AVALONBAY COMMUNITIES INC (AVB) · Material Event (8-K) SEC Filing

EX-99.1 2 q22026ex-991.htm EX-99.1 DocumentExhibit 99.2Exhibit 99.1For Immediate News ReleaseJuly 22, 2026AVALONBAY COMMUNITIES, INC.PROVIDES Q2 2026 RESULTS, INCREASES SAME STORE OUTLOOK, ANDSUSPENDS EPS, FFO, AND CORE FFO OUTLOOK DUE TO PROPOSED MERGER(Arlington, VA) AvalonBay Communities, Inc. (NYSE AVB) (the Company ) reported Earnings per Share diluted ( EPS ), Funds from Operations attributable to common stockholders - diluted ( FFO ) per share and Core FFO per share (as defined in this release) for the three and six months ended June 30, 2026 and 2025 as detailed below. Q2 2026 Q2 2025 % Change EPS $ 1.11 $ 1.88 (41.0) % FFO per share (1) $ 2.73 $ 2.80 (2.5) % Core FFO per share (1) $ 2.86 $ 2.82 1.4 % YTD 2026 YTD 2025 % Change EPS $ 3.43 $ 3.54 (3.1) % FFO per share (1) $ 5.46 $ 5.59 (2.3) % Core FFO per share (1) $ 5.69 $ 5.65 0.7 % (1) For additional detail on reconciling items between EPS, FFO and Core FFO, see Definitions and Reconciliations, table 4. Commenting on the Company's results, Benjamin W. Schall, President and CEO of the Company, said Our second quarter was strong, exceeding expectations, and the results reflect the enduring qualities of our business a high-quality portfolio in supply-constrained markets, a proven operating platform, and teams that execute with consistency and discipline. We are proud of AvalonBay s over 30-year history as one of the leading public multi-family operators and developers. The proposed combination with Equity Residential now provides the opportunity to draw on the foundational strengths of two exceptional organizations to create the premier company in rental housing in the country. The scale, the talent, the portfolio, the operating capabilities and the investment opportunities all come together in ways that neither company could achieve alone. We re extremely excited for our future and look forward to sharing more later this year. The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the three months ended June 30, 2026 to its results for the prior year period Q2 2026 Results Compared to Q2 2025 Per Share EPS FFO Core FFO Q2 2025 per share reported results $ 1.88 $ 2.80 $ 2.82 Same Store Residential NOI (1) 0.03 0.03 0.03 Development NOI 0.08 0.08 0.08 Overhead and other (0.02) (0.02) (0.02) Capital markets and transaction activity (0.07) (0.06) (0.05) Core FFO adjustments (2) (0.10) (0.10) Real estate gains, net, depreciation expense and other (0.69) Q2 2026 per share reported results $ 1.11 $ 2.73 $ 2.86 (1) Consists of increases of $0.07 in revenue and $0.04 in operating expenses. (2) For detail of Core FFO adjustments, see Definitions and Reconciliations, table 4. The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the three months ended June 30, 2026 to its April 2026 outlook Q2 2026 Results Compared to April 2026 Outlook Per Share EPS FFO Core FFO Projected per share (1) $ 1.28 $ 2.73 $ 2.77 Same Store Residential NOI (2) 0.09 0.09 0.09 Development NOI 0.01 0.01 0.01 Overhead and other (0.01) (0.01) (0.01) Core FFO adjustments (3) (0.09) (0.09) Real estate gains, net, depreciation expense and other (0.17) Q2 2026 per share reported results $ 1.11 $ 2.73 $ 2.86 (1) The mid-point of the Company's April 2026 outlook. (2) Consists of favorable revenue of $0.03 and lower operating expenses of $0.06. Approximately $0.03 of the operating expenses benefit is related to timing and expected to be incurred in the second half of the year. (3) For detail of Core FFO adjustments, see Definitions and Reconciliations, table 4. Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved1The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the six months ended June 30, 2026 to its results for the prior year period YTD 2026 Results Compared to YTD 2025 Per Share EPS FFO Core FFO YTD 2025 per share reported results $ 3.54 $ 5.59 $ 5.65 Same Store Residential NOI (1) 0.04 0.04 0.04 Development NOI 0.15 0.15 0.15 Commercial NOI (0.01) (0.01) (0.01) Overhead and other (0.03) (0.03) (0.03) Capital markets and transaction activity (0.13) (0.13) (0.11) Core FFO adjustments (2) (0.15) (0.15) Real estate gains, net, depreciation expense and other 0.02 YTD 2026 per share reported results $ 3.43 $ 5.46 $ 5.69 (1) Consists of increases of $0.15 in revenue and $0.11 in operating expenses. (2) For detail of non-core items, see Definitions and Reconciliations, table 4. Same Store Operating Results for the Three Months Ended June 30, 2026 Compared to the Prior Year PeriodSame Store Residential revenue increased $10,958,000, or 1.6%, to $709,586,000. Same Store Residential operating expenses increased $6,134,000, or 2.9%, to $221,034,000 and Same Store Residential NOI increased $4,824,000, or 1.0%, to $488,552,000.Commenting on the Company's operating results, Sean J. Breslin, Chief Operating Officer, said, A healthier demand environment, easing new supply, and disciplined execution by our teams delivered strong rent growth and lower operating expenses in the first half of the year, enabling us to increase Same Store NOI guidance for the full year. These factors set a strong foundation as we bring two organizations together and position the combined company to produce healthy results in the quarters ahead. Same Store Operating Results for the Six Months Ended June 30, 2026 Compared to the Prior Year PeriodSame Store Residential revenue increased $21,953,000, or 1.6%, to $1,412,006,000. Same Store Residential operating expenses increased $16,053,000, or 3.7%, to $444,551,000 and Same Store Residential NOI increased $5,900,000, or 0.6%, to $967,455,000.Development ActivityDuring the three months ended June 30, 2026, the Company completed the development of Avalon Parsippany, located in Parsippany, NJ. Avalon Parsippany contains 410 apartment homes and was constructed for a Total Capital Cost of $145,000,000.During the three months ended June 30, 2026, the Company started the construction of three apartment communities Avalon Townhome Collection Central Park, located in Denver, CO Kanso Plymouth, located in Plymouth, MA and Avalon Dulles Innovation, located in Herndon, VA.These communities are expected to contain an aggregate of 801 apartment homes and 5,000 square feet of commercial space for an estimated Total Capital Cost of $283,000,000. Avalon Townhome Collection Central Park is being developed through the Company's Developer Funding Program ( DFP ).During the six months ended June 30, 2026, the Company completed the development of two wholly-owned communities containing an aggregate of 755 apartment homes for a Total Capital Cost of $247,000,000 and started the construction of five apartment communities. These communities are expected to contain an aggregate of 1,247 apartment homes. Estimated Total Capital Cost for these communities is $471,000,000.At June 30, 2026, the Company had 27 wholly-owned Development communities under construction that are expected to contain 9,064 apartment homes and 74,000 square feet of commercial space. Estimated Total Capital Cost for these communities is $3,526,000,000.Disposition ActivityDuring the six months ended June 30, 2026, the Company sold three wholly-owned communities containing an aggregate of 884 apartment homes. These communities were sold for $340,750,000, resulting in a gain in accordance with generally accepted accounting principles in the United States ( GAAP ) of $179,688,000 and an Economic Gain of $35,836,000.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved2In July 2026, the Company sold eaves Tysons Corner, a wholly-owned community with 217 apartment homes, located in Vienna, VA for $68,050,000.Structured Investment Program ( SIP ) ActivityAs previously disclosed, during the three months ended June 30, 2026, the Company entered into one new mezzanine loan commitment, agreeing to provide an investment of up to $15,000,000. During the six months ended June 30, 2026, the Company received full repayment of $17,580,000 for one mezzanine loan, which includes principal and contractual accrued interest in accordance with the terms of the agreement. Both the repayment and new commitment were for multifamily development projects in Metro NY NJ.Liquidity and Capital MarketsAt June 30, 2026, the Company had $80,682,000 in unrestricted cash and cash equivalents.Debt ActivityDuring the three months ended June 30, 2026, the Company repaid $475,000,000 principal amount of its 2.95% coupon unsecured notes at par upon maturity.As of June 30, 2026, the Company did not have any borrowings outstanding under its Credit Facility and had outstanding borrowings of $915,786,000 under its unsecured commercial paper program.The Company s annualized Net Debt-to-Core EBITDAre (as defined in this release) for the second quarter of 2026 was 4.6 times and Unencumbered NOI (as defined in this release) for the six months ended June 30, 2026 was 95%.Equity ActivityDuring the three months ended June 30, 2026, the Company settled outstanding equity forward contracts entered into during 2024, issuing 2,760,000 shares of common stock at $220.08 per share for proceeds of $607,433,000. In July 2026, the Company settled the remaining outstanding equity forward contracts, issuing 920,000 shares of common stock at $219.52 per share for proceeds of $201,958,000.There were no repurchases of common stock during the three months ended June 30, 2026. During the six months ended June 30, 2026, the Company repurchased 1,130,336 shares of common stock at an average price of $175.59 per share, including fees, for a total of $198,480,000. There have been no repurchases subsequent to June 30, 2026.Proposed Merger with Equity ResidentialOn May 21, 2026, Equity Residential (NYSE EQR) and the Company announced a definitive agreement to combine in an all-stock merger of equals, creating one of the country's leading real estate companies with the differentiated scale, capabilities, and balance sheet strength to expand margins, accelerate growth, and redefine leadership in rental housing. The combined company will have a pro forma equity market capitalization of approximately $53 billion and a total enterprise value of approximately $71 billion, with more than 180,000 rental apartments (data as of July 17, 2026).On June 8, 2026, the combined company announced the executive leadership team, led by Benjamin W. Schall, who will serve as the President and CEO of the combined company.Under the terms of the merger agreement, the combined company's board will consist of 14 trustees, including seven members of the current Equity Residential board and seven members of the current AvalonBay board. The following members of the Equity Residential board will serve on the combined company board as of the closing of the merger David J. Neithercut, Angela M. Aman, Chris Carr, Mary Kay Haben, Ann C. Hoff, Nina P. Jones and Stephen E. Sterrett. The following members of the AvalonBay board will serve on the combined company board as of the closing of the merger Timothy J. Naughton, Benjamin W. Schall, Terry S. Brown, Conor C. Flynn, Christopher B. Howard, Charles E. Mueller Jr., and Susan Swanezy. Pursuant to the merger agreement, Mr. Sterrett will be appointed to serve as the Chairman of the combined company board.On August 12, 2026, the Company will hold its special meeting of stockholders and Equity Residential will hold its special meeting of shareholders related to the proposed merger. For further information, please refer to the definitive joint proxy statement prospectus filed by each of the Company and Equity Residential with the Securities and Exchange Commission (the SEC ) on July 13, 2026.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved3Same Store Full Year 2026 Financial OutlookFor its Same Store portfolio full year 2026 financial outlook, the Company expects the following Full Year Same Store Projected Revenue, Projected Operating Expenses and Projected NOI Outlook (1) Original Updated Low High Low High Projected revenue change 0.4 % % 2.4 % 1.1 % % 2.1 % Projected Opex change 2.7 % % 4.9 % 3.0 % % 4.0 % Projected NOI change (0.7) % % 1.3 % % % 1.4 % (1) Represents projections of the standalone Company compared to full year 2025 and excludes the impact of the proposed merger. Other MattersIn light of the Company s proposed merger of equals with Equity Residential, the Company will not hold a conference call to discuss its second quarter 2026 financial results.The Company produces Earnings Release Attachments (the Attachments ) that provide more detailed information regarding financial information and operating, development, redevelopment, disposition and acquisition activity. These Attachments are considered a part of this earnings release and are available in full with this earnings release via the Company's website at https investors.avalonbay.com. To receive future press releases via e-mail, please submit a request through https investors.avalonbay.com news-events email-alerts.In addition to the Attachments, the Company is providing an investor presentation in connection with this release that will be available on the Company's website at https investors.avalonbay.com after the market close on July 22, 2026.About AvalonBay Communities, Inc.AvalonBay Communities, Inc., a member of the S P 500, is an equity REIT that develops, redevelops, acquires and manages apartment communities in leading metropolitan areas in Boston, Massachusetts, the New York New Jersey Metro area, the Mid-Atlantic, Seattle, Washington, and Northern and Southern California, as well as in the Company's expansion regions of Raleigh-Durham and Charlotte, North Carolina, Southeast Florida, Dallas and Austin, Texas, and Denver, Colorado. As of June 30, 2026, the Company owned or held a direct or indirect ownership interest in 322 apartment communities containing 99,072 apartment homes in 11 states and the District of Columbia, of which 27 communities were under development and one community was under redevelopment. More information may be found on the Company s website at https www.avalonbay.com. For additional information, please contact Matthew Grover, Senior Director of Investor Relations, at 703-317-4524.Forward-Looking StatementsThis release, including its Attachments, contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act ), and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The Company's forward-looking statements generally use the words believe, expect, anticipate, intend, estimate, assume, project, plan, may, shall, will, pursue, outlook and other similar expressions that indicate future events and trends and do not report historical matters. These statements, among other things, address or reflect the Company s intent, belief, forecasts, assumptions or expectations with respect to development, redevelopment, acquisition or disposition of communities the timing and cost of completion of communities under development or redevelopment the timing of lease-up, occupancy and stabilization of communities pursuit of land for future development the anticipated operating performance of communities cost, yield, revenue, NOI and earnings estimates the impact of landlord-tenant laws and rent regulations, including rent caps the Company s expansion into new regions declaration or payment of dividends joint venture activities the Company s policies regarding investments, indebtedness, acquisitions, dispositions, financings and other matters the Company s qualification as a REIT under the Internal Revenue Code of 1986, as amended the real estate markets in regions where the Company operates and in general the availability of debt and equity financing interest rates, inflation, tariffs and other economic conditions and their potential impacts trends affecting the Company s financial condition or results of operations legal and regulatory changes the impact of legal proceedings the proposed transaction between the Company and Equity Residential the expected timing and completion of the proposed transaction and the anticipated benefits of the proposed transaction.The Company cannot assure the future results or outcome of the matters described in these statements rather these statements reflect the Company s current expectations of the outcomes of the matters discussed. The Company does not undertake a duty to update these forward-looking statements, and therefore they may not represent the Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved4Company s estimates and assumptions after the date of this release. You should not rely on forward-looking statements because they involve risks and uncertainties and other factors, some of which are beyond the Company s control. These risks, uncertainties and other factors may cause the Company s actual results, performance or achievements to differ materially from the anticipated future results, performance or achievements expressed or implied by these forward-looking statements. You should carefully review the discussion under Part I, Item 1A. Risk Factors of the Company s Form 10-K for the year ended December 31, 2025 and Part II, Item 1A. Risk Factors in subsequent quarterly reports on Form 10-Q, as well as the risks described in the Definitive Joint Proxy Statement Prospectus (as defined below) that has been filed with the SEC in connection with the proposed transaction and is available from the sources indicated below, for further discussion of risks associated with forward-looking statements.Some of the factors that could cause the Company s actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements include, but are not limited to, the following the Company may fail to secure development opportunities due to an inability to reach agreements with third parties to obtain land at attractive prices or to obtain desired zoning and other local approvals the Company may abandon or defer development opportunities for a number of reasons, including changes in local market conditions which make development less desirable, increases in costs of development, increases in the cost of capital or lack of capital availability, resulting in losses construction costs of a community may exceed original estimates the Company may be unable to complete planned dispositions, or may complete such transactions on different timing or terms than expected the Company may not complete construction and lease-up of communities under development or redevelopment on schedule, resulting in increased interest costs and construction costs and a decrease in expected rental revenues occupancy rates and market rents may be adversely affected by competition and local economic and market conditions which are beyond the Company s control the Company s cash flows from operations and access to cost-effective capital may be insufficient for the development of the Company s pipeline, which could limit the Company s pursuit of opportunities an outbreak of disease or other public health event may affect the multifamily industry and general economy the Company s cash flows may be insufficient to meet required payments of principal and interest, and the Company may be unable to refinance existing indebtedness or the terms of such refinancing may not be as favorable as the terms of existing indebtedness the Company may be unsuccessful in its management of joint ventures and the REIT vehicles that are used with certain joint ventures the Company may experience a casualty loss, natural disaster or severe weather event, including those caused by climate change new or existing laws and regulations implementing rent control or rent stabilization, or otherwise limiting the Company s ability to increase rents, charge non-rent fees or evict tenants, may impact its revenue or increase costs the Company s expectations, estimates and assumptions as of the date of this filing regarding legal proceedings may change the Company s assumptions and expectations in its financial outlook may prove to be too optimistic the Company may choose to pay dividends in its stock instead of cash, which may result in stockholders having to pay taxes with respect to such dividends in excess of the cash received, if any investments made under the SIP may not be repaid as expected or the development may not be completed on schedule, which could require the Company to engage in litigation, foreclosure actions, and or first party project completion to recover its investment, which may not be recovered in full or at all in such event the Company may be unable to complete the proposed transaction with Equity Residential on the proposed terms or on the anticipated timeline, or at all, including as a result of the failure to obtain the required respective stockholder or shareholder, as applicable, approval the Company may not realize the anticipated benefits of the proposed transaction due to delay in completing the proposed transaction the Company may face significant transaction costs and or unknown or inestimable liabilities relating to the proposed transaction the Company may face disruptions resulting from the proposed transaction, including the diversion of management s attention from ongoing business operations, which may harm the Company s business during the pendency of the proposed transaction or otherwise the Company may face certain restrictions during the pendency of the business combination that may impact its ability to pursue certain business opportunities or strategic transactions the possibility that the business combination may be more expensive to complete than anticipated, including as a result of unexpected factors or events the occurrence of certain events that may result in the termination of the merger agreement and the Company s financial performance may be affected by potential business uncertainty during the pendency of the business combination. No Offer or SolicitationThis press release is for informational purposes only and is not intended to, and shall not, constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved5offer to buy any securities or a solicitation of any vote or approval, nor shall there be any offer, solicitation or sale of securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act.Important Additional Information and Where to Find ItIn connection with the proposed transaction between the Company and Equity Residential, Equity Residential has filed with the SEC a registration statement on Form S-4 (File No. 333-297128) (the Registration Statement ) which includes the joint proxy statement of the Company and Equity Residential that also constitutes a prospectus of Equity Residential. The Registration Statement was declared effective on July 13, 2026, and each of the Company and Equity Residential commenced mailing of the definitive joint proxy statement of the Company and Equity Residential that also constitutes a prospectus of Equity Residential (the Definitive Joint Proxy Statement Prospectus ) to their respective stockholders or shareholders, as applicable, on or about July 13, 2026. Each of the Company and Equity Residential may also file other relevant documents with the SEC regarding the proposed transaction. This press release is not a substitute for the Registration Statement, Definitive Joint Proxy Statement Prospectus or any other document that the Company or Equity Residential (as applicable) have filed or may file with the SEC in connection with the proposed transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS OF AVALONBAY AND EQUITY RESIDENTIAL ARE URGED TO READ CAREFULLY AND IN THEIR ENTIRETY THE REGISTRATION STATEMENT, THE DEFINITIVE JOINT PROXY STATEMENT PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS WHEN THEY BECOME AVAILABLE WITH THE SEC BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION AND RELATED MATTERS. Investors and security holders may obtain free copies of the Registration Statement, the Definitive Joint Proxy Statement Prospectus and other documents filed with the SEC by the Company and Equity Residential, which contain important information, through the website maintained by the SEC at www.sec.gov. The documents filed by the Company with the SEC may be obtained free of charge by accessing the Investor section of the Company s website at www.avalonbay.com or by writing to AvalonBay, 4040 Wilson Blvd., Suite 1000, Arlington, Virginia 22203, Attention Corporate Secretary (Legal Department) or by email at investor_relations avalonbay.com. The documents filed by Equity Residential with the SEC may be obtained free of charge by accessing Filings SEC Filings in the Investor section of Equity Residential s website at www.equityapartments.com, by writing to Equity Residential Investor Relations, Two North Riverside Plaza, Suite 500, Chicago, Illinois 60606, by telephone at 1-888-879-6356 or by email at investorrelations eqr.com.Participants in the SolicitationThe Company, Equity Residential, and certain of their respective trustees, directors and executive officers may be deemed to be participants in the solicitation of proxies from the Company s and Equity Residential s stockholders or shareholders, as applicable, in respect of the proposed transaction. Information about the directors and executive officers of the Company, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in the Company s proxy statement for its 2026 Annual Meeting of Stockholders under the headings Director Nominees, Transactions with Related Persons, Promoters and Certain Control Persons, Director Compensation, Director Compensation Table, Compensation Discussion and Analysis, Executive Compensation Tables and Officers, Stock Ownership and Other Information, which was filed with the SEC on April 6, 2026, and in the Company s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 27, 2026. Information about the trustees and executive officers of Equity Residential, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Equity Residential s proxy statement for its 2026 Annual Meeting of Shareholders under the headings Biographical Information and Qualifications of Trustees, Biographical Information of Executives, Common Share Ownership of Trustees and Executives, Compensation Discussion and Analysis, Executive Compensation and Trustee Compensation, which was filed with the SEC on April 14, 2026, and in Equity Residential s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 13, 2026. To the extent holdings of the Company s securities by its directors and executive officers have changed since the amounts set forth in the Company s definitive proxy statement for its 2026 Annual meeting of Stockholders or the holdings of Equity Residential s securities by its trustees or executive officers have changed since the amounts set forth in Equity Residential s definitive proxy statement for its 2026 Annual Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved6Meeting of Shareholders, such changes have been or will be reflected on an Initial Statement of Beneficial Ownership of Securities on Form 3, Statement of Changes in Beneficial Ownership on Form 4, or Annual Statement of Changes in Beneficial Ownership on Form 5, in each case filed with the SEC and available on the SEC s website at www.sec.gov. Other information regarding the participants in the proxy solicitations and a description of their direct and indirect interests, by security holdings or otherwise, are contained in the Registration Statement, the Definitive Joint Proxy Statement Prospectus and other relevant materials to be filed with the SEC regarding the proposed transaction when such materials become available. Investors and security holders should read the Registration Statement and the Definitive Joint Proxy Statement Prospectus carefully before making any voting or investment decisions. Investors may obtain free copies of these documents from the Company or Equity Residential using the sources indicated above.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved7Definitions and ReconciliationsNon-GAAP financial measures and other capitalized terms, as used in this earnings release, are defined, reconciled and further explained on Attachment 11, Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. Attachment 11 is included in the full earnings release available at the Company s website at https investors.avalonbay.com. This wire distribution includes only the following definitions and reconciliations.Average Monthly Revenue per Occupied Home is calculated by the Company as Residential revenue in accordance with GAAP, divided by the weighted average number of occupied apartment homes.Capitalized Community Expenditures includes Asset Preservation Capex and NOI Enhancing Capex. Asset Preservation Capex represents capital expenditures that the Company does not expect will directly result in increased revenue or expense savings. NOI Enhancing Capex represents capital expenditures that the Company expects will directly result in increased revenue or expense savings, and excludes any capital expenditures for redevelopment activities.Both Asset Preservation Capex and NOI Enhancing Capex exclude costs associated with our Development communities under construction, including post-construction close out costs, as well as capital expenditures associated with newly acquired communities that were contemplated as part of the initial investment in the community. The Company s Residential Capitalized Community Expenditures for Same Store and Non-Same Store operating portfolios during the six months ended June 30, 2026 are as follows (dollars in thousands) TABLE 1 Apartment Homes Asset Preservation NOI Enhancing YTD 2026 Per Home YTD 2026 Per Home Same Store 79,473 $ 98,066 $ 1,234 $ 62,268 $ 784 Non-Same Store 6,266 8,384 1,338 1,446 231 Total 85,739 $ 106,450 $ 1,242 $ 63,714 $ 743 Commercial represents results attributable to the non-apartment components of the Company's mixed-use communities and other non-residential operations.Development is composed of consolidated communities that are either currently under construction, or were under construction and were completed during the current year. These communities may be partially or fully complete and operating.DownREIT Units means units representing limited partnership interests in the downREIT partnership that acquired the Dallas-Fort Worth portfolio of six communities in April 2025. Each DownREIT Unit is entitled to receive quarterly distributions at the same rate as quarterly dividends on a share of the Company s common stock (pro rated for the time outstanding during the first quarter of issuance). Following the one-year anniversary of the closing date, each holder of a DownREIT Unit will have the right to initiate a transaction in which each DownREIT Unit may be redeemed for a cash amount related to the then-current trading price of one share of the Company s common stock or, at the Company s election, one share of the Company s common stock.EBITDA, EBITDAre and Core EBITDAre are considered by management to be supplemental measures of our financial performance. EBITDA is defined by the Company as net income or loss computed in accordance with GAAP before interest expense, income taxes, depreciation and amortization. EBITDAre is calculated by the Company in accordance with the definition adopted by the Board of Governors of the National Association of Real Estate Investment Trusts ( Nareit ), as EBITDA plus or minus losses and gains on the disposition of depreciated property, plus casualty loss and impairment write-downs of depreciated property, with adjustments to reflect the Company's share of EBITDAre of unconsolidated entities. Core EBITDAre is the Company s EBITDAre as adjusted for non-core items outlined in the table below. By further adjusting for items that are not considered part of the Company s core business operations, Core EBITDAre can help one compare the core operating and financial performance of the Company between periods. A reconciliation of EBITDA, EBITDAre and Core EBITDAre to net income is as follows (dollars in thousands) Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved8 TABLE 2 Q2 2026 Net income $ 156,893 Interest expense and loss on extinguishment of debt 72,208 Income tax expense 70 Depreciation expense 232,975 EBITDA $ 462,146 Loss on sale of communities 338 Unconsolidated entity EBITDAre adjustments (1) 3,361 EBITDAre $ 465,845 Unconsolidated entity activity (7,464) Structured Investment Program loan reserve 102 Advocacy contributions 525 Severance related costs 74 Expensed transaction, development and other pursuit costs, net of recoveries 19,085 Other real estate activity (223) Legal settlements and costs 6,317 Core EBITDAre $ 484,261 (1) Includes joint venture interest, taxes, depreciation, gain on dispositions of depreciated real estate and impairment losses, if applicable, included in net income. Economic Gain is calculated by the Company as the gain on sale in accordance with GAAP, less accumulated depreciation through the date of sale and any other adjustments that may be required under GAAP accounting. Management generally considers Economic Gain to be an appropriate supplemental measure to gain on sale in accordance with GAAP because it helps investors to understand the relationship between the cash proceeds from a sale and the cash invested in the sold community. The Economic Gain for disposed communities is based on their respective final settlement statements. A reconciliation of the aggregate Economic Gain to the aggregate gain on sale in accordance with GAAP for the wholly-owned communities disposed of during the six months ended June 30, 2026 is as follows (dollars in thousands) TABLE 3 YTD 2026 Net Gain on sale in accordance with GAAP $ 179,688 Accumulated Depreciation and Other (143,852) Economic Gain $ 35,836 Economic Occupancy is defined as total possible Residential revenue less vacancy loss as a percentage of total possible Residential revenue. Total possible Residential revenue (also known as gross potential ) is determined by valuing occupied units at contract rates and vacant units at Market Rents. Vacancy loss is determined by valuing vacant units at current Market Rents. By measuring vacant apartments at their Market Rents, Economic Occupancy takes into account the fact that apartment homes of different sizes and locations within a community have different economic impacts on a community s gross revenue.FFO and Core FFO are generally considered by management to be appropriate supplemental measures of our operating and financial performance. FFO is calculated by the Company in accordance with the definition adopted by Nareit. FFO is calculated by the Company as Net income or loss attributable to common stockholders computed in accordance with GAAP, adjusted for gains or losses on sales of previously depreciated operating communities, cumulative effect of a change in accounting principle, impairment write-downs of depreciable real estate assets, write-downs of investments in affiliates due to a decrease in the value of depreciable real estate assets held by those affiliates and depreciation of real estate assets, including similar adjustments for unconsolidated partnerships and joint ventures, including those from a change in control. FFO can help one compare the operating and financial performance of a real estate company between periods or as compared to different companies because adjustments such as (i) gains or losses on sales of previously depreciated property or (ii) real estate depreciation may impact comparability between companies as the amount and timing of these or similar items can vary among owners of identical assets in similar condition based on historical cost accounting and useful life estimates. Core FFO is the Company's FFO as adjusted for non-core items outlined in the table below. By further adjusting for items that we do not consider to be part of our core business Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved9operations, Core FFO can help with the comparison of core operating performance of the Company between periods. A reconciliation of Net income attributable to common stockholders to FFO and to Core FFO is as follows (dollars in thousands) TABLE 4 Q2 Q2 YTD YTD 2026 2025 2026 2025 Net income attributable to common stockholders $ 155,720 $ 268,665 $ 481,450 $ 505,262 Depreciation - real estate assets, including joint venture adjustments 230,319 230,264 460,921 446,891 Income attributable to noncontrolling interests 1,173 1,190 3,733 1,190 Loss (gain) on sale of previously depreciated real estate 338 (99,457) (179,574) (155,926) Casualty loss on real estate 858 4,619 858 FFO 387,550 401,520 771,149 798,275 Adjusting items Unconsolidated entity activity (1) (7,464) 1,223 (348) 2,465 Structured Investment Program loan reserve (2) 102 (247) (162) (230) Hedge accounting activity 3 12 22 Advocacy contributions 525 87 2,659 87 Severance related costs 74 26 1,187 202 Expensed transaction, development and other pursuit costs, net of recoveries (3) 19,085 1,407 21,666 5,295 Other real estate activity (4) (223) (3,614) (307) (3,747) Legal settlements and costs 6,317 4,098 9,091 5,576 Income tax expense (benefit) 70 (531) (224) (647) Core FFO $ 406,036 $ 403,972 $ 804,723 $ 807,298 Weighted average common shares outstanding - diluted 141,834,769 143,292,306 141,323,779 142,889,432 Earnings per common share - diluted $ 1.11 $ 1.88 $ 3.43 $ 3.54 FFO per common share - diluted $ 2.73 $ 2.80 $ 5.46 $ 5.59 Core FFO per common share - diluted $ 2.86 $ 2.82 $ 5.69 $ 5.65 (1) Amounts for Q2 and YTD 2026 consist primarily of unrealized gains on property technology and sustainability fund investments, as well as distributions from an unconsolidated real estate venture. Amounts for Q2 and YTD 2025 consist primarily of net unrealized losses on property technology and sustainability fund investments. (2) Represents changes to the loan loss reserve associated with the Company's lending commitments primarily under its SIP. The timing and amount of any actual losses that will be incurred, if any, is to be determined. (3) Amount for Q2 and YTD 2026 includes costs related to the proposed merger with Equity Residential of $12,367 and a write-off of $4,545 for one development opportunity that the Company determined is no longer probable. Amount for YTD 2025 includes a write-off of $3,668 for one development opportunity that the Company determined is no longer probable. (4) Amounts for Q2 and YTD 2026 include gains on sale of non-operating real estate. Amounts for Q2 and YTD 2025 consist primarily of the gain on the sale of a development right. Interest Coverage is calculated by the Company as Core EBITDAre divided by interest expense. Interest Coverage is presented by the Company because it provides rating agencies and investors an additional means of comparing our ability to service debt obligations to that of other companies. A calculation of Interest Coverage for the three months ended June 30, 2026 is as follows (dollars in thousands) TABLE 5 Core EBITDAre (1) $ 484,261 Interest expense (2) $ 72,208 Interest Coverage 6.7 times (1) For additional detail, see Definitions and Reconciliations, table 2. (2) Excludes the impact of non-core hedge accounting activity. Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved10Market Cap Rate is defined by the Company as Projected NOI of a single community for the first 12 months of operations (assuming no repositioning), less an estimate of typical capital expenditure allowance per apartment home, divided by the gross sales price for the community. Projected NOI, as referred to above, represents management s estimate of projected rental revenue minus projected operating expenses before interest, income taxes (if any), depreciation and amortization. For this purpose, management s projection of operating expenses for the community includes a management fee of 2.5% and an estimate of typical market costs for insurance, payroll and other operating expenses for which the Company may have proprietary advantages not available to a typical buyer. The Market Cap Rate, which may be determined in a different manner by others, is a measure frequently used in the real estate industry when determining the appropriate purchase price for a property or estimating the value for a property. Buyers may assign different Market Cap Rates to different communities when determining the appropriate value because they (i) may project different rates of change in operating expenses and capital expenditure estimates and (ii) may project different rates of change in future rental revenue due to different estimates for changes in rent and occupancy levels. The weighted average Market Cap Rate is weighted based on the gross sales price of each community.Market Rents as reported by the Company are based on the current market rates set by the Company based on its experience in renting apartments and publicly available market data. Market Rents for a period are based on the average Market Rents during that period and do not reflect any impact for cash concessions.Net Debt-to-Core EBITDAre is calculated by the Company as total debt (secured and unsecured debt, and the Company's Credit Facility and commercial paper program) that is consolidated for financial reporting purposes, less consolidated cash and restricted cash, divided by annualized second quarter 2026 Core EBITDAre. A calculation of Net Debt-to-Core EBITDAre is as follows (dollars in thousands) TABLE 6 Total debt principal (1) $ 9,079,099 Cash and cash equivalents and restricted cash (209,288) Net debt $ 8,869,811 Core EBITDAre (2) $ 484,261 Core EBITDAre, annualized $ 1,937,044 Net Debt-to-Core EBITDAre 4.6 times (1) Balance at June 30, 2026 excludes $41,604 of debt discount and deferred financing costs as reflected in unsecured debt, net, $12,400 of debt discount and deferred financing costs as reflected in notes payable, net, and $314 of commercial paper discount as reflected in unsecured credit facility and commercial paper, net on the Condensed Consolidated Balance Sheets. (2) For additional detail, see Definitions and Reconciliations, table 2. NOI is defined by the Company as total property revenue less direct property operating expenses (including property taxes), and excluding corporate-level income (including management, development and other fees), property management and other indirect operating expenses, net of corporate income, expensed transaction, development and other pursuit costs, net of recoveries, interest expense, net, loss on extinguishment of debt, net, general and administrative expense, (income) loss from unconsolidated investments, SIP interest income, depreciation expense, income tax (benefit) expense, casualty loss, (gain) loss on sale of communities, other real estate activity and net operating income from real estate assets sold or held for sale. The Company considers NOI to be an important and appropriate supplemental performance measure to net income because it helps both investors and management to understand the core operations of a community or communities prior to the allocation of any corporate-level property management overhead or financing-related costs. NOI reflects the operating performance of a community and allows for an easier comparison of the operating performance of individual assets or groups of assets. In addition, because prospective buyers of real estate have different financing and overhead structures, with varying marginal impact to overhead as a result of acquiring real estate, NOI is considered by many in the real estate industry to be a useful measure for determining the value of a real estate asset or group of assets.Residential NOI represents results attributable to the Company's apartment rental operations, including parking and other ancillary Residential revenue. Reconciliations of NOI and Residential NOI to net income, as well as a breakdown of Residential NOI by operating segment, are as follows (dollars in thousands) Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved11 TABLE 7 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Net income $ 156,893 $ 269,855 $ 328,290 $ 165,985 $ 485,183 $ 506,452 Property management and other indirect operating expenses, net of corporate income 38,483 38,153 38,100 36,101 76,583 74,254 Expensed transaction, development and other pursuit costs, net of recoveries 19,976 2,493 3,416 2,217 23,392 7,237 Interest expense, net 70,070 64,801 71,489 69,106 141,559 124,665 General and administrative expense 27,137 22,997 22,077 21,874 49,214 42,777 (Income) loss from unconsolidated investments (7,647) 1,052 6,527 745 (1,120) 2,051 SIP interest income (7,704) (6,937) (7,481) (7,594) (15,185) (13,050) Depreciation expense 232,975 231,730 233,104 233,387 466,079 449,618 Income tax expense (benefit) 70 (531) (294) (295) (224) (647) Casualty loss 858 4,619 418 4,619 858 Loss (gain) on sale of communities, net 338 (99,457) (179,912) 368 (179,574) (155,926) Other real estate activity (223) (3,637) (84) (212) (307) (3,792) NOI from real estate assets sold or held for sale (1,124) (15,631) (3,392) (6,680) (4,516) (33,379) NOI 529,244 505,746 516,459 515,420 1,045,703 1,001,118 Commercial NOI (7,572) (7,180) (8,317) (7,428) (15,889) (17,072) Residential NOI $ 521,672 $ 498,566 $ 508,142 $ 507,992 $ 1,029,814 $ 984,046 Residential NOI Same Store Boston, MA $ 65,321 $ 65,497 $ 62,913 $ 63,834 $ 128,234 $ 129,061 Metro NY NJ 96,972 97,839 94,127 95,680 191,099 193,053 Mid-Atlantic 63,969 65,631 63,245 63,876 127,214 130,627 Southeast FL 17,073 16,965 17,881 18,271 34,954 35,895 Denver, CO 9,168 9,125 9,644 9,190 18,812 18,735 Seattle, WA 33,776 34,646 33,602 34,026 67,378 68,978 N. California 84,055 77,070 80,051 77,866 164,106 154,552 S. California 108,166 106,725 106,866 108,531 215,032 210,639 Other Expansion Regions 10,052 10,230 10,574 10,194 20,626 20,015 Total Same Store 488,552 483,728 478,903 481,468 967,455 961,555 Other Stabilized 19,549 10,274 19,014 18,964 38,563 13,575 Development Redevelopment 13,571 4,564 10,225 7,560 23,796 8,916 Residential NOI $ 521,672 $ 498,566 $ 508,142 $ 507,992 $ 1,029,814 $ 984,046 NOI as reported by the Company does not include the operating results from assets sold or classified as held for sale. A reconciliation of NOI from communities sold or classified as held for sale is as follows (dollars in thousands) TABLE 8 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Revenue from real estate assets sold or held for sale $ 1,570 $ 23,665 $ 5,955 $ 10,174 $ 7,525 $ 50,407 Operating expenses from real estate assets sold or held for sale (446) (8,034) (2,563) (3,494) (3,009) (17,028) NOI from real estate assets sold or held for sale $ 1,124 $ 15,631 $ 3,392 $ 6,680 $ 4,516 $ 33,379 Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved12Commercial NOI is composed of the following components (dollars in thousands) TABLE 9 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Commercial Revenue $ 10,061 $ 9,163 $ 10,861 $ 9,954 $ 20,922 $ 20,770 Commercial Operating Expenses (2,489) (1,983) (2,544) (2,526) (5,033) (3,698) Commercial NOI $ 7,572 $ 7,180 $ 8,317 $ 7,428 $ 15,889 $ 17,072 Other Stabilized is composed of completed consolidated communities that the Company owns, which have Stabilized Operations as of January 1, 2026, or which were acquired subsequent to January 1, 2025. Other Stabilized excludes communities that are conducting or are probable to conduct substantial redevelopment activities.Projected NOI, as used within this release for certain Development communities and in calculating the Market Cap Rate for dispositions, represents management s estimate, as of the date of this release (or as of the date of the buyer s valuation in the case of dispositions), of projected stabilized rental revenue minus projected stabilized operating expenses. For Development communities, Projected NOI is calculated based on the first twelve months of Stabilized Operations following the completion of construction. In calculating the Market Cap Rate, Projected NOI for dispositions is calculated for the first twelve months following the date of the buyer s valuation. Projected stabilized rental revenue represents management s estimate of projected gross potential minus projected stabilized economic vacancy and adjusted for projected stabilized concessions plus projected stabilized other rental revenue. Projected stabilized operating expenses do not include interest, income taxes (if any), depreciation or amortization, or any allocation of corporate-level property management overhead or general and administrative costs. In addition, projected stabilized operating expenses for Development communities do not include property management fee expense. Projected gross potential for Development communities and dispositions is generally based on leased rents for occupied homes and management s best estimate of rental levels for homes which are currently unleased, as well as those homes which will become available for lease during the twelve-month forward period used to develop Projected NOI. The weighted average Projected NOI as a percentage of Total Capital Cost is weighted based on the Company s share of the Total Capital Cost of each community, based on its percentage ownership.Management believes that Projected NOI of the Development communities, on an aggregated weighted average basis, assists investors in understanding management's estimate of the likely impact on operations of the Development communities when the assets are complete and achieve stabilized occupancy (before allocation of any corporate-level property management overhead, general and administrative costs or interest expense). However, in this release the Company has not given a projection of NOI on a company-wide basis. Given the different dates and fiscal years for which NOI is projected for these communities, the projected allocation of corporate-level property management overhead, general and administrative costs and interest expense to communities under development is complex, impractical to develop, and may not be meaningful. Projected NOI of these communities is not a projection of the Company's overall financial performance or cash flow. There can be no assurance that the communities under development will achieve the Projected NOI as described in this release.Redevelopment is composed of consolidated communities where substantial redevelopment is in progress or is probable to begin during the current year. Redevelopment is considered substantial when (i) capital invested during the reconstruction effort is expected to exceed the lesser of $5,000,000 or 10% of the community s pre-redevelopment basis and (ii) physical occupancy is below or is expected to be below 90% during or as a result of the redevelopment activity.Residential represents results attributable to the Company's apartment rental operations, including parking and other ancillary Residential revenue.Residential Revenue with Concessions on a Cash Basis is considered by the Company to be a supplemental measure to Residential revenue in conformity with GAAP to help investors evaluate the impact of both current and historical concessions on GAAP-based Residential revenue and to more readily enable comparisons to revenue as reported by other companies. In addition, Residential Revenue with Concessions on a Cash Basis allows an investor to understand the historical trend in cash concessions.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved13A reconciliation of Same Store Residential revenue in conformity with GAAP to Residential Revenue with Concessions on a Cash Basis is as follows (dollars in thousands) TABLE 10 Q2 Q2 Q1 YTD YTD 2026 2025 2026 2026 2025 Residential revenue (GAAP basis) $ 709,586 $ 698,628 $ 702,420 $ 1,412,006 $ 1,390,053 Residential concessions amortized 7,066 5,698 6,893 13,959 11,303 Residential concessions granted (4,482) (4,364) (5,572) (10,054) (9,351) Residential Revenue with Concessions on a Cash Basis $ 712,170 $ 699,962 $ 703,741 $ 1,415,911 $ 1,392,005 Q2 2026 vs. Q2 2025 Q2 2026vs. Q1 2026 YTD 2026vs. YTD 2025 % change -- GAAP revenue 1.6 % 1.0 % 1.6 % % change -- cash revenue 1.7 % 1.2 % 1.7 % Same Store is composed of consolidated communities where a comparison of operating results from the prior year to the current year is meaningful as these communities were owned and had Stabilized Operations, as defined below, as of the beginning of the respective prior year period. Therefore, for 2026 operating results, Same Store is composed of consolidated communities that have Stabilized Operations as of January 1, 2025, are not conducting or are not probable to conduct substantial redevelopment activities and are not held for sale or probable for disposition within the current year.Stabilized Operations is defined as operations of a community that occur after the earlier of (i) attainment of 90% physical occupancy or (ii) the one-year anniversary of completion of development or redevelopment.Total Capital Cost includes all capitalized costs projected to be or actually incurred to develop the respective Development or Redevelopment community, including land acquisition costs, construction costs, real estate taxes, capitalized interest and loan fees, permits, professional fees, allocated development overhead and other regulatory fees and a contingency estimate, offset by proceeds from the sale of any associated land or improvements, all as determined in accordance with GAAP. Total Capital Cost also includes costs incurred related to first generation commercial tenants, such as tenant improvements and leasing commissions. For Redevelopment communities, Total Capital Cost excludes costs incurred prior to the start of redevelopment when indicated. With respect to communities where development or redevelopment was completed in a prior period or the current period, Total Capital Cost reflects the actual cost incurred, plus any contingency estimate made by management. Total Capital Cost for communities identified as having joint venture ownership, either during construction or upon construction completion, represents the total projected joint venture contribution amount. For joint ventures not in construction, Total Capital Cost is equal to gross real estate cost.Unconsolidated Development is composed of communities that are either currently under construction, or were under construction and were completed during the current year, in which we have an indirect ownership interest through our investment interest in an unconsolidated joint venture. These communities may be partially or fully complete and operating.Unencumbered NOI as calculated by the Company represents NOI generated by real estate assets unencumbered by outstanding secured notes payable as of June 30, 2026 as a percentage of total NOI generated by real estate assets. The Company believes that current and prospective unsecured creditors of the Company view Unencumbered NOI as one indication of the borrowing capacity of the Company. Therefore, when reviewed together with the Company s Interest Coverage, EBITDA and cash flow from operations, the Company believes that investors and creditors view Unencumbered NOI as a useful supplemental measure for determining the financial flexibility of an entity. A calculation of Unencumbered NOI for the six months ended June 30, 2026 is as follows (dollars in thousands) Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved14 TABLE 11 YTD 2026 NOI Residential NOI Same Store $ 967,455 Other Stabilized 38,563 Development Redevelopment 23,796 Total Residential NOI 1,029,814 Commercial NOI 15,889 NOI from real estate assets sold or held for sale 4,516 Total NOI generated by real estate assets 1,050,219 Less NOI on encumbered assets (52,002) NOI on unencumbered assets $ 998,217 Unencumbered NOI 95 % Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved15

EX-99.2 3 q22026ex-992.htm EX-99.2 DocumentExhibit 99.2For Immediate News ReleaseJuly 22, 2026AVALONBAY COMMUNITIES, INC.PROVIDES Q2 2026 RESULTS, INCREASES SAME STORE OUTLOOK, ANDSUSPENDS EPS, FFO, AND CORE FFO OUTLOOK DUE TO PROPOSED MERGER(Arlington, VA) AvalonBay Communities, Inc. (NYSE AVB) (the Company ) reported Earnings per Share diluted ( EPS ), Funds from Operations attributable to common stockholders - diluted ( FFO ) per share and Core FFO per share (as defined in this release) for the three and six months ended June 30, 2026 and 2025 as detailed below. Q2 2026 Q2 2025 % Change EPS $ 1.11 $ 1.88 (41.0) % FFO per share (1) $ 2.73 $ 2.80 (2.5) % Core FFO per share (1) $ 2.86 $ 2.82 1.4 % YTD 2026 YTD 2025 % Change EPS $ 3.43 $ 3.54 (3.1) % FFO per share (1) $ 5.46 $ 5.59 (2.3) % Core FFO per share (1) $ 5.69 $ 5.65 0.7 % (1) For additional detail on reconciling items between EPS, FFO and Core FFO, see Attachment 11, table 4. Commenting on the Company's results, Benjamin W. Schall, President and CEO of the Company, said Our second quarter was strong, exceeding expectations, and the results reflect the enduring qualities of our business a high-quality portfolio in supply-constrained markets, a proven operating platform, and teams that execute with consistency and discipline. We are proud of AvalonBay s over 30-year history as one of the leading public multi-family operators and developers. The proposed combination with Equity Residential now provides the opportunity to draw on the foundational strengths of two exceptional organizations to create the premier company in rental housing in the country. The scale, the talent, the portfolio, the operating capabilities and the investment opportunities all come together in ways that neither company could achieve alone. We re extremely excited for our future and look forward to sharing more later this year. The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the three months ended June 30, 2026 to its results for the prior year period Q2 2026 Results Compared to Q2 2025 Per Share EPS FFO Core FFO Q2 2025 per share reported results $ 1.88 $ 2.80 $ 2.82 Same Store Residential NOI (1) 0.03 0.03 0.03 Development NOI 0.08 0.08 0.08 Overhead and other (0.02) (0.02) (0.02) Capital markets and transaction activity (0.07) (0.06) (0.05) Core FFO adjustments (2) (0.10) (0.10) Real estate gains, net, depreciation expense and other (0.69) Q2 2026 per share reported results $ 1.11 $ 2.73 $ 2.86 (1) Consists of increases of $0.07 in revenue and $0.04 in operating expenses. (2) For detail of Core FFO adjustments, see Attachment 11, table 4. The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the three months ended June 30, 2026 to its April 2026 outlook Q2 2026 Results Compared to April 2026 Outlook Per Share EPS FFO Core FFO Projected per share (1) $ 1.28 $ 2.73 $ 2.77 Same Store Residential NOI (2) 0.09 0.09 0.09 Development NOI 0.01 0.01 0.01 Overhead and other (0.01) (0.01) (0.01) Core FFO adjustments (3) (0.09) (0.09) Real estate gains, net, depreciation expense and other (0.17) Q2 2026 per share reported results $ 1.11 $ 2.73 $ 2.86 (1) The mid-point of the Company's April 2026 outlook. (2) Consists of favorable revenue of $0.03 and lower operating expenses of $0.06. Approximately $0.03 of the operating expenses benefit is related to timing and expected to be incurred in the second half of the year. (3) For detail of Core FFO adjustments, see Attachment 11, table 4. Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved1The following table compares the Company s actual results for EPS, FFO per share and Core FFO per share for the six months ended June 30, 2026 to its results for the prior year period YTD 2026 Results Compared to YTD 2025 Per Share EPS FFO Core FFO YTD 2025 per share reported results $ 3.54 $ 5.59 $ 5.65 Same Store Residential NOI (1) 0.04 0.04 0.04 Development NOI 0.15 0.15 0.15 Commercial NOI (0.01) (0.01) (0.01) Overhead and other (0.03) (0.03) (0.03) Capital markets and transaction activity (0.13) (0.13) (0.11) Core FFO adjustments (2) (0.15) (0.15) Real estate gains, net, depreciation expense and other 0.02 YTD 2026 per share reported results $ 3.43 $ 5.46 $ 5.69 (1) Consists of increases of $0.15 in revenue and $0.11 in operating expenses. (2) For detail of non-core items, see Attachment 11, table 4. Same Store Operating Results for the Three Months Ended June 30, 2026 Compared to the Prior Year PeriodSame Store Residential revenue increased $10,958,000, or 1.6%, to $709,586,000. Same Store Residential operating expenses increased $6,134,000, or 2.9%, to $221,034,000 and Same Store Residential NOI increased $4,824,000, or 1.0%, to $488,552,000.Commenting on the Company's operating results, Sean J. Breslin, Chief Operating Officer, said, A healthier demand environment, easing new supply, and disciplined execution by our teams delivered strong rent growth and lower operating expenses in the first half of the year, enabling us to increase Same Store NOI guidance for the full year. These factors set a strong foundation as we bring two organizations together and position the combined company to produce healthy results in the quarters ahead. Same Store Operating Results for the Six Months Ended June 30, 2026 Compared to the Prior Year PeriodSame Store Residential revenue increased $21,953,000, or 1.6%, to $1,412,006,000. Same Store Residential operating expenses increased $16,053,000, or 3.7%, to $444,551,000 and Same Store Residential NOI increased $5,900,000, or 0.6%, to $967,455,000.Development ActivityDuring the three months ended June 30, 2026, the Company completed the development of Avalon Parsippany, located in Parsippany, NJ. Avalon Parsippany contains 410 apartment homes and was constructed for a Total Capital Cost of $145,000,000.During the three months ended June 30, 2026, the Company started the construction of three apartment communities Avalon Townhome Collection Central Park, located in Denver, CO Kanso Plymouth, located in Plymouth, MA and Avalon Dulles Innovation, located in Herndon, VA.These communities are expected to contain an aggregate of 801 apartment homes and 5,000 square feet of commercial space for an estimated Total Capital Cost of $283,000,000. Avalon Townhome Collection Central Park is being developed through the Company's Developer Funding Program ( DFP ).During the six months ended June 30, 2026, the Company completed the development of two wholly-owned communities containing an aggregate of 755 apartment homes for a Total Capital Cost of $247,000,000 and started the construction of five apartment communities. These communities are expected to contain an aggregate of 1,247 apartment homes. Estimated Total Capital Cost for these communities is $471,000,000.At June 30, 2026, the Company had 27 wholly-owned Development communities under construction that are expected to contain 9,064 apartment homes and 74,000 square feet of commercial space. Estimated Total Capital Cost for these communities is $3,526,000,000.Disposition ActivityDuring the six months ended June 30, 2026, the Company sold three wholly-owned communities containing an aggregate of 884 apartment homes. These communities were sold for $340,750,000, resulting in a gain in accordance with generally accepted accounting principles in the United States ( GAAP ) of $179,688,000 and an Economic Gain of $35,836,000.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved2In July 2026, the Company sold eaves Tysons Corner, a wholly-owned community with 217 apartment homes, located in Vienna, VA for $68,050,000.Structured Investment Program ( SIP ) ActivityAs previously disclosed, during the three months ended June 30, 2026, the Company entered into one new mezzanine loan commitment, agreeing to provide an investment of up to $15,000,000. During the six months ended June 30, 2026, the Company received full repayment of $17,580,000 for one mezzanine loan, which includes principal and contractual accrued interest in accordance with the terms of the agreement. Both the repayment and new commitment were for multifamily development projects in Metro NY NJ.Liquidity and Capital MarketsAt June 30, 2026, the Company had $80,682,000 in unrestricted cash and cash equivalents.Debt ActivityDuring the three months ended June 30, 2026, the Company repaid $475,000,000 principal amount of its 2.95% coupon unsecured notes at par upon maturity.As of June 30, 2026, the Company did not have any borrowings outstanding under its Credit Facility and had outstanding borrowings of $915,786,000 under its unsecured commercial paper program.The Company s annualized Net Debt-to-Core EBITDAre (as defined in this release) for the second quarter of 2026 was 4.6 times and Unencumbered NOI (as defined in this release) for the six months ended June 30, 2026 was 95%.Equity ActivityDuring the three months ended June 30, 2026, the Company settled outstanding equity forward contracts entered into during 2024, issuing 2,760,000 shares of common stock at $220.08 per share for proceeds of $607,433,000. In July 2026, the Company settled the remaining outstanding equity forward contracts, issuing 920,000 shares of common stock at $219.52 per share for proceeds of $201,958,000.There were no repurchases of common stock during the three months ended June 30, 2026. During the six months ended June 30, 2026, the Company repurchased 1,130,336 shares of common stock at an average price of $175.59 per share, including fees, for a total of $198,480,000. There have been no repurchases subsequent to June 30, 2026.Proposed Merger with Equity ResidentialOn May 21, 2026, Equity Residential (NYSE EQR) and the Company announced a definitive agreement to combine in an all-stock merger of equals, creating one of the country's leading real estate companies with the differentiated scale, capabilities, and balance sheet strength to expand margins, accelerate growth, and redefine leadership in rental housing. The combined company will have a pro forma equity market capitalization of approximately $53 billion and a total enterprise value of approximately $71 billion, with more than 180,000 rental apartments (data as of July 17, 2026).On June 8, 2026, the combined company announced the executive leadership team, led by Benjamin W. Schall, who will serve as the President and CEO of the combined company.Under the terms of the merger agreement, the combined company's board will consist of 14 trustees, including seven members of the current Equity Residential board and seven members of the current AvalonBay board. The following members of the Equity Residential board will serve on the combined company board as of the closing of the merger David J. Neithercut, Angela M. Aman, Chris Carr, Mary Kay Haben, Ann C. Hoff, Nina P. Jones and Stephen E. Sterrett. The following members of the AvalonBay board will serve on the combined company board as of the closing of the merger Timothy J. Naughton, Benjamin W. Schall, Terry S. Brown, Conor C. Flynn, Christopher B. Howard, Charles E. Mueller Jr., and Susan Swanezy. Pursuant to the merger agreement, Mr. Sterrett will be appointed to serve as the Chairman of the combined company board.On August 12, 2026, the Company will hold its special meeting of stockholders and Equity Residential will hold its special meeting of shareholders related to the proposed merger. For further information, please refer to the definitive joint proxy statement prospectus filed by each of the Company and Equity Residential with the Securities and Exchange Commission (the SEC ) on July 13, 2026.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved3Same Store Full Year 2026 Financial OutlookFor its Same Store portfolio full year 2026 financial outlook, the Company expects the following Full Year Same Store Projected Revenue, Projected Operating Expenses and Projected NOI Outlook (1) Original Updated Low High Low High Projected revenue change 0.4 % % 2.4 % 1.1 % % 2.1 % Projected Opex change 2.7 % % 4.9 % 3.0 % % 4.0 % Projected NOI change (0.7) % % 1.3 % % % 1.4 % (1) Represents projections of the standalone Company compared to full year 2025 and excludes the impact of the proposed merger. Other MattersIn light of the Company s proposed merger of equals with Equity Residential, the Company will not hold a conference call to discuss its second quarter 2026 financial results.The Company produces Earnings Release Attachments (the Attachments ) that provide more detailed information regarding financial information and operating, development, redevelopment, disposition and acquisition activity. These Attachments are considered a part of this earnings release and are available in full with this earnings release via the Company's website at https investors.avalonbay.com. To receive future press releases via e-mail, please submit a request through https investors.avalonbay.com news-events email-alerts.In addition to the Attachments, the Company is providing an investor presentation in connection with this release that will be available on the Company's website at https investors.avalonbay.com after the market close on July 22, 2026.About AvalonBay Communities, Inc.AvalonBay Communities, Inc., a member of the S P 500, is an equity REIT that develops, redevelops, acquires and manages apartment communities in leading metropolitan areas in Boston, Massachusetts, the New York New Jersey Metro area, the Mid-Atlantic, Seattle, Washington, and Northern and Southern California, as well as in the Company's expansion regions of Raleigh-Durham and Charlotte, North Carolina, Southeast Florida, Dallas and Austin, Texas, and Denver, Colorado. As of June 30, 2026, the Company owned or held a direct or indirect ownership interest in 322 apartment communities containing 99,072 apartment homes in 11 states and the District of Columbia, of which 27 communities were under development and one community was under redevelopment. More information may be found on the Company s website at https www.avalonbay.com. For additional information, please contact Matthew Grover, Senior Director of Investor Relations, at 703-317-4524.Forward-Looking StatementsThis release, including its Attachments, contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act ), and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The Company's forward-looking statements generally use the words believe, expect, anticipate, intend, estimate, assume, project, plan, may, shall, will, pursue, outlook and other similar expressions that indicate future events and trends and do not report historical matters. These statements, among other things, address or reflect the Company s intent, belief, forecasts, assumptions or expectations with respect to development, redevelopment, acquisition or disposition of communities the timing and cost of completion of communities under development or redevelopment the timing of lease-up, occupancy and stabilization of communities pursuit of land for future development the anticipated operating performance of communities cost, yield, revenue, NOI and earnings estimates the impact of landlord-tenant laws and rent regulations, including rent caps the Company s expansion into new regions declaration or payment of dividends joint venture activities the Company s policies regarding investments, indebtedness, acquisitions, dispositions, financings and other matters the Company s qualification as a REIT under the Internal Revenue Code of 1986, as amended the real estate markets in regions where the Company operates and in general the availability of debt and equity financing interest rates, inflation, tariffs and other economic conditions and their potential impacts trends affecting the Company s financial condition or results of operations legal and regulatory changes the impact of legal proceedings the proposed transaction between the Company and Equity Residential the expected timing and completion of the proposed transaction and the anticipated benefits of the proposed transaction.The Company cannot assure the future results or outcome of the matters described in these statements rather these statements reflect the Company s current expectations of the outcomes of the matters discussed. The Company does not undertake a duty to update these forward-looking statements, and therefore they may not represent the Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved4Company s estimates and assumptions after the date of this release. You should not rely on forward-looking statements because they involve risks and uncertainties and other factors, some of which are beyond the Company s control. These risks, uncertainties and other factors may cause the Company s actual results, performance or achievements to differ materially from the anticipated future results, performance or achievements expressed or implied by these forward-looking statements. You should carefully review the discussion under Part I, Item 1A. Risk Factors of the Company s Form 10-K for the year ended December 31, 2025 and Part II, Item 1A. Risk Factors in subsequent quarterly reports on Form 10-Q, as well as the risks described in the Definitive Joint Proxy Statement Prospectus (as defined below) that has been filed with the SEC in connection with the proposed transaction and is available from the sources indicated below, for further discussion of risks associated with forward-looking statements.Some of the factors that could cause the Company s actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements include, but are not limited to, the following the Company may fail to secure development opportunities due to an inability to reach agreements with third parties to obtain land at attractive prices or to obtain desired zoning and other local approvals the Company may abandon or defer development opportunities for a number of reasons, including changes in local market conditions which make development less desirable, increases in costs of development, increases in the cost of capital or lack of capital availability, resulting in losses construction costs of a community may exceed original estimates the Company may be unable to complete planned dispositions, or may complete such transactions on different timing or terms than expected the Company may not complete construction and lease-up of communities under development or redevelopment on schedule, resulting in increased interest costs and construction costs and a decrease in expected rental revenues occupancy rates and market rents may be adversely affected by competition and local economic and market conditions which are beyond the Company s control the Company s cash flows from operations and access to cost-effective capital may be insufficient for the development of the Company s pipeline, which could limit the Company s pursuit of opportunities an outbreak of disease or other public health event may affect the multifamily industry and general economy the Company s cash flows may be insufficient to meet required payments of principal and interest, and the Company may be unable to refinance existing indebtedness or the terms of such refinancing may not be as favorable as the terms of existing indebtedness the Company may be unsuccessful in its management of joint ventures and the REIT vehicles that are used with certain joint ventures the Company may experience a casualty loss, natural disaster or severe weather event, including those caused by climate change new or existing laws and regulations implementing rent control or rent stabilization, or otherwise limiting the Company s ability to increase rents, charge non-rent fees or evict tenants, may impact its revenue or increase costs the Company s expectations, estimates and assumptions as of the date of this filing regarding legal proceedings may change the Company s assumptions and expectations in its financial outlook may prove to be too optimistic the Company may choose to pay dividends in its stock instead of cash, which may result in stockholders having to pay taxes with respect to such dividends in excess of the cash received, if any investments made under the SIP may not be repaid as expected or the development may not be completed on schedule, which could require the Company to engage in litigation, foreclosure actions, and or first party project completion to recover its investment, which may not be recovered in full or at all in such event the Company may be unable to complete the proposed transaction with Equity Residential on the proposed terms or on the anticipated timeline, or at all, including as a result of the failure to obtain the required respective stockholder or shareholder, as applicable, approval the Company may not realize the anticipated benefits of the proposed transaction due to delay in completing the proposed transaction the Company may face significant transaction costs and or unknown or inestimable liabilities relating to the proposed transaction the Company may face disruptions resulting from the proposed transaction, including the diversion of management s attention from ongoing business operations, which may harm the Company s business during the pendency of the proposed transaction or otherwise the Company may face certain restrictions during the pendency of the business combination that may impact its ability to pursue certain business opportunities or strategic transactions the possibility that the business combination may be more expensive to complete than anticipated, including as a result of unexpected factors or events the occurrence of certain events that may result in the termination of the merger agreement and the Company s financial performance may be affected by potential business uncertainty during the pendency of the business combination. Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved5Definitions and ReconciliationsNon-GAAP financial measures and other capitalized terms, as used in this earnings release, are defined, reconciled and further explained on Attachment 11, Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. Attachment 11 is included in the full earnings release available at the Company s website at https investors.avalonbay.com.No Offer or SolicitationThis press release is for informational purposes only and is not intended to, and shall not, constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval, nor shall there be any offer, solicitation or sale of securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act.Important Additional Information and Where to Find ItIn connection with the proposed transaction between the Company and Equity Residential, Equity Residential has filed with the SEC a registration statement on Form S-4 (File No. 333-297128) (the Registration Statement ) which includes the joint proxy statement of the Company and Equity Residential that also constitutes a prospectus of Equity Residential. The Registration Statement was declared effective on July 13, 2026, and each of the Company and Equity Residential commenced mailing of the definitive joint proxy statement of the Company and Equity Residential that also constitutes a prospectus of Equity Residential (the Definitive Joint Proxy Statement Prospectus ) to their respective stockholders or shareholders, as applicable, on or about July 13, 2026. Each of the Company and Equity Residential may also file other relevant documents with the SEC regarding the proposed transaction. This press release is not a substitute for the Registration Statement, Definitive Joint Proxy Statement Prospectus or any other document that the Company or Equity Residential (as applicable) have filed or may file with the SEC in connection with the proposed transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS OF AVALONBAY AND EQUITY RESIDENTIAL ARE URGED TO READ CAREFULLY AND IN THEIR ENTIRETY THE REGISTRATION STATEMENT, THE DEFINITIVE JOINT PROXY STATEMENT PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS WHEN THEY BECOME AVAILABLE WITH THE SEC BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION AND RELATED MATTERS. Investors and security holders may obtain free copies of the Registration Statement, the Definitive Joint Proxy Statement Prospectus and other documents filed with the SEC by the Company and Equity Residential, which contain important information, through the website maintained by the SEC at www.sec.gov. The documents filed by the Company with the SEC may be obtained free of charge by accessing the Investor section of the Company s website at www.avalonbay.com or by writing to AvalonBay, 4040 Wilson Blvd., Suite 1000, Arlington, Virginia 22203, Attention Corporate Secretary (Legal Department) or by email at investor_relations avalonbay.com. The documents filed by Equity Residential with the SEC may be obtained free of charge by accessing Filings SEC Filings in the Investor section of Equity Residential s website at www.equityapartments.com, by writing to Equity Residential Investor Relations, Two North Riverside Plaza, Suite 500, Chicago, Illinois 60606, by telephone at 1-888-879-6356 or by email at investorrelations eqr.com.Participants in the SolicitationThe Company, Equity Residential, and certain of their respective trustees, directors and executive officers may be deemed to be participants in the solicitation of proxies from the Company s and Equity Residential s stockholders or shareholders, as applicable, in respect of the proposed transaction. Information about the directors and executive officers of the Company, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in the Company s proxy statement for its 2026 Annual Meeting of Stockholders under the headings Director Nominees, Transactions with Related Persons, Promoters and Certain Control Persons, Director Compensation, Director Compensation Table, Compensation Discussion and Analysis, Executive Compensation Tables and Officers, Stock Ownership and Other Information, which was filed with the SEC on April 6, 2026, and in the Company s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 27, 2026. Information about the trustees and executive officers of Equity Residential, including a description of their direct or indirect interests, by security holdings or otherwise, is set forth in Equity Residential s proxy statement for its 2026 Annual Meeting of Shareholders under the headings Biographical Information and Qualifications of Trustees, Biographical Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved6Information of Executives, Common Share Ownership of Trustees and Executives, Compensation Discussion and Analysis, Executive Compensation and Trustee Compensation, which was filed with the SEC on April 14, 2026, and in Equity Residential s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 13, 2026. To the extent holdings of the Company s securities by its directors and executive officers have changed since the amounts set forth in the Company s definitive proxy statement for its 2026 Annual meeting of Stockholders or the holdings of Equity Residential s securities by its trustees or executive officers have changed since the amounts set forth in Equity Residential s definitive proxy statement for its 2026 Annual Meeting of Shareholders, such changes have been or will be reflected on an Initial Statement of Beneficial Ownership of Securities on Form 3, Statement of Changes in Beneficial Ownership on Form 4, or Annual Statement of Changes in Beneficial Ownership on Form 5, in each case filed with the SEC and available on the SEC s website at www.sec.gov. Other information regarding the participants in the proxy solicitations and a description of their direct and indirect interests, by security holdings or otherwise, are contained in the Registration Statement, the Definitive Joint Proxy Statement Prospectus and other relevant materials to be filed with the SEC regarding the proposed transaction when such materials become available. Investors and security holders should read the Registration Statement and the Definitive Joint Proxy Statement Prospectus carefully before making any voting or investment decisions. Investors may obtain free copies of these documents from the Company or Equity Residential using the sources indicated above.Copyright 2026 AvalonBay Communities, Inc. All Rights Reserved78 SECOND QUARTER 2026 Supplemental Operating and Financial Data Table of Contents Company Profile Condensed Consolidated Operating Information.......................................................................................................... Attachment 1 Condensed Consolidated Balance Sheets.................................................................................................................... Attachment 2 Sequential Operating Information................................................................................................................................. Attachment 3 Market Profile - Same Store Quarterly Residential Revenue and Occupancy Changes............................................................................................ Attachment 4 Sequential Quarterly Residential Revenue and Occupancy Changes.......................................................................... Attachment 5 Year to Date Residential Revenue and Occupancy Changes....................................................................................... Attachment 6 Residential Operating Expenses ( Opex ).................................................................................................................... Attachment 7 Development, Unconsolidated Real Estate Investments and Debt Profile Development Communities........................................................................................................................................... Attachment 8 Unconsolidated Operating Communities and Structured Investment Program............................................................. Attachment 9 Debt Structure and Select Debt Metrics........................................................................................................................ Attachment 10 Definitions and Reconciliations Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms................................................... Attachment 11 The following is a Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The projections and estimates contained in the following attachments, including but not limited to Attachments 8 and 11, contain forward-looking statements that involve risks and uncertainties, and actual results may differ materially from those projected in such statements. Risks associated with the Company's business, including development, redevelopment, construction, and lease-up activities which could impact the forward-looking statements are discussed in the paragraph titled Forward-Looking Statements in the release that accompanies, and should be read in conjunction with, these attachments. These and other risks are also described in the Company's filings with the SEC, including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and the Company's Quarterly Reports on Form 10-Q for subsequent quarters, and could cause actual results to differ materially from such projections and estimates. 9 Attachment 1AvalonBay Communities, Inc.Condensed Consolidated Operating Information (1)June 30, 2026(Dollars in thousands, except per share data)(unaudited) Q2 Q2 % Change YTD YTD % Change 2026 2025 2026 2025 Revenue Rental and other income $ 775,986 $ 758,601 2.3 % $ 1,544,432 $ 1,502,739 2.8 % Management, development and other fees 1,782 1,594 11.8 % 3,615 3,336 8.4 % Total 777,768 760,195 2.3 % 1,548,047 1,506,075 2.8 % Operating expenses Direct property operating expenses, excluding property taxes (155,504) (151,193) 2.9 % (313,990) (300,380) 4.5 % Property taxes (90,114) (86,031) 4.7 % (180,223) (167,862) 7.4 % Total community operating expenses (245,618) (237,224) 3.5 % (494,213) (468,242) 5.5 % Property management and other indirect operating expenses (2) (40,265) (39,747) 1.3 % (80,198) (77,590) 3.4 % Expensed transaction, development and other pursuit costs, net of recoveries (3) (19,976) (2,493) 701.3 % (23,392) (7,237) 223.2 % Interest expense, net (70,070) (64,801) 8.1 % (141,559) (124,665) 13.6 % Depreciation expense (232,975) (231,730) 0.5 % (466,079) (449,618) 3.7 % General and administrative expense (4) (27,137) (22,997) 18.0 % (49,214) (42,777) 15.0 % Casualty loss (858) N A (4,619) (858) 438.3 % Income (loss) from unconsolidated investments (5) 7,647 (1,052) N A 1,120 (2,051) N A SIP interest income 7,704 6,937 11.1 % 15,185 13,050 16.4 % (Loss) gain on sale of communities (338) 99,457 N A 179,574 155,926 15.2 % Other real estate activity 223 3,637 (93.9) % 307 3,792 (91.9) % Income before income taxes 156,963 269,324 (41.7) % 484,959 505,805 (4.1) % Income tax (expense) benefit (70) 531 N A 224 647 (65.4) % Net income 156,893 269,855 (41.9) % 485,183 506,452 (4.2) % Net income attributable to noncontrolling interests (1,173) (1,190) (1.4) % (3,733) (1,190) 213.7 % Net income attributable to common stockholders $ 155,720 $ 268,665 (42.0) % $ 481,450 $ 505,262 (4.7) % Net income attributable to common stockholders per common share - basic $ 1.11 $ 1.89 (41.3) % $ 3.43 $ 3.55 (3.4) % Net income attributable to common stockholders per common share - diluted $ 1.11 $ 1.88 (41.0) % $ 3.43 $ 3.54 (3.1) % FFO $ 387,550 $ 401,520 (3.5) % $ 771,149 $ 798,275 (3.4) % Per common share - diluted $ 2.73 $ 2.80 (2.5) % $ 5.46 $ 5.59 (2.3) % Core FFO $ 406,036 $ 403,972 0.5 % $ 804,723 $ 807,298 (0.3) % Per common share - diluted $ 2.86 $ 2.82 1.4 % $ 5.69 $ 5.65 0.7 % Dividends declared - common shares and DownREIT Units (6) $ 254,748 $ 250,874 1.5 % $ 505,339 $ 500,473 1.0 % Per common share $ 1.78 $ 1.75 1.7 % $ 3.56 $ 3.50 1.7 % Weighted average common shares and participating securities outstanding - basic 140,850,668 142,459,625 (1.1) % 140,339,404 142,420,231 (1.5) % Weighted average common shares and DownREIT Units outstanding - diluted 141,834,769 143,292,306 (1.0) % 141,323,779 142,889,432 (1.1) % Total outstanding common shares and DownREIT Units 142,855,625 143,441,731 (0.4) % 142,855,625 143,441,731 (0.4) % (1) See Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms, table 4 for detail of Core FFO adjustments. (2) Includes $526 and $2,659 of advocacy contributions for Q2 2026 and YTD 2026, respectively. (3) Amounts for Q2 and YTD 2026 include costs related to the proposed merger with Equity Residential of $12,367. In addition, amounts include $4,545 for Q2 and YTD 2026 and $3,668 for YTD 2025 for one development opportunity in each year that the Company determined is no longer probable. (4) Amounts for Q2 and YTD 2026 include non-core legal and settlement costs of $6,317 and $9,091, respectively and $1,187 of severance related costs for YTD 2026. Amounts for Q2 and YTD 2025 include non-core legal and settlement costs of $4,098 and $5,576, respectively. (5) Includes $7,916 and $1,595 of net unrealized gains on property technology and sustainability fund investments for Q2 and YTD 2026, respectively. Includes $1,223 and $2,465 of net unrealized losses on property technology and sustainability fund investments for Q2 and YTD 2025, respectively. (6) DownREIT Units dividends are the same as the common share dividends for Q2 and YTD 2026 and are prorated for the period the DownREIT Units were outstanding during the first quarter of issuance for Q2 and YTD 2025. 10 Attachment 2 AvalonBay Communities, Inc.Condensed Consolidated Balance SheetsJune 30, 2026(Dollars in thousands)(unaudited) June 30, December 31, 2026 2025 Real estate $ 28,278,990 $ 27,759,518 Less accumulated depreciation (9,116,539) (8,686,084) Net operating real estate 19,162,451 19,073,434 Construction in progress, including land 1,668,998 1,458,795 Land held for development 101,508 123,751 Real estate assets held for sale, net 41,942 150,262 Total real estate, net 20,974,899 20,806,242 Cash and cash equivalents 80,682 187,234 Restricted cash 165,436 165,849 Unconsolidated investments 199,046 193,441 Other assets 880,288 839,371 Total assets $ 22,300,351 $ 22,192,137 Unsecured debt, net $ 7,408,395 $ 7,879,380 Unsecured credit facility and commercial paper, net 915,786 739,608 Notes payable, net 700,599 709,564 Resident security deposits 62,215 60,689 Other liabilities 984,698 968,579 Total liabilities 10,071,693 10,357,820 Equity 12,228,658 11,834,317 Total liabilities and equity $ 22,300,351 $ 22,192,137 11 Attachment 3AvalonBay Communities, Inc.Sequential Operating Information (1)June 30, 2026(Dollars in thousands, except per home data)(unaudited) Total Apartment Homes Quarter EndedJune 30, 2026 Quarter EndedMarch 31, 2026 Quarter EndedDecember 31, 2025 Residential Revenue Same Store 79,473 $ 709,586 $ 702,420 $ 700,807 Other Stabilized (2) 5,207 31,162 30,947 30,732 Development Redevelopment (3) 11,781 23,607 18,264 14,351 Commercial Revenue N A 10,061 10,861 9,954 Total Revenue 96,461 $ 774,416 $ 762,492 $ 755,844 Residential Operating Expense Same Store (4) $ 221,034 $ 223,517 $ 219,339 Other Stabilized (2) (4) 11,613 11,933 11,768 Development Redevelopment 10,036 8,039 6,791 Commercial Operating Expense 2,489 2,544 2,526 Total Operating Expense $ 245,172 $ 246,033 $ 240,424 Residential NOI Same Store $ 488,552 $ 478,903 $ 481,468 Other Stabilized (2) 19,549 19,014 18,964 Development Redevelopment 13,571 10,225 7,560 Commercial NOI 7,572 8,317 7,428 Total NOI $ 529,244 $ 516,459 $ 515,420 Same Store Average Revenue per Occupied Home (5) $ 3,097 $ 3,065 $ 3,069 Same Store Economic Occupancy 96.1 % 96.1 % 95.8 % Same Store Turnover (6) Current year period Prior year period 42.6% 45.9% 31.7% 32.1% 33.4% 34.7% Current year period YTD Prior year period YTD 37.2% 39.1% 41.5% 41.3% SAME STORE LIKE-TERM EFFECTIVE RENT CHANGE Q1 2026 Q2 2026 July 2026 (8) Boston, MA (0.9) % 2.3 % 3.0 % Metro NY NJ 1.9 % 4.3 % 4.5 % Mid-Atlantic (2.3) % 0.9 % 2.3 % Southeast FL (0.1) % 0.3 % 1.7 % Denver, CO (10.1) % (3.3) % (4.3) % Seattle, WA (1.0) % 1.2 % 3.3 % N. California 4.7 % 7.3 % 8.3 % S. California 0.6 % 0.9 % 2.2 % Other Expansion Regions (3.2) % (0.6) % 1.0 % Total 0.4 % 2.6 % (7) 3.7 % (8) (1) Includes consolidated communities and excludes communities that have been sold or that are classified as held for sale. See Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms for the definition of capitalized terms. (2) Results for these communities prior to January 1, 2026 may reflect operations prior to stabilization. (3) For per home rent projections and Economic Occupancy for Development communities currently under construction, see Attachment 8 - Development Communities. (4) Excludes Capitalized Community Expenditures. See Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms, table 1 for a breakdown of NOI Enhancing and Asset Preservation Capex. (5) Reflects concessions amortized over the average lease term and includes uncollectible lease revenue. (6) Turnover is the annualized number of units turned over during the period, divided by the total number of apartment homes for the respective period, and excludes any third-party managed communities. (7) For the three months ended June 30, 2026, New Move-In Like-Term Effective Rent Change was 0.8% and Renewal Like-Term Effective Rent Change was 4.1%. (8) Rent change percentage for activity in July 2026 through July 20, 2026. New Move-In Like-Term Effective Rent Change was 1.8% and Renewal Like-Term Effective Rent Change was 4.8% for July 1, 2026 through July 20, 2026. 12 Attachment 4AvalonBay Communities, Inc.Quarterly Residential Revenue and Occupancy Changes - Same StoreJune 30, 2026(unaudited) Apartment Homes Average Monthly Revenue Per Occupied Home Economic Occupancy Residential Revenue ($000s)(1) Q2 26 Q2 25 % Change Q2 26 Q2 25 % Change Q2 26 Q2 25 % Change Boston, MA 9,697 $ 3,470 $ 3,421 1.4 % 96.0 % 96.5 % (0.5) % $ 96,930 $ 96,061 0.9 % Metro NY NJ New York City 3,608 4,571 4,421 3.4 % 96.4 % 96.4 % % 47,696 46,144 3.4 % New York - Suburban 3,809 3,846 3,766 2.1 % 96.4 % 96.1 % 0.3 % 42,349 41,363 2.4 % New Jersey 5,378 3,448 3,439 0.3 % 96.3 % 96.3 % % 53,592 53,446 0.3 % Metro NY NJ 12,795 3,883 3,813 1.8 % 96.4 % 96.3 % 0.1 % 143,637 140,953 1.9 % Mid-Atlantic Washington DC 1,144 2,407 2,543 (5.3) % 93.4 % 90.3 % 3.1 % 7,713 7,888 (2.2) % Northern Virginia 5,762 2,846 2,809 1.3 % 96.2 % 97.0 % (0.8) % 47,323 47,087 0.5 % Suburban Maryland 2,595 2,386 2,329 2.4 % 95.3 % 96.1 % (0.8) % 17,710 17,433 1.6 % Baltimore, MD 3,154 2,357 2,348 0.4 % 95.5 % 94.6 % 0.9 % 21,311 21,035 1.3 % Mid-Atlantic 12,655 2,590 2,570 0.8 % 95.6 % 95.7 % (0.1) % 94,057 93,443 0.7 % Southeast FL 3,091 2,987 2,968 0.6 % 96.5 % 96.6 % (0.1) % 26,728 26,594 0.5 % Denver, CO 2,192 2,135 2,255 (5.3) % 95.1 % 93.6 % 1.5 % 13,356 13,888 (3.8) % Seattle, WA 5,624 2,920 2,934 (0.5) % 95.9 % 96.3 % (0.4) % 47,230 47,639 (0.9) % Northern California San Jose 4,732 3,271 3,140 4.2 % 96.6 % 96.4 % 0.2 % 44,836 42,953 4.4 % East Bay 4,756 2,895 2,814 2.9 % 96.0 % 95.7 % 0.3 % 39,646 38,415 3.2 % San Francisco 2,832 3,859 3,555 8.6 % 97.7 % 96.7 % 1.0 % 32,016 29,219 9.6 % Northern California 12,320 3,261 3,110 4.9 % 96.7 % 96.3 % 0.4 % 116,498 110,587 5.3 % Southern California Los Angeles 12,006 2,940 2,904 1.2 % 96.0 % 96.0 % % 101,602 100,348 1.2 % Orange County 4,024 3,087 3,023 2.1 % 96.0 % 96.6 % (0.6) % 35,774 35,231 1.5 % San Diego 1,869 3,053 3,030 0.8 % 96.9 % 96.8 % 0.1 % 16,581 16,436 0.9 % Southern California 17,899 2,985 2,943 1.4 % 96.1 % 96.2 % (0.1) % 153,957 152,015 1.3 % Other Expansion Regions 3,200 1,904 1,904 % 94.1 % 95.6 % (1.5) % 17,193 17,448 (1.5) % Total Same Store 79,473 $ 3,097 $ 3,046 1.7 % 96.1 % 96.2 % (0.1) % $ 709,586 $ 698,628 1.6 % (1) Reflects concessions amortized over the average lease term and includes uncollectible lease revenue. Residential Revenue with Concessions on a Cash Basis for the Company's Same Store portfolio increased by 1.7%. See Attachment 11, table 10. 13 Attachment 5AvalonBay Communities, Inc.Sequential Quarterly Residential Revenue and Occupancy Changes - Same StoreJune 30, 2026(unaudited) Apartment Homes Average Monthly Revenue Per Occupied Home Economic Occupancy Residential Revenue ($000s)(1) Q2 26 Q1 26 % Change Q2 26 Q1 26 % Change Q2 26 Q1 26 % Change Boston, MA 9,697 $ 3,470 $ 3,423 1.4 % 96.0 % 95.4 % 0.6 % $ 96,930 $ 95,057 2.0 % Metro NY NJ New York City 3,608 4,571 4,504 1.5 % 96.4 % 96.4 % % 47,696 46,998 1.5 % New York - Suburban 3,809 3,846 3,822 0.6 % 96.4 % 96.0 % 0.4 % 42,349 41,943 1.0 % New Jersey 5,378 3,448 3,413 1.0 % 96.3 % 96.6 % (0.3) % 53,592 53,200 0.7 % Metro NY NJ 12,795 3,883 3,842 1.1 % 96.4 % 96.4 % % 143,637 142,141 1.1 % Mid-Atlantic Washington DC 1,144 2,407 2,421 (0.6) % 93.4 % 93.9 % (0.5) % 7,713 7,800 (1.1) % Northern Virginia 5,762 2,846 2,814 1.1 % 96.2 % 97.0 % (0.8) % 47,323 47,181 0.3 % Suburban Maryland 2,595 2,386 2,391 (0.2) % 95.3 % 95.5 % (0.2) % 17,710 17,785 (0.4) % Baltimore, MD 3,154 2,357 2,309 2.1 % 95.5 % 95.2 % 0.3 % 21,311 20,816 2.4 % Mid-Atlantic 12,655 2,590 2,566 0.9 % 95.6 % 96.0 % (0.4) % 94,057 93,582 0.5 % Southeast FL 3,091 2,987 2,974 0.4 % 96.5 % 97.6 % (1.1) % 26,728 26,914 (0.7) % Denver, CO 2,192 2,135 2,131 0.2 % 95.1 % 96.0 % (0.9) % 13,356 13,451 (0.7) % Seattle, WA 5,624 2,920 2,902 0.6 % 95.9 % 95.9 % % 47,230 46,944 0.6 % Northern California San Jose 4,732 3,271 3,210 1.9 % 96.6 % 96.2 % 0.4 % 44,836 43,829 2.3 % East Bay 4,756 2,895 2,851 1.5 % 96.0 % 96.1 % (0.1) % 39,646 39,096 1.4 % San Francisco 2,832 3,859 3,775 2.2 % 97.7 % 97.7 % % 32,016 31,337 2.2 % Northern California 12,320 3,261 3,201 1.9 % 96.7 % 96.6 % 0.1 % 116,498 114,262 2.0 % Southern California Los Angeles 12,006 2,940 2,920 0.7 % 96.0 % 96.0 % % 101,602 100,934 0.7 % Orange County 4,024 3,087 3,068 0.6 % 96.0 % 95.5 % 0.5 % 35,774 35,393 1.1 % San Diego 1,869 3,053 3,043 0.3 % 96.9 % 96.5 % 0.4 % 16,581 16,458 0.7 % Southern California 17,899 2,985 2,966 0.6 % 96.1 % 95.9 % 0.2 % 153,957 152,785 0.8 % Other Expansion Regions 3,200 1,904 1,888 0.8 % 94.1 % 95.4 % (1.3) % 17,193 17,284 (0.5) % Total Same Store 79,473 $ 3,097 $ 3,065 1.0 % 96.1 % 96.1 % % $ 709,586 $ 702,420 1.0 % (1) Reflects concessions amortized over the average lease term and includes uncollectible lease revenue. Residential Revenue with Concessions on a Cash Basis for the Company's Same Store portfolio increased by 1.2%. See Attachment 11, table 10. 14 Attachment 6AvalonBay Communities, Inc.Year to Date Residential Revenue and Occupancy Changes - Same StoreJune 30, 2026(unaudited) Apartment Homes Average Monthly Revenue Per Occupied Home Economic Occupancy Residential Revenue ($000s)(1) YTD 2026 YTD 2025 % Change YTD 2026 YTD 2025 % Change YTD 2026 YTD 2025 % Change Boston, MA 9,697 $ 3,448 $ 3,402 1.4 % 95.7 % 96.4 % (0.7) % $ 191,987 $ 190,747 0.7 % Metro NY NJ New York City 3,608 4,538 4,410 2.9 % 96.4 % 96.2 % 0.2 % 94,694 91,803 3.1 % New York - Suburban 3,809 3,834 3,754 2.1 % 96.2 % 95.8 % 0.4 % 84,292 82,199 2.5 % New Jersey 5,378 3,430 3,415 0.4 % 96.5 % 96.3 % 0.2 % 106,792 106,169 0.6 % Metro NY NJ 12,795 3,863 3,797 1.7 % 96.4 % 96.1 % 0.3 % 285,778 280,171 2.0 % Mid-Atlantic Washington DC 1,144 2,413 2,501 (3.5) % 93.7 % 91.6 % 2.1 % 15,513 15,732 (1.4) % Northern Virginia 5,762 2,829 2,785 1.6 % 96.6 % 97.0 % (0.4) % 94,504 93,394 1.2 % Suburban Maryland 2,595 2,389 2,329 2.6 % 95.4 % 96.1 % (0.7) % 35,495 34,833 1.9 % Baltimore, MD 3,154 2,334 2,343 (0.4) % 95.4 % 94.5 % 0.9 % 42,127 41,903 0.5 % Mid-Atlantic 12,655 2,578 2,556 0.9 % 95.8 % 95.7 % 0.1 % 187,639 185,862 1.0 % Southeast FL 3,091 2,980 2,964 0.5 % 97.1 % 97.0 % 0.1 % 53,642 53,343 0.6 % Denver, CO 2,192 2,133 2,261 (5.7) % 95.6 % 93.4 % 2.2 % 26,807 27,780 (3.5) % Seattle, WA 5,624 2,911 2,919 (0.3) % 95.9 % 96.2 % (0.3) % 94,174 94,695 (0.6) % Northern California San Jose 4,732 3,240 3,125 3.7 % 96.4 % 96.4 % % 88,665 85,511 3.7 % East Bay 4,756 2,873 2,809 2.3 % 96.0 % 95.8 % 0.2 % 78,742 76,828 2.5 % San Francisco 2,832 3,817 3,539 7.9 % 97.7 % 96.7 % 1.0 % 63,353 58,195 8.9 % Northern California 12,320 3,231 3,099 4.3 % 96.6 % 96.3 % 0.3 % 230,760 220,534 4.6 % Southern California Los Angeles 12,006 2,930 2,890 1.4 % 96.0 % 95.9 % 0.1 % 202,536 199,606 1.5 % Orange County 4,024 3,078 3,014 2.1 % 95.8 % 96.3 % (0.5) % 71,167 70,022 1.6 % San Diego 1,869 3,047 3,014 1.1 % 96.7 % 96.7 % % 33,039 32,670 1.1 % Southern California 17,899 2,976 2,929 1.6 % 96.0 % 96.1 % (0.1) % 306,742 302,298 1.5 % Other Expansion Regions 3,200 1,896 1,891 0.3 % 94.7 % 95.4 % (0.7) % 34,477 34,623 (0.4) % Total Same Store 79,473 $ 3,081 $ 3,033 1.6 % 96.1 % 96.1 % % $ 1,412,006 $ 1,390,053 1.6 % (1) Reflects concessions amortized over the average lease term and includes uncollectible lease revenue. Residential Revenue with Concessions on a Cash Basis for the Company's Same Store portfolio increased by 1.7%. See Attachment 11, table 10. 15 Attachment 7AvalonBay Communities, Inc.Residential Operating Expenses ( Opex ) - Same Store (1) June 30, 2026(Dollars in thousands)(unaudited) Q22026 Q22025 % Change Q2 2026 % ofTotal Opex YTD 2026 YTD 2025 % Change YTD 2026 % of Total Opex Property taxes (2) $ 81,012 $ 78,373 3.4 % 36.7 % $ 161,855 $ 154,635 4.7 % 36.4 % Payroll (3) 40,582 40,112 1.2 % 18.3 % 80,797 79,860 1.2 % 18.2 % Repairs maintenance (4) 40,869 39,027 4.7 % 18.5 % 79,872 76,850 3.9 % 18.0 % Utilities (5) 27,459 25,650 7.1 % 12.4 % 60,852 55,343 10.0 % 13.7 % Office operations (6) 14,906 16,422 (9.2) % 6.7 % 31,037 32,371 (4.1) % 7.0 % Insurance (7) 11,204 10,371 8.0 % 5.1 % 21,514 20,755 3.7 % 4.8 % Marketing 5,002 4,945 1.2 % 2.3 % 8,624 8,684 (0.7) % 1.9 % Total Same Store Residential Operating Expenses $ 221,034 $ 214,900 2.9 % 100.0 % $ 444,551 $ 428,498 3.7 % 100.0 % (1) Same Store operating expenses exclude indirect costs for corporate-level property management and other support-related services. (2) Property taxes increased in Q2 and YTD 2026 compared to the prior year periods primarily due (i) increased rates and assessments across the portfolio, (ii) a greater benefit from tax appeals realized in the prior year period, and (iii) the expiration of property tax incentive programs primarily at certain New York City properties. The expiration of property tax programs increased property taxes by $1,281 in Q2 2026 and $2,728 YTD 2026. (3) Payroll costs increased in Q2 and YTD 2026 over the prior year period primarily due to growth in average compensation, partially offset by a reduction in the number of onsite associates and reduced overtime costs. (4) Repairs and maintenance increased in Q2 and YTD 2026 over the prior year periods due to the continued deployment of smart home technology, partially offset by an increase in maintenance rebates for Q2 and YTD 2026 and a decrease in turn-based maintenance costs for YTD 2026. (5) Utilities increased in Q2 and YTD 2026 over the prior year periods primarily due to higher energy costs in New England and the Mid-Atlantic, which was driven by increased consumption and higher rates during the winter and increased trash and recycling costs in Q2 2026 which were largely offset by trash collections revenue. (6) Office operations decreased in Q2 and YTD 2026 over the prior year periods primarily due to a decrease in reserves for uncollectible accounts and reduced contract labor costs. (7) Insurance is composed of premiums, expected claims activity and associated reductions from receipt of claims recoveries. The increase for Q2 and YTD 2026 from the prior year periods is primarily due to increased insurance claims activity, partially offset by decreased insurance premiums. Insurance costs can be variable due to the amounts and timing of estimated and actual claim activity and the related recoveries received. 16 Attachment 8AvalonBay Communities, Inc.Development Communities as of June 30, 2026(unaudited) Community Information Number Total Actual Projected Schedule Avg % % % of Capital Full Qtr Monthly Complete Leased Occupied Apt Cost Initial Stabilized Revenue Development Name Location Homes (millions) Start Occupancy Complete Ops Per Home As of July 6, 2026 Communities Under Construction 1. Avalon West Windsor (1) West Windsor, NJ 535 $ 210 Q2 2022 Q3 2025 Q4 2026 Q3 2027 3,110 30 % 55 % 29 % 2. Avalon Wayne Wayne, NJ 473 171 Q4 2023 Q2 2025 Q3 2026 Q1 2027 3,300 100 % 65 % 58 % 3. Avalon Pleasanton Pleasanton, CA 362 218 Q2 2024 Q3 2025 Q3 2027 Q1 2028 3,790 23 % 22 % 22 % 4. Avalon at Becker Farm Roseland, NJ 533 190 Q2 2024 Q4 2025 Q4 2026 Q2 2027 3,150 57 % 53 % 44 % 5. Avalon Quincy Adams Quincy, MA 288 122 Q2 2024 Q1 2026 Q3 2026 Q3 2027 3,270 50 % 37 % 29 % 6. Avalon Tech Ridge I Austin, TX 544 153 Q3 2024 Q1 2026 Q2 2027 Q4 2027 2,135 31 % 26 % 20 % 7. Avalon Carmel (2) Charlotte, NC 360 123 Q3 2024 Q2 2026 Q4 2026 Q4 2027 2,405 31 % 14 % 8 % 8. Avalon Plano (2) Plano, TX 155 58 Q3 2024 Q4 2026 Q3 2027 Q1 2028 2,950 9. Avalon Oakridge I Durham, NC 459 149 Q3 2024 Q1 2027 Q1 2028 Q3 2028 2,325 10. AVA Brewer's Hill Baltimore, MD 418 134 Q4 2024 Q4 2026 Q4 2027 Q1 2028 2,650 11. Kanso Hillcrest San Diego, CA 182 85 Q4 2024 Q1 2027 Q2 2027 Q4 2027 3,245 12. Avalon Parker Parker, CO 312 122 Q1 2025 Q3 2026 Q2 2027 Q1 2028 2,670 13. Avalon North Palm Beach (1) Lake Park, FL 279 118 Q1 2025 Q1 2027 Q3 2027 Q1 2028 3,290 14. Avalon Brier Creek Durham, NC 400 126 Q2 2025 Q3 2026 Q3 2027 Q2 2028 2,365 15. Avalon Kendall (2) Kendall, FL 224 83 Q2 2025 Q4 2026 Q1 2027 Q4 2027 2,935 16. Avalon Mission Valley (1) San Diego, CA 621 302 Q3 2025 Q1 2028 Q1 2029 Q3 2029 3,690 17. Avalon Southpoint (2) Durham, NC 394 132 Q3 2025 Q4 2026 Q1 2028 Q3 2028 2,595 18. Avalon Northwest Hills Austin, TX 252 87 Q4 2025 Q3 2027 Q1 2028 Q3 2028 2,725 19. Kanso Parsippany Parsippany, NJ 280 104 Q4 2025 Q2 2027 Q4 2027 Q3 2028 2,830 20. Avalon Billerica Billerica, MA 200 73 Q4 2025 Q2 2027 Q4 2027 Q3 2028 2,945 21. Avalon Townhome Collection Arundel Mills (2) Hanover, MD 90 45 Q4 2025 Q4 2026 Q4 2026 Q4 2027 3,870 22. Avalon San Ramon San Ramon, CA 456 250 Q4 2025 Q4 2027 Q4 2028 Q1 2029 4,080 23. Avalon Somerville Station II Somerville, NJ 171 65 Q1 2026 Q3 2027 Q4 2027 Q3 2028 3,035 24. Avalon Saddle River Saddle River, NJ 275 123 Q1 2026 Q4 2027 Q3 2028 Q4 2028 3,710 25. Kanso Plymouth Plymouth, MA 300 95 Q2 2026 Q3 2027 Q3 2028 Q1 2029 2,735 26. Avalon Townhome Collection Central Park (2) Denver, CO 146 68 Q2 2026 Q2 2027 Q4 2027 Q3 2028 3,460 27. Avalon Dulles Innovation Herndon, VA 355 120 Q2 2026 Q1 2028 Q3 2028 Q2 2029 2,585 Total Weighted Average Under Construction 9,064 $ 3,526 $ 3,000 Communities Completed this Quarter 1. Avalon Parsippany Parsippany, NJ 410 145 Q4 2023 Q3 2025 Q2 2026 Q4 2026 $ 2,985 100 % 84 % 75 % Communities Completed Subtotal Weighted Average 410 $ 145 $ 2,985 Total Weighted Average Under Construction and Completed this quarter 9,474 $ 3,671 $3,000 Total Weighted Average Projected NOI as a % of Total Capital Cost 6.3 % Asset Cost Basis (millions) (3) Total Capital Cost, under construction and completed $ 4,255 Total Capital Cost, disbursed to date (2,628) Total Capital Cost, remaining to invest $ 1,627 Q2 2026 Capitalized Interest and Overhead (thousands)(4) $ 29,138 (1) Developments containing at least 10,000 square feet of commercial space include Avalon West Windsor (19,000 sf), Avalon North Palm Beach (10,000 sf) and Avalon Mission Valley (31,000 sf). (2) Communities being developed through the DFP, which utilizes third-party multifamily developers to source and construct communities that the Company owns and operates. (3) Includes the communities presented and four additional communities with 1,465 apartment homes representing $584 million in Total Capital Costs which have completed construction but not yet achieved Stabilized Operations for the full quarter. Q2 2026 NOI for these 32 communities was $9.8 million. (4) The Company capitalizes interest and overhead during the development and redevelopment of real estate assets. The Company capitalized interest of $15,930 at a weighted average capitalized interest rate of 3.71% and overhead of $13,208 for Q2 2026. 17 Attachment 9AvalonBay Communities, Inc.Unconsolidated Operating Communities and Structured Investment ProgramJune 30, 2026(Dollars in thousands)(unaudited) Unconsolidated Operating Communities NOI (1)(2) Debt AVB Apartment Q2 YTD Principal Interest Venture Communities Ownership Homes 2026 2026 Amount (1) Rate (3) NYTA MF Investors, LLC 5 20.0 % 1,301 $ 10,811 $ 22,101 $ 394,734 3.88 % Avalon at Mission Bay II 1 25.0 % 313 2,540 5,025 % Brandywine 1 28.6 % 305 1,094 1,977 17,284 3.40 % AVA Arts District 1 25.0 % 475 2,143 4,342 162,911 6.38 % Total Unconsolidated Operating Communities 8 2,394 $ 16,588 $ 33,445 $ 574,929 4.57 % (1)NOI and debt principal amount are presented at 100% ownership. (2)NOI excludes property management fees as the Company serves as the property management company for all ventures except for Brandywine.(3)Represents the weighted average interest rate as of June 30, 2026. Structured Investment Program Year of Commitment Number of Commitments (1) Commitments Weighted Average Quarter of Final Maturity (2) 2022 2 $ 79,575 Q1 2028 2023 4 99,210 Q3 2028 2024 2025 2 48,000 Q4 2029 2026 1 15,000 Q2 2031 Total 9 $ 241,785 Q4 2028 (1)Consists of investments with a weighted average return of 11.8% based on total commitments. The Company has funded $237,774 of these commitments as of June 30, 2026. (2)Includes the impact of contractual extension options which typically allow the borrower to extend the maturity of their loan by up to two years from the initial maturity. 18 Attachment 10AvalonBay Communities, Inc.Debt Structure and Select Debt Metrics June 30, 2026(Dollars in thousands)(unaudited) DEBT COMPOSITION AND MATURITIES Average Interest Rate (1) Principal Amortization Payments and Maturities (2) Debt Composition Amount Year Secured notes amortization and maturities Unsecured debt maturities Total Secured notes 2026 $ 1,658 $ 300,000 $ 301,658 Fixed rate $ 332,049 3.9 % 2027 248,859 400,000 648,859 Variable rate 380,950 4.3 % 2028 13,902 850,000 863,902 Subtotal, secured notes 712,999 4.1 % 2029 126,262 1,000,000 1,126,262 2030 3,300 1,100,000 1,103,300 Unsecured debt 2031 3,500 600,000 603,500 Fixed rate (3) 7,450,000 3.6 % 2032 4,000 700,000 704,000 Subtotal, unsecured debt 7,450,000 3.6 % 2033 5,000 750,000 755,000 2034 10,900 400,000 410,900 Variable rate facility (4) % 2035 13,400 400,000 413,400 Commercial paper (4) 916,100 4.0 % Thereafter 282,218 950,000 1,232,218 Total Debt $ 9,079,099 3.7 % $ 712,999 $ 7,450,000 $ 8,162,999 SELECT DEBT METRICS Q2 2026 Net Debt-to-Core EBITDAre (5) 4.6x Q2 2026 Interest Coverage (5) 6.7x YTD 2026 Unencumbered NOI (5) 95% Weighted avg years to maturity of total debt (2) 6.5 DEBT COVENANT COMPLIANCE Unsecured Line of Credit Covenants June 30, 2026 Requirement Total Outstanding Indebtedness to Capitalization Value (6) 25.9 % 65% Combined EBITDA to Combined Debt Service 5.85x 1.50x Unsecured Indebtedness to Unencumbered Asset Value 24.8 % 65% Secured Indebtedness to Capitalization Value (6) 2.2 % 40% Unsecured Senior Notes Covenants (7) June 30, 2026 Requirement Total Outstanding Indebtedness to Total Assets (8) 30.2 % 65% Secured Indebtedness to Total Assets (8) 2.4 % 40% Unencumbered Assets to Unsecured Indebtedness 339.9 % 150% Consolidated Income Available for Debt Service to the Annual Service Charge 6.67x 1.50x (1) Rates are as of June 30, 2026 and, for secured and unsecured debt, include costs of financing such as credit enhancement fees, trustees' fees, the impact of interest rate hedges and mark-to-market adjustments. (2) Excludes the Company's (i) Credit Facility, (ii) commercial paper and (iii) any associated issuance discount, mark-to-market discounts and deferred financing costs, if applicable. (3) Includes the $550,000 term loan that has been swapped to an effective fixed rate of 4.44% using interest rate hedges. (4) Represents amounts outstanding at June 30, 2026 under the Company's (i) Credit Facility and (ii) unsecured commercial paper program, which is backstopped by, and reduces the borrowing capacity of, the Credit Facility. (5) See Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. (6) Capitalization Value represents the Company s Combined EBITDA for operating communities that the Company has owned for at least 12 months as of June 30, 2026, capitalized at a rate of 5.75% per annum, plus the book value of Development communities and real estate communities acquired. For discussion of other defined terms, see Debt Covenant Compliance in Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. (7) The information about the Company s unsecured senior notes covenants shows compliance with selected covenants under the Company s 1998 Indenture, under which debt securities are outstanding with maturity dates through 2047, subject to prepayment or redemption at the Company s election. See Debt Covenant Compliance in Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. Different covenants apply to debt securities outstanding under the Company s 2018 Indenture and 2024 Indenture. (8) Total Assets represents the sum of the Company's undepreciated real estate assets and other assets, excluding accounts receivable. See Debt Covenant Compliance in Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms. 19Attachment 11AvalonBay Communities, Inc.Definitions and Reconciliations of Non-GAAP Financial Measures and Other TermsJune 30, 2026(unaudited)This release, including its attachments, contains certain non-GAAP financial measures and other terms. The definitions and calculations of these non-GAAP financial measures and other terms may differ from the definitions and methodologies used by other REITs and, accordingly, may not be comparable. The non-GAAP financial measures referred to below should not be considered an alternative to net income as an indication of our performance. In addition, these non-GAAP financial measures do not represent cash generated from operating activities in accordance with GAAP and therefore should not be considered as an alternative measure of liquidity or as indicative of cash available to fund cash needs.Average Monthly Revenue per Home, as calculated for certain Development communities under construction and in lease-up, reflects management s projected stabilized rents net of estimated stabilized concessions, including estimated stabilized other revenue and excluding projected commercial revenue. Projected stabilized rents are based on one or more of the following (i) actual average leased rents on apartments leased through quarter end, (ii) projected rollover rents on apartments leased through quarter end where the lease term expires within the first twelve months of Stabilized Operations and (iii) Market Rents on unleased homes.Average Monthly Revenue per Occupied Home is calculated by the Company as Residential revenue in accordance with GAAP, divided by the weighted average number of occupied apartment homes.Capitalized Community Expenditures includes Asset Preservation Capex and NOI Enhancing Capex. Asset Preservation Capex represents capital expenditures that the Company does not expect will directly result in increased revenue or expense savings. NOI Enhancing Capex represents capital expenditures that the Company expects will directly result in increased revenue or expense savings, and excludes any capital expenditures for redevelopment activities.Both Asset Preservation Capex and NOI Enhancing Capex exclude costs associated with our Development communities under construction, including post-construction close out costs, as well as capital expenditures associated with newly acquired communities that were contemplated as part of the initial investment in the community. The Company s Residential Capitalized Community Expenditures for Same Store and Non-Same Store operating portfolios during the six months ended June 30, 2026 are as follows (dollars in thousands) TABLE 1 Apartment Homes Asset Preservation NOI Enhancing YTD 2026 Per Home YTD 2026 Per Home Same Store 79,473 $ 98,066 $ 1,234 $ 62,268 $ 784 Non-Same Store 6,266 8,384 1,338 1,446 231 Total 85,739 $ 106,450 $ 1,242 $ 63,714 $ 743 Commercial represents results attributable to the non-apartment components of the Company's mixed-use communities and other non-residential operations.Debt Covenant Compliance ratios for the Unsecured Line of Credit Covenants show the Company's compliance with selected covenants provided in the Company s Seventh Amended and Restated Revolving Loan Agreement (the Credit Facility ) dated as of April 3, 2025 and the Company s Term Loan Agreement, dated as of April 3, 2025 (the Term Loan ), each of which has been filed as an exhibit to the Company s SEC reports. The ratios for the Unsecured Senior Notes Covenants show only the Company's compliance with selected covenants provided in the Company s Indenture dated as of January 16, 1998, as supplemented by the First Supplemental Indenture dated as of January 20, 1998, Second Supplemental Indenture dated as of July 7, 1998, Amended and Restated Third Supplemental Indenture dated as of July 20, 2000, Fourth Supplemental Indenture dated as of September 18, 2006 and Fifth Supplemental Indenture dated as of November 21, 2014 (collectively, the 1998 Indenture ), which have been filed as exhibits to the Company s SEC reports. Different covenants apply to debt securities outstanding under the Company s Indenture dated as of February 23, 2018, as supplemented by the First Supplemental Indenture dated as of March 26, 2018 and the Second Supplemental Indenture dated as of May 29, 2018 (collectively the 2018 Indenture ), and under the Company's Indenture dated as of February 23, 2024, as supplemented by the First Supplemental Indenture dated as of May 14, 2024, the Second Supplemental Indenture dated as of July 10, 2025 and the Third Supplemental Indenture dated as of December 1, 2025 (collectively the 2024 Indenture ), which have been filed as exhibits to the Company's SEC reports. Compliance with selected covenants under the 2018 Indenture and 2024 Indenture are excluded from the presentation of Debt Covenant Compliance in this release.The Debt Covenant Compliance ratios are provided only to show the Company s compliance with certain covenants contained in the 1998 Indenture which are more restrictive than the 2018 Indenture and 2024 Indenture and in the Company s Credit Facility and Term Loan, as of the date reported. These ratios should not be used for any other purpose, including without limitation to 20Attachment 11evaluate the Company s financial condition or results of operations, nor do they indicate the Company s covenant compliance as of any other date or for any other period. The capitalized terms in the disclosure are defined in the Indenture or the Credit Facility and Term Loan, and may differ materially from similar terms (i) used elsewhere in this release and the Attachments and (ii) used by other companies that present information about their covenant compliance. For risks related to failure to comply with these covenants, see Risk Factors Risks related to indebtedness and other risks discussed in the Company s 2025 Annual Report on Form 10-K and the Company s other reports filed with the SEC.Development is composed of consolidated communities that are either currently under construction, or were under construction and were completed during the current year. These communities may be partially or fully complete and operating.DownREIT Units means units representing limited partnership interests in the downREIT partnership that acquired the Dallas-Fort Worth portfolio of six communities in April 2025. Each DownREIT Unit is entitled to receive quarterly distributions at the same rate as quarterly dividends on a share of the Company s common stock (pro rated for the time outstanding during the first quarter of issuance). Following the one-year anniversary of the closing date, each holder of a DownREIT Unit will have the right to initiate a transaction in which each DownREIT Unit may be redeemed for a cash amount related to the then-current trading price of one share of the Company s common stock or, at the Company s election, one share of the Company s common stock.EBITDA, EBITDAre and Core EBITDAre are considered by management to be supplemental measures of our financial performance. EBITDA is defined by the Company as net income or loss computed in accordance with GAAP before interest expense, income taxes, depreciation and amortization. EBITDAre is calculated by the Company in accordance with the definition adopted by the Board of Governors of the National Association of Real Estate Investment Trusts ( Nareit ), as EBITDA plus or minus losses and gains on the disposition of depreciated property, plus casualty loss and impairment write-downs of depreciated property, with adjustments to reflect the Company's share of EBITDAre of unconsolidated entities. Core EBITDAre is the Company s EBITDAre as adjusted for non-core items outlined in the table below. By further adjusting for items that are not considered part of the Company s core business operations, Core EBITDAre can help one compare the core operating and financial performance of the Company between periods. A reconciliation of EBITDA, EBITDAre and Core EBITDAre to net income is as follows (dollars in thousands) TABLE 2 Q2 2026 Net income $ 156,893 Interest expense and loss on extinguishment of debt 72,208 Income tax expense 70 Depreciation expense 232,975 EBITDA $ 462,146 Loss on sale of communities 338 Unconsolidated entity EBITDAre adjustments (1) 3,361 EBITDAre $ 465,845 Unconsolidated entity activity (7,464) Structured Investment Program loan reserve 102 Advocacy contributions 525 Severance related costs 74 Expensed transaction, development and other pursuit costs, net of recoveries 19,085 Other real estate activity (223) Legal settlements and costs 6,317 Core EBITDAre $ 484,261 (1) Includes joint venture interest, taxes, depreciation, gain on dispositions of depreciated real estate and impairment losses, if applicable, included in net income. Economic Gain is calculated by the Company as the gain on sale in accordance with GAAP, less accumulated depreciation through the date of sale and any other adjustments that may be required under GAAP accounting. Management generally considers Economic Gain to be an appropriate supplemental measure to gain on sale in accordance with GAAP because it helps investors to understand the relationship between the cash proceeds from a sale and the cash invested in the sold community. The Economic Gain for disposed communities is based on their respective final settlement statements. A reconciliation of the aggregate Economic Gain to the aggregate gain on sale in accordance with GAAP for the wholly-owned communities disposed of during the six months ended June 30, 2026 is as follows (dollars in thousands) 21Attachment 11 TABLE 3 YTD 2026 Net Gain on sale in accordance with GAAP $ 179,688 Accumulated Depreciation and Other (143,852) Economic Gain $ 35,836 Economic Occupancy is defined as total possible Residential revenue less vacancy loss as a percentage of total possible Residential revenue. Total possible Residential revenue (also known as gross potential ) is determined by valuing occupied units at contract rates and vacant units at Market Rents. Vacancy loss is determined by valuing vacant units at current Market Rents. By measuring vacant apartments at their Market Rents, Economic Occupancy takes into account the fact that apartment homes of different sizes and locations within a community have different economic impacts on a community s gross revenue.FFO and Core FFO are generally considered by management to be appropriate supplemental measures of our operating and financial performance. FFO is calculated by the Company in accordance with the definition adopted by Nareit. FFO is calculated by the Company as Net income or loss attributable to common stockholders computed in accordance with GAAP, adjusted for gains or losses on sales of previously depreciated operating communities, cumulative effect of a change in accounting principle, impairment write-downs of depreciable real estate assets, write-downs of investments in affiliates due to a decrease in the value of depreciable real estate assets held by those affiliates and depreciation of real estate assets, including similar adjustments for unconsolidated partnerships and joint ventures, including those from a change in control. FFO can help one compare the operating and financial performance of a real estate company between periods or as compared to different companies because adjustments such as (i) gains or losses on sales of previously depreciated property or (ii) real estate depreciation may impact comparability between companies as the amount and timing of these or similar items can vary among owners of identical assets in similar condition based on historical cost accounting and useful life estimates. Core FFO is the Company's FFO as adjusted for non-core items outlined in the table below. By further adjusting for items that we do not consider to be part of our core business operations, Core FFO can help with the comparison of core operating performance of the Company between periods. A reconciliation of Net income attributable to common stockholders to FFO and to Core FFO is as follows (dollars in thousands) 22Attachment 11 TABLE 4 Q2 Q2 YTD YTD 2026 2025 2026 2025 Net income attributable to common stockholders $ 155,720 $ 268,665 $ 481,450 $ 505,262 Depreciation - real estate assets, including joint venture adjustments 230,319 230,264 460,921 446,891 Income attributable to noncontrolling interests 1,173 1,190 3,733 1,190 Loss (gain) on sale of previously depreciated real estate 338 (99,457) (179,574) (155,926) Casualty loss on real estate 858 4,619 858 FFO 387,550 401,520 771,149 798,275 Adjusting items Unconsolidated entity activity (1) (7,464) 1,223 (348) 2,465 Structured Investment Program loan reserve (2) 102 (247) (162) (230) Hedge accounting activity 3 12 22 Advocacy contributions 525 87 2,659 87 Severance related costs 74 26 1,187 202 Expensed transaction, development and other pursuit costs, net of recoveries (3) 19,085 1,407 21,666 5,295 Other real estate activity (4) (223) (3,614) (307) (3,747) Legal settlements and costs 6,317 4,098 9,091 5,576 Income tax expense (benefit) 70 (531) (224) (647) Core FFO $ 406,036 $ 403,972 $ 804,723 $ 807,298 Weighted average common shares outstanding - diluted 141,834,769 143,292,306 141,323,779 142,889,432 Earnings per common share - diluted $ 1.11 $ 1.88 $ 3.43 $ 3.54 FFO per common share - diluted $ 2.73 $ 2.80 $ 5.46 $ 5.59 Core FFO per common share - diluted $ 2.86 $ 2.82 $ 5.69 $ 5.65 (1) Amounts for Q2 and YTD 2026 consist primarily of unrealized gains on property technology and sustainability fund investments, as well as distributions from an unconsolidated real estate venture. Amounts for Q2 and YTD 2025 consist primarily of net unrealized losses on property technology and sustainability fund investments. (2) Represents changes to the loan loss reserve associated with the Company's lending commitments primarily under its SIP. The timing and amount of any actual losses that will be incurred, if any, is to be determined. (3) Amount for Q2 and YTD 2026 includes costs related to the proposed merger with Equity Residential of $12,367 and a write-off of $4,545 for one development opportunity that the Company determined is no longer probable. Amount for YTD 2025 includes a write-off of $3,668 for one development opportunity that the Company determined is no longer probable. (4) Amounts for Q2 and YTD 2026 include gains on sale of non-operating real estate. Amounts for Q2 and YTD 2025 consist primarily of the gain on the sale of a development right. Interest Coverage is calculated by the Company as Core EBITDAre divided by interest expense. Interest Coverage is presented by the Company because it provides rating agencies and investors an additional means of comparing our ability to service debt obligations to that of other companies. A calculation of Interest Coverage for the three months ended June 30, 2026 is as follows (dollars in thousands) TABLE 5 Core EBITDAre (1) $ 484,261 Interest expense (2) $ 72,208 Interest Coverage 6.7 times (1) For additional detail, see Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms, table 2. (2) Excludes the impact of non-core hedge accounting activity. Like-Term Effective Rent Change for an individual apartment home represents the percentage change in effective rent between two leases of the same lease term category for the same apartment. The Company defines effective rent as the contractual rent for an apartment less amortized concessions and discounts. Like-Term Effective Rent Change with respect to multiple apartment 23Attachment 11homes represents an average. New Move-In Like-Term Effective Rent Change is the change in effective rent between the contractual rent for a resident who moves out of an apartment, and the contractual rent for a resident who moves into the same apartment with the same lease term category. Renewal Like-Term Effective Rent Change is the change in effective rent between two consecutive leases of the same lease term category for the same resident occupying the same apartment.Market Cap Rate is defined by the Company as Projected NOI of a single community for the first 12 months of operations (assuming no repositioning), less an estimate of typical capital expenditure allowance per apartment home, divided by the gross sales price for the community. Projected NOI, as referred to above, represents management s estimate of projected rental revenue minus projected operating expenses before interest, income taxes (if any), depreciation and amortization. For this purpose, management s projection of operating expenses for the community includes a management fee of 2.5% and an estimate of typical market costs for insurance, payroll and other operating expenses for which the Company may have proprietary advantages not available to a typical buyer. The Market Cap Rate, which may be determined in a different manner by others, is a measure frequently used in the real estate industry when determining the appropriate purchase price for a property or estimating the value for a property. Buyers may assign different Market Cap Rates to different communities when determining the appropriate value because they (i) may project different rates of change in operating expenses and capital expenditure estimates and (ii) may project different rates of change in future rental revenue due to different estimates for changes in rent and occupancy levels. The weighted average Market Cap Rate is weighted based on the gross sales price of each community.Market Rents as reported by the Company are based on the current market rates set by the Company based on its experience in renting apartments and publicly available market data. Market Rents for a period are based on the average Market Rents during that period and do not reflect any impact for cash concessions.Net Debt-to-Core EBITDAre is calculated by the Company as total debt (secured and unsecured debt, and the Company's Credit Facility and commercial paper program) that is consolidated for financial reporting purposes, less consolidated cash and restricted cash, divided by annualized second quarter 2026 Core EBITDAre. A calculation of Net Debt-to-Core EBITDAre is as follows (dollars in thousands) TABLE 6 Total debt principal (1) $ 9,079,099 Cash and cash equivalents and restricted cash (209,288) Net debt $ 8,869,811 Core EBITDAre (2) $ 484,261 Core EBITDAre, annualized $ 1,937,044 Net Debt-to-Core EBITDAre 4.6 times (1) Balance at June 30, 2026 excludes $41,604 of debt discount and deferred financing costs as reflected in unsecured debt, net, $12,400 of debt discount and deferred financing costs as reflected in notes payable, net, and $314 of commercial paper discount as reflected in unsecured credit facility and commercial paper, net on the Condensed Consolidated Balance Sheets. (2) For additional detail, see Attachment 11 - Definitions and Reconciliations of Non-GAAP Financial Measures and Other Terms, table 2. NOI is defined by the Company as total property revenue less direct property operating expenses (including property taxes), and excluding corporate-level income (including management, development and other fees), property management and other indirect operating expenses, net of corporate income, expensed transaction, development and other pursuit costs, net of recoveries, interest expense, net, loss on extinguishment of debt, net, general and administrative expense, (income) loss from unconsolidated investments, SIP interest income, depreciation expense, income tax (benefit) expense, casualty loss, (gain) loss on sale of communities, other real estate activity and net operating income from real estate assets sold or held for sale. The Company considers NOI to be an important and appropriate supplemental performance measure to net income because it helps both investors and management to understand the core operations of a community or communities prior to the allocation of any corporate-level property management overhead or financing-related costs. NOI reflects the operating performance of a community and allows for an easier comparison of the operating performance of individual assets or groups of assets. In addition, because prospective buyers of real estate have different financing and overhead structures, with varying marginal impact to overhead as a result of acquiring real estate, NOI is considered by many in the real estate industry to be a useful measure for determining the value of a real estate asset or group of assets.Residential NOI represents results attributable to the Company's apartment rental operations, including parking and other ancillary Residential revenue. Reconciliations of NOI and Residential NOI to net income, as well as a breakdown of Residential NOI by operating segment, are as follows (dollars in thousands) 24Attachment 11 TABLE 7 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Net income $ 156,893 $ 269,855 $ 328,290 $ 165,985 $ 485,183 $ 506,452 Property management and other indirect operating expenses, net of corporate income 38,483 38,153 38,100 36,101 76,583 74,254 Expensed transaction, development and other pursuit costs, net of recoveries 19,976 2,493 3,416 2,217 23,392 7,237 Interest expense, net 70,070 64,801 71,489 69,106 141,559 124,665 General and administrative expense 27,137 22,997 22,077 21,874 49,214 42,777 (Income) loss from unconsolidated investments (7,647) 1,052 6,527 745 (1,120) 2,051 SIP interest income (7,704) (6,937) (7,481) (7,594) (15,185) (13,050) Depreciation expense 232,975 231,730 233,104 233,387 466,079 449,618 Income tax expense (benefit) 70 (531) (294) (295) (224) (647) Casualty loss 858 4,619 418 4,619 858 Loss (gain) on sale of communities, net 338 (99,457) (179,912) 368 (179,574) (155,926) Other real estate activity (223) (3,637) (84) (212) (307) (3,792) NOI from real estate assets sold or held for sale (1,124) (15,631) (3,392) (6,680) (4,516) (33,379) NOI 529,244 505,746 516,459 515,420 1,045,703 1,001,118 Commercial NOI (7,572) (7,180) (8,317) (7,428) (15,889) (17,072) Residential NOI $ 521,672 $ 498,566 $ 508,142 $ 507,992 $ 1,029,814 $ 984,046 Residential NOI Same Store Boston, MA $ 65,321 $ 65,497 $ 62,913 $ 63,834 $ 128,234 $ 129,061 Metro NY NJ 96,972 97,839 94,127 95,680 191,099 193,053 Mid-Atlantic 63,969 65,631 63,245 63,876 127,214 130,627 Southeast FL 17,073 16,965 17,881 18,271 34,954 35,895 Denver, CO 9,168 9,125 9,644 9,190 18,812 18,735 Seattle, WA 33,776 34,646 33,602 34,026 67,378 68,978 N. California 84,055 77,070 80,051 77,866 164,106 154,552 S. California 108,166 106,725 106,866 108,531 215,032 210,639 Other Expansion Regions 10,052 10,230 10,574 10,194 20,626 20,015 Total Same Store 488,552 483,728 478,903 481,468 967,455 961,555 Other Stabilized 19,549 10,274 19,014 18,964 38,563 13,575 Development Redevelopment 13,571 4,564 10,225 7,560 23,796 8,916 Residential NOI $ 521,672 $ 498,566 $ 508,142 $ 507,992 $ 1,029,814 $ 984,046 NOI as reported by the Company does not include the operating results from assets sold or classified as held for sale. A reconciliation of NOI from communities sold or classified as held for sale is as follows (dollars in thousands) TABLE 8 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Revenue from real estate assets sold or held for sale $ 1,570 $ 23,665 $ 5,955 $ 10,174 $ 7,525 $ 50,407 Operating expenses from real estate assets sold or held for sale (446) (8,034) (2,563) (3,494) (3,009) (17,028) NOI from real estate assets sold or held for sale $ 1,124 $ 15,631 $ 3,392 $ 6,680 $ 4,516 $ 33,379 25Attachment 11Commercial NOI is composed of the following components (dollars in thousands) TABLE 9 Q2 Q2 Q1 Q4 YTD YTD 2026 2025 2026 2025 2026 2025 Commercial Revenue $ 10,061 $ 9,163 $ 10,861 $ 9,954 $ 20,922 $ 20,770 Commercial Operating Expenses (2,489) (1,983) (2,544) (2,526) (5,033) (3,698) Commercial NOI $ 7,572 $ 7,180 $ 8,317 $ 7,428 $ 15,889 $ 17,072 Other Stabilized is composed of completed consolidated communities that the Company owns, which have Stabilized Operations as of January 1, 2026, or which were acquired subsequent to January 1, 2025. Other Stabilized excludes communities that are conducting or are probable to conduct substantial redevelopment activities.Projected NOI, as used within this release for certain Development communities and in calculating the Market Cap Rate for dispositions, represents management s estimate, as of the date of this release (or as of the date of the buyer s valuation in the case of dispositions), of projected stabilized rental revenue minus projected stabilized operating expenses. For Development communities, Projected NOI is calculated based on the first twelve months of Stabilized Operations following the completion of construction. In calculating the Market Cap Rate, Projected NOI for dispositions is calculated for the first twelve months following the date of the buyer s valuation. Projected stabilized rental revenue represents management s estimate of projected gross potential minus projected stabilized economic vacancy and adjusted for projected stabilized concessions plus projected stabilized other rental revenue. Projected stabilized operating expenses do not include interest, income taxes (if any), depreciation or amortization, or any allocation of corporate-level property management overhead or general and administrative costs. In addition, projected stabilized operating expenses for Development communities do not include property management fee expense. Projected gross potential for Development communities and dispositions is generally based on leased rents for occupied homes and management s best estimate of rental levels for homes which are currently unleased, as well as those homes which will become available for lease during the twelve-month forward period used to develop Projected NOI. The weighted average Projected NOI as a percentage of Total Capital Cost is weighted based on the Company s share of the Total Capital Cost of each community, based on its percentage ownership.Management believes that Projected NOI of the Development communities, on an aggregated weighted average basis, assists investors in understanding management's estimate of the likely impact on operations of the Development communities when the assets are complete and achieve stabilized occupancy (before allocation of any corporate-level property management overhead, general and administrative costs or interest expense). However, in this release the Company has not given a projection of NOI on a company-wide basis. Given the different dates and fiscal years for which NOI is projected for these communities, the projected allocation of corporate-level property management overhead, general and administrative costs and interest expense to communities under development is complex, impractical to develop, and may not be meaningful. Projected NOI of these communities is not a projection of the Company's overall financial performance or cash flow. There can be no assurance that the communities under development will achieve the Projected NOI as described in this release.Redevelopment is composed of consolidated communities where substantial redevelopment is in progress or is probable to begin during the current year. Redevelopment is considered substantial when (i) capital invested during the reconstruction effort is expected to exceed the lesser of $5,000,000 or 10% of the community s pre-redevelopment basis and (ii) physical occupancy is below or is expected to be below 90% during or as a result of the redevelopment activity.Residential represents results attributable to the Company's apartment rental operations, including parking and other ancillary Residential revenue.Residential Revenue with Concessions on a Cash Basis is considered by the Company to be a supplemental measure to Residential revenue in conformity with GAAP to help investors evaluate the impact of both current and historical concessions on GAAP-based Residential revenue and to more readily enable comparisons to revenue as reported by other companies. In addition, Residential Revenue with Concessions on a Cash Basis allows an investor to understand the historical trend in cash concessions.26Attachment 11A reconciliation of Same Store Residential revenue in conformity with GAAP to Residential Revenue with Concessions on a Cash Basis is as follows (dollars in thousands) TABLE 10 Q2 Q2 Q1 YTD YTD 2026 2025 2026 2026 2025 Residential revenue (GAAP basis) $ 709,586 $ 698,628 $ 702,420 $ 1,412,006 $ 1,390,053 Residential concessions amortized 7,066 5,698 6,893 13,959 11,303 Residential concessions granted (4,482) (4,364) (5,572) (10,054) (9,351) Residential Revenue with Concessions on a Cash Basis $ 712,170 $ 699,962 $ 703,741 $ 1,415,911 $ 1,392,005 Q2 2026 vs. Q2 2025 Q2 2026vs. Q1 2026 YTD 2026vs. YTD 2025 % change -- GAAP revenue 1.6 % 1.0 % 1.6 % % change -- cash revenue 1.7 % 1.2 % 1.7 % Same Store is composed of consolidated communities where a comparison of operating results from the prior year to the current year is meaningful as these communities were owned and had Stabilized Operations, as defined below, as of the beginning of the respective prior year period. Therefore, for 2026 operating results, Same Store is composed of consolidated communities that have Stabilized Operations as of January 1, 2025, are not conducting or are not probable to conduct substantial redevelopment activities and are not held for sale or probable for disposition within the current year.Stabilized Operations is defined as operations of a community that occur after the earlier of (i) attainment of 90% physical occupancy or (ii) the one-year anniversary of completion of development or redevelopment.Total Capital Cost includes all capitalized costs projected to be or actually incurred to develop the respective Development or Redevelopment community, including land acquisition costs, construction costs, real estate taxes, capitalized interest and loan fees, permits, professional fees, allocated development overhead and other regulatory fees and a contingency estimate, offset by proceeds from the sale of any associated land or improvements, all as determined in accordance with GAAP. Total Capital Cost also includes costs incurred related to first generation commercial tenants, such as tenant improvements and leasing commissions. For Redevelopment communities, Total Capital Cost excludes costs incurred prior to the start of redevelopment when indicated. With respect to communities where development or redevelopment was completed in a prior period or the current period, Total Capital Cost reflects the actual cost incurred, plus any contingency estimate made by management. Total Capital Cost for communities identified as having joint venture ownership, either during construction or upon construction completion, represents the total projected joint venture contribution amount. For joint ventures not in construction, Total Capital Cost is equal to gross real estate cost.Unconsolidated Development is composed of communities that are either currently under construction, or were under construction and were completed during the current year, in which we have an indirect ownership interest through our investment interest in an unconsolidated joint venture. These communities may be partially or fully complete and operating.Unencumbered NOI as calculated by the Company represents NOI generated by real estate assets unencumbered by outstanding secured notes payable as of June 30, 2026 as a percentage of total NOI generated by real estate assets. The Company believes that current and prospective unsecured creditors of the Company view Unencumbered NOI as one indication of the borrowing capacity of the Company. Therefore, when reviewed together with the Company s Interest Coverage, EBITDA and cash flow from operations, the Company believes that investors and creditors view Unencumbered NOI as a useful supplemental measure for determining the financial flexibility of an entity. A calculation of Unencumbered NOI for the six months ended June 30, 2026 is as follows (dollars in thousands) 27Attachment 11 TABLE 11 YTD 2026 NOI Residential NOI Same Store $ 967,455 Other Stabilized 38,563 Development Redevelopment 23,796 Total Residential NOI 1,029,814 Commercial NOI 15,889 NOI from real estate assets sold or held for sale 4,516 Total NOI generated by real estate assets 1,050,219 Less NOI on encumbered assets (52,002) NOI on unencumbered assets $ 998,217 Unencumbered NOI 95 % 28