Equity Residential cuts FY revenue forecast on rental weakness in West Coast markets

Equity Residential on Tuesday removed the upper end of its full-year revenue growth forecast as rental markets in San Francisco and Seattle underperformed, offsetting growth in East Coast markets such as New York and Boston. The company now expects full-year 2023 revenue growth of 5.5% compared with its prior outlook of between 5.5% and 6.25%. "While the East Coast outperformed our expectations, the San Francisco and Seattle markets underperformed due to lower recent job growth in our target affluent renter demographic and, together with the Rite Aid bankruptcy, led us to adjust guidance," said CEO Mark Parrell.