Essex Property Trust prices $350 million senior notes offering By biedexmarkets.com

SAN MATEO, Calif. – Essex Property Trust, Inc. (NYSE:), a real estate investment trust known for managing multifamily residential properties on the West Coast, has successfully priced a public offering of senior notes. The company’s operating partnership, Essex Portfolio, L.P., has set the price for $350 million in aggregate principal amount of 5.500% senior notes due in 2034.

The notes, which are to mature on April 1, 2034, were priced at 99.752% of their par value, yielding a maturity of 5.532%. Interest payments are scheduled semiannually at a rate of 5.500% on April 1 and October 1 each year, starting October 1, 2024. These senior unsecured obligations are fully and unconditionally guaranteed by Essex Property Trust.

The offering is expected to close on March 14, 2024, contingent upon certain closing conditions being met. The proceeds from the offering are intended for the repayment of approaching debt maturities, including a portion of the Issuer’s 3.875% senior unsecured notes due in May 2024. Remaining funds may be allocated to general corporate and working capital purposes, which could encompass potential acquisition opportunities. Until such applications, the net proceeds may be temporarily invested in short-term securities.

A consortium of financial institutions led the book-running for the offering, including Wells Fargo Securities, LLC, J.P. Morgan Securities LLC, PNC Capital Markets LLC, U.S. Bancorp Investments, Inc., and Citigroup Global Markets Inc. Several other firms served as senior co-managers and co-managers for the offering.

The offering was filed with the U.S. Securities and Exchange Commission (SEC), and relevant documents are available through the SEC’s online database. This press release does not constitute a sales offer or a solicitation to buy the securities, nor will there be any sale in jurisdictions where such offer, solicitation, or sale would be unlawful.

Essex Property Trust is part of the and currently holds interests in 252 apartment communities, totaling approximately 62,000 homes, with additional properties under development.

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