First Industrial Realty Trust issued a statement on March 20, 2026, rebutting Land & Buildings’ claims that the company’s strategy and governance had been misrepresented. The statement said Land & Buildings had repeatedly made misleading statements about FR’s historical outperformance and strategy, and reaffirmed the company’s commitment to a value‑driven plan and long‑term shareholder value.
The statement also announced that Frank E. Schmitz will join the board as an independent director effective June 1, 2026. Chairman Matthew S. Dominski said, "We look forward to welcoming Frank to our Board of Directors. He brings decades of global real estate investment and capital markets experience, as well as deep relationships across the institutional investor community. Frank's insights into capital formation, portfolio strategy and investment trends will be invaluable as we continue capitalizing on the significant opportunities in our portfolio and development pipeline to drive further cash flow growth and value for First Industrial stockholders."
FR authorized a $250 million share‑repurchase program, described as opportunistic with no expiration date. The program is intended to return capital to shareholders and signals the board’s confidence in the company’s intrinsic value.
FR’s strategy is described as a "value‑driven plan" that focuses on disciplined portfolio management, strong cash flow generation, and delivering superior total shareholder returns. The company’s Q4 2025 earnings showed an EPS of $0.59, beating consensus by $0.17, driven by cost control and pricing power in its industrial leasing portfolio. Revenue of $188.41 million exceeded expectations, and the company guided 2026 NAREIT FFO to $3.09–$3.19 per share, reflecting confidence in continued growth.
Land & Buildings has targeted FR’s chairman and director H. Patrick Hackett Jr., alleging governance failures that have created a "governance discount" costing shareholders roughly $2 billion in market capitalization. The activist withdrew its nominee, Jonathan Litt, stating it would be more effective from outside the boardroom. FR’s appointment of Schmitz and the share‑repurchase program are defensive moves aimed at addressing governance concerns and demonstrating management’s commitment to shareholder value.
The share‑repurchase program and board addition come amid a broader context of FR’s strong operational performance. The company’s tenant retention rate was 71% in 2025, and 45% of 2026 lease rollovers had already been addressed, according to CEO Peter Baccile. These metrics underscore FR’s resilience in a volatile leasing market and support the company’s outlook for continued cash flow growth.
By countering activist criticism, bolstering its board, and returning capital to shareholders, FR signals that it remains focused on its long‑term strategy and confident in its ability to deliver value to investors.
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