Net income surged 44% year-over-year to $69.4 million.
New lease rents increased by 22.4%, significantly outpacing operating expense growth.
Issued over 2 million shares via ATM program to fund acquisitions and development.
Amended credit facility to add a $200 million term loan maturing in 2031.
The Q1 2026 filing reveals a company at a strategic crossroads, balancing aggressive growth and pricing power against a backdrop of rising debt costs. While the 13.4% increase in FFO per share and strong same-store NOI growth signal a healthy core business, the increasing reliance on ATM equity issuances to fund the development pipeline suggests a persistent need for external capital to sustain momentum. Ultimately, Terreno's success depends on its ability to convert its development pipeline into stabilized cash flow without further eroding its balance sheet. Investors must weigh the impressive 22.4% rent bumps against the reality of a higher floating-rate debt load and the potential for volatility as a significant portion of the lease portfolio expires throughout the remainder of the year.