Terreno Realty Executes Another Lease Renewal, Points to Robust Demand

Terreno Realty TRNO recently announced the execution of a lease renewal for a 4.9-acre land parcel in Lynwood, CA. The site has been improved with a rail transshipment facility.The lessee of the agreement is a distributor of liquid food products. The renewal lease will commence on Jan. 1, 2026, and is set to expire in December 2037.TRNO, which acquires, owns and operates industrial real estate in six major coastal U.S. markets, has been experiencing healthy demand for its properties from both new and existing tenants.Apart from the above lease, in early September 2025, this real estate investment trust (REIT) announced an early lease renewal in Seattle, WA, for 63,000 square feet with a co-warehousing services provider.TRNO’s Q2 2025 Leasing DetailsTRNO is experiencing healthy leasing activity, as evident in its performance in the second quarter of 2025. Its operating portfolio was 97.7% leased as of June 30, 2025. TRNO’s same-store portfolio of 14.1 million square feet was 98.5% leased as of June 30, 2025. For the company’s improved land portfolio of 47 parcels spanning 150.6 acres, the leased rate was 95.1% as of June 30, 2025.Terreno Realty was able to lock in higher rents on new and renewed leases during the quarter. The cash rents on new and renewed leases commencing during the second quarter of 2025 climbed 22.6%. Moreover, the tenant retention ratio was 71.1% for the operating portfolio.TRNO: In a NutshellWith a solid operating platform, a healthy balance sheet position and strategic expansion moves, TRNO seems well-positioned to capitalize on long-term growth opportunities. However, amid macroeconomic uncertainty and geopolitical issues, customers remain focused on cost controls and might delay their decision-making with respect to leasing. This is a concern for the company.Over the past month, shares of this Zacks Rank #2 (Buy) company have gained 9.2% compared with the industry’s upside of 4.4%.Image Source: Zacks Investment ResearchOther Stocks to ConsiderSome other top-ranked stocks from the broader REIT sector are Welltower WELL and VICI Properties VICI, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The Zacks Consensus Estimate for WELL’s 2025 FFO per share has moved 1 cent northward to $5.07 over the past month.The Zacks Consensus Estimate for VICI’s 2025 FFO per share has moved a cent upward to $2.39 over the past month.Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.One Big Gain, Every Trading DayTo help you take full advantage of this market, you’re invited to access every stock recommendation in all our private portfolios - for just $1.Zacks private portfolio services that closed 256 double and triple-digit winners in 2024 alone. That’s about one big gain every day the market was open. Of course, not all our picks are winners, but members have seen recent gains as high as +627% +1,340%, and +1,708%.Imagine how much you could profit with a steady stream of real-time picks from all our services that cover a number of strategies to suit a variety of investing and trading styles.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Terreno Realty Corporation (TRNO): Free Stock Analysis Report Welltower Inc. (WELL): Free Stock Analysis Report VICI Properties Inc. (VICI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks