First Industrial Realty Trust, Inc. (FR) Bundle
An Overview of First Industrial Realty Trust, Inc. (FR)
General Overview of First Industrial Realty Trust, Inc. (FR)
First Industrial Realty Trust, Inc. (FR) is a leading real estate investment trust (REIT) focused on industrial properties, particularly in key U.S. markets. Established in 1994, the company has grown its portfolio significantly, emphasizing the acquisition, development, and management of high-quality industrial properties. As of 2024, FR operates approximately 45 million square feet of space across more than 200 properties, catering primarily to logistics and distribution tenants.
In 2024, First Industrial Realty Trust reported total sales reaching approximately $494 million, showcasing its robust operational capacity and market presence.
Company's Financial Performance in the Latest Financial Reports
For the three months ended September 30, 2024, First Industrial Realty Trust achieved a net income of $102.2 million, up from $77.1 million in the same period of 2023, marking a growth of 32.5%. Total revenues for Q3 2024 were $167.6 million, an increase of 8.1% compared to $155.1 million in Q3 2023. This revenue growth was driven primarily by:
- Revenues from same-store properties: $149.0 million (up 4.4% year-over-year)
- Revenues from acquired properties: $1.5 million (344% increase)
- Revenues from (re)developments: $13.0 million (238.1% increase)
- Other revenues: $4.1 million (13.8% increase)
| Financial Metrics | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Net Income | $102.2 million | $77.1 million | +32.5% |
| Total Revenues | $167.6 million | $155.1 million | +8.1% |
| Same Store Revenues | $149.0 million | $142.8 million | +4.4% |
| Acquired Properties Revenues | $1.5 million | $0.3 million | +344% |
| (Re)Developments Revenues | $13.0 million | $3.9 million | +238.1% |
For the nine months ended September 30, 2024, the company reported a net income of $225.5 million, compared to $194.1 million in 2023. Total revenues for this period were $494.1 million, an 8.2% increase from $456.8 million in 2023. The substantial growth in revenues was attributed to:
- Same-store property revenues: $442.6 million (up 4.4% year-over-year)
- Acquired properties revenues: $3.5 million (347.6% increase)
- Revenues from (re)developments: $28.5 million (361.1% increase)
- Other revenues: $13.2 million (12.2% increase)
Introduction to First Industrial Realty Trust, Inc. as an Industry Leader
First Industrial Realty Trust, Inc. holds a prominent position in the industrial real estate sector, characterized by its strategic focus on logistics and distribution facilities. The company has demonstrated resilience and adaptability in a competitive market, leveraging its extensive network and industry expertise to deliver strong financial performance. As of September 30, 2024, the company maintained an average occupancy rate of 95.0% across its portfolio, reflecting its successful leasing strategies and tenant relationships.
With ongoing developments and a commitment to enhancing its property portfolio, First Industrial Realty Trust is well-positioned to capitalize on emerging market opportunities. Investors and stakeholders are encouraged to explore further details below to understand the driving factors behind the company's sustained success.
Mission Statement of First Industrial Realty Trust, Inc. (FR)
Overview of Company's Mission Statement
The mission statement of First Industrial Realty Trust, Inc. (FR) is a guiding principle that outlines the company's purpose and commitment to its stakeholders. It emphasizes the focus on delivering high-quality products and services, ensuring customer satisfaction, and creating value for investors while maintaining a sustainable approach to real estate investment and management. This mission statement serves as a framework for the company's long-term goals and strategic initiatives.
Core Component 1: Delivering High-Quality Products and Services
First Industrial Realty Trust is committed to providing high-quality industrial real estate solutions. The company focuses on acquiring, developing, and managing properties that meet the evolving needs of its tenants. In 2024, the company reported total revenues of $494.1 million for the nine months ended September 30, a year-over-year increase of 8.2% from $456.8 million in the same period of 2023.
Furthermore, the average daily occupancy rate for same-store properties remained strong at 96.8% for the nine months ended September 30, 2024, compared to 97.9% in the prior year. This reflects the company's ability to effectively manage its portfolio and meet tenant demands.
| Metric | 2024 | 2023 | Change (%) |
|---|---|---|---|
| Total Revenues ($ in millions) | 494.1 | 456.8 | 8.2 |
| Average Daily Occupancy Rate (%) | 96.8 | 97.9 | (1.1) |
Core Component 2: Ensuring Customer Satisfaction
Customer satisfaction is paramount to First Industrial Realty Trust's mission. The company aims to build long-term relationships with its tenants by providing exceptional service and support. In 2024, the company achieved a significant increase in cash rental rates, with new and renewal leases reflecting a 52.9% increase. This demonstrates the company's ability to maintain strong tenant relationships and adapt to market conditions.
The company also focuses on tenant recoveries, which contributed to revenue growth. Revenues from same-store properties increased by $18.7 million primarily due to increases in rental rates and tenant recoveries.
Core Component 3: Creating Value for Investors
First Industrial Realty Trust is dedicated to creating value for its investors through strategic property acquisitions and effective portfolio management. The company reported a net income of $225.5 million for the nine months ended September 30, 2024, compared to $194.1 million in the same period of 2023, reflecting a year-over-year increase of 16.2%. This robust financial performance underscores the company's commitment to maximizing shareholder returns.
The company has also increased its cash dividends, declaring $0.37 per share for the first three quarters of 2024, representing a 15.6% increase from the previous year's quarterly rate. This consistent dividend growth is a testament to the company's focus on delivering value to its shareholders.
| Metric | 2024 | 2023 | Change (%) |
|---|---|---|---|
| Net Income ($ in millions) | 225.5 | 194.1 | 16.2 |
| Cash Dividends per Share ($) | 0.37 | 0.32 | 15.6 |
Vision Statement of First Industrial Realty Trust, Inc. (FR)
Vision Statement Overview
First Industrial Realty Trust, Inc. (FR) aims to be the leading provider of industrial real estate solutions in the United States, focusing on high-quality properties that meet the evolving needs of customers across diverse sectors.
Commitment to Quality
FR is dedicated to maintaining a portfolio of high-quality industrial properties, with a focus on strategic locations and modern facilities. As of September 30, 2024, the company reported a net investment in real estate of approximately $4.7 billion, which includes:
| Asset Type | Value (in millions) |
|---|---|
| Land | $1,761.9 |
| Buildings and Improvements | $3,887.4 |
| Construction in Progress | $118.6 |
| Less: Accumulated Depreciation | ($1,062.3) |
| Total Net Investment | $4,705.6 |
Sustainability Initiatives
As part of its vision, FR is committed to sustainability and environmental responsibility. The company has implemented various initiatives aimed at reducing its carbon footprint and enhancing energy efficiency. For instance, in 2024, FR commenced speculative development of four industrial buildings totaling approximately 1.2 million square feet of GLA in environmentally friendly designs.
Customer-Centric Approach
FR places a strong emphasis on meeting the needs of its tenants through responsive service and tailored solutions. The company achieved a 52.9% increase in cash rental rates for new and renewal leases during the nine months ended September 30, 2024. This reflects its commitment to maximizing tenant satisfaction while ensuring robust financial performance.
Growth and Expansion
FR's vision includes strategic growth through acquisitions and developments. During the nine months ended September 30, 2024, the company acquired five industrial properties for a total purchase price of $44.8 million, expanding its footprint in key markets such as Houston and Southern California. Additionally, FR sold 17 industrial properties for gross proceeds of $138.3 million, demonstrating its active management of the portfolio to optimize returns.
Financial Performance
FR reported strong financial results, with net income of $225.5 million for the nine months ended September 30, 2024, compared to $194.1 million for the same period in 2023. The company’s total revenues increased by 8.2% to $494.1 million, driven by growth in both same store and acquired properties.
| Financial Metric | 2024 (in thousands) | 2023 (in thousands) | % Change |
|---|---|---|---|
| Total Revenues | $494,053 | $456,751 | 8.2% |
| Net Income | $225,547 | $194,148 | 16.2% |
| Occupancy Rate | 95.0% | 97.9% | -2.9% |
Core Values of First Industrial Realty Trust, Inc. (FR)
Integrity
The core value of integrity at First Industrial Realty Trust, Inc. (FR) emphasizes the importance of honesty and transparency in all business dealings. This value is crucial for building trust with stakeholders, including investors, tenants, and employees.
In 2024, First Industrial Realty Trust showcased its commitment to integrity through its robust governance practices. The company maintained a transparent reporting framework, ensuring all financial disclosures were completed accurately and in a timely manner. For instance, the net income for the nine months ended September 30, 2024, was reported at $225.5 million, an increase from $194.1 million in the same period in 2023.
Excellence
Excellence is a core value that drives First Industrial Realty Trust to continuously improve its services and operations. This value is reflected in the company's commitment to high-quality property management and customer service.
In 2024, the average daily occupancy rate of same-store properties was 96.8%, slightly down from 97.9% in the prior year. Nonetheless, revenues from same-store properties increased by 4.4% year-over-year, indicating effective management and operational excellence.
Innovation
Innovation is a key value for First Industrial Realty Trust, fostering a culture that embraces new ideas and technologies to enhance operational efficiency. In 2024, the company embarked on several development projects that exemplified this commitment.
During the nine months ended September 30, 2024, First Industrial Realty Trust commenced speculative development of four industrial buildings totaling approximately 1.2 million square feet of GLA, located in strategic markets such as Houston, Nashville, and South Florida.
Collaboration
Collaboration is vital for First Industrial Realty Trust, as it relies on strong partnerships with tenants, investors, and local communities. This value fosters teamwork and shared success.
In 2024, the company executed nine leases at development properties, totaling 2.8 million square feet. This collaborative approach not only maximized occupancy rates but also ensured that tenant needs were met effectively.
Sustainability
Sustainability is a core value that underscores First Industrial Realty Trust's commitment to environmentally responsible practices in real estate. The company actively seeks to minimize its environmental footprint through various initiatives.
As of September 30, 2024, First Industrial Realty Trust had five projects under development with an estimated investment of approximately $183.4 million, focusing on sustainable building practices.
| Core Value | Description | 2024 Key Initiative | Performance Metric |
|---|---|---|---|
| Integrity | Commitment to honesty and transparency. | Timely financial disclosures. | Net Income: $225.5 million |
| Excellence | Continuous improvement of services and operations. | High occupancy rates. | Average Daily Occupancy: 96.8% |
| Innovation | Embracing new ideas and technologies. | Speculative development projects. | 1.2 million square feet under development. |
| Collaboration | Building strong partnerships. | Executing new leases. | 2.8 million square feet leased. |
| Sustainability | Commitment to environmentally responsible practices. | Investment in sustainable projects. | $183.4 million in new developments. |
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Resources:
- First Industrial Realty Trust, Inc. (FR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of First Industrial Realty Trust, Inc. (FR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View First Industrial Realty Trust, Inc. (FR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.