Lxp Industrial Trust · NYSE:LXP
Lxp Industrial Trust — Q4 2023 Earnings Presentation
23 slides from Lxp Industrial Trust's earnings presentation, Feb 15, 2024
Slide 1: Investor Presentation Fourth Quarter 2023
Investor Presentation Fourth Quarter 2023
Slide 2: Forward-Looking Statements and Other Disclosure
LXP INDUSTRIAL TRUST Forward-Looking Statements and Other 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 statemen
Slide 3: LXP Industrial Trust Overview
LXP INDUSTRIAL TRUST LXP Industrial Trust Overview1 30 Years $5.1B 54.3M 100% 77% 32% Publicly-Traded Gross Assets SF2 Leased2 Top 25 Green Building Markets3 Certified2 Strategic Business Plan Focused on Delivering Value Industrial Portfolio Attributes Industrial REIT with a high-quality portfolio o
Slide 4: 2023 Execution and Achievement
LXP INDUSTRIAL TRUST 2023 Execution and Achievement1 Significant progress made on building out development platform, increasing rents and strengthening financial profile. Investment Activity ▪ Development 4.2 Million Activity SF of Industrial Development Core and Shell Construction Completed ▪ 1.8 M
Slide 5: Market and Investment Opportunity
LXP INDUSTRIAL TRUST Market and Investment Opportunity Market and portfolio dynamics creating opportunity for future growth. Market Opportunity Implied Cap Rate2 10% ▪ Lack of new spec construction starts to help stabilize 8% 7.2% 7.7% supply/demand imbalance 6% 5.4% 4% ▪ Potential interest rate dec
Slide 6: Warehouse/Distribution Pure-Play Portfolio
LXP INDUSTRIAL TRUST Warehouse/Distribution Pure-Play Portfolio1 High-quality, Class A warehouse/distribution properties with modern specs in top markets. Portfolio Metrics Building Metrics 112 54.3M 6.0 Years 487,919 SF 33.0’ Properties SF Weighted-Average Average Building Size Average Clear Lease
Slide 7: Diversified by Tenant, Market and Industry
LXP INDUSTRIAL TRUST Diversified by Tenant, Market and Industry1 Top 10 Tenants Phoenix 3.8% Tenants2 % of SF3,4 % of ABR3,5 11.7% Greenville/Spartanburg 5.2% Amazon 7.1% 6.9% Atlanta Nissan 5.4% 4.8% 5.3% Memphis Kellogg 5.1% 3.6% 5.4% Top 10 9.6% Houston Black and Decker 4.2% 3.5% Wal-Mart 4.3% 3.
Slide 8: 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 77% Industrial Markets (by SF)1 of Portfolio in Top 25 Markets1 Midwest and Sunbelt Pr
Slide 9: Warehouse/Distribution Rent Rollover
LXP INDUSTRIAL TRUST Warehouse/Distribution Rent Rollover1 Attractive mark-to-market opportunity based on current rents in our industrial portfolio – ~23% below market.2 Lease Rollover Schedule3 $50,000 $40,000 14.0% 13.5% 12.4% ($ in thousands) 11.3% $30,000 8.4% $20,000 6.9% 6.8% 4.4% 4.6% $10,000
Slide 10: Recent Successful Leasing Outcomes
LXP INDUSTRIAL TRUST Recent Successful Leasing Outcomes 1 Notable leasing outcomes contribute to increased revenue and improved internal growth profile. Property Market Atlanta Dallas Square Footage 370,000 501,000 Rental Increases ~79% - Base Rent ~58% - Base Rent ~62% - Cash Base Rent ~32% - Cash
Slide 11: Development Program Highlights
LXP INDUSTRIAL TRUST Development Program Highlights1 Development Program Enhances External and Internal Growth Profile Spec Development Program 2.5 ▪ 8.5 Million SF of development core and shell construction 1.09 0.25 Square Feet (in millions) completed (14 facilities) ▪ 4.8 Million SF leased/placed
Slide 12: Development Pipeline Summary
LXP INDUSTRIAL TRUST Development Pipeline Summary Fourth Quarter 2023 Spec Development Current Projects # of Estimated Project Base Building % Leased (As of Project (% Owned) Buildings Market Estimated SF Cost ($000)1 Completion Date 12/31/2023) Placed In Service Date Consolidated Development Projec
Slide 13: Proforma Capital Structure Details
LXP INDUSTRIAL TRUST Proforma Capital Structure Details1 Amount Interest Rate/ Debt ($ in Millions) Coupon Unsecured Credit Facility Due 2026 $ 0.0 SOFR + 0.85% Preferred Trust Equity, Preferred, Unsecured Bonds Due 2028 300.0 6.750% Mortgage 2.3% 3.0% Debt, 1.4% Unsecured Term Debt, Unsecured Bonds
Slide 14: Balance Sheet Strategy
LXP INDUSTRIAL TRUST Balance Sheet Strategy1 Focus on sustaining a strong balance sheet and maintaining investment-grade ratings. Proforma Consolidated Debt Maturity Profile ($000’s)2,3 Credit Metrics Summary $600,000 Adjusted Company FFO Payout Ratio 72.1% $500,000 2.7% 2.4% Unencumbered Assets $4.
Slide 15: 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 16: 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 17: 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 18: 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 19: Non-GAAP Measures-Definitions, cont.
LXP INDUSTRIAL TRUST Non-GAAP Measures-Definitions, cont. Net Operating Income (NOI): NOI is a measure of operating performance used to evaluate the individual performance of an investment. This measure is not presented or intended to be viewed as a liquidity or performance measure that presents a n
Slide 20: Appendix
LXP INDUSTRIAL TRUST Appendix 20
Slide 21: Other Property Portfolio; Office Joint Venture Portfolio
LXP INDUSTRIAL TRUST Other Property Portfolio1 Square Lease Address City State Property Type Footage Expiration 3476 Stateview Blvd2 Fort Mill SC Office 169,083 2024 3480 Stateview Blvd2 Fort Mill SC Office 169,218 2024 30 Light Street Baltimore MD Other - 2048 Office Joint Venture Portfolio1 Square
Slide 22: 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 23: LXP Industrial Trust, One Penn Plaza, New York
LXP INDUSTRIAL TRUST ■ ONE PENN PLAZA ■ SUITE 4015 ■ NEW YORK, NY 10119 ■ WWW.LXP.COM