Terreno Posts Q1 Operating, Investment & Capital Activities

Shutterstock photo

Terreno Realty Corporation TRNO has provided insights on its first-quarter 2019 operating, investment and capital market activities.

Terreno's assets experienced a solid demand for space on the back of improving fundamentals of industrial markets. This helped the company properties to be 98.1% leased as of Mar 31, 2019.

The same-store portfolio of approximately 12 million square feet was 99% leased as of Mar 31, 2019, compared with 99.1% at the end of the prior quarter. Further, cash rents on new and renewed leases for 1 million square feet of space commencing during the quarter increased 14.5%.

In fact, in the past three months, shares of this Zacks #2 (Buy) Ranked company have outperformed the  industry . While its shares have gained 18.7%, the industry rallied 13.1% during this period.

You can see  the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .

In sync with its strategy of acquiring industrial properties in strategic locations, this San Francisco-based real estate investment trust (REIT) purchased three industrial properties and two improved land parcels in the first quarter, for a total price of $63.1 million.

Specifically, it purchased a 28,000-square-foot property at 48 3 rd  Street and 286 Central Avenue for approximately $14.1 million. The company also acquired a transshipment building at 56-85 49 th  Street in Maspeth Queens, NY, for $24 million. 

On the disposition front, Terreno sold an industrial distribution building - situated in Corona, CL- covering 90,000 square feet, for $12.4 million. It was purchased in 2014 for nearly $7.8 million.

During the quarter, Terreno raised $82.3 million in gross proceeds by issuing around 1.98 million shares of common stock under the company's at-the-market equity offering program. No shares were repurchased by the company. Additionally, it reduced balance under its senior secured loan to nearly $16 million.

Notably, industrial REITs will scale new heights, with a recovering economy and job-market gains, as well as elevated consumption levels. Moreover, with a healthy manufacturing environment and high business inventories, the demand for warehouse and logistics real estate is anticipated to be healthy, giving a significant impetus to industrial REITs like Terreno, Duke Realty DRE , Prologis Inc. PLD and Liberty Property Trust LPT .

Radical New Technology Creates $12.3 Trillion Opportunity

Imagine buying Microsoft stock in the early days of personal computers… or Motorola after it released the world's first cell phone. These technologies changed our lives and created massive profits for investors.

Today, we're on the brink of the next quantum leap in technology. 7 innovative companies are leading this "4th Industrial Revolution" - and early investors stand to earn the biggest profits.

See the 7 breakthrough stocks now>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Terreno Realty Corporation (TRNO): Free Stock Analysis Report

Duke Realty Corporation (DRE): Free Stock Analysis Report

Liberty Property Trust (LPT): Free Stock Analysis Report

Prologis, Inc. (PLD): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
Referenced Symbols: TRNO , DRE , LPT , PLD

More from Zacks.com




Equity Research

Research Brokers before you trade

Want to trade FX?