Essex Property Trust prices additional offering of its $200 million senior notes due 2034 at a re-offer yield of 5.110%

SAN MATEO, CA, August 19, 2024–(BUSINESS WIRE)–Essex Property Trust, Inc. (NYSE: ESS) (“Essex”) today announced that its operating partnership, Essex Portfolio, LP (the “Issuer”), has issued an underwritten public offering of $200 million in additional senior notes due 2034 with a re-offer yield of 5.110% (the “Notes”). The Notes are being issued as additional notes under the terms of the Notes pursuant to which the Issuer previously issued $350 million of 5.500% senior notes due 2034 (the “Original Notes”). The Notes will be treated as a single series of securities with the Original Notes under the terms of the Notes and will have the same CUSIP number as and be fungible with the Original Notes. The notes were priced at 102.871% of par value. Interest is payable semi-annually at an annual rate of 5.500% on April 1 and October 1 of each year, with the first interest payment due on October 1, 2024. The notes will mature on April 1, 2034. The notes are senior unsecured obligations of the Issuer and are fully and unconditionally guaranteed by Essex. The note offering is expected to close on August 21, 2024, subject to the satisfaction of certain closing conditions.

The Issuer intends to use the net proceeds from this offering to repay outstanding indebtedness, including to fund a portion of the repayment of the $500.0 million aggregate principal amount of the Issuer's 3.500% Senior Notes due in April 2025 and for other general corporate and working capital purposes. Pending the use of the net proceeds from the offering for the foregoing purposes, such net proceeds may initially be used to repay outstanding borrowings under the Issuer's unsecured credit facilities and/or invest in short-term securities.

Wells Fargo Securities, LLC, JP Morgan Securities LLC, PNC Capital Markets LLC, US Bancorp Investments, Inc., Scotia Capital (USA) Inc. and TD Securities (USA) LLC acted as joint bookrunners for the offering. BofA Securities, Inc., BMO Capital Markets Corp., Mizuho Securities USA LLC and Truist Securities, Inc. acted as senior co-managers and Regions Securities LLC and Samuel A. Ramirez & Company, Inc. acted as co-managers for the offering.

The Issuer and Essex have jointly filed a registration statement (including a preliminary prospectus supplement and a prospectus) with the U.S. Securities and Exchange Commission (SEC) for the offering to which this communication relates. You may obtain these documents free of charge by searching the SEC's online database at the SEC's website at. Alternatively, the Issuer, Essex, any underwriter or any dealer participating in the offering may send you the prospectus supplement and prospectus if you request them from (i) Wells Fargo Securities, LLC (toll-free at 1-800-645-3751), (ii) JP Morgan Securities LLC (collect at 1-212-834-4533), (iii) PNC Capital Markets LLC (toll-free at 855-881-0697) or (iv) US Bancorp Investments, Inc. (toll-free at 1-877-558-2607).

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This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any jurisdiction or to any person in which such offer, solicitation or sale would be unlawful.

About Essex Property Trust, Inc.

Essex Property Trust, Inc., an S&P 500 company, is a fully integrated real estate investment trust that acquires, develops, redevelops and manages multifamily properties in select West Coast markets. Essex currently owns ownership interests in 255 apartment communities containing over 62,000 apartments.

Safe Harbor Statement

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements that are not historical facts, including statements about our expectations, estimates, assumptions, hopes, intentions, beliefs and strategies regarding the future. Words such as “expects,” “anticipates,” “believes,” “assumes,” “could,” “will,” “intends,” “plans,” “projects,” “believes,” “seeks,” “future,” “estimates” and variations of such words and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements include, among others, statements with respect to the Notes Offering, including the terms, timing and closing of the offering and the expected use of net proceeds therefrom. We cannot guarantee the future results or outcome of the matters described in these statements; rather, these statements reflect only our current expectations regarding the approximate results of the matters discussed. Factors that could cause our actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements include, among others, factors related to market risks and uncertainties and the satisfaction of customary closing conditions for an offering of the Notes, as well as the risks set forth in our Annual Report on Form 10-K for the year ended December 31, 2023, our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2024 and June 30, 2024, and those risk factors and special considerations set forth in our other filings with the SEC, which are incorporated by reference into this prospectus supplement and the accompanying prospectus, that could cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. All forward-looking statements are made as of the date of this press release and we undertake no obligation to update or supplement this information for any reason, so they may not reflect our beliefs and assumptions after the date of this press release.

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Contacts

Loren Rainey
Director, Investor Relations
(650) 655-7800
[email protected]