Benzinga | Aug 24, 2021 11:47AM EDT

Rexford Industrial Realty Adds Two More Industrial Properties To Portfolio

The real estate investment trust Rexford Industrial Realty (NYSE: REXR) has announced the acquisition of two off-market industrial properties comprising 629,224 square feet of improvements across eight industrial buildings for an aggregate purchase price of $194.4 million.

About Rexford Industrial Realty: The REIT invests in industrial properties located in Southern California infill markets and has a portfolio of 273 properties with approximately 33.8 million rentable square feet.

The company's recent focus has been on last-mile distribution facilities, which have been in growing demand due to expectations for faster delivery times and command a higher average rental rate per square foot.

The REIT's Recent Acquisitions: The company acquired the following two properties through off-market acquisitions in August, according to a press release.

* 8210-8240 Haskell Ave, located in Van Nuys within the Los Angeles-San Fernando Valley submarket, was bought for $12.4 million or $233 per square foot. The property comprises three vacant industrial buildings containing 53,248 square feet of improvements on 2.3 acres of land.

* 3100 Lomita Blvd, located in Torrance, within the Los Angeles-South Bay submarket, was purchased for $182 million, or $316 per square foot. The 91% leased, 575,976-square-foot, five-building light industrial and manufacturing campus is located in Western Torrance on 26.6 acres of land within a premier infill South Bay location.

The two new properties bring the company's completed acquisitions year-to-date to $779 million, plus an additional $600 million of new investments either already under contract or with an accepted offer.

Rexford's Historical Performance: Rexford Industrial Realty has provided strong and consistent growth since it was founded in 2013. Revenue has increased at an average annual rate of 26.3% between 2015 and 2020, and the average net operating income has increased at a rate of 30% annually over the same period.

Since its inception in 2013, Rexford Industrial Realty has provided a total return of 379% compared to 84% for the MSCI REIT Index over the same period.

The company has also increased its dividends every year at an average annual rate of 12%. The current dividend yield sits at 1.56%.

Photo: Hannes Egler on Unsplash.