Rexford Industrial Realty, Inc.

We thank you for joining us for Rexford Industrial's third quarter

2020 earnings conference call. In addition to the press release distributed yesterday after market closed, we posted a supplemental package in the investor relations section on our website at www.rexfordindustrial.com. On today's call, management's remarks and answers to your questions contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements address matters that are subject to risks and uncertainties that may cause actual results to differ from those discussed today. For more information about these risk factors, we encourage you to review our 10-K and other FCC filings. Rexford Industrial assumes no obligation to update any forward-looking statements in the future. In addition, certain financial information presented on this call represents non-GAAP financial measures. Our earnings release and supplemental package present GAAP reconciliations and an explanation of why such non-GAAP financial measures are useful to investors. Today's conference call is hosted by Rexford Industrial's Co-Chief Executive Officers, Michael Frankel and Howard Schwimmer, together with Chief Financial Officer, Laura Clark, and our General Counsel, David Lanzer. They will make some prepared remarks, and then we will open the call for your questions. Now I'll turn the call over to Michael.

Thank you, and welcome to Rexford Industrial's third quarter 2020 earnings call. We hope this call finds you and your families well and healthy. Today, I'll begin with a brief summary of our third quarter operating results, and Howard will then cover our market activity. We are also very pleased to welcome Laura Clark, who joined Rexford on September 1st as our new chief financial officer. Laura will provide more details on our financial results, balance sheet, and outlook. We will then open the call for your questions. We are very pleased with our strong third quarter results, to which we credit the hard work of our entire Rexford team, and the extraordinary resilience and overall quality of our tenant base within Infill Southern California. Highlights from the quarter include the following. We increased company share of core FFO by 20% to $40.6 million and generated a 6.5% increase in core FFO per share to 33 cents. Consolidated NOI grew by 23.8% on a GAAP basis and by 22.2% on a cash basis. Our stabilized same property NOI grew by 4.4% on a GAAP basis, and our stabilized same property cash NOI grew by 5%. We signed 101 leases for 1.6 million square feet during the third quarter and achieved leasing spreads of 26.8% on a GAAP basis and 17.4% on a cash basis. And we achieved 98.4% occupancy in our stabilized same property portfolio. During the quarter, we also acquired five properties for approximately $69 million. And, subsequent quarter end, we acquired one additional property for $22 million, bringing our year-to-date investment volume to $375 million. With regard to rent collections, suffice it to say that third quarter and now October are all tracking essentially very close to strong pre-pandemic levels. The strength of our collections is truly a testament to the high quality of our infill tenant base particularly in light of the fact that many of our tenants have the unilateral right to defer rent under unique California mandates due to COVID. Laura will provide additional color regarding our collections. We also completed the quarter with a low leverage fortress-like balance sheet at 2.9 times net debt to EBITDA, which equaled about 9.7% debt to total enterprise value. We ended the quarter in a very favorable position with upwards of $1 billion of liquidity as we move forward. The company's outperformance has been exceptional, rivaling our strongest pre-pandemic quarters. As a result, we are very pleased to be increasing our guidance, which Laura will be describing in more detail. Rexford has grown to become the third largest and fastest-growing publicly traded logistics REIT, focused on the nation's strongest market. Looking forward, we believe Rexford is very well positioned into 2021 and beyond. With regard to internal growth, we are positioned to capture about 18% NOI growth embedded within our in-place portfolio over the next 12 to 24 months, principally driven by our entrepreneurial and value-add asset management strategies. Our external growth prospects are also strong. The ongoing benefit of our proprietary, research-driven originations continues to increase the volume and quality of our investment pipeline. We see a very substantial opportunity to consolidate well beyond our current 1.5% market share within our highly fragmented, exceptionally large infill Southern California industrial market. We believe a principal reason our market is the most highly valued and sought after industrial market in the country is due to operating history that demonstrates our infill SoCal tenant base to be the strongest tenant base in the nation, driven by a range of key factors. To begin with, our infill locations are generally mission critical for our tenants. Their businesses depend upon our infill locations as they generally serve regional consumption and would not be able to do so if located outside infill Southern California. Further, due to extreme constrained supply within infill Southern California, our tenants would be challenged to find similar quality space anywhere else within our submarkets. Meanwhile, tenant demand continues to expand, driven by growth across a range of sectors from consumer staples and food distribution, healthcare and medical products, renewable energy and electric vehicles, space exploration and aerospace technology, among many other growth sectors. Further, the dramatic growth in e-commerce, which has been accelerated by the pandemic, continues to drive unprecedented new demand for space within our target infill markets as we are positioned within the largest first mile as well as the nation's largest last mile of goods distribution and consumption in the United States. As a result of these dynamics, tenant demand is as intense as ever. In fact, CBRE now projects industrial market rent growth in Los Angeles County to increase a full 41% through 2025, which equates to 7.1% per year compared to only 2.9% per year projected for the rest of the nation's major industrial markets. Finally, we owe a tremendous thank you to the entire Rexford industrial team as we express our appreciation for their superior performance and as they continue to prove themselves as the most effective team in our business. And with that, I'm very pleased to turn the call over to Howard.