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LXP Industrial Trust Leases 1.1 Million Square Foot Industrial Facility in Greenville/Spartanburg

1. LXP executed a lease for 1.1 million square feet facility in South Carolina. 2. Lease generates approximately $3.7 million in rental income for 2025. 3. Stabilized cash yield for new lease is estimated at 8.0%. 4. 74% of LXP's 9.1 million square feet developed has been leased. 5. Contractual rent growth is key driver for LXP earnings growth.

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FAQ

Why Bullish?

The execution of a significant lease and positive cash yield suggest strong revenue generation, comparable patterns have shown that successful leasing efforts often lead to a price uptick in REITs.

How important is it?

The lease execution drives immediate revenue growth potential, critical for investor perception and stock valuation.

Why Short Term?

The immediate revenue projections for 2025 indicate a swift impact on LXP's financial performance, akin to past instances where swift lease signings affected stock performance.

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WEST PALM BEACH, Fla., May 21, 2025 (GLOBE NEWSWIRE) -- LXP Industrial Trust (“LXP”) (NYSE: LXP), a real estate investment trust (REIT) focused on Class A warehouse and distribution investments, today announced that it executed a lease for its approximately 1.1 million square foot industrial facility in the Greenville/Spartanburg, South Carolina market. The lease to a U.S. subsidiary of a global logistics company commences on June 1, 2025, for a two-year term, with two five-year renewal options, and an initial rent of $5.50 per square foot with 3.25% annual rental escalations. The signing of the lease results in an estimated stabilized cash yield of approximately 8.0% for the development project. T. Wilson Eglin, Chairman and Chief Executive Officer of LXP, commented, “Leasing our Greenville/Spartanburg industrial facility to a full building user is an important component of our earnings growth. We expect this lease to generate approximately $3.7 million of Base Rent and operating cost reimbursement in 2025. To date, we've developed 15 facilities totaling 9.1 million square feet, 74% of which has been leased at an average estimated stabilized cash yield of 7.1%. Leasing our remaining 2.3 million square feet of spec development, together with the embedded mark-to-market opportunities in our portfolio and contractual rent growth, are compelling drivers of earnings growth.” ABOUT LXP INDUSTRIAL TRUST LXP Industrial Trust (NYSE: LXP) is a publicly traded real estate investment trust (REIT) focused on Class A warehouse and distribution investments in 12 target markets across the Sunbelt and Midwest. LXP seeks to expand its portfolio through acquisitions, development projects, and build-to-suit and sale/leaseback transactions. For more information or to follow LXP on social media, visit www.lxp.com. This release contains certain forward-looking statements which involve known and unknown risks, uncertainties and other factors not under LXP’s control which may cause actual results, performance or achievements of LXP to be materially different from the results, performance, or other expectations implied by these forward-looking statements. These factors include, but are not limited to, those factors and risks detailed in LXP's periodic filings with the Securities and Exchange Commission. Except as required by law, LXP undertakes no obligation to publicly release the results of any revisions to those forward-looking statements which may be made to reflect events or circumstances after the occurrence of unanticipated events. Base Rent is calculated by making adjustments to GAAP rental revenue to exclude billed tenant reimbursements and lease termination income and to include ancillary income. Base Rent excludes reserves/write-offs of deferred rent receivable, as applicable. LXP believes Base Rent provides a meaningful measure due to the net lease structure of leases in its portfolio. Stabilized yields assume 100% occupancy and the payment of estimated costs to achieve 100% occupancy, excluding developer incentive fees or partner promotes, if any.

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