Invitation Homes Inc. (NYSE: INVH) (“Invitation Homes,” “we,” “our,” and “us”), the nation’s premier single-family home leasing and management company, today announced our Third Quarter (“Q3”) 2026 financial and operating results.
Q3 2026 Highlights
- Year over year, total revenues increased 6.3% to $731 million, property operating and maintenance costs increased 2.0% to $264 million, and net income available to common stockholders increased 15.6% to $158 million, or $0.27 per diluted common share.
- Year over year, Core FFO per share increased 2.4% to $0.48, while AFFO per share increased 0.1% to $0.38.
- Same Store NOI increased 1.1% year over year on 1.6% Same Store Core Revenues growth and 2.5% Same Store Core Operating Expenses growth.
- Same Store Average Occupancy was 96.4%, a reduction of 10 basis points year over year.
- Same Store renewal rent growth of 4.3% and Same Store new lease rent growth of (0.2)% resulted in Same Store blended rent growth of 3.0%.
- We sold 658 wholly owned homes, most to families purchasing for their own use, and acquired 216 wholly owned homes, for net dispositions of 442 homes and net proceeds of approximately $245 million that we used to fund share repurchases.
- As previously announced, on July 8, 2026, we closed a public offering of $500 million aggregate principal amount of 4.950% senior notes (the “Notes”). The Notes were priced at 99.291% of the principal amount and mature on February 1, 2032. Net proceeds were used to prepay a portion of our secured debt obligation maturing in June 2027.
Capital Allocation Update
From December 1, 2025 through October 27, 2026, we bought back nearly $1 billion of our shares. This includes an aggregate of 36,923,753 shares repurchased to date at an average stock price of $26.78, and represents an implied value per home of approximately $280,000 against a gross average sales price of approximately $460,000 for homes sold during that same period.
On October 26, 2026, our board of directors authorized an additional $500 million share repurchase program.
Comments from Chief Executive Officer Dallas Tanner
“Our third quarter reflected steady execution across the platform. Same Store NOI grew 1.1% year over year, blended rent growth was 3.0%, and with the benefit of our share repurchases, Core FFO per share grew 2.4%. Since December 2025, we’ve repurchased nearly $1 billion of our stock at a substantial valuation discount. We believe that is more than any other residential REIT. With the new $500 million share repurchase program our board just authorized, we intend to keep funding buybacks with home sale proceeds whenever our stock trades at a meaningful discount to the value of our homes, guided by market conditions and a disciplined approach to the balance sheet.
“Following a solid third quarter, we are raising our full year guidance midpoints for Core FFO per share by $0.01 to $1.96, Same Store NOI growth guidance to 1.2%, and wholly owned home sales to $950 million, which supports our continued focus on closing the gap between public and private market values.”
Glossary & Reconciliations of Non-GAAP Financial and Other Operating Measures
Financial and operating measures found in the Earnings Release and Supplemental Information include certain measures used by Invitation Homes management that are measures not defined under accounting principles generally accepted in the United States (“GAAP”). These measures are defined herein and, as applicable, reconciled to the most comparable GAAP measures.
Financial Results
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Net Income, FFO, Core FFO, and AFFO Per Share — Diluted |
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Q3 2026 |
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Q3 2025 |
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YTD 2026 |
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YTD 2025 |
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Net income |
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$ |
0.27 |
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$ |
0.22 |
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$ |
0.90 |
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$ |
0.72 |
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FFO |
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0.36 |
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0.44 |
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1.25 |
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1.35 |
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Core FFO |
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0.48 |
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0.47 |
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1.46 |
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1.43 |
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AFFO |
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0.38 |
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0.38 |
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1.23 |
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1.22 |
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Net Income
Net income per common share — diluted for Q3 2026 was $0.27, compared to net income per common share — diluted of $0.22 for Q3 2025. Total revenues and total property operating and maintenance expenses for Q3 2026 were $731 million and $264 million, respectively, compared to $688 million and $259 million, respectively, for Q3 2025.
Net income per common share — diluted for YTD 2026 was $0.90, compared to net income per share — diluted of $0.72 for YTD 2025. Total revenues and total property operating and maintenance expenses for YTD 2026 were $2,213 million and $771 million, respectively, compared to $2,044 million and $741 million, respectively, for YTD 2025.
Core FFO
Year over year, Core FFO per share for Q3 2026 increased 2.4% to $0.48, while Core FFO per share for YTD 2026 increased 2.1% to $1.46, primarily due to a lower share count from stock repurchases and Same Store NOI growth.
AFFO
Year over year, AFFO per share for Q3 2026 increased 0.1% to $0.38, while AFFO per share for YTD 2026 increased 1.1% to $1.23, primarily due to the increase in Core FFO per share described above.
Operating Results
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Same Store Operating Results Snapshot |
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Number of Homes, period-end |
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Q3 2026 |
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Total Portfolio |
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85,961 |
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Number of homes in Same Store Portfolio: |
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76,687 |
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Same Store % of Total |
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89.2 |
% |
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Q3 2026 |
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Q3 2025 |
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YTD 2026 |
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YTD 2025 |
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Core Revenues growth (year over year) |
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1.6 |
% |
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1.7 |
% |
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Core Operating Expenses growth (year over year) |
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2.5 |
% |
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3.3 |
% |
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NOI growth (year over year) |
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1.1 |
% |
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0.9 |
% |
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Average Occupancy |
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96.4 |
% |
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96.5 |
% |
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96.6 |
% |
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97.0 |
% |
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Bad Debt % of gross rental revenue |
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0.8 |
% |
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0.7 |
% |
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0.6 |
% |
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0.6 |
% |
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Turnover Rate |
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6.2 |
% |
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6.3 |
% |
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17.0 |
% |
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17.5 |
% |
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Rental Rate Growth (lease-over-lease): |
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Renewals |
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4.3 |
% |
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4.5 |
% |
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3.7 |
% |
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4.8 |
% |
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New leases |
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(0.2 |
)% |
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(0.7 |
)% |
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(0.8 |
)% |
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0.4 |
% |
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Blended |
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3.0 |
% |
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2.9 |
% |
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2.4 |
% |
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3.5 |
% |
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Same Store NOI
For the Same Store Portfolio of 76,687 homes, Same Store NOI for Q3 2026 increased 1.1% year over year on Same Store Core Revenues growth of 1.6% and Same Store Core Operating Expenses growth of 2.5%.
YTD 2026 Same Store NOI increased 0.9% year over year on Same Store Core Revenues growth of 1.7% and Same Store Core Operating Expenses growth of 3.3%.
Same Store Core Revenues
Q3 2026 year over year Same Store Core Revenues growth of 1.6% was primarily driven by a 1.8% increase in Average Monthly Rent and a 2.6% increase in other property income, net, partially offset by a 10 basis point year over year decrease in Average Occupancy and a 10 basis point year over year increase in bad debt.
YTD 2026 year over year Same Store Core Revenues growth of 1.7% was primarily driven by a 2.0% increase in Average Monthly Rent and a 4.1% increase in other property income, net, partially offset by a 40 basis point year over year decrease in Average Occupancy.
Same Store Core Operating Expenses
Q3 2026 year over year Same Store Core Operating Expenses increased 2.5%, primarily attributable to a 4.9% increase in controllable expenses and a 1.1% increase in fixed expenses.
YTD 2026 year over year Same Store Core Operating Expenses increased 3.3%, primarily driven by a 4.7% increase in controllable expenses and a 2.5% increase in fixed expenses.
Investment, Property Management, and Homebuilding Activity
During Q3 2026, we sold 658 wholly owned homes, most to families purchasing for their own use, for gross proceeds of approximately $318 million, and we sold 18 homes for gross proceeds of approximately $7 million in our joint ventures. Acquisitions for Q3 2026 included 216 wholly owned homes for approximately $74 million and 288 homes for approximately $92 million in our joint ventures.
YTD 2026, we sold 1,798 wholly owned homes for gross proceeds of approximately $833 million and 42 homes for gross proceeds of approximately $18 million in our joint ventures. We also acquired 673 wholly owned homes for approximately $239 million and 375 homes for approximately $122 million in our joint ventures.
On September 15, 2026, we executed a series of agreements to effectuate the dissolution of the Pathway joint ventures, Pathway Property Company (“Pathway Homes”) and Pathway Operating Company. We were the sole limited partner and provided all of the equity capital to Pathway Homes from its inception. In connection with the transaction, we acquired the general partner and all other interests in Pathway Homes, resulting in our ownership of a controlling financial interest in the entity and the consolidation of the 894 homes, along with other assets and liabilities, previously owned by Pathway Homes. Those homes are now reported as wholly owned homes. In conjunction with the transaction, the operating agreements governing the Pathway joint ventures were terminated, resulting in the dissolution of Pathway Operating Company, the technology and asset management platform that served the homes. During Q3 2026, we recognized a non-cash net loss of $30.4 million related to the dissolution of the joint ventures and the resulting consolidation of the assets and liabilities at fair value, which is excluded from Core FFO, AFFO, and Adjusted EBITDAre.
A summary of our owned and/or managed homes is included in the following table:
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Summary of Homes Owned and/or Managed as of September 30, 2026 |
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Number of |
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Acquired or |
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Pathway |
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Disposed or |
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Number of |
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Wholly owned homes |
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85,509 |
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216 |
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894 |
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(658 |
) |
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85,961 |
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Joint venture owned homes |
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8,069 |
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288 |
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(894 |
) |
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(18 |
) |
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7,445 |
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Managed-only homes |
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15,639 |
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— |
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— |
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(285 |
) |
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15,354 |
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Total homes owned and/or managed |
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109,217 |
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504 |
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— |
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(961 |
) |
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108,760 |
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Balance Sheet and Capital Markets Activity
As of September 30, 2026, we had $1,344 million in available liquidity through a combination of unrestricted cash and undrawn capacity on our revolving credit facility. In addition, our total indebtedness of $8,810 million consisted of 89.8% unsecured debt and 10.2% secured debt; 90.2% of our total debt was fixed rate or swapped to fixed rate; 89.7% of our wholly owned homes were unencumbered; and our Net debt / TTM adjusted EBITDAre was 5.5x, within our targeted range of 5.5x to 6.0x.
During Q3 2026, we acquired 8,874,903 shares of our common stock for approximately $250 million. From December 1, 2025 through October 27, 2026, we bought back nearly $1 billion of our shares. On October 26, 2026, our board of directors authorized an additional $500 million share repurchase program, which allows us to acquire shares of our common stock through open market purchases or negotiated transactions, including through Rule 10b5-1 plans, with no expiration date. Any repurchases will be made at our discretion, with the timing and actual number of shares repurchased depending on a variety of factors, including price, corporate and regulatory requirements, market conditions, and other liquidity needs and priorities.
As previously announced, on July 8, 2026, we closed a public offering of $500 million aggregate principal amount of 4.950% senior notes (the “Notes”). The Notes were priced at 99.291% of the principal amount and mature on February 1, 2032. Net proceeds were used to prepay a portion of our secured debt obligation maturing in June 2027.
FY 2026 Guidance
We have raised our full year 2026 guidance, including an increase to the Core FFO per share midpoint by $0.01 to $1.96 as set forth below, in addition to our other underlying assumptions.
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FY 2026 Guidance Summary |
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Current |
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Current |
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Prior |
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Change in |
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Core FFO per share — diluted |
$1.94 – $1.98 |
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$1.96 |
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$1.95 |
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$0.01 |
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AFFO per share — diluted |
$1.63 – $1.67 |
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$1.65 |
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$1.65 |
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$— |
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Same Store Core Revenues growth |
1.65% – 2.15% |
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1.9% |
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1.9% |
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—% |
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Same Store Core Operating Expenses growth (1) |
2.7% – 3.7% |
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3.2% |
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3.5% |
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(0.3)% |
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Same Store NOI growth |
0.7% – 1.7% |
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1.20% |
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1.15% |
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0.05% |
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Wholly owned acquisitions (2) |
$200 – $300 million |
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$250 million |
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$250 million |
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$— million |
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JV acquisitions (2) |
$100 – $150 million |
|
$125 million |
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$100 million |
|
$25 million |
|
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Wholly owned dispositions |
$900 – $1,000 million |
|
$950 million |
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$850 million |
|
$100 million |
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(1) |
Same Store Core Operating Expenses growth guidance assumes a year over year increase in FY 2026 property taxes in a range of 3% to 4%. |
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(2) |
Excludes our acquisition of ResiBuilt in January 2026. |
In accordance with SEC rules, we do not provide guidance for the most comparable GAAP financial measures of net income (loss) per share, total revenues, and property operating and maintenance expense. Additionally, a reconciliation of the forward-looking non-GAAP financial measures of Core FFO per share, AFFO per share, Same Store Core Revenues growth, Same Store Core Operating Expenses growth, and Same Store NOI growth to the comparable GAAP financial measures cannot be provided without unreasonable effort because we are unable to reasonably predict certain items contained in the GAAP measures, including non-recurring and infrequent items that are not indicative of our ongoing operations. Such items include, but are not limited to, impairment on depreciated real estate assets, net (gain)/loss on sale of previously depreciated real estate assets, share-based compensation, net casualty losses and reserves, non-Same Store revenues, and non-Same Store operating expenses. These items are uncertain, depend on various factors, and could have a material impact on our GAAP results for the guidance period.
Earnings Conference Call Information
We will host a live webcast on Thursday, October 29, 2026, at 11:00 a.m. Eastern Time to review third quarter results, discuss recent events, and conduct a question-and-answer session with covering sell-side research analysts. A link to the live webcast is available online from our investor relations website at www.invh.com, with a replay available for one year.
About Invitation Homes
Invitation Homes, an S&P 500 company, is the nation’s premier single-family home leasing and management company, helping to expand housing through new development and strategic partnerships. Our purpose, Unlock the Power of Home™, reflects our commitment to address America’s housing needs by delivering high-quality living solutions and Genuine CARE™ to those who choose the flexibility and value of leasing.
Investor Communication Channels
We file annual, quarterly, and current reports, proxy statements, and other information with the SEC. Our SEC filings are available to the public over the internet at the SEC’s website at www.sec.gov. We maintain a website at www.invh.com, where our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, are made available free of charge as soon as reasonably practicable after they are filed with or furnished to the SEC. Additionally, we may, from time to time, disclose material information to investors and the public through our investor relations website at www.invh.com, press releases, public conference calls and webcasts, and our LinkedIn pages (www.linkedin.com/company/invitation-homes/ and www.linkedin.com/showcase/resibuilt-by-invitation-homes/). We may use any one or a combination of these channels for any particular announcement. We encourage investors, the media, and others interested in our company to monitor these channels, as information posted to them could be deemed material. In addition, you may automatically receive email alerts and other information about Invitation Homes when you enroll your email address in the “receive investor email alerts” section at www.invh.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which include, but are not limited to, statements related to our expectations regarding the performance of our business, our financial results, our liquidity and capital resources, and other non-historical statements. In some cases, you can identify these forward-looking statements by the use of words such as “outlook,” “guidance,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties that may impact our financial condition, results of operations, cash flows, business, associates, and residents, including, among others, risks inherent to the single-family rental industry and our business model, macroeconomic factors beyond our control, federal, state, and local laws, regulations, executive actions, and policy initiatives (including the implementation of the 21st Century ROAD to Housing Act (the “Housing Act”) and related rulemaking, any limitations on institutional participation in the single-family housing market, and the effects of the Housing Act on institutional demand for our build-to-rent communities, fee-build operations, and construction and development lending), competition in identifying and acquiring properties, competition in the leasing market for quality residents, increasing property taxes, homeowners’ association (“HOA”) fees, and insurance costs, poor resident selection and defaults and non-renewals by our residents, our dependence on third parties for key services, risks related to the evaluation of properties, performance of our information technology systems, development and use of artificial intelligence, risks related to our indebtedness, risks related to the potential negative impact of fluctuating global and United States economic conditions (including inflation and imposition or increase of tariffs and trade restrictions by the United States and foreign countries), uncertainty in financial markets (including as a result of events affecting financial institutions), geopolitical tensions, natural disasters, climate change, and public health crises. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. We believe these factors include, but are not limited to, those described under Part I. Item 1A. “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025 (the “Annual Report”), as such factors may be updated from time to time in our periodic filings with the Securities and Exchange Commission (the “SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release, in the Annual Report, and in our other periodic filings. The forward-looking statements speak only as of the date of this press release, and we expressly disclaim any obligation or undertaking to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except to the extent otherwise required by law.
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Consolidated Balance Sheets |
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($ in thousands, except shares and per share data) |
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September 30, |
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December 31, |
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(unaudited) |
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Assets: |
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Investments in single-family residential properties, net |
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$ |
17,031,752 |
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$ |
17,274,622 |
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Cash and cash equivalents |
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|
78,927 |
|
|
|
129,971 |
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Restricted cash |
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|
258,907 |
|
|
|
224,894 |
|
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Goodwill |
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|
314,154 |
|
|
|
258,207 |
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Investments in unconsolidated joint ventures |
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|
114,506 |
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254,561 |
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Other assets, net |
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732,543 |
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|
538,035 |
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Total assets |
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$ |
18,530,789 |
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$ |
18,680,290 |
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Liabilities: |
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Secured debt, net |
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$ |
898,308 |
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$ |
1,384,114 |
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Unsecured notes, net |
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|
4,896,194 |
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4,398,921 |
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Term loan facilities, net |
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|
2,460,701 |
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|
|
2,451,985 |
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Revolving facility |
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485,000 |
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|
145,000 |
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Accounts payable and accrued expenses |
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|
406,654 |
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|
230,350 |
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Resident security deposits |
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|
187,614 |
|
|
|
184,536 |
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Other liabilities |
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|
337,331 |
|
|
|
317,492 |
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Total liabilities |
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|
9,671,802 |
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|
9,112,398 |
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Equity: |
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Stockholders’ equity |
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Preferred stock, $0.01 par value per share, 900,000,000 shares authorized, none outstanding as of September 30, 2026 and December 31, 2025 |
|
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— |
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|
|
— |
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Common stock, $0.01 par value per share, 9,000,000,000 shares authorized, 581,764,220 and 610,788,732 outstanding as of September 30, 2026 and December 31, 2025, respectively |
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|
5,818 |
|
|
|
6,108 |
|
|
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Additional paid-in capital |
|
|
10,364,715 |
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|
|
11,128,590 |
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Accumulated deficit |
|
|
(1,606,336 |
) |
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|
(1,610,981 |
) |
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Accumulated other comprehensive income |
|
|
55,991 |
|
|
|
6,415 |
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Total stockholders’ equity |
|
|
8,820,188 |
|
|
|
9,530,132 |
|
|
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Non-controlling interests |
|
|
38,799 |
|
|
|
37,760 |
|
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Total equity |
|
|
8,858,987 |
|
|
|
9,567,892 |
|
|
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Total liabilities and equity |
|
$ |
18,530,789 |
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|
$ |
18,680,290 |
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Consolidated Statements of Operations |
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($ in thousands, except shares and per share amounts) (unaudited) |
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Q3 2026 |
|
Q3 2025 |
|
YTD 2026 |
|
YTD 2025 |
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|
Revenues: |
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|
|
|
|
|
|
|
|
|||||||||
|
Rental revenues |
|
$ |
597,337 |
|
|
$ |
593,606 |
|
|
$ |
1,798,019 |
|
|
$ |
1,771,309 |
|
|
|
|
Other property income |
|
|
78,203 |
|
|
|
72,585 |
|
|
|
226,388 |
|
|
|
207,060 |
|
|
|
|
Management fee revenues |
|
|
19,889 |
|
|
|
21,975 |
|
|
|
59,479 |
|
|
|
65,677 |
|
|
|
|
Homebuilding revenues |
|
|
35,849 |
|
|
|
— |
|
|
|
129,054 |
|
|
|
— |
|
|
|
|
Total revenues |
|
|
731,278 |
|
|
|
688,166 |
|
|
|
2,212,940 |
|
|
|
2,044,046 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Expenses: |
|
|
|
|
|
|
|
|
|
|||||||||
|
Property operating and maintenance |
|
|
264,198 |
|
|
|
259,037 |
|
|
|
771,044 |
|
|
|
740,764 |
|
|
|
|
Property management expense |
|
|
39,163 |
|
|
|
37,073 |
|
|
|
116,214 |
|
|
|
109,645 |
|
|
|
|
Homebuilding cost of sales |
|
|
31,967 |
|
|
|
— |
|
|
|
113,316 |
|
|
|
|
— |
|
|
|
General and administrative |
|
|
34,233 |
|
|
|
18,444 |
|
|
|
95,884 |
|
|
|
71,553 |
|
|
|
|
Interest expense |
|
|
92,045 |
|
|
|
90,781 |
|
|
|
281,345 |
|
|
|
262,449 |
|
|
|
|
Depreciation and amortization |
|
|
195,751 |
|
|
|
188,457 |
|
|
|
583,192 |
|
|
|
557,058 |
|
|
|
|
Casualty losses, impairment, and other |
|
|
6,807 |
|
|
|
3,420 |
|
|
|
15,388 |
|
|
|
11,132 |
|
|
|
|
Total expenses |
|
|
664,164 |
|
|
|
597,212 |
|
|
|
1,976,383 |
|
|
|
1,752,601 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Gain on sale of property, net of tax |
|
|
136,176 |
|
|
|
45,515 |
|
|
|
355,578 |
|
|
|
163,772 |
|
|
|
|
Income (losses) from investments in unconsolidated joint ventures |
|
|
(32,175 |
) |
|
|
2,130 |
|
|
|
(37,662 |
) |
|
(7,890 |
) |
|
||
|
Loss on debt extinguishment and modifications |
|
|
(8,660 |
) |
|
|
— |
|
|
|
(8,660 |
) |
|
|
— |
|
|
|
|
Other, net |
|
|
(3,366 |
) |
|
|
(1,389 |
) |
|
|
(6,008 |
) |
|
|
(2,468 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Net income |
|
|
159,089 |
|
|
|
137,210 |
|
|
|
539,805 |
|
|
|
444,859 |
|
|
|
|
Net income attributable to non-controlling interests |
|
|
(602 |
) |
|
|
(472 |
) |
|
|
(1,963 |
) |
|
|
(1,489 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Net income attributable to common stockholders |
|
|
158,487 |
|
|
|
136,738 |
|
|
|
537,842 |
|
|
|
443,370 |
|
|
|
|
Net income available to participating securities |
|
|
(676 |
) |
|
|
(264 |
) |
|
|
(2,059 |
) |
|
|
(714 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Net income available to common stockholders — basic and diluted |
|
$ |
157,811 |
|
|
$ |
136,474 |
|
|
$ |
535,783 |
|
|
$ |
442,656 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Weighted average common shares outstanding — basic |
|
|
588,412,559 |
|
|
|
613,084,571 |
|
|
|
595,542,555 |
|
|
|
612,971,293 |
|
|
|
|
Weighted average common shares outstanding — diluted |
|
|
588,534,202 |
|
|
|
613,084,571 |
|
|
|
595,690,705 |
|
|
|
613,237,288 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Net income per common share — basic |
|
$ |
0.27 |
|
|
$ |
0.22 |
|
|
$ |
0.90 |
|
|
$ |
0.72 |
|
|
|
|
Net income per common share — diluted |
|
$ |
0.27 |
|
|
$ |
0.22 |
|
|
$ |
0.90 |
|
|
$ |
0.72 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
Dividends declared per common share |
|
$ |
0.30 |
|
|
$ |
0.29 |
|
|
$ |
0.90 |
|
|
$ |
0.87 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Glossary and Reconciliations
|
|
Average Monthly Rent
Average monthly rent represents average monthly rental income per home for occupied properties in an identified population of homes over the measurement period, and reflects the impact of non-service rental concessions and contractual rent increases amortized over the life of the related lease.
Average Occupancy
Average occupancy for an identified population of homes represents (i) the total number of days that the homes in such population were occupied during the measurement period, divided by (ii) the total number of days that the homes in such population were owned during the measurement period.
Bad Debt
Bad debt represents our reserves for residents’ accounts receivables balances that are aged greater than 30 days, under the rationale that a resident’s security deposit should cover approximately the first 30 days of receivables. For all resident receivables balances aged greater than 30 days, the amount reserved as bad debt is 100% of outstanding receivables from the resident, less the amount of the resident’s security deposit on hand. For the purpose of determining age of receivables, charges are considered to be due based on the terms of the original lease, not based on a payment plan if one is in place. All rental revenues and other property income, in both Total Portfolio and Same Store Portfolio presentations, are reflected net of bad debt.
Core Operating Expenses
Core operating expenses for an identified population of homes reflect property operating and maintenance expenses, excluding any expenses recovered from residents.
Core Revenues
Core revenues for an identified population of homes reflects total revenues, net of any resident recoveries.
EBITDA, EBITDAre, and Adjusted EBITDAre
EBITDA, EBITDAre, and Adjusted EBITDAre are supplemental, non-GAAP measures often utilized to evaluate the performance of real estate companies. We define EBITDA as net income or loss computed in accordance with accounting principles generally accepted in the United States (“GAAP”) before the following items: interest expense; income tax expense; depreciation and amortization; and adjustments for unconsolidated joint ventures. The National Association of Real Estate Investment Trusts (“Nareit”) recommends as a best practice that REITs that report an EBITDA performance measure also report EBITDAre. Consistent with the Nareit definition, we define EBITDAre as EBITDA, further adjusted for gain on sale of property, net of tax; and impairment on depreciated real estate investments. Adjusted EBITDAre is defined as EBITDAre before the following items: share-based compensation expense; business reorganization; casualty (gains) losses and reserves, net; (gains) losses on debt extinguishment and modifications; and other income and expenses. EBITDA, EBITDAre, and Adjusted EBITDAre are used as supplemental financial performance measures by management and by external users of our financial statements, such as investors and commercial banks. Set forth below is additional detail on how management uses EBITDA, EBITDAre, and Adjusted EBITDAre as measures of performance.
The GAAP measure most directly comparable to EBITDA, EBITDAre, and Adjusted EBITDAre is net income or loss. EBITDA, EBITDAre, and Adjusted EBITDAre are not used as measures of our liquidity and should not be considered alternatives to net income or loss or any other measure of financial performance presented in accordance with GAAP. Our EBITDA, EBITDAre, and Adjusted EBITDAre may not be comparable to the EBITDA, EBITDAre, and Adjusted EBITDAre of other companies due to the fact that not all companies use the same definitions of EBITDA, EBITDAre, and Adjusted EBITDAre. Accordingly, there can be no assurance that our basis for computing these non-GAAP measures is comparable with that of other companies. See “Reconciliation of Net Income to Adjusted EBITDAre” for a reconciliation of GAAP net income to EBITDA, EBITDAre, and Adjusted EBITDAre.
Funds from Operations (FFO), Core Funds from Operations (Core FFO), and Adjusted Funds from Operations (AFFO)
FFO, Core FFO, and Adjusted FFO are supplemental, non-GAAP measures often utilized to evaluate the performance of real estate companies. FFO is defined by Nareit as net income or loss (computed in accordance with GAAP) excluding gains or losses from sales of previously depreciated real estate assets, plus depreciation, amortization and impairment of real estate assets, and adjustments for unconsolidated joint ventures. We define Core FFO as FFO adjusted for the following (including adjustments for unconsolidated joint ventures, as applicable): non-cash interest expense related to amortization of deferred financing costs, loan discounts, and non-cash interest expense from derivatives; share-based compensation expense; legal settlements; amortization of intangible assets; business reorganization; casualty (gains) losses and reserves, net; (gains) losses on debt extinguishment and modifications; non-cash provision for (reversal of) credit losses, net; and (gains) losses on investments in equity and other securities, net, as applicable. We define Adjusted FFO as Core FFO less Recurring Capital Expenditures, including adjustments for unconsolidated joint ventures, that are necessary to help preserve the value and maintain the functionality of our homes.
We believe that FFO is a meaningful supplemental measure of the operating performance of our business because historical cost accounting for real estate assets in accordance with GAAP assumes that the value of real estate assets diminishes predictably over time, as reflected through depreciation and amortization. Because real estate values have historically risen or fallen with market conditions, management considers FFO an appropriate supplemental performance measure as it excludes historical cost depreciation and amortization, impairment on depreciated real estate investments, gains or losses related to sales of previously depreciated homes, as well non-controlling interests, from GAAP net income or loss. We believe that Core FFO and Adjusted FFO are also meaningful supplemental measures of our operating performance for the same reasons as FFO and are further helpful to investors as they provide a more consistent measurement of our performance across reporting periods by removing the impact of certain items that are not comparable from period to period.
The GAAP measure most directly comparable to Core FFO and Adjusted FFO is net income or loss. FFO, Core FFO, and Adjusted FFO are not used as measures of our liquidity and should not be considered alternatives to net income or loss or any other measure of financial performance presented in accordance with GAAP. Our FFO, Core FFO, and Adjusted FFO may not be comparable to the FFO, Core FFO, and Adjusted FFO of other companies due to the fact that not all companies use the same definition of FFO, Core FFO, and Adjusted FFO. Accordingly, there can be no assurance that our basis for computing these non-GAAP measures is comparable with that of other companies. See “Reconciliation of FFO, Core FFO, and Adjusted FFO” for a reconciliation of GAAP net income to FFO, Core FFO, and Adjusted FFO.
Net Operating Income (NOI)
NOI is a non-GAAP measure often used to evaluate the performance of real estate companies. We define NOI for an identified population of homes as rental revenues and other property income less property operating and maintenance expense (which consists primarily of property taxes, insurance, HOA fees (when applicable), market-level personnel expenses, utility expenses, repairs and maintenance, and property administration). NOI excludes: management fee revenues; homebuilding revenues; property management expense; homebuilding cost of sales; general and administrative expense; interest expense; depreciation and amortization; casualty losses, impairment, and other; gain on sale of property, net of tax; losses from investments in unconsolidated joint ventures; (gains) losses on debt extinguishment and modifications; and other income and expenses.
The GAAP measure most directly comparable to NOI is net income or loss. NOI is not used as a measure of liquidity and should not be considered as an alternative to net income or loss or any other measure of financial performance presented in accordance with GAAP. Our NOI may not be comparable to the NOI of other companies due to the fact that not all companies use the same definition of NOI. Accordingly, there can be no assurance that our basis for computing this non-GAAP measure is comparable with that of other companies.
We believe that Same Store NOI is also a meaningful supplemental measure of our operating performance for the same reasons as NOI and is further helpful to investors as it provides a more consistent measurement of our performance across reporting periods by reflecting NOI for homes in our Same Store Portfolio. See “Reconciliation of Net Income to Same Store NOI” for a reconciliation of GAAP net income to NOI for our total portfolio and NOI for our Same Store Portfolio.
Recurring Capital Expenditures or Recurring CapEx
Recurring Capital Expenditures or Recurring CapEx represents general replacements and expenditures required to preserve and maintain the value and functionality of a home and our systems as a single-family rental.
Rental Rate Growth
Rental rate growth for any home represents the percentage difference between the monthly rent from an expiring lease and the monthly rent from the next lease, and, in each case, reflects the impact of any amortized non-service rent concessions and amortized contractual rent increases. Leases are either renewal leases, where our current resident chooses to stay for a subsequent lease term, or a new lease, where our previous resident moves out and a new resident signs a lease to occupy the same home.
Same Store / Same Store Portfolio
Same Store or Same Store portfolio includes, for a given reporting period, wholly owned homes that have been stabilized and seasoned, excluding homes that have been sold, homes that have been identified for sale to an owner occupant and have become vacant, homes that have been deemed inoperable or significantly impaired by casualty loss events or force majeure, homes acquired in portfolio transactions that are deemed not to have undergone renovations of sufficiently similar quality and characteristics as our existing Same Store portfolio, homes occupied without a valid lease or other legal right of possession, and homes in markets that we have announced an intent to exit where we no longer operate a significant number of homes for the primary purpose of income generation.
Homes are considered stabilized if they have (i) completed an initial renovation and (ii) entered into at least one post-initial renovation lease. An acquired portfolio that is both leased and deemed to be of sufficiently similar quality, characteristics, and lease terms as our existing Same Store portfolio may be considered stabilized at the time of acquisition.
Homes are considered to be seasoned once they have been stabilized for at least 15 months prior to January 1st of the year in which the Same Store portfolio was established.
We believe presenting information about the portion of our portfolio that has been fully operational for the entirety of a given reporting period and our prior year comparison period provides management and external stakeholders with meaningful information about the performance of our comparable homes across periods and about trends in our organic business.
Total Homes / Total Portfolio
Total homes or total portfolio refers to the total number of homes owned, whether or not stabilized, and excludes any properties previously acquired in purchases that have been subsequently rescinded or vacated. Unless otherwise indicated, total homes or total portfolio refers to the wholly owned homes and excludes homes owned in joint ventures.
Turnover Rate
Turnover rate represents the number of instances that homes in an identified population become unoccupied in a given period, divided by the number of homes in such population.
|
Reconciliation of FFO, Core FFO, and AFFO |
|||||||||||||||||
|
($ in thousands, except shares and per share amounts) (unaudited) |
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
FFO Reconciliation |
|
Q3 2026 |
|
Q3 2025 |
|
YTD 2026 |
|
YTD 2025 |
|
||||||||
|
Net income available to common stockholders |
|
$ |
157,811 |
|
|
$ |
136,474 |
|
|
$ |
535,783 |
|
|
$ |
442,656 |
|
|
|
Net income available to participating securities |
|
|
676 |
|
|
|
264 |
|
|
|
2,059 |
|
|
|
714 |
|
|
|
Non-controlling interests |
|
|
602 |
|
|
|
472 |
|
|
|
1,963 |
|
|
|
1,489 |
|
|
|
Depreciation and amortization of real estate assets |
|
|
185,136 |
|
|
|
183,653 |
|
|
|
555,459 |
|
|
|
543,775 |
|
|
|
Impairment on depreciated real estate investments |
|
|
796 |
|
|
|
335 |
|
|
|
2,226 |
|
|
|
434 |
|
|
|
Net gain on sale of previously depreciated investments in real estate |
|
|
(136,176 |
) |
|
|
(45,515 |
) |
|
|
(355,578 |
) |
|
|
(163,772 |
) |
|
|
Depreciation and net gain on sale of investments in unconsolidated joint ventures |
|
|
2,710 |
|
|
|
(1,992 |
) |
|
|
8,629 |
|
|
|
5,016 |
|
|
|
FFO |
|
$ |
211,555 |
|
|
$ |
273,691 |
|
|
$ |
750,541 |
|
|
$ |
830,312 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Core FFO Reconciliation |
|
Q3 2026 |
|
Q3 2025 |
|
YTD 2026 |
|
YTD 2025 |
|
||||||||
|
FFO |
|
$ |
211,555 |
|
|
$ |
273,691 |
|
|
$ |
750,541 |
|
|
$ |
830,312 |
|
|
|
Non-cash interest expense related to amortization of deferred financing costs, loan discounts, and non-cash interest expense from derivatives (1) |
|
|
5,418 |
|
|
|
9,128 |
|
|
|
23,894 |
|
|
|
18,486 |
|
|
|
Share-based compensation expense |
|
|
11,462 |
|
|
|
1,916 |
|
|
|
31,508 |
|
|
|
20,537 |
|
|
|
Amortization of intangible assets |
|
|
4,188 |
|
|
|
— |
|
|
|
9,298 |
|
|
|
— |
|
|
|
Business reorganization (2) |
|
|
32,009 |
|
|
|
— |
|
|
|
34,789 |
|
|
|
2,420 |
|
|
|
Casualty losses and reserves, net (1) |
|
|
6,036 |
|
|
|
3,116 |
|
|
|
13,329 |
|
|
|
10,799 |
|
|
|
Loss on debt extinguishment and modifications |
|
|
8,660 |
|
|
|
— |
|
|
|
8,660 |
|
|
|
— |
|
|
|
Non-cash provision for credit losses, net |
|
|
3,516 |
|
|
|
— |
|
|
|
3,516 |
|
|
|
— |
|
|
|
(Gains) losses on investments in equity and other securities, net |
|
|
5 |
|
|
|
(380 |
) |
|
|
344 |
|
|
|
(69 |
) |
|
|
Core FFO |
|
$ |
282,849 |
|
|
$ |
287,471 |
|
|
$ |
875,879 |
|
|
$ |
882,485 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
AFFO Reconciliation |
|
Q3 2026 |
|
Q3 2025 |
|
YTD 2026 |
|
YTD 2025 |
|
||||||||
|
Core FFO |
|
$ |
282,849 |
|
|
$ |
287,471 |
|
|
$ |
875,879 |
|
|
$ |
882,485 |
|
|
|
Recurring Capital Expenditures (1) |
|
|
(56,826 |
) |
|
|
(52,350 |
) |
|
|
(139,099 |
) |
|
|
(132,969 |
) |
|
|
AFFO |
|
$ |
226,023 |
|
|
$ |
235,121 |
|
|
$ |
736,780 |
|
|
$ |
749,516 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Net income available to common stockholders |
|
|
|
|
|
|
|
|
|
||||||||
|
Weighted average common shares outstanding — diluted |
|
|
588,534,202 |
|
|
|
613,084,571 |
|
|
|
595,690,705 |
|
|
|
613,237,288 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Net income per common share — diluted |
|
$ |
0.27 |
|
|
$ |
0.22 |
|
|
$ |
0.90 |
|
|
$ |
0.72 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
FFO, Core FFO, and AFFO |
|
|
|
|
|
|
|
|
|
||||||||
|
Weighted average common shares and OP Units outstanding — diluted |
|
|
591,396,324 |
|
|
|
615,599,540 |
|
|
|
598,386,169 |
|
|
|
615,673,797 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
FFO per share — diluted |
|
$ |
0.36 |
|
|
$ |
0.44 |
|
|
$ |
1.25 |
|
|
$ |
1.35 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Core FFO per share — diluted |
|
$ |
0.48 |
|
|
$ |
0.47 |
|
|
$ |
1.46 |
|
|
$ |
1.43 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
AFFO per share — diluted |
|
$ |
0.38 |
|
|
$ |
0.38 |
|
|
$ |
1.23 |
|
|
$ |
1.22 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
(1) |
Includes our share from unconsolidated joint ventures. |
|
|
(2) |
Includes a $30,411 loss recognized from consolidation of assets and liabilities in connection with the dissolution of our Pathway joint ventures; this loss was recorded in income (losses) from investments in unconsolidated joint ventures. Also includes severance, restructuring, acquisition, and integration costs. |
|
Reconciliation of Total Revenues to Same Store Core Revenues, Quarterly |
|||||||||||||||||||||
|
(in thousands) (unaudited) |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
Q3 2026 |
|
Q2 2026 |
|
Q1 2026 |
|
Q4 2025 |
|
Q3 2025 |
|
||||||||||
|
Total revenues (Total Portfolio) |
|
$ |
731,278 |
|
|
$ |
747,550 |
|
|
$ |
734,112 |
|
|
$ |
685,250 |
|
|
$ |
688,166 |
|
|
|
Management fee revenues |
|
|
(19,889 |
) |
|
|
(19,738 |
) |
|
|
(19,852 |
) |
|
|
(21,662 |
) |
|
|
(21,975 |
) |
|
|
Homebuilding revenues |
|
|
(35,849 |
) |
|
|
(49,460 |
) |
|
|
(43,745 |
) |
|
|
— |
|
|
|
— |
|
|
|
Total portfolio resident recoveries |
|
|
(51,931 |
) |
|
|
(49,503 |
) |
|
|
(46,072 |
) |
|
|
(45,389 |
) |
|
|
(46,885 |
) |
|
|
Total Core Revenues (Total Portfolio) |
|
|
623,609 |
|
|
|
628,849 |
|
|
|
624,443 |
|
|
|
618,199 |
|
|
|
619,306 |
|
|
|
Non-Same Store Core Revenues |
|
|
(51,952 |
) |
|
|
(54,855 |
) |
|
|
(56,179 |
) |
|
|
(56,184 |
) |
|
|
(56,401 |
) |
|
|
Same Store Core Revenues |
|
$ |
571,657 |
|
|
$ |
573,994 |
|
|
$ |
568,264 |
|
|
$ |
562,015 |
|
|
$ |
562,905 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Reconciliation of Total Revenues to Same Store Core Revenues, YTD |
|||||||||||||||||||||
|
(in thousands) (unaudited) |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
YTD 2026 |
|
YTD 2025 |
|
|
|
|
|
|
|
||||||||||
|
Total revenues (Total Portfolio) |
|
$ |
2,212,940 |
|
|
$ |
2,044,046 |
|
|
|
|
|
|
|
|
||||||
|
Management fee revenues |
|
|
(59,479 |
) |
|
|
(65,677 |
) |
|
|
|
|
|
|
|
||||||
|
Homebuilding revenues |
|
|
(129,054 |
) |
|
|
— |
|
|
|
|
|
|
|
|
||||||
|
Total portfolio resident recoveries |
|
|
(147,506 |
) |
|
|
(131,947 |
) |
|
|
|
|
|
|
|
||||||
|
Total Core Revenues (Total Portfolio) |
|
|
1,876,901 |
|
|
|
1,846,422 |
|
|
|
|
|
|
|
|
||||||
|
Non-Same Store Core Revenues |
|
|
(162,986 |
) |
|
|
(160,765 |
) |
|
|
|
|
|
|
|
||||||
|
Same Store Core Revenues |
|
$ |
1,713,915 |
|
|
$ |
1,685,657 |
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Reconciliation of Property Operating and Maintenance Expenses to Same Store Core Operating Expenses, Quarterly |
|||||||||||||||||||||
|
(in thousands) (unaudited) |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
Q3 2026 |
|
Q2 2026 |
|
Q1 2026 |
|
Q4 2025 |
|
Q3 2025 |
|
||||||||||
|
Property operating and maintenance expenses (Total Portfolio) |
|
$ |
264,198 |
|
|
$ |
255,712 |
|
|
$ |
251,134 |
|
|
$ |
244,823 |
|
|
$ |
259,037 |
|
|
|
Total Portfolio resident recoveries |
|
|
(51,931 |
) |
|
|
(49,503 |
) |
|
|
(46,072 |
) |
|
|
(45,389 |
) |
|
|
(46,885 |
) |
|
|
Core Operating Expenses (Total Portfolio) |
|
|
212,267 |
|
|
|
206,209 |
|
|
|
205,062 |
|
|
|
199,434 |
|
|
|
212,152 |
|
|
|
Non-Same Store Core Operating Expenses |
|
|
(21,249 |
) |
|
|
(23,161 |
) |
|
|
(24,132 |
) |
|
|
(22,404 |
) |
|
|
(25,819 |
) |
|
|
Same Store Core Operating Expenses |
|
$ |
191,018 |
|
|
$ |
183,048 |
|
|
$ |
180,930 |
|
|
$ |
177,030 |
|
|
$ |
186,333 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Reconciliation of Property Operating and Maintenance Expenses to Same Store Core Operating Expenses, YTD |
|||||||||||||||||||||
|
(in thousands) (unaudited) |
|||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
YTD 2026 |
|
YTD 2025 |
|
|
|
|
|
|
|
||||||||||
|
Property operating and maintenance expenses (Total Portfolio) |
|
$ |
771,044 |
|
|
$ |
740,764 |
|
|
|
|
|
|
|
|
||||||
|
Total Portfolio resident recoveries |
|
|
(147,506 |
) |
|
|
(131,947 |
) |
|
|
|
|
|
|
|
||||||
|
Core Operating Expenses (Total Portfolio) |
|
|
623,538 |
|
|
|
608,817 |
|
|
|
|
|
|
|
|
||||||
|
Non-Same Store Core Operating Expenses |
|
|
(68,542 |
) |
|
|
(71,322 |
) |
|
|
|
|
|
|
|
||||||
|
Same Store Core Operating Expenses |
|
$ |
554,996 |
|
|
$ |
537,495 |
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Reconciliation of Net Income to Same Store NOI, Quarterly |
|
|
|||||||||||||||||||
|
(in thousands) (unaudited) |
|
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
Q3 2026 |
|
Q2 2026 |
|
Q1 2026 |
|
Q4 2025 |
|
Q3 2025 |
|
||||||||||
|
Net income available to common stockholders |
|
$ |
157,811 |
|
|
$ |
218,172 |
|
|
$ |
159,800 |
|
|
$ |
144,308 |
|
|
$ |
136,474 |
|
|
|
Net income available to participating securities |
|
|
676 |
|
|
|
675 |
|
|
|
708 |
|
|
|
246 |
|
|
|
264 |
|
|
|
Non-controlling interests |
|
|
602 |
|
|
|
804 |
|
|
|
557 |
|
|
|
496 |
|
|
|
472 |
|
|
|
Management fee revenues |
|
|
(19,889 |
) |
|
|
(19,738 |
) |
|
|
(19,852 |
) |
|
|
(21,662 |
) |
|
|
(21,975 |
) |
|
|
Homebuilding revenues |
|
|
(35,849 |
) |
|
|
(49,460 |
) |
|
|
(43,745 |
) |
|
|
— |
|
|
|
— |
|
|
|
Property management expense |
|
|
39,163 |
|
|
|
37,726 |
|
|
|
39,325 |
|
|
|
39,485 |
|
|
|
37,073 |
|
|
|
Homebuilding cost of sales |
|
|
31,967 |
|
|
|
42,215 |
|
|
|
39,134 |
|
|
|
— |
|
|
|
— |
|
|
|
General and administrative |
|
|
34,233 |
|
|
|
29,332 |
|
|
|
32,319 |
|
|
|
23,697 |
|
|
|
18,444 |
|
|
|
Interest expense |
|
|
92,045 |
|
|
|
93,987 |
|
|
|
95,313 |
|
|
|
90,878 |
|
|
|
90,781 |
|
|
|
Depreciation and amortization |
|
|
195,751 |
|
|
|
194,299 |
|
|
|
193,142 |
|
|
|
189,875 |
|
|
|
188,457 |
|
|
|
Casualty losses, impairment, and other |
|
|
6,807 |
|
|
|
4,236 |
|
|
|
4,345 |
|
|
|
311 |
|
|
|
3,420 |
|
|
|
Gain on sale of property, net of tax |
|
|
(136,176 |
) |
|
|
(132,308 |
) |
|
|
(87,094 |
) |
|
|
(54,463 |
) |
|
|
(45,515 |
) |
|
|
(Income) losses from investments in unconsolidated joint ventures |
|
|
32,175 |
|
|
|
2,402 |
|
|
|
3,085 |
|
|
|
3,717 |
|
|
|
(2,130 |
) |
|
|
Loss on debt extinguishment and modifications |
|
|
8,660 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
Other, net (1) |
|
|
3,366 |
|
|
|
298 |
|
|
|
2,344 |
|
|
|
1,877 |
|
|
|
1,389 |
|
|
|
NOI (Total Portfolio) |
|
|
411,342 |
|
|
|
422,640 |
|
|
|
419,381 |
|
|
|
418,765 |
|
|
|
407,154 |
|
|
|
Non-Same Store NOI |
|
|
(30,703 |
) |
|
|
(31,694 |
) |
|
|
(32,047 |
) |
|
|
(33,780 |
) |
|
|
(30,582 |
) |
|
|
Same Store NOI |
|
$ |
380,639 |
|
|
$ |
390,946 |
|
|
$ |
387,334 |
|
|
$ |
384,985 |
|
|
$ |
376,572 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Reconciliation of Net Income to Same Store NOI, YTD |
|
|
|||||||||||||||||||
|
(in thousands) (unaudited) |
|
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
YTD 2026 |
|
YTD 2025 |
|
|
|
|
|
|
|
||||||||||
|
Net income available to common stockholders |
|
$ |
535,783 |
|
|
$ |
442,656 |
|
|
|
|
|
|
|
|
||||||
|
Net income available to participating securities |
|
|
2,059 |
|
|
|
714 |
|
|
|
|
|
|
|
|
||||||
|
Non-controlling interests |
|
|
1,963 |
|
|
|
1,489 |
|
|
|
|
|
|
|
|
||||||
|
Management fee revenues |
|
|
(59,479 |
) |
|
|
(65,677 |
) |
|
|
|
|
|
|
|
||||||
|
Homebuilding revenues |
|
|
(129,054 |
) |
|
|
— |
|
|
|
|
|
|
|
|
||||||
|
Property management expense |
|
|
116,214 |
|
|
|
109,645 |
|
|
|
|
|
|
|
|
||||||
|
Homebuilding cost of sales |
|
|
113,316 |
|
|
|
— |
|
|
|
|
|
|
|
|
||||||
|
General and administrative |
|
|
95,884 |
|
|
|
71,553 |
|
|
|
|
|
|
|
|
||||||
|
Interest expense |
|
|
281,345 |
|
|
|
262,449 |
|
|
|
|
|
|
|
|
||||||
|
Depreciation and amortization |
|
|
583,192 |
|
|
|
557,058 |
|
|
|
|
|
|
|
|
||||||
|
Casualty losses, impairment, and other |
|
|
15,388 |
|
|
|
11,132 |
|
|
|
|
|
|
|
|
||||||
|
Gain on sale of property, net of tax |
|
|
(355,578 |
) |
|
|
(163,772 |
) |
|
|
|
|
|
|
|
||||||
|
Losses from investments in unconsolidated joint ventures |
|
|
37,662 |
|
|
|
7,890 |
|
|
|
|
|
|
|
|
||||||
|
Loss on debt extinguishment and modifications |
|
|
8,660 |
|
|
|
— |
|
|
|
|
|
|
|
|
||||||
|
Other, net (1) |
|
|
6,008 |
|
|
|
2,468 |
|
|
|
|
|
|
|
|
||||||
|
NOI (Total Portfolio) |
|
|
1,253,363 |
|
|
|
1,237,605 |
|
|
|
|
|
|
|
|
||||||
|
Non-Same Store NOI |
|
|
(94,444 |
) |
|
|
(89,443 |
) |
|
|
|
|
|
|
|
||||||
|
Same Store NOI |
|
$ |
1,158,919 |
|
|
$ |
1,148,162 |
|
|
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
(1) |
Includes interest income, non-cash provision for credit losses, net, gains (losses) resulting from investments in equity securities, settlement and other costs related to certain litigation and regulatory matters, and other miscellaneous income and expenses. |
|
Reconciliation of Net Income to Adjusted EBITDAre |
|||||||||||||||||
|
(in thousands, unaudited) |
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
Q3 2026 |
|
Q3 2025 |
|
YTD 2026 |
|
YTD 2025 |
|
||||||||
|
Net income available to common stockholders |
|
$ |
157,811 |
|
|
$ |
136,474 |
|
|
$ |
535,783 |
|
|
$ |
442,656 |
|
|
|
Net income available to participating securities |
|
|
676 |
|
|
|
264 |
|
|
|
2,059 |
|
|
|
714 |
|
|
|
Non-controlling interests |
|
|
602 |
|
|
|
472 |
|
|
|
1,963 |
|
|
|
1,489 |
|
|
|
Interest expense |
|
|
92,045 |
|
|
|
90,781 |
|
|
|
281,345 |
|
|
|
262,449 |
|
|
|
Interest expense in unconsolidated joint ventures |
|
|
6,054 |
|
|
|
7,253 |
|
|
|
18,446 |
|
|
|
18,822 |
|
|
|
Depreciation and amortization |
|
|
195,751 |
|
|
|
188,457 |
|
|
|
583,192 |
|
|
|
557,058 |
|
|
|
Depreciation and amortization of investments in unconsolidated joint ventures |
|
|
4,572 |
|
|
|
4,484 |
|
|
|
13,548 |
|
|
|
11,937 |
|
|
|
EBITDA |
|
|
457,511 |
|
|
|
428,185 |
|
|
|
1,436,336 |
|
|
|
1,295,125 |
|
|
|
Gain on sale of property, net of tax |
|
|
(136,176 |
) |
|
|
(45,515 |
) |
|
|
(355,578 |
) |
|
|
(163,772 |
) |
|
|
Impairment on depreciated real estate investments |
|
|
796 |
|
|
|
335 |
|
|
|
2,226 |
|
|
|
434 |
|
|
|
Net gain on sale of investments in unconsolidated joint ventures |
|
|
(1,856 |
) |
|
|
(6,469 |
) |
|
|
(4,904 |
) |
|
|
(6,875 |
) |
|
|
EBITDAre |
|
|
320,275 |
|
|
|
376,536 |
|
|
|
1,078,080 |
|
|
|
1,124,912 |
|
|
|
Share-based compensation expense |
|
|
11,462 |
|
|
|
1,916 |
|
|
|
31,508 |
|
|
|
20,537 |
|
|
|
Business reorganization (1) |
|
|
32,009 |
|
|
|
— |
|
|
|
34,789 |
|
|
|
2,420 |
|
|
|
Casualty losses and reserves, net (2) |
|
|
6,036 |
|
|
|
3,116 |
|
|
|
13,329 |
|
|
|
10,799 |
|
|
|
Loss on debt extinguishment and modifications |
|
|
8,660 |
|
|
|
— |
|
|
|
8,660 |
|
|
|
— |
|
|
|
Other, net (3) |
|
|
3,366 |
|
|
|
1,389 |
|
|
|
6,008 |
|
|
|
2,468 |
|
|
|
Adjusted EBITDAre |
|
$ |
381,808 |
|
|
$ |
382,957 |
|
|
$ |
1,172,374 |
|
|
$ |
1,161,136 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
Trailing Twelve Months (TTM) |
|
|
|
|
|
||||||||||
|
|
|
September 30, |
|
December 31, |
|
|
|
|
|
||||||||
|
Net income available to common stockholders |
|
$ |
680,091 |
|
|
$ |
586,964 |
|
|
|
|
|
|
||||
|
Net income available to participating securities |
|
|
2,305 |
|
|
|
960 |
|
|
|
|
|
|
||||
|
Non-controlling interests |
|
|
2,459 |
|
|
|
1,985 |
|
|
|
|
|
|
||||
|
Interest expense |
|
|
372,223 |
|
|
|
353,327 |
|
|
|
|
|
|
||||
|
Interest expense in unconsolidated joint ventures |
|
|
24,936 |
|
|
|
25,312 |
|
|
|
|
|
|
||||
|
Depreciation and amortization |
|
|
773,067 |
|
|
|
746,933 |
|
|
|
|
|
|
||||
|
Depreciation and amortization of investments in unconsolidated joint ventures |
|
|
17,972 |
|
|
|
16,361 |
|
|
|
|
|
|
||||
|
EBITDA |
|
|
1,873,053 |
|
|
|
1,731,842 |
|
|
|
|
|
|
||||
|
Gain on sale of property, net of tax |
|
|
(410,041 |
) |
|
|
(218,235 |
) |
|
|
|
|
|
||||
|
Impairment on depreciated real estate investments |
|
|
2,449 |
|
|
|
657 |
|
|
|
|
|
|
||||
|
Net gain on sale of investments in unconsolidated joint ventures |
|
|
(6,490 |
) |
|
|
(8,461 |
) |
|
|
|
|
|
||||
|
EBITDAre |
|
|
1,458,971 |
|
|
|
1,505,803 |
|
|
|
|
|
|
||||
|
Share-based compensation expense |
|
|
38,801 |
|
|
|
27,830 |
|
|
|
|
|
|
||||
|
Business reorganization (1) |
|
|
35,141 |
|
|
|
2,772 |
|
|
|
|
|
|
||||
|
Casualty losses and reserves, net (2) |
|
|
13,454 |
|
|
|
10,924 |
|
|
|
|
|
|
||||
|
Loss on debt extinguishment and modifications |
|
|
8,660 |
|
|
|
— |
|
|
|
|
|
|
||||
|
Other, net (3) |
|
|
7,885 |
|
|
|
4,345 |
|
|
|
|
|
|
||||
|
Adjusted EBITDAre |
|
$ |
1,562,912 |
|
|
$ |
1,551,674 |
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
(1) |
Includes a $30,411 loss recognized from consolidation of assets and liabilities in connection with the dissolution of our Pathway joint ventures; this loss was recorded in income (losses) from investments in unconsolidated joint ventures. Also includes severance, restructuring, acquisition, and integration costs. |
|
|
(2) |
Includes our share from unconsolidated joint ventures. |
|
|
(3) |
Includes interest income, non-cash provision for credit losses, net, gains (losses) resulting from investments in equity securities, settlement and other costs related to certain litigation and regulatory matters, and other miscellaneous income and expenses. |
|
Reconciliation of Net Debt / Trailing Twelve Months (TTM) Adjusted EBITDAre |
|
|||||||||
|
(in thousands, except for ratio) (unaudited) |
|
|||||||||
|
|
|
|
|
|
|
|
||||
|
|
|
As of |
|
As of |
|
|
||||
|
|
|
September 30, 2026 |
|
December 31, 2025 |
|
|
||||
|
Secured debt, net |
|
$ |
898,308 |
|
|
$ |
1,384,114 |
|
|
|
|
Unsecured notes, net |
|
|
4,896,194 |
|
|
|
4,398,921 |
|
|
|
|
Term loan facility, net |
|
|
2,460,701 |
|
|
|
2,451,985 |
|
|
|
|
Revolving facility |
|
|
485,000 |
|
|
|
145,000 |
|
|
|
|
Total Debt per Balance Sheet |
|
|
8,740,203 |
|
|
|
8,380,020 |
|
|
|
|
Retained and repurchased certificates |
|
|
(55,499 |
) |
|
|
(55,499 |
) |
|
|
|
Cash, ex-security deposits and letters of credit (1) |
|
|
(147,083 |
) |
|
|
(167,472 |
) |
|
|
|
Deferred financing costs, net |
|
|
45,110 |
|
|
|
54,208 |
|
|
|
|
Unamortized discounts on notes payable |
|
|
24,854 |
|
|
|
24,171 |
|
|
|
|
Net Debt (A) |
|
$ |
8,607,585 |
|
|
$ |
8,235,428 |
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
|
For the TTM Ended |
|
For the TTM Ended |
|
|
||||
|
|
|
September 30, 2026 |
|
December 31, 2025 |
|
|
||||
|
Adjusted EBITDAre (B) |
|
$ |
1,562,912 |
|
|
$ |
1,551,674 |
|
|
|
|
|
|
|
|
|
|
|
||||
|
Net Debt / TTM Adjusted EBITDAre (A / B) |
|
5.5x |
|
5.3x |
|
|
||||
|
|
|
|
|
|
|
|
||||
|
(1) |
Represents cash and cash equivalents and the portion of restricted cash that excludes security deposits and letters of credit. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20261028304341/en/
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