April 30 - U.S. based real estate investment trust

(REIT) AvalonBay Communities ( AVB ) on Wednesday forecast

second-quarter core funds from operation (FFO) below Wall Street

estimates, as its rental business faced pressure from

softer-than-expected consumer demand and elevated supply in

Sunbelt regions.

Shares of the company were down more than 4% after the bell.

The REIT expects second quarter core FFO per share to be

between $2.72 and $2.82, with the midpoint below analysts'

average estimate of $2.81, according to LSEG data.

AvalonBay's portfolio, which includes properties in Seattle,

Northern California, San Francisco and San Jose, has been

impacted by elevated supply and slower-than-expected demand.

The company reported first-quarter core FFO of $2.83,

in-line with analysts estimates.

Same-store residential revenue grew 3% to $693.1 million in

the quarter ended March 31, while same-store residential

operating expenses grew by 4% to $214.7 million.