Item 2. Properties
ITEM 2. PROPERTIES.
EastGroup owned 510 industrial properties as of December 31, 2023. These properties are located primarily in the Sunbelt states of Florida, Texas, Arizona, California and North Carolina, and the majority are clustered around major transportation features in supply constrained submarkets. As of February 13, 2024, EastGroup’s operating portfolio was 97.8% leased and 97.6% occupied by tenants in approximately 1,600 leases, with no single tenant accounting for more than approximately 1.8% of the Company’s annualized based rent, as defined in the table below. The Company has developed approximately 50% of its total portfolio (on a square foot basis), which includes real estate properties and development and value-add properties in lease-up and under construction. The Company’s focus is the ownership of business distribution space (91% of the total portfolio) with the remainder in bulk distribution space (8%) and business service space (1%). Business distribution space properties are typically multi-tenant buildings with a building depth of 200 feet or less, clear height of 24-32 feet, office finish of 10-25% and truck courts with a depth of 100-120 feet. See Consolidated Financial Statement Schedule III – Real Estate Properties and Accumulated Depreciation for a detailed listing of the Company’s properties.
At December 31, 2023, EastGroup did not own any single property with a book value that was 10% or more of total book value or with gross revenues that were 10% or more of total gross revenues.
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The Company’s lease expirations are detailed below:
Years Ending December 31, Number of Leases Expiring (1)
Total Area of Leases Expiring
(in Square Feet) (1)
Annualized Base Rent of Leases Expiring (1) (2)
% of Total Base Rent of Leases Expiring (1)
2024 (3)
251 5,977,000 $ 45,654,000 10.5%
2025 312 8,189,000 $ 66,880,000 15.4%
2026 324 10,014,000 $ 81,637,000 18.8%
2027 280 9,127,000 $ 75,052,000 17.3%
2028 227 6,976,000 $ 57,923,000 13.3%
2029 114 5,214,000 $ 34,830,000 8.0%
2030 49 2,519,000 $ 20,501,000 4.7%
2031 32 1,315,000 $ 11,447,000 2.6%
2032 23 1,738,000 $ 13,261,000 3.0%
2033 and beyond 28 3,374,000 $ 27,737,000 6.4%
(1) Does not include lease renewal options.
(2) Annualized base rent represents the monthly cash rental rate, excluding tenant expense reimbursements, as of December 31, 2023, multiplied by 12 months.
(3) Includes month-to-month leases.
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.