Lxp Industrial Trust · NYSE:LXP
Lxp Industrial Trust — Q3 2023 Earnings Presentation
28 slides from Lxp Industrial Trust's earnings presentation, Oct 31, 2023
Slide 1: Investor Presentation Third Quarter 2023
INVESTOR PRESENTATION THIRD QUARTER 2023
Slide 2: Disclosure
LXP INDUSTRIAL TRUST Disclosure This presentation contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements, which are based on certain assump
Slide 3: Company Overview
LXP INDUSTRIAL TRUST Company Overview Public Company Since $4.8 Billion 53.9 Million 66 1993 Gross Asset Value Square Feet Employees INDUSTRIAL FOCUSED REIT GROWTH CHANNELS ▪ Warehouse/distribution pure play ▪ Multi-channel industrial growth strategy - purchases, ▪ Single-tenant, Class A assets focu
Slide 4: 2023 Execution
LXP INDUSTRIAL TRUST 2023 Execution1 Industrial Development ▪ Invested ~$100 million in warehouse/development projects, with an additional ~$72 million left to fund in these projects, excluding partner promotes. ▪ Completed core and shell construction of seven warehouse/distribution facilities total
Slide 5: Warehouse/Distribution Portfolio Highlights
LXP INDUSTRIAL TRUST Warehouse/Distribution Portfolio Highlights1 Class A warehouse/distribution properties with modern specs in top markets. Portfolio Level Asset Level # of Properties 110 Average Building Size (SF) 489,527 Square Feet (Million) 52.9 Average Clear Height6 33.0’ % Leased (Stabilized
Slide 6: Sunbelt & Lower Midwest Investment Focus
LXPINDUSTRIAL LXP INDUSTRIALTRUST TRUST Sunbelt & Lower Midwest Investment Focus Our target industrial markets experience strong growth characteristics, user demand and demographic trends. LXP Properties in Top 25 Industrial Markets (by SF)1 Midwest and Sunbelt Property Concentration2 6 1. Based on
Slide 7: Diversified Warehouse/Distribution Portfolio
LXP INDUSTRIAL TRUST Diversified Warehouse/Distribution Portfolio1 Top 10 Tenants Lease Tenants2 # of Leases % of SF3,4 % of ABR3,5 Expirations Amazon 6 2026–2033 7.3% 7.0% Nissan 2 2027 5.6% 4.9% Kellogg 3 2027–2029 5.3% 3.6% Wal-Mart 3 2024–2031 4.4% 3.3% GXO Logistics 3 2024-2028 3.2% 2.8% Watco
Slide 8: Warehouse/Distribution Rent Rollover
LXP INDUSTRIAL TRUST Warehouse/Distribution Rent Rollover1 Attractive mark-to-market opportunity based on current rents in our industrial portfolio – ~24% below market2 Lease Rollover Schedule3 $50,000 $40,000 14.2% 12.5% ($ in thousands) $30,000 11.1% 11.4% 8.8% 7.8% 7.2% 7.1% $20,000 $10,000 2.1%
Slide 9: Development Highlights
LXP INDUSTRIAL TRUST Development Highlights1 Development Land Bank (Developable Acreage) • Leased eight industrial facilities (4.8M SF) since 2021 Phoenix – 320 • Leased three industrial facilities (1.9MSF) in 2023 Indianapolis – 116 523 Acres Columbus – 73 • Available for lease - ~3.5 Million SF At
Slide 10: Development Pipeline Summary
LXP INDUSTRIAL TRUST Development Pipeline Summary Third Quarter 2023 Spec Development Current Projects Actual/Estimated # of Estimated Project Base Building % Leased (As of Estimated Project (% Owned) Buildings Market Estimated SF Cost ($000)1 Completion Date 9/30/2023) Placed In Service Date Consol
Slide 11: New Lease - Greenville-Spartanburg Development Project (Smith Farms)
LXP INDUSTRIAL TRUST New Lease -Greenville-Spartanburg Development Project (Smith Farms) 2,194,708 SF Class A Warehouse/Distribution Portfolio ▪ Located along the I-85/101 corridor in Spartanburg West, Greenville- ▪ The two larger buildings will feature cross-dock design and 40’ clear Spartanburg’s
Slide 12: New Lease - Phoenix Development Project (Cotton 303)
LXP INDUSTRIAL TRUST New Lease – Phoenix Development Project (Cotton 303) 880,678 SF Class A Warehouse/Distribution Portfolio ▪ Located in Goodyear, AZ in the Southwest Valley of Phoenix - ▪ Completed and placed in service the pre-leased 392K SF building in boasts record-breaking market dynamics dri
Slide 13: New Lease - Columbus Development Project (The Cubes at ETNA East)
LXP INDUSTRIAL TRUST New Lease –Columbus Development Project (The Cubes at ETNA East) 1,074,840 SF Class A Warehouse/Distribution Facility ▪ Located in East Columbus submarket with direct access to/frontage ▪ Achieved core and shell building completion on September 30, 2022 on I-70, adjacent to a br
Slide 14: New Project - Columbus Development Project (ETNA Building D)
LXP INDUSTRIAL TRUST New Project –Columbus Development Project (ETNA Building D) 250,020 SF Class A Warehouse/Distribution Facility ▪ Located in East Columbus submarket with direct access to/frontage ▪ Building sits on approximately 14 acres and will feature 36’ clear on I-70. height, rear-load desi
Slide 15: New Lease - Central Florida Development Project (South Shore)
LXP INDUSTRIAL TRUST New Lease -Central Florida Development Project (South Shore) 270,885 SF Class A Warehouse/Distribution Portfolio ▪ Located in Ruskin, Florida, a submarket of Tampa with direct access ▪ Completed core and shell building construction of one facility in to I-75. 2Q 2023, and comple
Slide 16: Capital Structure Details
LXP INDUSTRIAL TRUST Capital Structure Details1 Amount Interest Rate/ Debt ($ in Millions) Coupon Unsecured Credit Facility Due 2026 $ 0.0 SOFR + 0.85% Preferred Trust Equity, Preferred, Unsecured Bonds Due 2024 198.9 4.400% Mortgage 2.5% 3.3% Debt, 1.6% Unsecured Unsecured Bonds Due 2030 400.0 2.70
Slide 17: Balance Sheet Strategy
LXP INDUSTRIAL TRUST Balance Sheet Strategy Focus on sustaining a strong balance sheet and maintaining investment-grade ratings. Consolidated Debt Maturity Profile ($000’s)1 Credit Metrics Summary1 Adjusted Company FFO Payout Ratio 72.1% $450,000 2.7% 2.4% $400,000 Unencumbered Assets $4.4B $350,000
Slide 18: Corporate Responsibility
LXP INDUSTRIAL TRUST Corporate Responsibility Top-ranked environmental, social, governance, and resilience (“ESG+R”) platform ▪ Established objectives integrated throughout our investment process, contributing to our ongoing long-term success ▪ Building a responsible program that enhances both compa
Slide 19: Environmental Social
LXPINDUSTRIAL LXP INDUSTRIALTRUST TRUST Environmental Social Actions & Performance ▪ Annually evaluate sustainability opportunities to improve efficiency, reduce our operating costs and properties’ environmental footprint ▪ Circulate sustainability-focused resources for tenants and property managers
Slide 20: Governance & Resilience
INDUSTRIALTRUST LXP INDUSTRIAL TRUST Governance & Resilience Governance Actions & Performance 2023 GRESB Results ▪ Strive to implement best governance practices, mindful of the concerns ▪ Received Public Disclosure Score of 96 (A), and placed 1st in U.S. of our shareholders and operate in accordance
Slide 21: Corporate Governance
LXP INDUSTRIAL TRUST Corporate Governance Board of Trustees: Continual refresh of Board with a diverse range of relevant backgrounds JAMIE LAWRENCE T. WILSON HANDWERKER GRAY EGLIN Lead Independent Independent Chairman Trustee Trustee ▪ Chairman, CEO & President – LXP Industrial Trust ▪ Partner, KSH
Slide 22: Non-GAAP Measures-Definitions
LXP INDUSTRIAL TRUST Non-GAAP Measures-Definitions LXP has used non-GAAP financial measures as defined by Regulation G promulgated by the Securities and Exchange Commission in this presentation. LXP believes that the measures defined below are helpful to investors in measuring LXP’s performance or t
Slide 23: Non-GAAP Measures-Definitions, cont.
LXP INDUSTRIAL TRUST Non-GAAP Measures-Definitions, cont. GAAP and Cash Yield or Capitalization Rate: GAAP and cash yields or capitalization rates are measures of operating performance used to evaluate the individual performance of an investment. These measures are estimates and are not presented or
Slide 24: Appendix
LXP INDUSTRIAL TRUST Appendix 24
Slide 25: Other Property Portfolio
LXP INDUSTRIAL TRUST Other Property Portfolio Portfolio Metrics1 # of Properties 5 Square Feet 983,681 80% Net Operating Income (Millions)2 $3.3 Stabilized Portfolio % Leased3 100.0% Weighted-Average Lease Term (Years)4 1.2 Investment Grade Tenancy5 45.5% Average Age of Portfolio (Years)6 33.3 % of
Slide 26: Special Purpose Industrial Joint Venture Portfolio
LXP INDUSTRIAL TRUST Special Purpose Industrial Joint Venture Portfolio1 Square Lease Address City State Market Footage Expiration 318 Pappy Dunn Blvd. Anniston AL Anniston/Oxford, AL 276,782 2029 4801 North Park Dr. Opelika AL Columbus, GA 165,493 2042 1020 W. Airport Rd. Romeoville IL Chicago, IL
Slide 27: Office Joint Venture Portfolio
LXP INDUSTRIAL TRUST Office Joint Venture Portfolio1 Square Lease Address City State Market Footage Expiration 25 Lakeview Drive Jessup PA Philadelphia, PA 150,000 2027 3902 Gene Field Road St. Joseph MO Kansas City, MO 98,849 2027 2221 Schrock Road Columbus OH Columbus, OH 42,290 2027 500 Olde Wort
Slide 28: LXP Industrial Trust contact details
LXP INDUSTRIAL TRUST ■ ONE PENN PLAZA ■ SUITE 4015 ■ NEW YORK, NY 10119 ■ WWW.LXP.COM