Adding catalysts to its top line, industrial real estate
investment trust (REIT) -
Terreno Realty Corporation
) - disclosed two lease extension deals at its industrial
properties in South Brunswick, N.J. and Doral, Fla.
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Projected to lower the company's estimated 2014 lease expirations
by around 40% (as of Jun 30, 2013) the deals are a strategic fit
for the company as the moves would help it enjoy steady revenue
from these properties in the upcoming quarters.
At its South Brunswick property, the deal is penned with Terreno
Realty's largest tenant by square footage, for an extension for a
1-year period of 413,092 square feet of space. The lease will
expire on Mar 2015.
The other deal involved a lease extension for one year inked with
the company's largest tenant at the Americas Gateway project
(acquired in May 2013) in Doral. The lease is for 56,800 square
feet of space and will be terminated in Jan 2015.
Terreno Realty owns and operates industrial real estate
properties mainly in 6 major coastal markets of the U.S. - the
high barriers-to-entry markets of Los Angeles; Northern New
Jersey/New York City; San Francisco Bay Area; Seattle; Miami; and
Washington, D.C./Baltimore. Lately, Terreno Realty has been
active in capitalizing on opportunities to strengthen its
foothold in these areas and opted for acquisitions as well as
lease extension and renewal deals.
Last month, Terreno Realty announced the acquisition of an
industrial property in Newark, N.J. The company shelled out about
$15.0 million for this trans-shipment industrial building
spanning 52,000 square feet across 9.4 acres and is 100% leased.
Earlier, in June, Terreno Realty purchased an industrial property
in West Caldwell, N.J. stretching over 93,000 square feet across
8.9 acres (100% leased) for approximately $6.8 million.
Terreno Realty currently holds a Zacks Rank #3 (Hold). REITs that
are performing better and deserve a look include
Extra Space Storage Inc.
Highwoods Properties Inc.
), all carrying a Zacks Rank #2 (Buy).