Essex Property Trust beats Q4 estimates on stable California demand

(Reuters) - Essex Property Trust reported fourth-quarter core funds from operation(FFO) per share above estimates on Tuesday as stable demand and supply dynamics in California drove modest rent growth.

The residential real estate investment firm, which has a portfolio of more than 60,000 apartment units, mainly in California and Seattle, has seen decent rent growth in Northern California.

The quarterly same-property revenue increased to 2.9% from a year ago.

The California-based REIT reported core fund from operation (FFO) per share of $3.83 in the quarter ended Dec. 31, compared to analysts' estimates of $3.81 per share, according to LSEG data.

Core FFO is a measure that captures trends in occupancy rates, rental rates and operating costs.

Net income per share shrank around 64% to $1.02 for the final quarter. Shares were down 2.5% in the aftermarket trading on the New York Stock Exchange.

The company also forecast 2024 core FFO per diluted share between $14.76 and $15.30, the midpoint of which is below analyst's estimates of $15.27 per share, as per LSEG data.

(Reporting by Rupali Chaudhary and Ananta Agarwal in Bengaluru; Editing by Tasim Zahid)