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$EQR said in 2Q16, it sold 3 non-core assets for $112.5MM at a 5.7% disposition yield and a 9.3% unleveraged IRR. In addition to selling these assets in Arizona, Massachusetts and Connecticut, last quarter $EQR also sold its entire interest in the military housing at Joint Base Lewis-McChord in Tacoma, Washington, realizing a gain of $52.4MM.
Real estate firm $EQR declared a quarterly dividend $0.50375 per share on its common stock. The dividend will be paid on January 12, 2018, to shareholders of record on January 2, 2018. The company also declared a $1.03625 per share dividend on its series-K preferred stock, payable on January 2, 2018, to shareholders of record on December 21, 2017.
The Board of Trustees of $EQR declared 3Q17 dividend of $0.50375 per share of its common stock, payable on Oct. 13, 2017 to shareholders of record on Sept. 25, 2017. The board also declared a quarterly dividend of $1.03625 per share of its series K preferred stock, payable on Oct. 2, 2017 to shareholders of record on Sept. 21, 2017.
$EQR declared a regular dividend of $0.50375 per common share for 2Q17 payable on July 14, 2017 to shareholders of record on June 26, 2017. A quarterly dividend of $1.03625 per share will be paid on June 30, 2017 to shareholders of record on June 19, 2017 of the company’s Series K Preferred Shares.
$EQR expects 2Q17 EPS of $0.51-0.55, FFO per share of $0.75-0.79 and normalized FFO per share of $0.75-0.79. The forecast reflects higher expected gains on property sales, lower expected debt extingushment costs, and lower expected gains on land parcel sales. It also reflects higher same store NOI and lower interest expense.
$EQR's funds from operations for 1Q17 rose to $290.36MM or $0.76 per share from $179.29MM or $0.47 per share last year. However, normalized FFO tumbled to $283.72MM or $0.74 per share from $289.48MM or $0.76 per share a year ago. The decline in normalized FFO was due to lower net operating income as a result of its 2016 disposition activity.
$EQR Board of Trustees declared quarterly dividends on the company's common and preferred shares. A regular common share dividend for the first quarter of $0.50375 per share will be paid on April 17, 2017 to shareholders of record on March 27, 2017.
For 2017, $EQR expects revenue growth continue to be weakened and all the markets are expected to deliver same-store revenue growth less than 2016 levels except Washington D.C. Occupancy is expected to moderate through the year. $EQR expects to spend $2,600 per same-store unit in capital expenditures compared to $2,235 in 2016.
$EQR expects 2017 EPS of $1.92-2.02, FFO per share of $3.01-3.11 and normalized FFO per share of $3.05-3.15. The forecast reflects lower expected gains on property sales, lower gains on non-operating asset sales and lower expected debt extinguishment costs. It also reflects higher net operating income and higher same store NOI.
$EQR expects 1Q17 EPS of $0.32-0.36, FFO per share of $0.68-0.72 and normalized FFO per share of $0.71-0.75. The forecast reflects lower expected gains on property sales, and higher expected debt extingushment costs. It also reflects lower net operating income and lower same store NOI.
$EQR reported a rise in 4Q16 earnings driven by higher amount of property sale gains and lower depreciation expense as a direct result of significant sales activity. Net income rose to $302.38MM or $0.75 per share from $213.72MM or $0.55 per share last year. Revenue fell to $605.49MM from $703.19MM.
$EQR declared quarterly dividends on its common and preferred shares for 4Q16 of $0.50375 per share, payable on Jan. 13, 2017 to shareholders of record on Dec. 27, 2016. Also, a quarterly dividend of $1.03625 per share will be paid on Jan. 3, 2017 to shareholders of record on Dec. 22, 2016 of the company's Series K Preferred Shares.
$EQR said in 3Q16, the New York market achieved average renewal rates of 3%. In Washington DC, renewal rates achieved were 4.6%. With expectations of future job growth being favorable and over half of the 10,000 units being delivered concentrated in the Southeast and Southwest markets, $EQR expects favorable absorption and revenue growth in DC.
$EQR achieved renewal rates of 5.3% in 3Q16. In Seattle, renewals achieved were 8.1%. In San Francisco, occupancy has improved to 96% and achieved renewal rates were 6.2%. In Los Angeles, demand for apartments continues to be strong with occupancy across the portfolio at 96.3%. Renewal rates achieved were 6.8%.
$EQR posted improved earnings in 3Q16, helped by lower interest expense incurred compared to 3Q15. Net income was $217.49MM or $0.57 per diluted share compared to $205.46MM or $0.54 per diluted share last year. Total revenue declined from last year to $606.07MM in the quarter.