Essex Property Trust beats core FFO estimates on higher rentals

Essex Property Trust

26/10/2023 22:14

Oct 26 (Reuters) - Essex Property Trust  ESS.N  beat
third-quarter estimates for core funds from operations (FFO) on
Thursday, as the residential real estate investment firm
benefited from strong U.S. rental revenue caused by high
inflation.     
    Rental units and their prices continue to benefit from a
housing shortage across the U.S. as fewer people can afford new
houses at a time when mortgage rates have touched two-decade
highs.
    Core FFO - a measure that captures trends in occupancy
rates, rental rates and operating costs - grew 2.4% to $3.78 per
share, compared with estimates of $3.77 per share, according to
LSEG data.
    Same-property revenue increased 3.2% for the quarter ended
Sept. 30, helped by higher rents.
    Net income fell 4.9% to $1.36 per share. 
    As of Dec. 31, 2022, the California-based company's
portfolio included 252 apartment communities, which comprise of
62,147 apartments overall.
    

 (Reporting by Mehr Bedi in Bengaluru; Editing by Devika
Syamnath)
 ((Mehr.Bedi@thomsonreuters.com;))