Highlights include:
* Quarterly FFO per share of $0.54; growth of 10.2% over first quarter
1999
* Revenue growth of 45.9% quarter over quarter
* Average rent increase of 13%; portfolio occupancy of 96.9%
* Achieved 4.0% cash NOI growth; unchanged occupancy for same store
portfolio
* Stabilized $8 million of development projects at yields of 12.4%
* Acquired 16 properties in 6 separate transactions for $63 million at
10.1% yields
BOSTON, April 26 /PRNewswire/ -- Cabot Industrial Trust (NYSE: CTR) today
reported that for the quarter ended March 31, 2000, rental revenues were
$49.8 million and FFO per share on a diluted basis was $0.54. This represents
revenue growth of 45.9% and FFO per share growth of 10.2% compared to
previously reported results for the first quarter 1999.
(Photo: http://www.newscom.com/cgi-bin/prnh/20000218/CABOTLOGO )
Ferdinand Colloredo-Mansfeld, CEO and Chairman of Cabot Industrial Trust
commented, "We continue to experience strong demand for our properties,
particularly for our development properties. We experienced rent growth in
all three property types and occupancy levels remain very high at 96.9%. We
continue to see exceptional investment opportunities in the market and are
well positioned to pursue these opportunities."
Rent growth of 13%; occupancy of 97%; same store cash NOI growth of 4.0%
Cabot now has 669 tenants, largely serviced through nine property
management offices. Over the course of the first quarter, the Company leased
1.6 million square feet, achieved rent growth of 13% on new leases, and
maintained occupancy at 96.9%. Rent growth for workspace properties was
strongest at 16%, followed by multitenant properties at 13% and bulk
properties at 10%. Same store cash basis NOI grew by 4.0% over the first
quarter of 1999.
Development achieves 12.4% stabilized yields
Cabot's development program currently stands at $156.7 million with
projects in eleven different sub-markets across the country. $8.2 million of
development projects were stabilized in the first quarter at yields of 12.4%.
Highly selective individual property acquisition program
During the quarter, Cabot completed 6 separate acquisition transactions
for $63 million at an average stabilized yield of 10.1%. As a result of this
investment activity, Cabot has deepened its market position in Atlanta,
Dallas, Harrisburg, Phoenix and San Diego. These acquisitions comprised 16
buildings totaling 1.5 million square feet which were 99% leased to 39
tenants.
Strong capital base - low payout ratio
At quarter end, Cabot's debt-to-book asset ratio was 35%. Its debt
service coverage ratio was 3.3 times, and FFO payout ratio was 66%. During
the quarter, Cabot completed a $15 million perpetual preferred equity
financing with a coupon rate of 8.875%.
Conference Call - The Company will hold its quarterly investor/analyst
conference call on April 27 beginning at 1:00 EST. A live web cast of this
call will be available on the Cabot Industrial Trust web site at
http://www.cabottrust.com. Supplemental Quarterly Information is also available on
the Cabot Industrial Trust web site. A replay of the conference call will be
available through May 5, 2000. The telephone number for the replay is (800)
203-0730 and the meeting identification number is 7401.
Cabot Industrial Trust is a fully integrated real estate company, with
offices in Boston, Atlanta, Baltimore, Chicago, Cincinnati, Dallas, Los
Angeles, Orlando and Phoenix, which specializes in the ownership, acquisition,
and development of industrial properties. At March 31, 2000, it owns 337
properties containing 40 million square feet in 22 states. The Company also
manages an additional 10 million square feet of property for investment
advisory accounts. Cabot Industrial Trust focuses on a broad spectrum of
industrial property types nationwide including large bulk distribution
facilities, multitenant distribution facilities and workspace properties.
In addition to historical information, this press release contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements are based on management's
current expectations about the industry and the markets in which the Company
operates. Such forward-looking statements are not guarantees of future
performance and involve known and unknown risks, uncertainties or other
factors which may cause actual results, performance or achievements of the
Company to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Actual
operating results may be affected by various factors including, without
limitation, changes in national and local economic conditions, competitive
market conditions, uncertainties and costs related to and the imposition of
conditions on receipt of governmental approvals and costs of material and
labor, all of which may cause such actual results to differ materially from
what is expressed or forecast in this press release.
To receive Cabot Industrial Trust's latest news releases and other
corporate documents please send requests via e-mail at ir@cabottrust.com or
visit our web site at http://www.cabottrust.com.
CABOT INDUSTRIAL TRUST
SUMMARY UNAUDITED QUARTERLY RESULTS
(IN THOUSANDS, EXCEPT PER SHARE DATA)
Quarter Ended Quarter Ended
March 31, 2000 March 31, 1999
Rental Revenues $49,808 $34,138
Weighted average common shares outstanding:
Basic 40,619 27,873
Diluted 40,619 27,873
Net income per common share:
Basic $0.31 $0.28
Diluted $0.31 $0.28
Funds from operations (A) $23,496 $18,808(B)
Average shares outstanding (C)
Basic 43,668 43,522
Diluted 43,699 43,523
Funds from operations per common share (C)
Basic $0.54 $0.43(B)
Diluted $0.54 $0.43(B)
Occupancy Rates March 31, 2000 March 31, 1999
Bulk Distribution Properties 97.3% 97.5%
Multitenant Distribution Properties 96.0% 96.7%
Workspace Properties 97.7% 97.5%
Weighted average total 96.9% 97.3%
(A) Calculated before minority interest and after preferred unit
distributions.
(B) Restated in accordance with NAREIT clarification of the definition of
Funds from Operations, which became effective January 1, 2000. Funds
from Operations and Funds from Operations per Share as originally
reported for the quarter ended March 31, 1999 did not include the
expense of the Settlement of Treasury Lock of $2,492 and were reported
as $21,300 and $0.49, respectively.
(C) Calculated based on weighted average common shares outstanding
assuming conversion of all limited partnership units outstanding.
CABOT INDUSTRIAL TRUST
CONSOLIDATED BALANCE SHEET
(IN THOUSANDS, EXCEPT PER SHARE DATA)
March 31, 2000 December 31, 1999
(unaudited)
ASSETS
Rental Properties $1,578,072 $1,507,834
Less: Accumulated Depreciation (50,679) (42,543)
Properties Under Development 67,545 63,938
Net Real Estate Investments $1,594,938 $1,529,229
Cash and Cash Equivalents $12,491 $22,007
Rents and Other Receivables, net of
reserve for uncollectible accounts of $705
and $574 at March 31, 2000 and December
31, 1999, respectively 4,624 3,828
Deferred Rent Receivable 7,439 6,079
Deferred Lease Acquisition Costs, net 27,594 23,913
Deferred Financing Costs, net 3,186 3,369
Other Assets 7,913 5,059
TOTAL ASSETS $1,658,185 $1,593,484
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Mortgage Debt $168,950 $163,866
Unsecured Debt 200,000 200,000
Line of Credit Borrowings 207,000 163,000
Accounts Payable and Accrued
Real Estate Taxes 12,555 11,143
Tenant Security Deposits and Prepaid Rent 8,794 11,205
Distributions Payable 16,082 15,437
Other Liabilities 23,550 20,117
Total Liabilities $636,931 $584,768
MINORITY INTEREST
Cumulative Redeemable Perpetual
Preferred Units $204,230 $189,805
Limited Partnership Units 57,038 57,169
Total Minority Interest $261,268 $246,974
SHAREHOLDERS' EQUITY
Common Stock, $.01 par value, 150,000,000
shares authorized, 40,619,420 shares issued
and outstanding at March 31, 2000 and
December 31, 1999 $406 $406
Additional paid-in capital 767,701 767,774
Retained deficit (8,121) (6,438)
Total Shareholders' Equity $759,986 $761,742
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY $1,658,185 $1,593,484
CABOT INDUSTRIAL TRUST
CONSOLIDATED STATEMENT OF OPERATIONS
(UNAUDITED, IN THOUSANDS, EXCEPT PER SHARE DATA)
Quarter Ended Quarter Ended
March 31, 2000 March 31, 1999
REVENUES
Rental Income $42,749 $29,221
Tenant Reimbursements 7,059 4,917
Interest and Other Income 294 202
Total Revenues $50,102 $34,340
EXPENSES
Property Operating $4,546 $2,680
Property Taxes 5,898 3,845
General and Administrative 2,481 2,185
Interest 9,450 4,315
Depreciation and Amortization 9,823 6,810
Settlement of Treasury Lock -- 2,492
Total Expenses $32,198 $22,327
Income Before Minority Interest $17,904 $12,013
Minority Interest:
Preferred Units (4,211) --
Limited Partnership Units (956) (4,322)
Net Income $12,737 $7,691
Weighted Average Shares Outstanding:
Basic 40,619 27,873
Diluted 40,619 27,873
Net Income per Common Share:
Basic $0.31 $0.28
Diluted $0.31 $0.28
CABOT INDUSTRIAL TRUST
FUNDS FROM OPERATIONS
UNAUDITED, IN THOUSANDS, EXCEPT PER SHARE DATA)
Quarter Ended Quarter Ended
March 31, 2000 March 31, 1999
Net Income $12,737 $7,691
Add:
Minority Interest 5,167 4,322
Real Estate Related Depreciation
and Amortization 9,803 6,795
Preferred Unit Distributions (4,211) --
Funds from Operations $23,496 $18,808(B)
Weighted Average Shares Outstanding (A)
Basic 43,668 43,522
Diluted 43,699 43,523
Funds from Operations per Share (A)
Basic $0.54 $0.43(B)
Diluted $0.54 $0.43(B)
CABOT INDUSTRIAL TRUST
FUNDS AVAILABLE FOR DISTRIBUTION
(UNAUDITED, IN THOUSANDS, EXCEPT PER SHARE DATA)
Quarter Ended Quarter Ended
March 31, 2000 March 31, 1999
Funds from Operations $23,496 $18,808
Adjustments:
Straightline Rental Income (1,360) (643)
Amortization of Deferred Financing Costs 313 164
Leasing Commissions and Tenant
Improvements (1,502) (1,171)
Building Improvements (535) (435)
Funds Available for Distribution $20,412 $16,723(B)
Funds Available for Distribution per Share (A)
Basic $0.47 $0.38(B)
Diluted $0.47 $0.38(B)
(A) Calculated based on weighted average shares outstanding assuming
conversion of all partnership units outstanding.
(B) Restated in accordance with NAREIT clarification of the definition of
Funds from Operations, which became effective January 1, 2000.
Funds from Operations and Funds from Operations per Share as
originally reported for the quarter ended March 31, 1999 did not
include the expense of the Settlement of Treasury Lock of $2,492 and
were reported as $21,300 and $0.49, respectively.
SOURCE Cabot Industrial Trust
 back to top
Related links:
http://www.cabottrust.com
Photo Notes:
NewsCom:
http://www.newscom.com/cgi-bin/prnh/20000218/CABOTLOGO
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, 888-776-6555 or 201-369-3467
CONTACT:
Franz Colloredo-Mansfeld, Chief Financial
Officer of Cabot Industrial Trust, 617-723-0900
|
