rexr-20240206
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549  
FORM 8-K  
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 6, 2024
REXFORD INDUSTRIAL REALTY, INC.
(Exact name of registrant as specified in its charter) 
 
Maryland001-3600846-2024407
(State or other jurisdiction of
incorporation)
(Commission File Number)(IRS Employer Identification No.)
11620 Wilshire Boulevard, Suite 1000
 Los Angeles
California90025
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code: (310966-1680

N/A
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbolsName of each exchange on which registered
Common Stock, $0.01 par valueREXRNew York Stock Exchange
5.875% Series B Cumulative Redeemable Preferred StockREXR-PBNew York Stock Exchange
5.625% Series C Cumulative Redeemable Preferred StockREXR-PCNew York Stock Exchange
 Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.



ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On February 6, 2024, Rexford Industrial Realty, Inc. (“Rexford Industrial”) issued a press release announcing its earnings for the quarter ended December 31, 2023, and distributed certain supplemental financial information. On February 6, 2024, Rexford Industrial also posted the supplemental financial information on its website located at www.rexfordindustrial.com.  Copies of the press release and supplemental financial information are furnished herewith as Exhibits 99.1 and 99.2, respectively.
The information included in this Current Report on Form 8-K under this Item 2.02 (including Exhibits 99.1 and 99.2 hereto) are being “furnished” and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of the Exchange Act, nor shall it be incorporated by reference into a filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

ITEM 7.01 REGULATION FD DISCLOSURE  
As discussed in Item 2.02 above, Rexford Industrial issued a press release announcing its earnings for the quarter ended December 31, 2023 and distributed certain supplemental information. On February 6, 2024, Rexford Industrial also posted the supplemental financial information on its website located at www.rexfordindustrial.com.  
The information included in this Current Report on Form 8-K under this Item 7.01 (including Exhibit 99.1 and 99.2 hereto) is being “furnished” and shall not be deemed to be “filed” for the purposes of the Exchange Act, or otherwise subject to the liabilities of the Exchange Act, nor shall it be incorporated by reference into a filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing. The information included in this Current Report on Form 8-K under this Item 7.01 (including Exhibit 99.1 and 99.2 hereto) will not be deemed an admission as to the materiality of any information required to be disclosed solely to satisfy the requirements of Regulation FD.

ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d)    Exhibits.
 
Exhibit
Number
  Description
99.1
99.2
104Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 Rexford Industrial Realty, Inc.
February 6, 2024
 
/s/ Michael S. Frankel
 Michael S. Frankel
Co-Chief Executive Officer
(Principal Executive Officer)
 Rexford Industrial Realty, Inc.
February 6, 2024
 
/s/ Howard Schwimmer
 Howard Schwimmer
Co-Chief Executive Officer
(Principal Executive Officer)


Document
Exhibit 99.1
https://cdn.kscope.io/8953a4a3ebef6bf98862311a48412309-rexlogo11520a05a.jpg
Rexford Industrial Announces Fourth Quarter and Full Year 2023 Financial Results

Los Angeles, California - February 6, 2024 - Rexford Industrial Realty, Inc. (the “Company” or “Rexford Industrial”) (NYSE: REXR), a real estate investment trust (“REIT”) focused on creating value by investing in and operating industrial properties throughout infill Southern California, today announced financial and operating results for the fourth quarter and full year 2023.

Full Year 2023 Financial and Operational Highlights:
Net income attributable to common stockholders of $227.4 million, or $1.12 per diluted share, as compared to $157.5 million, or $0.92 per diluted share, for the prior year.
Company share of Core FFO of $444.8 million, an increase of 32.9% as compared to the prior year.
Company share of Core FFO per diluted share of $2.19, an increase of 11.7% as compared to the prior year.
Consolidated Portfolio NOI of $606.9 million, an increase of 26.4% as compared to the prior year.
Same Property Portfolio NOI increased 8.2% and Same Property Portfolio Cash NOI increased 10.0% as compared to the prior year.
Average Same Property Portfolio occupancy of 97.8%.
Comparable rental rates increased by 77.5% compared to prior rents on a GAAP basis and by 58.7% on a cash basis on 7.4 million rentable square feet of new and renewal leases.
Completed 18 transactions for an aggregate investment of $1.5 billion and sold two properties for an aggregate sales price of $28.3 million.
Ended the quarter with a low-leverage balance sheet measured by a net debt-to-enterprise value ratio of 15.0%.
Subsequent to quarter end, declared a quarterly common stock dividend of $0.4175 per share, an increase of 10%.

“Rexford Industrial’s strong results demonstrate our focus on creating value that delivers both near- and long-term cash flow and NAV growth,” stated Michael Frankel and Howard Schwimmer, Co-Chief Executive Officers of the Company. “As we look forward, Rexford remains exceptionally well-positioned to continue executing on our entrepreneurial business model in 2024 and beyond.”

Financial Results:

The Company reported net income attributable to common stockholders for the fourth quarter of $61.7 million, or $0.29 per diluted share, compared to $40.7 million, or $0.22 per diluted share for the prior year quarter. For the year ended December 31, 2023, net income attributable to common stockholders was $227.4 million, or $1.12 per diluted share, compared to $157.5 million, or $0.92 per diluted share for the prior year. Net income for the year ended December 31, 2023, includes $19.0 million of gains on sale of real estate, as compared to $8.5 million for the prior year.

The Company reported its share of Core FFO for the fourth quarter of $118.8 million, representing a 31.5% increase compared to $90.3 million for the prior year quarter. The Company reported Core FFO of $0.56 per diluted share, representing an increase of 14.3% compared to $0.49 per diluted share for the prior year quarter. For the year ended December 31, 2023, Core FFO was $444.8 million, representing a 32.9% increase compared to $334.7 million for the prior year. For the year ended December 31, 2023, the Company reported Core FFO of $2.19 per diluted share, representing an increase of 11.7% compared to $1.96 per diluted share for the prior year.

In the fourth quarter, the Company’s consolidated portfolio NOI and Cash NOI increased 16.3% and 22.5%, respectively, compared to the prior year quarter. For the year ended December 31, 2023, the Company’s consolidated portfolio NOI and Cash NOI increased 26.4% and 29.4%, respectively, compared to the prior year.




In the fourth quarter, the Company’s Same Property Portfolio NOI and Cash NOI increased 8.4% and 9.5%, respectively, compared to the prior year quarter. For the year ended December 31, 2023, the Company’s Same Property Portfolio NOI and Cash NOI increased 8.2% and 10.0%, respectively compared to the prior year.

Operating Results:

Fourth quarter and full year 2023 leasing activity demonstrates strong tenant demand fundamentals within Rexford Industrial’s target Southern California infill markets:

Q4-2023 Leasing Activity
Releasing Spreads
# of Leases Executed
SF of Leasing
GAAP
Cash
New Leases
47727,88647.8%31.8%
Renewal Leases
571,196,02366.4%48.5%
Total Leases
1041,923,90963.1%45.6%

Full Year 2023 Leasing Activity
Releasing Spreads
# of Leases Executed
SF of Leasing
GAAP
Cash
New Leases
2113,073,82980.2%62.0%
Renewal Leases
2484,282,65976.8%57.9%
Total Leases
4597,356,48877.5%58.7%

As of December 31, 2023, the Company’s Same Property Portfolio occupancy was 97.5%. Average Same Property Portfolio occupancy for the fourth quarter and full year 2023 was 97.5% and 97.8%, respectively. The Company’s consolidated portfolio, excluding value-add repositioning assets, was 97.6% occupied and 97.9% leased, and the Company’s consolidated portfolio, including value-add repositioning assets, was 94.1% occupied and 94.5% leased.

Transaction Activity:

During the fourth quarter of 2023, the Company completed four investments totaling $314.5 million including 1.1 million square feet of buildings on 92 acres of land and a $125.0 million loan securitized by a 150-acre industrial development site. In aggregate, these investments are projected to generate a weighted average unlevered initial yield of 6.4% and a stabilized yield on total investment of 6.8%. Additionally, the Company sold one property for a sales price of $11.3 million which generated a 28.0% unlevered IRR on investment.

During the full year of 2023, the Company completed $1.5 billion of investments comprised of 4.3 million square feet of buildings on 250 acres of land and the aforementioned securitized loan. In aggregate, these investments are projected to generate a weighted average unlevered initial yield of 5.4% and a weighted average unlevered stabilized yield on total investment of 6.1%. Additionally, the Company sold two properties for an aggregate sales price of $28.3 million, which generated a 21.4% weighted average unlevered IRR on investment.

Subsequent to the fourth quarter of 2023, the Company acquired:

5000 & 5010 Azusa Canyon Road, Irwindale, located in the LA San Gabriel Valley submarket, through an off-market transaction for $84.0 million or $359 per square foot. The aggregate 10.6-acre site features two 100% leased Class A single-tenant buildings, totaling 233,984 square feet. The investment generates an initial unlevered cash yield of 5.4%. According to CBRE, the vacancy rate in the 161 million square foot LA - San Gabriel Valley submarket was 2.0% at the end of the fourth quarter 2023.

During the fourth quarter of 2023, the Company stabilized two repositioning projects, including one building totaling 116,158 square feet and a 128,532 square foot industrial outdoor storage site, representing a total investment of $66 million. The projects achieved a weighted average unlevered stabilized yield on total investment of 7.0%. For the full



year 2023, the Company stabilized six repositioning and redevelopment projects totaling 490,722 square feet of buildings and two industrial outdoor storage sites totaling 337,508 square feet, representing a total investment of $197.0 million. The six projects achieved a weighted average unlevered stabilized yield on total investment of 6.9%.

Balance Sheet:
The Company ended the fourth quarter with $33.4 million in cash on hand and $1.0 billion available under its unsecured revolving credit facility. As of December 31, 2023, the Company had $2.2 billion of outstanding debt, with an average interest rate of 3.6%, an average term-to-maturity of 4.6 years and no floating rate debt exposure. Including extension options available at the Company’s option, the Company has no significant debt maturities until 2026.

In the fourth quarter of 2023, the Company executed the following equity transactions:
The at-the-market equity offering program (“ATM program”), selling 3,010,568 shares of common stock subject to forward equity sale agreements at an average price of $55.08 per share, for a gross value of $165.8 million. As of December 31, 2023, the ATM program had approximately $927.4 million of remaining capacity.
Partial settlement of outstanding forward equity sale agreements related to its May 2023 public offering by issuing 5,846,966 shares of common stock for net proceeds of $325.2 million.

Subsequent to the fourth quarter of 2023, the Company settled the remaining forward equity sale agreement related to its May 2023 public offering and partially settled the outstanding ATM forward equity sale agreements by issuing 2,719,987 shares of common stock in exchange for net proceeds of $151.7 million.

As of February 6, 2024, the Company had approximately $137.7 million of net forward proceeds remaining for settlement.

Dividends:

On February 5, 2024, the Company’s Board of Directors declared a dividend in the amount of $0.4175 per share for the first quarter of 2024, payable in cash on April 15, 2024, to common stockholders and common unit holders of record as of March 28, 2024.

On February 5, 2024, the Company’s Board of Directors declared a quarterly dividend of $0.367188 per share of its Series B Cumulative Redeemable Preferred Stock and a quarterly dividend of $0.351563 per share of its Series C Cumulative Redeemable Preferred Stock, payable in cash on March 28, 2024, to preferred stockholders of record as of March 15, 2024.




Guidance:

The Company is initiating its full year 2024 guidance as indicated below. The Core FFO guidance refers to the Company’s in-place portfolio as of February 6, 2024, and does not include any assumptions for additional acquisitions, dispositions or related balance sheet activities that have not closed. Please refer to the Company’s supplemental information package for a complete detail of guidance and 2024 Guidance Rollforward.

2024 Outlook (1)
2023 Actual2024 Guidance
Net Income Attributable to Common Stockholders per diluted share$1.12$1.11 - $1.14
Company share of Core FFO per diluted share$2.19$2.27 - $2.30
Same Property Portfolio NOI Growth - GAAP8.2%4.0% - 5.0%
Same Property Portfolio NOI Growth - Cash10.0%7.0% - 8.0%
Average Same Property Portfolio Occupancy (Full Year) (2)
97.8%96.5% - 97.0%
General and Administrative Expenses (3)
$75.0M+/- $83.0M
Net Interest Expense$61.4M$60.0M - $61.0M

(1)2024 Guidance represents the in-place portfolio as of February 6, 2024, and does not include any assumptions for additional prospective acquisitions, dispositions or related balance sheet activities that have not closed.
(2)Our 2024 Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly owned by us for the period from January 1, 2023 through February 6, 2024 and excludes properties that were or will be classified as repositioning/redevelopment (current and future) or lease-up during 2023 and 2024 (unless otherwise noted). As of January 1, 2024, our 2024 Same Property Portfolio consisted of 296 properties aggregating 37.2 million rentable square feet. For the full year 2023, Average Same Property Portfolio occupancy was 97.0% for the 2024 Same Property Portfolio.
(3)2024 General and Administrative expense guidance includes estimated non-cash equity compensation expense of $36.0 million. Non-cash equity compensation includes restricted stock, time-based LTIP units and performance units that are tied to the Company’s overall performance and may or may not be realized based on actual results.

A number of factors could impact the Company’s ability to deliver results in line with its guidance, including, but not limited to, the potential impacts related to interest rates, inflation, the economy, the supply and demand of industrial real estate, the availability and terms of financing to the Company or to potential acquirers of real estate and the timing and yields for divestment and investment. There can be no assurance that the Company can achieve such results.

Supplemental Information and Updated Investor Presentation:

The Company’s supplemental financial reporting package as well as an updated investor presentation are available on the Company’s investor relations website at ir.rexfordindustrial.com.

Earnings Release, Investor Conference Webcast and Conference Call:

A conference call with executive management will be held on Wednesday, February 7, 2024, at 1:00 p.m. Eastern Time.

To participate in the live telephone conference call, please access the following dial-in numbers at least five minutes prior to the start time.
1-877-407-0789 (for domestic callers)
1-201-689-8562 (for international callers)

Conference call playback will be available through March 7, 2024, and can be accessed using the following numbers and pass code 13742410.
1-844-512-2921 (for domestic callers)
1-412-317-6671 (for international callers)




A live webcast and replay of the conference call will also be available at ir.rexfordindustrial.com.

About Rexford Industrial:

Rexford Industrial creates value by investing in, operating and redeveloping industrial properties throughout infill Southern California, the world's fourth largest industrial market and consistently the highest-demand with lowest-supply major market in the nation. The Company’s highly differentiated strategy enables internal and external growth opportunities through its proprietary value creation and asset management capabilities. Rexford Industrial’s high-quality, irreplaceable portfolio comprises 374 properties with approximately 46.1 million rentable square feet occupied by a stable and diverse tenant base. Structured as a real estate investment trust (REIT) listed on the New York Stock Exchange under the ticker “REXR,” Rexford Industrial is an S&P MidCap 400 Index member. For more information, please visit www.rexfordindustrial.com.

Forward Looking Statements:

This press release may contain forward-looking statements within the meaning of the federal securities laws, which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” or “potential” or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. While forward-looking statements reflect the Company’s good faith beliefs, assumptions and expectations, they are not guarantees of future performance. In addition, projections, assumptions and estimates of our future performance and the future performance of the industry in which we operate are necessarily subject to a high degree of uncertainty and risk due to a variety of factors, including those described above. These and other factors could cause results to differ materially from those expressed in our estimates and beliefs and in the estimates prepared by independent parties. For a further discussion of these and other factors that could cause the Company’s future results to differ materially from any forward-looking statements, see the reports and other filings by the Company with the U.S. Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, and other filings with the Securities and Exchange Commission. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes.



Definitions / Discussion of Non-GAAP Financial Measures:

Funds from Operations (FFO): We calculate FFO in accordance with the standards established by the National Association of Real Estate Investment Trusts (“NAREIT”). FFO represents net income (loss) (computed in accordance with GAAP), excluding gains (or losses) from sales of depreciable operating property, gains (or losses) from sales of assets incidental to our business, impairment losses of depreciable operating property or assets incidental to our business, real estate related depreciation and amortization (excluding amortization of deferred financing costs and amortization of above/below-market lease intangibles) and after adjustments for unconsolidated joint ventures. Management uses FFO as a supplemental performance measure because, in excluding real estate related depreciation and amortization, gains and losses from property dispositions, other than temporary impairments of unconsolidated real estate entities, and impairment on our investment in real estate, it provides a performance measure that, when compared year over year, captures trends in occupancy rates, rental rates and operating costs. We also believe that, as a widely recognized measure of performance used by other REITs, FFO may be used by investors as a basis to compare our operating performance with that of other REITs. However, because FFO excludes depreciation and amortization and captures neither the changes in the value of our properties that result from use or market conditions nor the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties, all of which have real economic effects and could materially impact our results from operations, the utility of FFO as a measure of our performance is limited. Other equity REITs may not calculate or interpret 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. FFO should be considered only as a supplement to net income computed in accordance with GAAP as a measure of our performance. A reconciliation of net income, the nearest GAAP equivalent, to FFO is set forth below in the Financial Statements and Reconciliations section. “Company Share of FFO” reflects FFO attributable to common stockholders, which excludes amounts allocable to noncontrolling interests, participating securities and preferred stockholders.

Core Funds from Operations (Core FFO): We calculate Core FFO by adjusting FFO for non-comparable items outlined in the “Reconciliation of Net Income to Funds From Operations and Core Funds From Operations” table which is located in the Financial Statements and Reconciliations section below. We believe that Core FFO is a useful supplemental measure and that by adjusting for items that are not considered by the Company to be part of its on-going operating performance, provides a more meaningful and consistent comparison of the Company’s operating and financial performance period-over-period. Because these adjustments have a real economic impact on our financial condition and results from operations, the utility of Core FFO as a measure of our performance is limited. Other REITs may not calculate Core FFO in a consistent manner. Accordingly, our Core FFO may not be comparable to other REITs’ Core FFO. Core FFO should be considered only as a supplement to net income computed in accordance with GAAP as a measure of our performance. “Company Share of Core FFO” reflects Core FFO attributable to common stockholders, which excludes amounts allocable to noncontrolling interests, participating securities and preferred stockholders.

Reconciliation of Net Income Attributable to Common Stockholders per Diluted Share Guidance to Company Share of Core FFO per Diluted Share Guidance:

The following is a reconciliation of the Company’s 2024 guidance range of net income attributable to common stockholders per diluted share, the most directly comparable forward-looking GAAP financial measure, to Company share of Core FFO per diluted share.
2024 Estimate
LowHigh
Net income attributable to common stockholders$1.11 $1.14 
Company share of depreciation and amortization1.16 1.16 
Company share of FFO$2.27 $2.30 

Net Operating Income (NOI): NOI is a non-GAAP measure, which includes the revenue and expense directly attributable to our real estate properties. NOI is calculated as rental income from real estate operations less property expenses (before interest expense, depreciation and amortization). We use NOI as a supplemental performance measure because, in excluding real estate depreciation and amortization expense and gains (or losses) from property dispositions, it provides a performance measure that, when compared year over year, captures trends in occupancy rates, rental rates and operating costs. We also believe that NOI will be useful to investors as a basis to compare our operating performance with that of other REITs. However, because NOI excludes depreciation and amortization expense and captures neither the changes in the value of our properties that result from use or market conditions, nor



the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties (all of which have a real economic effect and could materially impact our results from operations), the utility of NOI as a measure of our performance is limited. Other equity REITs may not calculate NOI in a similar manner and, accordingly, our NOI may not be comparable to such other REITs’ NOI. Accordingly, NOI should be considered only as a supplement to net income as a measure of our performance. NOI should not be used as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs.

NOI should not be used as a substitute for cash flow from operating activities in accordance with GAAP. We use NOI to help evaluate the performance of the Company as a whole, as well as the performance of our Same Property Portfolio. A calculation of NOI for our Same Property Portfolio, as well as a reconciliation of net income to NOI for our Same Property Portfolio, is set forth below in the Financial Statements and Reconciliations section.

Cash NOI: Cash NOI is a non-GAAP measure, which we calculate by adding or subtracting from NOI: (i) amortization of above/(below) market lease intangibles and amortization of other deferred rent resulting from sale leaseback transactions with below market leaseback payments and (ii) straight-line rent adjustments. We use Cash NOI, together with NOI, as a supplemental performance measure. Cash NOI should not be used as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs. Cash NOI should not be used as a substitute for cash flow from operating activities computed in accordance with GAAP. We use Cash NOI to help evaluate the performance of the Company as a whole, as well as the performance of our Same Property Portfolio. A calculation of Cash NOI for our Same Property Portfolio, as well as a reconciliation of net income to Cash NOI for our Same Property Portfolio, is set forth below in the Financial Statements and Reconciliations section.

Same Property Portfolio: Our 2023 Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly owned by us for the period from January 1, 2022 through December 31, 2023, and excludes (i) properties that were acquired or sold during the period from January 1, 2022 through December 31, 2023, and (ii) properties acquired prior to January 1, 2022 that were or will be classified as repositioning/redevelopment (current and future) or lease-up during 2022 and 2023 and select buildings in “Other Repositioning,” which we believe will significantly affect the properties’ results during the comparative periods. As of December 31, 2023, our 2023 Same Property Portfolio consisted of buildings aggregating 32,476,716 rentable square feet at 254 of our properties.

Properties and Space Under Repositioning: Typically defined as properties or units where a significant amount of space is held vacant in order to implement capital improvements that improve the functionality (not including basic refurbishments, i.e., paint and carpet), cash flow and value of that space. A repositioning is generally considered complete once the investment is fully or nearly fully deployed and the property is available for occupancy. We consider a repositioning property to be stabilized at the earlier of the following: (i) upon reaching 90% occupancy or (ii) one year from the date of completion of repositioning construction work.

Net Debt to Enterprise Value: As of December 31, 2023, we had consolidated indebtedness of $2.2 billion, reflecting a net debt to enterprise value of approximately 15.0%. Our enterprise value is defined as the sum of the liquidation preference of our outstanding preferred stock and preferred units plus the market value of our common stock excluding shares of nonvested restricted stock, plus the aggregate value of common units not owned by us, plus the value of our net debt. Our net debt is defined as our consolidated indebtedness less cash and cash equivalents.

Contact:

investorrelations@rexfordindustrial.com



Financial Statements and Reconciliations:

Rexford Industrial Realty, Inc.
Consolidated Balance Sheets
(In thousands except share data)
December 31, 2023December 31, 2022
(unaudited)
ASSETS  
Land$6,815,622 $5,841,195 
Buildings and improvements3,933,379 3,370,494 
Tenant improvements167,251 147,632 
Furniture, fixtures, and equipment132 132 
Construction in progress240,010 110,934 
Total real estate held for investment11,156,394 9,470,387 
Accumulated depreciation(782,461)(614,332)
Investments in real estate, net10,373,933 8,856,055 
Cash and cash equivalents33,444 36,786 
Loan receivable, net
122,784 — 
Rents and other receivables, net17,494 15,227 
Deferred rent receivable, net123,325 88,144 
Deferred leasing costs, net59,351 45,080 
Deferred loan costs, net3,426 4,829 
Acquired lease intangible assets, net153,670 169,986 
Acquired indefinite-lived intangible5,156 5,156 
Interest rate swap asset9,896 11,422 
Other assets25,225 24,973 
Acquisition related deposits2,125 1,625 
Total Assets$10,929,829 $9,259,283 
LIABILITIES & EQUITY  
Liabilities  
Notes payable$2,225,914 $1,936,381 
Accounts payable, accrued expenses and other liabilities128,842 97,496 
Dividends and distributions payable83,733 62,033 
Acquired lease intangible liabilities, net147,561 147,384 
Tenant security deposits84,872 71,935 
Tenant prepaid rents
115,002 20,712 
Total Liabilities2,785,924 2,335,941 
Equity  
Rexford Industrial Realty, Inc. stockholders’ equity 
Preferred stock, $0.01 par value per share, 10,050,000 shares authorized:
5.875% series B cumulative redeemable preferred stock, 3,000,000 shares outstanding at December 31, 2023 and December 31, 2022 ($75,000 liquidation preference)
72,443 72,443 
5.625% series C cumulative redeemable preferred stock, 3,450,000 shares outstanding at December 31, 2023 and December 31, 2022 ($86,250 liquidation preference)
83,233 83,233 
Common Stock,$ 0.01 par value per share, 489,950,000 authorized and 212,346,450 and 189,114,129 shares outstanding at December 31, 2023 and December 31, 2022, respectively
2,123 1,891 
Additional paid in capital7,940,781 6,646,867 
Cumulative distributions in excess of earnings(338,835)(255,743)
Accumulated other comprehensive loss7,172 8,247 
Total stockholders’ equity7,766,917 6,556,938 
Noncontrolling interests376,988 366,404 
Total Equity8,143,905 6,923,342 
Total Liabilities and Equity$10,929,829 $9,259,283 



Rexford Industrial Realty, Inc.
Consolidated Statements of Operations
(Unaudited and in thousands, except per share data)

 Three Months Ended December 31,Year Ended December 31,
 2023202220232022
REVENUES  
Rental income$207,909 $178,422 $791,383 $630,578 
Management and leasing services163 160 682 616 
Interest income2,353 5,761 10 
TOTAL REVENUES210,425 178,587 797,826 631,204 
OPERATING EXPENSES
Property expenses49,259 42,055 184,479 150,503 
General and administrative19,988 19,733 75,027 64,264 
Depreciation and amortization65,839 56,568 244,510 196,794 
TOTAL OPERATING EXPENSES135,086 118,356 504,016 411,561 
OTHER EXPENSES
Other expenses316 815 1,820 1,561 
Interest expense14,570 13,670 61,400 48,496 
TOTAL EXPENSES149,972 132,841 567,236 461,618 
Loss on extinguishment of debt— (38)— (915)
Gains on sale of real estate6,868 — 19,001 8,486 
NET INCOME67,321 45,708 249,591 177,157 
Less: net income attributable to noncontrolling interests(2,970)(2,431)(11,575)(9,573)
NET INCOME ATTRIBUTABLE TO REXFORD INDUSTRIAL REALTY, INC.64,351 43,277 238,016 167,584 
Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
Less: earnings attributable to participating securities (357)(240)(1,309)(845)
NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS$61,679 $40,722 $227,449 $157,481 
Net income attributable to common stockholders per share basic
$0.29 $0.22 $1.12 $0.92 
Net income attributable to common stockholders per share diluted
$0.29 $0.22 $1.12 $0.92 
Weighted-average shares of common stock outstanding – basic210,089 184,162 202,884 170,467 
Weighted-average shares of common stock outstanding – diluted210,362 184,558 203,111 170,978 





Rexford Industrial Realty, Inc.
Same Property Portfolio Occupancy and NOI and Cash NOI
(Unaudited, dollars in thousands)
 
 
Same Property Portfolio Occupancy:
December 31,
20232022Change (basis points)
Quarterly Weighted Average Occupancy:(1)
Los Angeles County97.5%97.7%(20) bps
Orange County98.5%99.4%(90) bps
Riverside / San Bernardino County97.1%96.6%50 bps
San Diego County97.7%99.0%(130) bps
Ventura County97.3%99.7%(240) bps
Same Property Portfolio Weighted Average Occupancy97.5%97.9%(40) bps
Ending Occupancy:97.5%98.1%(60) bps
(1)Calculated by averaging the occupancy rate at the end of each month in 4Q-2023 and September 2023 (for 4Q-2023) and the end of each month in 4Q-2022 and September 2022 (for 4Q-2022).


Same Property Portfolio NOI and Cash NOI:    
Three Months Ended December 31,Year Ended December 31,
20232022$ Change% Change20232022$ Change% Change
Rental income$141,292 $130,288 $11,004 8.4 %$551,644 $512,985 $38,659 7.5 %
Property expenses33,163 30,536 2,627 8.6 %125,380 118,992 6,388 5.4 %
Same Property Portfolio NOI$108,129 $99,752 $8,377 8.4 %$426,264 $393,993 $32,271 8.2 %
Straight line rental revenue adjustment(2,735)(2,904)169 (5.8)%(16,928)(18,380)1,452 (7.9)%
Above/(below) market lease revenue adjustments(3,540)(3,840)300 (7.8)%(14,497)(16,547)2,050 (12.4)%
Same Property Portfolio Cash NOI$101,854 $93,008 $8,846 9.5 %$394,839 $359,066 $35,773 10.0 %




Rexford Industrial Realty, Inc.
Reconciliation of Net Income to NOI, Cash NOI, Same Property Portfolio NOI and
Same Property Portfolio Cash NOI
(Unaudited and in thousands)

Three Months Ended December 31,Year Ended December 31,
2023202220232022
Net income$67,321 $45,708 $249,591 $177,157 
General and administrative19,988 19,733 75,027 64,264 
Depreciation and amortization65,839 56,568 244,510 196,794 
Other expenses316 815 1,820 1,561 
Interest expense14,570 13,670 61,400 48,496 
Loss on extinguishment of debt— 38 — 915 
Management and leasing services(163)(160)(682)(616)
Interest income(2,353)(5)(5,761)(10)
Gains on sale of real estate(6,868)— (19,001)(8,486)
Net operating income (NOI)$158,650 $136,367 $606,904 $480,075 
Straight line rental revenue adjustment(8,514)(7,467)(36,587)(31,220)
Above/(below) market lease revenue adjustments(1)
(8,119)(12,959)(29,882)(31,209)
Cash NOI$142,017 $115,941 $540,435 $417,646 
NOI$158,650 $136,367 $606,904 $480,075 
Non-Same Property Portfolio rental income(66,617)(48,134)(239,739)(117,593)
Non-Same Property Portfolio property expenses16,096 11,519 59,099 31,511 
Same Property Portfolio NOI$108,129 $99,752 $426,264 $393,993 
Straight line rental revenue adjustment(2,735)(2,904)(16,928)(18,380)
Above/(below) market lease revenue adjustments(3,540)(3,840)(14,497)(16,547)
Same Property Portfolio Cash NOI$101,854 $93,008 $394,839 $359,066 

(1)Above/(below) market lease revenue adjustments include the write-off of $1,318 for the year ended December 31, 2023, and $5,792 for the three months and year ended December 31, 2022, that is attributable to a below-market fixed rate renewal option that was not exercised due to the termination of the lease at the end of the initial lease term.





Rexford Industrial Realty, Inc.
Reconciliation of Net Income to Funds From Operations and Core Funds From Operations
(Unaudited and in thousands, except per share data)
 
 Three Months Ended December 31,Year Ended December 31,
 2023202220232022
Net income$67,321 $45,708 $249,591 $177,157 
Adjustments:  
Depreciation and amortization65,839 56,568 244,510 196,794 
Gains on sale of real estate(6,868)— (19,001)(8,486)
Funds From Operations (FFO)$126,292 $102,276 $475,100 $365,465 
Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
Less: FFO attributable to noncontrolling interests(1)
(4,960)(4,591)(19,514)(16,963)
Less: FFO attributable to participating securities(2)
(504)(387)(1,843)(1,296)
Company share of FFO$118,513 $94,983 $444,485 $337,948 
Company Share of FFO per common share – basic$0.56 $0.52 $2.19 $1.98 
Company Share of FFO per common share – diluted$0.56 $0.51 $2.19 $1.98 
FFO$126,292 $102,276 $475,100 $365,465 
Adjustments:  
Acquisition expenses39 162 369 613 
Impairment of right-of-use asset— — 188 — 
Loss on extinguishment of debt— 38 — 915 
Amortization of loss on termination of interest rate swaps59 59 236 253 
Non-capitalizable demolition costs180 663 881 663 
Write-offs of below-market lease intangibles related to unexercised renewal options(3)
— (5,792)(1,318)(5,792)
Core FFO$126,570 $97,406 $475,456 $362,117 
Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
Less: Core FFO attributable to noncontrolling interest(1)
(4,969)(4,405)(19,525)(16,838)
Less: Core FFO attributable to participating securities(2)
(505)(368)(1,844)(1,282)
Company share of Core FFO$118,781 $90,318 $444,829 $334,739 
Company share of Core FFO per common share – basic$0.57 $0.49 $2.19 $1.96 
Company share of Core FFO per common share – diluted$0.56 $0.49 $2.19 $1.96 
Weighted-average shares of common stock outstanding – basic210,089 184,162 202,884 170,467 
Weighted-average shares of common stock outstanding – diluted210,362 184,558 203,111 170,978 
(1)Noncontrolling interests relate to interests in the Company’s operating partnership, represented by common units and preferred units (Series 1, 2 & 3 CPOP units) of partnership interests in the operating partnership that are owned by unit holders other than the Company.
(2)Participating securities include unvested shares of restricted stock, unvested LTIP units and unvested performance units.
(3)Reflects the write-off of the portion of a below-market lease intangible attributable to a below-market fixed rate renewal option that was not exercised due to the termination of the lease at the end of the initial lease term.

Document
Exhibit 99.2
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Table of Contents.
SectionPage
Corporate Data:
Guidance
Consolidated Financial Results:
Portfolio Data:
Disclosures:
Forward-Looking Statements: This supplemental package contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. We caution investors that any forward-looking statements presented herein are based on management’s beliefs and assumptions and information currently available to management. Such statements are subject to risks, uncertainties and assumptions and may be affected by known and unknown risks, trends, uncertainties and factors that are beyond our control. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or projected. These risks and uncertainties include, without limitation: general risks affecting the real estate industry (including, without limitation, the market value of our properties, the inability to enter into or renew leases at favorable rates, portfolio occupancy varying from our expectations, dependence on tenants’ financial condition, and competition from other developers, owners and operators of real estate); risks associated with the disruption of credit markets or a global economic slowdown; risks associated with the potential loss of key personnel (most importantly, members of senior management); risks associated with our failure to maintain our status as a Real Estate Investment Trust under the Internal Revenue Code of 1986, as amended; possible adverse changes in tax and environmental laws; an epidemic or pandemic (such as the outbreak and worldwide spread of novel coronavirus (COVID-19), and the measures that international, federal, state and local governments, agencies, law enforcement and/or health authorities may implement to address it, which may (as with COVID-19) precipitate or exacerbate one or more of the above-mentioned factors and/or other risks, and significantly disrupt or prevent us from operating our business in the ordinary course for an extended period; litigation, including costs associated with prosecuting or defending pending or threatened claims and any adverse outcomes, and potential liability for uninsured losses and environmental contamination.
For a further discussion of these and other factors that could cause our future results to differ materially from any forward-looking statements, see Item 1A. Risk Factors in our 2022 Annual Report on Form 10-K, which was filed with the Securities and Exchange Commission (“SEC”) on February 13, 2023, and other risks described in documents we subsequently file from time to time with the SEC. We disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes.
Our credit ratings, which are disclosed on page 4, may not reflect the potential impact of risks relating to the structure or trading of the Company's securities and are provided solely for informational purposes. Credit ratings are not recommendations to buy, sell or hold any security, and may be revised or withdrawn at any time by the issuing organization in its sole discretion. The Company does not undertake any obligation to maintain the ratings or to advise of any change in ratings. Each agency's rating should be evaluated independently of any other agency's rating. An explanation of the significance of the ratings may be obtained from each of the rating agencies.

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Supplemental Financial Reporting Package
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Investor Company Summary.
Executive Management Team
Howard SchwimmerCo-Chief Executive Officer, Director
Michael S. FrankelCo-Chief Executive Officer, Director
Laura ClarkChief Financial Officer
David LanzerGeneral Counsel and Corporate Secretary
Board of Directors
Richard ZimanChairman
Tyler H. RoseLead Independent Director
Howard SchwimmerCo-Chief Executive Officer, Director
Michael S. FrankelCo-Chief Executive Officer, Director
Robert L. AntinDirector
Diana J. IngramDirector
Angela L. KleimanDirector
Debra L. MorrisDirector
Investor Relations Information
investorrelations@rexfordindustrial.com
Equity Research Coverage
BofA SecuritiesCamille Bonnel(646) 855-5042
BMO Capital MarketsJohn Kim(212) 885-4115
BNP Paribas ExaneNate Crossett(646) 342-1588
Citigroup Investment ResearchCraig Mailman(212) 816-4471
Colliers Securities
Barry Oxford
(203) 961-6573
Green Street AdvisorsVince Tibone(949) 640-8780
J.P. Morgan SecuritiesMichael Mueller(212) 622-6689
Jefferies LLCJonathan Petersen(212) 284-1705
Mizuho Securities USAVikram Malhotra(212) 282-3827
Robert W. Baird & Co.Nicholas Thillman(414) 298-5053
ScotiabankGreg McGinniss(212) 225-6906
StifelStephen Manaker(212) 271-3716
Truist Securities
Anthony Hau
(212) 303-4176
Wells Fargo SecuritiesBlaine Heck(443) 263-6529
Wolfe ResearchAndrew Rosivach(646) 582-9250
Disclaimer: This list may not be complete and is subject to change as firms add or delete coverage of our company. Please note that any opinions, estimates, forecasts or predictions regarding our historical or predicted performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts or predictions of Rexford Industrial Realty, Inc. or its management. We are providing this listing as a service to our stockholders and do not by listing these firms imply our endorsement of, or concurrence with, such information, conclusions or recommendations. Interested persons may obtain copies of analysts’ reports on their own; we do not distribute these reports.

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Company Overview.
For the Quarter Ended December 31, 2023
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Supplemental Financial Reporting Package
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Highlights - Consolidated Financial Results.
Quarterly Results(in millions)

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Supplemental Financial Reporting Package
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Financial and Portfolio Highlights and Capitalization Data. (1)
(in thousands except share and per share data and portfolio statistics)
Three Months Ended
December 31, 2023September 30, 2023June 30, 2023March 31, 2023December 31, 2022
Financial Results:
Total rental income$207,909$204,212$194,098$185,164$178,422
Net income$67,321$61,790$56,910$63,570$45,708
Net Operating Income (NOI)$158,650$156,127$149,788$142,339$136,367
Company share of Core FFO$118,781$114,969$108,419$102,660$90,318
Company share of Core FFO per common share - diluted$0.56$0.56$0.54$0.52$0.49
Adjusted EBITDA$152,126$147,925$141,258$139,755$129,451
Dividend declared per common share$0.380$0.380$0.380$0.380$0.315
Portfolio Statistics:
Portfolio rentable square feet (“RSF”)45,860,36844,998,61344,167,77443,954,27242,403,735
Ending occupancy94.1%94.1%94.0%93.8%94.6%
Ending occupancy excluding repositioning/redevelopment(2)
97.6%97.9%97.3%97.4%97.9%
Rent Change - GAAP63.1%64.8%96.8%80.2%77.0%
Rent Change - Cash45.6%51.4%74.8%59.7%52.4%
Same Property Portfolio Performance:
Same Property Portfolio ending occupancy(3)(4)
97.5%97.9%98.1%98.0%98.1%
Same Property Portfolio NOI growth(4)(5)
8.4%9.5%7.7%7.2%
Same Property Portfolio Cash NOI growth(4)(5)
9.5%9.8%10.0%10.6%
Capitalization:
Total shares and units issued and outstanding at period end(6)
219,629,857213,435,271208,031,757208,016,268196,400,973
Series B and C Preferred Stock and Series 1, 2 and 3 CPOP Units$241,068$241,068$241,068$241,068$241,068
Total equity market capitalization$12,562,303$10,774,099$11,104,486$12,649,238$10,972,417
Total consolidated debt$2,243,025$2,245,605$2,245,972$2,250,136$1,950,515
Total combined market capitalization (net debt plus equity)$14,771,884$12,936,436$13,214,176$14,645,756$12,886,146
Ratios:
Net debt to total combined market capitalization15.0%16.7%16.0%13.6%14.9%
Net debt to Adjusted EBITDA (quarterly results annualized)3.6x3.7x3.7x3.6x3.7x
(1)For definition/discussion of non-GAAP financial measures and reconciliations to their nearest GAAP equivalents, see the definitions section & reconciliation section beginning on page 32 and page 12 of this report, respectively.
(2)Ending occupancy excluding repositioning/redevelopment excludes “Other Repositioning” projects as well as those listed individually on pages 26-27.
(3)Reflects the ending occupancy for the current 2023 Same Property Portfolio for each period presented. For historical ending occupancy as reported in prior Supplemental packages, see “SPP Historical Information” on page 35.
(4)For comparability, Same Property Portfolio ending occupancy, NOI growth and Cash NOI growth for all comparable periods has been restated to remove the results of 3720-3750 W. Warner Avenue, which was sold during Q4’23. See page 29 for details related to dispositions.
(5)Represents the year over year percentage change in NOI and Cash NOI for the Same Property Portfolio.
(6)Includes the following # of OP Units/vested LTIP units held by noncontrolling interests: 7,631,847 (Dec 31, 2023), 7,300,541 (Sep 30, 2023), 7,351,049 (Jun 30, 2023), 7,597,554 (Mar 31, 2023) and 7,561,260 (Dec 31, 2022). Excludes the following # of shares of unvested restricted stock: 348,440 (Dec 31, 2023), 349,557 (Sep 30, 2023), 361,033 (Jun 30, 2023), 365,416 (Mar 31, 2023) and 274,416 (Dec 31, 2022). Excludes unvested LTIP units and unvested performance units.

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Guidance.
As of December 31, 2023
2024 OUTLOOK*
METRICYTD RESULTS AS OF DECEMBER 31, 20232024
GUIDANCE
Net Income Attributable to Common Stockholders per diluted share (1)(2)
$1.12$1.11 - $1.14
Company share of Core FFO per diluted share (1)(2)
$2.19$2.27 - $2.30
Same Property Portfolio NOI Growth - GAAP (3)
8.2%4.0% - 5.0%
Same Property Portfolio NOI Growth - Cash (3)
10.0%7.0% - 8.0%
Average Same Property Portfolio Occupancy (Full Year) (3)
97.8%96.5% - 97.0%
General and Administrative Expenses (4)
$75.0M+/- $83.0M
Net Interest Expense$61.4M$60.0M - $61.0M
(1)Our 2024 Net Income and Core FFO guidance refers to the Company's in-place portfolio as of February 6, 2024, and does not include any assumptions for prospective acquisitions, dispositions or related balance sheet activities that have not closed.
(2)See page 36 for a reconciliation of the Company’s 2024 guidance range of net income attributable to common stockholders per diluted share, the most directly comparable forward-looking GAAP financial measure, to Company share of Core FFO per diluted share.
(3)Our 2024 Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly owned by us for the period from January 1, 2023 through February 6, 2024 and excludes properties that were or will be classified as repositioning/redevelopment (current and future) or lease-up during 2023 and 2024 (unless otherwise noted). As of January 1, 2024, our 2024 Same Property Portfolio consisted of 296 properties aggregating 37.2 million rentable square feet. For the full year 2023, Average Same Property Portfolio occupancy was 97.0% for the 2024 Same Property Portfolio.
(4)Our 2024 General and Administrative expense guidance includes estimated non-cash equity compensation expense of $36.0 million.
* A number of factors could impact the Company’s ability to deliver results in line with its guidance, including, but not limited to interest rates, inflation, the economy, the supply and demand of industrial real estate, the availability and terms of financing to the Company or to potential acquirers of real estate and the timing and yields for divestment and investment. There can be no assurance that the Company can achieve such results.

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Guidance (Continued).
As of December 31, 2023
2024 Guidance Rollforward(1)
Earnings ComponentsRange
($ per share)
Notes
2023 Core FFO Per Diluted Share
$2.19$2.19
Same Property Portfolio NOI Growth0.100.12
Guidance range of 4.0% - 5.0% SPP NOI Growth
Repositioning/Redevelopment NOIIncremental contribution of +$0.06/sh from projected repositioning/redevelopment stabilizations offset by ($0.06/sh) NOI decrease from properties moving into repo/redev
2023 Investments
0.170.172023 Investments projected to contribute incremental contribution of ~$35M
2024 Investments Closed to Date
0.020.02
$84M of YTD acquisitions; no prospective activity is assumed for guidance purposes
Net General & Administrative Expenses (2)
(0.04)(0.04)
Guidance range of +/- $83.0M
Net Interest Expense0.01
Guidance range of $60.0M - $61.0M
Equity Funding (3)
(0.14)(0.14)
Incremental impact of 2023/2024 equity issuance
Other Items
(0.03)(0.03)
2024 Core FFO Per Diluted Share Guidance $2.27$2.30
Core FFO Annual Growth Per Diluted Share
(excludes prospective acquisitions)
4%5%
(1)2024 Guidance and Guidance Rollforward represent the in-place portfolio as of February 6, 2024, and does not include any assumptions for prospective acquisitions, dispositions or related balance sheet activities that have not closed.
(2)2024 General and Administrative expense guidance includes estimated non-cash equity compensation expense of $36.0 million. Non-cash equity compensation includes performance-based units that are tied to the Company's overall performance and may or may not be realized based on actual results.
(3)As of December 31, 2023, 212.0 million shares were outstanding, excluding restricted shares, compared to the weighted average diluted shares outstanding of 203.1 million in 2023. "Equity Funding" includes the full year impact related to equity issuance in 2023 and 2024 year-to-date, plus estimated funding for 2024 in-process and pipeline repositioning and redevelopment projects disclosed on pages 26 and 27.

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Consolidated Balance Sheets.
(unaudited and in thousands)
December 31, 2023September 30, 2023June 30, 2023March 31, 2023December 31, 2022
ASSETS
Land$6,815,622 $6,606,022 $6,400,698 $6,334,926 $5,841,195 
Buildings and improvements3,933,379 3,869,303 3,723,837 3,671,384 3,370,494 
Tenant improvements167,251 160,108 155,182 153,019 147,632 
Furniture, fixtures, and equipment132 132 132 132 132 
Construction in progress240,010 188,079 127,416 102,633 110,934 
  Total real estate held for investment11,156,394 10,823,644 10,407,265 10,262,094 9,470,387 
Accumulated depreciation(782,461)(739,369)(695,129)(652,722)(614,332)
Investments in real estate, net10,373,933 10,084,275 9,712,136 9,609,372 8,856,055 
Cash and cash equivalents33,444 83,268 136,282 253,618 36,786 
Restricted cash— — — 16,239 — 
Loan receivable, net122,784 — — — — 
Rents and other receivables, net17,494 18,973 14,126 13,845 15,227 
Deferred rent receivable, net123,325 114,927 103,192 94,980 88,144 
Deferred leasing costs, net59,351 56,735 54,848 47,739 45,080 
Deferred loan costs, net3,426 3,783 4,139 4,474 4,829 
Acquired lease intangible assets, net(1)
153,670 154,036 147,990 161,339 169,986 
Acquired indefinite-lived intangible5,156 5,156 5,156 5,156 5,156 
Interest rate swap asset9,896 24,494 19,869 6,947 11,422 
Other assets25,225 31,817 19,055 21,811 24,973 
Acquisition related deposits2,125 — 8,700 3,625 1,625 
Total Assets$10,929,829 $10,577,464 $10,225,493 $10,239,145 $9,259,283 
LIABILITIES & EQUITY
Liabilities
Notes payable$2,225,914 $2,227,637 $2,227,154 $2,230,687 $1,936,381 
Interest rate swap liability— — — 835 — 
Accounts payable, accrued expenses and other liabilities128,842 155,103 109,881 110,272 97,496 
Dividends and distributions payable83,733 81,423 79,370 79,370 62,033 
Acquired lease intangible liabilities, net(2)
147,561 155,582 130,511 138,339 147,384 
Tenant security deposits84,872 83,643 81,163 77,029 71,935 
Tenant prepaid rents(3)
115,002 30,772 42,600 44,303 20,712 
Total Liabilities2,785,924 2,734,160 2,670,679 2,680,835 2,335,941 
Equity
Series B preferred stock, net ($75,000 liquidation preference)72,443 72,443 72,443 72,443 72,443 
Series C preferred stock, net ($86,250 liquidation preference)83,233 83,233 83,233 83,233 83,233 
Preferred stock155,676 155,676 155,676 155,676 155,676 
Common stock2,123 2,065 2,010 2,008 1,891 
Additional paid in capital7,940,781 7,613,354 7,311,458 7,299,837 6,646,867 
Cumulative distributions in excess of earnings(338,835)(320,180)(298,367)(273,849)(255,743)
Accumulated other comprehensive income (loss)7,172 21,142 16,525 3,117 8,247 
Total stockholders’ equity7,766,917 7,472,057 7,187,302 7,186,789 6,556,938 
Noncontrolling interests376,988 371,247 367,512 371,521 366,404 
Total Equity8,143,905 7,843,304 7,554,814 7,558,310 6,923,342 
Total Liabilities and Equity$10,929,829 $10,577,464 $10,225,493 $10,239,145 $9,259,283 
(1)Includes net above-market tenant lease intangibles of $10,790 (Dec 31, 2023), $11,402 (Sep 30, 2023), $12,034 (Jun 30, 2023), $13,587 (Mar 31, 2023) and $14,181 (Dec 31, 2022). Balance also includes net below-market ground lease intangible of $12,682 (Dec 31, 2023), $12,724 (Sep 30, 2023), $12,765 (Jun 30, 2023), $12,806 (Mar 31, 2023) and $12,847 (Dec 31, 2022) related to the acquisition of 2970 East 50th Street.
(2)Represents net below-market tenant lease intangibles as of the balance sheet date.
(3)On October 26, 2023, we acquired the property located at West 1st Street through a sale lease-back transaction and recorded tenant prepaid rent of $62.8 million (unamortized balance of $62.1 million as of Dec 31, 2023) which reflects the difference between the purchase price and fair value of the underlying assets and also relates to the below market leaseback payments.

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Consolidated Statements of Operations.
Quarterly Results(unaudited and in thousands, except share and per share data)
Three Months Ended
Dec 31, 2023Sep 30, 2023Jun 30, 2023Mar 31, 2023Dec 31, 2022
Revenues
Rental income(1)
$207,909 $204,212 $194,098 $185,164 $178,422 
Management and leasing services163 158 171 190 160 
Interest income2,353 1,029 1,497 882 
Total Revenues210,425 205,399 195,766 186,236 178,587 
Operating Expenses
Property expenses49,259 48,085 44,310 42,825 42,055 
General and administrative19,988 18,575 18,267 18,197 19,733 
Depreciation and amortization65,839 60,449 58,793 59,429 56,568 
Total Operating Expenses135,086 127,109 121,370 120,451 118,356 
Other Expenses
Other expenses316 551 306 647 815 
Interest expense14,570 15,949 17,180 13,701 13,670 
Total Expenses149,972 143,609 138,856 134,799 132,841 
Loss on extinguishment of debt— — — — (38)
Gains on sale of real estate6,868 — — 12,133 — 
Net Income67,321 61,790 56,910 63,570 45,708 
Less: net income attributable to noncontrolling interests(2,970)(2,824)(2,717)(3,064)(2,431)
Net income attributable to Rexford Industrial Realty, Inc. 64,351 58,966 54,193 60,506 43,277 
Less: preferred stock dividends(2,315)(2,314)(2,315)(2,314)(2,315)
Less: earnings allocated to participating securities (357)(314)(318)(320)(240)
Net income attributable to common stockholders$61,679 $56,338 $51,560 $57,872 $40,722 
Earnings per Common Share
Net income attributable to common stockholders per share - basic$0.29 $0.27 $0.26 $0.30 $0.22 
Net income attributable to common stockholders per share - diluted$0.29 $0.27 $0.26 $0.30 $0.22 
Weighted average shares outstanding - basic210,089,164205,279,681200,610,890195,366,969184,161,577
Weighted average shares outstanding - diluted210,362,069205,447,532200,667,250195,779,007184,558,301
(1)We elected the “non-separation practical expedient” in ASC 842, which allows us to avoid separating lease and non-lease rental income. As a result of this election, all rental income earned pursuant to tenant leases, including tenant reimbursements, is reflected as one line, “Rental income,” in the consolidated statements of operations. Under the section “Rental Income” on page 35 in the definitions section of this report, we include a presentation of rental revenues, tenant reimbursements and other income for all periods because we believe this information is frequently used by management, investors, securities analysts and other interested parties to evaluate our performance.

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Consolidated Statements of Operations.
Quarterly Results (continued)(unaudited and in thousands, except share and per share data)
Three Months Ended December 31,Year Ended December 31,
2023202220232022
Revenues
Rental income$207,909 $178,422 $791,383 $630,578 
Management and leasing services163 160 682 616 
Interest income2,353 5,761 10 
Total Revenues210,425 178,587 797,826 631,204 
Operating Expenses
Property expenses49,259 42,055 184,479 150,503 
General and administrative19,988 19,733 75,027 64,264 
Depreciation and amortization65,839 56,568 244,510 196,794 
Total Operating Expenses135,086 118,356 504,016 411,561 
Other Expenses
Other expenses316 815 1,820 1,561 
Interest expense14,570 13,670 61,400 48,496 
Total Expenses149,972 132,841 567,236 461,618 
Loss on extinguishment of debt— (38)— (915)
Gains on sale of real estate6,868 — 19,001 8,486 
Net Income67,321 45,708 249,591 177,157 
 Less: net income attributable to noncontrolling interests(2,970)(2,431)(11,575)(9,573)
Net income attributable to Rexford Industrial Realty, Inc. 64,351 43,277 238,016 167,584 
 Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
 Less: earnings allocated to participating securities (357)(240)(1,309)(845)
Net income attributable to common stockholders$61,679 $40,722 $227,449 $157,481 
Net income attributable to common stockholders per share – basic$0.29 $0.22 $1.12 $0.92 
Net income attributable to common stockholders per share – diluted$0.29 $0.22 $1.12 $0.92 
Weighted-average shares of common stock outstanding – basic210,089,164 184,161,577 202,883,704 170,467,365 
Weighted-average shares of common stock outstanding – diluted210,362,069 184,558,301 203,110,993 170,978,272 


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Non-GAAP FFO and Core FFO Reconciliations. (1)
(unaudited and in thousands, except share and per share data)
Three Months Ended
December 31, 2023September 30, 2023June 30, 2023March 31, 2023December 31, 2022
Net Income$67,321 $61,790 $56,910 $63,570 $45,708 
Adjustments:
Depreciation and amortization65,839 60,449 58,793 59,429 56,568 
Gains on sale of real estate(6,868)— — (12,133)— 
NAREIT Defined Funds From Operations (FFO)
126,292 122,239 115,703 110,866 102,276 
Less: preferred stock dividends(2,315)(2,314)(2,315)(2,314)(2,315)
Less: FFO attributable to noncontrolling interests(2)
(4,960)(4,909)(4,812)(4,833)(4,591)
Less: FFO attributable to participating securities(3)
(504)(461)(451)(427)(387)
Company share of FFO$118,513 $114,555 $108,125 $103,292 $94,983 
Company share of FFO per common share‐basic$0.56 $0.56 $0.54 $0.53 $0.52 
Company share of FFO per common share‐diluted$0.56 $0.56 $0.54 $0.53 $0.51 
FFO$126,292 $122,239 $115,703 $110,866 $102,276 
Adjustments:
Acquisition expenses39 10 247 73 162 
Impairment of right-of-use asset(4)
— — — 188 — 
Loss on extinguishment of debt— — — — 38 
Amortization of loss on termination of interest rate swaps59 59 59 59 59 
Non-capitalizable demolition costs180 361 — 340 663 
Write-offs of below-market lease intangibles related to unexercised renewal options(5)
— — — (1,318)(5,792)
Core FFO 126,570 122,669 116,009 110,208 97,406 
Less: preferred stock dividends(2,315)(2,314)(2,315)(2,314)(2,315)
Less: Core FFO attributable to noncontrolling interests(2)
(4,969)(4,924)(4,823)(4,809)(4,405)
Less: Core FFO attributable to participating securities(3)
(505)(462)(452)(425)(368)
Company share of Core FFO$118,781 $114,969 $108,419 $102,660 $90,318 
Company share of Core FFO per common share‐basic$0.57 $0.56 $0.54 $0.53 $0.49 
Company share of Core FFO per common share‐diluted$0.56 $0.56 $0.54 $0.52 $0.49 
Weighted-average shares outstanding-basic210,089,164 205,279,681 200,610,890 195,366,969 184,161,577 
Weighted-average shares outstanding-diluted(6)
210,362,069 205,447,532 200,667,250 195,779,007 184,558,301 
(1)For a definition and discussion of non-GAAP financial measures, see the definitions section beginning on page 32 of this report.
(2)Noncontrolling interests relate to interests in the Company’s operating partnership, represented by common units and preferred units (Series 1, Series 2 and Series 3 CPOP units) of partnership interests in the operating partnership that are owned by unit holders other than the Company.
(3)Participating securities include unvested shares of restricted stock, unvested LTIP units and unvested performance units.
(4)Represents an impairment charge related to the right-of-use asset for one of our leased office spaces.
(5)Reflects the write-off of the portion of a below-market lease intangible attributable to below-market fixed rate renewal options that were not exercised due to the termination of the lease at the end of the initial lease term.
(6)Weighted-average shares outstanding-diluted includes adjustments for unvested performance units and shares issuable under forward equity sales agreements if the effect is dilutive for the reported period.

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Non-GAAP FFO and Core FFO Reconciliations. (1)
(unaudited and in thousands, except share and per share data)
Three Months Ended December 31,Year Ended December 31,
2023202220232022
Net Income$67,321 $45,708 $249,591 $177,157 
Adjustments:
Depreciation and amortization65,839 56,568 244,510 196,794 
Gains on sale of real estate(6,868)— (19,001)(8,486)
Funds From Operations (FFO)126,292 102,276 475,100 365,465 
Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
Less: FFO attributable to noncontrolling interests(4,960)(4,591)(19,514)(16,963)
Less: FFO attributable to participating securities(504)(387)(1,843)(1,296)
Company share of FFO$118,513 $94,983 $444,485 $337,948 
Company share of FFO per common share‐basic$0.56 $0.52 $2.19 $1.98 
Company share of FFO per common share‐diluted$0.56 $0.51 $2.19 $1.98 
FFO$126,292 $102,276 $475,100 $365,465 
Adjustments:
Acquisition expenses39 162 369 613 
Impairment of right-of-use asset— — 188 — 
Loss on extinguishment of debt— 38 — 915 
Amortization of loss on termination of interest rate swaps59 59 236 253 
Non-capitalizable demolition costs180 663 881 663 
Write-offs of below-market lease intangibles related to unexercised renewal options(2)
— (5,792)(1,318)(5,792)
Core FFO126,570 97,406 475,456 362,117 
Less: preferred stock dividends(2,315)(2,315)(9,258)(9,258)
Less: Core FFO attributable to noncontrolling interests(4,969)(4,405)(19,525)(16,838)
Less: Core FFO attributable to participating securities(505)(368)(1,844)(1,282)
Company share of Core FFO$118,781 $90,318 $444,829 $334,739 
Company share of Core FFO per common share‐basic$0.57 $0.49 $2.19 $1.96 
Company share of Core FFO per common share‐diluted$0.56 $0.49 $2.19 $1.96 
Weighted-average shares outstanding-basic210,089,164 184,161,577 202,883,704 170,467,365 
Weighted-average shares outstanding-diluted210,362,069 184,558,301 203,110,993 170,978,272 
(1)For a definition and discussion of non-GAAP financial measures, see the definitions section beginning on page 32 of this report.
(2)Reflects the write-off of the portion of a below-market lease intangible attributable to below-market fixed rate renewal options that were not exercised due to the termination of the lease at the end of the initial lease term.

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Non-GAAP AFFO Reconciliation. (1)
(unaudited and in thousands, except share and per share data)
Three Months Ended
December 31,
2023
September 30,
2023
June 30,
2023
March 31,
2023
December 31,
2022
Funds From Operations(2)
$126,292 $122,239 $115,703 $110,866 $102,276 
Adjustments:
Amortization of deferred financing costs1,000 1,001 999 856 840 
Non-cash stock compensation9,338 8,166 7,956 8,178 9,716 
Loss on extinguishment of debt— — — — 38 
Impairment of right-of-use asset— — — 188 — 
Amortization related to termination/settlement of interest rate derivatives137 137 136 129 129 
Note payable (discount) premium amortization, net214 205 203 66 64 
Non-capitalizable demolition costs180 361 — 340 663 
Deduct:
Preferred stock dividends(2,315)(2,314)(2,315)(2,314)(2,315)
Straight line rental revenue adjustment(3)
(8,514)(11,792)(8,653)(7,628)(7,467)
Above/(below) market lease revenue adjustments(4)
(8,119)(7,241)(6,232)(8,290)(12,959)
Capitalized payments(5)
(12,443)(10,581)(8,885)(8,924)(7,757)
Accretion of net loan origination fees