ILPT’s primary business objective is to own, lease and manage a diversified portfolio of high-quality industrial and logistics properties in key distribution markets and transportation hubs across the United States, creating and maximizing long-term sustainable shareholder value.
Embedded Growth Opportunities
Our nearly 60 million square foot presence across the mainland U.S. and island of Oahu, Hawaii positions our diverse portfolio for sustainable organic growth, bolstered by strong industry tailwinds. The industrial property sector has grown to become one of the largest and most attractive commercial property sectors. The continued shift away from stores and shopping centers to e-commerce sales platforms and the increase of reshoring of manufacturing facilities in the U.S. are driving demand for industrial and logistics real estate.
Our properties are of strategic importance to our tenants’ businesses, such as build to suit properties, strategic distribution hubs or other properties in which tenants have invested significant amounts of capital. Nearly all our well-occupied properties operate where tenants are financially responsible for all, or substantially all, increases in property level operating expenses, fortifying ILPT’s future revenues.
Our Hawaii portfolio is especially unique. With limited land suitable for industrial use, we believe we are well-insulated from future competition while affording us the potential for significant rent growth through periodic rent resets and new leases. Since our predecessor began acquiring our Hawaii properties in December 2003, our Hawaii properties have remained at least 85% leased, and the periodic rent resets and lease expirations have resulted in significant rent increases.