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): November 16, 2011

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:

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

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

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d2(b))

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

Item7.01. Regulation FD Disclosure.

On November 16, 2011, officers of Essex Property Trust, Inc., a Maryland corporation (the "Registrant"), provided a handout for the 2011 NAREIT Annual Convention that included written communications comprised of slides which are furnished as Exhibit 99.1 to this Report on Form 8-K.

The information furnished pursuant to this Item, including Exhibit 99.1, shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Act of 1934, or otherwise subject to the liabilities of that Section. The information in this Current Report on Form 8-K shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, unless specifically identified therein as being incorporated by reference.

Item9.01. Financial Statements and Exhibits.

(d) Exhibits.

The exhibit listed below is being furnished with this Form 8-K.

99.1 Written communication comprised of slides given out at the 2011 NAREIT Annual Convention furnished pursuant to Item 7.01 of this Form 8-K.

SIGNATURE 

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.

Date: November 16, 2011
	Essex Property Trust, Inc.
	By:/s/ Michael T. Dance
	Michael T. Dance
	Executive Vice President & Chief Financial Officer

EXHIBIT INDEX

Exhibit Number	Description
99.1	Written communication comprised of slides shown during a presentation for the 2011 NAREIT Annual Convention on November 16, 2011 furnished pursuant to Item 7.01 of this Form 8-K.

EX-99.1

Exhibit 99.1

Reveal (formerly Millenium at Warner Center) - Los Angeles, CA

2011 NAREIT REIT World

November 15-17, 2011

At IPO, Essex owned 16 multifamily properties (4,410 units); currently, Essex has ownership
in 155 apartment communities (32,076 units)

§Multifamily REIT dedicated to supply-constrained markets

-Formed in 1971

-Initial Public Offering in June 1994

•IPO stock price was $19.50 a share

•Today the stock trades around $134 per share

§Highest total return of any REIT since IPO -1,834% (Source: SNL Financial)

§Cumulative Dividend paid in excess of $50 per share since IPO

§Consistent operating philosophy through numerous market cycles

-Research-based strategy

-Rigorous underwriting leveraging real-time platform operating data

-Total return driven

§Experienced management team - top executives have worked together for an average

tenure of 18+ years

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About Essex Property Trust

20-34 Year Olds - Lost Fewer Jobs in 2008 -2009, recovering faster

Echo Boomers will Drive Demand with Higher Propensity to Rent

* Through September 2011

Sources: Marcus & Millichap Research Services, BLS

Multifamily Fundamental Drivers

* Source: Green Street Advisors

Major Decline in For-Sale Housing Supply

New Home Sales and Recessions

4

Easy Financing Converted

Renters to Homeowners

Residential Supply Distortion

§ West Coast recovered later, implying rent growth has greater

      upside potential

§ Better than average job growth prospects, especially in

      technology related industries

§ Most desirable locations due to quality of life

§ New supply remains muted, <1% annual addition to residential

      stock in Essex markets

§ Demographic tailwinds of retirees and 'echo boomers‘

      expected to increase renter demand

Essex expects market rents for its portfolio to increase 28% over the next 5
years.

Economic Assumptions

§ Moderate U.S. GDP Growth 2.8% annual average

§ Moderate U.S. Job Growth 1.7% annual average

§ 3.5% CPI Growth

Why Essex is Maintaining the West Coast Focus?

5

Drivers of strong continued demand in Essex markets

§ California and Washington combined are the 6th largest economy in the world

§ 52% of Venture Capital spending is in our markets - key driver of growth industries & jobs

§ Incoming Echo Boomers (64 million) & quality of life factors favor the West Coast

§ Higher percentage of educated workers

The West Coast is Well-Positioned

6

California Population Trends on the Rebound

California Job Growth now outpacing US Trend

Drivers of Renter Demand - Population & Jobs

Source: US Census

Source: BLS

7

September 2009**

Most state economies are doing poorly(red = declining)

West Coast economies are recovering

The West Coast Recovery is Underway

8

Snapshots of FRB of Philadelphia Coincident Index*

* The FRB of Philadelphia publishes its monthly coincident index as an indicator of the economic health of each state

**Represents 3 month change in index

September 2011**

September Y-Y Job Growth: Selected Metros by % Growth

(000’s)

9

Source: BLS

§ Tech/ Energy based markets are leading the way

§ Positive growth spreading across the country

Strong MSA Job Growth in Essex Portfolio

Job Growth: 1.6 million jobs created in U.S. and 130,000 in Essex markets

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Education Data for Essex Counties & State/U.S. Data

§ Essex’s tech markets have a significantly higher percentage of college

educated workers.

§ These markets should continue to lead job growth

§ Concentrated in the highest skilled California counties

Source: U.S. Census

Essex Attracts Higher Wage Renters

Job Growth by Level of Education

§ BLS Household survey indicates the number of employed up 1.24 million Year-
over-Year for September 2011 of which 978,000 were in the group Age

25+ with a College degree.

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§ High Single-Family Prices Restrict Homeownership

§ Despite the fall in home prices since 2008, prices remain high in

supply-constrained markets

Source: National Association of Realtors, Dataquick, Essex

Homeownership is not Affordable

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Conclusions:

§ Single family supply is low everywhere currently

§ When single family supply recovers, we expect a sharp rebound in the

      non-constrained markets

§ The supply constrained coastal rental markets will have less

      competition from for-sale as compared to 2003 - 2007

Source: U.S. Census

Essex Supply Risk Low

Class ‘B’ Vacancy Rates are Low in Supply- Constrained Markets

Vacancy Rate Spread by Class (selected metros)

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* All vacancies as of 2Q 2011

Sources: Marcus & Millichap Research Services, Reis

Superior Class ‘B’ Occupancy in Essex Markets

§ To Grow FFO/share consistent with NAV Growth

§ Focus on delivering growth from operations platform

§ Target acquisitions generating (at least an) unlevered return of 9%

§ Target development generating at least 10% unlevered returns and

      for unfunded commitments to represent 5-7% of total capital

§ Target redevelopment generating unlevered returns of 8-10%

§ Actively upgrade the portfolio through investment and property

sales (up to 20% of portfolio identified as being potentially for sale

over the next several years.)

Essex Intermediate Goals

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Total Return Since IPO

*Total Return as of June 7, 1994 to November 8, 2011

Performance Record

15

Top 10 REITs by Total Return*

1	Essex Property Trust, Inc.	1,834
2	Public Storage	1,616
3	Taubman Centers, Inc.	1,549
4	AvalonBay Communities, Inc.	1,489
5	Realty Income Corporation	1,439
6	Simon Property Group, Inc.	1,206
7	Tanger Factory Outlet Centers	1,175
8	First REIT of New Jersey	1,132
9	Vornado Realty Trust	1,041
10	EastGroup Properties, Inc.	1,033

Seattle Market Review

Average Rent

as a % of

Median Household Income

(in 000’s)

Job Growth

vs.

Total Residential Supply

(% change)

Actual Job Growth by Sector:

Sept. ‘11 vs. Sept. ‘10

Source: Essex, U.S. Census, BLS

Northern California Market Review

(San Jose MSA Example)

Average Rent

as a % of

Median Household Income

(in 000’s)

Job Growth

vs.

Total Residential Supply

(% change)

Actual Job Growth by Sector:

Sept. ‘11 vs. Sept. ‘10

Gap = 3% of
current rents

Source: Essex, U.S. Census, BLS

Southern California Market Review

(Los Angeles MSA Example)

Average Rent

as a % of

Median Household Income

(in 000’s)

Job Growth

vs.

Total Residential Supply

(% change)

Actual Job Growth by Sector:

Sept. ‘11 vs. Sept. ‘10

Gap = 9.6% of
current rents

Source: Essex, U.S. Census, BLS

Southern California Market Review

Occupancy breaks through 95% for both markets for the first time since q4 2007.

Essex believes with occupancy rates above 95% pricing power shifts to the landlord

Source: BLS

Source: Axiometrics

*LA/Orange Numerical Average

Multiple Investment Platforms

§Development

-Upgrading the portfolio

-Over the past 25-years, we have delivered over 8,500 units through our

development program

§Acquisitions

-Accelerating portfolio growth

-Improving cash flows and total per share returns

-Targeting markets with high rent growth potential

-Since 2010, Essex has acquired $1.5 billion of high quality and well-located

properties

§Redevelopment

-Repositioning the portfolio and augmenting internal growth

-Capitalizing on the strategy of owning Class B quality assets in “A” locations

§Co-Investments & Preferred Equity Investments

-Diversifying capital sources

-Enhancing risk adjusted returns

-Moderating portfolio volatility

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INVESTMENT ACTIVITY

Since January 2010, Essex has acquired or committed to develop $1.5 billion in new investments

1	Corbella (169 units)	$23.8	$1,045
2	Elevation (157 units)	$22.4	$1,141
3	Courtyard off Main (109 units)	$30.1	$1,601
4	Joule (295 units)	$85.4	$1,548
5	The Bernard (63 units)	$15.0	$1,335
6	Redmond Hill (882 units)	$151.3	$1,136
7	Queen Anne (275 units)	$79.1	-

8	Fourth & U (171 units)	$62.3	$1,676
9	Family Tree (121 units)	$31.6	$1,580
10	The Commons (264 units)	$45.2	$1,320
11	101 San Fernando (323 units)	$65.4	$1,690
12	Bella Villagio (231 units)	$58.4	$1,746
13	Via (284 units)	$112.0	$2,215
14	Cadence Phase I (280 units)	$98.6	-
15	West Dublin (309 units)	$94.5	-

Seattle Area

Northern
California

Southern
California

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1

2

3

4

5

6

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

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Acquisitions

Development

Preferred Equity Investments/ Co-investments

Cost

(in millions)

Avg.

Rent

7

Cost

(in millions)

Avg.

Rent

Cost

(in millions)

Avg.

Rent

16	Arbors at Parc Rose (373 units)	$92.0	$1,723
17	Muse (152 units)	$41.6	$1,764
18	Allegro (96 units)	$30.6	$2,262
19	416 on Broadway (115 units)	$43.0	$2,114
20	Santee Court (165 units)	$31.2	$1,345
21	Santee Village (73 units)	$19.0	$2,004
22	Anavia (250 units)	$84.8	$2,112
23	Skyline (349 units)	$134.3	$3,046
24	Bellerive (63 units)	$27.2	$2,738
25	Reveal (438 units)	$132.9	$1,991
26	Fountain at La Brea (187 units)	$74.7	-

Anavia - Anaheim, CA

101 San Fernando - San Jose, CA

Essex Skyline - Santa Ana, CA

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416 on Broadway - Glendale, CA

Santee Court - Los Angeles, CA

Elevation- Redmond, WA

Bella Villagio - San Jose, CA

Corbella at Juanita Bay - Kirkland, WA

DEVELOPMENT TRACK RECORD

Over the past 25-years, we have delivered over 8,500 units through our development program

			Estimated Units	Estimated retail sq. feet	Incurred to Date	Estimated Total Cost	Construction Complete
Project Name		Location
	Via	Sunnyvale, CA	284	40,000	$101.2	$112.0	Oct-11
	Queen Anne(JV)	Seattle, WA	275	17,000	$28.5	$79.1	Apr-13
	West Dublin (JV)	Dublin, CA	309	-	$17.9	$94.5	Jun-13
	Cadence - Phase I (JV)	San Jose, CA	280	-	$65.2	$98.6	Jul-13
	Fountain at La Brea (JV)	West Hollywood, CA	187	18,200	$21.0	$74.7	Jan-14
	Total Active Development Pipeline		1,335	75,200	$233.8	$458.9

ACTIVE DEVELOPMENT PIPELINE

(Dollars in Millions)

Via - Sunnyvale, CA

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§ Capitalize on the strategy of owning Class B quality assets in “A” locations - supply

       constraint in Essex markets results in older housing stock which leads to greater

       renovation potential

§ Selective repositioning: rent justified improvements to maximize NOI and value

Highridge - Rancho Palos Verde, CA

255 units

$16.6 million renovation cost

$65,000 cost per unit

9.25% return

Redevelopment

Before

After

Before

After

The Pointe at Cupertino - Cupertino, CA

116 units

$8.0 million renovation cost

$69,000 cost per unit

9.5% return

REDEVELOPMENT

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Fund & Joint Ventures

25

The co-investment program facilitates external growth via private capital,

provides a diversified source of equity and enhances risk adjusted returns.

This platform represents 18.2% of the units in Essex’s total portfolio.

Current Co-Investment Programs Consists of: 

§ Fund II

-14 well-positioned assets with dispositions beginning in 2012/2013

§Programmatic Joint Ventures

-Wesco I - a 50/50 joint venture to acquire apartments. The joint

venture has invested $375 million to date.

-Canada Pension Plan Investment Board (“CPPIB”) - 55% Essex/45%

CPPIB joint venture to develop Cadence and West Dublin.

§Single Asset Joint Venture

-Essex Skyline at MacArthur Place - a 50/50 joint venture to invest in a

349-unit high-rise condominium

§Development Joint Ventures with Regional Developers:

-Queen Anne- a 50/50 joint venture to develop and operate a 275-unit
community.

-Fountain at La Brea - a 50/50 joint venture to develop and operate a 187-
unit community.

Essex is 30% leveraged on total market capitalization with a strong interest
coverage ratio of over 2.5x, staggered maturities and a BBB S&P corporate
rating.

Conservatively Proportioned and Flexible Balance Sheet

Cost of Debt 5.5% 4.9% 5.0% 5.3% 5.2% 4.9%

Debt Maturities

Consolidated Debt ($MM):$2,260 at 9/30/11, excludes lines of credit

2011 Guidance (updated November 2, 2011)

FFO Per Share Guidance

$5.66- $5.74

Same Property Revenue Growth (Midpoint)

3.9%

Same Property NOI Growth(Midpoint)

5.4%

Market Expectations

2011

2011

2011

Market

Market

Market

Job Growth

Rent Growth

Occupancy

Southern California

0.9%

4.8%

95.2%

Northern California

1.6%

9.7%

96.5%

Seattle Metro

2.0%

9.0%

95.5%

Weighted Average

1.2%

7.5%

95.8%

US Economic Assumptions

GDP Growth of 1.75%

Job Growth of 1.1%

Targeted Acquisitions

$450 million - $550 million

Targeted Development Investment

$263 million related to finishing Via, starting Queen Anne and the Cadence

CampusPhase I, West Dublin, and starting Fountain at La Brea

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2011 Guidance Road Map

NOTES

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Via - Sunnyvale, CA

416 on Broadway - Glendale, CA

Joule - Seattle, WA

For additional information, please contact the Company’s
Investor Relations department at (650) 849-1600.

Fourth & U - Berkeley, CA

Axis 2300 - Irvine, CA

Arbors at Park Rose - Oxnard, CA