Financial Data and Key Metrics Changes - Core FFO for the second quarter was $0.59 per share, a $0.01 increase over the prior quarter when excluding one-time termination revenue recognized in the first quarter [9] - The company reaffirmed its full year 2025 core FFO outlook of $2.37 to $2.41 per share [9] - The balance sheet ended the quarter with over $1.8 billion of liquidity, including $560 million of cash and a net debt to EBITDA ratio of four times [11] Business Line Data and Key Metrics Changes - Executed 1.7 million square feet of leases in the quarter, with net effective and cash leasing spreads for comparable leases at 218% respectively [3][4] - Same property occupancy increased to 96.1%, up 40 basis points sequentially, with positive net absorption of 220,000 square feet [4] - Market rents across the portfolio declined approximately 3.5% sequentially and 12.8% year over year [5] Market Data and Key Metrics Changes - Leasing activity on approximately 80% of vacant spaces, up significantly from 60% a year ago [6] - The company sold two properties totaling $82 million, bringing year-to-date dispositions to $134 million at a weighted average cap rate in the low 4% range [7] Company Strategy and Development Direction - The company remains focused on its irreplaceable infill Southern California portfolio, which is expected to benefit from persistent supply constraints and strong demand [8] - The strategy includes capital allocation towards repositioning and redevelopment projects, which are projected to contribute an additional $70 million of incremental NOI [10] Management's Comments on Operating Environment and Future Outlook - Management noted that while leasing activity remains steady, macroeconomic and tariff uncertainties are impacting tenant decision-making, putting pressure on overall demand [4] - The company expects lower interest expenses due to favorable interest rates on its term loan, despite some delays in rent commencements [10] Other Important Information - The company has approximately $54 million of dispositions under contract, subject to customary closing conditions [8] - The cash mark to market for the portfolio stands at 3%, contributing about $20 million of incremental NOI to the embedded growth profile [10][25] Q&A Session Summary Question: Future repositioning and redevelopment starts - Management indicated that the pipeline is fluid and subject to change, with the Hertz asset being a significant driver for future NOI [15][18] Question: Cash mark to market trends - Management stated that the cash mark to market is currently at 3% and future trends will depend on market rent growth, emphasizing that growth is not solely dependent on this metric [22][25] Question: Capital allocation and acquisition opportunities - Management confirmed a measured approach to acquisitions, focusing on opportunities that meet stringent underwriting criteria and drive cash flow accretion [27][29] Question: Delays in rent commencements - Management expressed confidence in achieving projections despite pushing out lease-up timing by about one month on average due to current market dynamics [33][35] Question: Tenant behavior and lease terms - Lease terms have remained steady, with strong renewal activity and an increase in early renewals, indicating tenant confidence [40][41] Question: Market rent growth and volatility - Management acknowledged a decline in market rents due to tariff policy volatility but noted continued leasing activity and progress on redevelopment projects [44][46] Question: Cap rates and user purchases - Management highlighted that user sales have influenced cap rates, with current market cap rates in the low 5% range [50][53] Question: Occupancy outlook for the second half of the year - Management expects some deceleration in occupancy due to planned move-outs, maintaining guidance of 95.5% to 96% [55][56] Question: Conversion rates and demand - Management reported that conversion rates are taking longer, but the majority of leasing activity is expected to convert into executed leases [62]

Financial Performance - The company maintained its 2025 outlook, with Q2 performance aligning with expectations[12] - Core FFO/Share for Q2 2025 was $0.59, reflecting a (1.7%) growth[18] - Year-to-date 2025 Core FFO/Share was $1.21, a 3.4% increase[18] - The company projects incremental NOI of $195 million, representing 28% growth[14] Portfolio Performance - Total Portfolio Cash NOI Growth for Q2 2025 was 5.7%[18] - Total Portfolio Net Effective NOI Growth for Q2 2025 was 2.9%[18] - Same Property Cash NOI Growth for Q2 2025 was 3.9%[18] - Same Property Net Effective NOI Growth for Q2 2025 was 1.1%[18] Strategic Capital Allocation - The company executed over 900,000 SF of leasing year-to-date and stabilized 7 projects year-to-date at a 7.4% unlevered yield[12] - The company completed dispositions of 209,000 SF in Q2 2025, generating $82 million in total sales price and an 12.8% unlevered IRR[24] Balance Sheet and Liquidity - The company has a strong balance sheet with 4.0x Net Debt/EBITDAre and $1.8 billion of liquidity[12]

Core Insights - Rexford Industrial (REXR) reported revenue of $249.51 million for the quarter ended June 2025, reflecting a 5% increase year-over-year and a surprise of +1.96% over the Zacks Consensus Estimate of $244.72 million [1] - The earnings per share (EPS) for the quarter was $0.59, compared to $0.37 in the same quarter last year, resulting in an EPS surprise of +1.72% against the consensus estimate of $0.58 [1] Revenue Breakdown - Rental revenues amounted to $241.57 million, exceeding the three-analyst average estimate of $239.56 million, with a year-over-year change of +3.7% [4] - Management and leasing services generated $0.13 million, slightly below the three-analyst average estimate of $0.14 million, showing a year-over-year decline of -15.4% [4] - Interest income reached $7.81 million, surpassing the average estimate of $5.32 million from three analysts, marking a significant year-over-year increase of +75.7% [4] Stock Performance - Over the past month, shares of Rexford Industrial have returned -0.4%, in contrast to the Zacks S&P 500 composite's +4.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Financial Performance - Rexford Industrial reported quarterly funds from operations (FFO) of $0.59 per share, exceeding the Zacks Consensus Estimate of $0.58 per share, but down from $0.6 per share a year ago, indicating a slight year-over-year decline [1] - The company achieved revenues of $249.51 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.96% and up from $237.57 million in the same quarter last year [2] - Over the last four quarters, Rexford Industrial has exceeded consensus FFO estimates three times and has also topped consensus revenue estimates three times [2] Stock Performance - Rexford Industrial shares have declined approximately 6.4% since the beginning of the year, contrasting with the S&P 500's gain of 6.2% [3] - The current consensus FFO estimate for the upcoming quarter is $0.59 on revenues of $245.68 million, while the estimate for the current fiscal year is $2.38 on revenues of $990.64 million [7] Industry Outlook - The REIT and Equity Trust - Other industry, to which Rexford Industrial belongs, is currently ranked in the bottom 38% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in estimate revisions, which could impact Rexford Industrial's stock performance [5][6]

Corporate Data [Investor Company Summary](index=3&type=section&id=Investor%20Company%20Summary) The section lists the company's executive management, board of directors, investor relations, and covering equity research firms - The executive management team is led by Co-Chief Executive Officers **Howard Schwimmer** and **Michael S. Frankel**[7](index=7&type=chunk) - The Board of Directors is chaired by **Tyler H. Rose**[7](index=7&type=chunk) [Company Overview](index=4&type=section&id=Company%20Overview) As of Q2 2025, the company's portfolio comprises 422 properties totaling 51.0 million square feet with 89.2% occupancy, maintaining a Net Debt to Adjusted EBITDAre of 4.0x and BBB+/Baa2 credit ratings Q2 2025 Portfolio and Financial Snapshot | Metric | Value | | :--- | :--- | | Total of Properties | 422 | | Total Rentable Square Feet | 51,021,897 | | Total Portfolio Occupancy | 89.2% | | Same Property Portfolio Occupancy | 96.1% | | Same Property Portfolio NOI Growth | 1.1% | | Core FFO Growth | 7.8% | | Core FFO/Share Growth | (1.7)% | | Credit Ratings (S&P/Moody's/Fitch) | BBB+ / Baa2 / BBB+ | | Net Debt to Total Combined Market Capitalization | 25.0% | | Net Debt to Adjusted EBITDAre | 4.0x | [Financial and Portfolio Highlights and Capitalization Data](index=6&type=section&id=Financial%20and%20Portfolio%20Highlights%20and%20Capitalization%20Data) Q2 2025 saw total rental income of $241.6 million, net income of $120.4 million, and Core FFO per diluted share of $0.59, with portfolio occupancy at 89.2% and Same Property Cash NOI growth of 3.9% Quarterly Financial Highlights (in thousands, except per share data) | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Total rental income | $241,568 | $248,821 | $232,973 | | Net income | $120,394 | $74,048 | $86,017 | | Company share of Core FFO | $139,709 | $141,023 | $129,575 | | Company share of Core FFO per diluted share | $0.59 | $0.62 | $0.60 | | Dividend declared per common share | $0.4300 | $0.4300 | $0.4175 | Quarterly Portfolio & Capitalization Highlights | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Portfolio rentable square feet | 51,021,897 | 50,952,137 | 49,710,628 | | Ending occupancy | 89.2% | 89.6% | 93.7% | | Same Property Portfolio ending occupancy | 96.1% | 95.7% | 97.4% | | Same Property Portfolio Cash NOI growth | 3.9% | 5.0% | N/A | | Net debt to Adjusted EBITDAre | 4.0x | 3.9x | 4.6x | [Guidance](index=7&type=section&id=Guidance) The company updated its full-year 2025 guidance, raising Net Income per diluted share to $1.38-$1.42, while maintaining Core FFO per diluted share at $2.37-$2.41 and lowering net interest expense to $107 million 2025 Full-Year Guidance | Metric | Q2-2025 Updated Guidance | Q1-2025 Guidance | | :--- | :--- | :--- | | Net Income per diluted share | $1.38 - $1.42 | $1.31 - $1.35 | | Company share of Core FFO per diluted share | $2.37 - $2.41 | $2.37 - $2.41 | | Same Property Portfolio NOI Growth - GAAP | 0.75% - 1.25% | 0.75% - 1.25% | | Same Property Portfolio NOI Growth - Cash | 2.25% - 2.75% | 2.25% - 2.75% | | Average Same Property Portfolio Occupancy | 95.5% - 96.0% | 95.5% - 96.0% | | Net Interest Expense | +/- $107M | +/- $109.5M | - The 2025 Core FFO per diluted share guidance remains unchanged at **$2.37 to $2.41**, representing **1% to 3% annual growth**[25](index=25&type=chunk) - The change in guidance is primarily driven by a **$0.01 per share positive impact from lower net interest expense**, offset by a **$0.01 negative impact from extended rent commencement timing** in the repositioning/redevelopment portfolio[25](index=25&type=chunk) Consolidated Financial Results [Consolidated Balance Sheets](index=9&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets were $13.08 billion, total liabilities $3.88 billion, and total equity $9.20 billion, with cash and cash equivalents at $431.1 million Balance Sheet Summary (in thousands) | Account | June 30, 2025 | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | :--- | | Investments in real estate, net | $11,929,199 | $11,918,957 | $11,979,183 | | Cash and cash equivalents | $431,117 | $504,579 | $55,971 | | **Total Assets** | **$13,079,612** | **$13,085,857** | **$12,648,218** | | Notes payable | $3,347,575 | $3,348,060 | $3,345,962 | | **Total Liabilities** | **$3,884,588** | **$3,911,111** | **$3,922,239** | | **Total Equity** | **$9,195,024** | **$9,174,746** | **$8,725,979** | [Consolidated Statements of Operations](index=10&type=section&id=Consolidated%20Statements%20of%20Operations) Q2 2025 total revenues reached $249.5 million, with net income of $120.4 million ($0.48 per diluted share), primarily boosted by $44.4 million in real estate sale gains Q2 2025 Statement of Operations (in thousands) | Account | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Rental income | $241,568 | $248,821 | $232,973 | | Total Revenues | $249,507 | $252,287 | $237,573 | | Total Operating Expenses | $146,238 | $161,869 | $139,108 | | Gains on sale of real estate | $44,361 | $13,157 | $16,268 | | Net Income | $120,394 | $74,048 | $86,017 | | Net income attributable to common stockholders | $113,427 | $68,346 | $79,752 | | EPS - diluted | $0.48 | $0.30 | $0.37 | Six Months Ended June 30 Statement of Operations (in thousands) | Account | 2025 | 2024 | | :--- | :--- | :--- | | Total Revenues | $501,794 | $451,669 | | Net Income | $194,442 | $150,294 | | Net income attributable to common stockholders | $181,773 | $138,391 | | EPS - diluted | $0.78 | $0.64 | [Non-GAAP FFO, Core FFO and AFFO Reconciliations](index=12&type=section&id=Non-GAAP%20FFO%2C%20Core%20FFO%20and%20AFFO%20Reconciliations) This section reconciles GAAP Net Income to non-GAAP metrics, showing Q2 2025 NAREIT FFO at $147.2 million, Core FFO at $147.7 million, and AFFO at $120.5 million [FFO and Core FFO Reconciliations](index=12&type=section&id=FFO%20and%20Core%20FFO%20Reconciliations) Q2 2025 Company share of FFO and Core FFO both stood at $0.59 per diluted share, with year-to-date Core FFO per diluted share at $1.21 Q2 2025 FFO and Core FFO Reconciliation (in thousands) | Metric | Q2 2025 | | :--- | :--- | | Net Income | $120,394 | | Adjustments (Depreciation, Gains on sale) | $26,827 | | **NAREIT Defined FFO** | **$147,221** | | Core FFO Adjustments | $513 | | **Core FFO** | **$147,734** | | Company share of FFO | $139,216 | | **Company share of Core FFO** | **$139,709** | | Company share of FFO per diluted share | $0.59 | | **Company share of Core FFO per diluted share** | **$0.59** | [AFFO Reconciliation](index=14&type=section&id=AFFO%20Reconciliation) Q2 2025 Adjusted Funds From Operations (AFFO) was $120.5 million, derived from FFO by adjusting for non-cash items and deducting recurring capital expenditures Q2 2025 AFFO Reconciliation (in thousands) | Metric | Q2 2025 | | :--- | :--- | | Funds From Operations (FFO) | $147,221 | | Non-cash & other adjustments | $13,791 | | Deduct: Straight line rent, capex, TIs, commissions | ($40,116) | | **Adjusted Funds From Operations (AFFO)** | **$120,496** | [Statement of Operations Reconciliations](index=15&type=section&id=Statement%20of%20Operations%20Reconciliations) Q2 2025 Net Operating Income (NOI) was $186.3 million, Cash NOI $173.6 million, and Adjusted EBITDAre $184.1 million, after adjusting GAAP net income Q2 2025 NOI and Cash NOI (in thousands) | Metric | Q2 2025 | | :--- | :--- | | Rental income | $241,568 | | Property expenses | ($55,298) | | **Net Operating Income (NOI)** | **$186,270** | | Straight line & market lease adjustments | ($12,706) | | **Cash NOI** | **$173,564** | Q2 2025 EBITDAre and Adjusted EBITDAre (in thousands) | Metric | Q2 2025 | | :--- | :--- | | Net income | $120,394 | | Interest, D&A, Gains on sale | $53,528 | | **EBITDAre** | **$173,922** | | Adjustments (Stock comp, acq. exp, etc.) | $10,189 | | **Adjusted EBITDAre** | **$184,111** | [Same Property Portfolio Performance](index=16&type=section&id=Same%20Property%20Portfolio%20Performance) The Same Property Portfolio (SPP) achieved 1.1% NOI growth and 3.9% Cash NOI growth in Q2 2025, with quarterly weighted average occupancy at 95.9% Same Property Portfolio NOI Growth (Y-o-Y) | Metric | Three Months Ended June 30, 2025 | Six Months Ended June 30, 2025 | | :--- | :--- | :--- | | Same Property Portfolio NOI Growth | 1.1% | 0.9% | | Same Property Portfolio Cash NOI Growth | 3.9% | 4.5% | Same Property Portfolio Occupancy | Metric | Q2 2025 | Q2 2024 | Y-o-Y Change | | :--- | :--- | :--- | :--- | | Quarterly Weighted Average Occupancy | 95.9% | 97.0% | (110) bps | | Ending Occupancy | 96.1% | 97.4% | (130) bps | [Capitalization Summary](index=17&type=section&id=Capitalization%20Summary) As of June 30, 2025, total equity market capitalization was $8.86 billion, net debt $2.95 billion, and total combined market capitalization $11.81 billion, with net debt to Adjusted EBITDAre at 4.0x Capitalization as of June 30, 2025 (in thousands) | Component | Value | | :--- | :--- | | Common Stock and OP Units Capitalization | $8,690,970 | | Preferred Equity | $173,250 | | **Total Equity Market Capitalization** | **$8,864,220** | | Total Debt | $3,379,141 | | Less: Cash and cash equivalents | ($431,117) | | **Net Debt** | **$2,948,024** | | **Total Combined Market Capitalization** | **$11,812,244** | Key Leverage Ratios | Ratio | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net debt to total combined market capitalization | 25.0% | 22.8% | 24.1% | | Net debt to Adjusted EBITDAre (annualized) | 4.0x | 3.9x | 4.6x | [Debt Summary](index=18&type=section&id=Debt%20Summary) As of June 30, 2025, total debt was $3.38 billion at a 3.757% weighted average interest rate, 97% unsecured and fixed-rate, with the largest maturity of $1.02 billion in 2027 Debt Composition as of June 30, 2025 | Category | Wtd. Avg. Term (yrs) | Effective Interest Rate | Balance ($ in thousands) | % of Total | | :--- | :--- | :--- | :--- | :--- | | Fixed | 3.7 | 3.757% | $3,379,141 | 100% | | Variable | — | — | $0 | 0% | | Secured | 2.5 | 4.589% | $104,141 | 3% | | Unsecured | 3.7 | 3.731% | $3,275,000 | 97% | Debt Maturity Schedule ($ in thousands) | Year | Total | % Total | | :--- | :--- | :--- | | 2025 | $100,000 | 3% | | 2026 | $66,784 | 2% | | 2027 | $1,019,215 | 30% | | 2028 | $314,031 | 9% | | 2029 | $600,000 | 18% | | 2030 | $800,000 | 24% | | Thereafter | $479,111 | 14% | | **Total** | **$3,379,141** | **100%** | Portfolio Data [Portfolio Overview](index=21&type=section&id=Portfolio%20Overview) As of June 30, 2025, the portfolio comprises 422 properties totaling 51.0 million square feet with 89.2% occupancy, generating $778.8 million in-place ABR Portfolio Breakdown by Market | Market | of Properties | Total RSF | Ending Occupancy % | In-Place ABR (in 000's) | | :--- | :--- | :--- | :--- | :--- | | Los Angeles County | 262 | 29,020,444 | 87.9% | $452,504 | | Orange County | 54 | 5,700,074 | 90.7% | $95,412 | | Riverside / San Bernardino County | 54 | 9,575,506 | 93.9% | $137,210 | | San Diego County | 34 | 3,502,230 | 86.7% | $55,845 | | Ventura County | 18 | 3,223,643 | 87.5% | $37,858 | | **Consolidated Total** | **422** | **51,021,897** | **89.2%** | **$778,829** | - Excluding space under repositioning/redevelopment, the total portfolio occupancy was **95.0%**[79](index=79&type=chunk) [Executed Leasing Statistics and Trends](index=22&type=section&id=Executed%20Leasing%20Statistics%20and%20Trends) Q2 2025 saw 1.7 million square feet of leases executed, with Net Effective Rent Change of 20.9% and Cash Rent Change of 8.1%, and a 69% retention rate Quarterly Leasing Spreads | Metric | Q2 2025 | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | :--- | | Net Effective Rent Change | 20.9% | 23.8% | 55.4% | | Cash Rent Change | 8.1% | 14.7% | 41.0% | Q2 2025 Leasing Activity (Building SF) | Activity | Square Feet | | :--- | :--- | | New leases | 678,727 | | Renewal leases | 1,020,266 | | **Total leasing activity** | **1,698,993** | | Net absorption | 216,955 | | Retention rate | 69% | Lease Expiration Schedule (Top 5 Years) | Year of Expiration | Rentable Square Feet | In-Place + Uncommenced ABR (in thousands) | | :--- | :--- | :--- | | 2025 | 4,122,156 | $62,790 | | 2026 | 8,657,602 | $134,289 | | 2027 | 7,439,877 | $129,504 | | 2028 | 6,753,145 | $126,904 | | 2029 | 4,958,782 | $94,085 | [Top Tenants and Lease Segmentation](index=24&type=section&id=Top%20Tenants%20and%20Lease%20Segmentation) Top 10 tenants represent 14.2% of ABR, with the largest tenant at 2.5%, demonstrating a diversified portfolio by tenant and lease size - The top 10 tenants contribute **14.2% of total ABR**, and the top 20 tenants contribute **20.7%**, indicating a diversified tenant base[92](index=92&type=chunk) Top 5 Tenants by ABR | Tenant | Leased Rentable SF | % of In-Place + Uncommenced ABR | | :--- | :--- | :--- | | Tireco, Inc. | 1,101,840 | 2.5% | | L3 Technologies, Inc. | 595,267 | 1.6% | | Zenith Energy West Coast Terminals LLC | Land Lease | 1.5% | | Cubic Corporation | 515,382 | 1.5% | | IBY, LLC | 1,178,021 | 1.4% | Lease Segmentation by Size | Square Feet | % of In-Place + Uncommenced ABR | | :--- | :--- | | <100,000 | 52.4% | | >100,000 | 41.5% | | Land/IOS & Other | 6.1% | [Capital Expenditure Summary](index=25&type=section&id=Capital%20Expenditure%20Summary) For H1 2025, recurring capital expenditures were $7.2 million (1.9% of NOI), while nonrecurring capex totaled $108.7 million, primarily for repositioning and redevelopment projects Year-to-Date Capital Expenditures (in thousands) | Category | YTD Total | | :--- | :--- | | Total Tenant Improvements | $1,915 | | Total Leasing Commissions & Lease Costs | $13,978 | | **Total Recurring Capex** | **$7,198** | | Repositioning and Redevelopment in Process | $100,946 | | **Total Nonrecurring Capex** | **$108,737** | - Recurring capex as a percentage of NOI was **1.9%** for the first six months of 2025[99](index=99&type=chunk) [Properties and Space Under Repositioning/Redevelopment](index=26&type=section&id=Properties%20and%20Space%20Under%20Repositioning%2FRedevelopment) The company holds a substantial value-add pipeline, including current repositioning projects ($208.9 million, 4.5-5.0% yield) and redevelopment projects ($361.1 million, 5.25-5.75% yield), plus a future pipeline exceeding 3 million square feet [Current Repositioning and Redevelopment](index=26&type=section&id=Current%20Repositioning%20and%20Redevelopment) Active repositioning projects total 273,588 square feet with $208.9 million investment and 4.5-5.0% yield, while redevelopment projects cover 1.03 million square feet with $361.1 million investment and 5.25-5.75% yield Current Repositioning Pipeline Summary | Metric | Value | | :--- | :--- | | Total RSF | 273,588 | | Projected Total Investment | $208.9M | | Remaining Costs | $21.2M | | Estimated Unlevered Stabilized Yield | 4.5% - 5.0% | Current Redevelopment Pipeline Summary | Metric | Value | | :--- | :--- | | Projected RSF | 1,031,839 | | Projected Total Investment | $361.1M | | Remaining Costs | $105.0M | | Estimated Unlevered Stabilized Yield | 5.25% - 5.75% | [Future Repositioning and Redevelopment](index=30&type=section&id=Future%20Repositioning%20and%20Redevelopment) A future pipeline of over 3.0 million square feet includes 853,722 square feet of repositioning projects ($30.0-$33.0 million) and 2.19 million square feet of redevelopment projects ($355.0-$385.0 million) - The future repositioning pipeline totals **853,722 square feet** with aggregate projected costs of **$30.0 - $33.0 million**[108](index=108&type=chunk) - The future redevelopment pipeline totals **2,187,282 square feet** with aggregate projected costs of **$355.0 - $385.0 million**[108](index=108&type=chunk) [Current Year Investments and Dispositions Summary](index=32&type=section&id=Current%20Year%20Investments%20and%20Dispositions%20Summary) Through June 30, 2025, the company completed three dispositions totaling 336,385 square feet for $134.03 million, aligning with its capital recycling strategy 2025 Dispositions through June 30, 2025 | of Properties | Total Square Feet | Total Sale Price ($ in MM) | | :--- | :--- | :--- | | 3 | 336,385 | $134.03 | [Net Asset Value Components](index=33&type=section&id=Net%20Asset%20Value%20Components) Key NAV components for Q2 2025 include Pro Forma NOI of $204.6 million, Pro Forma Cash NOI of $191.9 million, total debt of $3.38 billion, and 244.3 million shares outstanding Pro Forma NOI (Three Months Ended Jun 30, 2025, in thousands) | Metric | Value | | :--- | :--- | | Pro Forma NOI | $204,590 | | Pro Forma Cash NOI | $191,884 | Debt and Shares Outstanding (as of June 30, 2025) | Metric | Value | | :--- | :--- | | Total consolidated debt (in thousands) | $3,379,141 | | Preferred stock/units - liquidation preference (in thousands) | $173,250 | | Total common shares and OP units outstanding | 244,334,274 | Notes and Definitions [Definitions of Key Metrics](index=34&type=section&id=Definitions%20of%20Key%20Metrics) This section defines non-GAAP financial measures and key terms, including FFO, Core FFO, AFFO, NOI, Cash NOI, EBITDAre, and Same Property Portfolio, for clarity and comparability - Defines **NAREIT Funds from Operations (FFO)** as net income excluding gains on sale of real estate and real estate related depreciation and amortization[137](index=137&type=chunk) - Defines **Core Funds from Operations (Core FFO)** by adjusting FFO for non-comparable items such as acquisition expenses and severance costs to provide a more consistent comparison of performance[130](index=130&type=chunk) - Defines **Net Operating Income (NOI)** as revenue from real estate operations less property expenses, excluding items like depreciation, G&A, and interest expense[138](index=138&type=chunk) - Defines the **Same Property Portfolio (SPP)** as properties wholly owned from January 1, 2024, through June 30, 2025, excluding properties acquired, sold, or under significant repositioning/redevelopment during that period[145](index=145&type=chunk)

Core Viewpoint - Rexford Industrial Realty, Inc. reported strong financial and operational performance in Q2 2025, highlighting the resilience of its business model in a dynamic market environment, driven by favorable supply and demand dynamics in infill Southern California [3][4]. Financial Results - The company reported net income attributable to common stockholders of $113.4 million, or $0.48 per diluted share, compared to $79.8 million, or $0.37 per diluted share, for the same quarter last year [4][9]. - For the first half of 2025, net income attributable to common stockholders was $181.8 million, or $0.78 per diluted share, up from $138.4 million, or $0.64 per diluted share, in the prior year [4][9]. - Core FFO for Q2 2025 was $139.7 million, a 7.8% increase from $129.6 million in the prior year quarter, while Core FFO per diluted share decreased by 1.7% to $0.59 [5][9]. - Total portfolio NOI increased by 2.9% to $186.3 million, and Same Property Portfolio NOI increased by 1.1% [6][9]. Operational Highlights - The company executed 99 leases totaling 1.7 million rentable square feet in Q2 2025, with new leases showing a net effective cash releasing spread of 20.9% [8][9]. - The Same Property Portfolio occupancy rate was 96.1%, reflecting a 0.4% increase from the previous quarter [9][10]. Transaction Activity - In Q2 2025, the company sold two properties for a total of $81.6 million, generating a 12.8% unlevered IRR [14][15]. - Year-to-date, the company has disposed of three properties totaling 336,385 square feet for $134.0 million, achieving an 11.9% unlevered IRR [15]. Balance Sheet - As of June 30, 2025, the company had total liquidity of $1.8 billion, including $431.1 million in unrestricted cash [17]. - The company ended the quarter with a low-leverage balance sheet, with a Net Debt to Enterprise Value ratio of 25.0% and Net Debt to Adjusted EBITDAre of 4.0x [9][21]. Dividends - The Board of Directors authorized a dividend of $0.43 per share for Q3 2025, payable on October 15, 2025 [23]. Guidance - The company updated its full-year 2025 guidance, projecting net income attributable to common stockholders per diluted share between $1.38 and $1.42, and Core FFO per diluted share between $2.37 and $2.41 [26].

Group 1 - The article discusses the search for financial instruments that have reached their bottom, focusing on identifying undervalued assets compared to competitors [1] - The investing group Trade With Beta offers features such as frequent picks for mispriced preferred stocks and baby bonds, weekly reviews of over 1200 equities, IPO previews, hedging strategies, and an actively managed portfolio [1] - The article emphasizes the importance of community engagement, inviting active investors to join a free trial and participate in discussions with sophisticated traders [1]

Core Insights - Wall Street analysts forecast Rexford Industrial (REXR) will report quarterly earnings of $0.58 per share, indicating a year-over-year decline of 3.3% [1] - Anticipated revenues are projected to be $244.72 million, reflecting a 3% increase compared to the same quarter last year [1] Earnings Estimates - The current EPS estimate represents a downward revision of 0.1% over the past 30 days, indicating a collective reassessment by analysts [2] - Revisions to earnings estimates are crucial indicators for predicting investor actions regarding the stock [3] Revenue Projections - Analysts expect 'Revenues- Rental revenues' to be $239.56 million, suggesting a year-over-year change of +2.8% [5] - 'Revenues- Interest income' is estimated to reach $5.32 million, indicating a year-over-year increase of +19.7% [5] - The consensus estimate for 'Depreciation and amortization' is projected at $83.11 million [5] Market Performance - Rexford Industrial shares have remained unchanged over the past month, contrasting with the Zacks S&P 500 composite's increase of +4.1% [5] - With a Zacks Rank 3 (Hold), REXR is expected to closely follow overall market performance in the near term [5]

Rexford Industrial Realty, Inc. ( REXR ) has been on my watch list for a very long time (see below for reasons). Every time I check the price, I see that the stock has**My articles represent my opinion only and in no way constitute professional investment advice. It is the responsibility of the reader to conduct their due diligence and seek investment advice from a licensed professional before making any investment decisions.**Analyst’s Disclosure:I/we have no stock, option or similar derivative position in ...

Rexford Industrial Overview - Rexford Industrial Realty has a portfolio of 424 industrial properties, encompassing 51 million square feet, with an entity value of $13 billion[7] - The company focuses on prime infill locations in Southern California[7, 13] - Rexford's FFO per share growth has a 5-year CAGR of 10%, exceeding the REIT average of 3%[9, 10] - The dividend per share growth has a 5-year CAGR of 16%, significantly higher than the REIT average of 3%[9, 10] Growth and Value Creation - Rexford has substantial embedded cash NOI growth, including a $60 million portfolio mark-to-market, $105 million in annual embedded rent steps, and $70 million from repositioning and redevelopment[17] - Repositioning and redevelopment projects in-process or in lease-up are expected to generate $70 million in annualized stabilized cash NOI[17, 18, 25] - The company's leasing activity in 1Q 2025 covered 2.4 million square feet, with average embedded rent steps of 3.6% in executed leases[28] Market and Portfolio - Southern California is the largest and highest-value industrial market in the nation, valued at $32 billion with 2.1 billion square feet[38] - Rexford's portfolio has a trailing 12-month average executed lease rate of $19.16 per square foot, a 22% premium over the Infill SoCal average of $15.65[59] - Over the last 4 years, >85% of transactions were executed off/lightly-marketed[34]