Plymouth Industrial REIT confirmed a two-year lease for 600,000 square feet with a major manufacturing tenant in St. Louis.
Quiver AI Summary
Plymouth Industrial REIT, Inc. announced a two-year lease for 600,000 square feet in its 769,500-square-foot industrial building in St. Louis, starting January 15, 2025, with an international manufacturing and logistics provider. The lease will reduce to 450,000 square feet in the second year. CEO Jeff Witherell expressed satisfaction with the lease rate, which is higher than recent market signings, and emphasized the quality of the asset. This new lease has favorable terms compared to the previous agreement, as it does not include free rent or tenant improvements. Plymouth is committed to meeting the tenant's needs and continues to seek tenants for the remaining space in the building.
Potential Positives
- Plymouth Industrial REIT executed a two-year lease for 600,000 square feet in the first year, reflecting strong demand and rental activity in the industrial real estate market.
- The lease rate established is higher than recent market signings, indicating the superior quality and value of the asset compared to competitors.
- The company expressed confidence in partnering with a major international manufacturing and logistics provider, enhancing its reputation and tenant relationships.
- The lease does not require provisions for free rent or tenant improvements, which favorably impacts financial performance on a net effective per square foot basis.
Potential Negatives
- The lease length of two years may indicate a lack of long-term commitment from the new tenant, potentially leading to uncertainty in occupancy after the term ends.
- The press release highlights a need to "continue to market the property to fill the remainder of the building," suggesting potential challenges in achieving full occupancy.
- There is a notable lack of tenant improvements or free rent concessions compared to the previous lease, which may indicate negotiating difficulties or uncompetitive leasing conditions.
FAQ
What recent lease agreement did Plymouth Industrial REIT announce?
Plymouth Industrial REIT announced a two-year lease for 600,000 square feet in St. Louis, beginning January 15, 2025.
Who is the new tenant in the St. Louis property?
The new tenant is a major international manufacturing, engineering, and logistics service provider.
How does the new lease rate compare to previous rates?
The new lease rate is higher than recent signings in the market, indicating the asset's superior quality.
What is Plymouth Industrial REIT's primary focus?
Plymouth Industrial REIT focuses on the acquisition, ownership, and management of single and multi-tenant industrial properties.
Are the forward-looking statements in the release guaranteed?
No, forward-looking statements are subject to various risks and uncertainties and do not guarantee future performance.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$PLYM Insider Trading Activity
$PLYM insiders have traded $PLYM stock on the open market 3 times in the past 6 months. Of those trades, 2 have been purchases and 1 have been sales.
Here’s a breakdown of recent trading of $PLYM stock by insiders over the last 6 months:
- VI REIT INVESTMENTS IV, LLC MIRELF sold 563,438 shares for an estimated $13,285,868
- PENDLETON P. JR. WHITE purchased 5,000 shares for an estimated $91,950
- JEFFREY E WITHERELL (CEO) purchased 2,000 shares for an estimated $36,980
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$PLYM Hedge Fund Activity
We have seen 99 institutional investors add shares of $PLYM stock to their portfolio, and 70 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- SILVERCREST ASSET MANAGEMENT GROUP LLC removed 2,364,292 shares (-50.5%) from their portfolio in Q3 2024, for an estimated $53,432,999
- MADISON INTERNATIONAL REALTY HOLDINGS, LLC removed 756,064 shares (-15.0%) from their portfolio in Q3 2024, for an estimated $17,087,046
- CHILTON CAPITAL MANAGEMENT LLC removed 423,251 shares (-98.6%) from their portfolio in Q3 2024, for an estimated $9,565,472
- ALLIANCEBERNSTEIN L.P. removed 305,460 shares (-56.0%) from their portfolio in Q3 2024, for an estimated $6,903,396
- WESTWOOD HOLDINGS GROUP INC removed 234,215 shares (-7.9%) from their portfolio in Q3 2024, for an estimated $5,293,259
- HEARTLAND ADVISORS INC added 200,000 shares (+inf%) to their portfolio in Q3 2024, for an estimated $4,520,000
- MACQUARIE GROUP LTD added 196,283 shares (+13.2%) to their portfolio in Q3 2024, for an estimated $4,435,995
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
BOSTON, Jan. 23, 2025 (GLOBE NEWSWIRE) -- Plymouth Industrial REIT, Inc. (NYSE: PLYM) announced it has executed a two-year lease at its 769,500-square-foot Class A industrial building in the Metro East submarket of St. Louis that commenced on January 15, 2025. The lease is for 600,000 square feet during the first year and 450,000 square feet during the second year with a major international manufacturing, engineering, and logistics service provider.
Jeff Witherell, Chief Executive Officer and Co-Founder of Plymouth, noted, “We are pleased to execute a two-year lease for our St. Louis property at a rate higher than recent signings in the market, reflecting the superior quality of the asset. We will partner with the new tenant in meeting their space requirements over the coming years, while continuing to market the property to fill the remainder of the building.”
As previously announced in Plymouth’s Fourth Quarter Activity Update on January 10, 2025, the new lease rate compares favorably to the expiring rent on a net effective per square foot basis as there was no free rent or tenant improvements provided, as compared to the original lease which had specific tenant requirements that influenced the lease rate.
About Plymouth
Plymouth Industrial REIT, Inc. (NYSE: PLYM) is a full service, vertically integrated real estate investment company focused on the acquisition, ownership and management of single and multi-tenant industrial properties. Our mission is to provide tenants with cost effective space that is functional, flexible and safe.
Forward-Looking Statements
This press release includes “forward-looking statements” that are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 and of Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, statements regarding future leasing activity and expectations for the timing of the closing of the Sixth Street Chicago Joint Venture. The forward-looking statements in this release do not constitute guarantees of future performance. Investors are cautioned that statements in this press release, which are not strictly historical statements, including, without limitation, statements regarding management's plans, objectives and strategies, constitute forward-looking statements. Such forward-looking statements are subject to a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those anticipated by the forward-looking statements, many of which may be beyond our control. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “plan,” “seek,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe” or “continue” or the negative thereof or variations thereon or similar terminology. Any forward-looking information presented herein is made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.
Contact:
John Wilfong
SCR Partners
[email protected]