Industrial Logistics Properties Trust · NASDAQ:ILPT
Industrial Logistics Properties Trust — Q3 2022 Earnings Presentation
21 slides from Industrial Logistics Properties Trust's earnings presentation, Oct 28, 2022
Slide 1: Q3 2022 Investor Presentation
INDUSTRIAL LOGISTICS PROPERTIES TRUST Q3 2022 201 Exploration DriveMonroe, OH387,000 Square FeetINVESTOR PRESENTATION
Slide 2: Forward-looking statements
2 INDUSTRIAL LOGISTICS PROPERTIES TRUST This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995and other securities laws. Also, whenever ILPT uses words such as “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate”, “
Slide 3: ILPT at a Glance
3 INDUSTRIAL LOGISTICS PROPERTIES TRUST 3 U.S. REIT with413Industrial & Logistics PropertiesILPT AT A GLANCEIndustrial Logistics Properties Trust (Nasdaq: ILPT) is a real estate investment trust, or REIT, focused on owning and leasing high quality distribution and logistics properties that serve the
Slide 4: Recent Business Highlights
4 INDUSTRIAL LOGISTICS PROPERTIES TRUST 6,442,000 SF 3,565,000 SF RECENT BUSINESS HIGHLIGHTS Full Year 2021 Same Property Cash Basis NOI Rental Rates Leasing Activity +1.2% +1.8% +57.0% +16.9% Weighted Average Lease Term(WALT) 16.1 years 10.2 years Year to Date 2022 Same Property NOI +3.0% +2.2%
Slide 5: Geographic Diversity with a Unique Hawaiian Footprint
5 INDUSTRIAL LOGISTICS PROPERTIES TRUST GEOGRAPHIC DIVERSITY WITH A UNIQUE HAWAIIAN FOOTPRINT Location and Number of Properties Geographic Mix of Annualized RentalRevenues•187industrial and logistics properties located in 38states.•43.0million square feet that is 99.4% leased with a 6.7yearWALT(by r
Slide 6: Select Portfolio Properties
9 SELECT PORTFOLIO PROPERTIES Burlington, NJ 7307 Rickenbacker Parkway, West Columbus, OH 357,504 Square Feet 310 Dulty’s Lane Burlington, NJ 633,836 Square Feet 4690 Global Avenue NW Concord, NC 330,717 Square Feet Sand Island Industrial Land, Honolulu, HI 48 Buildings and Leaseable Land Parcels Ap
Slide 7: Strong Credit Quality and Diversified Tenant Base
7 INDUSTRIAL LOGISTICS PROPERTIES TRUST STRONG CREDIT QUALITY AND DIVERSIFIED TENANT BASE More than 75% of annualized rental revenues are derived from investment grade tenants/subsidiaries or from secure Hawaii land leases.Tenant Credit Characteristics % of Annualized Rental RevenueOther Unrated or
Slide 8: High Quality Industrial Properties
8 INDUSTRIAL LOGISTICS PROPERTIES TRUST Warehouse & Distribution: 65%Ground Lease: 29%Light Manufacturing: 6%HIGH QUALITY INDUSTRIAL PROPERTIESProperty Type% of Annualized Rental Revenue Tenant Industry Type% of PortfolioTransportation & Shipping35.9Construction & Building Materials10.7Automotive9.2
Slide 9: Select Portfolio Properties
INDUSTRIAL LOGISTICS PROPERTIES TRUST 9 SELECT PORTFOLIO PROPERTIES 7307 Rickenbacker Parkway, West Columbus, OH 357,504 Square Feet 510 John Dodd Road Spartanburg, SC 1,015,740 Square Feet 101 North Campus Drive Imperial, PA 125,860 Square Feet INDUSTRIAL LOGISTICS PROPERTIES TRUST 3800 Midlink Dri
Slide 10: Proactive Asset Management and Leasing
PROACTIVE ASSET MANAGEMENT AND LEASING10 Leasing Activity Lease Expirations% Total Annualized Rental Income Expiring 8.0 MillionSFNew and renewal leasingand rent resets 44.9%Roll up in rentTrailing Twelve MonthsCompleted Activity 3.32.63.03.66.425.1%20.1%16.7%16.9%57.0%-100.0%-80.0%-60.0%-40.0%-20.0
Slide 11: Stable Cash Flows from Long Term Leases
11 INDUSTRIAL LOGISTICS PROPERTIES TRUST STABLE CASH FLOWS FROM LONG TERM LEASES1.Resetting leases are shown both in the year of the next reset and in their year of expiration. Proactively engaging tenants in early renewal discussions to take advantage of industry tailwinds.Approximately 20% of annu
Slide 12: Industrial Real Estate Fundamentals Remain Strong
12 INDUSTRIAL LOGISTICS PROPERTIES TRUST INDUSTRIAL REAL ESTATE FUNDAMENTALS REMAIN STRONG Robust demand for industrial and logistics properties will enable owners like ILPT to maintain high occupancy rates and increase rents.•U.S. industrial REIT sector has benefited from strong secular demand driv
Slide 13: Growth in E-Commerce Driving Incremental Industrial Demand
13 INDUSTRIAL LOGISTICS PROPERTIES TRUST $0$100$200$300$400$500$600$700$800$900$1,000 11' 12' 13' 14' 15' 16' 17' 18' 19' 20' 21' GROWTH IN E-COMMERCE DRIVING INCREMENTAL INDUSTRIAL DEMAND E-commerce will continue to drivedemand for industrial and logistics properties, support rent growth and sustai
Slide 14: Strong Fundamental Backdrop Drove 2022 Transformative Acquisition
14 STRONG FUNDAMENTAL BACKDROP DROVE 2022 TRANSFORMATIVE ACQUISITION E-commerce Growth Supply Chain Optimization Reshoring & “Just-in-Case” Inventory Models Population Migration +Closed on February 25, 2022.+Added 125 Class A, e-commerce focused assets.+Increased exposure to key components of the su
Slide 15: Debt Summary
DEBT SUMMARY15 Secured Floating Rate Debt$1.2BJV Secured Floating Rate Debt$1.4BSecured Fixed Rate Debt$1.7B $5.5$22.4$2,658.3$24.1$25.0$1,560.5202220232024202520262027+INDUSTRIAL LOGISTICS PROPERTIES TRUST Key Facts Debt Maturity Total Consolidated Debt Current Estimated Quarterly Interest Expense
Slide 16: Opportunities to Improve Balance Sheet and Reduce Leverage
16 OPPORTUNITIES TO IMPROVE BALANCE SHEET AND REDUCE LEVERAGE Organic Growth Dispositions Joint Ventures •Relaunch the marketing campaign of the 30 properties previously identified for disposition.•Resume discussions with potential partners for an equity interest in Mountain Industrial JV.•Explore a
Slide 17: Joint Ventures
17 JOINT VENTURES $11.3 Million $27.9 Million Mountain Industrial REIT LLC 22%/ 78% Number of Properties Square Feet EBITDAre1 61% / 39% 18 94 11,726,000 SF 20,981,000 SF ILPT/JV Ownership The Industrial Fund REIT LLCRaise capital at property net asset value.Grow relationships with new and existing
Slide 18: Managed by The RMR Group LLC
18 INDUSTRIAL LOGISTICS PROPERTIES TRUST RMR’s Operations Include: National Multi-Sector Investment Platform OFFICEINDUSTRIALGOVERNMENTMEDICAL OFFICELIFE SCIENCESENIOR LIVINGHOTELSSERVICE RETAIL RMR Managed Companies Over38,000Employees 2,100Properties Approximately $12billionin Annual Revenues More
Slide 19: Management fee structure
20 INDUSTRIAL LOGISTICS PROPERTIES TRUST •Base Business Management Fee: 0.5% multiplied by the lower of (i) gross historical cost or (ii) average market capitalization.(1)•Property Management Fees: 3% of gross collected rents and 5% of construction costs. •Incentive Management Fee: 12% of the outper
Slide 20: A Winning Tradition: RMR Recognition
21 INDUSTRIAL LOGISTICS PROPERTIES TRUST A WINNING TRADITION RMR RECOGNITIONEPA’S ENERGY STAR Partner of the Year 2019 -2022. 70properties with EPA ENERGY STAR certifications60properties withBOMAdesignations. Ranked #2for portfolio with most designations56properties withLEEDdesignations SUSTAINABILI
Slide 21: Contact
22 Q3 2022 201 Exploration DriveMonroe, OH387,000 Square FeetINVESTOR PRESENTATIONTwo Newton Place 255 Washington Street, Suite 300 Newton, Massachusetts 02458 ILPTREIT.COM
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