Attached files
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| 8-K - ESSEX PROPERTY TRUST 8-K 7-26-2011 - ESSEX PROPERTY TRUST, INC. | form8k.htm |
Exhibit 99.1
ESSEX PROPERTY TRUST
Millennium- Los Angeles, CA (438 units)
Acquired 2011
CREATING OPPORTUNITIES for GROWTH
Santee Court - Los Angeles, CA
416 on Broadway - Glendale, CA
Arbors at Parc Rose - Oxnard, CA
Muse - Los Angeles, CA
101 San Fernando - San Jose, CA
Essex Skyline, - Irvine, CA
EXTERNAL GROWTH
Since January 2010, Essex has acquired or developed over $1.2 billion in new investments
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Corbella (169 units)
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Elevation (157 units)
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Courtyard off Main (109 units)
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Joule (295 units)
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Fourth & U (171 units)
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Via (284 units)
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Family Tree (121 units)
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101 San Fernando (323 units)
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The Commons (264 units)
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Bella Villagio (231 units)
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Arbors at Parc Rose (373 units)
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Millennium (438 units)
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Bellerive (63 units)
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Allegro (96 units)
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Muse (152 units)
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416 on Broadway (115 units)
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Orsini I & II (862 units)
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Piero (225 units)
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Reserve Lofts (79 units)
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Santee Court (165 units)
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Santee Village (73 units)
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Anavia (250 units)
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Madison Anaheim (768 units)
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Skyline (349 units)
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Seattle Area
Northern California
Southern California
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Acquisitions ($884 mn)
Completed Development ($265 mn)
Preferred Equity Investments ($52 mn)
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1971 George Marcus forms Essex Property Corporation
1988 Essex delivers 8 development communities under the name Summerhill Development
1994 Prices IPO at $19.50 per share (6.3 million shares). Essex has ownership in 16 apartment
communities in the West Coast
communities in the West Coast
1997 Increases portfolio by 60%, acquiring 27 communities. Reaches $1 billion market
capitalization
capitalization
2001 Creates Essex Apartment Value Fund L.P. with approximately $700 million in investment
capability
capability
2002 Acquires John M. Sachs, Inc. through a merger and adds 18 communities to portfolio
2004 Sells remaining Essex Fund I assets for $756 million, generating a 41% gross partnership IRR
and forms Essex Apartment Value Fund II with $750 million investment capacity
and forms Essex Apartment Value Fund II with $750 million investment capacity
2010 Michael Schall appointed new CEO. Company acquires 12 communities for $584 million
and achieves 42% one-year total shareholder return
and achieves 42% one-year total shareholder return
CELEBRATING 40 YEARS of EXCELLENCE
ACCOMPLISHMENTS
§ Highest total return of any REIT since IPO - 1,882% (Source: SNL Financial)
§ Cumulative Dividend paid in excess of $50 per share since IPO
§ At IPO, Essex owned 16 multifamily properties (4,410 units); currently, Essex has ownership in
150 apartment communities (30,716 units)
§ Total capitalization at IPO was $250 million; as of March 31, 2010, total capitalization was $6.7
billion
§ IPO stock price was $19.50 a share, today the stock trades around $135 per share
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2011 Guidance (updated May 5, 2011)
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FFO Per Share Guidance
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$5.50- $5.70
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Earnings Per Share Guidance
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$0.85 - $1.15
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Same Property Revenue Growth (Midpoint)
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4.2%
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Same Property NOI Growth (Midpoint)
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5.4%
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Market Expectations
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2011
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2011
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2011
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Market
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Market
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Market
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Job Growth
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Rent Growth
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Occupancy
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Southern California
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1.2%
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4.9%
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95.2%
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Northern California
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1.2%
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4.9%
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95.8%
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Seattle Metro
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1.7%
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5.25%
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95.25%
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Weighted Average
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1.3%
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5.0%
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95.5%
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US Economic Assumptions
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GDP Growth of 2.5% to 3.0%
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Job Growth of 1.3%
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Targeted Acquisitions
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$300 million - $500 million
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Targeted Development
Investment |
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$150 million related to finishing Via, starting Queen Anne and the Cadence Campus
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5
ESSEX MARKET DYNAMICS
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Anavia - Anaheim, CA
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DEVELOPMENT TRACK RECORD
Over the past 25-years, we have delivered over 8,500 units through our development program
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RECENT DEVELOPMENT AWARDS
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2011
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Fourth and U, Berkeley, CA
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Gold Nugget, Award of Merit - Best Mixed-Use Project
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2010
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Eastlake 2851, Seattle, WA
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Pillars of the Industry, Finalist - Best Garden Apartment Community
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2010
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The Grand, Oakland, CA
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Pillars of the Industry, Finalist - Best High Rise Apartments (9+) stories
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2010
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Eastlake 2851, Seattle, WA
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Gold Nugget, Award of Merit - Rental Apartments
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2010
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Joule, Seattle, WA
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Gold Nugget, Award of Merit - Best Multifamily Project (4-6 stories)
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2010
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Belmont Station, Los Angeles, CA
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Gold Nugget, Award of Merit - Best Multifamily Project over 6 stories
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2010
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Via, Sunnyvale, CA
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Gold Nugget, Award of Merit - Best on the Boards Multifamily Projects (Best Plan)
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2010
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Belmont Station, Los Angeles, CA
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Gold Nugget, Award of Merit - Best Affordable Project
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ACTIVE DEVELOPMENT COMMUNITIES (Starting in 2011)
Fourth & U - Berkeley, CA
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Northern California
Seattle
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1) West Dublin - 309 units ($94.5 million)
2) Cadence Phase 1 - 280 units ($98.6 million)
3) Queen Anne - 275 units ($79.1 million)
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REDEVELOPMENT
28 units added at Foothill Commons - Bellevue, WA
Before/After at Highridge - Rancho Palos Verdes, CA
Before/After at Elevation (Eagle Rim) - Redmond, WA
SAN JOSE
Via - Sunnyvale, CA
Family Tree - Santa Clara, CA
Bella Villagio - San Jose, CA
Cadence Campus - San Jose, CA
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San Jose vs. U.S.
Average Earnings Comparison
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SJ MSA
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U.S.
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Average
Wage |
% of
Total Jobs |
Average
Wage |
% of
Total Jobs |
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Construction
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$73,144
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4%
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$50,268
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4%
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Manufacturing
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$145,811
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17%*
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$68,393
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9%
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T.T.U
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$68,868
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15%
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$45,227
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19%
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Information
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$183,894
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5%
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$86,949
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2%
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Financial
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$37,193
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4%
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$48,585
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6%
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Prof/Bus. Services
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$92,283
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19%
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$57,552
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13%
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Other Services
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$52,873
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25%
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$36,955
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29%
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Government
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$84,500
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11%
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$62,914
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18%
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Weighted Average
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$89,752
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$50,784
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Economy.com, 2011, Earnings for 2009
* Predominately technology related
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Gap = 11% of
current rents
current rents
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SEATTLE
Joule - Seattle, WA
Queen Anne - Seattle, WA
Courtyard off Main - Bellevue, WA
Elevation (Eagle Rim) - Redmond, WA
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Seattle vs. U.S.
Average Earnings Comparison
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SEA MSA
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U.S.
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Average
Wage |
% of
Total Jobs |
Average
Wage |
% of
Total Jobs |
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Construction
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$68,400
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5%
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$50,268
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4%
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Manufacturing
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$92,793
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11%
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$68,393
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9%
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T.T.U
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$56,441
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18%
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$45,227
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19%
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Information
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$147,010
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6%
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$86,949
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2%
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Financial
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$50,203
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6%
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$48,585
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6%
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Prof/Bus. Services
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$68,726
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14%
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$57,552
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13%
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Other Services
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$40,137
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25%
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$36,955
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29%
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Government
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$68,678
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15%
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$62,914
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18%
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Weighted Average
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$65,876
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$50,784
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*Economy.com, 2011, Earnings for 2009
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Gap = 10% of
current rents
current rents
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LOS ANGELES
416 on Broadway - Glendale, CA
Millennium, Los Angeles, CA
Bellerive, Los Angeles, CA
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Los Angeles vs. U.S.
Average Earnings Comparison
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LA MSA
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U.S.
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Average
Wage |
% of
Total Jobs |
Average
Wage |
% of
Total Jobs |
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Construction
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$58,565
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3%
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$50,268
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4%
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Manufacturing
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$73,593
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10%
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$68,393
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9%
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T.T.U
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$50,381
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20%
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$45,227
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19%
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Information
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$111,157
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5%
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$86,949
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2%
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Financial
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$42,135
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5%
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$48,585
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6%
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Prof/Bus. Services
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$64,705
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14%
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$57,552
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13%
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Other Services
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$44,148
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28%
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$36,955
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29%
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Government
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$75,353
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15%
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$62,914
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18%
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Weighted Average
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$59,645
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$50,784
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*Economy.com, 2011, Earnings for 2009
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Gap = 10% of
current rents
current rents
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ORANGE COUNTY
Axis 2300 - Irvine, CA
Essex Skyline - Santa Ana, CA
Anavia - Anaheim, CA
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Orange Co. vs. U.S.
Average Earnings Comparison
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ORG MSA
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U.S.
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Average
Wage |
% of
Total Jobs |
Average
Wage |
% of
Total Jobs |
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Construction
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$81,817
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5%
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$50,268
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4%
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Manufacturing
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$80,612
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11%
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$68,393
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9%
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T.T.U
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$59,061
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18%
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$45,227
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19%
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Information
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$81,716
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2%
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$86,949
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2%
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Financial
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$50,573
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8%
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$48,585
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6%
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Prof/Bus. Services
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$64,251
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18%
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$57,552
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13%
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Other Services
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$40,692
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27%
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$36,955
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29%
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Government
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$74,187
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11%
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$62,914
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18%
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Weighted Average
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$60,005
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$50,784
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*Economy.com, 2011, Earnings for 2009
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Gap = 6% of
current rents
current rents
17
NOTES
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