Q4 FFO of $0.51 trails $0.55 last year, but beats our $0.45 estimate. Operating costs were lower than we expected, and BRE reduced interest expense through recent debt refinancing. On a same-property basis, revenue growth was modest at 0.4%. In view of Q4 results, we raise our 2011 FFO estimate by $0.10 to $2.05. Even so, we think operating results will lag peers positioned in markets with a better balance between supply and demand. Our $42 target price, lifted $5 today, is based on updated 20.5X our 2011 FFO outlook, but still a discount to apartment REIT peers.