First Industrial Realty Trust, Inc. (NYSE: FR) has reported its first quarter 2024 results, showing a diluted net income available to common stockholders per share (EPS) of $0.52, compared to $0.42 a year ago. The first quarter funds from operations (FFO) was $0.60 per share/unit on a diluted basis, compared to $0.59 per share/unit a year ago. Excluding income related to the accelerated recognition of a tenant improvement reimbursement, first quarter 2023 FFO was $0.57 per share/unit.
The company signed 1.6 million square feet of new leases for speculative developments on balance sheet and 376,000 square feet in the joint venture in the first quarter. Notably, there was a 45% cash rental rate increase on leases signed to-date commencing in 2024. The cash same store net operating income (NOI) growth was at 10.0%.
The in-service occupancy was 95.5% at the end of the first quarter of 2024, compared to 95.5% at the end of the fourth quarter of 2023, and 98.7% at the end of the first quarter of 2023. Cash rental rates on new and renewal leasing increased by 44.8% and 67.2% on a straight-line basis in the first quarter.
First Industrial Realty Trust also made significant developments in leasing during the first quarter. This included pre-leasing 100% of the 1.0 million square-foot first Stockton Logistics Center in Northern California, leasing 100% of the 500,000 square-foot first Rockdale IV in Nashville, and leasing 40,000 square feet of its 200,000 square-foot first 76 Logistics Center in Denver.
In terms of investments and dispositions, the company sold nine buildings comprised of 443,000 square feet for a total of $49 million in the first quarter. Additionally, the common stock dividend was increased to $0.37 per share/unit for the quarter ending March 31, 2024, representing a 15.6% growth compared to the prior quarterly rate.
Looking ahead, the company provided guidance for 2024, with a low-end net income available to common stockholders per share/unit of $1.49 and a high-end of $1.59. The NAREIT Funds from Operations (FFO) per share/unit guidance is set at $2.53 to $2.63. It's important to note that the 2024 NAREIT FFO per share/unit guidance is impacted by $0.02 per share/unit of accelerated expense related to accounting rules that require the company to fully expense the value of granted equity-based compensation for certain tenured employees.
First Industrial Realty Trust, Inc. is a leading U.S.-only owner, operator, developer, and acquirer of logistics properties, owning and having under development approximately 68.1 million square feet of industrial space as of March 31, 2024. The market has reacted to these announcements by moving the company's shares -2.8% to a price of $47.24. For the full picture, make sure to review First Industrial Realty Trust's 8-K report.
