STAMFORD, Conn.--(BUSINESS WIRE)--Today, Land & Buildings Investment Management, LLC (together with its affiliates, "Land & Buildings,†"L&B,†"us†or "we†), a shareholder of First Industrial Realty Trust (NYSE: FR) ("First Industrial,†"FR†or the "Company†), issued a letter to shareholders detailing the insular boardroom culture at the Company and why meaningful change is needed. The full text of the letter is below: Dear fellow First Industrial Shareholders, Our engagement with F. ...

PARISFebruary 26, 2026 Commitments met in 2025 Further improvement in profitability Record cash flow from operations Solid order intake Sales of 20.9 billion euros, up 0.5% on a like-for-like basis Solid commercial momentum, with order intake up 38% over the year to 24.6 billion euros (up 47% in the second half). Secured its first Battery Energy Storage System (BESS) contract worth 225 million dollarsFurther improvement in operating margin to 977 million euros, representing 4.7% of sales, in line with the ...

Property Portfolio - As of December 31, 2025, the company owned 414 industrial properties across 19 states, totaling approximately 69.9 million square feet of gross leasable area (GLA) [31]. - As of December 31, 2025, the company owned 418 industrial properties, with 414 classified as in-service, totaling approximately 69.9 million square feet of GLA [132]. - Approximately 26.3% of the company's consolidated net operating income for the year ended December 31, 2025, was generated from properties located in California, while 11.4% came from Pennsylvania [51]. - The average annual base rent per square foot for the in-service portfolio was $8.41, with an overall occupancy rate of 94.4% [132][142]. - Approximately 94.4% of the GLA of in-service properties was leased, with no single tenant accounting for more than 6.4% of rent revenues [142]. - The company has six projects under development totaling approximately 1.1 million square feet of GLA, with an estimated total investment of $187.1 million [139]. - The company acquired four industrial properties and one income-producing land parcel for approximately $303.0 million, with an expected stabilized capitalization rate of 6.4% [140]. - The company sold seven industrial properties totaling approximately 0.3 million square feet at a weighted average capitalization rate of 6.9%, generating total gross sales proceeds of approximately $42.3 million [141]. - New leases commenced during 2025 totaled 73, covering 1.8 million square feet, with a net rent per square foot of $10.36 and a growth rate of 53.4% [144]. Financial Performance - The company's net income for 2025 was $264.1 million, down from $296.0 million in 2024 [176]. - Total revenues for the year ended December 31, 2025, increased by $57.4 million, or 8.6%, to $727.1 million compared to $669.6 million in 2024 [177]. - Revenues from same store properties rose by $34.1 million, or 5.4%, primarily due to increases in rental rates and tenant recoveries [177]. - Net income available to common stockholders decreased to $247,443,000 in 2025 from $287,554,000 in 2024, representing a decline of 13.4% [214]. - Funds from operations (FFO) available to common stockholders increased to $391,776,000 in 2025, up from $350,485,000 in 2024, reflecting a growth of 11.4% [214]. - Same store net operating income (SS NOI) rose to $487,623,000 in 2025, compared to $459,799,000 in 2024, indicating an increase of 6.0% [219]. - Same store revenues reached $659,878,000 in 2025, up from $625,807,000 in 2024, marking a growth of 5.4% [219]. - Same store property expenses increased to $161,373,000 in 2025 from $153,279,000 in 2024, which is a rise of 5.3% [219]. Debt and Liquidity - The company has approximately $726.9 million available for additional borrowings under its $850.0 million unsecured revolving credit facility as of February 11, 2026 [36]. - As of December 31, 2025, total debt amounted to $2,565.9 million, with a weighted average interest rate of 4.17% for mortgage loans and 5.48% for senior unsecured bonds [197]. - The company anticipates meeting short-term liquidity requirements primarily through cash flows generated by operating activities and proceeds from asset dispositions [193]. - The company has fixed 92.9% of its total debt, amounting to $2,379.9 million, while 7.1% is variable rate debt [206]. - The company issued $450.0 million of senior notes due January 2031 with a coupon rate of 5.25% [168]. - The company refinanced its 2022 Unsecured Term Loan, extending its maturity to January 2030 and increasing the principal amount of the 2022 Unsecured Term Loan II to $375 million [223]. Operational Strategy - The company aims to maximize total return to stockholders by increasing cash flow and property values through internal growth strategies, including renewing leases at higher rental levels and increasing occupancy rates [34]. - The company focuses on external growth by developing and acquiring industrial properties in 15 key logistics markets, which are characterized by favorable industrial real estate fundamentals [35]. - The company employs a decentralized property operations strategy, utilizing experienced regional management teams to enhance operational efficiencies [36]. - The company actively evaluates local market conditions to identify assets suitable for disposition, focusing on selling properties with lower rent growth potential [36]. Risks and Compliance - The company is subject to various risks, including fluctuations in real estate values and economic conditions that could adversely affect cash flow and occupancy rates [48]. - The company faces risks in renewing leases or finding new tenants on favorable terms, which could adversely affect financial condition and cash flow [58]. - The company may incur significant costs to comply with various federal, state, and local laws and regulations, which could adversely affect financial performance [71]. - The company is vulnerable to adverse weather events and natural disasters, which could disrupt operations and increase costs [77]. - The company faces risks related to disruptions in financial markets that could negatively impact its liquidity and ability to obtain financing [82]. - The company may become subject to litigation, which could result in significant defense costs and adversely impact financial condition and cash flow [118]. - The company is exposed to risks from joint venture arrangements, including potential financial distress of partners and conflicts of interest [73]. - The company faces risks from cybersecurity attacks, which could disrupt operations and lead to unauthorized access to sensitive information, potentially resulting in significant financial and reputational damage [116]. - The company has not experienced a cybersecurity threat or incident that resulted in a material adverse impact to its business as of the date of the report [128]. - The Audit Committee oversees cybersecurity matters, receiving regular reports from management on risk assessments and incident response activities [130]. Environmental and Sustainability Efforts - The company emphasizes environmental sustainability in its operations, with many recent development projects achieving LEED certification [40]. - Environmental expenditures for 2026 are estimated at $1.8 million, with total future costs not exceeding $4.5 million [201]. - The company maintains insurance on its properties that is deemed adequate for its operations [132]. Taxation and REIT Compliance - The company intends to operate in a manner that qualifies as a REIT under the Code and believes it is currently organized and operated in compliance with REIT requirements [106]. - If the company fails to qualify as a REIT in any taxable year, it would be subject to federal income tax at corporate rates, potentially leading to a substantial reduction in distributions to stockholders [107]. - The company may be subject to federal, state, and local taxes on income and property, which could increase tax liabilities over time and adversely affect financial condition [110]. - Changes in federal income tax laws could modify the company's tax treatment and adversely affect stockholders and unitholders [108]. - The company implements controls to avoid prohibited transactions, but disputes with the IRS could lead to a 100% penalty tax on gains from such transactions [109].

Core Viewpoint - First Industrial Realty Trust (FR) is a prominent player in the real estate investment trust (REIT) sector, focusing on industrial properties, with RBC Capital maintaining an "Outperform" rating and raising the price target to $66 from $59.62 [1] Group 1: Stock Performance - FR's current stock price is $59.62, reflecting a slight decline of 0.28% or $0.17, with a trading range between $58.94 and $60.36 during the session [2] - Over the past year, the stock reached a high of $60.79 and a low of $40.31, indicating significant price fluctuations [2] - The company has a market capitalization of approximately $7.9 billion and a trading volume of 1,113,721 shares [2] Group 2: Volatility - FR has a beta of 1.14, indicating that its share price is 14% more volatile than the S&P 500, which may appeal to investors seeking higher returns [3] - In comparison, NETSTREIT has a beta of 0.88, suggesting it is 12% less volatile than the S&P 500 [3] Group 3: Profitability Metrics - FR demonstrates strong profitability with a net margin of 34.03%, a return on equity of 9.02%, and a return on assets of 4.48%, significantly outperforming NETSTREIT [4] - NETSTREIT's metrics include a net margin of 0.10% and both return on equity and return on assets at 0.01%, highlighting FR's operational efficiency [4]

Core Viewpoint - Shares of First Industrial Realty Trust (FR) have performed well over the past year, with an 8% gain, reaching a 52-week high due to moderation in initial tariff concerns related to its exposure to West Coast ports [1] Company Performance - First Industrial Realty Trust (FR) has seen a solid performance, gaining 8% over the past year [1] - The stock has rebounded to a 52-week high, indicating strong market confidence [1] Market Concerns - Initial concerns regarding tariffs were significant due to the company's exposure to West Coast ports, but these concerns have moderated [1]

Core Viewpoint - Shares of First Industrial Realty Trust (FR) have performed well over the past year, gaining 8% and reaching a 52-week high due to moderation in initial tariff concerns related to its exposure to West Coast ports [1] Company Performance - First Industrial Realty Trust (FR) has seen a solid performance with an 8% increase in share value over the past year [1] - The company’s shares have rebounded to a 52-week high, indicating strong market confidence [1] Market Concerns - Initial concerns regarding tariffs were significant due to the company's exposure to West Coast ports, but these concerns have moderated [1]

Company Overview - Valeo is a technology company that partners with automakers and new mobility players to innovate for cleaner, safer, and smarter mobility [3] - The company has a technological and industrial leadership in four key areas: electrification, driving assistance systems, interior experience reinvention, and lighting [3] Financial Performance - Valeo reported sales of €21.5 billion in 2024 [4] - The company employs 106,100 people across 28 countries, operates 155 plants, and has 46 research and development centers as well as 18 distribution platforms as of December 31, 2024 [4] Share Capital and Voting Rights - As of January 31, 2026, Valeo's issued capital is €245,607,624 with a par value of €1 per share [1] - The total number of shares is 245,607,624, with a total of 275,982,567 theoretical voting rights and 273,294,966 exercisable voting rights [1][2]

Financial Data and Key Metrics Changes - NAREIT funds from operations (FFO) for Q4 2025 were $0.77 per fully diluted share, up from $0.71 per share in Q4 2024, representing an increase of 8.5% [13] - For the full year 2025, FFO per fully diluted share was $2.96, compared to $2.65 in 2024, marking a 12% increase [13] - Cash same-store NOI growth for 2025 was 7.1%, driven by rental rate increases and new leasing, despite lower average occupancy [13][14] - The company finished Q4 with in-service occupancy of 94.4%, an increase of 40 basis points from Q3 [14] Business Line Data and Key Metrics Changes - Total leasing for 2025 reached 941 million sq ft, the second highest year on record, and 12% higher than 2024 [8] - Cash rental rate increase on new and renewal leasing for 2025 was 32%, with a projected range of 30%-40% for 2026 [9][10] - The company signed 231,000 sq ft of leases in two developments, including a significant lease in Houston [9] Market Data and Key Metrics Changes - The overall leasing market saw a record 226 million sq ft of leasing activity in Q4 2025, a 22% increase year-over-year [7] - Vacancy in Q4 was 6.7%, with net absorption of 58 million sq ft and completions at 78 million sq ft [8] - Construction starts nationally in Q4 were 45 million sq ft, consistent with Q3 but below 2022's peak levels [8] Company Strategy and Development Direction - The company is focused on capitalizing on growth opportunities within its portfolio and new developments to enhance shareholder value [18] - The company plans to break ground on two new buildings in Q1 2026, continuing its methodical expansion strategy [11] - The company is evaluating potential higher uses for its land bank, particularly in data center opportunities [42] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating a volatile economy, emphasizing a resilient portfolio and growth opportunities ahead [6] - The company anticipates cash same-store NOI growth of 5%-6% for 2026, with a focus on maintaining occupancy levels [17] - Management noted that the leasing environment is improving, with increased tenant engagement and reduced sublet space availability [48] Other Important Information - The board declared a first-quarter dividend of $0.50 per share, a 12.4% increase aligned with anticipated cash flow growth [12] - Bad debt expense for 2025 was $700,000, better than the original guidance of $1 million, with a forecast of $1 million for 2026 [16] Q&A Session Summary Question: Update on development leasing and its impact on occupancy - Management indicated that the 1.7 million sq ft development opportunity could positively impact occupancy if leased in the second half of 2026 [20][22] Question: Status of the Denver property for lease or sale - Management confirmed active discussions with prospects for leasing the Denver property, with updates to follow [21] Question: Contribution of development projects to FFO guidance - Management stated that even without leasing the 1.7 million sq ft or the 708,000 sq ft, they would still be within the FFO guidance range [26] Question: Trends in concessions and rental rates - Management noted that concessions are flat to drifting up, with free rent averaging between half a month to one month per year of term [50] Question: Retention rates and tenant activity - The company achieved a 71% retention rate in 2025 and expects similar results in 2026, with ongoing discussions for renewals [56] Question: Activity from major tenants like Amazon and Walmart - Management reported that Amazon remains active in seeking additional space, with significant leasing activity noted in Q4 2025 [34][36]

Financial Data and Key Metrics Changes - NAREIT funds from operations (FFO) for Q4 2025 were $0.77 per fully diluted share, up from $0.71 in Q4 2024, representing an increase of 8.5% [10] - For the full year 2025, FFO per fully diluted share was $2.96, compared to $2.65 in 2024, indicating a 12% increase [10] - Cash same-store NOI growth for 2025 was 7.1%, driven by rental rate increases and new leasing, while Q4 cash same-store NOI growth was 3.7% [10][12] - In-service occupancy at the end of Q4 was 94.4%, an increase of 40 basis points from Q3 [10] Business Line Data and Key Metrics Changes - Total leasing for 2025 reached 941 million sq ft, marking a 12% increase from 2024 and the second highest year on record [5] - 3PLs represented 36% of total leasing activity, with retail and manufacturing also being significant contributors [5] - The company signed 231,000 sq ft of leases in two developments during the quarter, with a cash rental rate increase of 32% for new and renewal leasing in 2025 [6] Market Data and Key Metrics Changes - The overall leasing market saw a record 226 million sq ft of leasing activity in Q4 2025, a 22% increase year-over-year [4] - National vacancy rate in Q4 was 6.7%, with net absorption of 58 million sq ft and completions at 78 million sq ft [5] - Construction starts in Q4 were 45 million sq ft, consistent with Q3 but below 2022's peak levels [5] Company Strategy and Development Direction - The company is focused on capitalizing on opportunities within its portfolio and new developments to drive cash flow growth and enhance shareholder value [15] - The company plans to break ground on two new buildings in Q1 2026, continuing its development strategy in key markets [8] - The board declared a first-quarter dividend of $0.50 per share, a 12.4% increase, reflecting anticipated cash flow growth [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating a volatile economy and highlighted a resilient portfolio with significant growth opportunities [4] - The company anticipates cash rental rate growth of 30%-40% for 2026, with a focus on maintaining high occupancy levels [6][12] - Management noted that bad debt expense for 2025 was $700,000, better than the original guidance of $1 million, with a forecast of $1 million for 2026 [12] Other Important Information - The company successfully refinanced two term loans, enhancing its capital structure [11] - The company is evaluating potential higher uses for its land bank, particularly in data center opportunities [41] Q&A Session Summary Question: Update on development leasing and leasing activity - Management indicated that the 1.7 million sq ft of development leasing could come from a total of 2.5 million sq ft of development opportunities [17] Question: Status of the Denver property - The property is available for lease or sale, with active prospects for leasing [18] Question: Contribution of specific assets to FFO guidance - Management stated that even without leasing the 1.7 million sq ft or the 708,000 sq ft, they would still be within their FFO guidance range [22] Question: Trends in concessions and rental rates - Concessions are flat to drifting up, with free rent averaging between half a month to one month per year of term [49] Question: Retention rates and leasing activity - The overall retention rate for 2025 was 71%, with expectations for a similar rate in 2026 [55]

First Liberty Logistics Center | Houston, TX 424,560 Square Feet SUPPLEMENTAL INFORMATION FOURTH QUARTER 2025 TABLE OF CONTENTS | SECTION PAGE | | | --- | --- | | PORTFOLIO COMPOSITION | 3 | | FINANCIAL STATEMENTS | | | Balance Sheets | 4 | | GAAP Statements of Operations | 5 | | Supplemental Statements of Operations | 6 | | Supplemental Statements of Operations Reconciliation | 7 | | SELECTED FINANCIAL INFORMATION | | | Equity Analysis | 9 | | Debt Analysis | 10 | | Debt Covenant Analysis and Credit Rating ...