EX-99.2 3 ex99-2.htm THIRD QUARTER 2019 SUPPLEMENTAL

Exhibit 99.2

 

 

 

Fourth Quarter 2020

Supplemental

 

 

 

 

 

 

 

 
Plymouth Industrial REIT, Inc.  
Table of Contents  
                           
Introduction                        
Executive Summary     2  
Management, Board of Directors, Investor Relations, and Equity Coverage     2  
Portfolio Statistics     3  
Acquisition Activity     3  
Select Recent Acquisitions     4  
Value Creation     5  
Replacement Cost Analysis     5  
Rent Collections and Deferrals     6  
Guidance     7  
Financial Information                    
Same Store Net Operating Income (NOI)     8  
Consolidated Statements of Operations     9  
Consolidated NOI     10  
Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (EBITDAre)     11  
Funds from Operations (FFO), Core FFO & Adjusted Funds from Operations (AFFO)     11  
Consolidated Balance Sheets     12  
Capital Structure and Debt Summary     13  
Capital Markets Activity     13  
Unconsolidated Joint Venture     14  
Net Asset Value Components     15  
Operational & Portfolio Information                    
Leasing Activity           16  
Lease Expiration Schedule           16  
Leased Square Feet and Annualized Base Rent by Tenant Industry           17  
Leased Square Feet and Annualized Base Rent by Type           18  
Top 10 Tenants by Annualized Base Rent           19  
Lease Segmentation by Size           19  
Rentable Square Feet and Annualized Base Rent by Market           20  
Total Acquisition Cost by Market           20  
Appendix                        
Glossary           21  
                           
                           

 

Forward-Looking Statements:  This Supplemental Information contains forward-looking statements within the meaning of the U.S. federal securities laws. We make statements in this Supplemental Information that are forward-looking statements, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. Our forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by our forward-looking statements are reasonable, we can give no assurance that our plans, intentions, expectations, strategies or prospects will be attained or achieved and you should not place undue reliance on these forward-looking statements. Additionally, unforeseen factors emerge from time to time, and we cannot predict which factors will arise or their ultimate impact on our business or the extent to which any such factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. One of these factors is the outbreak of the novel coronavirus (COVID-19), the impact of which is difficult to fully assess at this time due to, among other factors, uncertainty regarding the severity and duration of the outbreak domestically and internationally and the effectiveness of efforts to contain the spread of the virus and its resulting direct and indirect impact on the U.S. economy and economic activity. Furthermore, actual results may differ materially from those described in the forward-looking statements and may be affected by a variety of risks and factors. Any forward-looking statement speaks only as of the date on which it is made. New risks and uncertainties arise over time, and it is not possible for us to predict those events or how they may affect us. Except as required by law, we are not obligated to, and do not intend to, update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.  

 

Definitions and Reconciliations:  For definitions of certain terms used throughout this Supplemental Information, including certain non-GAAP financial measures, refer to the Glossary on pages 21-22. For reconciliations of the non-GAAP financial measures to the most directly comparable U.S. GAAP measures, refer to pages 10-11.  
 
 

4Q 2020 Supplemental

Page 1 

 

Plymouth Industrial REIT, Inc.    
Executive Summary  
                   
Company overview: Plymouth Industrial REIT, Inc. (NYSE: PLYM) is a full service, vertically integrated, self-administered and self-managed REIT focused on the acquisition, ownership, management, redevelopment and development of single and multi-tenant industrial properties, including distribution centers, warehouses, light industrial and small bay industrial properties, located in primary and secondary markets, as well as select sub-markets, with access to large pools of skilled labor in the main industrial, distribution and logistics corridors of the United States. We seek to acquire properties that provide income and growth that enable us to leverage our real estate operating expertise to enhance shareholder value through proactive asset management, prudent property repositioning and disciplined capital deployment.  
                   
Management, Board of Directors, Investor Relations, and Equity Coverage
                 
Corporate   Investor Relations   Transfer Agent      
                 
20 Custom House Street, 11th Floor   Tripp Sullivan   Continental Stock Transfer & Trust Company   
Boston, Massachusetts 02110     SCR Partners   1 State Street, 30th Floor      
617.340.3814     615.942.7077   New York, NY 10004      
www.plymouthreit.com     IR@plymouthreit.com   212.509.4000      
                 
Executive and Senior Management
                 
Jeffrey E. Witherell     Pendleton P. White, Jr.   Daniel C. Wright   James M. Connolly  
Chief Executive Officer     President and Chief Investment   Executive Vice President   Executive Vice President  
and Chairman     Officer   and Chief Financial Officer   Asset Management  
                 
Board of Directors
                 
Martin Barber   Philip S. Cottone   Richard J. DeAgazio   John W. Guinee III  
Independent Director   Independent Director   Independent Director   Independent Director  
                 
David G. Gaw   Pendleton P. White, Jr.   Jeffery E. Witherell      
Independent Director     President and Chief Investment   Chief Executive Officer      
      Officer   and Chairman      
                 
Equity Research Coverage1
                 
Baird   JMP Securities   Piper Sandler & Co.      
Dave Rodgers     Aaron Hecht   Alexander Goldfarb      
216.737.7341     415.835.3963   212.466.7937      
                 
Berenberg Capital Markets     KeyBanc Capital Markets   Wedbush Securities      
Connor Siversky     Craig Mailman   Henry Coffey      
646.949.9037     917.368.2316   212.833.1382      
                 
D.A. Davidson & Co.     National Securities Corp.          
Barry Oxford     Guarav Mehta          
646.885.5423     212.417.8008          

 

Investor Conference Call and Webcast:
The Company will hold a conference call and live audio webcast, both open for the general public to hear, on February 26, 2021 at 9:00 a.m. Eastern Time. The number to call for this interactive teleconference is (412) 717-9587. A replay of the call will be available through March 5, 2021 by dialing (412) 317-0088 and entering the replay access code, 10152286.
 
 
 
                 
                 
                 
                 
1) The analysts listed provide research coverage on the Company. Any opinions, estimates or forecasts regarding the Company's performance made by these analysts are theirs alone and do not represent opinions, estimates or forecasts by the Company or its management. The Company does not by reference above imply its endorsement of or concurrence with such information, conclusions or recommendations.
 
 
                 

 

4Q 2020 Supplemental

Page 2 

 
Plymouth Industrial REIT, Inc.            
Portfolio Statistics                      
                           
Unaudited ($ in thousands, except Cost/SF) as of 12/31/2020                
                           
Portfolio Snapshot   Portfolio Growth
     
Number of Properties 107  
Number of Buildings 141
Square Footage 23,272
Occupancy 96.4%
Weighted Average (WA) Lease Term Remaining (yrs.) 3.8
Total Annualized Base Rent (ABR)1 $94,095
Rental Rate Increase - Cash basis2 8.7%

 

Acquisition Activity                      
                           
Investment Highlights                        
                           
Our recent acquisitions are located in markets with access to large pools of skilled labor in the main industrial, distribution and logistics corridors of the U.S.   Acquisitions - Q4 2020   $104,500
  Square Footage Acquired - Q4 2020   2,428,359
Added high-quality tenants and enlarged tenant / industry diversification   Acquisitions - FY 2020   $243,568
Increased our scale in key markets of Chicago/South Bend, Indianapolis, Jacksonville/Savannah, Atlanta, Cleveland, Columbus, Cincinnati and Memphis   Square Footage Acquired - FY 2020   5,473,596
    WA Occupancy at Acquisition - FY 2020   98.1%
Expanded the portfolio through the executed JV partnership with Madison that acquired a 28-property portfolio of industrial buildings totaling 2.3 million square feet in metropolitan Memphis for $86 million with a projected initial yield of 7.7%   WA Lease Term Remaining (yrs.) - FY 2020   4.5
    Replacement Cost/SF3 - FY 2020   $78.86

 

Acquisitions                        
                         
Location   Acquisition Date   # of Buildings   Purchase Price4   Square Footage   Projected Initial Yield5   Cost per Square Foot6
Chicago, IL   1/24/2020   1    $                    18,650   465,940   8.6%    $                      40.03
Indianapolis, IN   1/27/2020   1                            8,800   276,240   7.8%                            31.86
Atlanta, GA   1/28/2020   5                          34,700   924,036   7.6%                            37.55
Avon, OH   2/14/2020   3                          15,750   406,863   8.2%                            38.71
Atlanta, GA   3/13/2020   1                          10,056   117,000   8.3%                            85.95
St. Louis, MO   9/2/2020   2                          27,000   487,150   7.2%                            55.42
St. Louis, MO   9/3/2020   2                            3,712   79,258   7.5%                            46.83
Jacksonville, FL   9/10/2020   1                          20,400   288,750   8.8%                            70.65
Mansfield, OH   10/23/2020   1                          10,500   314,736   9.0%                            33.36
Akron/Canton, OH   11/24/2020   10                          94,000   2,113,623   7.5%                            44.47
  Total 2020 Acquisitions       27    $                  243,568   5,473,596   7.8%    $                      46.99
                           
Multiple   Full Year 2019   32    $                  220,115   5,776,928   8.4%    $                      42.21
                           
Multiple   Full Year 2018   7    $                  164,575   2,903,699   8.2%    $                      70.54
                           
Multiple   20177   29    $                  173,325   5,195,563   8.4%    $                      33.81
                           
  Total Acquisitions Post-IPO8   95    $                  801,583   19,349,786   8.2%    $                      47.66
                       

 

 Portfolio statistics and acquisitions include wholly owned properties only.
   
1)Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.
2)Based on approximately 2.6 million square feet of new and renewal leases greater than six months in term. Refer to Leasing Activity in this Supplemental Information for additional details.
3)Replacement cost is based on the Marshall & Swift valuation methodology for the determination of building costs. Replacement cost includes land reflected at the allocated cost in accordance with GAAP.
4)Represents total direct consideration paid rather than GAAP cost basis.
5)Weighted based on Purchase Price.
6)Calculated as Purchase Price divided by square footage.
7)Since our initial public offering in June 2017.
8)Excludes the acquisition of a 221,911-square foot industrial building in Kansas City, MO for $8.6 million completed in February 2021.

4Q 2020 Supplemental

Page 3 

 

 

Plymouth Industrial REIT, Inc.  
Select Recent Acquisitions  
               
Since the Company's initial public offering in June 2017, the Company has acquired $801.6 million of wholly owned properties totaling 19.3 million square feet in industrial markets with access to large pools of skilled workers in the main industrial, distribution and logistics corridors of the U.S.
   
Unaudited ($ in thousands, except Cost/SF  

 

Shadeland Commerce Center      
       
  Location Indianapolis
  Acquisition Date December-19
  # of Buildings 9
  Purchase Price1 $49,815
  Square Footage 1,747,411
  Occupancy 94.5%
  WA Lease Term Remaining 2.9 years
  Projected Initial Yield 8.1%
  Replacement Cost/SF2 $75.18
  Multi-Tenant % 78%
  Single-Tenant % 22%
     
  Location Characteristics: Indianapolis is a converging point for five interstates with access to 46% of the country’s population within one day’s drive time making the city attractive for warehousing, distribution and manufacturing (source: JLL)
     
  Market Characteristics: Low vacancy rates; positive supply and demand fundamentals supporting rent growth; robust manufacturing employment
     
  Portfolio Fit: Brings Company's scale in the Indianapolis metro area to 3.5 million square feet and enlarges tenant / industry diversification

 

Georgia Industrial Portfolio      
       
  Location Atlanta
  Acquisition Date January-20
  # of Buildings 5
  Purchase Price1 $34,700
  Square Footage 924,036
  Occupancy 100.0%
  WA Lease Term Remaining 3.7 years
  Projected Initial Yield 7.6%
  Replacement Cost/SF2 $63.11
  Multi-Tenant % 0%
  Single-Tenant % 100%
     
  Location Characteristics: Atlanta outperformed every other industrial market in the nation in 2020, recording the highest annual net absorption figure in the U.S. (source: Cushman & Wakefield)
     
  Market Characteristics: Low vacancy rates; substantial net absorption gains; stable manufacturing employment pool
     
  Portfolio Fit: Brings Company's scale in Atlanta to over 1.3 million square feet and opens up a new market in Savannah, which was ranked the fastest growing terminal market in the U.S. in 2018 (source: JLL)
       

 

   
1) Represents total direct consideration paid rather than GAAP cost basis.
2) Replacement cost is based on the Marshall & Swift valuation methodology for the determination of building costs. Replacement cost includes land reflected at the allocated cost in accordance with GAAP.

4Q 2020 Supplemental

Page 4 

 
Plymouth Industrial REIT, Inc.  
Value Creation                    
                           
Unaudited ($ in thousands, except RSF)                    
                           
Examples of Value Creation                    
                           

 

Lease Extension   Uncertain Tenancy   Lease Restructure / Extension
         
Atlanta, GA   Chicago, IL   Chicago, IL
Acquired in December 2017 with two years remaining on single-tenant lease term   Acquired single-tenant building in November of 2017 with less than 2 years remaining on lease term   Acquired 6-building single-tenant portfolio in August of 2017 with 3 years remaining on lease term and no rent escalation
Negotiated early 5-year lease extension at higher rental rate   Executed planned improvements to demise building and utilities, and enlarge parking accommodations   Reduced tenant's footprint to 3 buildings and extended term for 5 years with rent escalations
Exit cap rate ~110bps below stabilized acquisition cap rate1   Secured leases to 2 new tenants with no downtime at lease rates 20% above underwriting projections   Secured new tenant for other 3 buildings at higher rent for a 10-year term with no downtime
    Current NOI performance reflects a 37% premium above acquisition underwriting1   Exit cap rate ~130bps below stabilized acquisition cap rate1

 

Replacement Cost Analysis          
                           
                Total Rentable          
  Market   Market Type2     # of Buildings   Square Feet (RSF)   Purchase Price3   Replacement Cost4  
  Atlanta   Primary     9                             1,318,002    $                            62,931    $                            81,124  
  Chicago   Primary     38                             6,027,300                                226,933                                489,100  
  Boston   Secondary     1                                200,625                                  10,500                                  20,161  
  Cincinnati   Secondary     8                             2,073,510                                  79,700                                132,926  
  Cleveland   Secondary     16                             3,581,240                                168,550                                299,132  
  Columbus   Secondary     9                             1,951,723                                  61,400                                130,190  
  Indianapolis   Secondary     14                             3,468,401                                104,740                                245,919  
  Jacksonville   Secondary     24                             1,966,154                                135,650                                172,492  
  Memphis   Secondary     15                             1,773,894                                  53,475                                104,940  
  Philadelphia   Secondary     1                                156,634                                    9,700                                  10,569  
  St. Louis   Secondary     6                                754,463                                  39,637                                  52,228  
  Total         141                           23,271,946    $                          953,216    $                       1,738,781  
                           
                           
                           

 

1) Based on acquisition yield and current NOIs at estimated capitalization rates as of December 31, 2020.
2) Primary markets means the following two metropolitan areas in the U.S., each generally consisting of more than 300 million square feet of industrial space: Chicago and Atlanta. Secondary markets means non-primary markets, each generally consisting of between 100 million and 300 million square feet of industrial space, including the following metropolitan areas in the U.S.: Boston, Cincinnati, Cleveland, Columbus, Indianapolis, Jacksonville, Kansas City, Memphis, Milwaukee, Philadelphia, South Florida, and St. Louis. Our definitions of primary and secondary markets may vary from the definitions of these terms used by investors, analysts or other industrial REITs.
3) Represents total direct consideration paid rather than GAAP cost basis.
4) Replacement cost is based on the Marshall & Swift valuation methodology for the determination of building costs. Replacement cost includes land reflected at the allocated cost in accordance with GAAP.
                           

4Q 2020 Supplemental

Page 5 

Plymouth Industrial REIT, Inc.  
Rent Collections and Deferrals  
                   
We continue to experience substantial rent collection throughout the COVID-19 pandemic. Collection of original contracted rents, including those deferred, as of the current quarter ended was 99.6%. Subsequent to the period end, we have collected all outstanding rent deferments.  
 
 
                   
Unaudited ($ in thousands)                
                   
      % of Tenant   % of Tenant   Total Revised    
      Contractual Base   Contractual Base   Contractual Base    
Rent Collections   Rent Collected1   Rent Deferred   Rent Collected    
                   
First Quarter 2020   99.9%   0.0%   99.9%    
Second Quarter 2020   95.2%   4.7%   99.9%    
Third Quarter 2020   99.2%   0.4%   99.6%    
Fourth Quarter 2020   99.6%   0.0%   99.6%    
                   
                   
Rent Deferrals2   Granted3   Collected   Outstanding    
                   
First Quarter 2020    $                         -       $                         -       $                         -       
Second Quarter 2020                          1,161                               -                             1,161    
Third Quarter 2020                               89                             410                             840    
Fourth Quarter 2020                               -                                695                             145    
  Total4    $                    1,250    $                    1,105    $                       145    
                   
                   
                   
                 
1) Cash receipts based on contractual base rent receivables through February 16, 2021.
2) Rent deferrals required full repayment of rent amounts within twelve months from the date of the deferment. The average deferment period, weighted by the total deferred rent amount, was five months.
3) Rent deferments were granted during the second quarter of 2020; amounts shown as granted relate to the period in which the contractual base rent was due. No new rent deferments were granted during the third or fourth quarters of 2020.
4) The total outstanding rental deferral amounts as of the year ended December 31, 2020 have been paid consistent with the deferral terms and fully collected in the subsequent period.
                 

4Q 2020 Supplemental

Page 6 

 
Plymouth Industrial REIT, Inc.
Guidance
 
Unaudited (in thousands, except per-share amounts)

 

      First Quarter 2021 Range1   Full Year 2021 Range1  
      Low   High   Low   High  
                     
Net loss    $                      (0.11)    $                      (0.09)    $                      (0.29)    $                      (0.25)  
                     
Depreciation and amortization                              0.53                              0.53                              2.17                              2.17  
Depreciation and amortization from unconsolidated joint venture                            0.01                              0.01                              0.05                              0.05  
Preferred stock dividend                            (0.06)                            (0.06)                            (0.23)                            (0.23)  
Core FFO    $                        0.37    $                        0.39    $                        1.70    $                        1.74  
                     
Amortization of debt related costs                              0.01                              0.01                              0.06                              0.06  
Stock compensation                              0.02                              0.02                              0.06                              0.06  
Straight line rent                            (0.02)                            (0.02)                            (0.09)                            (0.09)  
Above/below market lease rents                            (0.02)                            (0.02)                            (0.06)                            (0.06)  
Recurring capital expenditures                            (0.08)                            (0.08)                            (0.24)                            (0.23)  
AFFO attributable to common stockholders and unit holders  $                        0.28    $                        0.30    $                        1.43    $                        1.48  
                     
Weighted average common shares and units outstanding                        28,030                          28,030                          28,550                          28,550  
                     
                     
2021 Guidance Assumptions   Low   High   Low   High  
                     
Total Revenue    $                    30,800    $                    31,000    $                  132,800    $                  133,500  
NOI    $                    20,100    $                    20,500    $                    88,800    $                    89,600  
EBITDAre    $                    17,400    $                    17,500    $                    76,800    $                    77,300  
General & Administrative2    $                      3,000    $                      2,900    $                    12,200    $                    11,900  
Recurring Capital Expenditures    $                      2,350    $                      2,250    $                      6,850    $                      6,550  
Same Store Cash NOI3    $                    14,100    $                    14,300    $                    58,600    $                    59,150  
Same Store Occupancy3                             95.5%                             96.5%                             95.5%                             97.0%  
                     
                     

 

1)Assumes the completion of approximately $42 million and an additional $105 million of acquisitions by periods ending March 31, 2021 and June 30, 2021, respectively. There can be no assurance that we will compete such acquisitions within the forecasted timeframes.
2)Includes non-cash stock compensation of $0.44 and $1.62 million in the first quarter and full year 2021, respectively.
3)The Same Store Portfolio consists of 108 buildings aggregating 17,093,547 rentable square feet. The Same Store performance reflects an annual NOI cash basis increase of 3.0%-3.4%.

4Q 2020 Supplemental

Page 7 

 
Plymouth Industrial REIT, Inc.  
Same Store Net Operating Income (NOI)
                     
Unaudited ($ in thousands)                  
                     
Same Store Portfolio Statistics  
                     
Square footage 11,740,879   Includes: wholly owned properties for the period Jan. 1, 2019 to Dec. 31, 2020; determined and set once per year for the following twelve months (refer to Glossary for Same Store definition)
Number of properties 53  
Number of buildings 76  
Percentage of total portfolio square footage 50.5%   Excludes: wholly owned properties classified as repositioning or lease-up during 2019 or 2020 (3 properties representing approximately 281,000 of rentable square feet) and unconsolidated joint venture properties
Occupancy at period end 97.9%  
       

 

Same Store NOI - GAAP Basis                
                   
        Three Months Ended December 31,      
        2020   2019   $ Change % Change
                   
Rental revenue      $            16,964    $            16,616    $                 348 2.1%
                   
Property expenses                      6,229                    6,050                       179 3.0%
Same Store NOI - GAAP Basis      $            10,735    $            10,566    $                 169 1.6%
                   
Same Store NOI excluding early termination income - GAAP Basis    $            10,697    $            10,566    $                 131 1.2%
                   
        Twelve Months Ended December 31,      
        2020   2019   $ Change % Change
                   
Rental revenue      $            67,274    $            65,958    $              1,316 2.0%
                   
Property expenses                    24,613                  24,181                       432 1.8%
Same Store NOI - GAAP Basis      $            42,661    $            41,777    $                 884 2.1%
                   
Same Store NOI excluding early termination income - GAAP Basis    $            42,514    $            41,670    $                 844 2.0%

 

Same Store NOI - Cash Basis                
                   
        Three Months Ended December 31,      
        2020   2019   $ Change % Change
                   
Rental revenue      $            16,540    $            15,989    $                 551 3.4%
                   
Property expenses                      6,229                    6,050                       179 3.0%
Same Store NOI - Cash Basis      $            10,311    $              9,939    $                 372 3.7%
                   
Same Store NOI excluding early termination income - Cash Basis    $            10,273    $              9,939    $                 334 3.4%
                   
        Twelve Months Ended December 31,      
        2020   2019   $ Change % Change
                   
Rental revenue      $            65,451    $            63,615    $              1,836 2.9%
                   
Property expenses                    24,613                  24,181                       432 1.8%
Same Store NOI - Cash Basis      $            40,838    $            39,434    $              1,404 3.6%
                   
Same Store NOI excluding early termination income - Cash Basis    $            40,691    $            39,327    $              1,364 3.5%

 

 

4Q 2020 Supplemental

Page 8 

 

Plymouth Industrial REIT, Inc.    
Consolidated Statements of Operations
                   
Unaudited ($ thousands, except per-share amounts)                
                   
    Three Months Ended December 31,   Full Year Ended December 31,  
    2020   2019   2020   2019  
                   
Revenues:                
Rental revenue  $                    23,169    $                    17,271    $                    85,025    $                    57,387  
Tenant recoveries                          6,783                            5,212                          24,811                          17,903  
Management fee revenue1                               15                                   -                                 15                                   -  
Total revenues  $                    29,967    $                    22,483    $                  109,851    $                    75,290  
                   
Operating expenses:                
Property                        10,058                            8,021                          38,159                          27,237  
Depreciation and amortization                        14,826                          11,074                          56,428                          37,381  
General and administrative                          2,984                            2,009                          10,362                            7,481  
Total operating expenses  $                    27,868    $                    21,104    $                  104,949    $                    72,099  
                   
Other income (expense):                
Interest expense                        (4,622)                          (3,887)                        (18,931)                        (14,948)  
Impairment on real estate lease                                 -                                   -                             (311)                                   -  
Unrealized (appreciation)/depreciation of warrants                                 -                                   -                             (103)                             (181)  
Earnings (loss) in investment of unconsolidated joint venture2                             (19)                                   -                               (19)                                   -  
Total other income (expense)  $                    (4,641)    $                    (3,887)    $                  (19,364)    $                  (15,129)  
                   
Net loss  $                    (2,542)    $                    (2,508)    $                  (14,462)    $                  (11,938)  
                   
Less: Loss attributable to non-controlling interest                             (65)                             (177)                             (649)                          (1,518)  
                   
Net loss attributable to Plymouth Industrial REIT, Inc.  $                    (2,477)    $                    (2,331)    $                  (13,813)    $                  (10,420)  
                   
Less: Preferred stock dividends                          1,605                            1,565                            6,444                            6,263  
Less: Series B Preferred Stock accretion to redemption value                          1,854                            1,900                            7,416                            7,601  
Less: Loss on extinguishment of Series A Preferred Stock                               34                                   -                                 34                                   -  
Less: Amount allocated to participating securities                               38                                 62                               182                               239  
Net loss attributable to common stockholders  $                    (6,008)    $                    (5,858)    $                  (27,889)    $                  (24,523)  
Net loss basic and diluted per share attributable to common stockholders  $                      (0.24)    $                      (0.44)    $                      (1.52)    $                      (2.88)  
                 
Weighted-average common shares outstanding basic & diluted                         24,783                           13,416                         18,382                         8,503  
                   
                   

 

1) Represents management fee revenue earned from the unconsolidated joint venture.
2) Represents our share of earnings/(losses) related to our investment in an unconsolidated joint venture. Refer to Unconsolidated Joint Venture in this Supplement Information for additional details.

 

4Q 2020 Supplemental

Page 9 

 
Plymouth Industrial REIT, Inc.
Consolidated NOI
             
Unaudited ($ in thousands)          
             
      Three Months Ended December 31,  
      2020   2019  
             
Net loss    $                    (2,542)    $                    (2,508)  
             
General and administrative                            2,984                            2,009  
Depreciation and amortization                          14,826                          11,074  
Interest expense                            4,622                            3,887  
Equity in earnings of unconsolidated joint venture1                                 19                                   -  
Other Income2                               (15)                                   -  
Net Operating Income    $                    19,894    $                    14,462  
             
             
      Twelve Months Ended December 31,  
      2020   2019  
             
Net loss    $                  (14,462)    $                  (11,938)  
             
General and administrative                          10,362                            7,481  
Depreciation and amortization                          56,428                          37,381  
Interest expense                          18,931                          14,948  
Impairment on real estate lease3                               311                                   -  
Unrealized appreciation/(depreciation) of warrants4                               103                               181  
Equity in earnings of unconsolidated joint venture1                                 19                                   -  
Other Income2                               (15)                                   -  
Net Operating Income    $                    71,677    $                    48,053  
             
             
 
             
1) Represents our share of earnings/(losses) related to our investment in an unconsolidated joint venture. Refer to Unconsolidated Joint Venture in this Supplement Information for additional details.
2) Represents management fee revenue earned from the unconsolidated joint venture.  
3) Represents a non-cash impairment against the carrying value of the right-of-use asset associated with the primary lease for our prior headquarters.
4) Represents the change in the fair market value of our common stock warrants.
             

4Q 2020 Supplemental

Page 10 

 
Plymouth Industrial REIT, Inc.    
Non-GAAP Measurements  
                 
Unaudited ($ thousands, except per-share amounts)                
                 
Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate (EBITDAre)              
   
  Three Months Ended December 31,   Twelve Months Ended December 31,  
  2020   2019   2020   2019  
                 
Net loss  $                    (2,542)    $                    (2,508)    $                  (14,462)    $                  (11,938)  
                 
Depreciation and amortization                        14,826                          11,074                          56,428                          37,381  
Interest expense                          4,622                            3,887                          18,931                          14,948  
Unrealized appreciation/(depreciation) of warrants                                 -                                   -                               103                                   -  
EBITDAre  $                    16,906    $                    12,453    $                    61,000    $                    40,391  
                 
Stock based compensation amortization                             383                               330                            1,439                            1,205  
Impairment on real estate lease1                                 -                                   -                               311                                   -  
Pro forma effect of acquisitions2                          1,331                            1,338                            2,628                            2,681  
Adjusted EBITDA  $                    18,620    $                    14,121    $                    65,378    $                    44,277  
                 
Funds from Operations (FFO), Core FFO & Adjusted Funds from Operations (AFFO)              
                 
  Three Months Ended December 31,   Twelve Months Ended December 31,  
  2020   2019   2020   2019  
                 
Net loss  $                    (2,542)    $                    (2,508)    $                  (14,462)    $                  (11,938)  
                 
Depreciation and amortization                        14,826                          11,074                          56,428                          37,381  
Depreciation and amortization from unconsolidated joint venture                               64                                   -                                 64                                   -  
FFO  $                    12,348    $                      8,566    $                    42,030    $                    25,443  
Preferred stock - Series A dividends                           (949)                             (956)                          (3,817)                          (3,823)  
Preferred stock - Series B dividends                           (656)                             (609)                          (2,627)                          (2,440)  
Unrealized (appreciation)/depreciation of warrants                                 -                                   -                               103                               181  
Impairment on real estate lease1                                 -                                   -                               311                                   -  
Core FFO  $                    10,743    $                      7,001    $                    36,000    $                    19,361  
                 
Amortization of debt related costs                             416                               247                            1,467                            1,030  
Non-cash interest expense                             227                                 34                               148                               266  
Stock compensation                             383                               330                            1,439                            1,205  
Straight line rent                           (510)                             (518)                          (1,963)                          (1,296)  
Above/below market lease rents                           (640)                             (429)                          (2,075)                          (1,488)  
Recurring capital expenditures3                           (759)                             (921)                          (3,263)                          (3,143)  
AFFO  $                      9,860    $                      5,744    $                    31,753    $                    15,935  
                 
Weighted average common shares and units outstanding                        25,627                          14,599                          19,327                            9,698  
                 
Core FFO attributable to common stockholders and unit holders per share  $                        0.42    $                        0.48    $                        1.86    $                        2.00  
                 
AFFO attributable to common stockholders and unit holders per share  $                        0.38    $                        0.39    $                        1.64    $                        1.64  
                 
                 
Refer to Glossary in this Supplemental Information for definitions of non-GAAP financial measures.            
                   
1) Represents a non-cash impairment against the carrying value of the right-of-use asset associated with the primary lease for our prior headquarters.
2) Represents the estimated impact of wholly owned and joint venture acquisitions as if they had been acquired on the first day of each respective quarter in which the acquisitions occurred. We have made a number of assumptions in such estimates and there can be no assurance that we would have generated the projected levels of EBITDA had we owned the acquired properties as of the beginning of the respective periods.
3) Excludes non-recurring capital expenditures of $1,949 and $1,349 for the three months ended December 31, 2020 and  2019, respectively, and $5,427 and $4,579 for the years ended December 31, 2020 and 2019 respectively. Non-recurring capital expenditures are those capital items made with respect to a property for upgrades or renovation, and include expenditures for items that were identified at the time such property was acquired by the Company.

4Q 2020 Supplemental

Page 11

 
Plymouth Industrial REIT, Inc.          
Consolidated Balance Sheets  
                   
Unaudited ($ in thousands)            

 

   December 31, 2020   December 31, 2019 
ASSETS          
Real estate properties:          
Land  $159,681   $127,439 
Building and improvements   727,000    528,349 
Less accumulated depreciation   (98,283)   (63,877)
Total real estate properties, net  $788,398   $591,911 
           
Cash, cash held in escrow and restricted cash   32,054    22,398 
Deferred lease intangibles, net   66,116    57,088 
Investment in unconsolidated joint venture1   6,683     
Other assets   27,019    14,084 
Total assets  $920,270   $685,481 
           
LIABILITIES, PREFERRED STOCK AND EQUITY          
Secured debt, net  $328,908   $397,458 
Unsecured debt, net2   189,254     
Accounts payable, accrued expenses and other liabilities   49,335    36,284 
Deferred lease intangibles, net   11,350    8,314 
Financing lease liability3   2,207     
           
Total liabilities  $581,054   $442,056 
           
Preferred stock - Series A  $48,485   $48,868 
Preferred stock - Series B4  $87,209   $79,793 
           
Equity:          
Common stock  $253   $141 
Additional paid in capital   360,752    256,259 
Accumulated deficit   (162,250)   (148,403)
Total stockholders' equity   198,755    107,997 
Non-controlling interest   4,767    6,767 
Total equity  $203,522   $114,764 
           
Total liabilities, preferred stock and equity  $920,270   $685,481 

 

   
1) Represents a noncontrolling equity interest in a single joint venture we entered into during October, 2020. Our investment in the joint venture is accounted for under the equity method of accounting. Refer to Investment in Unconsolidated Joint Venture in this Supplemental Information for additional details.
2) Includes borrowings under line of credit. Refer to Debt Summary in this Supplemental Information for additional details.
3) As of December 31, 2020, we have a single finance lease in which we are the sublessee for a ground lease with a remaining lease term of approximately 35 years. Refer to our 2020 Annual Report on Form 10-K for expanded disclosure.
4) Refer to Glossary in this Supplemental Information for relevant features of the Preferred stock - Series B.        

 

4Q 2020 Supplemental

Page 12 

 

Plymouth Industrial REIT, Inc.            
Capital Structure and Debt Summary            
                 
Unaudited ($ in thousands) as of 12/31/2020            

 

Debt Summary            
               
  Secured Debt:   Maturity Date Interest Rate Commitment Principal Balance  
  Lincoln Life Mortgage1   January-22 3.41%  $                         9,600  $                         9,289  
  AIG Loan   November-23 4.08%                         120,000                         117,087  
  Ohio National Life Mortgage1   August-24 4.14%                           21,000                           20,250  
  Allianz Loan   April-26 4.07%                           63,115                           63,115  
  JPMorgan Chase Loan1   January-27 5.23%                           13,900                           13,440  
  Nationwide Loan   October-27 2.97%                           15,000                           15,000  
  Minnesota Life Loan   May-28 3.78%                           21,500                           20,870  
  Transamerica Loan   August-28 4.35%                           78,000                           72,960  
  Total / Weighted Average Secured Debt   4.10%  $                     342,115  $                     332,011  
               
  Unsecured Debt:            
  KeyBank Revolving Credit Facility2   October-24  1.95%3  $                     200,000  $                       90,000  
  KeyBank Term Loan2   October-25  1.95%3                         100,000                         100,000  
  Total / Weighted Average Unsecured Debt   1.95%  $                     300,000  $                     190,000  
               
          As of December 31,  
          2020 2019  
               
        Total Debt4  $                     522,011  $                     401,077  
        Less: Cash                           32,054                           22,398  
        Net Debt  $                     489,957  $                     378,679  
               

 

Capitalization            
          As of December 31,  
          2020 2019  
    Common Shares and Units Outstanding5                               25,951                           15,017  
    High Closing Price        $                         21.11  $                         19.65  
    Low Closing Price        $                           7.90  $                         13.16  
    Closing Price (as of period end)      $                         15.00  $                         18.39  
    Market Value of Common Shares6      $                     389,265  $                     276,163  
    Preferred Stock - Series A7                                 50,600                           51,000  
    Preferred Stock - Series B7                                 97,230                           96,574  
    Total Market Capitalization6,8        $                  1,059,106  $                     824,814  
               
    Dividend / Share (annualized)        $                           0.80  $                           1.50  
    Dividend Yield (annualized)       5.3% 8.2%  
    Total Debt-to-Total Market Capitalization     49.3% 48.6%  
    Secured Debt as a % of Total Debt     65.5% 100.0%  
    Unsecured Debt as a % of Total Debt     34.5% 0.0%  
    Net Debt-to-Annualized Adjusted EBITDA (quarter annualized)     6.7x 6.7x  
    Net Debt plus Preferred-to-Annualized Adjusted EBITDA (quarter annualized)7     8.7x 9.3x  
    Weighted Average Maturity of Total Debt (Years)     4.9 5.4  
               

 

Capital Markets Activity
         
Common Shares Avg. Price Offering Period Net Proceeds
593,705  $                          18.62 ATM Q1 2020  $                        10,814
1,060,300  $                          12.03 ATM Q2 2020  $                        12,536
8,625,000  $                          12.85 Follow-On Q3 2020  $                      104,420
558,900  $                          13.58 ATM Q4 2020  $                          7,385
2,658,756  $                          14.86 ATM Q1 2021  $                        38,800
         

Refer to Glossary in this Supplemental Information for definitions of non-GAAP financial measures, including Net debt and Net debt plus preferred-to-Adjusted EBITDA.

 

1)Debt assumed at acquisition.
2)On October 8, 2020, the Company entered into a new $300 million unsecured credit facility, comprised of $200 million revolving credit facility and $100 million term loan. The new unsecured revolving credit facility has an accordion feature enabling the Company to increase the total borrowing capacity under the credit facility and term loan up to an aggregate of $500 million, subject to certain conditions. Refer to our 2020 Annual Report on Form 10-K for expanded disclosure.
3)The 1-month LIBOR rate as of December 31, 2020 was 0.14%. The spread over the applicable rate for the KeyBank Term Loan and the revolving line of credit with KeyBank is based on the Company’s total leverage ratio.
4)Total Debt is not adjusted for the amortization of debt issuance costs or fair market premiums or discounts. Total Debt does not include the Company's pro rata share of unconsolidated joint venture debt.
5)Common shares and units outstanding were 25,344 and 607 for the year ended 2020, and 14,141 and 876 for year ended 2019, respectively.
6)Based on closing price as of last trading day of the quarter and common shares and units as of the period ended.
7)Preferred Stock is calculated at its liquidation preference as of the end of the period.
8)Market value of shares and units plus total debt and preferred stock as of period end.

4Q 2020 Supplemental

Page 13 

 
Plymouth Industrial REIT, Inc.                    
Unconsolidated Joint Venture                    
                       

 

In October 2020, the Company announced the formation of a $150 million equity joint venture with Madison International Realty to pursue the acquisition of value-add and opportunistic industrial properties in key markets. The joint venture's first acquisition on December 17, 2020 was a portfolio of infill industrial buildings in metropolitan Memphis for $86 million. The acquisition is projected to provide an initial yield of approximately 7.7%.
 
Unaudited ($ in thousands) as of 12/31/2020

 

Unconsolidated Joint Venture Portfolio Statistics   Madison International Realty Joint Venture
                   
Number of Properties     16       Partnership   Total Equity
Number of Buildings     28     Joint Venture Members  Interests   Commitment
Square Footage     2,320,773     Plymouth (Managing Member) 20%    $                  30,000
Occupancy     95.4%     Madison 80%                      120,000
Weighted Average Lease Term Remaining (in years)     2.8            $                150,000
Multi-Tenant %     41%     Partner Equity Deployed      $                  33,328
Single-Tenant %     59%     Annualized Asset Mgmt. Fee to PLYM      $                       333
                   
            Targeted Total   Remaining
            Leverage Potential Investment   Potential Investment
            60%  $                375,000    $                289,000
            65%  $                428,000    $                342,000

 

Balance Sheet Information1   Selected Quarter-to-Date and Year-to-Date Financial Information1
                       
        December 31,       Three Months Ended   Year Ended  
  ASSETS     2020       December 31,   December 31,  
   Real estate properties      $               87,211     PLYM Share 2020   2020  
   Cash, cash held in escrow and restricted cash                         1,657     Revenues  $                    79    $                    79  
   Other Assets                            530     Net Operating Income  $                    60    $                    60  
  Total assets      $               89,398     Interest Expense  $                    15    $                    15  
              EBITDA  $                    60    $                    60  
  LIABILITIES AND EQUITY           Joint Venture Assets  $             17,866    $             17,866  
   Debt2      $               55,393     Joint Venture Debt  $             11,200    $             11,200  
   Other Liabilities                            677              
   Equity                       33,328              
  Total Liabilities and Equity      $               89,398              
                       
            Joint Venture Key Terms
                       
            We are the Managing Member of the joint venture and receive an annual 1% asset management fee on the total equity investment
           
            Distribution of cash flows: first to Members pro rata until Madison achieves a 12% return; second 10% to Managing Member and 90% to Members pro-rata until Madison achieves a 15% return, thereafter 20% to Managing Member and 80% to Members pro rata
           

 

Additional details on the unconsolidated joint venture can be found in documents filed with or furnished to the SEC.  
   
1) Balance sheet and portfolio information is presented at 100% of the joint venture.  Selected financial information is presented at our pro rata share.
2) A $56 million mortgage secured by the joint venture properties from Minnesota Life that carries a seven-year term at a fixed interest rate of 3.15%.

 

 

4Q 2020 Supplemental

Page 14 

 
Plymouth Industrial REIT, Inc.                  
Net Asset Value Components                  
                     
Unaudited ($ in thousands) as of 12/31/2020          
                     
Net Operating Income       Q4 2020 Acquisitions        
                     
      Three Months Ended
December 31,
2020
  Market Acquisition
Date
# of
Buildings
Square
Footage
Purchase
Price
Projected
Initial Yield
  Pro Forma Net Operating Income (NOI)1       Columbus 10/23/2020 1        314,736  $      10,500 9.0%
  Total Operating NOI    $                    19,894   Cleveland 11/24/2020 10     2,113,623  $      94,000 7.5%
  Pro Forma Effect of New Lease Activity2                               215              
  Pro Forma Effect of Acquisitions3                            1,064              
  Pro Forma Effect of Repositioning / Development4                               486              
  Pro Forma Effect Joint Venture (pro rata share)5                               267              
  Pro Forma NOI    $                    21,926              
                     
  Amortization of above / below market lease intangibles, net                           (640)              
  Straight-line rental revenue adjustment                             (510)              
                     
  Pro Forma Cash NOI    $                    20,776              
                     
Other Assets and Liabilities       Developable Land        
                     
  Cash, cash held in escrow and restricted cash    $                    32,054            
  Other assets    $                    27,019   Market Owned
Land (acres)6
Developable
GLA (SF)6
     
  Accounts payable, accrued expenses and other liabilities    $                    49,335   Atlanta 65         340,000      
          Chicago 11         220,000      
Debt and Preferred Stock       Boston 8           70,000      
          Cincinnati 30         450,000      
  Secured Debt, net    $                  332,011   Jacksonville 15         165,000      
  Unsecured Debt, net    $                  190,000   Memphis 23         475,000      
  Share of Joint Venture Debt7    $                    11,200     152      1,720,000      
  Preferred Stock - Series A8    $                    50,600              
  Preferred Stock - Series B8    $                    97,230              
                     
  Common shares and units outstanding basic and diluted                          25,627              
                     
                     
                     
We have made a number of assumptions with respect to the pro forma effects and there can be no assurance that we would have generated the projected levels of NOI had we actually owned the acquired properties and / or fully stabilized the repositioning / development properties as of the beginning of the period.

 

1)Refer to Glossary in this Supplemental Information for a definition and discussion of non-GAAP financial measures.
2)Represents the estimated incremental base rents from uncommented new leases as if rent commencement had occurred as of the beginning of the period.
3)Represents the estimated impact of acquisitions as if they had been acquired at the beginning of the period.
4)Represents the estimated impact of properties that are undergoing repositioning or lease-up as if the properties were fully stabilized and rents had commenced as of the beginning of the period.
5)Represents our pro rata share impact of joint venture acquisitions as if they had been acquired at the beginning of the period.
6)Developable land represents acreage currently owned by us and identified for potential development. The developable gross leasable area (GLA) is based on the developable land area and a land to building ratio. Developable land and GLA are estimated and can change periodically due to changes in site design, road and storm water requirements, parking requirements and other factors. We have made a number of assumptions in such estimates and there can be no assurance that we will develop land that we own.
7)Our ownership interest is 20%.
8)Preferred Stock is calculated at its liquidation preference as of the end of the period.

4Q 2020 Supplemental

Page 15 

 
Plymouth Industrial REIT, Inc.
Leasing Activity and Expirations
 
Unaudited as of 12/31/2020

 

Lease Renewals and New Leases1
                 
Year Type Square Footage Percent  Expiring Rent New Rent % Change Tenant Improvements $/SF/YR Lease Commissions $/SF/YR
                 
2019 Renewals 1,380,839 58.4%  $               4.17  $               4.51 8.2%  $                   0.19  $                          0.14
  New Leases 982,116 41.6%  $               2.88  $               3.43 19.1%  $                     0.27  $                          0.23
  Total 2,362,955 100%  $               3.22  $               3.67 14.0%  $                     0.16  $                          0.17
                 
Q1 2020 Renewals 105,582 26.9%  $               6.27  $               6.42 2.4%  $                     0.17  $                          0.13
  New Leases 286,885 73.1%  $               3.63  $               4.74 30.6%  $                     0.26  $                          0.21
  Total 392,467 100%  $               4.34  $               5.19 19.6%  $                     0.24  $                          0.19
                 
Q2 2020 Renewals 1,290,366 95.4%  $               3.34  $               3.58 7.2%  $                     0.09  $                          0.08
  New Leases 62,494 4.6%  $               4.17  $               5.74 37.6%  $                     0.34  $                          0.08
  Total 1,352,860 100%  $               3.33  $               3.63 9.0%  $                     0.10  $                          0.08
                 
Q3 2020 Renewals 102,608 30.0%  $               4.50  $               4.54 0.9%  $                         -     $                          0.10
  New Leases 239,541 70.0%  $               3.67  $               4.44 21.0%  $                     0.13  $                          0.02
  Total 342,149 100%  $               3.92  $               4.47 14.0%  $                     0.09  $                          0.04
                 
Q4 2020 Renewals 382,790 68.6%  $               4.25  $               4.27 0.6%  $                     0.28  $                          0.06
  New Leases 175,394 31.4%  $               6.34  $               6.22 -1.9%  $                     0.34  $                          0.31
  Total 558,184 100%  $               4.91  $               4.88 -0.4%  $                     0.30  $                          0.13
                 
2020 Renewals 1,881,346 71.1%  $               3.75  $               3.93 4.8%  $                     0.13  $                          0.08
  New Leases 764,314 28.9%  $               4.31  $               5.07 17.6%  $                     0.24  $                          0.19
  Total 2,645,660 100%  $               3.92  $               4.26 8.7%  $                     0.16  $                          0.11

 

Lease Expiration Schedule

 

Year Square Footage2 ABR3 % of ABR Expiring4
Available 845,996  $                     - -
2021 2,756,002        12,209,097 13.0%
2022 4,074,052        18,843,658 20.0%
2023 2,794,592        10,876,626 11.5%
2024 3,683,266        14,242,603 15.1%
2025 3,271,696        13,547,045 14.4%
Thereafter 5,846,342        24,376,209 26.0%
Total 23,271,946  $    94,095,238 100%

 

   
1) Lease renewals and new lease activity excludes leases with terms less than six months.
2) Of the square footage expiring in 2021, 355,389 or 13% has been renewed or re-leased subsequent to December 31, 2020.
3) Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.
4) Calculated as annualized base rent set forth in this table divided by total annualized base rent as of December 31, 2020.

4Q 2020 Supplemental

Page 16 

 

Plymouth Industrial REIT, Inc.
Leased Square Feet and Annualized Base Rent by Tenant Industry
               
Unaudited as of 12/31/2020            

 

Industry Total Leased Square Feet # of Tenants % Rentable Square Feet ABR1 % ABR ABR Per
Square Foot
 Logistics & Transportation                5,015,765                             60 22.4%  $         19,846,633 21.1%  $                     3.96
 Home & Garden                1,573,524                             11 7.0%                4,869,487 5.2%                         3.09
 Food & Beverage                1,274,552                             17 5.7%                5,764,303 6.1%                         4.52
 Construction                1,257,393                             31 5.6%                5,104,613 5.4%                         4.06
 Telecommunications                1,148,808                             10 5.1%                4,252,121 4.5%                         3.70
 Printing                1,139,199                               9 5.1%                3,554,633 3.8%                         3.12
 Cardboard & Packaging                1,111,994                             11 5.0%                3,780,476 4.0%                         3.40
 Automotive                1,107,228                             19 4.9%                4,536,350 4.8%                         4.10
 Light Manufacturing                   823,849                               9 3.7%                3,737,627 4.0%                         4.54
 Wholesale / Retail                   819,616                             20 3.7%                3,196,764 3.4%                         3.90
 Plastics                   771,234                             10 3.4%                3,107,951 3.3%                         4.03
 Industrial Equipment Components                   701,154                             18 3.1%                2,687,130 2.9%                         3.83
 Other Industries*                5,681,634                           161 25.3%             29,657,148 31.5%                         5.22
Total             22,425,950                           386 100%  $         94,095,238 100%  $                     4.20
             
*Other Industries Total Leased Square Feet # of Tenants % Rentable Square Feet ABR1 % ABR ABR Per
Square Foot
 Metal Fabrication/Finishing                     562,731                             12 2.5%  $           2,592,080 2.8%  $                     4.61
 Healthcare                   488,705                             19 2.2%                2,776,968 3.0%                         5.68
 Storage                   485,357                             11 2.2%                2,960,392 3.1%                         6.10
 Technology & Electronics                   484,758                             15 2.1%                2,470,249 2.6%                         5.10
 Chemical                   433,722                               8 1.9%                1,589,769 1.7%                         3.67
 Education                   402,844                               7 1.8%                1,984,291 2.1%                         4.93
 Business Services                   396,846                             22 1.8%                3,229,420 3.4%                         8.14
 Plumbing Equipment/Services                   361,374                               5 1.6%                1,196,125 1.3%                         3.31
 Appliances                   335,415                               2 1.5%                1,413,853 1.5%                         4.22
 Other2                1,729,882                             60 7.7%                9,444,000 10.0%                         5.46
Total               5,681,634                           161 25.3%  $         29,657,148 31.5%  $                     5.22
             

 

   
   
1) Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.
2) Includes tenant industries for which the total leased square feet aggregates to less than 300,000 square feet.

 

4Q 2020 Supplemental

Page 17 

 
Plymouth Industrial REIT, Inc.
Leased Square Feet and Annualized Base Rent by Type
                 
Unaudited as of 12/31/2020              

 

Leased Square Feet and Annualized Base Rent by Lease Type          
                 
Lease Type     Total Leased
Square Feet
# of Leases % Leased
Square Feet
ABR1 % ABR ABR Per
Square Foot
Triple Net     15,547,132 276 69.3%  $      64,113,803 68.1%  $             4.12
Modified Net   3,444,894 49 15.4%           14,549,367 15.5%                 4.22
Gross   3,433,924 61 15.3%           15,432,068 16.4%                 4.49
Total   22,425,950 386 100%  $      94,095,238 100%  $             4.20
                 
                 
                 
Leased Square Feet and Annualized Base Rent by Tenant Type          
                 
Tenant Type     Total Leased
Square Feet
# of Leases % Leased
Square Feet
ABR1 % ABR ABR Per
Square Foot
Multi-Tenant   14,022,327 327 62.5%  $          62,104,771 66.0%  $             4.43
Single-Tenant   8,403,623 59 37.5%               31,990,467 34.0%                 3.81
Total   22,425,950 386 100%  $          94,095,238 100%  $             4.20
                 
                 
                 
Leased Square Feet and Annualized Base Rent by Building Type          
                 
Building Type   Total Leased
Square Feet
# of Buildings % Leased
Square Feet
ABR1 % ABR ABR Per
Square Foot
Warehouse/Distribution     14,086,438 70 62.8%  $          51,339,506 54.5%  $             3.64
Warehouse/Light Manufacturing   5,693,091 27 25.4%               23,223,683 24.7%                 4.08
Small Bay Industrial2   2,646,421 44 11.8%               19,532,049 20.8%                 7.38
Total   22,425,950 141 100%  $          94,095,238 100%  $             4.20

 

   
   
1) Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.
2) Small bay industrial is inclusive of flex space totaling 382,150 leased square feet and annualized base rent of $5,046,660. Small bay industrial is multipurpose space; flex space includes office space that accounts for greater than 50% of the total rentable area.

 

4Q 2020 Supplemental

Page 18 

 
Plymouth Industrial REIT, Inc.                
Top 10 Tenants by Annualized Base Rent              
                     
Unaudited as of 12/31/2020                  
                     
Tenant Market Industry   # of Leases Total Leased Square Feet Expiration ABR Per Square Foot ABR1 % Total ABR
 Stonecrop Technologies, LLC Columbus Telecommunications   1                   527,127 3/31/2021  $                      4.14  $           2,180,993 2.3%
 Archway Marketing Holdings, Inc. Chicago Logistics & Transportation 3                   503,000 3/31/2026                          3.80                1,911,000 2.0%
 Balta US, Inc. Jacksonville Home & Garden 2                   629,084 12/31/2028                          2.97                1,867,871 2.0%
 iQor Memphis Telecommunications 2                   566,281 12/31/2024                          3.15                1,783,785 1.9%
 Pactiv Corporation Chicago Food & Beverage 3                   439,631 8/31/2023                          3.86                1,696,552 1.8%
 ASC Manufacturing, Ltd. Cleveland Light Manufacturing 1                   274,464 6/30/2022                          6.08                1,667,508 1.8%
 First Logistics Chicago Logistics & Transportation 1                   327,194 10/31/2024                          4.95                1,619,610 1.7%
 JobsOhio Beverage System Cleveland Food & Beverage 1                   350,000 3/31/2024                          4.26                1,491,000 1.6%
 American Plastics, LLC Cleveland Plastics   1                   405,000 12/31/2028                          3.60                1,456,218 1.5%
 Spartan Logistics Columbus Logistics & Transportation 2                   340,000 10/31/2022                          4.03                1,369,617 1.5%
 Total Largest Tenants by Annualized Rent     17                4,361,781    $                      3.91  $         17,044,154 18.1%
 All Other       369             18,064,169    $                      4.27  $         77,051,084 81.9%
 Total Company Portfolio         386             22,425,950    $                      4.20  $         94,095,238 100.0%
                     
                     
                     
Lease Segmentation by Size                
                     
Square Feet # of Leases Total Leased Square Feet Total Rentable Square Feet Total Leased % Total Leased % Excluding Repositioning2 ABR1 In-Place + Uncommenced ABR3 % of Total In-Place + Uncommenced ABR In-Place + Uncommenced ABR Per SF4
< 4,999   61            144,490            199,362 72.5% 72.5%  $    1,608,050  $           1,608,050 1.7%  $                    11.13
5,000 - 9,999 52            363,128            460,744 78.8% 78.8%         2,622,957                2,693,531 2.9%                          7.13
10,000 - 24,999 85         1,356,647         1,500,711 90.4% 90.4%         9,551,206                9,743,690 10.3%                          7.01
25,000 - 49,999 75         2,625,893         2,677,936 98.1% 98.1%      14,681,324             14,681,324 15.6%                          5.59
50,000 - 99,999 51         3,415,157         3,802,623 89.8% 95.5%      15,266,448             15,266,448 16.2%                          4.47
> 100,000 62      14,520,635      14,630,570 99.2% 100.0%      50,365,254             50,365,254 53.4%                          3.47
Total 386      22,425,950      23,271,946 96.4% 97.9%  $  94,095,238  $         94,358,296 100.0%  $                      4.20
                     

 

   
   
1) Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.
2) Total Leased % Excluding Repositioning excludes vacant square footage being refurbished or repositioned.
3) In-Place + Uncommenced ABR calculated as in-place current annualized base rent as of December 31, 2020 plus annualized base rent for leases signed but not commenced as of December 31, 2020.
4) In-Place + Uncommenced ABR per SF is calculated as in-place current rent annualized base rent as of December 31, 2020 plus annualized base rent for leases signed but not commenced as of December 31, 2020, divided by leased square feet plus uncommenced leased square feet.

4Q 2020 Supplemental

Page 19 

 
Plymouth Industrial REIT, Inc.      
Rentable Square Feet and Annualized Base Rent by Market          
                   
Unaudited ($ in thousands) as of 12/31/2020          
                   
                   
Primary Markets1                
          % Rentable      
    # of Properties # of Buildings Occupancy Total Rentable
Square Feet
Square Feet ABR2 % ABR  
  Atlanta 8 9 99.9% 1,318,002 5.7%  $                        5,335 5.7%  
  Chicago 37 38 94.9% 6,027,300 25.9%                          23,659 25.1%  
                   
Secondary Markets1                
          Total Rentable % Rentable      
    # of Properties # of Buildings Occupancy Square Feet Square Feet ABR2 % ABR  
  Boston 1 1 100.0% 200,625 0.9%  $                        1,128 1.2%  
  Cincinnati 8 8 92.7% 2,073,510 8.9%                             7,038 7.5%  
  Cleveland 13 16 98.5% 3,581,240 15.4%                          14,836 15.8%  
  Columbus 9 9 97.6% 1,951,723 8.4%                             7,245 7.7%  
  Indianapolis 14 14 95.7% 3,468,401 14.9%                          11,922 12.7%  
  Jacksonville 7 24 98.4% 1,966,154 8.4%                          12,453 13.2%  
  Memphis 5 15 94.6% 1,773,894 7.6%                             6,360 6.8%  
  Philadelphia 1 1 99.8% 156,634 0.7%                                929 1.0%  
  St. Louis 4 6 99.5% 754,463 3.2%                             3,190 3.4%  
  Total 107 141 96.4% 23,271,946 100.0%  $                      94,095 100.0%  
                   
                   
                   
Total Acquisition Cost by Market              
                   
                   
  Market  State  # of Buildings Total Acquisition Cost3 Gross Real Estate Assets4  % Gross Real Estate Assets      
  Atlanta GA 9  $                      62,931  $                      55,006 6.2%      
  Chicago IL, WI 38                        226,933                        214,539 24.3%      
  Boston MA 1                          10,500                             9,238 1.0%      
  Cincinnati OH, KY 8                          79,700                          63,352 7.2%      
  Cleveland OH 16                        168,550                        157,103 17.8%      
  Columbus OH 9                          61,400                          73,914 8.4%      
  Indianapolis IN 14                        104,740                          93,345 10.6%      
  Jacksonville FL, GA 24                        135,650                        122,769 13.8%      
  Memphis MO 15                          53,475                          48,750 5.5%      
  Philadelphia PA, NJ 1                             9,700                             8,657 1.0%      
  St. Louis MO 6                          39,637                          36,701 4.2%      
  Total   141  $                    953,216  $                    883,374 100.0%      
                   
                   
                   
                   
1) Primary markets means the following two metropolitan areas in the U.S., each generally consisting of more than 300 million square feet of industrial space: Chicago and Atlanta. Secondary markets means non-primary markets, each generally consisting of between 100 million and 300 million square feet of industrial space, including the following metropolitan areas in the U.S.: Boston, Cincinnati, Cleveland, Columbus, Indianapolis, Jacksonville, Kansas City, Memphis, Milwaukee, Philadelphia, South Florida, and St. Louis. Our definitions of primary and secondary markets may vary from the definitions of these terms used by investors, analysts or other industrial REITs.
2) Annualized base rent is calculated as monthly contracted base rent as of December 31, 2020, multiplied by 12. Excludes rent abatements.    
3) Represents total direct consideration paid prior to the allocations per U.S. GAAP.          
4) The gross book value of real estate assets as of December 31, 2020 excluding $2,382 in leasehold improvements and assets related to Corporate activities and the finance lease right-of-use asset of $925 related to the ground sublease at 2100 International Parkway. Gross book value of real estate assets excludes depreciation and the allocation of the acquisition cost related to intangible assets and liabilities required by U.S. GAAP.
 

 

4Q 2020 Supplemental

Page 20 

 
Plymouth Industrial REIT, Inc.  
Glossary  
         
This glossary contains additional details for sections throughout this Supplemental Information, as well as explanations and reconciliations of certain non-GAAP financial measures and the reasons why we use these supplemental measures of performance and believe they provide useful information to investors. Additional detail can be found in our most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q, as well as other documents filed with or furnished to the SEC from time to time.  
 
 
         
         

Non-GAAP Financial Measures Definitions:

 

Net Operating Income (NOI): We consider net operating income, or NOI, to be an appropriate supplemental measure to net income in that it helps both investors and management understand the core operations of our properties. We define NOI as total revenue (including rental revenue and tenant reimbursements) less property-level operating expenses. NOI excludes depreciation and amortization, general and administrative expenses, impairments, gain/loss on sale of real estate, interest expense, and other non-operating items.

 

Cash Net Operating Income - (Cash NOI): We define Cash NOI as NOI excluding straight-line rent adjustments and amortization of above and below market leases.

 

EBITDAre and Adjusted EBITDA: We define earnings before interest, taxes, depreciation and amortization for real estate in accordance with the standards established by the National Association of Real Estate Investment Trusts (“NAREIT”). EBITDAre represents net income (loss), computed in accordance with GAAP, before interest expense, tax, depreciation and amortization, gains or losses on the sale of rental property, and loss on impairments. We calculate Adjusted EBITDA by adding or subtracting from EBITDAre the following items: (i) non-cash stock compensation, (ii) gain (loss) on extinguishment of debt, (iii) acquisition expenses (iv) the proforma impacts of acquisition and dispositions and (v) non-cash impairments on real estate lease. We believe that EBITDAre and Adjusted EBITDA is helpful to investors as a supplemental measure of our operating performance as a real estate company as it is a direct measure of the actual operating results of our industrial properties. EBITDAre and Adjusted EBITDA should not be used as a measure of our liquidity and may not be comparable to how other REITs' calculate EBITDAre and Adjusted EBITDA.

 

Funds From Operations ("FFO"): Funds from operations, or FFO, is a non-GAAP financial measure that is widely recognized as a measure of REIT operating performance. We consider FFO to be an appropriate supplemental measure of our operating performance as it is based on a net income analysis of property portfolio performance that excludes non-cash items such as depreciation. The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time. Since real estate values rise and fall with market conditions, presentations of operating results for a REIT, using historical accounting for depreciation, could be less informative. In December 2018, NAREIT issued a white paper restating the definition of FFO. The purpose of the restatement was not to change the fundamental definition of FFO, but to clarify existing NAREIT guidance. The restated definition of FFO is as follows: Net Income (calculated in accordance with GAAP), excluding: (i) Depreciation and amortization related to real estate, (ii) Gains and losses from the sale of certain real estate assets, (iii) Gain and losses from change in control, and (iv) Impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity.
          We define FFO, consistent with the NAREIT definition. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect FFO on the same basis. Other equity REITs may not calculate FFO as we do, and, accordingly, our FFO may not be comparable to such other REITs’ FFO. FFO should not be used as a measure of our liquidity, and is not indicative of funds available for our cash needs, including our ability to pay dividends.

 

Core Funds from Operations (“Core FFO”): Core FFO represents FFO reduced by dividends paid (or declared) to holders of our preferred stock and excludes certain non-cash operating expenses such as impairment on real estate lease, unrealized appreciation/(depreciation) of warrants and loss on extinguishment of debt. As with FFO, our reported Core FFO may not be comparable to other REITs’ Core FFO, should not be used as a measure of our liquidity, and is not indicative of our funds available for our cash needs, including our ability to pay dividends.

 

Adjusted Funds from Operations attributable to common stockholders (“AFFO”):  Adjusted funds from operations, or AFFO, is presented in addition to Core FFO. AFFO is defined as Core FFO, excluding certain non-cash operating revenues and expenses, acquisition and transaction related costs for transactions not completed and recurring capitalized expenditures. Recurring capitalized expenditures include expenditures required to maintain and re-tenant our properties, tenant improvements and leasing commissions. AFFO further adjusts Core FFO for certain other non-cash items, including the amortization or accretion of above or below market rents included in revenues, straight line rent adjustments, non-cash equity compensation and non-cash interest expense.
          We believe AFFO provides a useful supplemental measure of our operating performance because it provides a consistent comparison of our operating performance across time periods that is comparable for each type of real estate investment and is consistent with management’s analysis of the operating performance of our properties. As a result, we believe that the use of AFFO, together with the required GAAP presentations, provide a more complete understanding of our operating performance. As a result, we believe that the use of AFFO, together with the required GAAP presentations, provide a more complete understanding of our operating performance.
          As with Core FFO, our reported AFFO may not be comparable to other REITs’ AFFO, should not be used as a measure of our liquidity, and is not indicative of our funds available for our cash needs, including our ability to pay dividends.

 

Net Debt and Preferred stock to Adjusted EBITDA: Net debt and preferred stock to Adjusted EBITDA is a non-GAAP financial measure that we believe is useful to investors as a supplemental measure in evaluating balance sheet leverage. Net debt and preferred stock is equal to the sum of total consolidated and our pro rata unconsolidated joint venture debt less cash, cash equivalents, and restricted cash, plus preferred stock calculated at its liquidation preference as of the end of the period. 

 

4Q 2020 Supplemental

Page 21 

 
Plymouth Industrial REIT, Inc.  
Glossary  
                             
This glossary contains additional details for sections throughout this Supplemental Information, as well as explanations and reconciliations of certain non-GAAP financial measures and the reasons why we use these supplemental measures of performance and believe they provide useful information to investors. Additional detail can be found in our most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q, as well as other documents filed with or furnished to the SEC from time to time.  
 
 
                             
                             
Other Definitions:                          
                             
GAAP: U.S. generally accepted accounting principles.                    
                             
Gross Assets: The carrying amount of total assets plus accumulated depreciation and amortization, as reported in the Company’s consolidated financial statements. For gross assets as of December 31, 2020 the calculation is as follows:  
                             
Total assets    $       20,270                    
Add back accumulated depreciation             98,283                    
Add back intangible amortization             51,896                    
Gross assets    $  1,070,449                    
                             
Joint Venture Financial Information: We present components of balance sheet and operating results information related to our real estate joint venture, which are not presented, or intended to be presented, in accordance with GAAP. We present the proportionate share of certain financial line items by applying our noncontrolling economic interest ownership percentage to each financial item to arrive at the amount of such cumulative noncontrolling interest share of each component presented. In addition, we present components of balance sheet and portfolio information at 100% of the joint venture. We believe this information can help investors estimate the balance sheet and operating results information related to our unconsolidated joint venture. Presenting this information provides a perspective not immediately available from consolidated financial statements and one that can supplement an understanding of the joint venture assets, liabilities, revenues, and expenses included in our consolidated results. Joint venture financial information should not be considered an alternative to our consolidated financial statements, which are prepared in accordance with GAAP.    
                             
Lease Type: We define our triple net leases in that the tenant is responsible for all aspects of and costs related to the property and its operation during the lease term. We define our modified net leases in that the landlord is responsible for some property related expenses during the lease term, but the cost of most of the expenses is passed through to the tenant. We define our gross leases in that the landlord is responsible for all aspects of and costs related to the property and its operation during the lease term.  
                             
Non-Recurring Capital Expenditures: Non-recurring capital expenditures include capital expenditures of long lived improvements required to upgrade/replace existing systems or items that previously did not exist. Non-recurring capital expenditures also include costs associated with repositioning a property, redevelopment/development and capital improvements known at the time of acquisition.    
                             
Occupancy: We define occupancy as the percentage of total leasable square footage as the earlier of lease term commencement or revenue recognition in accordance to GAAP as of the close of the reporting period.  
                             
Preferred Stock - Series B: On December 14, 2018, we completed the offering of 4,411,764 shares of the Company’s Series B Convertible Redeemable Preferred Stock at a purchase price of $17.00 per share for an aggregate consideration of $75,000 or $71,800, net of issuance costs. The relevant features of the Series B Preferred Stock ("Series B") are as follows ($ in thousands):  
                             
        Annual   Liquidation                
Year   Cash Pay Rate   Cash Dividend   Preference1 Conversion and Redemption Options2  
1 - 2019   3.25%    $             2,438    $           97,230  No conversion or redemption options  
2 - 2020   3.50%    $             2,625    $           97,230  No conversion or redemption options  
3 - 2021   3.75%    $             2,813    $           97,230  No conversion or redemption options  
4 - 2022   4.00%    $             3,000    $           97,230 - Commencing 1/1/2022, holders of the Series B have the right to convert at the liquidation preference;
- Commencing 1/1/2022, Plymouth can elect to convert up to 100% of Series B upon the 20-day VWAP per share of Plymouth's common stock being greater than $26.35;
- Neither option expires
 
5 - 2023   6.50%    $             4,875    $         105,971   Commencing 1/1/2023, Plymouth can redeem up to 50% of the Series B at the liquidation preference  
6 - 20243   12.00%    $             9,000    $         114,028 - Commencing 1/1/2024, Plymouth can redeem up to 100% of the Series B at the liquidation preference;
- Commencing 12/31/2024, any outstanding shares of Series B will automatically covert into common stock, subject to the 19.99% threshold4
 
                             
  1) Liquidation Preference is defined as the greater of (a) the amount necessary for the holder to achieve a 12% internal rate of return, taking into account dividends paid and (b) $21.89, plus accrued and unpaid dividends.    
  2) Conversion and Redemption Options grant Plymouth the right to settle the conversion/redemption via: I) Physical Settlement with each share of Series B being converted to a number of common shares equal to the greater of (i) one share of common stock or (ii) the quotient of the liquidation preference divided by the 20-Day VWAP, subject to the 19.99% threshold, or II) Cash Settlement whereby we pay for each share of Series B being converted in cash in an amount equal to the greater of (i) the liquidation preference or (ii) the 20-Day VWAP, or III) Combination Settlement whereby Plymouth shall pay, or deliver, in respect to each share of Series B being converted, a settlement amount equal to either (i) cash equal to the Cash Settlement amount or (ii) number of shares of common stock equal to the Physical Settlement.    
  3) Effective 1/1/2025, in the event the Series B Preferred Stock has not been settled, the holders obtain certain governance rights, including the option to elect an additional two members to Plymouth's Board of Directors.    
  4) The 19.99% Threshold requires approval from the shareholders of Plymouth's common stock to approve the conversion of any Series B Preferred Stock into common shares that exceeds 19.99% of the outstanding common shares as of December 14, 2018.    
                             
Recurring Capital Expenditures: Recurring capitalized expenditures includes capital expenditures required to maintain and re-tenant our buildings, tenant improvements and leasing commissions.  
                             
Replacement Cost: is based on the Marshall & Swift valuation methodology for the determination of building costs. The Marshall & Swift building cost data and analysis is widely recognized within the U.S. legal system and has been written into in law in over 30 U.S. states and recognized in the U.S. Treasury Department Internal Revenue Service Publication. Replacement cost includes land reflected at the allocated cost in accordance with Financial Accounting Standards Board ("FASB") ASC 805.  
                             
Same Store Portfolio: The Same Store Portfolio is a subset of the consolidated portfolio and includes properties that are wholly owned by us for the period from January 1, 2019 through December 31, 2020. The Same Store Portfolio is evaluated and defined on an annual basis based on the growth and size of the consolidated portfolio. The Same Store Portfolio excludes properties that were or will be classified as repositioning or lease-up during 2019 and 2020. For 2020, the Same Store Portfolio consists of 53 properties aggregating 11,740,879 rentable square feet. Properties that are being repositioned generally are defined as those properties where a significant amount of space is held vacant in order to implement capital improvements that enhance the functionality, rental cash flows, and value of that property. We define a significant amount of space at a property using both the size of the space and its proportion to the properties total square footage as a determinate. Our computation of same store NOI may not be comparable to other REITs.  
                             
VWAP: The volume weighted average price of a trading security.  
                             
Weighted Average Lease Term Remaining: The average contractual lease term remaining as of the close of the reporting period (in years) weighted by square footage.  
                             
   

  

4Q 2020 Supplemental

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