Y ** Shares of U.S.-based real estate investment trust Equity Residential EQR.N down 2% at $65 in early trading

** AvalonBay also falls nearly 2% to $183.07

** Equity Residential and AvalonBay Communities AVB.N agree to an all-stock merger to form a housing rental company with an enterprise value of $69  billion

** Under the deal, AvalonBay shareholders will receive 2.793 shares of Equity Residential common stock for each share they own

** After the deal closes in the second half of 2026, AvalonBay shareholders will own about 51%, and Equity Residential shareholders will own the rest

** AvalonBay CEO Benjamin Schall will lead the new company, while Equity Residential CEO Mark Parrell will retire after the deal closes

** Including session's moves, EQR up 3.1% and AVB increases 1% YTD