Bellevue, Washington, April 9, 2024–(Business Wire)–Tereno Realty Corporation (NYSE:TRNO)The company, an acquirer, owner and operator of industrial real estate in six major markets across the U.S. coast, today announced its operating, investment and capital markets activities for the first quarter of 2024.
operating
As of March 31, 2024, Tereno Realty Corporation owned 258 buildings totaling approximately 15.8 million square feet and 45 parcels of improved land comprising approximately 152.4 acres.
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The operating portfolio was 96.2% leased to 572 tenants at March 31, 2024, compared to 98.5% at December 31, 2023 and 98.1% at March 31, 2023. . As of March 31, 2024, occupancy decreased primarily due to 123,000 square feet of vacancy (approximately 80 bps at the 620 Division property in Elizabeth, NJ) and 69,000 square feet of vacancy at 140 West Avenue (approximately 40 bps). )th Acquired real estate and 40,000 square feet of vacant space (approximately 30 bps) in San Leandro, California, of which 16,000 square feet were subsequently leased with a start date of May 2024.
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The existing store portfolio of approximately 14.7 million square feet was 96.2% leased as of March 31, 2024, compared to 98.4% leased as of December 31, 2023, and 98.3% leased as of March 31, 2023. %was.
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The improved land portfolio of 45 parcels totaling approximately 152.4 acres was 94.6% leased as of March 31, 2024, 94.6% leased as of December 31, 2023, and leased as of March 31, 2023. It was 98.9%.
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Terreno Realty Corporation pre-leased 100% of County Line Corporate Park Phase IV Building 39 in Hialeah, Florida. The 10-year lease is an expansion with an existing tenant that provides turbine engine disassembly, repair, logistics and storage equipment, and is expected to begin following the completion of tenant improvements scheduled for July 2024. Terreno Realty Corporation’s County Line Corporate Building 39 is currently under construction. The park is a 178,000-square-foot, 36-foot clear-height rear-loading industrial logistics building on a 10.9-acre site with 58 dock-level and two grade-level loading locations and a 156-space parking garage. We are prepared. The building has a projected total investment of $43.8 million, an estimated stable cap rate of 5.8%, and is expected to achieve LEED certification.
investment
During the first quarter of 2024, Terreno Realty Corporation acquired two properties consisting of two buildings totaling approximately 40,000 square feet for a total purchase price of approximately $18.5 million. Investment activities for the first quarter were as follows:
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13045 SE 32n.d. Street: One industrial distribution building containing approximately 16,000 square feet on 1.8 acres adjacent to the intersection of Interstate 90 and Interstate 405 in Bellevue, Washington. The facility has three dock-level and two grade-level loading locations and parking for 22 cars. The property was acquired while vacant for a purchase price of approximately $6.5 million and an estimated stable cap rate of 5.8%. The property was then leased with his May 2024 start date.and
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181 Lombardy Street: One industrial distribution building containing approximately 24,000 square feet on a 0.7 acre site located in East Williamsburg, Brooklyn, New York, adjacent to the Brooklyn-Queens Expressway. This facility has one loading position and 10 parking spaces at dock level and grade level. The property was acquired while vacant for a purchase price of approximately $12 million and an estimated stable cap rate of 5.7%.
During the first quarter of 2024, Teleno Realty Corporation sold one property in Seattle, Washington, consisting of a 25,000 square foot industrial distribution building on a 1.5 acre site, for a sale price of approximately $11 million. did. The property was acquired by Terreno Realty Corporation in May 2016 for approximately $4.7 million. The unlevered internal rate of return generated by this investment was 16.5%.
During the first quarter of 2024, Terreno Realty Corporation began development of two properties at CountyLine Corporate Park Phase IV in Hialeah, Florida. Once completed, it will consist of a collection of approximately 322,000 square feet of industrial logistics buildings, with a total investment of approximately $79.1 million. In addition, the Company began redeveloping one of his existing properties in Gardena, California. When completed, it will consist of three industrial distribution buildings totaling approximately 228,000 square feet and is expected to represent an additional investment of $67.8 million.
As of March 31, 2024, Terreno Realty Corporation had 10 properties under development or redevelopment that, when completed, would represent approximately 1.6 million square feet, approximately 58% pre-leased. The property consists of a total of 11 buildings and one parcel of improved land of approximately 2.8 acres. , the total expected investment is approximately $483.6 million. In addition, the Company owned approximately 45.5 acres of land with rights for future development of his four buildings totaling approximately 800,000 square feet.
Terreno Realty Corporation has an approximately $448.8 million acquisition agreement. Because the proposed acquisition is subject to sufficient due diligence and completion of closing conditions, there can be no assurance that Terreno Realty Corporation will acquire the properties under the agreement.
capital market
During the first quarter of 2024, Teleno Realty Corporation completed an offering of 6,325,000 shares of common stock at a public offering price of $62.00 per share, receiving gross proceeds of $392.2 million. The Company intends to use the net proceeds from this offering to finance future acquisitions, development and redevelopment of real estate, and for other general corporate purposes.
Additionally, Terreno Realty Corporation issued 2,353,278 shares of its common stock at a weighted average offering price of $64.00 per share under the company’s on-market stock offering program and received gross proceeds of $150.6 million. Terreno Realty Corporation did not repurchase any common stock pursuant to our stock repurchase authorization.
As of March 31, 2024, there were no outstanding borrowings under Terreno Realty Corporation’s $400 million revolving credit facility. Terreno Realty Corporation has one of his $100 million senior unsecured notes due in 2024 and no debt due in 2025.
Additional information is available on our website at www.terreno.com. Terreno Realty Corporation expects to file its quarterly report on Form 10-Q for the quarter ended March 31, 2024 on or about May 8, 2024.
Terreno Realty Corporation acquires, owns and operates industrial properties in six major U.S. coastal markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami and Washington, DC.
Forward-looking statements
This press release contains forward-looking statements within the meaning of federal securities laws. The Company cautions investors that forward-looking statements are based on management’s beliefs, assumptions made by management and information currently available to management. When used: “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “could,” “plan,” “predict” , “result”, “should”, “will”, “seek”, “goal”, “see”, “possibility”, “position”, “opportunity”, “prospect”, “possibility” , “future” and similar expressions that do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties and assumptions and are not guarantees of future performance. Future performance may be affected by known and unknown risks, trends, uncertainties and factors beyond our control. estimated forecasts related to the Stabilized Cap Rate and risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2023 and other public filings; If one or more of these risks or uncertainties materialize, or if the underlying assumptions prove incorrect, actual results could differ materially from those anticipated, estimated or projected. There is a gender. The Company expressly disclaims any responsibility to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Accordingly, investors should use caution when relying on historical forward-looking statements that are based on results and trends as of the date they are made to predict future results and trends.
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contact address
Teleno Realty Corporation
Jamie Cannon, 415-655-4580
