Camden Property Trust at Bank of America Global Real Estate Conference Summary

The following is excerpted from the question-and-answer section of the transcript.

Question: Joshua Dennerlein - BofA Global Research - Analyst : Thanks, Alex. Appreciate that intro. I guess the number-one question I feel on Camden is just like the supply impact on your fundamentals and how that's going to progress. I think a lot of people you flagged are probably at like peak deliveries, but I guess trying to figure out how things progress in the back half of this year and into 2025. Could you kind of expand on your thoughts on how the supply is going to impact your portfolio and where that pain is going to potentially show up or not?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Can we explore that more because I think that's kind of new at least to me, just like what's driving your thought behind that? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 10, 2024 / 4:45PM, CPT.N - Camden Property Trust at Bank of America Global Real Estate Conference

Question: Joshua Dennerlein - BofA Global Research - Analyst : Interesting. Have you looked at like rings around your property, find out what's competitive, where it is in the lease up? Like just, I guess, trying to decipher a little bit more on like the supply impact where you're seeing and how it's heading?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Why exclude the -- where is the 15 years or younger cutoff come from?

Question: Joshua Dennerlein - BofA Global Research - Analyst : In last year, like starting, I guess, kind of around now through the end of the year, supply, like we knew it was a problem, but it seemed like the merchant builders really reacted in a big way, putting more concessions in place, has been cutting rent or asking rents as well. Is there a fear that that could happen again this year or something different?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Questions from the field? You mentioned the second half of 2025 is when things should improve. I guess, what has improved look like to you? I guess I just kind of want to make sure we're calibrating correctly.

Question: Joshua Dennerlein - BofA Global Research - Analyst : And then -- sorry, you mentioned something on renewals. I guess, one, where are you sending them out today? Just kind of you go over the operating update on renewals. And is there any kind of strategy at this point that you're taking?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Does that vary a lot across the markets?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Interesting. Then I think a lot of your portfolio in the Sunbelt where you have DC, which I don't know if that's Sunbelt or not. And then SoCal, which I feel like is a little bit different. Just how are those two markets trending versus maybe the rest of your SoCal or Sunbelt portfolio? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 10, 2024 / 4:45PM, CPT.N - Camden Property Trust at Bank of America Global Real Estate Conference

Question: Joshua Dennerlein - BofA Global Research - Analyst : How is the bad debt trending in those markets, like still painful or --?

Question: Joshua Dennerlein - BofA Global Research - Analyst : In your prepared remarks, you mentioned the transaction market and you said you're seeing like, I guess, low-5s and even in some cases, in the 4s for trades in the market. Could you just expand more on what you're seeing? And what gets you into a 4 cap rate these days versus like a 5 -- just kind of.

Question: Joshua Dennerlein - BofA Global Research - Analyst : Just like the market, like is there anything in particular? Yeah.

Question: Joshua Dennerlein - BofA Global Research - Analyst : Questions from the field? Unidentified Participant I was just going to ask how the financing costs? And how are private investors able to justify like that much of a negative gearing is the really high market of sub-5% or if you take negative gearing year or two.

Question: Joshua Dennerlein - BofA Global Research - Analyst : How do you think the demographics -- I get that people are starting families, getting married later. But at the same time, I believe demographics suggests like the 31-, 32-year old has kind of peaked for a little bit. And I think like demographically that becomes smaller. So it's like you got the headwind, but a tailwind too. Like how does that kind of play out over the next few years?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Any more questions from the field? I guess where are you thinking about or how are you thinking about the external growth opportunity, I guess, attractive potentially to kind of buy stuff that maybe that like, call it, 5% mark, and you can get that uplift, development, sit tight? Just how are you guys thinking about.

Question: Joshua Dennerlein - BofA Global Research - Analyst : And I guess, on many how far away do you think you are from like kind of like really accelerating external growth. And then strategically, is there areas you want to lean into on the growth front, whether it's geographic, asset type, like how do you want to kind of help position our portfolio for the next phase.

Question: Joshua Dennerlein - BofA Global Research - Analyst : I might have forgot to.

Question: Joshua Dennerlein - BofA Global Research - Analyst : There was a big portfolio trade in the Sunbelt, Blackstone to EQR. Was that something you looked at or interested in.

Question: Joshua Dennerlein - BofA Global Research - Analyst : And then you do have the build-to-rent development communities. Just any update on that front? Is that something you want to expand? Or is still like try to figure out if that makes like sense or.

Question: Joshua Dennerlein - BofA Global Research - Analyst : Any other questions from the field? So one thing I've been really focused on with like all REITs is just like their potential to kind of improve their platform and kind of like build out kind of some kind of like alpha on top of like the overall like beta trade for the sector, there any platform or initiatives that you are working on internally to kind of drive like outsized growth over the next few years? And maybe how could that play into like margin expansion?

Question: Joshua Dennerlein - BofA Global Research - Analyst : Awesome. So we are out of time. But I have three rapid fire questions. The first one is, do you expect real estate transactions to increase once the Fed starts to cut, yes or no?

Question: Joshua Dennerlein - BofA Global Research - Analyst : If you ask, when do you expect them to pick up, A, 4Q '24, B first half '25 or C, second half '25?

Question: Joshua Dennerlein - BofA Global Research - Analyst : How would you characterize demand for space today, improving steady or weakening. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 10, 2024 / 4:45PM, CPT.N - Camden Property Trust at Bank of America Global Real Estate Conference

Question: Joshua Dennerlein - BofA Global Research - Analyst : Last year, the majority of companies at our conference stated they expected to ramp up spending on AI initiatives in 2024. How would you characterize your plans over the next year? Higher, flat, lower.

Question: Joshua Dennerlein - BofA Global Research - Analyst : With that, we'll wrap it up. Thanks, Alex.