Overview
- The companies announced the all-stock merger on Thursday, May 21, 2026, creating a combined REIT with about $69 billion in enterprise value and ownership of more than 180,000 apartments.
- Under the deal AvalonBay shareholders will receive 2.793 Equity Residential shares per AvalonBay share, giving AvalonBay holders roughly 51.2 percent of the combined company on a fully diluted basis.
- Boards of both firms unanimously approved the transaction, which is expected to close in the second half of 2026 subject to shareholder votes and customary regulatory clearances.
- Management and governance plans name Benjamin Schall as CEO, Stephen Sterrett as chairman, a dual headquarters in Arlington, Virginia, and Chicago, and Mark Parrell will retire after closing.
- The companies expect about $175 million in gross annual synergies (roughly $125 million net after tax reassessments), roughly $2 billion in annual cash flow, and control of a $4.4 billion construction pipeline with 10,800 units and a $4.2 billion development rights backlog, with more than half of the under‑construction projects including affordable or mixed‑income components.