Essex Property Trust Unveils 2024 Sustainability and Impact Report, Reinforcing ESG Commitment

SAN MATEO, Calif. – June 26, 2025 – Essex Property Trust, Inc. (NYSE:ESS), a leading West Coast multifamily residential real estate investment trust (REIT), today announced the publication of its comprehensive 2024 Sustainability and Impact Report. This pivotal report not only highlights the significant strides the company has made in its environmental, social, and governance (ESG) initiatives but also introduces ambitious new emissions reduction targets, which have received official validation from the rigorous Science Based Targets initiative (SBTi).

The release of this report underscores Essex Property Trust's unwavering commitment to sustainable business practices and its dedication to fostering positive impacts within the communities it serves. The company's proactive approach to ESG integration is increasingly vital in today's investment landscape, where sustainability performance is a key metric for many institutional and retail investors.

Key Highlights from the 2024 Report:

• Validated Emissions Reduction Targets: A cornerstone of the 2024 report is the announcement of new, science-based emissions reduction targets. These targets, approved by the SBTi, align Essex's climate actions with the goals of the Paris Agreement, aiming to limit global warming to 1.5°C. This validation signifies a robust, data-driven commitment to decarbonization within its operations and portfolio.
• Environmental Footprint Improvement: The report details quantifiable progress in reducing the company's environmental footprint across its extensive portfolio of apartment communities. This includes advancements in energy efficiency, water conservation, and waste management programs, contributing to lower operational costs and enhanced property value.
• Community Engagement and Social Impact: Beyond environmental stewardship, Essex Property Trust emphasizes its dedication to social responsibility. The report outlines various initiatives focused on community engagement, resident well-being, and fostering inclusive environments within its properties and the broader neighborhoods. This includes programs supporting affordable housing, local partnerships, and employee volunteerism.
• Robust Governance Practices: The report also reinforces Essex's commitment to strong corporate governance, transparency, and ethical conduct. Sound governance structures are fundamental to ensuring the long-term sustainability and resilience of the company.

Angela Kleiman, President and CEO of Essex Property Trust, expressed her pride in the company's achievements, stating, "I'm proud to share the tremendous strides we've made towards improving our environmental footprint and positively contributing to the communities we serve. Our commitment to sustainability is not just about compliance; it's integral to our long-term strategy, driving innovation, enhancing resident satisfaction, and creating enduring value for our shareholders."

Market Context and Investment Implications:

In an era where ESG factors are increasingly influencing investment decisions, Essex Property Trust's latest report positions the company favorably within the real estate sector. Investors are increasingly scrutinizing companies' sustainability performance, recognizing that strong ESG practices can mitigate risks, enhance brand reputation, and drive long-term financial performance. For REITs like Essex, energy and water efficiency directly translate to lower operating expenses, which can boost net operating income (NOI) and, consequently, property valuations.

The validation of its emissions targets by SBTi is particularly significant. It signals to the market that Essex is taking concrete, measurable steps towards climate action, differentiating it from peers who may have less ambitious or less rigorously validated goals. This can attract capital from ESG-focused funds and institutional investors, potentially leading to a lower cost of capital and increased liquidity for the stock.

Actionable Insights for Investors:

• Long-Term Value Creation: Investors should view Essex Property Trust's enhanced ESG commitment as a driver of long-term value. Reduced utility costs, improved tenant retention due to sustainable living environments, and access to a broader pool of ESG-conscious capital can contribute to sustained financial performance.
• Risk Mitigation: Strong sustainability practices can mitigate various risks, including regulatory changes related to climate, resource scarcity, and reputational damage. Essex's proactive stance suggests a well-managed approach to these evolving challenges.
• Sector Leadership: The report reinforces Essex's position as a leader in sustainable real estate within the multifamily sector. This leadership can translate into competitive advantages in attracting and retaining residents, as well as in securing favorable financing terms.
• Monitor Future Progress: While the report highlights past achievements and new targets, investors should continue to monitor Essex's progress against these ambitious goals in future reports. Consistent achievement of these targets will be key to validating the company's ESG strategy.

Essex Property Trust's 2024 Sustainability and Impact Report is a clear testament to its dedication to responsible growth and its understanding of the evolving demands of both residents and investors. By integrating sustainability deeply into its business model, Essex is not only contributing to a more sustainable future but also building a more resilient and valuable enterprise.