Loading...
•
Dec 31, 2020
First Industrial Q4 2020 Earnings Report
First Industrial reported a strong finish in the fourth quarter, marked by key lease signings and solid portfolio performance.
Key Takeaways
First Industrial Realty Trust reported fourth-quarter EPS of $0.65, compared to $0.76 a year ago and FFO of $0.44 per share/unit on a diluted basis, compared to $0.45 per share/unit a year ago. In service occupancy was 95.7% at the end of the fourth quarter of 2020.
In service occupancy was 95.7% at the end of the fourth quarter of 2020.
Rental rates increased 10.4% on a cash basis in the fourth quarter.
Tenant retention of square footage up for renewal was 80.6% for the fourth quarter.
Signed 1.2 Million Square Feet of New Leases for Developments in the Fourth Quarter
First Industrial
First Industrial
Forward Guidance
The company initiated 2021 FFO guidance at a range of $1.85 to $1.95 Per Share/Unit.
Positive Outlook
- Net Income guidance: $1.06 to $1.16 Per share/unit
- Real Estate Depreciation/Amortization: 0.98
- Average quarter-end in service occupancy of 95.5% to 96.5%.
- Same store NOI growth on a cash basis before termination fees of 3.0% to 4.0% for the full year.
- General and administrative expense of approximately $33.0 million to $34.0 million.
Challenges Ahead
- Projected Gain on Sale of Real Estate: (0.19)
- 2021 bad debt expense of $2.0 million which is consistent with last year’s pre-pandemic assumption
- Includes the incremental costs expected in 2021 related to the Company’s developments completed and under construction as of December 31, 2020 and the aforementioned first quarter 2021 starts of First Park @ PV303 Building C, First Rockdale IV and First Wilson Logistics Center I.
- The Company expects to capitalize $0.05 per share of interest in 2021.
- Reflects the expected payoff of an approximately $57.7 million secured debt maturity in the third quarter with an interest rate of 4.85%.