Industrial Logistics Properties Trust · NASDAQ:ILPT
Industrial Logistics Properties Trust — Investor Presentation (May 2023)
28 slides from Industrial Logistics Properties Trust's investor presentation, May 15, 2023
Slide 1: Investor Presentation May 2023
INDUSTRIAL LOGISTICS PRO May 2023 510 John Dodd Road Spartanburg, SC 1,015,740 Square Feet ILPT Ownership: 100% INVESTOR PRESENTATION Exhibit 99.1
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 1995 and other securities laws that are subject to risks and uncertainties. These statements may include words such as “believe”, “expec
Slide 3: ILPT at a Glance
3 INDUSTRIAL LOGISTICS PROPERTIES TRUST 3 U.S. REIT with 413 Industrial & Logistics Properties ILPT AT A GLANCE Industrial Logistics Properties Trust (Nasdaq: ILPT) is a REIT focused on owning and leasing high quality distribution and logistics properties that serve the growing needs of e-commerce.
Slide 4: Geographic Diversity with a Unique Hawaiian Footprint
4 INDUSTRIAL LOGISTICS PROPERTIES TRUST 29 Other States, 30.9% HI, 27.8% OH, 7.3% IN, 5.7% SC, 5.2% FL, 5.2% GA, 4.8% TX, 4.3% NJ, 3.4% TN, 2.9% NC, 2.5% GEOGRAPHIC DIVERSITY WITH A UNIQUE HAWAIIAN FOOTPRINT Location and Number of Properties Geographic Mix of Annualized Rental Revenues • 187 industr
Slide 5: Select Portfolio Properties
95 SELECT PORTFOLIO PROPERTIES 91-238 Kauhi Kapolei, HI 85,317 Square Feet ILPT Ownership: 100% 900 Commerce Parkway West Drive Greenwood, IN 294,388 Square Feet ILPT Ownership: 100% 2020 Joe. B Jackson Parkway Murfreesboro, TN 1,016,281 Square Feet ILPT Ownership: 100% 55 Commerce Avenue Albany, NY
Slide 6: Industrial Real Estate Fundamentals Remain Strong
6 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 dri
Slide 7: Growth in E-Commerce Driving Incremental Industrial Demand
7 INDUSTRIAL LOGISTICS PROPERTIES TRUST 0% 2% 4% 6% 8% 10% 12% 14% 16% $0 $1,000 $2,000 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 11' 12' 13' 14' 15' 16' 17' 18' 19' 20' 21' 22' In-Store Sales U.S. E-commerce Sales % Online $0 $200 $400 $600 $800 $1,000 $1,200 11' 12' 13' 14' 15' 16' 17' 18' 19' 20'
Slide 8: Select Portfolio Properties
INDUSTRIAL LOGISTICS PROPERTIES TRUST SELECT PORTFOLIO PROPERTIES 725 Darlington Avenue Mahwah, NJ 167,424 Square Feet ILPT Ownership: 100% 1095 South 4800 West Salt Lake City, UT 150,300 Square Feet ILPT Ownership: 100% 8 32150 Just Imagine Drive Avon, OH 644,850 Square Feet ILPT Ownership: 100% 84
Slide 9: High Quality Industrial Properties
9 INDUSTRIAL LOGISTICS PROPERTIES TRUST Warehouse & Distribution: 65% Ground Lease: 30% Light Manufacturing: 5% HIGH QUALITY INDUSTRIAL PROPERTIES Property Type % of Annualized Rental Revenues Tenant Industry Type % of Portfolio Transportation & Shipping 37.1 Automotive 8.9 Food and Beverage 8.7 Con
Slide 10: Strong Credit Quality and Diversified Tenant Base
10 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 Revenues Other Unrated
Slide 11: Recent Business Highlights
11 INDUSTRIAL LOGISTICS PROPERTIES TRUST RECENT BUSINESS HIGHLIGHTS 2022 Highlights Same Property Cash Basis NOI Rental Rates Leasing Activity +1.0% +37.1% Leasing Activity WALT (by Sq. Ft.) 8.2 years Same Property NOI +2.6% 5,573,000 SF(1) 11 +3.2% +15.1% 8.9 years 1,143,000 SF Q1 2023 Highlights +
Slide 12: Investment Portfolio Q1 2023 Results
12 INDUSTRIAL LOGISTICS PROPERTIES TRUST Mountain Industrial JV(1) Consolidated ILPT 61% Ownership 94 Properties 98.3% Occupancy $32.9M NOI $31.7M Cash Basis NOI $29.5M Adjusted EBITDAre $3.1B Total Gross Assets (1) Amounts represent this joint venture at 100%, not ILPT’s proportionate share thereof
Slide 13: Proactive Asset Management and Leasing
0.9 1.4 1.1 27.9% 18.7% 15.1% -20.0% 0.0% 20.0% 40.0% 60.0% 80.0% 0.0 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 Q1 2022 Q4 2022 Q1 2023 Total Leasing (msf) Rent Roll-Up PROACTIVE ASSET MANAGEMENT AND LEASING Leasing Activity Square Footage in Millions INDUSTRIAL LOGISTICS PROPERTIES TRUST ILPT followed up on
Slide 14: Lease Expirations and Rent Resets by Investment Portfolio
LEASE EXPIRATIONS AND RENT RESETS BY INVESTMENT PORTFOLIO INDUSTRIAL LOGISTICS PROPERTIES TRUST 14 Hawaii Property Expirations and Resets % Total ILPT Annualized Rental Revenues Mountain Joint Venture Expirations % Total ILPT Annualized Rental Revenues Wholly Owned Mainland Property Expirations % To
Slide 15: Debt Summary
DEBT SUMMARY 15 Secured Floating Rate Debt $1.2B JV Secured Floating Rate Debt $1.4B Secured Fixed Rate Debt $1.7B $16.9 $2,658.3 $24.1 $25.0 $26.0 $1,534.5 2023 2024 2025 2026 2027 2028+ INDUSTRIAL LOGISTICS PROPERTIES TRUST Key Facts Debt Maturity Total Consolidated Debt Current Estimated Quarterl
Slide 16: Joint Ventures
JOINT VENTURES $11.9 Million$29.5 Million Mountain Industrial REIT LLC 22% / 78% Number of Properties Square Feet Adjusted EBITDAre(1) 61% / 39% 1894 11,726,000 SF20,981,000 SF ILPT/JV Ownership The Industrial Fund REIT LLC Raise capital at property net asset value. Grow relationships with new and e
Slide 17: Managed by The RMR Group LLC
17 INDUSTRIAL LOGISTICS PROPERTIES TRUST RMR’s Operations Include: National Multi-Sector Investment Platform OFFICE INDUSTRIAL GOVERNMENT MEDICAL OFFICE LIFE SCIENCE SENIOR LIVING HOTELS SERVICE RETAIL RMR Managed Companies Approximately 38,000 Employees Nearly 2,100 Properties More than $16 billion
Slide 18: RMR Management Fees
18 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 ou
Slide 19: A Winning Tradition: RMR Recognition
19 INDUSTRIAL LOGISTICS PROPERTIES TRUST A WINNING TRADITION RMR RECOGNITION EPA’S ENERGY STAR Partner of the Year 2019 - 2022. 77 properties with EPA ENERGY STAR certifications 55 properties with BOMA designations. Ranked #2 for portfolio with most designations 58 properties with LEED designations
Slide 20: Appendix
20 INDUSTRIAL LOGISTICS PROPERTIES TRUST APPENDIX 482 Chaney Avenue Greenwood, IN 671,354 Square Feet ILPT Ownership: 61%
Slide 21: Selected Financial Data
21 INDUSTRIAL LOGISTICS PROPERTIES TRUST As of and For the Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Selected Income Statement Data: Rental income $ 110,258 $ 106,339 $ 103,215 $ 107,222 $ 71,375 Net loss $ (35,546) $ (41,759) $ (83,974) $ (151,321) $ (9,787) Net loss att
Slide 22: Calculation of NOI and Cash Basis NOI
22 INDUSTRIAL LOGISTICS PROPERTIES TRUST For the Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Calculation of NOI and Cash Basis NOI: Rental income $ 110,258 $ 106,339 $ 103,215 $ 107,222 $ 71,375 Real estate taxes (16,467) (14,164) (13,749) (13,275) (9,436) Other operating e
Slide 23: Reconciliation of NOI to Same Property NOI
23 INDUSTRIAL LOGISTICS PROPERTIES TRUST RECONCILIATION OF NOI TO SAME PROPERTY NOI AND CALCULATION OF SAME PROPERTY CASH BASIS NOI Three Months Ended March 31, 2023 2022 Reconciliation of NOI to Same Property NOI: Rental income $ 110,258 $ 71,375 Real estate taxes (16,467) (9,436) Other operating e
Slide 24: EBITDAre and Adjusted EBITDAre Reconciliation
24 INDUSTRIAL LOGISTICS PROPERTIES TRUST For the Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Net loss $ (35,546) $ (41,759) $ (83,974) $ (151,321) $ (9,787) Plus: interest expense 70,771 71,765 89,739 77,548 40,999 Plus: income tax expense (benefit) 17 (68) 28 16 69 Plus: d
Slide 25: FFO and Normalized FFO Reconciliation
25 INDUSTRIAL LOGISTICS PROPERTIES TRUST For the Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Net loss attributable to common shareholders $ (24,809) $ (31,043) $ (45,627) $ (143,539) $ (6,514) Depreciation and amortization 45,457 46,886 48,519 42,699 22,878 Equity in earnin
Slide 26: Key Financial Data by Investment Portfolio
26 INDUSTRIAL LOGISTICS PROPERTIES TRUST KEY FINANCIAL DATA BY INVESTMENT PORTFOLIO (1) Amounts represent this joint venture at 100%, not our proportionate share thereof. Amounts presented are derived from GAAP information and may not be comparable to amounts reflected in this joint venture's standa
Slide 27: Definitions
27 INDUSTRIAL LOGISTICS PROPERTIES TRUST DEFINITIONS Non-GAAP Financial Measures: We present certain “non-GAAP financial measures” within the meaning of the applicable rules of the Securities and Exchange Commission, or SEC, including FFO attributable to common shareholders, Normalized FFO attributa
Slide 28: May 2023 Two Newton Place Washington Street, Suite 00 Newton, Massachusetts 02458 ILPTREIT.COM 510
INDUSTRIAL LOGISTICS PROPERTIES TRUST May 2023 INVESTOR PRESENTATION Two Newton Place 255 Washington Street, Suite 300 Newton, Massachusetts 02458 ILPTREIT.COM 510 John Dodd Road Spartanburg, SC 1,015,740 Square Feet ILPT Ownership: 100%
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