LXP(US:LXP)2022-11-03 19:24Portfolio and Property Management - As of September 30, 2022, the company had equity ownership interests in approximately 118 consolidated real estate properties, totaling about 54.1 million square feet, with a lease rate of approximately 99.1%[133] - The company transitioned its portfolio from approximately 16% warehouse/distribution assets in 2015 to approximately 99% as of September 30, 2022[134] - During Q3 2022, the company entered into new leases and lease extensions covering 0.3 million square feet, with average fixed rent increasing from $5.38 to $7.57 per square foot[137] - The company disposed of properties for an aggregate gross sales price of $147.3 million during the nine months ended September 30, 2022[143] - Same-store net operating income (NOI) increased by 4.1% for Q3 2022 compared to Q3 2021, driven by an increase in cash base rents[189] - Same-store NOI for the three months ended September 30, 2022, was $53.925 million, up 4.0% from $51.824 million in 2021[191] Financial Performance - Cash flows from operations were $154.1 million for the nine months ended September 30, 2022, down from $167.4 million for the same period in 2021[155] - Total gross revenues decreased by $17.4 million for the nine months ended September 30, 2022, primarily due to a decrease in termination income and property sales[178] - Net income for the three months ended September 30, 2022, was $23.591 million, a significant increase from $7.058 million in the same period of 2021[191] - Funds from Operations (FFO) available to common shareholders and unitholders for the three months ended September 30, 2022, was $45.759 million, compared to $38.668 million in 2021, reflecting a 18.0% increase[196] - Adjusted Company FFO available to all equityholders and unitholders - diluted for the three months ended September 30, 2022, was $48.132 million, down from $53.564 million in 2021[196] Investment and Development - The company invested $70.6 million in six ongoing development projects, excluding joint venture partners' share[138] - The company had six consolidated development projects in process with an estimated total cost of $515.8 million, with remaining funding obligations of approximately $169.7 million[144] - The company expects to incur approximately $56.4 million and $113.3 million in costs for ongoing development projects in the remainder of 2022 and 2023, respectively[169] Capital Structure and Financing - The company amended its revolving credit facility, extending the maturity date to July 2026 and reducing the applicable margin by five basis points[143] - The company had $998.9 million in outstanding senior notes as of September 30, 2022, with varying interest rates and maturity dates[166] - As of September 30, 2022, the company had $130.0 million in borrowings outstanding from a $600.0 million revolving credit facility, with $470.0 million available for borrowing[167] - Net cash provided by financing activities was $(107.5) million in 2022, compared to $147.7 million in 2021, primarily due to share repurchases and dividend payments[157] - Common share issuances under the At-The-Market program generated net proceeds of $13.6 million from 1.1 million shares sold in 2021, with no shares sold in 2022[158] - The company repurchased and retired 5.6 million common shares at an average price of $10.16 per share[143] - The company repurchased approximately 11.7 million common shares at an average price of $10.84 per share during the nine months ended September 30, 2022[163] - Dividends paid to shareholders increased to $107.9 million in 2022 from $95.9 million in 2021, with a quarterly dividend of $0.12 per common share declared in Q3 2022[164] Interest Rate and Debt Management - The weighted-average interest rate for variable-rate indebtedness was 3.5% for the three months ended September 30, 2022, compared to 1.4% in 2021[201] - Total fixed-rate debt as of September 30, 2022, was $1.4 billion, representing 84.1% of total consolidated indebtedness[201] - The company had $608.7 million in non-recourse debt guaranteed for certain non-consolidated entities, with a low likelihood of payment under such guarantees[198] - The company’s variable-rate indebtedness not subject to interest rate swaps was $259.1 million as of September 30, 2022, representing 15.9% of total consolidated indebtedness[201] - The estimated fair value of the company's fixed-rate indebtedness was $1.2 billion as of September 30, 2022[202] - If the weighted-average interest rate had been 100 basis points higher, interest expense for the three months ended September 30, 2022, would have increased by $0.6 million[201] - The company aims to limit the impact of interest rate fluctuations on earnings and cash flows through the use of fixed-rate debt instruments[203] - As of September 30, 2022, the company had four interest rate swap agreements in place to manage interest rate risk[203] - The weighted-average variable-rate interest rate for the nine months ended September 30, 2022, was 2.7%, compared to 1.7% for the same period in 2021[201] - Had the weighted-average interest rate been 100 basis points higher, interest expense for the nine months ended September 30, 2022, would have increased by $1.5 million[201] - The company utilizes various valuation techniques to estimate fair values of financial instruments due to the lack of active trading markets[202]