Download PDF

1. Company Snapshot

1.a. Company Description

First Industrial Realty Trust, Inc.(NYSE: FR) is a leading fully integrated owner, operator, and developer of industrial real estate with a track record of providing industry-leading customer service to multinational corporations and regional customers.Across major markets in the United States, our local market experts manage, lease, buy, (re)develop, and sell bulk and regional distribution centers, light industrial, and other industrial facility types.


In total, we own and have under development approximately 64.1 million square feet of industrial space as of September 30, 2020.

Show Full description

1.b. Last Insights on FR

The recent performance of First Industrial Realty Trust, Inc. was negatively impacted by a miss on Q1 FFO estimates, with a reported $0.68 per share, missing the Zacks Consensus Estimate of $0.70 per share. This compares to FFO of $0.60 per share a year ago. Despite this, the company reported strong cash same-store NOI growth of 10.1% and a 42% increase in cash rental rates in 1Q25. Additionally, First Industrial acquired two 100% leased buildings from its Camelback 303 JV in Phoenix, totaling 796,000 square feet, with a purchase price of $120 million, net of its share of gain on sale and promote, and a cash yield of 6.4%. The company also renewed its unsecured revolving credit facility, upsizing it by $100 million to $850 million, and renewed its $200 million unsecured term loan. Furthermore, First Industrial increased its first quarter 2025 dividend to $0.445 per share, a 20.3% increase.

1.c. Company Highlights

2. First Industrial Realty Trust's 4Q 2025 Earnings: Strong FFO Growth and Rising Occupancy

First Industrial Realty Trust, Inc. reported a robust fourth-quarter 2025, with REIT funds from operations (FFO) per fully diluted share of $0.77, beating estimates of $0.76. For the full year 2025, FFO per fully diluted share was $2.96, representing a 12% increase from 2024. The company's cash same-store NOI growth for the full year 2025 was 7.1%, driven by increases in rental rates on new and renewal leasing and contractual rent bumps. Actual EPS for the quarter was in line with the reported FFO.

Publication Date: Feb -15

📋 Highlights
  • FFO Growth:: Q4 2025 FFO rose to $0.77/share (from $0.71/share), with full-year FFO up 12% to $2.96/share.
  • Acquisitions Yield:: Two properties acquired for $156M delivered a combined stabilized cash yield of 6.3%.
  • 2026 Guidance:: NAREIT FFO midpoint projected at $3.14/share, with 5–6% cash same-store NOI growth expected.
  • Renewal & Leasing Momentum:: 2025 cash rental rate growth hit 32%, with 226M sq ft leased in Q4 2025 (22% YoY rise).
  • Development Pipeline:: 2.5M sq ft pipeline, including 1.7M sq ft to be leased in 2026, with $4.5M sq ft of lease expirations (45% pre-renewed).

Operational Highlights

The company acquired two properties during the quarter, a 968,000 square-foot building in Phoenix for $125 million and a 117,000 square-foot facility in the Baltimore market for $31 million, with a combined stabilized cash yield on the net purchase price of 6.3%. The development pipeline includes 2.5 million square feet of opportunities, with 1.7 million square feet expected to be leased up in 2026. The company has recently broken ground on two new buildings, a 220,000 square-foot project in Miami and an 84,000 square-foot project in Dallas.

Guidance and Outlook

For 2026, the company expects to capitalize about $0.08 per share of interest and has a G&A expense guidance range of $42 million to $43 million. The NAREIT FFO midpoint is $3.14 per share, with a range of $3.09 to $3.19 per share. Analysts estimate next year's revenue growth at 7.6%. The company assumes average quarter-end in-service occupancy for the year will be between 94% to 95% and anticipates 2026 full-year average cash same-store NOI growth of 5% to 6%.

Valuation and Dividend

With a P/E Ratio of 31.55 and a Dividend Yield of 3.02%, the stock appears to be fairly valued. The company's ROE is 9.32%, indicating a relatively healthy return on equity. The Net Debt / EBITDA ratio is 4.52, suggesting a manageable debt burden. The company declared a first-quarter dividend of $0.50 per share, a 12.4% increase aligned with its anticipated cash flow growth.

Leasing and Market Trends

The overall leasing market showed significant activity in the fourth quarter, with a record 226 million square feet of leasing, 22% higher than a year ago. The company's cash rental rate increase on new and renewal leasing was 32% in 2025, and is expected to range from 30% to 40% in 2026. The company is seeing a pickup in leasing activity, with more inquiries, tours, and RFPs, and has a pipeline of prospects, with 1.7 million square feet of potential leases.

Data Center Opportunities and Land Bank

The company is evaluating potential uses for land holdings and existing buildings for data center opportunities, but it's a slow process. The company has a land bank with potential for development and is focused on adding to holdings in the eastern half of the country, particularly in Nashville and South Florida. The land bank is viewed as a valuable asset, and the company is open to opportunistic sales.

3. NewsRoom

Card image cap

First Industrial Realty Trust Appoints Frank E. Schmitz to Board of Directors

Mar -16

Source: prnewswire.com

Card image cap

First Industrial Realty Trust, Inc. (NYSE:FR) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Mar -14

Source: defenseworld.net

Card image cap

Cresset Asset Management LLC Boosts Stake in First Industrial Realty Trust, Inc. $FR

Mar -10

Source: defenseworld.net

Card image cap

Centersquare Investment Management LLC Sells 102,221 Shares of First Industrial Realty Trust, Inc. $FR

Feb -26

Source: defenseworld.net

Card image cap

First Majestic Silver Corp. (NYSE:AG) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Feb -26

Source: defenseworld.net

Card image cap

First Majestic Silver (NYSE:AG) Shares Up 9.3% After Better-Than-Expected Earnings

Feb -20

Source: defenseworld.net

Card image cap

Caprock Group LLC Buys New Stake in First Industrial Realty Trust, Inc. $FR

Feb -15

Source: defenseworld.net

Card image cap

First Majestic Silver (AG) Expected to Announce Earnings on Thursday

Feb -12

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (8.30%)

6. Segments

Same Store Properties

Expected Growth: 8%

Same Store Properties from First Industrial Realty Trust, Inc. achieved 8% growth driven by strong demand for industrial space, e-commerce growth, and limited supply in key markets. Additionally, the company's focus on high-quality, infill properties and strategic capital investments contributed to the growth. Furthermore, the company's ability to maintain high occupancy rates and increase rental rates also supported the growth.

(Re) Developments

Expected Growth: 12%

First Industrial Realty Trust's 12% growth is driven by increasing demand for industrial properties, e-commerce growth, and strategic acquisitions. Strong operating fundamentals, including high occupancy rates and rent growth, also contribute to the company's expansion. Additionally, the company's focus on high-barrier, infill markets and its ability to redevelop and reposition properties further support its growth momentum.

Other

Expected Growth: 6%

First Industrial Realty Trust's 6% growth is driven by increasing demand for industrial properties, e-commerce growth, and limited supply in key markets. Additionally, the company's strategic acquisitions, development projects, and strong operating performance contribute to its growth. Furthermore, the company's focus on high-barrier, high-growth markets and its ability to increase rents also support its growth momentum.

Acquired Properties

Expected Growth: 11%

The 11% growth in Acquired Properties from First Industrial Realty Trust, Inc. is driven by increasing demand for industrial spaces, strategic property acquisitions, and expansion into high-growth markets. Additionally, the company's focus on modernizing its portfolio through redevelopment and renovation projects has also contributed to the growth.

Sold Properties

Expected Growth: 4%

Strong demand for industrial properties, driven by e-commerce growth and supply chain shifts, has fueled Sold Properties' 4% growth. Additionally, First Industrial Realty Trust's strategic portfolio repositioning, focus on high-barrier markets, and effective capital allocation have contributed to this growth. Furthermore, the company's ability to capitalize on dispositions and redeploy capital into higher-yielding assets has also driven growth.

7. Detailed Products

Industrial Properties

First Industrial Realty Trust, Inc. owns and operates industrial properties, including warehouses, distribution centers, and light industrial facilities.

Rental Properties

The company offers rental properties for industrial and commercial use, providing flexible lease terms and customized solutions for businesses.

Development and Construction Services

First Industrial Realty Trust, Inc. provides development and construction services, including build-to-suit projects and property renovations.

Property Management Services

The company offers property management services, including maintenance, repairs, and administrative support for industrial properties.

Investment and Acquisition Services

First Industrial Realty Trust, Inc. provides investment and acquisition services, including property acquisition, disposition, and investment management.

8. First Industrial Realty Trust, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for First Industrial Realty Trust, Inc. is medium due to the availability of alternative industrial properties and logistics services.

Bargaining Power Of Customers

The bargaining power of customers for First Industrial Realty Trust, Inc. is low due to the company's diversified customer base and long-term leases.

Bargaining Power Of Suppliers

The bargaining power of suppliers for First Industrial Realty Trust, Inc. is medium due to the company's dependence on a few large contractors and suppliers.

Threat Of New Entrants

The threat of new entrants for First Industrial Realty Trust, Inc. is low due to the high barriers to entry in the industrial real estate market.

Intensity Of Rivalry

The intensity of rivalry for First Industrial Realty Trust, Inc. is high due to the competitive industrial real estate market and the presence of several large players.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 46.71%
Debt Cost 3.95%
Equity Weight 53.29%
Equity Cost 9.23%
WACC 6.76%
Leverage 87.64%

11. Quality Control: First Industrial Realty Trust, Inc. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
STAG Industrial

A-Score: 6.5/10

Value: 3.3

Growth: 5.4

Quality: 6.5

Yield: 7.0

Momentum: 7.0

Volatility: 9.7

1-Year Total Return ->

View Full Report
Stock-Card
Terreno Realty

A-Score: 6.2/10

Value: 2.5

Growth: 6.9

Quality: 7.4

Yield: 6.0

Momentum: 6.0

Volatility: 8.7

1-Year Total Return ->

View Full Report
Stock-Card
Rexford Industrial Realty

A-Score: 6.2/10

Value: 2.8

Growth: 6.9

Quality: 6.2

Yield: 7.0

Momentum: 6.0

Volatility: 8.3

1-Year Total Return ->

View Full Report
Stock-Card
EastGroup Properties

A-Score: 6.2/10

Value: 1.8

Growth: 6.1

Quality: 6.6

Yield: 6.0

Momentum: 7.0

Volatility: 9.7

1-Year Total Return ->

View Full Report
Stock-Card
First Industrial Realty Trust

A-Score: 6.2/10

Value: 2.1

Growth: 5.6

Quality: 6.8

Yield: 6.0

Momentum: 7.0

Volatility: 9.7

1-Year Total Return ->

View Full Report
Stock-Card
LXP Industrial Trust

A-Score: 5.9/10

Value: 3.7

Growth: 2.1

Quality: 5.6

Yield: 9.0

Momentum: 6.0

Volatility: 9.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

57.67$

Current Price

57.67$

Potential

-0.00%

Expected Cash-Flows