STAG Industrial, Inc.
For the period ended Sep 30, 2025. Filed Oct 29, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Oct 29, 2025
STAG$36.60-0.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-07-29.
0001479094-25-000017
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-10-29.
0001479094-25-000028
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 212 previous paragraphs and 212 current paragraphs.
159 unchanged; 46 reworded; 7 added; 4 removed; 3 previous and 0 current paragraphs rearranged.
Tables are not compared: 15 previous and 15 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (7)
Current report
(3) These buildings were acquired through reverse like-kind exchange agreements pursuant to Section 1031 of the Code.
Current report
Comparison of the nine months ended September 30, 2025 to the nine months ended September 30, 2024
Current report
Comparison of the nine months ended September 30, 2025 to the nine months ended September 30, 2024
Current report
(6)The initial maturity date of our Unsecured Term Loan G is March 15, 2030, or such later date which may be extended pursuant to a one-year extension option exercisable by us in our discretion upon advance written notice. Exercise of the option is subject to the following conditions: (i) absence of a default immediately before the extension and immediately after giving effect to the extension; (ii) accuracy of representations and warranties as of the extension date (both immediately before and after the extension), as if made on the extension date; and (iii) payment of a fee. The extension option is not subject to lender consent, assuming proper notice and satisfaction of the conditions.
Current report
On September 15, 2025, we entered into a second amended and restated term loan agreement for our Unsecured Term Loan G to (i) extend the maturity date to March 15, 2030, with a one-year extension option exercisable by us in our discretion upon advance written notice, subject to certain conditions, including the payment of a fee, that would extend the maturity date to March 14, 2031 if exercised, (ii) remove the 0.10% interest rate adjustment for SOFR loans, and (iii) provide that borrowings under the Unsecured Term Loan G will, at the our election, bear interest based on a Base Rate, Term SOFR, or Daily Simple SOFR (each as defined in the loan agreement), plus an applicable spread based on our debt rating and leverage ratio (each as defined in the loan agreement). Other than the maturity date and interest rate provisions described above, the material terms of the Unsecured Term Loan G remain unchanged.
Current report
On September 15, 2025, we entered into amendments to our Unsecured Credit Facility, Unsecured Term Loan A, Unsecured Term Loan F, Unsecured Term Loan H, and Unsecured Term Loan I to remove the 0.10% interest rate adjustment for SOFR loans, and in the case of our Unsecured Term Loans A, H, and I, provide that borrowings under the respective term loans will, at our election, bear interest based on a Base Rate, Term SOFR, or Daily Simple SOFR (each as defined in the respective loan agreement). Other than the interest rate provisions described above, the material terms of our Unsecured Term Loans A, F, H, and I remain unchanged.
Current report
During the nine months ended September 30, 2025, we entered into four interest rate swaps with an aggregate notional value of $300.0 million which fix Daily SOFR at 3.09% effective February 5, 2026 and mature on March 15, 2030, and were designated as cash flow hedges.
Removed paragraphs (4)
Previous report
On October 22, 2024, American Tire Distributors, Inc. (“ATD”), a tenant that accounted for approximately 0.9% of our total annualized base rental revenue as of June 30, 2025, voluntarily filed for reorganization under Chapter 11 of the United States Bankruptcy Code. ATD leased seven buildings from us totaling 840,658 square feet. Annualized base rental revenue for the seven buildings were approximately $6.2 million as of June 30, 2025. On February 28, 2025, ATD sold substantially all of its assets as a going concern to a successor affiliated with ATD’s lender group (“Reorganized ATD”). The transaction eliminated a significant amount of debt and provided Reorganized ATD with access to new capital. On May 20, 2025, retroactive to February 28, 2025, Reorganized ATD assumed all seven of our leases, and certain lease terms were amended as part of the assumption.
Previous report
Comparison of the six months ended June 30, 2025 to the six months ended June 30, 2024
Previous report
Comparison of the six months ended June 30, 2025 to the six months ended June 30, 2024
Previous report
Subsequent to June 30, 2025, on July 3, 2025, we sold 1,008,200 shares on a forward basis under the ATM common stock offering program at a weighted average sale price of $36.6706 per share (an aggregate of approximately $37.0 million gross sale price), or $36.3079 per share net of commissions, with a scheduled maturity date of July 2, 2026.
Reworded paragraphs (46)
Previous wording
We are organized and conduct our operations to maintain our qualification as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended, and generally are not subject to federal income tax to the extent we currently distribute our income to our stockholders and maintain our qualification as a REIT. We remain subject to state and local taxes on our income and property and to U.S. federal income and excise taxes on our undistributed income.
Current wording
We are organized and conduct our operations to maintain our qualification as a REIT under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the “Code”), and generally are not subject to federal income tax to the extent we currently distribute our income to our stockholders and maintain our qualification as a REIT. We remain subject to state and local taxes on our income and property and to U.S. federal income and excise taxes on our undistributed income.
Previous wording
The industrial real estate business is affected by general macro-economic trends including recent changes in interest rates, inflation, trade policies, fiscal policy, and geopolitical tensions. These factors are key drivers of financial market volatility and raise concerns about a slowing global economy. After ten consecutive quarters of U.S. gross domestic product ("GDP") growth, real GDP declined 0.5% in the first quarter of 2025. Labor conditions are slowing but holding with a 4.1% unemployment rate as of June 2025. Due to the U.S.'s recent implementation of new and increased tariffs, the general consensus among economists is a higher risk of recession or stagflation. Trade policies and macro-economic conditions continue to evolve and could result in tighter credit conditions, weakening tenant cash flows, and increased credit loss and vacancy rates. Because of the current uncertainty and events discussed above, our acquisition activity has slowed relative to our historical acquisition pace.
Current wording
The industrial real estate business is affected by general macro-economic trends including recent changes in interest rates, inflation, trade policies, fiscal policy, and geopolitical tensions. These factors are key drivers of financial market volatility and raise concerns about a slowing global economy. In 2025, U.S. real gross domestic product (“GDP”) growth declined 0.5% in the first quarter and increased 3.8% in the second quarter. Labor conditions are slowing, with unemployment rising to 4.3% as of August 2025 compared to 4.1% at the end of June 2025. In September 2025, following weaker employment data, the Federal Open Market Committee lowered the federal funds rate range by 25 basis points to a target range of 4.00-4.25%. Going forward, due to the U.S.’s recent implementation of extraordinary tariffs, the general consensus among economists is a higher risk of recession or stagflation. While the trade policies and macro-economic conditions continue to evolve and could result in tighter credit conditions, weakening tenant cash flows, and rising vacancy rates, we believe we will continue to benefit from having a well-diversified portfolio across various markets, tenant industries, and lease terms. Additionally, we believe that recent moves toward more regional supply chains and geopolitical tensions have accelerated a number of trends that positively impact U.S. industrial demand. However, given the current uncertainty and events discussed above, our acquisition activity has continued to slow since 2022 relative to our historical acquisition pace.
Previous wording
The following table summarizes the Operating Portfolio leases that commenced during the three and six months ended June 30, 2025. Any rental concessions in such leases are accounted for on a straight-line basis over the term of the lease.
Current wording
The following table summarizes the Operating Portfolio leases that commenced during the three and nine months ended September 30, 2025. Any rental concessions in such leases are accounted for on a straight-line basis over the term of the lease.
Previous wording
Additionally, for the three and six months ended June 30, 2025, leases commenced totaling 1,142,983 and 1,236,381, respectively, related to the Value Add Portfolio and first generation leasing. These leases are excluded from the Operating Portfolio statistics above.
Current wording
Additionally, for the three and nine months ended September 30, 2025, leases commenced totaling 284,357 and 1,995,608, respectively, related to the Value Add Portfolio and first generation leasing. These leases are excluded from the Operating Portfolio statistics above.
Previous wording
Our ability to re-lease space subject to expiring leases will impact our results of operations and is affected by economic and competitive conditions in our markets and by the desirability of our individual buildings. Leases that comprise approximately 10.9% of our total annualized base rental revenue will expire during the period from July 1, 2025 to June 30, 2026, excluding month-to-month leases. We assume, based upon internal renewal probability estimates, that some of our tenants will renew and others will vacate and the associated space will be re-let subject to downtime assumptions. Using the aforementioned assumptions, we expect that the rental rates on the respective new leases will be greater than the rates under existing leases expiring during the period July 1, 2025 to June 30, 2026, thereby resulting in an increase in revenue from the same space.
Current wording
Our ability to re-lease space subject to expiring leases will impact our results of operations and is affected by economic and competitive conditions in our markets and by the desirability of our individual buildings. Leases that comprise approximately 9.2% of our total annualized base rental revenue will expire during the period from October 1, 2025 to September 30, 2026, excluding month-to-month leases. We assume, based upon internal renewal probability estimates, that some of our tenants will renew and others will vacate and the associated space will be re-let subject to downtime assumptions. Using the aforementioned assumptions, we expect that the rental rates on the respective new leases will be greater than the rates under existing leases expiring during the period October 1, 2025 to September 30, 2026, thereby resulting in an increase in revenue from the same space.
Previous wording
(1)Leases previously scheduled to expire in 2025, totaling approximately 11.8 million square feet, have been amended to extend their lease expiration date as of June 30, 2025. These leases are excluded from 2025 expirations and are now reflected in the new year of expiration.
Current wording
(1)Leases previously scheduled to expire in 2025, totaling approximately 13.1 million square feet, have been amended to extend their lease expiration date as of September 30, 2025. These leases are excluded from 2025 expirations and are now reflected in the new year of expiration.
Previous wording
The following table summarizes our acquisitions during the three and six months ended June 30, 2025.
Current wording
The following table summarizes our acquisitions during the three and nine months ended September 30, 2025.
Previous wording
(2) The Company acquired a vacant land parcel.
Current wording
(2) We acquired a vacant land parcel.
Previous wording
During the six months ended June 30, 2025, we sold two buildings comprised of approximately 0.5 million rentable square feet with a net book value of approximately $17.0 million to third parties. Net proceeds from the sales of rental property were approximately $72.6 million and we recognized the full gain on the sales of rental property, net, of approximately $55.6 million for the six months ended June 30, 2025.
Current wording
During the nine months ended September 30, 2025, we sold three buildings comprised of approximately 0.6 million rentable square feet with a net book value of approximately $20.5 million to third parties. Net proceeds from the sales of rental property were approximately $78.3 million and we recognized the full gain on the sales of rental property, net, of approximately $57.8 million for the nine months ended September 30, 2025.
Previous wording
We define same store properties as properties that were in the Operating Portfolio for the entirety of the comparative periods presented. The results for same store properties exclude termination fees, solar income, and other income adjustments. Same store properties exclude Operating Portfolio properties with expansions placed into service on or after January 1, 2024. On June 30, 2025, we owned 548 industrial buildings consisting of approximately 108.4 million square feet and representing approximately 91.6% of our total portfolio, that are considered our same store portfolio in the analysis below. Same store occupancy decreased approximately 0.7% to 97.4% as of June 30, 2025 compared to 98.1% as of June 30, 2024.
Current wording
We define same store properties as properties that were in the Operating Portfolio for the entirety of the comparative periods presented. The results for same store properties exclude termination fees, solar income, and other income adjustments. Same store properties exclude Operating Portfolio properties with expansions placed into service on or after January 1, 2024. On September 30, 2025, we owned 543 industrial buildings consisting of approximately 107.6 million square feet and representing approximately 90.2% of our total portfolio, that are considered our same store portfolio in the analysis below. Same store occupancy decreased approximately 1.0% to 96.9% as of September 30, 2025 compared to 97.9% as of September 30, 2024.
Previous wording
Net income for our total portfolio decreased by approximately $10.0 million, or 16.4%, to approximately $51.1 million for the three months ended June 30, 2025 compared to approximately $61.1 million for the three months ended June 30, 2024.
Current wording
Net income for our total portfolio increased by approximately $6.9 million, or 16.2%, to approximately $49.6 million for the three months ended September 30, 2025 compared to approximately $42.7 million for the three months ended September 30, 2024.
Previous wording
Same store rental income, which includes lease income and other billings as discussed below, increased by approximately $6.6 million, or 3.7%, to approximately $185.2 million for the three months ended June 30, 2025 compared to approximately $178.7 million for the three months ended June 30, 2024.
Current wording
Same store rental income, which includes lease income and other billings as discussed below, increased by approximately $7.9 million, or 4.5%, to approximately $186.3 million for the three months ended September 30, 2025 compared to approximately $178.4 million for the three months ended September 30, 2024.
Previous wording
Same store lease income increased by approximately $6.0 million, or 4.1%, to approximately $152.0 million for the three months ended June 30, 2025 compared to approximately $146.0 million for the three months ended June 30, 2024. The increase was primarily due to the execution of new leases and lease renewals with existing tenants of approximately $8.4 million. This increase was partially offset by the reduction of base rent of approximately $2.0 million due to tenant vacancies and a net increase in the amortization of net above market leases of approximately $0.1 million. Additionally, there was a decrease in same store lease income of approximately $0.3 million which was primarily attributable to management’s evaluation of operating leases to determine the probability of collecting substantially all of the lessee’s remaining lease payments under the lease term. During the three months ended June 30, 2025, same store lease income decreased approximately $0.7 million due to certain tenants converting from the accrual basis of accounting to the cash basis of accounting. This decrease was partially offset during the three months ended June 30, 2025 due to converting two tenants from the cash basis of accounting back to the accrual basis of accounting, for which approximately $0.4 million of straight-line accrued rental balance was reinstated.
Current wording
Same store lease income increased by approximately $7.0 million, or 4.8%, to approximately $152.4 million for the three months ended September 30, 2025 compared to approximately $145.4 million for the three months ended September 30, 2024. The increase was primarily due to the execution of new leases and lease renewals with existing tenants of approximately $10.5 million. This increase was partially offset by the reduction of base rent of approximately $2.0 million due to tenant vacancies. Additionally, there was a decrease in same store lease income which was primarily attributable to management’s evaluation of operating leases to determine the probability of collecting substantially all of the lessee’s remaining lease payments under the lease term. During the three months ended September 30, 2025, same store lease income decreased approximately $1.5 million due to certain tenants converting from the accrual basis of accounting to the cash basis of accounting.
Previous wording
Same store other billings increased by approximately $1.1 million, or 1.6%, to approximately $69.8 million for the six months ended June 30, 2025 compared to approximately $68.7 million for the six months ended June 30, 2024. The increase was attributable to an increase of approximately $1.5 million in other expense reimbursements which was primarily due to an increase in corresponding expenses. This increase was partially offset by a reduction in real estate tax reimbursements of approximately $0.4 million due to an decrease in real estate taxes levied by the taxing authority and vacancy of previously occupied buildings.
Current wording
Same store other billings increased by approximately $0.9 million, or 2.7%, to approximately $33.9 million for the three months ended September 30, 2025 compared to approximately $33.0 million for the three months ended September 30, 2024. The increase was attributable to an increase of approximately $0.6 million in other expense reimbursements which was primarily due to an increase in corresponding expenses. Additionally, there was an increase of approximately $0.3 million due to an increase in real estate taxes levied by the taxing authority and vacancy of previously occupied buildings.
Previous wording
Total same store property operating expenses increased by approximately $1.0 million, or 2.9%, to approximately $35.5 million for the three months ended June 30, 2025 compared to approximately $34.5 million for the three months ended June 30, 2024. This increase was primarily due to increases in repairs and maintenance, utility expense, snow removal expense, and other expenses of approximately $1.2 million, $0.4 million, $0.4 million, and $0.2 million, respectively. These increases were partially offset by a reduction to real estate tax expense and insurance expense of approximately $1.0 million and $0.2 million, respectively.
Current wording
Total same store property operating expenses increased by approximately $1.6 million, or 4.6%, to approximately $36.9 million for the three months ended September 30, 2025 compared to approximately $35.3 million for the three months ended September 30, 2024. This increase was primarily due to increases in repairs and maintenance, tax expense, utility expense, and other expenses of approximately $1.2 million, $0.4 million, $0.2 million, and $0.1 million, respectively. These increases were partially offset by a reduction to insurance expense of approximately $0.3 million.
Previous wording
Subsequent to January 1, 2024, we acquired 34 buildings consisting of approximately 6.2 million square feet (excluding two buildings that were included in the Value Add Portfolio at June 30, 2025, or sold or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024), and sold 12 buildings consisting of approximately 2.1 million square feet. For the three months ended June 30, 2025 and 2024, the buildings acquired after January 1, 2024 contributed approximately $13.1 million and $2.7 million to NOI, respectively. For the three months ended June 30, 2025 and 2024, the buildings sold after
Current wording
Subsequent to January 1, 2024, we acquired 36 buildings consisting of approximately 7.2 million square feet (excluding two buildings that were included in the Value Add Portfolio at September 30, 2025, or sold or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024), and sold 13 buildings consisting of approximately 2.2 million square feet. For the three months ended September 30, 2025 and 2024, the buildings acquired after January 1, 2024 contributed approximately $13.2 million and $4.6 million to NOI, respectively. For the three months ended September 30, 2025 and 2024, the buildings sold after January 1, 2024 contributed approximately $— million and $0.5 million to NOI, respectively. Refer to Note 3 in the accompanying Notes to Consolidated Financial Statements for additional discussion regarding buildings acquired or sold.
Previous wording
These buildings contributed approximately $2.7 million and $3.1 million to NOI for the three months ended June 30, 2025 and 2024, respectively. Additionally, there was approximately $1.3 million and $3.0 million of termination, solar, and other income adjustments from certain buildings in our same store portfolio for the three months ended June 30, 2025 and 2024, respectively.
Current wording
These buildings contributed approximately $5.0 million and $3.6 million to NOI for the three months ended September 30, 2025 and 2024, respectively. Additionally, there was approximately $1.1 million and $0.9 million of termination, solar, and other income adjustments from certain buildings in our same store portfolio for the three months ended September 30, 2025 and 2024, respectively.
Previous wording
Total other expenses consist of general and administrative, depreciation and amortization, loss on impairment, and other expenses.
Current wording
Total other expenses consist of general and administrative, depreciation and amortization, and other expenses.
Previous wording
Total other expenses decreased approximately $4.5 million, or 4.8%, to approximately $88.2 million for the three months ended June 30, 2025 compared to approximately $92.7 million for the three months ended June 30, 2024. The decrease was primarily attributable to a decrease in loss on impairment of approximately $4.1 million. These decreases were offset by an increase in general and administrative expenses by approximately $1.1 million, primarily due to increases in compensation and other payroll costs.
Current wording
Total other expenses increased approximately $3.7 million, or 4.3%, to approximately $88.7 million for the three months ended September 30, 2025 compared to approximately $85.0 million for the three months ended September 30, 2024. The increase was primarily attributable to an increase in depreciation and amortization of approximately $3.5 million due to an increase in the depreciable asset base from net acquisitions and completed development projects placed into service after September 30, 2024. Additionally, there was an increase in general and administrative expenses by approximately $0.2 million, primarily due to increases in compensation and other payroll costs.
Previous wording
Total other income (expense) decreased approximately $29.4 million, or 2,032.4%, to approximately $27.9 million total other expense for the three months ended June 30, 2025 compared to approximately $1.4 million total other income for the three months ended June 30, 2024. This decrease was primarily attributable to a decrease in the gain on the sales of rental property, net of approximately $17.4 million. Additionally, there was an decrease in gain on involuntary conversion of approximately $5.7 million during the three months ended June 30, 2025, as discussed in Note 3 of the accompanying Notes to Consolidated Financial Statements. The decrease was also attributable to an increase in interest expense of approximately $6.2 million which was primarily attributable to the issuance of $450.0 million of unsecured notes on May 28, 2024 and the issuance of $550.0 million of unsecured notes on June 25, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements.
Current wording
Total other expense increased approximately $5.6 million, or 22.6%, to approximately $30.6 million for the three months ended September 30, 2025 compared to approximately $25.0 million for the three months ended September 30, 2024. The increase was primarily attributable to an increase in interest expense of approximately $3.0 million which was primarily attributable to the issuance of $550.0 million of unsecured notes on June 25, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements. The increase was also attributable to an increase of debt extinguishment and modification expenses of approximately $1.5 million related to the amendment to the $300.0 million Unsecured Term Loan G on September 15, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements. Additionally, there was a decrease in gain on involuntary conversion of approximately $3.6 million, which was partially offset by an increase in the gain on the sales of rental property, net of approximately $2.0 million.
Previous wording
The following table summarizes selected operating information for our same store portfolio and our total portfolio for the six months ended June 30, 2025 and 2024 (dollars in thousands). This table includes a reconciliation from our same store portfolio to our total portfolio by also providing information for the six months ended June 30, 2025 and 2024 with respect to the buildings acquired and disposed of and Operating Portfolio buildings with expansions placed into service or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024, Operating Portfolio buildings with expansions placed into service or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024, Value Add buildings, and buildings classified as held for sale.
Current wording
The following table summarizes selected operating information for our same store portfolio and our total portfolio for the nine months ended September 30, 2025 and 2024 (dollars in thousands). This table includes a reconciliation from our same store portfolio to our total portfolio by also providing information for the nine months ended September 30, 2025 and 2024 with respect to the buildings acquired and disposed of and Operating Portfolio buildings with expansions placed into service or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024, Operating Portfolio buildings with expansions placed into service or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024, Value Add buildings, and buildings classified as held for sale.
Previous wording
Net income for our total portfolio increased by $45.9 million, or 46.6%, to $144.4 million for the six months ended June 30, 2025 compared to $98.5 million for the six months ended June 30, 2024.
Current wording
Net income for our total portfolio increased by $52.8 million, or 37.4%, to $194.1 million for the nine months ended September 30, 2025 compared to $141.3 million for the nine months ended September 30, 2024.
Previous wording
Same store rental income, which is comprised of lease income and other billings as discussed below, increased by approximately $12.7 million, or 3.5%, to approximately $371.9 million for the six months ended June 30, 2025 compared to approximately $359.2 million for the six months ended June 30, 2024.
Current wording
Same store rental income, which is comprised of lease income and other billings as discussed below, increased by approximately $20.7 million, or 3.9%, to approximately $556.0 million for the nine months ended September 30, 2025 compared to approximately $535.2 million for the nine months ended September 30, 2024.
Previous wording
Same store lease income increased by approximately $11.6 million, or 4.0%, to approximately $302.1 million for the six months ended June 30, 2025 compared to approximately $290.5 million for the six months ended June 30, 2024. The increase was primarily due to an increase in rental income of approximately $16.0 million from the execution of new leases and lease renewals with existing tenants. This increase was partially offset by the reduction of base rent of approximately $4.1 million due to tenant vacancies, and a net increase in the amortization of net above market leases of approximately $0.2 million. Additionally, there was a decrease in same store lease income of approximately $0.1 million which was primarily attributable to management’s evaluation of operating leases to determine the probability of collecting substantially all of the lessee’s remaining lease payments under the lease term. During the six months ended June 30, 2025, same store lease income decreased approximately $0.7 million due to certain tenants converting from the accrual basis of accounting to the cash basis of accounting. This decrease was partially offset due to converting two tenants from the cash basis of accounting back to the accrual basis of accounting during the six months ended June 30, 2025 and converting one tenant from the accrual basis of accounting to the cash basis of accounting during the six months ended June 30, 2024, for an increase to same store lease income of approximately $0.6 million.
Current wording
Same store lease income increased by approximately $19.3 million, or 4.4%, to approximately $453.2 million for the nine months ended September 30, 2025 compared to approximately $433.9 million for the nine months ended September 30, 2024. The increase was primarily due to an increase in rental income of approximately $27.1 million from the execution of new leases and lease renewals with existing tenants. This increase was partially offset by the reduction of base rent of approximately $6.5 million due to tenant vacancies, and a net increase in the amortization of net above market leases of approximately $0.3 million. Additionally, there was a decrease in same store lease income of approximately $1.0 million which was primarily attributable to management’s evaluation of operating leases to determine the probability of collecting substantially all of the lessee’s remaining lease payments under the lease term. During the nine months ended September 30, 2025, same store lease income decreased approximately $1.8 million due to certain tenants converting from the accrual basis of accounting to the cash basis of accounting. This decrease was partially offset due to converting two tenants from the cash basis of accounting back to the accrual basis of accounting during the nine months ended September 30, 2025 and converting one tenant from the accrual basis of accounting to the cash basis of accounting during the nine months ended September 30, 2024, for an increase to same store lease income of approximately $0.8 million.
Previous wording
Same store other billings increased by approximately $0.5 million, or 1.5%, to approximately $33.2 million for the three months ended June 30, 2025 compared to approximately $32.7 million for the three months ended June 30, 2024. The increase was attributable to an increase of approximately $1.8 million in other expense reimbursements which was primarily due to an increase in corresponding expenses. This increase was partially offset by a reduction in real estate tax reimbursements of approximately $1.3 million due to an decrease in real estate taxes levied by the taxing authority and vacancy of previously occupied buildings.
Current wording
Same store other billings increased by approximately $1.5 million, or 1.5%, to approximately $102.8 million for the nine months ended September 30, 2025 compared to approximately $101.3 million for the nine months ended September 30, 2024. The increase was attributable to an increase of approximately $1.6 million in expense reimbursements which was primarily due to an increase in corresponding expenses. This increase was partially offset by a reduction in real estate tax reimbursements of approximately $0.1 million due to an decrease in real estate taxes levied by the taxing authority and vacancy of previously occupied buildings.
Previous wording
Total same store operating expenses increased by approximately $2.8 million or 3.8% to approximately $74.9 million for the six months ended June 30, 2025 compared to approximately $72.2 million for the six months ended June 30, 2024. This increase was due to increases in repairs and maintenance, real estate tax, snow removal, and other expenses of approximately $1.1 million, $0.7 million, $0.6 million, and $0.5 million, respectively. These increases were partially offset by a reduction in insurance expense of approximately $0.1 million.
Current wording
Total same store operating expenses increased by approximately $4.4 million or 4.1% to approximately $111.6 million for the nine months ended September 30, 2025 compared to approximately $107.2 million for the nine months ended September 30, 2024. This increase was due to increases in repairs and maintenance, real estate tax, snow removal, utility expense, and other expenses of approximately $2.5 million, $1.0 million, $0.6 million, $0.2 million, and $0.5 million, respectively. These increases were partially offset by a reduction in insurance expense of approximately $0.4 million.
Previous wording
Subsequent to January 1, 2024, we acquired 34 buildings consisting of approximately 6.2 million square feet (excluding two buildings that were included in the Value Add Portfolio at June 30, 2025, or sold or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024), and sold 12 buildings consisting of approximately 2.1 million square feet. For the six months ended June 30, 2025 and June 30, 2024, the buildings acquired after January 1, 2024 contributed approximately
Current wording
Subsequent to January 1, 2024, we acquired 36 buildings consisting of approximately 7.2 million square feet (excluding two buildings that were included in the Value Add Portfolio at September 30, 2025, or sold or transferred from the Value Add Portfolio to the Operating Portfolio after January 1, 2024), and sold 13 buildings consisting of approximately 2.2 million square feet. For the nine months ended September 30, 2025 and September 30, 2024, the buildings acquired after January 1, 2024 contributed approximately $38.1 million and $7.5 million to NOI, respectively. For the nine months ended September 30, 2025 and September 30, 2024, the buildings sold after January 1, 2024 contributed approximately $0.5 million and $2.1 million to NOI, respectively. Refer to Note 3 in the accompanying Notes to Consolidated Financial Statements for additional discussion regarding buildings acquired or sold.
Previous wording
These buildings contributed approximately $4.9 million and $5.8 million to NOI for the six months ended June 30, 2025 and June 30, 2024, respectively. Additionally, there was approximately $1.7 million and $3.6 million of termination, solar, and other income adjustments from certain buildings in our same store portfolio for the six months ended June 30, 2025 and June 30, 2024, respectively.
Current wording
These buildings contributed approximately $11.8 million and $11.3 million to NOI for the nine months ended September 30, 2025 and September 30, 2024, respectively. Additionally, there was approximately $2.8 million and $4.5 million of termination, solar, and other income adjustments from certain buildings in our same store portfolio for the nine months ended September 30, 2025 and September 30, 2024, respectively.
Previous wording
Total other expenses decreased approximately $1.6 million, or 0.9%, to approximately $176.0 million for the six months ended June 30, 2025 compared to approximately $177.6 million for the six months ended June 30, 2024. The decrease was primarily attributable to a decrease in loss on impairment of approximately $4.1 million, as discussed in Note 3 of the accompanying Notes to Consolidated Financial Statements. This decrease was partially offset by an increase in depreciation and amortization expense of approximately $1.7 million due to an increase in the depreciable asset base from net acquisitions and completed development projects placed into service after June 30, 2024. Additionally, general and administrative expenses increased by approximately $1.4 million primarily due to increases in compensation and other payroll costs.
Current wording
Total other expenses increased approximately $2.0 million, or 0.8%, to approximately $264.7 million for the nine months ended September 30, 2025 compared to approximately $262.6 million for the nine months ended September 30, 2024. The increase was primarily attributable to an increase in depreciation and amortization expense of approximately $5.1 million due to an increase in the depreciable asset base from net acquisitions and completed development projects placed into service after September 30, 2024. Additionally there was an increase in general and administrative expenses by approximately $1.6 million, primarily due to increases in compensation and other payroll costs. These increases were partially offset by a decrease in loss on impairment of approximately $4.1 million.
Previous wording
Total other income (expense) consists of interest and other income, interest expense, gain on involuntary conversion, and gain on the sales of rental property, net. Interest expense includes interest incurred during the period as well as adjustments related to amortization of financing fees and debt issuance costs, and amortization of fair market value adjustments associated with the assumption of debt.
Current wording
Total other income (expense) consists of interest and other income, interest expense, debt extinguishment and modification expenses, gain on involuntary conversion, and gain on the sales of rental property, net. Interest expense includes interest incurred during the period as well as adjustments related to amortization of financing fees and debt issuance costs, and amortization of fair market value adjustments associated with the assumption of debt.
Previous wording
Total other expense decreased approximately $16.0 million, or 64.8%, to approximately $8.7 million for the six months ended June 30, 2025 compared to approximately $24.6 million for the six months ended June 30, 2024. This decrease was primarily a result of an increase in the gain on the sales of rental property, net of approximately $32.5 million. This decrease was also attributable to a decrease in debt extinguishment and modification expenses of approximately $0.7 million that occurred during the six months ended June 30, 2024 and did not occur during the six months ended June 30, 2025. These increases were partially offset by a decrease in gain on involuntary conversion of approximately $3.9 million, as discussed in Note 3 of the accompany Notes to Consolidated Financial Statements. Additionally, the there was an increase in interest expense of approximately $13.4 million which was primarily attributable to the issuance of $450.0 million of unsecured notes on May 28, 2024 and the issuance of $550.0 million of unsecured notes on June 25, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements.
Current wording
Total other expense decreased approximately $10.3 million, or 20.8%, to approximately $39.3 million for the nine months ended September 30, 2025 compared to approximately $49.6 million for the nine months ended September 30, 2024. This decrease was primarily a result of an increase in the gain on the sales of rental property, net of approximately $34.5 million. This was partially offset by an increase in interest expense of approximately $16.3 million which was primarily attributable to the issuance of $450.0 million of unsecured notes on May 28, 2024 and the issuance of $550.0 million of unsecured notes on June 25, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements. Additionally, there was a decrease in gain on involuntary conversion of approximately $7.4 million and an increase in debt extinguishment and modification expenses of approximately $0.8 million related to the amendment to the $300.0 million Unsecured Term Loan G on September 15, 2025, as discussed in Note 4 of the accompanying Notes to Consolidated Financial Statements.
Previous wording
The following table summarizes our cash flows for the six months ended June 30, 2025 compared to the six months ended June 30, 2024.
Current wording
The following table summarizes our cash flows for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.
Previous wording
Net cash provided by operating activities decreased approximately $12.0 million to approximately $215.4 million for the six months ended June 30, 2025 compared to approximately $227.4 million for the six months ended June 30, 2024. The decrease was attributable to fluctuations in working capital due to timing of payments and rental receipts.
Current wording
Net cash provided by operating activities increased approximately $3.6 million to approximately $358.9 million for the nine months ended September 30, 2025 compared to approximately $355.4 million for the nine months ended September 30, 2024. The increase was attributable to fluctuations in working capital due to timing of payments and rental receipts.
Previous wording
Net cash used in investing activities decreased approximately $158.0 million to approximately $89.6 million for the six months ended June 30, 2025 compared to approximately $247.6 million for the six months ended June 30, 2024. The decrease was primarily attributable to the acquisition of rental property during the six months ended June 30, 2025 of approximately $66.8 million, compared to the acquisition of rental property during the six months ended June 30, 2024 of approximately $281.1 million. This decrease was partially offset by an increase in cash paid for additions of land and buildings and improvements related to development and other capital expenditures of approximately $54.0 million and a decrease in proceeds from sale of rental property, net of approximately $3.1 million during the six months ended June 30, 2025, as compared to the six months ended June 30, 2024.
Current wording
Net cash used in investing activities decreased approximately $153.7 million to approximately $236.9 million for the nine months ended September 30, 2025 compared to approximately $390.5 million for the nine months ended September 30, 2024. The decrease was primarily attributable to the acquisition of rental property during the nine months ended September 30, 2025 of approximately $171.3 million, compared to the acquisition of rental property during the nine months ended September 30, 2024 of approximately $404.9 million. This decrease was also attributable to a decrease in proceeds from sale of rental property, net of approximately $19.4 million during the nine months ended September 30, 2025, as compared to the nine months ended September 30, 2024. The decrease was partially offset by an increase in cash paid for additions of land and buildings and improvements related to development and other capital expenditures of approximately $60.8 million.
Previous wording
Net cash provided by (used in) financing activities decreased approximately $160.2 million to approximately $127.3 million net cash used in financing activities for the six months ended June 30, 2025 compared to approximately $32.9 million net cash provided by financing activities for the six months ended June 30, 2024. The decrease was primarily attributable to decrease in net borrowings of approximately $83.0 million and $75.0 million under our unsecured credit facility and unsecured notes, respectively. The decrease was also attributable to an increase of approximately $4.4 million in dividends and distributions paid.
Current wording
Net cash provided by (used in) financing activities decreased approximately $225.5 million to approximately $141.0 million net cash used in financing activities for the nine months ended September 30, 2025 compared to approximately $84.4 million net cash provided by financing activities for the nine months ended September 30, 2024. The decrease was primarily attributable to decrease in net borrowings of approximately $153.0 million and $75.0 million under our unsecured credit facility and unsecured notes, respectively. The decrease was also attributable to an increase of approximately $6.9 million in dividends and distributions paid.
Previous wording
As of June 30, 2025, we had total immediate liquidity of approximately $961.2 million, comprised of approximately $15.4 million of cash and cash equivalents and approximately $945.8 million of immediate availability on our unsecured credit facility.
Current wording
As of September 30, 2025, we had total immediate liquidity of approximately $904.1 million, comprised of approximately $17.3 million of cash and cash equivalents and approximately $886.8 million of immediate availability on our unsecured credit facility.
Previous wording
(1)Interest rate as of June 30, 2025. At June 30, 2025, the one-month Term Secured Overnight Financing Rate (“Term SOFR”) and Daily Simple Secured Overnight Financing Rate (“Daily SOFR”) was 4.32229% and 4.2990%, respectively. The current interest rate is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums or discounts. The spread over the applicable rate for our unsecured credit facility and unsecured term loans is based on our debt rating and leverage ratio, as defined in the respective loan agreements.
Current wording
(1)Interest rate as of September 30, 2025. At September 30, 2025, the one-month Term Secured Overnight Financing Rate (“Term SOFR”) and Daily Secured Overnight Financing Rate (“Daily SOFR”) was 4.1292% and 4.2400%, respectively. The current interest rate is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums or discounts. The spread over the applicable rate for our unsecured credit facility and unsecured term loans is based on our debt rating and leverage ratio, as defined in the respective loan agreements.
Previous wording
(2)Our unsecured credit facility has a stated interest rate of one-month Term SOFR plus a 0.10% adjustment and a spread of 0.775%. Our unsecured term loans have a stated interest rate of one-month Term SOFR plus a 0.10% adjustment and a spread of 0.85%. As of June 30, 2025, one-month Term SOFR for the Unsecured Term Loans A, G, H, and I was swapped to a fixed rate of 1.31%, 0.95%, 2.50%, and 2.66%, respectively (which includes the 0.10% adjustment). The Unsecured Term Loan F provides for the election of Daily SOFR and effective January 15, 2025, Daily SOFR was swapped to a fixed rate of 3.98% (including the 0.10% adjustment).
Current wording
(2)Our unsecured credit facility has a stated interest rate of one-month Term SOFR plus a spread of 0.775%. Our Unsecured Term Loans A, G, H, and I have a stated interest rate of one-month Term SOFR plus a spread of 0.85%. Our Unsecured Term Loan F has a stated interest rate of Daily SOFR plus a spread of 0.85%. All of our unsecured term loans have been swapped to a fixed rate, and such fixed rates inclusive of the spreads are presented in the table above. Effective February 5, 2026, our Unsecured Term Loan G will be swapped to a fixed rate inclusive of the spread of 3.94%.
Previous wording
absence of a default immediately before the extension and immediately after giving effect to the extension; (ii) accuracy of representations and warranties as of the extension date (both immediately before and after the extension), as if made on the extension date; and (iii) payment of a fee. Neither extension option is subject to lender consent, assuming proper notice and satisfaction of the conditions.
Current wording
(5)The initial maturity date of our Unsecured Term Loan F is March 25, 2027, or such later date which may be extended pursuant to two one-year extension options exercisable by us in our discretion upon advance written notice. Exercise of each one-year option is subject to the following conditions: (i) absence of a default immediately before the extension and immediately after giving effect to the extension; (ii) accuracy of representations and warranties as of the extension date (both immediately before and after the extension), as if made on the extension date; and (iii) payment of a fee. Neither extension option is subject to lender consent, assuming proper notice and satisfaction of the conditions.
Previous wording
(6)The weighted average interest rate was calculated using the fixed interest rate swapped on the notional amount of $1,025.0 million of debt and is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums or discounts.
Current wording
(7)The weighted average interest rate was calculated using the fixed interest rate swapped on the notional amount of $1,025.0 million of debt and is not adjusted to include the amortization of deferred financing fees or debt issuance costs incurred in obtaining debt or any unamortized fair market value premiums or discounts.
Showing the first 40 of 46 pairs. Open the source sections for the rest.
Rearranged previous paragraphs (3)
Previous report — wording carried elsewhere
January 1, 2024 contributed approximately $0.3 million and $(0.7) million to NOI, respectively. Refer to Note 3 in the accompanying Notes to Consolidated Financial Statements for additional discussion regarding buildings acquired or sold.
Previous report — wording carried elsewhere
$25.0 million and $2.9 million to NOI, respectively. For the six months ended June 30, 2025 and June 30, 2024, the buildings sold after January 1, 2024 contributed approximately $0.4 million and $1.4 million to NOI, respectively. Refer to Note 3 in the accompanying Notes to Consolidated Financial Statements for additional discussion regarding buildings acquired or sold.
Previous report — wording carried elsewhere
(5)The initial maturity date of our Unsecured Term Loan F is March 25, 2027, or such later date which may be extended pursuant to two one-year extension options exercisable by us in our discretion upon advance written notice. Exercise of each one-year option is subject to the following conditions: (i)