Innovative Industrial Properties, Inc. · NYSE:IIPR
Innovative Industrial Properties — Q1 2025 Earnings Presentation
23 slides from Innovative Industrial Properties's earnings presentation, May 7, 2025
Slide 1: First Quarter 2025 Supplemental Financial Information
Innovative Industrial Properties First Quarter 2025 Supplemental Financial Information
Slide 2: Table of Contents
Innovative Industrial Properties 2 Overview Forward-Looking Statements 3 Company Overview 4 Financial Information Quarterly Performance Summary 5 Balance Sheet 6 Net Income 7 Statements of Cash Flows 8 FFO, Normalized FFO, and AFFO Reconciliation 9 Historical Net Income 10 Historical FFO, Normalized
Slide 3: Forward-Looking Statements
Innovative Industrial Properties 3 Forward-Looking Statements This Supplemental Financial Information Package includes "forward-looking statements" (within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of t
Slide 4: Company Overview and Snapshot
Innovative Industrial Properties 4 Company Snapshot State Diversification (1) Illinois 14.5% Pennsylvania 13.5% Massachusetts 12.7% New York 10.7% Michigan 10.2% Florida 9.6% Ohio 5.8% New Jersey 4.5% Maryland 4.4% California 4.1% Other 10.0% Total 100% Company Overview Innovative Industrial Propert
Slide 5: Quarterly Performance Summary
Innovative Industrial Properties 5 Delta 2025 2024 QoQ 1Q2025 4Q2024 3Q2024 2Q2024 1Q2024 Total Revenues $71,722 $76,744 $76,526 $79,793 $75,454 General and administrative expense $8,461 $8,891 $9,330 $9,661 $9,562 General and administrative expense / total revenues 12% 12% 12% 12% 13% Net income at
Slide 6: Balance Sheet
Innovative Industrial Properties 6 March 31, December 31, (In thousands, except share and per share amounts) 2025 2024 Assets Real estate, at cost: Land $147,385 $146,772 Buildings and improvements 2,244,156 2,230,807 Construction in progress 60,494 62,393 Total real estate, at cost 2,452,035 2,439,
Slide 7: Net Income
Innovative Industrial Properties 7 For the Three Months Ended For the Three Months Ended March 31, (In thousands, except share and per share amounts) 2025 2024 Revenues: Rental (including tenant reimbursements) $71,697 $74,914 Other 25 540 Total revenues 71,722 75,454 Expenses: Property expenses 7,3
Slide 8: Statements of Cash Flows
Innovative Industrial Properties 8 For the Three Months Ended March 31, (In thousands) 2025 2024 Cash flows from operating activities Net income $31,077 $39,428 Adjustments to reconcile net income to net cash provided by (used in) operating activities Depreciation and amortization 18,391 17,150 Impa
Slide 9: FFO, Normalized FFO, and AFFO Reconciliation
Innovative Industrial Properties 9 For the Three Months Ended For the Three Months Ended March 31, (In thousands, except share and per share amounts) 2025 2024 Net income attributable to common stockholders $30,296 $39,090 Real estate depreciation and amortization 18,391 17,150 Impairment loss on re
Slide 10: Historical Net Income
Innovative Industrial Properties 10 2025 2024 (In thousands, except share and per share amounts) 1Q2025 4Q2024 3Q2024 2Q2024 1Q2024 Revenues: Rental (including tenant reimbursements) $71,697 $76,717 $76,052 $79,253 $74,914 Other 25 27 474 540 540 Total revenues 71,722 76,744 76,526 79,793 75,454 Exp
Slide 11: Historical FFO, Normalized FFO, and AFFO Reconciliation
Innovative Industrial Properties 11 2025 2024 (In thousands, except share and per share amounts) 1Q2025 4Q2024 3Q2024 2Q2024 1Q2024 Net income attributable to common stockholders $30,296 $39,461 $39,651 $41,655 $39,090 Real estate depreciation and amortization 18,391 18,240 17,944 17,473 17,150 Impa
Slide 12: Capital Commitments
Innovative Industrial Properties 12 Current Quarter Existing Total Rentable Purchase Additional Investment Investment Total State Closing / Execution Square Feet Price(1) Commitment / Commitment(1) / Commitment Investment / PSF(2) Acquisitions Maryland Feb-25 22 $7,750 - - $7,750 $352 Total / Wtd. A
Slide 13: Leasing Summary
Innovative Industrial Properties 13 # of Rentable Square Feet Rentable Square Feet Tenant State Closing / Execution Leases # % of Total Portfolio Non-Cannabis Tenant California Jan-25 1 6 0% Total 1 6 0% Note: Rentable square feet values in thousands. 1) The commencement date under certain of these
Slide 14: Top Tenants Overview
Innovative Industrial Properties 14 IIP Portfolio Full Year 2024(3) Tenant Information Annualized Base Rent (ABR)(1) ABR # of Adjusted Market MSO # Tenant $ % Square Feet(2) / Square Foot Leases Revenue EBITDA(4) Capitalization(5) / SSO(6) 1 PharmaCann(7) $49,706 16.2% 697 $71 11 Private Co. Private
Slide 15: Property List
Innovative Industrial Properties 15 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / # Tenant State City Acquired Leased In Place(1) / Redev.(2) Total Invested Committed Total $ Square Feet Operating: Cannabis - Industrial 1 4Front Ventures Illinois Matteson 8/3/2021 100.0% 250
Slide 16: Property List (continued)
Innovative Industrial Properties 16 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / # Tenant State City Acquired Leased In Place(1) / Redev.(2) Total Invested Committed Total $ Square Feet 51 The Cannabist Company Colorado Denver 12/14/2021 100.0% 18 - 18 $9,917 - $9,917 $551
Slide 17: Property List (continued)
Innovative Industrial Properties 17 Square Feet Invested / Committed Capital $ Date % Under Dev. Total $ / # Tenant State City Acquired Leased In Place(1) / Redev.(2) Total Invested Committed Total $ Square Feet Operating: Cannabis - Retail Subtotal / Wtd. Avg. 96.1% 148 - 148 $69,870 $28 $69,898 $4
Slide 18: Secured Loans
Innovative Industrial Properties 18 Date Maturity / Wtd. Amount Loan # City State Loan Type Executed Avg. Maturity Outstanding Commitment 1 Coachella California Senior Secured 6/25/2021 0.3 Years $22,800 $23,000 2 Needles(1) California Senior Secured 3/3/2023 2.9 Years 16,100 16,100 Loan Portfolio T
Slide 19: Capital and Debt Summary
Innovative Industrial Properties 19 Interest Rate / Preferred Rate / Maturity / Wtd. As of (In thousands, except share and per share amounts) Wtd. Avg. Rate Avg. Maturity March 31, 2025 Unsecured debt: Notes due 2026 5.50% 1.2 Years 291,215 Total Unsecured Debt 5.50% 1.2 Years $291,215 Gross Debt 5.
Slide 20: Definitions
Innovative Industrial Properties 20 Definitions Definitions listed hereafter apply throughout the Supplemental unless otherwise specifically noted. • Adjusted Funds From Operations (“AFFO”): Management believes that AFFO and AFFO per share are appropriate supplemental measures of a REIT’s operating
Slide 21: Definitions (Continued)
Innovative Industrial Properties 21 Definitions (Continued) • Normalized Funds From Operations (“Normalized FFO”): We compute normalized funds from operations (“Normalized FFO”) by adjusting FFO, as defined by NAREIT, to exclude certain GAAP income and expense amounts that we believe are infrequent
Slide 22: Analyst Coverage
Innovative Industrial Properties 22 Analyst Coverage Analyst Research Firms Contact Information Aaron Grey Alliance Global Partners Email: agrey@allianceg.com Phone: 888-543-4448 Tom Catherwood BTIG Email: tcatherwood@btig.com Phone: 212-738-6140 Merrill Ross Compass Point Research and Trading Email
Slide 23: Senior Management Team and Board of Directors
Innovative Industrial Properties 23 Senior Management Team and Board of Directors Senior Management Name Title Alan Gold Executive Chairman Paul Smithers President, Chief Executive Officer and Director David Smith Chief Financial Officer and Treasurer Catherine Hastings Chief Operating Officer Ben R
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