First Industrial Realty Trust, Inc. · NYSE:FR
First Industrial Realty Trust — Wolfe Research Third Annual Real Estate Conference 2023
23 slides from First Industrial Realty Trust's conference presentation, March 2023
Slide 1: Wolfe Research Third Annual Real Estate Conference
Wolfe Research Third Annual Real Estate Conference March 2023
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. We intend for such forward-looking statements to be covered by the safe harbor provisions for forward-looking sta
Slide 3: Company Overview
Company Overview me FIRST INDUSTRIAL REALTY-TRUST
Slide 4: Strategy to Create Value
Strategy to Create Value U.S. industrial platform Distribution/logistics focused on 15 key logistics markets critical supply chain with a Coastal orientation properties Drive cash flow growth by: New investment primarily • increasing rents Strong balance sheet, via profitable development • capturing
Slide 5: 4Q and FY22 Highlights
(1) 4Q and FY22 Highlights Portfolio Metrics – FY 22 98.8% 10.1% 26.7% Year End Cash Same Store Cash Rental Rate Occupancy NOI Growth (2) Increase Company Records for All Three Metrics 33% Cash Rental Rate Increase on Signed Leases Commencing in 2023 To-Date(1) Development 1 MSF start in Northern Ca
Slide 6: U.S. Industrial Market Landscape
U.S. Industrial Market Landscape • 2022 Market Metrics ̶ Net Absorption 424 MSF exceeded New Completions 398 MSF INDUSTRIAL SUPPLY & DEMAND (MSF) 700 • Demand broad-based; Long-term E- 600 500 576 commerce drivers intact 400 424 398 ̶ Top industries: 3PLs, Retail, 300 200 300 300 272 250 263 259 E-c
Slide 7: Portfolio Composition
Portfolio Composition % of Rental Revenue as of December 31, 2022 1.6% Seattle Diverse Tenant Base Minneapolis/St. Paul 1,000 tenants Central/Eastern PA 3.6% Top 20 = 25.3% Detroit 1.6% 11.1% 6.4% 5.1% New Jersey Infill Portfolio Northern California Chicago 1.5% 4.7% 97% of SF within 30 miles of 1.4
Slide 8: Key Portfolio Cash Flow Metrics
Key Portfolio Cash Flow Metrics As of December 31, 2022 OCCUPANCY CASH RENTAL RATES CASH SAME STORE NOI (1) (period end) (period average) (full year) 100% 50% 12% 98.8% ±45.0% 98.5% 98.1% ±98.25% 10.1% 98% 97.6% 40% 10% ±8.0% 96% 95.7% 30% 8% 26.7% 5.8% 94% 20% 6% 5.3% 16.2% 13.9% 13.5% 4.4% 92% 10%
Slide 9: Financial Performance
Financial Performance FFO PER SHARE (1) DIVIDEND PER SHARE $2.40 $2.36 $1.40 $2.27 $1.28 $1.18 $2.20 $1.20 $1.08 $1.97 $1.00 $2.00 $1.00 $0.92 $0.87 $1.80 $1.80 $1.74 $0.80 $1.60 $1.60 $0.60 $1.40 $0.40 $1.20 $0.20 $1.00 $0.00 (2) '18 '19 '20 '21 '22 '23F '18 '19 '20 '21 '22 '23F Quarterly dividend
Slide 10: Corporate Responsibility
Corporate Responsibility Green Development Improving Energy Efficiency Water Conservation Environmentally-friendly features; Efficient lighting: 92% of total SF, Increasing use of sensors, LEED volume program prototype 50% LED; Investing in drought-resistant approved in 2022 tracking/measurement lan
Slide 11: Investment Activity
Investment Activity —}+ FIRST
Slide 12: Creating Value Through Development
Creating Value Through Development Total SF Total GAAP Investment Cash Yield Margin % Range Placed In-Service ($M) 2016-17 3,881,743 256 7.4% ±45% 2018 3,454,560 227 7.9% 101% - 111% 2019 4,428,701 325 6.7% 50% - 60% 2020 2,526,603 224 7.2% 99% - 109% 2021 883,529 98 6.6% 48% - 58% 2022 4,056,587 44
Slide 13: Developments Under Construction
Developments Under Construction As of December 31, 2022 Estimated % Estimated Estimated Property Market SF $/SF Investment ($M) Leased (1) Cash Yield (2) Completion First Loop Logistics Park - Orlando 347,157 50.5 146 49% 5.9% 1Q23 Buildings I - IV First Park Miami - Building 1 South Florida 219,040
Slide 14: 4Q22 Development Start
4Q22 Development Start First Stockton Logistics Center | NorCal Square Feet 1,015,791 Est. Investment $126.1M $/SF $124 % Leased 0% Est. Cash Yield 6.3% Est. Completion 1Q24 | 14
Slide 15: Completed Developments In Lease Up
Completed Developments In Lease Up As of December 31, 2022 Estimated % Estimated Property Market SF $/SF Investment ($M) Leased (1) Cash Yield (2) Completion First Aurora Commerce Center Denver 588,085 53.8 92 0% 6.0% 3Q22 Bldg. E First Steele Seattle 128,426 25.3 197 0% 5.0% 3Q22 First Rockdale IV
Slide 16: Joint Venture Value Creation
Joint Venture Value Creation Camelback 303 JV | Phoenix (1) 103 Acres 1.6 MSF Developable 391 Acres (sold 3Q22) Square Feet 1.8 MSF Est. Investment $210M (2) $/SF $117 % Leased 0% 1.8 MSF Est. Cash Yield 5.7% (under construction) Est. Completion 4Q23 • 3Q22 land sale – 391 acres − FR share + promote
Slide 17: First Park Miami – Medley Submarket
First Park Miami – Medley Submarket Value Creation In Action Bldg. Size Leased % GAAP Investment Cash Yield Complete 2 258,925 100% $41.7 5.9% 9 132,751 100% $21.0 8.3% 11 200,264 100% $33.3 7.0% 591,940 100% $96.0M 6.6% In Process 1 218,725 100% $41.3 5.4% 10 198,108 0% $36.6 7.8% 13 56,399 0% $16.
Slide 18: Strategically Located Land To Drive Growth
Strategically Located Land To Drive Growth As of December 31, 2022 Seattle Denver 2 Acres | 27 KSF Philadelphia 46 Acres | 0.7 MSF Chicago 28 Acres | 0.4 MSF 137 Acres | 2.6 MSF NorCal 18 Acres | 0.3 MSF Orlando 194 Acres | 2.7 MSF Inland Empire South Florida (2) 176 Acres | 3.0 MSF 46 Acres | 0.9 M
Slide 19: Financial
Financial z . —— Lal an = FIRST Cu INDUSTRIAL REALTY-TRUST
Slide 20: Strong Balance Sheet
Strong Balance Sheet TOTAL LEVERAGE (1) (DEBT + PREFERRED) TO EBITDA 6.0 (annualized) 40% 35% 5.5 5.1x 4.9x 4.9x 30% 27.6% 27.8% 27.6% 5.0 4.8x 25.9% 26.1% 4.7x 4.6x 24.2% 25% 4.5 20% 4.0 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 FIXED CHARGE COVERAGE (1) 6.0 5.0 5.4x Unsecured Bal
Slide 21: Manageable Maturity Schedule
Manageable Maturity Schedule As of December 31, 2022 Secured Debt Unsecured Notes Line of Credit Unsecured Term Loans 900 800 (1) Weighted Average Maturity = 5.8 years (3) 700 300 Weighted Average Interest Rate = 3.9% 600 No maturities until 2026 Extensions of one year for LOC and two years for 500
Slide 22: Conclusion
Conclusion ma FIRST [-U INDUSTRIAL rea meus
Slide 23: First Industrial's Investment Strengths
First Industrial’s Investment Strengths Well-positioned to capitalize on strong industrial sector fundamentals and GROWTH supply chain trends through portfolio and profitable new developments Targeting investment in 15 key logistics markets with strategic land positions FOCUS for growth; Coastal mar
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