8-KMaterial AgreementsOther EventsExhibits & Filings

ESSEX PROPERTY TRUST, INC. 8-K Report, Material Agreement (May 4, 2007)

Filed May 4, 2007For Securities:ESS

Summary

Essex Property Trust, Inc. (ESS) filed an 8-K on May 4, 2007, to report a material definitive agreement concerning a public offering of its common stock. Specifically, the company entered into an underwriting agreement with UBS Securities, LLC, for the sale of 1,500,000 shares, with an option for an additional 225,000 shares. This offering, which is expected to close on May 9, 2007, is registered under a Form S-3 registration statement previously filed with the SEC. The announcement of this offering was made via a press release on May 4, 2007, at a public offering price of $128.65 per share. This action indicates the company's intent to raise capital through equity issuance, a common strategy for real estate investment trusts (REITs) to fund growth or acquisitions. Investors should note that UBS Securities has a history of providing services to Essex Property Trust and may continue to do so.

Key Highlights

  • 1Essex Property Trust entered into an underwriting agreement on May 3, 2007, with UBS Securities, LLC.
  • 2The company is conducting a public offering of 1,500,000 shares of its Common Stock.
  • 3An over-allotment option for an additional 225,000 shares has been granted to the underwriter.
  • 4The offering's public price is set at $128.65 per share.
  • 5The expected closing date for the stock offering is May 9, 2007.
  • 6The offering is registered under a Form S-3 registration statement (No. 333-141726).
  • 7UBS Securities has had prior dealings with Essex Property Trust and may continue to offer services.

Frequently Asked Questions

This Form 8-K is filed to report a material definitive agreement, specifically the underwriting agreement for a public offering of Essex Property Trust's common stock, and to announce the details of this offering.

The company plans to sell 1,500,000 shares at $128.65 per share, potentially raising approximately $192.975 million. Including the full exercise of the over-allotment option for an additional 225,000 shares, the total capital raised could be up to approximately $221.79 million.

The over-allotment option allows the underwriter to purchase up to an additional 225,000 shares of common stock from the company at the public offering price. This is typically granted to help stabilize the stock price in the market after the offering and to fulfill any excess demand.

Yes, the filing notes that UBS Securities, LLC has provided investment banking, commercial banking, and financial advisory services to Essex Property Trust and its affiliates in the past and may do so in the future.