Third Quarter 2018

Supplemental

 

 

 

 

Plymouth Industrial REIT, Inc.
Table of Contents

 

Introduction      
Management, Board of Directors & Investor Contacts     2
Executive Summary     3
Transaction Activity Since IPO     4
Capitalization Analysis     5
Financial Information      
Consolidated Balance Sheets (unaudited)     6
Consolidated Statements of Operations - GAAP (unaudited)     7
Same Store Net Operating Income (NOI)     8
NOI     9
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)     10
Funds from Operations (FFO) & Adjusted Funds from Operations (AFFO)     11
Debt Overview     12
Operational & Portfolio Information      
Property Overview - Square Feet & Occupancy     13
Market Summary     14
Leasing Activity     15
Lease Expiration Schedule     16
Appendix      
Glossary     17

 

Forward looking statements:  This supplemental package contains forward-looking statements within the meaning of the U.S. federal securities laws. We make statements in this supplemental package that are forward-looking statements, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans” “projects,” “seeks,” “should,” “will,” and variations of such words or similar expressions. Our forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by our forward-looking statements are reasonable, we can give no assurance that our plans, intentions, expectations, strategies or prospects will be attained or achieved and you should not place undue reliance on these forward-looking statements. Furthermore, actual results may differ materially from those described in the forward-looking statements and may be affected by a variety of risks and factors. Any forward-looking statement speaks only as of the date on which it is made. New risks and uncertainties arise over time, and it is not possible for us to predict those events or how they may affect us. Except as required by law, we are not obligated to, and do not intend to, update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Definitions and reconciliations:  For definitions of certain terms used throughout this supplemental, including certain non-GAAP financial measures, see the Glossary on pages 17. For reconciliations of the non-GAAP financial measures to the most directly comparable GAAP measures, see pages 9-11.

 

3Q 2018 Supplemental

1 

 

 

Plymouth Industrial REIT, Inc.
Management, Board of Directors & Investor Contacts

 

Corporate      
         
260 Franklin Street, Suite 700    
Boston, Massachusetts 02110    
617.340.3814    
www.plymouthreit.com    
         
Executive and Senior Management    
         
Jeffrey E. Witherell   Pendleton P. White, Jr. Daniel C. Wright  
Chief Executive Officer   President and Chief Investment Executive Vice President  
and Chairman   Officer and Chief Financial Officer  
         
         
Board of Directors      
         
Martin Barber Philip S. Cottone Richard J. DeAgazio  
Independent Director Independent Director Independent Director  
         
David G. Gaw Pendleton P. White, Jr. Jeffery E. Witherell  
Independent Director   President and Chief Investment Chief Executive Officer  
    Officer and Chairman  
         
Transfer Agent      
         
Continental Stock Transfer & Trust Company    
1 State Street, 30th Floor      
New York, New York 10004      
212.509.4000      
         
Investor Relations      
         
Tripp Sullivan        
SCR Partners        
615.760.1104        
TSullivan@scr-ir.com        

 

3Q 2018 Supplemental

2 

 

 

Plymouth Industrial REIT, Inc.
Executive Summary

 

Company overview: Plymouth Industrial REIT, Inc. (NYSE American: PLYM) is a vertically integrated and self-managed real estate investment trust focused on the acquisition and operation of single and multi-tenant industrial properties located in secondary and select primary markets across the United States. The Company seeks to acquire properties that provide income and growth that enable the Company to leverage its real estate operating expertise to enhance shareholder value through active asset management, prudent property re-positioning and disciplined capital deployment.
       
Unaudited    
      As of 09/30/18
Select Portfolio Statistics    
       
Number of Properties   52
Square Footage   9,884,301
Occupancy   94.4%
Weighted Average Lease Term Remaining   3.25
       
Balance Sheet ($ in thousands)    
       
Cash    $               11,557
Gross Assets    $            408,150
Total Debt    $            286,220
Net Debt (Total Debt less Cash)    $            274,663
Net Debt / Gross Assets   67.3%
       
       
  For the three months ended September 30,
Operating results ($ in thousands) 2018 2017
       
Total revenue  $               11,653  $                 6,666
Net operating income  $                 7,299  $                 4,283
       
       
2018 Capital Activity ($ in thousands)    
       
Increased secured line of credit agreement with KeyBank National 3/8/2018  $               45,000
Secured 10 year term loan with Minnesota Insurance 4/30/2018  $               21,500
Secured term loan with KeyBank 5/23/2018  $               35,700
Repaid Torchlight Mezzanine Loan 5/24/2018  $             (35,000)
Secured 10 year term loan with Transamerica Life Insurance Company 7/10/2018  $               78,000
Repaid MWG Portfolio Loan 7/10/2018  $             (79,800)
Issued 1,102,464 common shares @ $15.60 per share 7/23/2018  $               16,253
Paid down KeyBank Term Loan 7/25/2018  $               (4,064)
Issued 160,369 overallotment of common shares @ $15.60 per share 8/17/2018  $                 2,502

 

3Q 2018 Supplemental

3 

 

 

Plymouth Industrial REIT, Inc.
Transaction Activity Since IPO

 

Unaudited ($ in thousands) (at 9/30/2018)        
           
 Acquisitions          
Location Acquisition Date # of Properties Purchase
Price (1)		 Square
Footage		 Projected
Initial Yield
Cleveland, OH 9/27/2018 1 $       27,000 400,184 7.6%
Elgin/Arlington Heights, IL 4/9/2018 2 15,675 269,999 8.0%
Elgin, IL 12/22/2017 1 4,050 75,000 9.7%
Atlanta. GA 12/21/2017 3 11,425 330,361 8.3%
Multiple 11/30/2017 15 99,750 3,027,987 8.1%
Memphis, TN 9/8/2017 1 3,700 131,904 8.6%
Memphis, TN 8/16/2017 1 7,825 235,000 10.5%
Columbus, OH 8/16/2017 1 3,700 121,440 9.0%
Indianapolis, IN 8/11/2017 2 16,875 606,871 8.5%
Southbend, IN 7/20/2017 5 26,000 667,000 8.5%
           
 Total - Acquisitions   32 $    216,000 5,865,746  
           
Subsequent Acquisitions        
Location Acquisition Date # of Properties Purchase
Price (1)		 Square
Footage		 Projected
Initial Yield
Cincinnati, OH 10/16/2018 1  $     24,800 1,100,000 8.5%

 

(1) Represents total consideration paid rather than GAAP cost basis.

 

3Q 2018 Supplemental

4 

 

 

Plymouth Industrial REIT, Inc.
Capitalization Analysis

 

Unaudited (in thousands except for per-share data and percentages)
               
        Three Months Ended
        9/30/2018 6/30/2018 3/31/2018 12/31/2017
               
Common Stock Data            
               
  Weighted-Average Shares Outstanding - Basic     4,351 3,400 3,647 3,656
  Weighted-Average Shares Outstanding - Diluted     4,351 3,400 3,647 3,656
  High Closing Price      $                16.41  $                17.91  $                18.52  $                18.98
  Low Closing Price      $                14.63  $                15.09  $                16.25  $                17.22
  Average Closing Price      $                15.72  $                16.99  $                17.46  $                18.15
  Closing Price (as of period end)      $                15.50  $                16.00  $                17.18  $                18.48
  Dividends / Share (annualized) (1)      $                   1.50  $                   1.50  $                   1.50  $                   1.50
  Dividend Yield (annualized) (2)     9.7% 9.4% 8.7% 8.1%
  Common Shares Outstanding (2)     4,822 3,556 3,556 3,819
  Market Value of Common Shares (2)      $              74,739  $              56,896  $              61,092  $              70,579
  Total Market Capitalization (2) (3)      $            360,959  $            333,046  $            314,217  $            321,704

 

Equity Research Coverage (4)            
               
D.A. Davidson & Co.            
Barry Oxford            
646.885.5423            
               
               
Investor Conference Call and Webcast:
The Company will hold a conference call and live audio webcast, both open for the general public to hear, on November 13, 2018 at 2:00 p.m. Eastern Time. The number to call for this interactive teleconference is (412) 717-9587. A replay of the call will be available through August 16, 2018 by dialing (412) 317-0088 and entering the replay access code, 10125656.

 

(1) Based on annualized dividend declared for the quarter.
(2) Based on closing price and ending shares for the last trading day of the quarter.
(3) Market value of shares plus total debt as of quarter end.
(4) The analysts listed provide research coverage on the Company. Any opinions, estimates or forecasts regarding the Company's performance made by these analysts are theirs alone and do not represent opinions, estimates or forecasts by the Company or its management. The Company does not by reference above imply its endorsement of or concurrence with such information, conclusions or recommendations.

 

3Q 2018 Supplemental

5 

 

 

Plymouth Industrial REIT, Inc.
Consolidated Balance Sheets (unaudited)

 

(in thousands)
           
           
    9/30/2018 6/30/2018 3/31/2018 12/31/2017 (1)
Assets:        
Real estate properties:        
Land  $                  66,563  $                  63,688  $                  59,799  $                  59,797
Building and improvements                    280,502                    257,175                    244,428                    243,605
Less accumulated depreciation                     (36,830)                     (32,809)                     (28,828)                     (25,013)
           
Total real estate properties, net  $                310,235  $                288,054  $                275,399  $                278,389
           
           
Cash and cash equivalents                       11,557                       12,128                       13,097                       19,163
Deferred lease intangibles, net                       25,057                       25,020                       25,297                       27,619
Other assets                         6,409                         7,430                         5,284                         4,782
           
Total assets  $                353,258  $                332,632  $                319,077  $                329,953
           
Liabilities:        
Debt, net  $                280,760  $                270,597  $                247,753  $                245,632
Deferred interest                               -                                  -                            1,575                         1,357
Accounts payable, accrued expenses and other liabilities                       17,101                       16,864                       15,174                       16,015
Deferred lease intangibles, net                         6,439                         6,657                         6,261                         6,807
           
Total liabilities  $                304,300  $                294,118  $                270,763  $                269,811
           
Preferred Stock - Series A  $                  48,868  $                  48,868  $                  48,878  $                  48,931
           
Equity:        
Common stock  $                          49  $                          36  $                          36  $                          39
Additional paid in capital                    129,392                    114,085                    116,183                    123,270
Accumulated deficit                   (134,283)                   (129,982)                   (123,277)                   (119,213)
Total Plymouth Industrial REIT, Inc. stockholders' equity                       (4,842)                     (15,861)                       (7,058)                         4,096
Noncontrolling interest                         4,932                         5,507                         6,494                         7,115
           
Total equity  $                          90  $                (10,354)  $                      (564)  $                  11,211
           
Total liabilities, Series A preferred stock and equity  $                353,258  $                332,632  $                319,077  $                329,953

 

(1) Audited consolidated financial statements and notes for the year ended December 31, 2017 are available within our 2017 Annual Report on Form 10-K.

 

3Q 2018 Supplemental

6 

 

 

Plymouth Industrial REIT, Inc.
Consolidated Statements of Operations - GAAP (unaudited)
 
(in thousands, except per-share amounts) 

 

      Three Months Ended
      9/30/2018   6/30/2018   3/31/2018   12/31/2017 (1)  
Revenues:                  
Rental income    $                     8,742    $                     9,019    $                     8,483    $                     6,379  
Tenant recoveries                           2,906                           2,957                           2,946                           2,031  
Other revenue                                   5                                 71                               450                                   1  
                     
Total revenues    $                   11,653    $                   12,047    $                   11,879    $                     8,411  
                     
Operating expenses:                  
Property related                           4,349                           3,787                           4,452                           3,122  
Depreciation and amortization                           6,249                           6,444                           6,542                           4,943  
General and administrative                           1,394                           1,533                           1,373                           2,031  
Acquisition costs                                    -                                    -                                    -                                 17  
                     
Total operating expenses    $                   11,992    $                   11,764    $                   12,367    $                   10,113  
                     
Operating income    $                      (339)    $                        283    $                      (488)    $                   (1,702)  
                     
Other income (expense):                  
Gain on disposition of equity investment                                    -                                    -                                    -                                   8  
Interest expense                          (3,575)                          (4,216)                          (3,985)                          (3,219)  
Loss on debt extinguishment                             (804)                          (3,601)                                    -                                    -  
                     
Total other income (expense)    $                   (4,379)    $                   (7,817)    $                   (3,985)    $                   (3,211)  
                     
Net loss    $                   (4,718)    $                   (7,534)    $                   (4,473)    $                   (4,913)  
                     
Less: Net income attributable to noncontrolling interest                             (417)                             (829)                             (463)                             (489)  
                     
Net loss attributable to Plymouth Industrial REIT, Inc.    $                   (4,301)    $                   (6,705)    $                   (4,010)    $                   (4,424)  
                     
Less: Series A preferred stock dividends                               956                               956                               956                               723 (2)
Less: Amount allocated to participating securities                                 48                                 46                                 61                               128  
                     
Net income (loss) attributable to common stockholders    $                   (5,305)    $                   (7,707)    $                   (5,027)    $                   (5,275)  
                     
Net income (loss) attributable to common stockholders per share - basic and diluted    $                     (1.22)    $                     (2.27)    $                     (1.38)    $                     (1.44)  
                     
Weighted-average shares outstanding - basic   4,351   3,400   3,647   3,656  
Weighted-average shares outstanding - diluted   4,351   3,400   3,647   3,656  
                     

 

(1) Audited consolidated financial statements and notes for the year ended December 31, 2017 are available within our 2017 Annual Report on Form 10-K.

(2) Preferred stock dividend for the fourth quarter of 2017 of $0.46875, which was pro-rated to $0.3542 per share to reflect the period commencing October 25, 2017 (original issue date) and ending December 31, 2017, was declared in December 2017 and paid in January 2018.

 

3Q 2018 Supplemental

7 

 

 

Plymouth Industrial REIT, Inc.
Same Store Net Operating Income (NOI)

 

Unaudited (in thousands)
                 
Trailing four quarter same store NOI Three Months Ended
    9/30/2018   6/30/2018   3/31/2018   12/31/2017
Same store properties   20   20   20   20
                 
Revenues:              
Rental income  $                3,317    $                     3,423    $                     3,455    $                     3,626
Tenant recoveries                      1,291                           1,425                           1,382                           1,334
Total operating revenues  $                4,608    $                     4,848    $                     4,837    $                     4,960
                 
Property expenses  $                1,707    $                     1,388    $                     1,815    $                     2,031
                 
Same store net operating income  $                2,901    $                     3,460    $                     3,022    $                     2,929

 

Trailing two quarter same store NOI Three Months Ended  
    9/30/2018   6/30/2018  
Same store properties   49   49  
           
Revenues:        
Rental income  $                8,329    $                     8,657  
Tenant recoveries                      2,886                           2,945  
Total operating revenues  $              11,215    $                   11,602  
           
Property expenses  $                4,285    $                     3,707  
           
Same store net operating income  $                6,930    $                     7,895  

 

3Q 2018 Supplemental

8 

 

 

Plymouth Industrial REIT, Inc.
NOI

 

Unaudited (in thousands)
           
    Three Months Ended
    9/30/2018 6/30/2018 3/31/2018 12/31/2017
           
Net loss  $              (4,718)  $                   (7,534)  $                   (4,473)  $                   (4,913)
           
General and administrative                    1,394                         1,533                         1,373                         2,031
Acquisition costs                             -                                  -                                  -                               17
Depreciation and amortization                    6,249                         6,444                         6,542                         4,943
Interest expense                    3,575                         4,216                         3,985                         3,219
Loss on debt extinguishment                        804                         3,601                                  -                                  -
Other income                           (5)                             (71)                           (450)                                (9)
           
Net Operating Income  $                7,299  $                     8,189  $                     6,977  $                     5,288

 

3Q 2018 Supplemental

9 

 

 

Plymouth Industrial REIT, Inc.
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)

 

Unaudited (in thousands)
           
    Three Months Ended
    9/30/2018 6/30/2018 3/31/2018 12/31/2017
           
Net loss  $              (4,718)  $                   (7,534)  $                   (4,473)  $                   (4,913)
           
Depreciation and amortization                    6,249                         6,444                         6,542                         4,943
Interest expense                    3,575                         4,216                         3,985                         3,219
Loss on debt extinguishment                        804                         3,601                                  -                                  -
           
EBITDA  $                5,910  $                     6,727  $                     6,054  $                     3,249

 

3Q 2018 Supplemental

10 

 

 

Plymouth Industrial REIT, Inc.
Funds from Operations (FFO) & Adjusted Funds from Operations (AFFO)

 

Unaudited (in thousands, except per-share amounts)
           
    Three Months Ended
    9/30/2018 6/30/2018 3/31/2018 12/31/2017
           
Net loss  $                (4,718)  $                   (7,534)  $                   (4,473)  $                   (4,913)
           
Depreciation and amortization                       6,249                         6,444                         6,542                         4,943
Loss on debt extinguishment                          804                         3,601                                  -                                  -
Gain on disposition of equity investment                               -                                  -                                  -                                (8)
           
FFO  $                  2,335  $                     2,511  $                     2,069  $                           22
           
Preferred stock dividend                        (956)                           (956)                           (956)                           (723)
FFO attributable to common stockholders and unit holders  $                  1,379  $                     1,555  $                     1,113  $                      (701)
           
Deferred finance fee amortization                          338                             466                             387                             259
Non-cash interest expense                        (164)                             560                             247                             900
Acquisition costs                             -                                   -                                   -                                  17
Stock compensation                          203                             200                             200                             192
Straight line rent                        (107)                           (461)                           (357)                             (82)
Above/below market lease rents                        (247)                           (306)                           (411)                           (168)
Recurring capital expenditures (1)                        (599)                           (350)                           (992)                           (227)
AFFO  $                      803  $                     1,664  $                        187  $                        190
           
Weighted average common shares and units outstanding                       4,898                         3,977                         4,232                         4,234
           
FFO attributable to common stockholders and unit holders per share  $                    0.28  $                       0.39  $                       0.26  $                     (0.17)
           
AFFO attributable to common stockholders and unit holders per share  $                    0.16  $                       0.42  $                       0.04  $                       0.04

 

(1) Excludes non-recurring capital expenditures of $576, $874, $373 and $819 for the three months ending September 30, June 30 and, March 31, 2018, and December 31, respectively.

 

3Q 2018 Supplemental

11 

 

 

Plymouth Industrial REIT, Inc.
Debt Overview

 

Unaudited ($ in thousands) at 9/30/2018
 Debt Instrument - Secured Facility Maturity Rate Rate Type Properties Encumbered Balance % of Total Debt
$45.0 million line of credit   August-21  4.86%(1) Floating                                 8  $                   35,550 12.4%
$35.7 million KeyBank Term Loan (3)   August-21 9.07% (2) Floating                                  -  $                   31,170 10.9%
$120.0 million AIG Loan   October-23 4.08% Fixed                               20  $                 120,000 41.9%
$21.5 million Minnesota Life Loan   May-28 3.78% Fixed                                 6  $                   21,500 7.5%
$78.0 million Transamerica Secured Term Loan   August-28 4.35% Fixed                               18  $                   78,000 27.3%
                                        52  $                286,220 100.0%

 

Balance Sheet ($ in thousands) at 9/30/2018      
Cash      $                   11,557
Gross Assets (5)      $                 408,150
Total Debt      $                 286,220
Net Debt      $                 274,663

 

(1) Interest rate paid for the month of September 30, 2018. Borrowings under the Line of Credit Agreement bear interest at either (1) the base rate (determined from the highest of (a) KeyBank’s prime rate, (b) the federal funds rate plus 0.50% and (c) the one month LIBOR rate plus 1.0%) or (2) LIBOR, plus, in either case, a spread between 250 and 300 basis points depending on our total leverage ratio.
(2) Interest rate for the month of September 30, 2018. Borrowings under the KeyBank Term Loan bear interest at either (1) LIBOR plus 7% or (2) KeyBank’s base rate plus 6%.
(3) The KeyBank Term Loan is secured by Plymouth Industrial REIT's equity interest within the Plymouth 20 and each of its property owning subsidiaries.
(5) The carrying amount of total assets plus accumulated depreciation and amortization, as reported in the Company's consolidated financial statements.

 

3Q 2018 Supplemental

12 

 

 

Plymouth Industrial REIT, Inc.
Property Overview - Square Feet & Occupancy
 
Unaudited ($ in thousands) at 9/30/18

 

         
 Property Market Rentable
Square Feet		 Leased
Square Feet		 Occupancy
  32 Dart Road Atlanta 194,800 194,800 100.0%
  1665 Dogwood Drive SW Atlanta 198,000 198,000 100.0%
  1715 Dogwood Drive Atlanta 100,000 100,000 100.0%
  11236 Harland Drive Atlanta 32,361 32,361 100.0%
Subtotal - Atlanta   525,161 525,161 100.0%
  11351 W 183rd Street Chicago 18,768 18,768 100.0%
  11601 Central Avenue Chicago 260,000 260,000 100.0%
  13040 South Pulaski Avenue Chicago 395,466 395,466 100.0%
  1355 Holmes Road Chicago 82,456 82,456 100.0%
  13970 West Laurel Drive Chicago 70,196 70,196 100.0%
  1455-1645 Greenleaf Avenue Chicago 150,000 150,000 100.0%
  1600 Fleetwood Drive Chicago 247,000 247,000 100.0%
  1750 South Lincoln Drive Chicago 499,200 499,200 100.0%
  1796 Sherwin Avenue Chicago 98,879 98,879 100.0%
  1875 Holmes Road Chicago 134,415 134,415 100.0%
  189 Seegers Road Chicago 25,000 25,000 100.0%
  2401 Commerce Drive Chicago 78,574 78,574 100.0%
  28160 North Keith Drive Chicago 77,924 77,924 100.0%
  3 West College Drive Chicago 33,263 33,263 100.0%
  3841-3865 Swanson Court Chicago 99,625 99,625 100.0%
  3940 Stern Avenue Chicago 146,798 146,798 100.0%
  440 South McLean Chicago 74,613 74,613 100.0%
  6000 West 73rd Street Chicago 148,091 148,091 100.0%
  6510 West 73rd Street Chicago 306,552 306,552 100.0%
  6558 West 73rd Street Chicago 301,000 301,000 100.0%
  6751 Sayre Avenue Chicago 242,690 242,690 100.0%
  7200 Mason Ave Chicago 207,345 207,345 100.0%
  5110 South 6th Street Milwaukee 58,500 58,500 100.0%
  525 West Marquette Avenue Milwaukee 112,144 60,000 53.5%
Subtotal - Chicago   3,868,499 3,816,355 98.7%
  Mosteller Distribution Center Cincinnati 358,386 358,386 100.0%
  4115 Thunderbird Lane Cincinnati 70,000 70,000 100.0%
Subtotal - Cincinnati   428,386 428,386 100.0%
  1755 Enterprise Parkway Cleveland 255,570 255,570 100.0%
  30339 Diamond Parkway Cleveland 400,184 400,184 100.0%
Subtotal - Cleveland   655,754 655,754 100.0%
  3500 Southwest Boulevard Columbus 527,127 527,127 100.0%
  3100 Creekside Parkway Columbus 340,000 - 0.0%
  8288 Green Meadows Dr. Columbus 300,000 300,000 100.0%
  8273 Green Meadows Dr. Columbus 77,271 77,271 100.0%
  7001 American Pkwy Columbus 54,100 54,100 100.0%
  2120 - 2138 New World Drive Columbus 121,200 121,200 100.0%
Subtotal - Columbus   1,419,698 1,079,698 76.1%
  3035 North Shadeland Ave Indianapolis 562,497 537,497 95.6%
  3169 North Shadeland Ave Indianapolis 44,374 41,960 94.6%
  5861 W Cleveland Road South Bend 62,550 62,550 100.0%
  West Brick Road South Bend 101,450 101,450 100.0%
  4491 N Mayflower Road South Bend 77,000 77,000 100.0%
  5855 West Carbonmill Road South Bend 198,000 198,000 100.0%
  4955 Ameritech Drive South Bend 228,000 228,000 100.0%
Subtotal - Indianapolis/South Bend   1,273,871 1,246,457 97.8%
  6005, 6045 & 6075 Shelby Dr. Memphis 202,303 194,398 96.1%
  210 American Dr. Jackson 638,400 638,400 100.0%
  3635 Knight Road Memphis 131,904 131,904 100.0%
  Business Park Drive Memphis 235,006 134,457 57.2%
Subtotal - Memphis/Jackson   1,207,613 1,099,159 91.0%
  7585 Empire Drive Florence, KY 148,415 148,415 100.0%
  56 Milliken Road Portland, ME 200,625 200,625 100.0%
  4 East Stow Road Marlton, NJ 156,279 134,959 86.4%
Subtotal - Others   505,319 483,999 95.8%
 Total - All Properties   9,884,301 9,334,969 94.4%

 

3Q 2018 Supplemental

13 

 

 

Plymouth Industrial REIT, Inc.
Market Summary
 
Unaudited (SF and $ in thousands) (at 9/30/2018)

 

Geography  State  Properties  Total Acquisition Cost (1)  Gross Real Estate Assets (2)  % Gross Real Estate Assets
 Atlanta   GA 4  $                                  17,045  $                15,765 4.5%
 Chicago   IL, WI 24                                    154,140                  143,266 41.3%
 Cincinnati   OH 2                                      14,900                    13,349 3.8%
 Cleveland   OH 2                                      42,000                    39,658 11.4%
 Columbus   OH 6                                      50,982                    48,653 14.0%
 Indianapolis/South Bend   IN 7                                      43,450                    38,489 11.1%
 Memphis/Jackson   TN 4                                      31,608                    26,438 7.6%
 Other   Various 3                                      24,000                    21,120 6.1%
 Total   52  $                                378,125  $              346,738 100%

 

 

 

(1) Total acquisition cost prior to allocations per US GAAP.
(2) The gross book value of real estate assets as of September 30, 2018 excluding $327 in leasehold improvements related to our Corporate office. Gross book value of real estate assets excludes depreciation and the allocation of the acquisition cost towards intangible asset and liabilities required by US GAAP.

 

3Q 2018 Supplemental

14 

 

 

Plymouth Industrial REIT, Inc.
Leasing Activity
 
 

 

Year Type Square Footage Percent  Expiring Rent New Rent % Change Tenant Improvements $/SF/YR  Lease Commissions $/SF/YR
                 
2017 Renewals 234,679 84.1%  $        4.25  $         4.51 6.2%  $              0.07  $                 0.13
  New Leases 44,268 15.9%  $        2.16  $         3.00 38.7%  $              0.41  $                 0.27
  Total 278,947 100%  $        3.92  $         4.27 9.1%  $              0.13  $                 0.15
                 
Q1 2018 Renewals 146,798 47.5%  $        4.25  $         4.30 1.2%  $                   -     $                 0.11
  New Leases 162,119 52.5%  $        3.17  $         3.99 26.0%  $              0.09  $                 0.04
  Total 308,917 100%  $        3.68  $         4.07 10.7%  $              0.05  $                 0.07
                 
Q2 2018 Renewals 146,874 18.1%  $        4.83  $         5.00 3.6%  $              0.14  $                 0.13
  New Leases 664,828 81.9%  $        2.80  $         2.99 6.8%  $              0.42  $                 0.25
  Total 811,702 100%  $        3.17  $         3.36 6.0%  $              0.37  $                 0.23
                 
Q3 2018 Renewals 101,287 46.9%  $      11.75  $         9.94 -15.4%  $              0.76  $                 0.26
  New Leases 114,580 53.1%  $        2.83  $         4.15 46.9%  $              0.63  $                 0.27
  Total 215,867 100%  $        7.01  $         6.87 -2.1%  $              0.69  $                 0.26
                 
2018 Renewals 394,959 29.6%  $        6.39  $         6.01 -6.0%  $              0.25  $                 0.15
  New Leases 941,527 70.4%  $        2.87  $         3.31 15.3%  $              0.39  $                 0.22
  Total 1,336,486 100%  $        3.91  $         4.10 5.0%  $              0.35  $                 0.20
                 
Total Renewals 629,638 39.0%  $        5.59  $         5.45 -2.5%  $              0.18  $                 0.14
  New Leases 985,795 61.0%  $        2.84  $         3.29 15.8%  $              0.39  $                 0.22
  Total 1,615,433 100%  $        3.91  $         4.13 5.6%  $              0.31  $                 0.19

 

3Q 2018 Supplemental

15 

 

 

Plymouth Industrial REIT, Inc.
Lease Expiration Schedule
 
Unaudited ($ in thousands) (at 9/30/2018)

 

Year Square
Footage		  Annualized
Base Rent (ABR) (1) 		% of ABR Expiring (2)
Available 549,331 $                 - -
2018 - - 0.0%
2019 1,767,092 6,165 17.2%
2020 1,829,575 6,517 18.1%
2021 2,227,054 8,443 23.5%
2022 920,793 4,344 12.1%
Thereafter 2,590,456 10,473 29.1%
Total 9,884,301 $      35,942 100.0%

 

 

 

(1) Annualized base rent is calculated as monthly contracted base rent per the terms of such lease, as of September 30, 2018, multiplied by 12. Excludes billboard and antenna revenue and rent abatements.
(2) Calculated as annualized base rent set forth in this table divided by total annualized base rent for the Company Portfolio as of September 30, 2018.

 

3Q 2018 Supplemental

16 

 

 

Plymouth Industrial REIT, Inc.
Glossary

 

Non-GAAP Financial Measures Definitions:
Net Operating Income (NOI): We consider net operating income, or NOI, to be an appropriate supplemental measure to net income because it helps both investors and management understand the core operations of our properties. We define NOI as total revenue (including rental revenue, tenant reimbursements, management, leasing and development services revenue and other income) less property-level operating expenses including allocated overhead. NOI excludes depreciation and amortization, general and administrative expenses, impairments, gain/loss on sale of real estate, interest expense, and other non-operating items.
EBITDA: We believe that earnings before interest, taxes, depreciation and amortization, or EBITDA, is helpful to investors as a supplemental measure of our operating performance as a real estate company because it is a direct measure of the actual operating results of our industrial properties. We also use this measure in ratios to compare our performance to that of our industry peers. EBITDA as presented herein is equal to EBITDAre as defined by NAREIT.
Funds From Operations attributable to common stockholders (“FFO”): Funds from operations, or FFO, is a non-GAAP financial measure that is widely recognized as a measure of REIT operating performance. We consider FFO to be an appropriate supplemental measure of our operating performance as it is based on a net income analysis of property portfolio performance that excludes non-cash items such as depreciation. The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time. Since real estate values rise and fall with market conditions, presentations of operating results for a REIT, using historical accounting for depreciation, could be less informative. We define FFO, consistent with the National Association of Real Estate Investment Trusts, or NAREIT, definition, as net income, computed in accordance with GAAP, excluding gains (or losses) from sales of property, depreciation and amortization of real estate assets, impairment losses, loss on extinguishment of debt and after adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures will be calculated to reflect FFO on the same basis. Other equity REITs may not calculate FFO (in accordance with the NAREIT definition) as we do, and, accordingly, our FFO may not be comparable to such other REITs’ FFO. FFO should not be used as a measure of our liquidity, and is not indicative of funds available for our cash needs, including our ability to pay dividends.
Adjusted Funds From Operations attributable to common stockholders (“AFFO”):  Adjusted funds from operation, or AFFO, is presented in addition to FFO. AFFO is defined as FFO, excluding certain non-cash operating revenues and expenses, acquisition and transaction related costs for transactions not completed and recurring capitalized expenditures. Recurring capitalized expenditures includes expenditures required to maintain and re-tenant our properties, tenant improvements and leasing commissions. AFFO further adjusts FFO for certain other non-cash items, including the amortization or accretion of above or below market rents included in revenues, straight line rent adjustments, impairment losses, non-cash equity compensation and non-cash interest expense. We believe AFFO provides a useful supplemental measure of our operating performance because it provides a consistent comparison of our operating performance across time periods that is comparable for each type of real estate investment and is consistent with management’s analysis of the operating performance of our properties. As a result, we believe that the use of AFFO, together with the required GAAP presentations, provide a more complete understanding of our operating performance. As with FFO, our reported AFFO may not be comparable to other REITs’ AFFO, should not be used as a measure of our liquidity, and is not indicative of our funds available for our cash needs, including our ability to pay dividends.
Other Definitions:
GAAP: U.S generally accepted accounting principles.
Gross Assets: the carrying amount of total assets plus accumulated depreciation and amortization, as reported in the Company’s consolidated financial statements. For gross assets as of September 30, 2018 the calculation is as follows:

 

  9/30/2018
Total Assets $353,258
Add back depreciation expense      36,830
Add back intangible asset amortization      18,062
Gross assets $408,150

 
Non-Recurring Capital Expenditures: Non-recurring capital expenditures include capital expenditures of long lived improvements required to upgrade/replace existing systems or items that previously did not exist.
Occupancy: We define occupany as the percentage of total leasable square footage in which either the sooner of lease term commencement or revenue recognition in accordance to GAAP has commenced as of the close of the reporting period.
Recurring Capital Expenditures: Recurring capitalized expenditures includes capital expenditures required to maintain and re-tenant our properties, tenant improvements and leasing commissions.
Same Store Portfolio: Our Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly-owned by us for the entire period presented. The trailing 4 quarters same store portfolio includes properties owned as of July 1, 2017, and still owned by us as of September 30, 2018. Therefore, we excluded from our Same Store Portfolio any properties that were acquired or sold during the period from July 1, 2017 through September 30, 2018. The trailing 2 quarters same store  portfolio includes properties owned as of April 1, 2018, and still owned by us as of September 30, 2018. Therefore, we excluded from our Same Store Portfolio any properties that were acquired or sold during the period from April 1, 2018 through September 30, 2018. The Company's computation of same store NOI may not be comparable to other REITs.
Weighted average lease term remaining: The average contractual lease term remaining as of the close of the reporting period (in years) weighted by square footage.

 

 

 

 

 

3Q 2018 Supplemental

17