- Rexford Industrial (REXR, Financial) executed 1.2 million square feet of leases in Q2 2025 with a 17% increase in rental rates on a net effective basis.
- The company sold a San Diego property for $31 million, achieving an 11.9% unlevered IRR.
- REXR has $32 million in dispositions under contract, but no new acquisitions pending.
Rexford Industrial Realty, Inc. (REXR), a leading real estate investment trust in the industrial sector, reported its Q2 2025 operational and transactional activities. The company successfully executed 1.2 million square feet of leases, including 652,000 square feet in renewals and 571,000 square feet in new leases, with an average unit size of 17,000 square feet. Rental rates experienced robust growth, increasing by 17% on a net effective basis and by 4% on a cash basis, with embedded annual rate increases averaging 3.7%.
Among its notable projects, Rexford Industrial has leased a 191,000-square-foot repositioning project in Los Angeles, projecting a 9.2% unlevered stabilized cash yield. This project exemplifies the company's strategic focus on adding value in Southern California's tightly constrained industrial market.
On the transaction front, Rexford Industrial sold a 106,300-square-foot property in San Diego for $31 million, equating to $289 per square foot. The sale produced an impressive 11.9% unlevered internal rate of return (IRR). Additionally, the company has $32 million in dispositions under contract but has not announced any new acquisitions, highlighting a cautious approach amid current market conditions.
