Palo Alto-based Essex says it has earmarked net proceeds from the sale to acquire during the fourth quarter $95.6-million worth of multifamily properties located primarily in Southern California and Seattle that are either under contract or subject to non-binding letters of intent. If all the transactions are closed, they will add 917 apartment units to the company's existing portfolio of more than 25,000 units.

If Essex doesn't close on any of the transactions, it says surplus proceeds will be used for general corporate purposes, which may include the repayment of debt, acquisition of other multifamily communities and development activities.

In noontime trading Wednesday, shares of Essex were trading at $61.48, off $1.23 from Tuesday's close and off $3.43 since Sept. 9, when shares closed at $64.91 after trading at a 52-week high of $64.98 earlier in the day.