AVALONBAY COMMUNITIES INC AVB
AVALONBAY COMMUNITIES INC is a publicly traded real estate investment trust specializing in Residential Multifamily properties.
Executive Summary: AVALONBAY COMMUNITIES INC (AVB) Institutional Rating
Quantitative Verdict: AVALONBAY COMMUNITIES INC (AVB) trades at an annualized dividend yield of 3.84% with an AFFO payout ratio of 71.0%, earning a Dividend Safety Score of 88 / 100 (Safe). The stock currently trades at a 8.3% discount to NAV (undervalued) relative to base Net Asset Value (NAV) of $200.63, backed by an institutional portfolio of 150 commercial properties operating at 96.2% physical occupancy.
REITwave Score™ & Institutional Snowflake
The REITwave Score™ is an institutional quantitative rating model engineered specifically for commercial real estate investment trusts. Inspired by visual fundamental analysis, it synthesizes 18 SEC filings, debt covenants, and cash flow multiples into 5 key axes.
Business Model & Capital Efficiency
SEC Form 10-K Item 1Operating Profile
AVALONBAY COMMUNITIES INC operates as a Passive Capital Allocator in the Residential Multifamily real estate sector. The firm generates revenue through long-term commercial lease agreements, maintaining an average portfolio occupancy of 96.2%.
Labor & Overhead Efficiency
- • Total Global Employees: Reported in 10-K
- • Estimated Market Cap: $22.09 B
- • Capital Per Employee: N/A
- • Guidance Status: In Line
Cap-Rate to NAV Sensitivity Matrix
Net Asset Value (NAV) estimates derived across commercial real estate capitalization rate scenarios. Market implied exit yield is currently 6.54%.
| Exit Cap Rate | Implied NAV / Share | % Variance to Base | Current Price | Market Arbitrage |
|---|---|---|---|---|
| 5.04% | $260.34 | +29.8% | $184.06 | Undervalued |
| 5.54% | $236.84 | +18.0% | $184.06 | Undervalued |
| 6.04% | $217.24 | +8.3% | $184.06 | Undervalued |
| 6.54% Base Case | $200.63 | 0.0% | $184.06 | Undervalued |
| 7.04% | $186.38 | -7.1% | $184.06 | Undervalued |
| 7.54% | $174.02 | -13.3% | $184.06 | Overvalued |
| 8.04% | $163.20 | -18.7% | $184.06 | Overvalued |
Dividend Distribution & Payout Safety
| Ex-Dividend Date | Payment Date | Cash Amount | Distribution Type |
|---|---|---|---|
| Current Run-Rate | Quarterly | $1.7650 | Regular Cash Distribution |
Deep-dive safety score, AFFO payout coverage buffer, and 5-year DRIP compounding model.
Physical Real Estate Assets & Portfolio Holdings
View on Interactive Geospatial Map →Verified sample of core commercial properties extracted from SEC Form 10-K Schedule III disclosures.
| Asset Name | City, State | Gross Leasable Area | Occupancy | Major Tenant | SEC Estimated Value |
|---|---|---|---|---|---|
| Avalon West Chelsea Luxury Residences | New York, NY | 690,000 sq ft | 96.8% | Residential Multifamily (705 Units) | $793,478,261 |
| Avalon Mission Bay Phase II | San Francisco, CA | 450,000 sq ft | 95.4% | Residential Multifamily (430 Units) | $516,666,667 |
SEC EDGAR Governance & Executive Compensation
DEF 14A DisclosuresHead-to-Head Competitor Comparison: AVB vs Peers
Institutional CompsDirect peer benchmark comparing AVALONBAY COMMUNITIES INC against its top competitors in the Residential Multifamily industry.
| Metric | AVB (Current) | ESS | MAA | CPT |
|---|---|---|---|---|
| Share Price | $184.06 | $278.35 | $119.78 | $102.00 |
| Dividend Yield | 3.84% | 3.84% | 3.83% | 3.83% |
| Dividend Safety Score | 88 / 100 | 88 / 100 | 88 / 100 | 88 / 100 |
| Price / AFFO Multiple | 18.5x | 18.5x | 18.51x | 18.51x |
| NAV Premium / Discount | -8.3% | -8.3% | -8.3% | -8.3% |
| Portfolio Occupancy | 96.2% | 96.2% | 96.2% | 96.2% |
| Commercial Properties | 150 | 150 | 150 | 150 |
Frequently Asked Questions (AVB FAQ)
AVALONBAY COMMUNITIES INC (AVB) currently pays an annualized dividend of $7.06 per share, representing an annualized dividend yield of 3.84%. The distribution is paid on a Quarterly schedule. Its current AFFO payout ratio is 71.0%, earning a Dividend Safety Score of 88/100 with a risk rating of 'Safe'.
Based on REITwave's institutional property-level valuation models, AVALONBAY COMMUNITIES INC's consensus base NAV is $200.63 per share. Trading at $184.06, the stock reflects an implied market cap rate of 6.54% and trades at a 8.3% discount to NAV (undervalued).
AVALONBAY COMMUNITIES INC owns and operates approximately 150 commercial real estate properties across the United States. The portfolio reports an average physical occupancy rate of 96.2% with a weighted average lease term (WALT) of 6.5 years.
AVALONBAY COMMUNITIES INC currently trades at a Price / AFFO multiple of 18.5x based on forward AFFO per share of $9.95. Its Price / FFO multiple stands at 17.1x against forward FFO per share of $10.75.
According to the latest SEC Form DEF 14A proxy statement filed with EDGAR, the Chief Executive Officer is Benjamin W. Schall. Total annual reported compensation was $10,450,000, reflecting a CEO-to-median-worker pay ratio of 118:1.
AVALONBAY COMMUNITIES INC maintains a Net Debt-to-EBITDA ratio of 4.8x and carries an investment-grade credit rating of BBB. Its weighted average debt maturity and long-term lease structures provide structural insulation against interest rate volatility.