Chicago-based First Industrial Realty Trust Inc. recently revealed Q2 results showing that diluted net income available to common stockholders per share (EPS) was $0.32 in the second quarter, compared to $0.43 a year ago. First Industrial’s second quarter FFO was $0.38 per share/unit on a diluted basis, compared to $0.36 per share/unit a year ago. Second quarter 2017 results included a $0.01 per share impact from income tax related to the sale of a property from the Company’s taxable REIT subsidiary.
According to the firm’s Peter Baccile, president and CEO, the US industrial real estate market continues to exhibit healthy fundamentals that provide a supportive environment for continuing market rent growth.
He adds that “Our results reflect the underlying strength of the market and our team’s efforts to drive future cash flow growth and value from our portfolio and new investments.”
Results from Q2 include the following:
In service occupancy was 95.7% at the end of the second quarter, compared to 95.8% at the end of the first quarter of 2017, and 95.8% at the end of the second quarter of 2016. Sales contributed 30 basis points to second quarter 2017 occupancy as compared to the first quarter of 2017.
Tenants were retained in 79.5% of square footage up for renewal.
Same property cash basis net operating income (NOI) increased 4.2%. Including lease termination fees, same property NOI increased 4.3%.
Rental rates increased 9.2% on a cash basis and increased 19.7% on a GAAP basis; leasing costs were $1.90 per square foot.