First Industrial Realty Trust, Inc. · NYSE:FR
First Industrial Realty Trust — Jefferies Real Estate Conference 2024
26 slides from First Industrial Realty Trust's conference presentation, December 2024
Slide 1: Jefferies Real Estate Conference December 2024
J effe r i e s Re a l E stat e C o n fe re n c e December 2024
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
C O M PA N Y OV E RV I E W First State Crossing – Philadelphia 358,848 SF | Built in 2024 FIRST INDUSTRIAL REALTY TRUST, INC. | 3
Slide 4: Strategy to Create Value
Strategy to Create Value U.S. industrial platform focused on 15 key logistics markets with a coastal orientation Focus on distribution/logistics properties critical to customers’ supply chains Drive cash flow growth by: • lease-up of developments • increasing rents • capturing rental rate escalation
Slide 5: Recent Highlights
Recent Highlights (1) DEVELOPMENT LEASING HIGHLIGHTS (1) • 100%, 461 KSF, First Pioneer Logistics Center, Inland Empire 95.0% 7.7% (2) (3) • 31%, 61 KSF, First 76 Logistics Center, Denver (project is 50% leased) • 2.9 MSF development leases signed 3Q YTD vs. 2.8 MSF in initial ’24 guidance − More th
Slide 6: Portfolio Composition
Portfolio Composition (1) (2) % of Rental Revenue as of September 30, 2024 Diverse Tenant Base 897 tenants Top 20 = 27.2% Infill Portfolio Portfolio is within 30 miles of 3.8M avg. population with household income ≈ 11% greater than US median Development Impact 29.4 MSF added since 2012 ≈ 44% of in-
Slide 7: U.S. Industrial Market Landscape
U.S. Industrial Market Landscape • National Market Metrics – 3Q24 INDUSTRIAL SUPPLY & DEMAND (MSF) − Vacancy 5.8% − Net Absorption 180 MSF for trailing four quarters ending 3Q24 630 633 − Completions 499 MSF for trailing four quarters ending 3Q24 520 508 − Under Construction 248 MSF − 30% pre-leased
Slide 8: Construction Starts Decline; Pipelines Shrink
Construction Starts Decline; Pipelines Shrink CONSTRUCTION STARTS (MSF) UNDER CONSTRUCTION (MSF) Construction Starts 47% 41% 36% 34% 32% 32% 31% 29% 29% 30% 28% 26% 24% 24% 25% 67 95 117 100 111 100 114 86 68 66 48 46 40 51 36 376 410 449 514 545 627 662 668 630 589 492 380 324 292 248 1Q21 2Q21 3Q2
Slide 9: Key Portfolio Cash Flow Metrics
Key Portfolio Cash Flow Metrics As of September 30, 2024 CASH RENTAL RATES (3) CASH SAME STORE NOI OCCUPANCY (period average) (full year) 100% 60% 58.3% 12% 98.8% 98.1% ±50.0% 10.1% 98% 97.6% 50% 10% 8.4% 40% ±8.0% 96% 95.7% 95.5% ±95.45% 8% 30% 26.7% 94% 6% 5.3% 20% 16.2% 4.4% 13.9% 13.5% 92% 10% 4
Slide 10: Financial Performance
Financial Performance (1) FFO PER SHARE DIVIDEND PER SHARE First Elm Logistics Center – Inland Empire 83,140 SF | Built in 2023 $1.50 $2.80 $1.40 $1.48 $2.60 $2.63 $2.40 $1.30 $2.42 $1.28 $2.20 $1.20 $2.27 $2.00 $1.10 $1.18 $1.80 $1.97 $1.00 $1.08 $1.80 $1.00 $1.60 $1.74 $0.90 $0.92 $1.40 $0.80 '19
Slide 11: Corporate Responsibility
Corporate Responsibility Responsible Development Environmentally-friendly features; 6.3 MSF LEED certified; committed to certifying all future developments Improving Energy Efficiency Efficient lighting: 94% of total SF, 59% LED Water Conservation Increasing use of sensors, drought-resistant landsca
Slide 12: Investment Activity
I N V ES T M E N T A C T I V I T Y First Stockton Logistics Center – NorCal 1,015,791 SF | Built in 2024 FIRST INDUSTRIAL REALTY TRUST, INC. | 12
Slide 13: Development Strategy & Value Creation
Development S t r a t e g y & Va l u e C r e a t i o n • Emphasis on land-constrained coastal-oriented markets • Primarily speculative development with select build-to-suits • Best-in-class buildings with flexibility to serve single or multiple tenants • Platform to execute: source, entitle, develop
Slide 14: 3Q24 Development Start
3Q24 Development Start First Rockdale VII | Nashville 317 KSF Developable Square Feet 541,500 Rockdale VII 541,500 SF Est. Investment $54.0M U/C $/SF $100 % Leased 0% Est. Cash Yield 7.1% Strong Industrial Drivers in Nashville (1) • Low vacancy of 2.7%; asking rent growth 6.3% in ’23 and 6.0% in ‘24
Slide 15: Developments Under Construction
Developments Under Construction As of September 30, 2024 Estimated % Estimated Property Market SF $/SF Investment ($M) Leased (1) Completion First Park Miami - Building 3 South Florida 198,112 49.7 251 0% 2Q25 First Pompano Logistics Center South Florida 59,912 14.7 245 0% 2Q25 First Liberty Logisti
Slide 16: Completed Developments In Lease-Up, Not In Service
Completed Developments In Lease-Up, Not In Ser vice As of September 30, 2024 Estimated % Property Market SF $/SF Completion Investment ($M) Leased (1) First Wilson II Inland Empire 154,559 29.3 190 0% 1Q24 First Rider Logistics Center Inland Empire 324,379 44.2 136 0% 1Q24 First Harley Knox Logistic
Slide 17: Developments Placed In Service - 2024
Developments Placed In Ser vice - 2024 Leasing Status as of September 30, 2024 Estimated % Placed Property Market SF $/SF Investment ($M) Leased (1) In Service Date First 92 NorCal 37,056 20.4 551 100% 1Q24 First Loop Logistics Park – Orlando 107,984 14.6 135 0% 1Q24 Building 4 First Logistics Cente
Slide 18: Developments Placed In Service - 2023
Developments Placed In Ser vice - 2023 Leasing Status as of September 30, 2024 Estimated % Placed Property Market SF $/SF Investment ($M) Leased (1) In Service Date First Lehigh Logistics Center Central PA 105,000 15.6 149 100% 1Q23 First Loop Logistics Park – Bldgs. 1 & 2 Orlando 152,826 23.3 152 1
Slide 19: South Florida Value Creation
South Florida Value Creation First Park Miami | Medley Submarket Bldg. Size Leased % GAAP Investment Cash Yield Complete 1 219,040 100% $42.1 5.8% 2 258,925 100% $42.2 5.8% 9 132,751 100% $21.8 7.9% 10 198,108 100% $38.0 7.8% 11 200,264 100% $32.8 7.1% 13 56,404 100% $15.0 6.4% 12 135,707 34% $33.7
Slide 20: Phoenix Value Creation
Phoenix Value Creation C a m e l b a c k 3 0 3 J o i n t Ve n t u re a n d P V 3 0 3 Camelback 303 – Joint Venture FR Interest = 43% Glendale, AZ JV Buildings In Process (3 Bldgs.) (1) Size 1.8 MSF Est. Investment $224.0M PV 303 – Balance Sheet $/SF $124 Goodyear, AZ % Leased 45% 3Q23 Balance Sheet
Slide 21: Strategically Located Land to Drive Growth
Strategically Located Land to Drive Growth As of September 30, 2024 Market Acres Chicago 137 27 Dallas 42 KSF Denver 55 Inland Empire 291 0.8 Lehigh Valley 66 2.6 MSF MSF Miami 48 (1) 0.2 0.7 Nashville 26 MSF MSF Orlando 194 0.3 5.4 MSF Northern California 13 MSF Seattle 2 0.7 Other Land Sites 50 MS
Slide 22: Balance Sheet Strength
BALANCE SHEET STRENGTH First Rockdale IV – Nashville 500,240 SF | Built in 2022 FIRST INDUSTRIAL REALTY TRUST, INC. | 22
Slide 23: Strong Balance Sheet
Strong Balance Sheet TOTAL LEVERAGE (1) (DEBT + PREFERRED) TO EBITDA FIXED CHARGE COVERAGE (1) 6.0 (annualized) 6.0 40% 5.5 5.0 5.4x 35% 5.2x 5.1x 5.1x 4.9x 4.7x 5.0 4.8x 4.0 4.5x 4.5x 4.5x 30% 27.8% 27.6% 26.1% 25.8% 4.6x 4.6x 24.2% 24.6% 25% 4.5 3.0 20% 4.0 2.0 2019 2020 2021 2022 2023 3Q24 2019 2
Slide 24: Manageable Maturity Schedule
Manageable Maturity Schedule No Maturities Until 2026 Assuming Exercise of Extension Options As of September 30, 2024 Secured Debt Unsecured Notes Line of Credit Unsecured Term Loans 900 800 (3) Weighted Average Maturity = 4.0 years (1) 700 300 Weighted Average Interest Rate = 3.98% 600 Line of Cred
Slide 25: Conclusion
C O N C LU S I O N First Liberty Logistics Center – Houston 424,560 SF | Est. Completion 3Q25 FIRST INDUSTRIAL REALTY TRUST, INC. | 25
Slide 26: First Industrial's Investment Strengths
First Industrial’s Investment Strengths Future Cash Flow Growth Ability to grow cash flow and dividends through rent growth opportunities in our portfolio, lease-up of developments that are largely funded, and rental rate escalators embedded in our leases Focus Targeting investment in 15 key logisti
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