Net Income Per Common Share and Net Income Per Common Unit

12 Months Ended

Dec. 31, 2013

Net Income Per Common Share and Net Income Per Unit [Abstract]

Net Income Per Common Share

(12) Net Income Per Common Share and Net Income Per Common Unit

Essex Property Trust, Inc.

Basic and diluted income from continuing and discontinued operations per share is calculated as follows for the years ended December 31 ($ in thousands, except share and per share amounts):

	2013						2012						2011
			Weighted-		Per				Weighted-		Per				Weighted-		Per
			average		Common				average		Common				average		Common
			Common		Share				Common		Share				Common		Share
	Income		Shares		Amount		Income		Shares		Amount		Income		Shares		Amount
Basic:
Income from continuing operations available to common stockholders	$	121,324		37,248,960	$	3.26	$	108,532		35,032,491	$	3.10	$	30,570		32,541,792	$	0.94
Income from discontinued operations available to common stockholders		29,487		37,248,960		0.79		11,280		35,032,491		0.32		9,798		32,541,792		0.30
	$	150,811			$	4.05	$	119,812			$	3.42	$	40,368			$	1.24
Effect of Dilutive Securities (1)		-		86,335				-		92,430				-		86,922
Diluted:
Income from continuing operations available to common stockholders (1)	$	121,324		37,335,295	$	3.25	$	108,532		35,124,921	$	3.09	$	30,570		32,628,714	$	0.94
Income from discontinued operations available to common stockholders		29,487		37,335,295		0.79		11,280		35,124,921		0.32		9,798		32,628,714		0.30
	$	150,811			$	4.04	$	119,812			$	3.41	$	40,368			$	1.24

(1) Weighted average convertible limited partnership units of 2,131,425, 2,219,046, and 2,231,807, which include vested Series Z and Series Z-1 incentive units, for the years ended December 31, 2013, 2012 and 2011, respectively, were not included in the determination of diluted earnings per share calculation because they were anti-dilutive. The Company has the ability to redeem DownREIT limited partnership units for cash and does not consider them to be potentially dilutive securities.

Stock options of 168,325; 263,613; and 175,500; for the years ended December 31, 2013, 2012, and 2011, respectively, were not included in the diluted earnings per share calculation because the exercise price of these options were greater than the average market price of the common shares for the years ended and, therefore, were anti-dilutive.

All shares of cumulative convertible Series G preferred stock have been excluded from diluted earnings per share for the years ended 2013, 2012, and 2011 respectively, as the effect was anti-dilutive.

Essex Portfolio, L.P.

Basic and diluted income from continuing and discontinued operations per unit is calculated as follows for the years ended December 31 ($ in thousands, except share and per share amounts):

	2013						2012						2011
			Weighted-		Per				Weighted-		Per				Weighted-		Per
			average		Common				average		Common				average		Common
			Common		Unit				Common		Unit				Common		Unit
	Income		Units		Amount		Income		Units		Amount		Income		Units		Amount
Basic:
Income from continuing operations available to common unitholders	$	128,576		39,380,385	$	3.27	$	115,834		37,251,537	$	3.11	$	33,035		34,773,599	$	0.95
Income from discontinued operations		31,173		39,380,385		0.79		11,937		37,251,537		0.32		10,558		34,773,599		0.30
Income available to common unitholders	$	159,749			$	4.06	$	127,771			$	3.43	$	43,593			$	1.25
Effect of Dilutive Securities (1)		-		86,335				-		92,430				-		67,319
Diluted:
Income from continuing operations available to common unitholders (1)	$	128,576		39,466,720	$	3.26	$	115,834		37,343,967	$	3.10	$	33,035		34,860,521	$	0.95
Income from discontinued operations		31,173		39,466,720		0.79		11,937		37,343,967		0.32		10,558		34,860,521		0.30
Income available to common unitholders	$	159,749			$	4.05	$	127,771			$	3.42	$	43,593			$	1.25

(1) The Operating Partnership has the ability to redeem DownREIT limited partnership units for cash and does not consider them to be potentially dilutive securities.

Stock options of 168,325; 263,613; and 175,500; for the years ended December 31, 2013, 2012, and 2011, respectively, were not included in the diluted earnings per unit calculation because the exercise price of these units were greater than the average market price of the common units for the years ended and, therefore, were anti-dilutive.

All units of cumulative convertible Series G preferred interest have been excluded from diluted earnings per unit for the years ended 2013, 2012, and 2011 respectively, as the effect was anti-dilutive.