Investments in Real Estate

3 Months Ended

Mar. 31, 2024

During the three months ended March 31, 2024, the Company acquired two industrial properties with a total initial investment, including acquisition costs, of approximately $18.7 million, of which $15.1 million was recorded to land and $3.6 million to buildings and improvements.

The Company did not record any revenues or net income for the three months ended March 31, 2024 related to the 2024 acquisitions.

During the three months ended March 31, 2023, the Company acquired three industrial properties with a total initial investment, including acquisition costs, of approximately $406.7 million, of which $245.9 million was recorded to land, $143.0 million to buildings and improvements, and $17.8 million to intangible assets. Additionally, the Company assumed $42.7 million in liabilities.

The Company recorded revenues and net loss for the three months ended March 31, 2023 of approximately $0.3 million and $0.2 million, respectively, related to the 2023 acquisitions.

The above assets and liabilities were recorded at fair value, which uses Level 3 inputs. The properties were acquired from unrelated third parties using existing cash on hand, proceeds from property sales and issuances of common stock and borrowings on the revolving credit facility.

As of March 31, 2024, the Company had ten properties under development or redevelopment that, upon completion, will consist of eleven buildings aggregating approximately 1.6 million square feet and one approximately 2.8-acre improved land parcel. Additionally, the Company owned approximately 45.5 acres of land for future development that, upon completion, will consist of four buildings aggregating approximately 0.8 million square feet. The following table summarizes certain

information with respect to the properties under development or redevelopment and the land for future development as of March 31, 2024:


Property Name	Location	Total Expected Investment (in thousands) 1		Estimated Post-Development Square Feet	Estimated Post-Development Acreage


Properties under development or redevelopment:
Countyline Phase IV
Countyline Building 32 2	Hialeah, FL	$	40,132	164,307	—
Countyline Building 33 2	Hialeah, FL	38,977		158,042	—
Countyline Building 38 2, 4	Hialeah, FL	88,500		506,215	—
Countyline Building 39 2	Hialeah, FL	43,802		178,201	—
Countyline Building 40 2	Hialeah, FL	41,968		186,107	—
Maple III	Rancho Dominguez, CA	28,109		—	2.8
147th Street	Hawthorne, CA	18,095		31,378	—
East Garry Avenue	Santa Ana, CA	40,553		91,500	—
Paterson Plank III	Carlstadt, NJ	35,042		47,316	—
139th Street 3	Gardena, CA	104,594		227,755	—
Total		$	479,772	1,590,821	2.8

Land for future development:
Countyline Phase IV
Countyline Phase IV Land 2, 5	Hialeah, FL	$	216,900	814,772	—
Total		$	216,900	814,772	—

1Excludes below-market lease adjustments recorded at acquisition. Total expected investment for the properties includes the initial purchase price, buyer’s due diligence and closing costs, estimated near-term redevelopment expenditures, capitalized interest and leasing costs necessary to achieve stabilization.

2Collectively, “Countyline Phase IV”, a 121-acre project entitled for 2.2 million square feet of industrial distribution buildings located in Miami’s Countyline Corporate Park (“Countyline”), immediately adjacent to the Company’s seven buildings within Countyline. Countyline Phase IV, a landfill redevelopment adjacent to Florida’s Turnpike and the southern terminus of I-75, is expected to contain ten LEED-certified industrial distribution buildings at completion.

3This redevelopment property was initially acquired in 2017 for a total initial investment, including closing costs and acquisition costs, of approximately $39.9 million. The property was in the operating portfolio until January 2024 when redevelopment commenced. The amount spent to date includes the total initial investment and capital expenditures incurred prior to redevelopment and excludes accumulated depreciation recorded since acquisition. The Company expects a total incremental investment of approximately $64.0 million.

4This development was completed on April 23, 2024.

5On April 12, 2024, the Company commenced development of Countyline Building 31 in Countyline Phase IV. Upon completion, which is expected to occur in the fourth quarter of 2024, Countyline Building 31 will consist of one approximately 162,000 square foot industrial building with a total expected investment of approximately $42.1 million. The building is 100% pre-leased. The lease will commence upon completion of the building and will expire in May 2032.

The Company capitalized interest associated with development, redevelopment, renovation or expansion activities of approximately $3.1 million and $0.7 million during the three months ended March 31, 2024 and 2023, respectively.