Fourth Quarter 2025 Earnings Release and Supplemental Data (Form 8-K)

Table of Contents
Earnings Press Release	Pages 1 - 9
Consolidated Operating Results	S-1 & S-2
Consolidated Funds from Operations	S-3
Consolidated Balance Sheets	S-4
Debt Summary	S-5
Capitalization Data, Public Bond Covenants, Credit Ratings and Selected Credit Ratios	S-6
Portfolio Summary by County	S-7
Operating Income by Quarter	S-8
Same-Property Revenue Results by County, Quarter-to-Date	S-9
Same-Property Revenue Results by County, Year-to-Date	S-9.1
Same-Property Operating Expenses, Quarter and Year-to-Date	S-10
Development Pipeline	S-11
Capital Expenditures	S-12
Co-Investments and Preferred Equity Investments	S-13
Summary of Apartment Community Acquisitions and Dispositions Activity	S-14
Assumptions for 2026 FFO Guidance Range	S-15
Reconciliation of Projected EPS, FFO and Core FFO per diluted share	S-15.1
MSA Level Supply Forecast: 2025A - 2026E	S-16
Components to 2026E Same-Property Revenue Growth	S-16.1
Components to 2026E Core FFO Per Diluted Share	S-16.2
Reconciliations of Non-GAAP Financial Measures and Other Terms	S-17.1 - S-17.4

		Three Months Ended December 31,						%			Twelve Months Ended December 31,						%
		2025			2024			Change			2025			2024			Change
Per Diluted Share
Net Income		$1.25			$4.00			-68.8%			$10.40			$11.54			-9.9%
Total FFO		$3.94			$3.69			6.8%			$15.98			$15.99			-0.1%
Core FFO		$3.98			$3.92			1.5%			$15.94			$15.60			2.2%

●

Reported Net Income per diluted share for the fourth quarter of 2025 of $1.25, compared to $4.00 in the fourth quarter of 2024. For the full-year 2025, the Company reported Net Income per diluted share of $10.40 compared to $11.54 in 2024. The year-over-year decline in fourth quarter and full-year 2025 Net Income per diluted share is largely attributable to gains on sale of real estate and land and gains on remeasurement of co-investments in the prior year period.

●

Grew Core FFO per diluted share by 1.5% compared to the fourth quarter of 2024 and 2.2% compared to the full-year 2024, exceeding the midpoint of the Company's original full year guidance range. The outperformance was primarily driven by favorable same-property revenue growth.

●

Achieved both same-property revenue and net operating income ("NOI") growth of 3.8% compared to the fourth quarter of 2024. For the full-year 2025, same-property revenue and NOI grew 3.3% and 3.2%, respectively, both exceeding the midpoint of the Company's original guidance range.

●

For the full-year 2025, the Company acquired seven apartment communities for a total contract price of $829.4 million and disposed of five apartment communities for a total pro rata contract price of $563.8 million.

●

For the full-year 2025, the Company received cash proceeds of $189.8 million from nine structured finance redemptions yielding a weighted average return rate of 9.8% and committed $21.3 million at pro rata share in an investment yielding a 13.5% return rate.

●

Issued $350.0 million of 10-year senior unsecured notes in the fourth quarter bearing an interest rate of 4.875% per annum and a yield to maturity of 4.988%.

●

As of December 31, 2025, the Company's immediately available liquidity was over $1.7 billion.

		Revenue Change
		Q4 2025 vs. Q4 2024			YTD 2025 vs. YTD 2024				Q4 2025 vs. Q3 2025			% of Total Q4 2025 Revenue
Southern California
Los Angeles County		4.5%			3.4%				1.2%			18.7%
Orange County		4.3%			3.6%				1.1%			9.2%
San Diego County		2.1%			2.4%				0.8%			9.3%
Ventura County		3.5%			3.8%				0.7%			4.3%
Total Southern California		3.8%			3.3%				1.1%			41.5%
Northern California
Santa Clara County		5.2%			3.8%				0.8%			20.3%
Alameda County		3.0%			2.7%				1.1%			7.0%
San Mateo County		6.2%			5.0%				0.3%			4.7%
Contra Costa County		2.0%			2.0%				0.3%			5.4%
San Francisco		2.0%			5.0%				-1.2%			3.0%
Total Northern California		4.2%			3.6%				0.6%			40.4%
Seattle Metro		3.1%			2.8%				-0.8%			18.1%
Same-Property Portfolio		3.8%			3.3%				0.5%			100.0%

Same-Property Revenue Components		Q4 2025 vs. Q4 2024			YTD 2025 vs. YTD 2024			Q4 2025 vs. Q3 2025
Scheduled Rents		2.2%			2.3%			0.1%
Reported Delinquency (1)		0.7%			0.5%			0.0%
Cash Concessions		0.0%			0.0%			-0.2%
Vacancy		0.3%			0.0%			0.2%
Other Income		0.6%			0.5%			0.4%
2025 Same-Property Revenue Growth		3.8%			3.3%			0.5%

(1)

The fourth quarter 2025 year-over-year increase to revenue related to delinquency is largely attributable to the Company recording a non-cash charge in the fourth quarter of 2024 and fully eliminating its remaining $2.7 million residential accounts receivable balance.

		Year-Over-Year Change									Year-Over-Year Change
		Q4 2025 compared to Q4 2024									YTD 2025 compared to YTD 2024
		Revenue			Operating Expenses			NOI			Revenue			Operating Expenses			NOI
Southern California		3.8%			5.9%			2.9%			3.3%			5.4%			2.4%
Northern California		4.2%			1.9%			5.3%			3.6%			3.0%			3.8%
Seattle Metro		3.1%			3.8%			2.7%			2.8%			0.5%			3.7%
Same-Property Portfolio		3.8%			3.8%			3.8%			3.3%			3.5%			3.2%

		Sequential Change
		Q4 2025 compared to Q3 2025
		Revenue			Operating Expenses			NOI
Southern California		1.1%			-2.0%			2.4%
Northern California		0.6%			-3.9%			2.6%
Seattle Metro		-0.8%			-0.5%			-0.9%
Same-Property Portfolio		0.5%			-2.5%			1.9%

		Financial Occupancies
		Quarter Ended
		12/31/2025			9/30/2025			12/31/2024
Southern California		96.3%			95.8%			95.6%
Northern California		96.4%			96.3%			96.2%
Seattle Metro		96.1%			96.2%			96.2%
Same-Property Portfolio		96.3%			96.1%			95.9%

Per Diluted Share		Range			Midpoint
Net Income		$5.55 - $6.05			$5.80
Total FFO		$15.54 - $16.04			$15.79
Core FFO		$15.69 - $16.19			$15.94
Q1 2026 Core FFO		$3.89 - $4.01			$3.95

Estimated Same-Property Portfolio Growth Based on 52,209 Apartment Homes		Range			Midpoint Cash-Basis (1)
Revenue		1.70% to 3.10%			2.40%
Operating Expenses		2.50% to 3.50%			3.00%
Net Operating Income		0.80% to 3.40%			2.10%

(1)

The midpoint of the Company's same-property revenue and NOI on a GAAP basis are 2.50% and 2.20%, respectively.

•

Investment activities will be influenced by market conditions and cost of capital, consistent with the Company's historical practice of creating NAV and FFO per share.

•

Guidance assumes $175 million in structured finance maturities.

•

The Company expects development funding of approximately $80 million and does not currently plan to start any new developments.

•

Revenue generating capital expenditures are expected to be approximately $100 million at the Company's pro rata share.

2026 Core FFO Per Diluted Share Guidance Midpoint versus 2025		Midpoint
2025 Core FFO Per Diluted Share		$	15.94
NOI from Consolidated Communities			0.60
Structured Finance (Preferred Equity & Mezz) (1)			(0.38)
G&A and Interest and Other Income (2)			(0.09)
FFO from Co-Investments, excluding Preferred Equity			(0.07)
Consolidated Net Interest Expense			(0.06)
2026 Core FFO Per Diluted Share Guidance Midpoint		$	15.94
2026 Core FFO Per Diluted Share, Excluding Structured Finance Impact (3)		$	16.23

(1)

Reflects the gross impact of structured finance investment activities in 2025 and 2026E. The impact, net of reinvestment, is approximately $0.29, with the reinvestment offset accounted for in "NOI from consolidated communities."

(2)

Excludes interest income related to the Company's structured finance subordinated loans, which is reflected in the structured finance line.

(3)

Excluding the impact from structured finance-related headwinds, net of reinvestment, the Core FFO per diluted share midpoint would be $16.23, equating to 1.8% year-over-year growth.