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In theory, REITs should deliver abnormal returns when inflation runs hot. In practice, REITs have barely registered positive returns. While I am not overly bullish on REITs (to say the least), I still see some exceptions that might be worth scooping up.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation Announces Lease in Torrance, CA.

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We recently closed out of our position in Terreno (TRNO) and wanted to walk readers through our thought process and how we look at the company today.

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We sold shares on 7/9/2026. For readers interested, we will post all the sales at the end of the article.

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Before we sold, Terreno was flirting with the border between our neutral/overpriced ranges. Shares were trading at 31.4x consensus forward AFFO. Technically, it’s probably a little bit lower if we factor in that Q2 2027 AFFO per share will probably be higher than Q2 2026 AFFO per share. However, even adjusting for higher AFFO, the multiple would still be very large.

July 9th Thought Process Terreno has been one of my favorite REITs for several years. I viewed it as a great long-term position. However, I am looking at shares trading over 30x forward AFFO while the 2-year Treasury is over 4% (4.16% presently), the 10-year is at 4.535%, and the 30-year is at 5.054%. I’m feeling a bit skeptical about multiples around 30x AFFO (or higher) in this environment. If we assume that REITs with more “normal” growth levels typically trade around 14x to 20x AFFO, then we have to assume several years of strong growth. While that’s certainly possible, I wouldn’t want to use it as the base scenario.

AFFO Estimates And Multiple Our sheets are currently using a forward estimate of $2.19.

If we were to use AFFO estimates for the next 4 quarters starting with Q3 2026, then the consensus estimate would increase to $2.25. That’s better, but not substantially better.

Even if we use the $2.25 value, at $68.68 shares would be trading a hair over 30.5x forward AFFO estimates.

If we use $2.18 or $2.19, the multiple is 31.36x or 31.50x, respectively.

That’s a pretty high multiple given the Treasury yields. While I still really like TRNO, I felt it was prudent to harvest gains here.

The REIT Forum

Note: TRNO has rallied even higher since we closed our position. As of 7/15/2026, shares are at $72.09.

Why TRNO Can Achieve A High Multiple Our thesis played out well with the industrial real estate portfolio delivering strong growth in same property NOI (Net Operating Income). That drove significant growth in AFFO per share, which supports TRNO trading at pretty high multiples of AFFO per share. The market likes seeing strong growth across several key indicators. However, the valuation still hit a point where I felt it was prudent to just take the gains.

Issuing Shares TRNO was issuing equity during Q1 2026:

TRNO

They felt it was reasonable to issue it at $64.85, and I agree with them. That was a very reasonable price for choosing to issue new equity. Issuing at $68.68 (5.9% higher) would make even more sense. That’s the right choice for management as they look to maximize value for shareholders.

Impact Of Treasury Rates The last time I purchased TRNO was in 2023 at $62.99. That’s not dramatically lower than the current price. The AFFO multiple was similar. What changed?

Well, the interest rate scenario changed quite a bit as shown by the 10-year and 30-year Treasury rates:

MBSLive

MBSLive

The 10-year Treasury yield is up 60 basis points (that means 0.60%) and currently trending higher (based on the current yield relative to the moving averages). The 30-year is up just over 100 basis points and also in a trend higher.

That feels ugly. It’s been less of an issue for TRNO since they have such little debt on their balance sheet. Consequently, they have been less exposed to interest rate pressure than most equity REITs. However, it makes it harder to justify high multiples.

Adjusted EBITDA/Total Enterprise Value Doing a full model for “Market Implied Cap Rate” is pretty slow. In theory it seems like it would be quick to update, but in practice it can get messy doing quarter after quarter.

A simpler method is calculating adjusted EBITDA to Total Enterprise Value. It is less precise (which is negative), but it factors in overhead (which is positive).

Total Enterprise Value = Market value of equity + total debt + preferred stock + minority interest - cash and near-cash items.

Often there won’t be preferred stock or minority interest, which makes it even simpler.

The bigger question is simply which version of EBITDA we want to use. Do we use the most recent quarter? Do we try to run a forward estimate? Sometimes the answers matter a great deal, and sometimes they don’t. In this case, the picture is pretty clear regardless. One adjustment I really like to make, though, is to revise “adjusted EBITDA” by deducting stock-based compensation. That’s fundamentally overhead by another name.

Goal Of Calculation This is a way to approximate the amount of adjusted EBITDA the company is producing relative to the total value assigned to the company.

It can be a quick way to compare REITs. However, investors should be aware that all REITS do not simply deserve to trade at the same valuation. That would be silly. Some properties are simply more desirable, and some management teams are superior. For now I’m simply going to refer to adjusted EBITDA minus stock-based compensation as “revised EBITDA.” I wanted to compare TRNO with Rexford (REXR).

Using Q1 2026, I came to the following estimates when removing stock-based compensation:

TRNO at $68.62 has a revised EBITDA yield of 3.96%. This is why it makes sense for TRNO to issue shares.

REXR at $34.42 has a revised EBITDA yield of 6.12%. This is why it makes sense for REXR to repurchase shares.

Note: We don’t want to use growth rates in adjusted EBITDA or revised EBITDA unless we control for the expected change in the shares outstanding and net debt outstanding.

That’s the gap in valuation. It is very material.

Hypothetically, what if REXR climbed all the way to our “overpriced” level? The revised EBITDA yield would drop from 6.12% to 4.79%.

Final Thoughts I expect that TRNO will do a better job (than REXR) of growing every metric over the next year or two. However, I don’t expect it to be remotely large enough to offset the enormous gap in these valuation metrics.

We currently view TRNO as overpriced despite the company's strong execution. Even after our sale, shares continued climbing. We'll continue watching the company closely because it's still one of my favorite REITs. I simply don't like today's valuation. Here is the record of our sale:

The REIT Forum

Terreno Realty Corporation (NYSE: TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, announced today that it ha

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, announced today that it has executed a lease for 94,000 square feet in Union City, California with a provider of IT infrastructure, cloud and security solutions. The lease will commence September 1, 2026 and will expire October 2033. To facilitate the new lease, Terreno Realty Corporation terminated effective August 31, 2026 the in-place lease that was to expire July 2031 and received a negotiated early termination payment from the prior tenant of approximately $2.0 million.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey; Los Angeles; Miami; San Francisco Bay Area; Seattle; and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, announced today that it has executed a lease for 92,000 square feet in Kearny, New Jersey with a third-party logistics provider. The lease will commence June 30, 2026 and will expire December 2031.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey; Los Angeles; Miami; San Francisco Bay Area; Seattle; and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

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Key Takeaways Terreno Realty bought a $13M Alexandria industrial asset, expanding its Washington, D.C. market exposure.The 50,000-square-foot building is 77% leased and sits near I-95 and I-495 for regional access.TRNO's portfolio was 96.3% leased in Q1 2026, with cash rents on new and renewed leases up 22.4%. Terreno Realty Corporation (TRNO - Free Report) is adding another small but well-placed industrial asset to its portfolio, this time in Alexandria, VA. The company acquired the property for about $13.0 million, continuing its focus on infill industrial real estate in supply-constrained coastal markets. For Terreno, the deal expands its Washington, D.C. market exposure with a functional distribution building near major highways while leaving room to raise occupancy over time.

The property includes a 50,000-square-foot industrial distribution building on 2.8 acres at 5751 General Washington Drive. Its location near I-95 and I-495 (the Capital Beltway) should appeal to tenants that need regional access and last-mile distribution capacity. The building is 77% leased to three tenants and has eight dock-high loading positions, one grade-level loading position and parking for 73 cars. Terreno estimates a stabilized cap rate of 5%.

This purchase also fits with the company’s recent pattern of steady, targeted buying. Earlier in June, Terreno acquired a 65,000-square-foot industrial building in San Francisco, CA, for $25.9 million. That asset was fully leased to four tenants and carried an estimated stabilized cap rate of 5.5%, giving investors another sign that management remains active in high-barrier coastal markets.

The broader operating picture also supports a bullish view. At the end of the first quarter of 2026, Terreno’s operating portfolio was 96.3% leased, while same-store occupancy stood at 97.6%. Cash rents on new and renewed leases rose 22.4%, a strong sign that the company still has pricing power.

There are risks. The Alexandria building is not fully leased, cap rates remain modest, and higher interest rates can pressure REIT valuations. Still, Terreno’s disciplined strategy, strong occupancy, active leasing and focus on scarce industrial locations make the stock’s long-term setup look favorable for patient investors.

Over the past three months, shares of this Zacks Rank #2 (Buy) company have gained 6.5% compared with the industry’s growth of 7.8%.

Image Source: Zacks Investment Research

Other Stocks to ConsiderSome other top-ranked stocks from the industrial REIT sector are Prologis (PLD - Free Report) and Stag Industrial (STAG - Free Report) , 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 PLD’s 2026 FFO per share is pegged at $6.18, which indicates year-over-year growth of 6.4%.

The consensus estimate for Stag Industrial’s full-year FFO per share is pinned at $2.63, which calls for a 3.1% increase from the year-ago period.

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.

Published in finance reit

Key Takeaways Terreno Realty bought a Landover industrial property for about $77.1M on June 16, 2026.Terreno Realty acquired three buildings totaling 305,000 square feet on 24.0 acres, 92% leased.TRNO also bought a 50,000-square-foot Alexandria industrial property this week for about $13M. Terreno Realty Corporation (TRNO - Free Report) announced the acquisition of an industrial property located in Landover, MD. The buyout was carried out on June 16, 2026, for a purchase price of around $77.1 million. The move will aid the company in fostering its future growth by building a robust portfolio.

Located at 3100-3300 Hubbard Road, adjacent to U.S. Route 50, approximately three miles outside Washington, D.C., the property consists of three industrial distribution buildings spanning around 305,000 square feet on 24.0 acres.  It offers 49 dock-high and nine grade-level loading positions, as well as parking for 417 cars. The property is 92% leased to nine tenants. The estimated stabilized cap rate is 5.5%.

TRNO is on an acquisition spree. This week, it also acquired an industrial property in Alexandria, VA, for approximately for $13 million. The property consists of a 50,000-square-foot industrial distribution building situated on 2.8 acres. It was 77% leased to three tenants and carried an estimated stabilized cap rate of 5%.

The newly acquired buildings are expected to strengthen Terreno’s income-generating asset base while providing opportunities to increase cash flows through lease renewals and the leasing of remaining vacant space. With the properties already substantially leased, the acquisitions should generate stable rental income while providing additional value-creation opportunities over time.

Terreno continues to focus on acquiring industrial properties in high-demand coastal markets. Its portfolio spans six major coastal U.S. markets — New York City/Northern New Jersey, Los Angeles, Miami, the San Francisco Bay Area, Seattle and Washington, D.C. These markets benefit from strong population and employment trends, strategic transportation infrastructure and sustained demand for modern logistics and distribution facilities.

In the past three months, shares of this Zacks Rank #2 (Buy) company have gained 3.2% compared with the industry's 8% growth.

Image Source: Zacks Investment Research

Other Stocks to ConsiderSome other top-ranked stocks from the broader REIT sector are Cousins Properties (CUZ - Free Report) and Vornado Realty Trust (VNO - Free Report) , each carrying a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for CUZ’s 2026 FFO per share is pegged at $2.93, which indicates year-over-year growth of 3.17%.

The Zacks Consensus Estimate for VNO’s full-year FFO per share is pinned at $2.34, which calls for an increase of 0.86% from the year-ago period.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation Acquires Property in Alexandria, VA for $13.0 Million.

TRNO's Q1 update shows strong occupancy, rising rents and active deals but signals a shift toward more balanced growth in 2026.

Posted by Defense World Staff on Apr 10th, 2026

Aberdeen Group plc reduced its stake in shares of Terreno Realty Corporation (NYSE:TRNO – Free Report) by 75.0% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 39,135 shares of the real estate investment trust’s stock after selling 117,311 shares during the quarter. Aberdeen Group plc’s holdings in Terreno Realty were worth $2,298,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently modified their holdings of the stock. Fifth Third Wealth Advisors LLC grew its stake in shares of Terreno Realty by 38.6% during the fourth quarter. Fifth Third Wealth Advisors LLC now owns 11,320 shares of the real estate investment trust’s stock valued at $665,000 after buying an additional 3,155 shares during the last quarter. Allspring Global Investments Holdings LLC grew its stake in shares of Terreno Realty by 2.8% in the fourth quarter. Allspring Global Investments Holdings LLC now owns 403,367 shares of the real estate investment trust’s stock worth $23,807,000 after purchasing an additional 10,936 shares during the last quarter. Exchange Traded Concepts LLC grew its stake in shares of Terreno Realty by 22.1% in the fourth quarter. Exchange Traded Concepts LLC now owns 2,351 shares of the real estate investment trust’s stock worth $138,000 after purchasing an additional 425 shares during the last quarter. Moody National Bank Trust Division grew its stake in shares of Terreno Realty by 3.4% in the fourth quarter. Moody National Bank Trust Division now owns 10,316 shares of the real estate investment trust’s stock worth $606,000 after purchasing an additional 339 shares during the last quarter. Finally, Congress Asset Management Co. grew its stake in shares of Terreno Realty by 3.8% in the fourth quarter. Congress Asset Management Co. now owns 566,448 shares of the real estate investment trust’s stock worth $33,256,000 after purchasing an additional 20,890 shares during the last quarter.

Analyst Ratings Changes Several research firms have weighed in on TRNO. Scotiabank lifted their price objective on Terreno Realty from $67.00 to $69.00 and gave the company an “outperform” rating in a research report on Wednesday, January 14th. UBS Group set a $72.00 price objective on Terreno Realty in a research report on Monday, February 9th. Weiss Ratings raised Terreno Realty from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, January 22nd. Citigroup raised their price target on Terreno Realty from $64.00 to $70.00 and gave the company a “neutral” rating in a report on Tuesday, February 10th. Finally, iA Financial set a $75.00 price target on Terreno Realty in a research report on Friday, February 6th. One equities research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $69.36.

Check Out Our Latest Stock Analysis on Terreno Realty

Terreno Realty Price Performance Shares of NYSE TRNO opened at $65.39 on Friday. Terreno Realty Corporation has a twelve month low of $52.30 and a twelve month high of $66.74. The firm has a market cap of $6.95 billion, a P/E ratio of 16.77 and a beta of 1.12. The company has a 50 day moving average of $63.67 and a 200 day moving average of $61.37. The company has a quick ratio of 0.32, a current ratio of 0.32 and a debt-to-equity ratio of 0.24.

Terreno Realty (NYSE:TRNO – Get Free Report) last announced its quarterly earnings data on Wednesday, February 4th. The real estate investment trust reported $1.53 earnings per share for the quarter, topping analysts’ consensus estimates of $0.85 by $0.68. The company had revenue of $137.48 million during the quarter, compared to analyst estimates of $124.72 million. Terreno Realty had a net margin of 84.51% and a return on equity of 10.08%. As a group, research analysts expect that Terreno Realty Corporation will post 2.64 EPS for the current fiscal year.

Terreno Realty Announces Dividend The business also recently announced a quarterly dividend, which will be paid on Friday, April 10th. Shareholders of record on Friday, March 27th will be paid a dividend of $0.52 per share. The ex-dividend date is Friday, March 27th. This represents a $2.08 dividend on an annualized basis and a yield of 3.2%. Terreno Realty’s payout ratio is currently 53.33%.

Terreno Realty Profile (Free Report)

Terreno Realty Corporation (NYSE: TRNO) is a real estate investment trust specializing in the acquisition, ownership and operation of industrial properties in key coastal markets across the United States. The company’s portfolio primarily consists of bulk distribution, warehouse and light-industrial assets that serve a diverse tenant base, including third-party logistics providers, e-commerce companies and manufacturers. Terreno aims to generate stable rental income while pursuing long-term capital appreciation through targeted investment and active asset management.

Terreno focuses on eight major coastal regions, emphasizing markets with strong supply-and-demand fundamentals and barriers to new development.

Featured Articles Five stocks we like better than Terreno Realty Want to see what other hedge funds are holding TRNO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Terreno Realty Corporation (NYSE:TRNO – Free Report).

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Key Takeaways Terreno Realty completes and stabilizes Building 34 in Hialeah, a $55.3M industrial project.TRNO's 220,000 sq ft property is fully leased to three tenants with a 5.7% stabilized cap rate.Countyline Phase IV spans 121 acres, with full buildout expected by 2027 at $508.5M total investment. Terreno Realty Corporation (TRNO - Free Report) announced that it recently completed the development and stabilization of Countyline Corporate Park Phase IV Building 34 in Hialeah, FL, for a total investment of $55.3 million. The move highlights its effort to enhance its property quality to meet tenants' growing demand.

The developed property, consisting of 36-foot clear height rear-load industrial distribution building, spans around 220,000 square feet on 13.0 acres of land. The property is equipped with 76 dock-high and two grade-level loading positions, along with a parking area for 188 cars. With the estimated stabilized cap rate of 5.7%, Building 34 is expected to achieve LEED certification. It is 100% leased to three tenants.

Countyline Corporate Park Phase IV consists of a 121-acre project entitled for 2.2 million square feet of industrial distribution buildings in Miami’s Countyline Corporate Park. Upon its anticipated 2027 completion, Countyline Phase IV will feature ten LEED-certified industrial distribution buildings encompassing about 2.2 million square feet. These will include 660 dock-high and 22 grade-level loading positions, plus parking for 1,875 cars, with a total expected investment of roughly $508.5 million.

Terreno: In a SnapshotTerreno’s developments are an integral part of its ongoing efforts to optimize its portfolio and enhance its financial performance. Last week, TRNO announced its operating, investment and capital markets activity for the first quarter of 2026. In the quarter, the company completed the redevelopment and stabilization of Countyline Corporate Park Phase IV Building 32 in Hialeah, FL. As of March 31, 2026, it had five properties under development or redevelopment that, upon completion, will consist of five buildings aggregating approximately 0.9 million square feet, which are approximately 71.5% pre-leased, with a total expected investment of approximately $323.8 million.

Moreover, the company remains focused on expanding its asset base in the six major coastal U.S. markets — Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami and Washington, DC — as demand for industrial real estate space remains buoyant.

With a solid operating platform, a healthy balance sheet position and prudent capital management practices, TRNO seems well-positioned to capitalize on long-term growth opportunities.

Shares of the company gained 7% over the past three months compared with the industry’s rise of 3.2%. TRNO carries a Zacks Rank #4 (Sell) at present.

Image Source: Zacks Investment Research

Stocks to ConsiderSome better-ranked stocks from the broader REIT sector are Prologis (PLD - Free Report) and Ventas (VTR - Free Report) , each carrying a Zacks Rank of #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for PLD’s 2026 FFO per share is pegged at $6.14, which indicates year-over-year growth of 5.7%.

The Zacks Consensus Estimate for VTR’s full-year FFO per share stands at $3.84, which calls for an increase of 10.3% from the year-ago period.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

Key Takeaways TRNO boosted April leasing in Washington, D.C., renewing early and extending terms into 2031-2036.TRNO's Supreme Court deals renewed 27,000 sq ft and leased 29,000 sq ft that had been vacant.TRNO finished a 220,000-sq-ft Hialeah building fully leased; operating portfolio was 96.3% leased. Terreno Realty Corporation (TRNO - Free Report) strengthened its leasing momentum in April 2026 with notable activity in Washington, D.C. The company announced an early lease renewal for 68,000 square feet with a provider of educational services. The lease begins on Dec. 1, 2026, and runs through December 2031. That deal adds to another recent D.C. update, where Terreno signed leases tied to the Supreme Court of the United States.

In the earlier April announcement, Terreno renewed 27,000 square feet that had been scheduled to expire in 2032, extending the term through March 2036. The Supreme Court also leased an adjacent 29,000 square feet that had been vacant, with that lease starting on April 1, 2026, and running through March 2036. Together, those agreements show Terreno extending tenant commitments while also filling empty space.

The company is also advancing its development pipeline. In Hialeah, FL, Terreno completed Countyline Corporate Park Phase IV Building 34, a 220,000-square-foot industrial distribution building. The property is fully leased to three tenants. Built on 13 acres, it includes 76 dock-high and two grade-level loading positions. The total investment was $55.3 million and the estimated stabilized cap rate is 5.7%.

Terreno’s broader first-quarter numbers support this activity. As of March 31, 2026, its operating portfolio was 96.3% leased, while same-store occupancy was 97.6%. Cash rents on new and renewed leases increased 22.4%, and tenant retention came in at 72.6%.

Overall, Terreno Realty’s leasing momentum, led by April deals and supported by strong rent spreads and fully leased developments, positions the company well. However, the uncertain macroeconomic landscape remains a key concern.

Shares of the company gained 6% over the past three months compared with the industry’s rise of 4.3%. TRNO carries a Zacks Rank #4 (Sell) at present.

Image Source: Zacks Investment Research

Stocks to ConsiderSome better-ranked stocks from the broader REIT sector are Prologis (PLD - Free Report) and Ventas (VTR - Free Report) , each carrying a Zacks Rank of #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for PLD’s 2026 FFO per share is pegged at $6.14, which indicates year-over-year growth of 5.7%.

The Zacks Consensus Estimate for VTR’s full-year FFO per share stands at $3.85, which calls for an increase of 10.6% from the year-ago period.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE: TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, declared a regular cash dividend for the quarter ending June 30, 2026 of $0.52 per common share. The dividend will be payable on July 10, 2026 to common stockholders of record at the close of business on June 26, 2026.

Terreno Realty Corporation filed its quarterly report on Form 10-Q for the quarter ended March 31, 2026 with the U.S. Securities and Exchange Commission. The financial statements and supplemental financial information are available in the Investors & Media section of Terreno Realty Corporation’s website, www.terreno.com.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey, Los Angeles, Miami, San Francisco Bay Area, Seattle and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s website at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates, and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property located in San Francisco, California on June 4, 2026 for a purchase price of approximately $25.9 million.

The property consists of one industrial distribution building containing approximately 65,000 square on 3.8 acres. The property is at 201-395 Mendell Street, in San Francisco’s India Basin neighborhood, and provides 17 dock-high and 10 grade-level loading positions and parking for 95 cars. The building is 100% leased to four tenants all of which expire by May 2031. The estimated stabilized cap rate is 5.5%.

Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey, Los Angeles, Miami, San Francisco Bay Area, Seattle and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates, and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, announced today that it has executed a pre-lease for a 4.6-acre improved land parcel in Elizabeth, New Jersey with a truck sale and lease operator. The lease will commence November 1, 2026 immediately upon expiration of an existing tenant lease and will expire January 2034.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey; Los Angeles; Miami; San Francisco Bay Area; Seattle; and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

BELLEVUE, Wash.--(BUSINESS WIRE)--Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, announced today that it has executed an early lease renewal for 107,000 square feet in Kent, Washington with a provider of flooring products and services. The lease will commence May 1, 2027 and expire July 2032.

Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey; Los Angeles; Miami; San Francisco Bay Area; Seattle; and Washington, D.C.

Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. We caution investors that forward-looking statements are based on management’s beliefs and on assumptions made by, and information currently available to, management. When used, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “project,” “result,” “should,” “will,” “seek,” “target,” “see,” “likely,” “position,” “opportunity,” “outlook,” “potential,” “enthusiastic,” “future” and similar expressions which do not relate solely to historical matters are intended to identify forward-looking statements. These statements are subject to risks, uncertainties, and assumptions and are not guarantees of future performance, which may be affected by known and unknown risks, trends, uncertainties, and factors that are beyond our control, including risks related to our ability to meet our estimated forecasts related to stabilized cap rates and those risk factors contained in our Annual Report on Form 10-K for the year ended December 31, 2025 and our other public filings. 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. We expressly disclaim any responsibility to update our forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Accordingly, investors should use caution in relying on past forward-looking statements, which are based on results and trends at the time they are made, to anticipate future results or trends.

Key Takeaways TRNO signed a 107,000-square-foot early lease renewal in Kent, set to run from 2027 to 2032.TRNO also pre-leased a 4.6-acre improved land parcel in Elizabeth, NJ, through January 2034.TRNO posted 22.4% cash rent growth on Q1 2026 leases and retained 72.6% of operating tenants. Terreno Realty (TRNO - Free Report) continues to capitalize on strong demand for industrial real estate, as evidenced by its recent leasing activity.

The company recently announced the execution of an early lease renewal for a 107,000-square-foot property in Kent, WA, leased to a provider of flooring products and services. The lease is scheduled to commence on May 1, 2027 and run through July 2032, strengthening the visibility of TRNO’s future rental income.

Earlier this month, the REIT also secured a pre-lease for a 4.6-acre improved land parcel in Elizabeth, NJ, with a truck sales and leasing operator. The lease will begin on Nov. 1, 2026, upon the expiration of the current lease, and extend through January 2034.

These transactions reflect continued healthy demand for TRNO’s strategically located industrial assets across its six major coastal U.S. markets.

Strong Leasing Momentum in Q1 2026Terreno Realty delivered encouraging leasing results during the first quarter of 2026. New and renewed leases commencing within its operating portfolio totaled 0.7 million square feet, while leases for improved land parcels covered 7.2 acres.

The company continued to capture meaningful rent growth. Cash rents on new and renewed leases that commenced during the quarter increased 22.4%, underscoring the strength of market fundamentals and the quality of TRNO’s portfolio.

Tenant retention also remained solid, with the operating portfolio posting a retention ratio of 72.6%, while improved land parcels recorded a retention rate of 45.8%.

OutlookSupported by a high-quality industrial portfolio, strong leasing demand and the ability to achieve sizable rent increases on renewals, Terreno Realty remains well-positioned for long-term growth. The company’s disciplined operating strategy, healthy balance sheet and focus on supply-constrained coastal markets should continue to support earnings growth and shareholder value creation in the years ahead.

Over the past three months, shares of this Zacks Rank #2 (Buy) company have gained 5.9% compared with the industry’s growth of 2.5%.

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Other Stocks to ConsiderSome other top-ranked stocks from the broader REIT sector are Lamar Advertising (LAMR - Free Report) and Vornado Realty Trust (VNO - Free Report) , 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 LAMR’s 2026 FFO per share has been revised upward 2.2% to $8.81 over the past two months.

The consensus estimate for VNO’s 2026 FFO per share has been revised up marginally over the past month to $2.34.

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.