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Terreno Reveals Q3 Investment & Capital Market Activities


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Terreno Realty Corp. (TRNO - Snapshot Report) recently revealed its investment as well as operating and capital market activities for third-quarter 2016.

In sync with its strategy of acquiring industrial properties, this San Francisco, CA-based real estate investment trust (“REIT”) purchased industrial properties in the third quarter for around $36.5 million in total.

These properties, comprising five buildings of around 240,000 square feet, are located in Capital Heights, MD, Somerset, NJ and Inglewood, CA. Moreover, the acquired properties include an improved land site, consisting around 13.4 acres of paved land in Hanover, MD. Further, the company has about $76.6 million of acquisitions under contract.

On the other hand, Terreno Realty sold one industrial property for a total of around $6.1 million. The 40,000 square feet industrial building in Miami was fully leased to one tenant.

As for its operating measures, Terreno Realty’s occupancy rose in the third-quarter 2016 on a sequential basis on account of the beginning of a 221,000 square foot lease in South Brunswick, NJ and a 158,000 square foot lease in Kent, WA.

The same-store portfolio of approximately 8.6 million square feet was 92.7% leased as of Sep 30, 2016, compared with 95.1% at the prior-quarter end. Further, cash rents on new and renewed leases increased 20.9% for the quarter.

The company enjoyed ownership of 159 buildings, spanning around 11.7 million square feet, together with four improved land parcels comprising 21.4 acres as of Sep 30, 2016.

Coming to its capital-market activities in third quarter, Terreno Realty reaped gross proceeds of around $9.9 million from its at-the-market equity offering program. However, the company did not repurchase any shares under its repurchase authorization.

These latest acquisitions/dispositions are expected to boost Terreno Realty’s bottom line, going ahead. The company actively focuses on leveraging from improving fundamentals of industrial markets and bolstering its business in the key coastal U.S. markets like Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami and Washington, D.C./Baltimore.

Terreno Realty currently carries a Zacks Rank #3 (Hold). Over the past one month period, Terreno’s current quarter estimates have remained stable.
Some better-ranked stocks in the same space include Arbor Realty Trust Inc. (ABR - Snapshot Report) , CareTrust REIT, Inc. (CTRE - Snapshot Report) and Crown Castle International Corp. (CCI - Analyst Report) ,each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Current-quarter estimates for Arbor Realty Trust, CareTrust REIT and Crown Castle International remained stable at $1.16, 27 cents and $1.13 per share, respectively over the last month.

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