	280 South Euclid	Pasadena	CA	85	69,200	1999	1972	EPLP	37
1	Fountain Park	13141 Fountain Park Drive	Playa Vista	CA	705	608,900	2004	2002	EPLP	7
1	Highridge	28125 Peacock Ridge Drive	Rancho Palos Verde	CA	255	290,200	1997	1972	DownREIT	37
1	Studio 40-41	4043 Radford Avenue	Studio City	CA	149	127,238	2009	2009	Fund II	-
1	Coldwater Canyon	4250 Codlwater Canyon	Studio City	CA	39	34,125	2007	1979	EPLP	30
1	Walnut Heights	20700 San Jose Hills Road	Walnut	CA	163	146,700	2003	1964	EPLP	45
1	Avondale at Warner Center	22222 Victory Blvd.	Woodland Hills	CA	446	331,000	1999	1970	EPLP	39
				16%	4,382	3,646,439
	Ventura County
1	Camarillo Oaks	921 Paseo Camarillo	Camarillo	CA	564	459,000	1996	1985	EPLP	24
1	Camino Ruiz Square	105 Camino Ruiz	Camarillo	CA	160	105,448	2006	1990	EPLP	19
1	Cielo	9733 Topanga Canyon Blvd	Chatsworth	CA	119	125,400	2009	2009	Fund II	-
1	Regency at Encino	15506 Moorpark Street	Encino	CA	75	78,487	2009	1989	EPLP	20
1	Mariner's Place	711 South B Street	Oxnard	CA	105	77,200	2000	1987	EPLP	22
1	Tierra Vista	1750 Montevina Circle	Oxnard	CA	404	387,100	2001	2001	EPLP	8
1	Monterey Villas	1040 Kelp Lane	Oxnard	CA	122	122,100	1997	1974	EPLP	35
1	Meadowood	1733 Cochran Street	Simi Valley	CA	320	264,500	1996	1986	EPLP	23
1	Hidden Valley	5065 Hidden Park Court	Simi Valley	CA	324	310,900	2004	2004	DownREIT	5
1	Lofts at Pinehurst,The	1021 Scandia Avenue	Ventura	CA	118	71,100	1997	1971	EPLP	38
1	Hillcrest Park	1800 West Hillcrest Drive	Newbury Park	CA	608	521,900	1998	1973	EPLP	36
1	Pinehurst	3980 Telegraph Road	Ventura	CA	28	21,200	2004	1973	EPLP	36
1	Woodside Village	675 Providence Ave.	Ventura	CA	145	136,500	2004	1987	EPLP	22
				11%	3,092	2,680,835

1

	SOUTHERN CALIFORNIA (cont'd)
	Santa Barbara County
1	Chimney Sweep	775 Camino Del Sur Drive	Goleta	CA	91		2006	1967	EPLP	42
1	CBC	6721 El Colegio Drive	Goleta	CA	148		2006	1962	EPLP	47
1	Hope Ranch (Continental Apartments)	3968-3974 & 3999 Via Lucero	Santa Barbara	CA	108		2007	1965	EPLP	44
	Hope Ranch (Lucero Village)	3968-3974 & 3999 Via Lucero	Santa Barbara	CA			2007	1973	EPLP	36
				1%	347	306,608
	Orange County
1	Barkley Apartments	2400 E. Lincoln Ave.	Anahiem	CA	161	139,800	2000	1984	DownREIT	25
1	Valley Park Apartments	17300 Euclid Ave.	Fountain Valley	CA	160	169,700	2001	1969	DownREIT	40
1	Capri at Sunny Hills	2341 Daphne Place	Fullerton	CA	100	128,100	2001	1961	DownREIT	48
1	Wilshire Promenade	141 West Wilshire Avenue	Fullerton	CA	149	128,000	1997	1992	EPLP	17
1	Montejo Apartments	12911 Dale St.	Garden Grove	CA	124	103,200	2001	1974	DownREIT	35
1	Huntington Breakers	21270 Beach Boulevard	Huntington Beach	CA	342	241,700	1997	1984	EPLP	25
	DuPont Lofts	2300 DuPont Drive	Irvine	CA	115	170,714			EPLP
1	Hillsborough Park	1501 South Beach Boulevard	La Habra	CA	235	215,500	1999	1999	EPLP	10
1	Trabuco Villas	25362 Mosswood Way	Lake Forest	CA	132	131,000	1997	1985	EPLP	24
1	Fairways Apartments	2 Pine Valley Lane	Newport Beach	CA	74	107,100	1999	1972	EPLP	37
1	Villa Angelina	201 E. Chapman Ave.	Placentia	CA	256	217,600	2001	1970	DownREIT	39
1	Brentwood Apartment Homes	2301 E. Santa Clara Ave.	Santa Ana	CA	140	154,800	2001	1970	DownREIT	39
1	Treehouse Apartments	2601 N. Grand Ave.	Santa Ana	CA	164	135,700	2001	1970	DownREIT	39
				7%	2,037	1,872,200
	San Diego County
1	Alpine Country	2660 Alpine Blvd.	Alpine	CA	108	81,900	2002	1986	EPLP	23
1	Alpine Village	2055 Arnold Way	Alpine	CA	306	254,400	2002	1971	EPLP	38
1	Bonita Cedars	5155 Cedarwood Rd.	Bonita	CA	120	120,800	2002	1983	EPLP	26
1	Cambridge	660 F. St.	Chula Vista	CA	40	22,100	2002	1965	EPLP	44
1	Woodlawn Colonial	245-255 Woodlawn Ave.	Chula Vista	CA	159	104,500	2002	1974	EPLP	35
1	Mesa Village	5265 Clairemont Mesa Blvd.	Clairemont	CA	133	43,600	2002	1963	EPLP	46
1	Tierra del Sol/Norte	989 Peach Ave.	El Cajon	CA	156	117,000	2002	1969	EPLP	40
1	Mira Monte	10360 Maya Linda Rd.	Mira Mesa	CA	355	262,600	2002	1982	EPLP	27
1	Country Villas	283 Douglas Drive	Oceanside	CA	180	179,700	2002	1976	EPLP	33
1	Mission Hills	218 Rancho Del Oro	Oceanside	CA	282	244,000	2005	1984	EPLP	25
1	Bluffs II, The	6466 Friars Road	San Diego	CA	224	126,700	1997	1974	EPLP	35
1	Summit Park	8563 Lake Murray Blvd.	San Diego	CA	300	229,400	2002	1972	EPLP	37
1	Vista Capri - North	3277 Berger Ave.	San Diego	CA	106	51,800	2002	1975	EPLP	34
1	Shadow Point	9830 Dale Ave.	Spring Valley	CA	172	131,200	2002	1983	EPLP	26
				10%	2,641	1,969,700
	Riverside County
1	Parcwood	1700 Via Pacifica	Corona	CA	312	270,000	2004	1989	Fund II	20
1	Devonshire Apartments	2770 West Devonshire Ave.	Hemet	CA	276	207,200	2002	1988	EPLP	21
				2%	588	477,200
67	Total Southern California			48%	13,087	10,952,982				29
	SEATTLE METROPOLITAN AREA
1	Cedar Terrace	3205 115th Ave. NE	Bellevue	WA	180	174,200	2005	1984	EPLP	25
1	Emerald Ridge	3010 118th Avenue SE	Bellevue	WA	180	144,000	1994	1987	EPLP	22
1	Foothill Commons	13800 NE 9th Place	Bellevue	WA	388	288,300	1990	1978	EPLP	31
1	Palisades, The	13808 NE 12th	Bellevue	WA	192	159,700	1990	1977	EPLP	32
1	Sammamish View	16160 SE Eastgate Way	Bellevue	WA	153	133,500	1994	1986	EPLP	23
1	Woodland Commons	13700 NE 10th Place	Bellevue	WA	236	172,300	1990	1978	EPLP	31
1	Canyon Pointe	1630 228th St. SE	Bothell	WA	250	210,400	2003	1990	EPLP	19
1	Inglenook Court	14220 Juanita Drive, NE	Bothell	WA	224	183,600	1994	1985	EPLP	24
1	Salmon Run at Perry Creek	2109 228th Street SE	Bothell	WA	132	117,100	2000	2000	EPLP	9
1	Stonehedge Village	14690 143rd Blvd., NE	Bothell	WA	196	214,800	1997	1986	EPLP	23
1	Park Hill at Issaquah	22516 SE 56th Street	Issaquah	WA	245	277,700	1999	1999	EPLP	10
1	Highlands at Wynhaven	1460 NE Hawthorne Street	Issaquah	WA	333	424,674	2008	2000	EPLP	9
1	Wandering Creek	12910 SE 240th	Kent	WA	156	124,300	1995	1986	EPLP	23
1	Bridle Trails	6600 130th Avenue, NE	Kirkland	WA	108	99,700	1997	1986	EPLP	23
1	Evergreen Heights	12233 NE 131st Way	Kirkland	WA	200	188,300	1997	1990	EPLP	19
1	Morning Run	18463 Blueberry Lane	Monroe	WA	222	221,786	2005	1991	Fund II	18
1	Laurels at Mill Creek	1110 164th Street SE	Mill Creek	WA	164	134,300	1996	1981	EPLP	28
1	Anchor Village	9507 49th Avenue West	Mukilteo	WA	301	245,900	1997	1981	DownREIT	28
1	Castle Creek	7000 132nd Place, SE	Newcastle	WA	216	191,900	1998	1998	EPLP	11
1	Brighton Ridge	2307 NE 4th Street	Renton	WA	264	201,300	1996	1986	EPLP	23
1	Fairwood Pond	14700 SE Petrovitsky Rd.	Renton	WA	194	189,200	2004	1997	EPLP	12
1	Forest View	650 Duvall Ave. NE	Renton	WA	192	182,500	2003	1998	EPLP	11
	Joule Broadway	523 Broadway Avenue, East	Seattle	WA	295	297,146			JV - 99%
1	The Cairns	420 Yale Avenue	Seattle	WA	100	70,806	2007	2006	EPLP	3
1	Fountain Court	2400 4th Street	Seattle	WA	320	207,000	2000	2000	EPLP	9
1	Linden Square	13530 Linden Avenue North	Seattle	WA	183	142,200	2000	1994	EPLP	15
1	Eastlake 2851	2833 - 2851 Eastlake Avenue	Seattle	WA	127	234,086	2008	2008	Fund II	1
1	Wharfside Pointe	3811 14th Avenue West	Seattle	WA	142	119,200	1994	1990	EPLP	19
1	Tower @ 801	801 Pine Street	Seattle	WA	173	118,500	2005	1970	Fund II	39
1	Echo Ridge	34907 SE Kinsey Street	Snoqualmie	WA	120	124,359	2005	2000	Fund II	9
29	Total Seattle Metropolitan Area			22%	5,891	5,295,611				19
	133	Apartment Communities		100%	27,248	23,098,285
		Apartment Communities Under Construction			581	666,059
	Avg. square footage	848		Definitions for Property Ownership
	Avg. units per property	205		EPLP	The Company has a 100% ownership in the community.
	Avg. age of property	26		Fund II	The community is owned by Fund II.  The Company has a 28.2% interest in Fund II which is accounted for using the equity method of accounting.
	(1) Includes 44,318 square feet of retail or commercial space			DownREIT	The Company holds a 1% special limited partner interest in the partnerships which owns the community.  In accordance with GAAP, the Company consolidates this community.
	(2) Includes 58,700 square feet of estimated retail or commercial space
				JV - 81.5%	The Company has a 81.5% ownership in this community and is consolidated.
	OTHER REAL ESTATE ASSETS			JV - 99%	The Company has a 99% ownership in this development and is consolidated.
	Office Buildings
	Essex Corporate Headquarter Bldg.	925 / 935 E. Meadow Dr.	Palo Alto	CA		31,900	1997 / 2007	1988 / 1962	EPLP
	Derian Office Building	17461 Derian Av.	Irvine	CA		110,000	2000	1983	EPLP
	Essex Southern Cal. Office Building	22110-22120 Clarendon St.	Woodland Hills	CA		38,940	2001	1982	EPLP
	Hollywood	6230 Sunset Blvd.	Los Angeles	CA		35,000	2006	1938	EPLP
						215,840

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