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Property revenues declined 3.7% year over year to $381.1 million, missing the consensus mark by 2.3%.
The results reflected improving leasing trends and lower property expenses. Same-property occupancy reached 95.6%, up from 95.5% a year earlier.
CPT's Leasing Trends Show Improvement
Effective new lease rates declined 2% from expiring leases during the quarter compared with a 2.6% decrease a year ago and a 3.3% drop in the preceding quarter. Renewal rates increased 3.6%, slightly above the 3.5% growth recorded in the prior-year period.
Blended lease rates increased 1%, improving from growth of 0.6% a year earlier and reversing the 0.2% decline in the preceding quarter. The improvement reflected a narrower decline in new-lease pricing and stronger renewal rates.
Camden's Same-Property Results Remain Pressured
Same-property revenues declined marginally year over year to $332.8 million. Property expenses also decreased marginally to $121.9 million, while same-property net operating income (NOI) witnessed a marginal fall to $210.9 million.
Sequentially, same-property revenues remained flat, while expenses declined 1%. NOI increased marginally from the preceding quarter. The sequential improvement reflected better expense performance despite limited revenue growth.
CPT's Property Expenses Decline
Total property expenses decreased 3.4% year over year to $140.8 million. Property operating and maintenance expenses declined to $93.7 million from $96.6 million, while real estate taxes fell to $47.1 million from $49.1 million.
However, total property NOI dropped 3.9% to $240.3 million. Interest expenses increased to $41 million from $35 million a year earlier.
Camden Expands Portfolio Through Acquisitions
During the quarter, Camden acquired three apartment communities totaling 939 homes for a combined $305.2 million. These included Camden Brandon in Tampa, FL, Camden LoSo in Charlotte, NC, and Camden Gulch in Nashville, TN.
The company also acquired a land parcel in Tampa for approximately $18.3 million. These transactions added properties across three of Camden's existing operating markets.
CPT Advances Its Development Pipeline
During the quarter, construction started at Camden RTP in the Raleigh, NC, metro area. At quarter-end, Camden had four communities under construction, comprising 1,560 apartment homes with an estimated total cost of $618 million. Its remaining funding commitment for the wholly owned development pipeline was approximately $209.3 million.
Camden Recycles Capital and Repurchases Shares
On July 29, 2026, Camden sold its California portfolio, comprising 11 communities with 3,620 apartment homes, for approximately $1.6 billion. The transaction generated a gain of approximately $1 billion, with around $0.9 billion of proceeds used to repay borrowings.
During the quarter, CPT repurchased 474,660 shares for $50 million. Year-to-date repurchases totaled approximately 4.54 million shares for $472.8 million, leaving $247.9 million available under its repurchase authorization.
CPT Maintains Strong Liquidity
Camden ended September with approximately $1.8 billion of liquidity, including $0.6 billion in cash and cash equivalents and 1031-related accounts, and $1.2 billion available under its unsecured credit facility and commercial paper program.
During the quarter, Camden secured a $350 million unsecured term loan maturing in July 2027 and extended the maturity of its $40 million unsecured floating-rate term loan to September 2028. The company also repaid a $12 million secured note and accrued interest.
In October 2026, CPT redeemed $500 million of senior unsecured notes due in November 2026 at par, using cash on hand and its commercial paper program.
Camden Updates Its 2026 Guidance
For the fourth quarter, Camden expects core FFO of $1.63-$1.67 per share. The Zacks Consensus Estimate is pegged at $1.70, above the guided range.
For 2026, the company projects core FFO of $6.73-$6.77 per share, maintaining the midpoint at $6.75. The consensus estimate stands at $6.76, within the projected range.
Camden now expects 2026 same-property revenue growth between a decline of 0.25% and an increase of 0.25% compared with the previous range of 0-1%. Expense growth is projected at 1.5-2%, down from the earlier expectation of 2-3%.
Same-property NOI is expected to plunge 0.5-1.5%, with the midpoint revised to a 1% decrease from the earlier projection of a 0.6% decline.
Essex Property Trust, Inc. (ESS - Free Report) reported third-quarter 2026 core FFO of $4.00 per share, missing the Zacks Consensus Estimate of $4.01. Core FFO grew marginally from $3.97 a year ago. Results reflected rising cost pressures, with total expenses increasing 5.4%, outpacing revenue growth.
Invitation Homes Inc. (INVH - Free Report) reported third-quarter 2026 core FFO per share of 48 cents, meeting the Zacks Consensus Estimate. This compares to core FFO of 47 cents a year ago. While same-store NOI advanced 1.1%, margin and occupancy dipped marginally.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
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Camden Property's Q3 FFO Beats Estimates as Leasing Trends Improve
Key Takeaways
Camden Property Trust (CPT - Free Report) reported third-quarter 2026 core funds from operations (FFO) of $1.71 per share, beating the Zacks Consensus Estimate of $1.69. This compares to core FFO of $1.70 a year ago.
Property revenues declined 3.7% year over year to $381.1 million, missing the consensus mark by 2.3%.
The results reflected improving leasing trends and lower property expenses. Same-property occupancy reached 95.6%, up from 95.5% a year earlier.
CPT's Leasing Trends Show Improvement
Effective new lease rates declined 2% from expiring leases during the quarter compared with a 2.6% decrease a year ago and a 3.3% drop in the preceding quarter. Renewal rates increased 3.6%, slightly above the 3.5% growth recorded in the prior-year period.
Blended lease rates increased 1%, improving from growth of 0.6% a year earlier and reversing the 0.2% decline in the preceding quarter. The improvement reflected a narrower decline in new-lease pricing and stronger renewal rates.
Camden's Same-Property Results Remain Pressured
Same-property revenues declined marginally year over year to $332.8 million. Property expenses also decreased marginally to $121.9 million, while same-property net operating income (NOI) witnessed a marginal fall to $210.9 million.
Sequentially, same-property revenues remained flat, while expenses declined 1%. NOI increased marginally from the preceding quarter. The sequential improvement reflected better expense performance despite limited revenue growth.
CPT's Property Expenses Decline
Total property expenses decreased 3.4% year over year to $140.8 million. Property operating and maintenance expenses declined to $93.7 million from $96.6 million, while real estate taxes fell to $47.1 million from $49.1 million.
However, total property NOI dropped 3.9% to $240.3 million. Interest expenses increased to $41 million from $35 million a year earlier.
Camden Expands Portfolio Through Acquisitions
During the quarter, Camden acquired three apartment communities totaling 939 homes for a combined $305.2 million. These included Camden Brandon in Tampa, FL, Camden LoSo in Charlotte, NC, and Camden Gulch in Nashville, TN.
The company also acquired a land parcel in Tampa for approximately $18.3 million. These transactions added properties across three of Camden's existing operating markets.
CPT Advances Its Development Pipeline
During the quarter, construction started at Camden RTP in the Raleigh, NC, metro area. At quarter-end, Camden had four communities under construction, comprising 1,560 apartment homes with an estimated total cost of $618 million. Its remaining funding commitment for the wholly owned development pipeline was approximately $209.3 million.
Camden Recycles Capital and Repurchases Shares
On July 29, 2026, Camden sold its California portfolio, comprising 11 communities with 3,620 apartment homes, for approximately $1.6 billion. The transaction generated a gain of approximately $1 billion, with around $0.9 billion of proceeds used to repay borrowings.
During the quarter, CPT repurchased 474,660 shares for $50 million. Year-to-date repurchases totaled approximately 4.54 million shares for $472.8 million, leaving $247.9 million available under its repurchase authorization.
CPT Maintains Strong Liquidity
Camden ended September with approximately $1.8 billion of liquidity, including $0.6 billion in cash and cash equivalents and 1031-related accounts, and $1.2 billion available under its unsecured credit facility and commercial paper program.
During the quarter, Camden secured a $350 million unsecured term loan maturing in July 2027 and extended the maturity of its $40 million unsecured floating-rate term loan to September 2028. The company also repaid a $12 million secured note and accrued interest.
In October 2026, CPT redeemed $500 million of senior unsecured notes due in November 2026 at par, using cash on hand and its commercial paper program.
Camden Updates Its 2026 Guidance
For the fourth quarter, Camden expects core FFO of $1.63-$1.67 per share. The Zacks Consensus Estimate is pegged at $1.70, above the guided range.
For 2026, the company projects core FFO of $6.73-$6.77 per share, maintaining the midpoint at $6.75. The consensus estimate stands at $6.76, within the projected range.
Camden now expects 2026 same-property revenue growth between a decline of 0.25% and an increase of 0.25% compared with the previous range of 0-1%. Expense growth is projected at 1.5-2%, down from the earlier expectation of 2-3%.
Same-property NOI is expected to plunge 0.5-1.5%, with the midpoint revised to a 1% decrease from the earlier projection of a 0.6% decline.
CPT’s Zacks Rank
Currently, CPT carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Camden Property Trust Price, Consensus and EPS Surprise
Camden Property Trust price-consensus-eps-surprise-chart | Camden Property Trust Quote
Performance of Other Residential REITs
Essex Property Trust, Inc. (ESS - Free Report) reported third-quarter 2026 core FFO of $4.00 per share, missing the Zacks Consensus Estimate of $4.01. Core FFO grew marginally from $3.97 a year ago. Results reflected rising cost pressures, with total expenses increasing 5.4%, outpacing revenue growth.
Invitation Homes Inc. (INVH - Free Report) reported third-quarter 2026 core FFO per share of 48 cents, meeting the Zacks Consensus Estimate. This compares to core FFO of 47 cents a year ago. While same-store NOI advanced 1.1%, margin and occupancy dipped marginally.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.