**Industrial REITs Collaborate to Standardize Key Property Metrics**
A coalition of leading industrial real estate investment trusts (REITs) — including Prologis, EastGroup Properties, Inc., First Industrial Realty Trust, Inc., and STAG Industrial, Inc. — has announced an update to its standardized methodology for calculating key non-GAAP property metrics. This initiative aims to enhance consistency and improve comparability across the industrial real estate sector.
The Industrial REIT Group, originally formed in 2018 to foster alignment in reporting practices, has reaffirmed its unified approach to assessing property stabilization, occupancy, rent changes, and customer retention. These updates build upon the harmonization standards previously set by the group.
As part of this effort, the annual same-store portfolio will continue to be limited to only those properties that were stabilized during both the current and prior reporting periods. The updated guidelines also reaffirm the exclusion of value-added and redevelopment properties from same-store calculations.
All member REITs will adopt these standardized methodologies in their disclosures of non-GAAP metrics as part of their 2025 guidance. The group notes that these changes are not expected to have a material impact on previously reported non-GAAP metrics before 2025.
While there may still be minor differences in how metrics are calculated or described among the participating companies, the overarching objective remains clear: to provide the investment community with more transparent and comparable data.
_Pictured: A Prologis distribution center in Torrance, California._
