During the quarter, the company issued 1,095,609 common shares at an average price of $62.70 per share for total proceeds of approximately $68.7 million under its At-the-Market (ATM) share offering program. Since the beginning of 2012, the company has issued 3,173,919 common shares at an average price of $60.59 per share for total proceeds of approximately $192.3 million under the program. The company has not issued any shares under the program since the end of the third quarter and currently has approximately 6.0 million shares available for issuance under this program.

On October 1, 2012, the company redeemed the approximately $222.1 million outstanding of its 5.5% unsecured notes which matured on that date and on October 5, 2012, the company paid off its $500 million Term Loan which matured on that date. Both of these activities were funded from the company’s revolving credit facility. As of October 23, 2012, the company had an outstanding balance of $850 million and approximately $870 million available on its revolving credit facility.

Fourth Quarter 2012 Guidance

The company has established a Normalized FFO guidance range of $0.72 to $0.76 per share for the fourth quarter of 2012. The difference between the company’s third quarter 2012 Normalized FFO of $0.73 per share and the midpoint of the fourth quarter guidance range of $0.74 per share is primarily due to:
  • a positive impact of $0.02 per share from higher same store NOI;
  • a positive impact of $0.01 per share from lower interest expense and preferred share distributions; and
  • a negative impact of $0.02 per share from 2011 and 2012 transaction activity and timing and other items.

Full Year 2012 Guidance

The company has revised its guidance for its full year 2012 same store operating performance, transactions and Normalized FFO results as well as other items listed on page 25 of this release. The changes to the full year same store, transactions and Normalized FFO guidance are listed below:


Same store:
Physical occupancy 95.2% 95.3%
Revenue change 5.4% to 5.6% 5.6%
Expense change 1.5% to 2.5% 2.3%
NOI change 7.0% to 8.0% 7.5%
Acquisitions: $1.25 billion $1.1 billion
Dispositions: $1.25 billion $1.1 billion
Cap Rate Spread: 130 basis points 150 basis points
Normalized FFO per share: $2.73 to $2.78 $2.74 to $2.78

Fourth Quarter 2012 Earnings and Conference Call

Equity Residential expects to announce fourth quarter 2012 results on Tuesday, February 5, 2013 and host a conference call to discuss those results at 9:00 a.m. CT on Wednesday, February 6, 2013.

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