INVESTOR PRESENTATION S E P T E M B E R 2 0 1 6 TABLE OF CONTENTS - PowerPoint PPT Presentation

O C TO B E R 2 0 1 5 INVESTOR PRESENTATION S E P T E M B E R 2 0 1 6

TABLE OF CONTENTS PAGE(S) 2 – 3 ABOUT ESSEX 4 – 9 WEST COAST INVESTMENT STRATEGY INVESTMENT OVERVIEW 10 – 14 FINANCIAL PERFORMANCE, CAPITAL MANAGEMENT 15 – 23 & 2016 GUIDANCE 24 APPENDIX 25 – 29 • TRACK RECORD 30 – 33 • WEST COAST OVERVIEW 34 – 39 • TECH INDUSTRY: THEN & NOW 40 – 43 • ESSEX PORTFOLIO 44 – 46 • SUSTAINABILITY Pacific Electric Lots , Los Angeles, CA SAFE HARBOR DISCLOSURE Certain statements in this presentation, which are not historical facts, may be considered forward-looking statements within the meaning of the federal securities laws. The forward looking statements, some of which can be identified by terms and phrases such as “forecast”, “es tim ate”, “expect”, “anticipate”, “should”, “could”, “may”, and similar expressions , reflect the current views of Essex Property Trust, Inc. (“Essex” or the “Company”) and its affiliates with respect to futur e events and are subject to risks and uncertainties. Such forward- looking statements involve the risk that actual results could be materially different from those described in such forward-looking statements. Factors that could cause actual results to be materially different are discussed under the caption “Risk Factors” in Item 1A of the Company’s Report on Form 10 -K for the year ended December 31, 2015. All forward-looking statements and reasons why 1 results may differ included in this presentation are made of the date hereof, and we assume no obligation to update any such forward-looking statements or reasons why actual results may differ.

ESSEX IS THE ONLY PUBLIC MULTIFAMILY REIT DEDICATED EXCLUSIVELY TO THE WEST COAST Seattle, 16% of NOI (1) San Francisco MD 9% East Bay (2) 13% Santa Clara 18% Northern CA, 40% of NOI (1) Ventura 5% Los Angeles 19% Orange County 11% San Diego 8% Southern CA, 44% of NOI (1) (1) Represents percent of pro rata NOI as of 6/30/16. (2) East Bay includes Alameda and Contra Costa Counties. 2 (3) Multifamily REITs represent the total return of 7 peers through 12/31/15.

KEY STRATEGIC OBJECTIVES The Dylan Los Angeles, CA 3

STRONG WEST COAST FUNDAMENTALS

ROBUST WEST COAST JOB GROWTH WEST COAST JOB GROWTH OUTPACES THE U.S. AND OTHER MAJOR MSA’S Trailing 3 Month Job Growth As of July 2016 4% Essex Portfolio Wtd. Avg. = 2.9% (1) 3% 2% U.S. Avg. = 1.7% 1% 0% Seattle San Jose San Francisco Orange County Washington DC San Diego Oakland Los Angeles New York Boston Ventura Non ESS Markets ESS Markets 5 Source: BLS (not seasonally adjusted) (1) For those markets included in this graph which represents 99% of Essex’s NOI at the Company’s pro rata share as of 6/30/16.

FAVORABLE DEMOGRAPHICS FAVORABLE DEMOGRAPHIC TRENDS INDICATE CONTINUED RENTAL DEMAND U.S. Population by Age Group (in Millions) 24 22 20 18 16 14 12 20 to 24 years 25 to 29 years 30 to 34 years 35 to 39 years 40 to 44 years 45 to 49 years 50 to 54 years 55 to 59 years 60 to 64 years 2014 Population 2005 Population 6 Source: Census

STRONG PERSONAL INCOME GROWTH STRONG PERSONAL INCOME GROWTH SUPPORTS RENT GROWTH IN ESS MARKETS 2016 Personal Income Growth Estimates 6% Essex Portfolio Wtd. Avg. = 5.2% (1) 4% U.S. Avg. = 3.3% 2% 0% San Jose San Francisco Los Angeles Seattle Orange County San Diego Oakland Ventura Source: BEA, Rosen Consulting Group, Economy.com 7 (1) For those markets included in this graph which represents 99% of Essex’s NOI at the Company’s pro rata share as of 6/30/16.

LIMITED SUPPLY IN ESS MARKETS ESS CA SUPPLY AS A PERCENT OF STOCK HAS HISTORICALLY BEEN BELOW 1% AND REMAINS MUTED  RELATIVE TO THE NATION, ESS’ CA MARKETS HAVE LESS HOUSING SUPPLY WITH BETTER JOB GROWTH  Total Permits as a % of Total Stock Single Family Permits as a % of Single Family Stock ESS CA vs. U.S. ESS CA vs. U.S. 2.0% 2.0% 1.5% 1.5% 1.0% 1.0% 0.5% 0.5% 0.0% 0.0% Dec-90 Dec-92 Dec-94 Dec-96 Dec-98 Dec-00 Dec-02 Dec-04 Dec-06 Dec-08 Dec-10 Dec-12 Dec-14 Dec-90 Dec-92 Dec-94 Dec-96 Dec-98 Dec-00 Dec-02 Dec-04 Dec-06 Dec-08 Dec-10 Dec-12 Dec-14 ESS CA Permits as % of Stock US Permits as % of Stock 8 Source: Census, ESS, Rosen Consulting Group

LONG HISTORY OF SOLID RENT GROWTH SINCE 1995, ESS MARKETS HAVE HAD AVERAGE ANNUAL RENT GROWTH OF 3.9%  1995-2015 Rent Growth CAGR 5.0% Essex Markets Wtd. Average (1) : 3.9% 4.0% 3.0% 2.0% 1.0% 0.0% San Francisco San Jose Los Angeles Seattle San Diego Oakland Boston Orange County Washington D.C. Ventura U.S. Manhattan Non ESS Markets ESS Markets Source: Essex and Axiometrics 9 (1) Markets weighted by scheduled rent in the Company's Portfolio.

INVESTMENT OVERVIEW

CORE COMPETENCIES TO CREATE VALUE Avant One South  ACQUISITIONS Market Improve the NAV/sh,  cash flow/sh and growth prospects of the Company  DEVELOPMENT Develop high-quality  tenant desired apartment homes near transportation Bunker Hill nodes (Rendering)  REDEVELOPMENT Focused on rent  justified improvements to Park 20 maximize NOI and value  CO-INVESTMENT PLATFORM Facilitates growth via  private capital and provides attractive risk adjusted returns 11

STRATEGIC CAPITAL ALLOCATION INVESTMENT ACTIVITY YEAR-TO-DATE Cull weakest locations with limited growth through dispositions  Large discounts to NAV (>10%) would likely result in increased disposition activity   Utilize IRC 1031 exchange to manage taxable gains Originate preferred equity transactions given conservative loan underwriting  Acquisitions Apartment Contract Price/ Property Name City Location Age Homes Price Home Mio San Jose Northern CA 103 1 $ 51,300 $ 498 Form 15 San Diego Southern CA 242 2 $ 97,400 $ 402 Total/Wtd. Average 345 2 $ 148,700 $ 431 Mio Dispositions Apartment Contract Price/ Property Name City Location Age Homes Price Home The Heights (1) Chino Hills Southern CA 332 12 $ 46,900 $ 283 Harvest Park Santa Rosa Northern CA 104 12 $ 30,500 $ 293 Canyon Creek (1) Northridge Southern CA 200 30 $ 26,750 $ 268 Total/Wtd. Average 636 18 $ 104,150 $ 280 Preferred Equity Investments Originated Location Total $ Invested Southern CA $ 47,100 Seattle $ 23,700 Canyon Creek Total $ 70,800 12 (1) Contract price represents the Company’s pro rata share.

YEAR-TO-DATE DEVELOPMENT STARTS GATEWAY VILLAGE Location Santa Clara, CA Apartment Homes 476 Total Cost $226M Construction Start Q3 2016 Initial Occupancy Q2 2018 13

DEVELOPMENT PIPELINE UPDATE EXPECT TO COMPLETE CONSTRUCTION AND BEGIN LEASING 3 PROJECTS IN 2016 FOR A TOTAL  COST OF $270M YEAR-TO DATE ANNOUNCED 1 NEW DEVELOPMENT START  Delivery of Development Timeline (2) Delivery of Development Pipeline Total Cost (1) $900 # of Properties Units 2016 3 555 $270 $800 $700 2017 1 376 $172 $600 2018 3 1,341 $846 Cost in millions $500 Total 7 2,272 $1,288 $400 ESS Share (3) $300 Total Cost $961 $200 Unfunded Cost $574 $100 Total cost as a % of total market cap. 4.4% $- Unfunded cost as a % of total market cap. 2.7% 2016 2017 2018 (1) Total cost in millions and not ESS share. Includes only those projects under construction as of 6/30/16. 14 (2) Based on initial occupancy. (3) As of 6/30/16.

FINANCIAL PERFORMANCE, CAPITAL MANAGEMENT & 2016 GUIDANCE

CONTINUED OUTPERFORMANCE VS. PEERS ESS SAME-PROPERTY NOI GROWTH HAS EXCEEDED THE PEER AVERAGE BY 3.5% ANNUALLY  NOI GROWTH IN 2016 IS PROJECTED TO OUTPERFORM THE PEER GROUP YET AGAIN AND BE THE  HIGHEST AMONG THE PEERS Same-Property NOI Growth 10% 9.1% 8.1% 8% 5.6% 6% 4.9% 4% 2% 0% (1) 2012-2015 CAGR 2016E (2) ESS Peer Average Source: Company Disclosures (1) 2016 is the midpoint of company guidance as of Second Quarter 2016 Earnings Releases. 16 (2) Peer average represents 7 multifamily REITs.

2 0 1 6 S A M E - P R O P E R T Y R E V E N U E G R OW T H FOR THE FULL-YEAR, SAME-PROPERTY REVENUE GROWTH IS EXPECTED TO BE 6.6% – 7.0%  Q2 2016 YTD through Same-Property Revenue Growth Actuals June Southern California 6.1% 6.1% Northern California 7.6% 8.3% Seattle 7.5% 7.3% Total 6.9% 7.1% The Highlands at Wynhaven Emme The Huntington Issaquah, WA Emeryville, CA Huntington Beach, CA 17

HYPOTHETICAL CAPITAL ALLOCATION STRATEGY: RUNNING THE MACHINE IN REVERSE COMPANY HAS A $250M STOCK BUYBACK PROGRAM APPROVED BY THE BOARD OF DIRECTORS  ESTIMATED $ ACCRETION TO CORE FFO FROM EXECUTION OF THE BUYBACK PROGRAM (1)  VALUE CREATION (SHOWN IN TABLE BELOW) IS DEPENDENT ON DISPOSITION OPPORTUNITIES  AS WELL AS DISCOUNT TO NAV $ Value Creation/(Dilution) in Millions Discount to NAV (2) Strategy 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% Portfolio Management 5.25% ($1.9) ($1.2) ($0.4) $0.5 $1.5 $2.6 Disposition Cap Rate 5.00% ($1.0) ($0.3) $0.5 $1.4 $2.4 $3.5 4.75% ($0.1) $0.6 $1.4 $2.2 $3.2 $4.4 4.50% $0.8 $1.5 $2.3 $3.1 $4.1 $5.3 4.25% $1.7 $2.4 $3.1 $4.0 $5.0 $6.2 4.00% $2.5 $3.3 $4.0 $4.9 $5.9 $7.1 Opportunistic (1) Assumes the stock buyback program is balance sheet neutral. 18 (2) Assumes consensus NAV estimate and not the Company’s internal NAV.