Here are a few analogies to describe Terreno Realty (TRNO):

• TRNO is like the landlord for the warehouses and distribution centers that companies like Amazon or FedEx use, but specifically in major coastal markets.
• TRNO is like a Marriott or Hilton, but instead of hotels, it owns industrial warehouses and distribution centers in prime urban logistics hubs.

• Leasing of Industrial Buildings: Providing space within industrial buildings to tenants.
• Leasing of Improved Land Parcels: Offering developed land parcels for various industrial uses to tenants.
• Industrial Property Development and Redevelopment: Creating and improving industrial real estate assets for future leasing.

Major Customers of Terreno Realty (TRNO)

Terreno Realty Corporation (TRNO) is a real estate investment trust (REIT) that acquires, owns, and operates industrial real estate. As such, its customers are not individuals but rather businesses that lease its industrial buildings and land parcels.

The provided background information describes the company's portfolio (industrial buildings, improved land parcels) and its operating markets (six major coastal U.S. markets). However, it does not list the names of its specific tenant companies, whether public or private. Therefore, we cannot identify its major customers by name from the information given.

W. Blake Baird, Chairman & Chief Executive Officer, Co-Founder

Blake Baird co-founded Terreno Realty Corporation. Prior to co-founding Terreno, he served as President and a Director of AMB Property Corporation (now Prologis, NYSE:PLD) and Chairman of its Investment Committee. He led a significant transformation of AMB, shifting its focus to industrial properties near major airports and seaports, internalizing property operations, and expanding internationally. Mr. Baird joined AMB in January 1999 as Chief Investment Officer, became President in January 2000, and was elected to the Board in 2001. Before joining AMB, he was a Managing Director of Morgan Stanley & Co., where he headed Real Estate Investment Banking for the western United States, having spent 15 years at Morgan Stanley and Dean Witter, with 11 years focused on real estate. He also co-founded Terreno Capital Partners LLC, a private real estate investment firm, serving as Managing Partner from September 2007 to February 2010. Mr. Baird currently serves as a Director of Sunstone Hotel Investors, Inc. (NYSE:SHO) and previously was a Director of Matson, Inc. (NYSE:MATX) from 2012-2020 and Alexander & Baldwin, Inc. (NYSE:ALEX) from 2006-2012.

Jaime J. Cannon, Executive Vice President & Chief Financial Officer

Jaime Cannon joined Terreno Realty Corporation in March 2010 and currently oversees the company's finance, accounting, and sustainability efforts. Before joining Terreno, he worked at AMB Property Corporation (now Prologis, NYSE:PLD) from 2003 to 2010, holding various positions, most recently as Vice President, Treasury. From 1997 to 2003, Mr. Cannon worked at Arthur Andersen and PriceWaterhouseCoopers, specializing in real estate companies as an Audit Manager.

Michael A. Coke, President, Co-Founder

Michael A. Coke is a Co-Founder and President of Terreno Realty Corporation.

John T. Meyer, Executive Vice President & Chief Operating Officer

John T. Meyer joined Terreno Realty Corporation in 2010 and oversees the company's operations. Prior to Terreno, he was Senior Vice President, Director of Transactions, Southwest Region of North America for AMB Property Corporation (now Prologis, NYSE: PLD). During his two decades at AMB, he was responsible for expanding the portfolio in the Western United States through acquisitions and development, and oversaw areas including Finance, Operations, Airport Facilities, and Customer Development.

The key risks to Terreno Realty's (TRNO) business are primarily linked to the broader economic and real estate market conditions, along with specific geopolitical factors affecting its coastal industrial property portfolio.

1. Interest Rate Environment: Elevated interest rates pose a significant risk to Terreno Realty. High rates increase the cost of borrowing for new property acquisitions and developments, which can dampen growth opportunities. Moreover, a higher interest rate environment can make fixed-income investments more attractive, potentially diverting capital away from Real Estate Investment Trusts (REITs) and impacting their valuations. Terreno Realty specifically identifies interest rate risk as a primary market risk due to its reliance on debt for liquidity, capital expenditures, and portfolio expansion.

2. Economic Downturn, Industrial Real Estate Demand, and Oversupply: An overall economic downturn could lead to decreased demand for industrial space, directly affecting Terreno Realty's occupancy rates and rental income. While the industrial real estate sector has demonstrated resilience, market operating conditions weakened in both 2023 and 2024. This was partly due to an excess of new industrial developments entering the market colliding with a slowdown in industrial absorption nationally. Changes in the demand for industrial real estate are considered a sector-specific risk for the company.

3. Trade Policies and Geopolitical Risks: Terreno Realty faces elevated exposure to macroeconomic and tenant-level stress due to shifting U.S. and foreign trade policies, including the implementation of new and retaliatory tariffs. Such policies can lead to higher costs and compressed profit margins for import- and export-dependent tenants, increasing the risk of tenant defaults and lease renegotiations. Prolonged trade frictions and uncertainty surrounding future governmental actions could also reduce overall economic activity and logistics demand within Terreno Realty's core infill industrial markets, negatively impacting occupancy, rental rates, and cash flows.

Terreno Realty (TRNO) operates in six major coastal U.S. markets, focusing on industrial real estate. The addressable market size for their main products or services can be identified by examining industrial real estate sales volumes and total industrial inventory in these regions.

• Los Angeles, U.S.: The industrial real estate market in Los Angeles saw sales of approximately $1.2 billion in Q4 2025, with annual activity around $4 billion as of Q3 2025.
• Northern New Jersey/New York City, U.S.: The Northern New Jersey industrial market had a sales volume of $127.4 million in Q1 2024, compared to $890.3 million in Q1 2023. In 2020, the Northern New Jersey industrial market had an overall inventory of approximately 492.3 million square feet.
• San Francisco Bay Area, U.S.: Industrial sales in the San Francisco Bay Area totaled approximately $119 million in Q3 2025, with sales volume reaching roughly $500 million over the past year.
• Seattle, U.S.: The Puget Sound region, which includes Seattle, had an industrial inventory of 409.6 million square feet in Q4 2025. Year-to-date industrial real estate sales in Seattle had exceeded $1 billion by July 2021.
• Miami, U.S.: The Miami industrial market recorded a sales volume of $1.5 billion in 2023 and $271 million in Q1 2024. The sales volume for the last 12 months as of Q4 2023 also stood at $1.5 billion.
• Washington, D.C., U.S.: The Washington D.C. metro area's industrial market has a total inventory of approximately 211 million square feet.

1. Increased Rents on New and Renewed Leases: Terreno Realty has consistently demonstrated the ability to secure significantly higher cash rents on both new and renewed leases. In the first quarter of 2025, the company saw a 34.2% increase in cash rents on new and renewed leases for its operating portfolio. Similarly, for the full year 2025, cash rents on new and renewed leases grew by 25.4%, following a 36.5% increase in Q4 2024. The company anticipates that rental rates for new or renewed leases in 2026 will continue to be above current rates, indicating a sustained favorable pricing environment in its target markets.
2. Strategic Acquisitions of Industrial Properties: The company actively pursues strategic acquisitions to expand its portfolio and enhance revenue-generating capacity. In 2025, Terreno Realty acquired 12 industrial properties and one portfolio for approximately $683.5 million. In Q4 2024, acquisitions amounted to $409.5 million, contributing to growth in 2025, with a total of $884 million acquired in 2024. This ongoing acquisition strategy, focused on properties that offer attractive returns and align with its urban infill focus, will continue to directly increase rental income.
3. Development and Redevelopment Projects: Terreno Realty is engaged in opportunistic development and redevelopment projects that will bring new supply to its high-demand markets. As of December 31, 2025, six properties were under development or redevelopment, projected to comprise nine buildings totaling approximately 1.2 million square feet upon completion. These projects are expected to stabilize and commence lease-up between 2026 and 2028. A significant project, Countyline Corporate Park Phase IV in Miami, is anticipated to deliver 2.2 million square feet of industrial space by 2027. The completion and leasing of these new assets will be a substantial driver of future revenue.
4. High Occupancy and Tenant Retention in Coastal Infill Markets: The company's strategy of focusing on functional industrial real estate in infill locations within major coastal U.S. markets contributes to consistently high occupancy rates and strong tenant retention. As of March 31, 2025, the operating portfolio's occupancy was 96.6%, an increase of 40 basis points year over year. The same-store portfolio maintained a 97.4% occupancy rate for the quarter. High occupancy minimizes revenue leakage and ensures a stable stream of rental income, further supported by early lease renewals that secure long-term cash flows.

Share Repurchases

• Terreno Realty Corporation's Board of Directors approved a share repurchase program authorizing the company to repurchase up to 3,000,000 shares of its outstanding common stock through December 31, 2026.
• The company did not repurchase any shares of common stock during the fourth quarter of 2024.
• Similarly, Terreno Realty Corporation did not repurchase any common stock in the second quarter of 2025.

Share Issuance

• In 2024, Terreno Realty Corporation issued 11,654,544 shares of common stock, including a public offering and at-the-market (ATM) program, generating aggregate gross proceeds of $747.2 million.
• Year-to-date through September 30, 2025, the company issued 3,506,371 shares of common stock through its ATM program, receiving gross proceeds of $237.4 million.
• From August 28, 2024, through February 13, 2026, under a prior ATM program, Terreno Realty Corporation issued 6,977,280 shares of common stock, receiving approximately $464.4 million in gross proceeds.

Inbound Investments

• No information is available regarding large investments made in Terreno Realty by third-parties (e.g., a strategic partner or private equity firm) over the last 3-5 years.

Outbound Investments

• No information is available regarding instances where Terreno Realty made a strategic investment in another company over the last 3-5 years.

Capital Expenditures

• In 2025, Terreno Realty Corporation acquired 12 industrial properties and one portfolio for approximately $683.5 million, funded through existing cash, dispositions, and debt.
• During 2025, the company commenced development of two properties with a total expected investment of $109.6 million and completed the development and stabilization of three properties with a total expected investment of $117.0 million.
• As of December 31, 2025, Terreno Realty had six properties under development or redevelopment, which are expected to consist of nine buildings totaling approximately 1.2 million square feet upon completion.