Rexford Industrial Realty, Inc. · NYSE:REXR
Rexford Industrial Realty — Q4 2014 Earnings Presentation
28 slides from Rexford Industrial Realty's earnings presentation, Feb 26, 2015
Slide 1: Supplemental Financial Reporting Package Fourth Quarter 2014
Supplemental Financial ReporSupplemental Financial Reporting Package Fourth Quarter 2014 Rexford Industrial Realty, Inc. NYSE: REXR 11620 Wilshire Blvd Suite 1000 Los Angeles, CA 90025 310-966-1680 www.RexfordIndustrial.com ting Package Fourth Quarter 2014 Rexford Industrial Realty, Inc. NYSE: REXR
Slide 2: Table of Contents
Table of Contents Section Page Corporate Data: Investor Company Summary 3 Financial and Portfolio Highlights and Common Stock Data 4 Consolidated and Combined Financial Results: Consolidated and Combined Balance Sheet 5 Consolidated and Combined Statement of Operations 6 - 7 Non-GAAP FFO and AFFO Re
Slide 3: Investor Company Summary
Investor Company Summary Senior Management Team Howard Schwimmer Co-Chief Executive Officer, Director Michael S. Frankel Co-Chief Executive Officer, Director Adeel Khan Chief Financial Officer Patrick Schlehuber Director of Acquisitions Bruce Herbkersman Director of Construction & Development Shanno
Slide 4: Financial and Portfolio Highlights and Common Stock Data
Financial and Portfolio Highlights and Common Stock Data (1) (in thousands except per share figures and portfolio statistics) Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Financial Results: Total rental revenues $19,576 $17,755 $14,718 $13,415 Net income (loss
Slide 5: Consolidated and Combined Balance Sheet
Consolidated and Combined Balance Sheet (in thousands) Rexford Industrial Realty, Inc. 12/31/14 9/30/14 6/30/14(1) 3/31/14(1) 12/31/13(1) Assets Investments in real estate, net $854,477 $722,689 $651,920 $510,690 $481,673 Cash and cash equivalents 8,606 60,541 9,272 6,344 8,997 Restricted cash - 307
Slide 6: Consolidated and Combined Statement of Operations
Consolidated and Combined Statement of Operations Quarterly Results (unaudited and in thousands, except share count and per share figures) Rexford Industrial Realty, Inc. Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Rental Revenues Rental revenues $16,719 $15,
Slide 7: Consolidated and Combined Statement of Operations
Consolidated and Combined Statement of Operations (in thousands) Quarterly Results (unaudited results) Rexford Industrial Realty, Inc. Rexford Industrial Realty, Inc. and Predecessor (1) Three Months Ended December 31 Year Ended December 31, 2014 2013 2014 2013 Rental Revenues Rental revenues $16,71
Slide 8: Non-GAAP FFO
Non-GAAP FFO (1) (in thousands) (unaudited results) Rexford Industrial Realty, Inc. Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Funds From Operations (FFO) Net Income (loss) 145 (679) 81 1,429 Add: Depreciation and amortization, including amounts in discontin
Slide 9: Non-GAAP AFFO
Non-GAAP AFFO (1) (in thousands) (unaudited results) Rexford Industrial Realty, Inc. Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Adjusted Funds From Operations (AFFO) Funds From Operations $8,651 $7,606 $6,187 5,526 Add: Amortization of deferred financing cos
Slide 10: Statement of Operations Reconciliations
Statement of Operations Reconciliations (1) (in thousands) (unaudited results) Rexford Industrial Realty, Inc. Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Net Operating Income (NOI) Rental revenues $16,719 $15,516 $12,773 $11,628 Tenant reimbursements 2,417 2
Slide 11: Statement of Operations Reconciliations
Statement of Operations Reconciliations (1) (in thousands) (unaudited results) Rexford Industrial Realty, Inc. Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Net income (loss) $145 $(679) $81 $1,429 Interest expense 1,655 1,957 1,537 1,251 Proportionate share of
Slide 12: Same Property Portfolio Performance
Same Property Portfolio Performance (1) (in thousands) Statement of Operations and NOI Reconciliation (unaudited results) Same Property Portfolio Statement of Operations: Three Months Ended December 31, Year Ended December 31, 2014 2013 $ Change % Change 2014 2013 (2) $ Change % Change Rental Revenu
Slide 13: Same Property Portfolio Performance
Same Property Portfolio Performance (1) (in thousands) NOI Reconciliation, Portfolio Detail, and Occupancy (unaudited results) Same Property Portfolio NOI Reconciliation Continued: Three Months Ended December 31, Year Ended December 31, 2014 2013 $ Change % Change 2014 2013 (2) $ Change % Change Ren
Slide 14: Joint Venture Financial Summary
Joint Venture Financial Summary (in thousands) Balance Sheet (unaudited results) Mission Oaks (1) December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Assets: Investments in real estate, net $20,268 $56,488 56,439 $55,085 Cash and cash equivalents 2,331 1,105 427 853 Rents and other rec
Slide 15: Joint Venture Statement of Operations
Statement of Operations (unaudited results) Statement of Operations: Mission Oaks (2) Three Months Ended December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Income Statement Rental revenues $807 $1,300 $1,291 $1,286 Tenant reimbursements 355 823 630 526 Other operating revenues - - - -
Slide 16: Capitalization Summary
Capitalization Summary (unaudited results) Capitalization as of December 31, 2014 Description December 31, 2014 September 30, 2014 June 30, 2014 March 31, 2014 Common shares (1) 43,382,425 43,059,742 25,420,381 25,419,418 Operating partnership units 2,323,344 2,646,027 3,009,259 3,009,259 Total shar
Slide 17: Debt Summary
Debt Summary (in thousands) (unaudited results) Debt Detail: As of December 31, 2014 Debt Description "Initial Maturity Date" Maturity Date w/ Extensions "Stated Interest Rate" "Effective Interest Rate" Balance Secured Debt: Glendale Commerce Center 5/1/2016 5/1/2018 LIBOR + 2.00% 2.171% $42,750 Ter
Slide 18: Portfolio Overview at 12/31/14
Portfolio Overview at 12/31/14 (unaudited results) Consolidated Portfolio: Annualized Base Rent Market # Properties % Owned Pro-rata Sq. Ft. Occ. % "Total (in thousands)(1)" per SF Greater San Fernando Valley 24 100.0% 2,706,356 86.0% $20,697 $8.89 San Gabriel Valley 10 100.0% 1,213,095 95.8% 8,920
Slide 19: Occupancy and Leasing Trends
Occupancy and Leasing Trends (unaudited results, data represents consolidated portfolio only on a pro rata basis) Occupancy by County: Dec. 31, 2014 Sep. 30, 2014 Jun. 30, 2014 Mar. 31, 2014 Dec. 31, 2013 Occupancy: Los Angeles County (1) 90.8% #REF! #REF! #REF! #REF! Orange County 92.1% #REF! #REF!
Slide 20: Leasing Statistics
Leasing Statistics (unaudited results, data represents consolidated portfolio only on a pro rata basis) Leasing Activity: # Leases Signed SF of Leasing Wtd. Avg. Lease Term Rent Change - Cash Rent Change - GAAP Fourth Quarter 2014: New 43 201,269 3.9 (0.7%)(1) 10.7%(2) Renewal (3) 56 229,226 2.8 3.6
Slide 21: Top Tenants and Lease Segmentation
Top Tenants and Lease Segmentation (unaudited results, data represents consolidated portfolio only on a pro rata basis) Top 10 Tenants: Tenant Submarket Leased SF % of Total Ann. Base Rent Ann. Base Rent per SF Lease Expiration Cosmetic Laboratories of America LA - San Fern. Valley 319,348 2.4% $5.6
Slide 22: Capital Expenditure Summary
Capital Expenditure Summary (unaudited results, data represents consolidated portfolio only on a pro rata basis) Quarter Ended December 31, 2014: Amount SF(1) PSF Tenant Improvements: New Leases - 1st Generation $436,000 238,045 $1.83 New Leases - 2nd Generation $570,000 182,790 $3.12 Renewals $53,0
Slide 23: Properties and Space Under Repositioning
Properties and Space Under Repositioning (unaudited results, in millions, except square footage) Repositioning Properties As of December 31, 2014 Estimated Construction Period Costs Incurred Property Rentable Square Feet Acquisition Date Start Completion Purchase Price Repositioning Cumulative Inves
Slide 24: Acquisitions and Dispositions Summary
Acquisitions and Dispositions Summary (unaudited results, data presented on a wholly owned basis) Acquisitions: Date Property Address Submarket SF "Price ($ in MM)" Occ. % at Acquisition "Occ. % at December 31, 2014" Jun-14 Birch 2610 & 2701 S. Birch Street OC - Airport 98,105 $11.0 100% #REF! Jun-1
Slide 25: Net Asset Value Components at 12/31/14
Net Asset Value Components at 12/31/14 (unaudited and in thousands, except share count) Net Operating Income ProForma Net Operating Income (NOI)(1)(2) For the Three Months Ended December 31, 2014 Total operating revenues $19,370 Property operating expenses (5,477) Pro forma effect of acquisitions(3)
Slide 26: Fixed Charge Coverage Ratio at 12/31/14
Fixed Charge Coverage Ratio at 12/31/14 (unaudited and in thousands) For the Three Months Ended December 31, 2014 Total revenues $19,858 Property expenses (5,477) General and administrative (3,486) Expenses from discontinued operations - Recurring operating EBITDA (excluding discontinued operations
Slide 27: Definitions / Discussion of Non-GAAP Financial Measures
Definitions / Discussion of Non-GAAP Financial Measures Adjusted Funds from Operations (AFFO): We calculate adjusted funds from operations, or AFFO, by adding to or subtracting from FFO (i) non-cash operating revenues and expenses, (ii) capitalized operating expenditures such as leasing payroll, (ii
Slide 28: Definitions / Discussion of Non-GAAP Financial Measures
Definitions / Discussion of Non-GAAP Financial Measures NOI: Includes the revenue and expense directly attributable to our real estate properties calculated in accordance with GAAP. Calculated as total revenue from real estate operations including i) rental revenues ii) tenant reimbursements, and ii
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