Question · Q3 2025
Austin Worschmidt asked about the funding strategy for potential future share repurchase activity, specifically if capital is already allocated or if additional sourcing, such as dispositions, would be necessary.
Answer
Kevin O'Shea, Chief Financial Officer, outlined AvalonBay's robust balance sheet, including a 4.5x net debt to EBITDA ratio (closer to 4x with forward equity) and substantial liquidity. He confirmed a reauthorized $500 million share repurchase program and the flexibility to fund buybacks using available liquidity (commercial paper at low 4%) and ultimately terming them out with recycled asset sales and incremental long-term debt, noting a typical annual gains capacity of about $500 million from asset sales.