Douglas Emmett Inc. (DEI) 2023年年度报告「NYSE」.pdf

1、ANNUALREPORT2023Dear Fellow Shareholders,While 2023 was another challenging year for the office sector,we are optimistic that these challenges may lead to transactions in our market that prove to be a generational opportunity.As I will discuss further,our markets fundamentals for office are among th

2、e best in the nation and we have every confidence in their recovery.During the year,we repurchased over$100 million of our common stock at a very attractive price and fortified our balance sheet with ample dry powder for external growth.Nationally,the office sector faces three challenges.Many commen

3、tators have simply focused on the narrative that work from home has permanently weakened office demand.That is wholly inconsistent with our experience and long-term expectations.Once vaccinations became ubiquitous and offices reopened,we saw meaningful jumps in our leasing volume,absorption,and buil

4、ding utilization.It was not until the Federal Reserve raised interest rates to control inflation that we saw the slowdown in large tenant leasing that has impacted our absorption.Even with that slowdown,our office utilization has returned to very high levels,which is aided by our markets short avera

5、ge commute times and low reliance on public transportation.The second challenge facing the office sector in many gateway markets is significant oversupply as a result of recent office construction.Fortunately,that has not been a problem in our markets,where strong supply constraints have limited new

6、 construction.In fact,over the past 15 years,our markets have only added 3%to total office inventory.The third challenge,which has been most impactful for us,is that tenants,particularly larger tenants,were cautious about new capital investment in 2023.This is understandable,and the intended reactio