Exhibit 12
EQUITY RESIDENTIAL
Computation of Ratio of Earnings to Combined Fixed Charges
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| Nine Months Ended September 30, |
| Year Ended December 31, |
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| 2006 |
| 2005 |
| 2005 |
| 2004 |
| 2003 |
| 2002 |
| 2001 |
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Income from continuing operations, |
| $ | 88,969 |
| $ | 118,714 |
| $ | 149,491 |
| $ | 92,145 |
| $ | 102,086 |
| $ | 109,146 |
| $ | 163,946 |
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Interest expense incurred, net |
| 319,236 |
| 266,063 |
| 363,756 |
| 309,150 |
| 294,490 |
| 289,851 |
| 293,975 |
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Amortization of deferred financing |
| 6,419 |
| 4,832 |
| 6,514 |
| 5,825 |
| 5,280 |
| 5,292 |
| 4,597 |
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Allocation to Minority Interests: |
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Operating Partnership, net |
| 3,891 |
| 5,509 |
| 6,953 |
| 2,876 |
| 455 |
| 2,704 |
| 6,356 |
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Preference Interests and Junior |
| 1,779 |
| 6,442 |
| 7,606 |
| 19,490 |
| 20,536 |
| 20,536 |
| 18,615 |
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Premium on redemption of |
| 684 |
| 4,134 |
| 4,134 |
| 1,117 |
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| — |
| — |
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Earnings before combined fixed |
| 420,978 |
| 405,694 |
| 538,454 |
| 430,603 |
| 422,847 |
| 427,529 |
| 487,489 |
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Preferred Share distributions |
| (29,682 | ) | (39,004 | ) | (49,642 | ) | (53,746 | ) | (76,435 | ) | (76,615 | ) | (87,504 | ) | |||||||
Premium on redemption of |
| (3,941 | ) | (4,316 | ) | (4,359 | ) | — |
| (20,237 | ) | — |
| (5,324 | ) | |||||||
Preference Interest and Junior |
| (1,779 | ) | (6,442 | ) | (7,606 | ) | (19,490 | ) | (20,536 | ) | (20,536 | ) | (18,615 | ) | |||||||
Premium on redemption of |
| (684 | ) | (4,134 | ) | (4,134 | ) | (1,117 | ) | — |
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| — |
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Earnings before combined |
| $ | 384,892 |
| $ | 351,798 |
| $ | 472,713 |
| $ | 356,250 |
| $ | 305,639 |
| $ | 330,378 |
| $ | 376,046 |
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Interest expense incurred, net |
| $ | 319,236 |
| $ | 266,063 |
| $ | 363,756 |
| $ | 309,150 |
| $ | 294,490 |
| $ | 289,851 |
| $ | 293,975 |
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Amortization of deferred |
| 6,419 |
| 4,832 |
| 6,514 |
| 5,825 |
| 5,280 |
| 5,292 |
| 4,597 |
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Interest capitalized for real estate |
| 13,176 |
| 9,105 |
| 13,701 |
| 13,969 |
| 20,647 |
| 27,167 |
| 28,174 |
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Total combined fixed charges |
| 338,831 |
| 280,000 |
| 383,971 |
| 328,944 |
| 320,417 |
| 322,310 |
| 326,746 |
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Preferred Share distributions |
| 29,682 |
| 39,004 |
| 49,642 |
| 53,746 |
| 76,435 |
| 76,615 |
| 87,504 |
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Premium on redemption of |
| 3,941 |
| 4,316 |
| 4,359 |
| — |
| 20,237 |
| — |
| 5,324 |
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Preference Interest and Junior |
| 1,779 |
| 6,442 |
| 7,606 |
| 19,490 |
| 20,536 |
| 20,536 |
| 18,615 |
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Premium on redemption of |
| 684 |
| 4,134 |
| 4,134 |
| 1,117 |
| — |
| — |
| — |
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Total combined fixed charges and |
| $ | 374,917 |
| $ | 333,896 |
| $ | 449,712 |
| $ | 403,297 |
| $ | 437,625 |
| $ | 419,461 |
| $ | 438,189 |
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Ratio of earnings before combined |
| 1.14 |
| 1.26 |
| 1.23 |
| 1.08 |
| — |
| 1.03 |
| 1.15 |
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Ratio of earnings before combined |
| 1.12 |
| 1.22 |
| 1.20 |
| 1.07 |
| — |
| 1.02 |
| 1.11 |
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(1) For 2003, the coverage deficiencies on both ratios approximated $14.8 million. All ratios have been reduced due to the disposition of properties and the reclassification of the Lexford Housing Division to held for sale, both of which resulted in the inclusion of those properties in discontinued operations for all periods presented. For 2003, the ratios have been further reduced due to the one-time $20.2 million premium on the redemption of the Series G Preferred Shares.