Dispositions and Impairment

9 Months Ended

Sep. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

The following table summarizes the Company's dispositions during the nine months ended September 30, 2025 and September 30, 2024, respectively:


Sale of real estate (dollars in $000's)	September 30, 2025		September 30, 2024
Number of buildings	7		3
Building square feet	3,131,387		796,301
Net proceeds from sale of real estate	$	265,640	$	42,489
Net book value	$	165,508	$	24,965
Gain on sale of real estate(1)	$	100,132	$	19,402

(1) Gain on sale of real estate is a component of Gain on sale or disposal of, and recovery, on real estate, net, in the unaudited Condensed Consolidated Statements of Operations.

The Company had no properties classified as held for sale as of September 30, 2025 and as of December 31, 2024.

The Company assesses on a regular basis whether there are any indicators that the carrying value of its real estate assets may be impaired. Potential indicators may include prolonged vacancy at a property, tenant financial instability, change in the estimated holding period of the asset, the potential sale or transfer of the property in the near future and changes in economic conditions. An asset is determined to be impaired if the asset's carrying value is in excess of its estimated fair value and the Company estimates that its cost will not be recovered.

The Company did not incur any impairment charges on real estate during the nine months ended September 30, 2025 and September 30, 2024.

On May 10, 2025, the Company experienced a fire at a warehouse facility located in McDonough, Georgia, which resulted in damage to certain property, plant and equipment. The affected assets primarily included a portion of the roof and a small portion of the exterior wall of the building. During the nine months ended September 30, 2025, the Company recorded an estimated loss of $2,189 offset by $3,920 in insurance proceeds received resulting in a net casualty gain of $1,731. The realized gain represents the insurance proceeds received in excess of the estimated casualty losses, net of the non-reimbursable portion of the Company's insurance deductible, and is included in Gain on

sale or disposal of, and recovery on, real estate, net in the unaudited Condensed Consolidated Statements of Operations for the three and nine-month period ended September 30, 2025. As of September 30, 2025, the amounts of the actual loss and the insurance proceeds remain subject to the completion of repairs and adjustment by the insurance carrier.