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First Industrial Realty Trust Reports Third Quarter 2026 Results

  • Cash Rental Rates on New and Renewal Leasing Increased 52% in 3Q26
  • Cash Same Store NOI Growth of 5.6% in 3Q26
  • Acquired 100% Leased 764,000 SF Building in Central Pennsylvania for $120 Million in 3Q26
  • Signed Remaining 32,000 SF at First Park Miami Building 12 in South Florida in 3Q26
  • 2026 FFO Guidance Increased $0.01 at the Midpoint
  • 2026 Cash Same Store NOI Growth Guidance Increased 75 Basis Points at the Midpoint to 6.5%

First Industrial Realty Trust, Inc. (NYSE: FR), a leading fully integrated owner, operator and developer of logistics real estate, today announced results for the third quarter of 2026. First Industrial's diluted net income available to common stockholders per share (EPS) was $0.44 in the third quarter, compared to $0.49 a year ago and third quarter funds from operations (FFO) was $0.81 per share/unit on a diluted basis, compared to $0.76 per share/unit a year ago.

“Industrial real estate market fundamentals continued to improve in the third quarter, with strong net absorption reflecting the breadth of tenant demand in the marketplace,” said Peter E. Baccile, First Industrial's president and chief executive officer. “We experienced a strong pace of early renewals from our tenants for our 2027 expirations and we are excited about our levels of overall prospect activity.”

 Portfolio Performance

  • In service occupancy was 94.1% at the end of the third quarter of 2026, compared to 94.9% at the end of the second quarter of 2026, and 94.0% at the end of the third quarter of 2025.
  • In the third quarter, cash rental rates on commenced new and renewal leases increased 52% and increased 76% on a straight-line basis.
  • The Company has achieved a cash rental rate increase of approximately 38% on leases signed to date commencing in 2026 reflecting 94% of 2026 expirations by square footage.
  • The Company has achieved a cash rental rate increase of approximately 16% on leases signed to date commencing in 2027 reflecting 45% of 2027 expirations by square footage.
  • In the third quarter, cash basis same store net operating income before termination fees (“SS NOI”) increased 5.6%, primarily reflecting increases in rental rates on new and renewal leasing and contractual rent escalations, partially offset by lower average occupancy.

Development Leasing Highlights

 During the third quarter, the Company:

  • Leased the remaining 32,000 square feet of its 136,000 square-foot First Park Miami Building 12 in South Florida; commenced in the third quarter.

Investment Highlights

During the third quarter, the Company:

  • Acquired a fully leased 764,000 square-foot building in Central Pennsylvania for $120 million.
  • Acquired a 32-acre land site in Dallas for $13 million for a two-building project developable to 390,000 square feet.

Outlook for 2026

“We increased our guidance by $0.01 at the midpoint based on our third quarter performance and outlook. As always, our team is laser-focused on leasing and serving our current and new customers to drive future cash flow growth,” said Mr. Baccile.

Q3 2026 Outlook

The following assumptions were used for guidance:

  • In service occupancy at year-end fourth quarter of 94.5% to 96.5%. This implies a full-year quarter-end average in service occupancy of 94.5% to 95.0%, an increase of 25 basis points at the midpoint. The guidance assumes 650,000 square feet of additional development leasing in December 2026.
  • Fourth quarter SS NOI growth on a cash basis before termination fees of 4.0% to 6.0%. This implies SS NOI growth for the full year 2026 of 6.25% to 6.75%, an increase of 75 basis points at the midpoint.
  • Includes the incremental costs expected in 2026 related to the Company’s completed and under construction developments as of September 30, 2026. In total, the Company expects to capitalize $0.08 per share of interest in 2026. 
  • General and administrative expense of $42.0 million to $43.0 million. This range excludes $5.6 million of costs related to a contested proxy campaign recognized in the first quarter. 
  • Guidance does not include the impact of any future investments, property sales, debt repurchases prior to maturity, debt issuances, equity issuances, or stock repurchases post the date of this press release. 

Conference Call

First Industrial will host its quarterly conference call on Thursday, October 22, 2026 at 10:00 a.m. CDT (11:00 a.m. EDT). The conference call may be accessed by dialing (833) 890-3273, passcode “First Industrial”. The conference call will also be webcast live on the Investors page of the Company’s website at www.firstindustrial.com. The replay will also be available on the website.

The Company’s third quarter 2026 supplemental information can be viewed at www.firstindustrial.com under the “Investors” tab.

FFO Definition

First Industrial calculates FFO to be equal to net income available to common stockholders, unitholders and participating securities, plus depreciation and other amortization of real estate, plus impairment of real estate, minus gain (or plus loss) on sale of real estate, adjusted for any associated income tax provisions or benefits. Similar adjustments are made for our share of net income from an unconsolidated joint venture. This calculation methodology is in accordance with the NAREIT definition of FFO.

About First Industrial Realty Trust, Inc.

First Industrial Realty Trust, Inc. (NYSE: FR) is a leading U.S.-only owner, operator, developer and acquirer of logistics properties. Through our fully integrated operating and investing platform, we provide high quality facilities and industry-leading customer service to multinational corporations and regional firms that are essential for their supply chains. In total, we own and have under development approximately 72.9 million square feet of industrial space concentrated in 15 target MSAs as of September 30, 2026. For more information, please visit us at www.firstindustrial.com.

Forward-Looking Statements

This press release and the presentation to which it refers may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"). We intend for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on certain assumptions and describe our future plans, strategies and expectations, and are generally identifiable by use of the words "believe," "expect," "plan," "intend," "anticipate," "estimate," "project," "seek," "target," "potential," "focus," "may," "will," "should" or similar words. Although we believe the expectations reflected in forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that results will not materially differ. Factors that could have a materially adverse effect on our operations and future prospects include, but are not limited to: changes in national, international, regional and local economic conditions generally and real estate markets specifically, including impacts and uncertainties arising from trade disputes and tariffs on goods imported to or exported from the United States; changes in legislation/regulation (including laws governing the taxation of real estate investment trusts) and actions of regulatory authorities; our ability to qualify and maintain our status as a real estate investment trust; the availability, cost and attractiveness of financing (including both public and private capital), increases in or prolonged periods of elevated interest rates, and our ability to raise equity capital on attractive terms; the availability and attractiveness of terms of debt repurchases; our ability to retain our credit agency ratings; our ability to comply with applicable financial covenants; changes in the competitive environment in which we operate, including changes in supply, demand and valuation of industrial properties and land in our current and potential markets; our ability to identify, acquire, develop and/or manage properties on favorable terms; our ability to dispose of properties on favorable terms; our ability to successfully integrate acquired properties; potential liability relating to environmental matters; defaults on or non-renewal of leases by our tenants; decreases in rental rates or increases in vacancy rates; higher-than-expected real estate construction costs and delays in development or lease-up timelines; uncertainty and economic impacts of pandemics, epidemics or other public health emergencies or fear of such events; risks associated with cybersecurity breaches, cyberattacks, intrusions or other significant disruptions of our information technology networks or systems; potential natural disasters and other catastrophic events, including acts of war or terrorism; insufficient or unavailable insurance coverage; technological developments, particularly those affecting supply chains and logistics; litigation risks, including costs associated with prosecuting or defending claims and potential adverse outcomes; risks associated with our investments in joint ventures, including our lack of sole decision-making authority; and other risks and uncertainties described in Item A, "Risk Factors" and elsewhere in our annual report, on Form 10-K for the year ended December 31, 2025, as well as those risks and uncertainties discussed from time to time in our other Exchange Act reports and public filings with the Securities and Exchange Commission (the “SEC”). We caution you not to place undue reliance on forward-looking statements, which reflect our outlook only and speak only as of the date of this press release or the dates indicated in the statements. We assume no obligation to update or supplement forward-looking statements except as may be required by law. For further information on these and other factors that could impact us and the statements contained herein, reference should be made to our filings with the SEC.

A schedule of selected financial information can be found in the PDF below. 

Contact:           Art Harmon, Senior Vice President, Investor Relations and Marketing - (312) 344-4320

 

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