Plymouth Industrial REIT, Inc. (PLYM): BCG Matrix [Dec-2025 Updated]

You're looking at Plymouth Industrial REIT, Inc. (PLYM) right before that massive $2.1 billion Makarora/Ares deal closes, and the portfolio breakdown tells a clear story of where the value is now. We've mapped the assets using the BCG Matrix, showing you the high-growth Stars, like the Ohio portfolio with 22% below-market rents, alongside the steady Cash Cows delivering 6.7% Same-Store NOI growth. Still, you need to see the Question Marks, especially the reliance on short lease terms and that big acquisition funding, to truly map the near-term risk versus reward. Dive in to see exactly which parts of the Plymouth Industrial REIT, Inc. business are set to fuel future growth and which ones might need a strategic exit.

Background of Plymouth Industrial REIT, Inc. (PLYM)

You're looking at Plymouth Industrial REIT, Inc. (PLYM), which is a real estate investment trust that focuses on owning and managing single and multi-tenant industrial properties across the United States. Honestly, the company's whole mission is to give tenants cost-effective space that is functional, flexible, and safe. Plymouth Industrial REIT, Inc. (PLYM) is externally managed by Plymouth Real Estate Advisors, and its strategy centers on acquiring assets in secondary and select primary markets. This includes key areas like the Dallas-Fort Worth metroplex, the Southeast, the Midwest, and Southern California's Inland Empire.

As of mid-2025, the portfolio was quite substantial. Specifically, as of June 30, 2025, Plymouth Industrial REIT, Inc. (PLYM) wholly owned 148 industrial properties spread across 11 states, totaling about 32.1 million rentable square feet. The operational health looked solid on the occupancy front, with total portfolio occupancy reported at 94.6% at that same date.

Looking at the latest reported financials for the third quarter ended September 30, 2025, the company posted revenue of $51.06 million, though this was slightly down from the prior year. On the bottom line for Q3 2025, Plymouth Industrial REIT, Inc. (PLYM) reported a net loss of $54.36 million, translating to a basic loss per share from continuing operations of $1.23. Still, for REIT analysis, we often look at Funds From Operations (FFO); for that same quarter, FFO was $21.1 million, or 48 cents per share.

The company remained active on the growth front through the middle of the year. During the second quarter of 2025, Plymouth Industrial REIT, Inc. (PLYM) closed on the acquisition of 22 industrial buildings, adding 2,051,473 square feet for a total investment of $204.7 million, achieving an expected initial NOI yield of 6.7%. Plus, leasing momentum was strong, with 5.9 million square feet of leases executed for 2025, driving a 13.6% increase in rental rates on those new leases.

Plymouth Industrial REIT, Inc. (PLYM) - BCG Matrix: Stars

You're looking at the assets Plymouth Industrial REIT, Inc. (PLYM) is pouring resources into right now-the ones with high market share in growing industrial sectors, which we classify as Stars. These are the leaders that demand capital to maintain their lead, but they are positioned to become the Cash Cows of tomorrow if they keep winning.

The recent strategic capital deployment is clearly focused here. Consider the Ohio industrial portfolio: Plymouth closed on the acquisition of this 21-building portfolio totaling 1.95-million-square-feet in the second quarter of 2025 for a total purchase price of $193.0 million. The economics on this move are compelling because the in-place rents are approximately 22% below market rates. That gap represents significant, near-term upside potential as leases roll over.

This focus on high-growth markets is evident in the leasing success, too. The momentum from these high-demand areas is translating directly into better pricing power. Here's the quick math on the leasing front for 2025 commencements:

The assets driving this Star performance are strategically located. They are not just industrial buildings; they are functional assets in key logistics hubs, which helps drive strong positive occupancy impact. The Ohio deal specifically targets markets like Columbus and Cincinnati, which are critical for industrial and logistics operations in the Midwest.

The overall strategy is clear: invest in growth where the market is strong and the entry price is right. This is reflected in the deployment of capital into accretive opportunities, such as the Q2 2025 acquisitions which carried an average expected initial NOI yield of 6.7%.

You can see the components that define these Star assets:

• Ohio portfolio size: 1.95 million square feet.
• In-place rent discount: Approximately 22% below market.
• Leasing upside: Expected cash rent spread of 13.0% on 5.8 million square feet of 2025 commencements.
• Strategic yield target: Initial NOI yield of 6.7% on the Ohio portfolio.
• Occupancy on new assets: The Q2 2025 acquisitions were 97.1% leased.

The goal here is to sustain this success until the high-growth market naturally slows, at which point these assets should transition into reliable Cash Cows for Plymouth Industrial REIT, Inc. Finance: draft the pro-forma cash flow impact of the Ohio portfolio rent steps by Monday.

Plymouth Industrial REIT, Inc. (PLYM) - BCG Matrix: Cash Cows

Cash Cows in the Plymouth Industrial REIT, Inc. portfolio represent the established, high-market-share assets generating significant, reliable cash flow to fund other strategic areas of the business. These are the mature segments where competitive advantage translates directly into strong margins and predictable returns, meaning you don't need to spend heavily on promotion.

The focus here is on maintaining operational excellence and optimizing infrastructure to maximize the cash yield from these core holdings. Plymouth Industrial REIT, Inc.'s vertically integrated platform remains a key driver of performance, supporting consistent execution and long-term value creation for its shareholders. This internal capability is what helps keep the cash flowing without excessive external cost.

Core Portfolio Occupancy and Stability

You see the stability in the occupancy metrics as of June 30, 2025. The total portfolio occupancy stood at a firm 94.6%. Within the same store pool, which comprised 168 buildings totaling approximately 26.1 million square feet, occupancy was even higher at 95.0%. As of that date, Plymouth Industrial REIT, Inc. wholly owned 148 industrial properties across 11 states, aggregating about 32.1 million rentable square feet.

Same-Store NOI Growth

The underlying asset performance shows a reliable increase in net operating income. Same-Store NOI (SS NOI) growth for the second quarter of 2025 demonstrated a 6.7% increase on a GAAP basis, specifically when excluding any early termination income. On a cash basis for the same period, excluding early termination income, SS NOI grew by 4.1%. This growth is supported by rent escalations and strong leasing spreads, which is exactly what you want from a cash cow segment.

Leasing Momentum and Rent Spreads

The ability to capture higher rents upon turnover is a major cash flow enhancer. For the total executed leases commencing during 2025, which addressed 67.5% of 2025 expirations, the blended cash rent spread was 13.0% on 5,811,172 square feet. The renewal component of this activity is where the high-market-share stability really shows up. You achieved a 14.7% cash rent increase on renewals, covering 4,095,835 square feet of the 2025 expirations. This is the 'milking' in action; you are getting premium pricing on existing, stable space.

Here's a quick look at the leasing spreads for the 2025 commencements:

Even the new leasing activity is strong, with Q2 commencing leases showing a 10.0% cash rent spread on 1,453,757 square feet.

Capital Deployment Supporting Efficiency

While Cash Cows require low growth investment, Plymouth Industrial REIT, Inc. is deploying capital into accretive acquisitions that fit the profile, which supports overall scale and efficiency. During Q2 2025, the company closed on $204.7 million of acquisitions, totaling 2.05 million square feet, at a weighted average expected initial NOI yield of 6.7%. These assets are already 97.1% leased, meaning they are expected to contribute to the cash cow segment quickly.

The key metrics supporting the Cash Cow designation are:

• Total Portfolio Occupancy as of June 30, 2025: 94.6%.
• GAAP SS NOI Growth for Q2 2025: 6.7%.
• Cash Renewal Rent Spreads for 2025 YTD: 14.7%.
• Total 2025 Leased Square Footage Addressed: 5,811,172 sq ft.
• Q2 2025 Acquisition Yield: 6.7% weighted average initial NOI.

Finance: draft 13-week cash view by Friday.

Plymouth Industrial REIT, Inc. (PLYM) - BCG Matrix: Dogs

Dogs, are units or products with a low market share and low growth rates. They frequently break even, neither earning nor consuming much cash. Dogs are generally considered cash traps because businesses have money tied up in them, even though they bring back almost nothing in return. These business units are prime candidates for divestiture.

Deconsolidated Chicago Portfolio: Plymouth Industrial REIT, Inc. completed the contribution of 34 properties located in and around the Chicago MSA into the Sixth Street Joint Venture on November 13, 2024, for a total purchase price of $356.6 million. This action led to the deconsolidation of the Chicago Portfolio. The impact on consolidated financials was evident, with Q4 2024 consolidated total revenues falling to $47.6 million, down from $50.8 million in Q4 2023. Core Funds from Operations (Core FFO) for Q4 2024 was $21.1 million, compared to $21.6 million in Q4 2023, partially due to this deconsolidation.

Specific market roll-over: The Memphis market presented a clear operational headwind in the second quarter of 2025. Sequential total occupancy gains were offset by a Net 130-basis-point negative impact resulting from known leasing roll-over in Memphis. This specific market event created a near-term leasing workload in that area.

Older, non-core assets: The strategy of minimizing exposure to assets requiring significant capital expenditure or those designated as non-core is evidenced by specific transactions. Plymouth Industrial REIT, Inc. actively recycled capital from assets identified for disposition, such as a property in Memphis, TN, which was part of a portfolio acquired in July 2024 for $100.5 million and was targeted for divestiture.

The conversion of a 100,000-square-foot call center building back to its original warehouse format to accommodate multiple industrial users represents a capital deployment decision away from a specialized, potentially lower-growth use case.

The portfolio composition as of June 30, 2025, included 148 industrial properties totaling approximately 32.1 million rentable square feet. The same store portfolio, which represents a significant portion of the total, comprised 168 buildings totaling 26.1 million square feet as of Q2 2025.

• Chicago JV contribution value: $356.6 million.
• Memphis roll-over occupancy impact: -130 bps in Q2 2025.
• Q1 2025 disposition proceeds: $2.4 million.
• Total portfolio square footage (as of 6/30/2025): 32.1 million SF.

The company affirmed 2025 Core FFO guidance between $1.85 and $1.89 per weighted average common share and units.

Plymouth Industrial REIT, Inc. (PLYM) - BCG Matrix: Question Marks

Assets with short lease terms: Acquired properties in Q2 2025 feature a weighted average remaining lease term of 2.6 years.

Aggressive acquisition funding: The funding for the $204.7 million in Q2 2025 acquisitions relied on the existing unsecured line of credit. As of July 8, 2025, the capacity on this line of credit was approximately $285.8 million.

You are looking at the deployment of capital into assets that require immediate re-leasing attention, which is a cash-intensive activity for a Question Mark business unit.

New market entry: Opportunistic acquisitions in growing markets represent a push for market share. The acquisition of a single industrial building in Atlanta, Georgia, in Q2 2025 was for $11.7 million. This specific asset represented 100,420 square feet and carried an expected initial NOI yield of 7.0%.

Future capital structure: The ultimate outcome of the current strategy is the pending take-private transaction, which is a high-stakes move to solidify the company's structure.

• Total transaction value, including assumed debt: approximately $2.1 billion.
• Cash consideration per share: $22.00.
• Premium to unaffected closing stock price (August 18, 2025): approximately 50%.
• Go-shop period expiration date: November 23, 2025.
• Expected closing timeframe: early 2026.

Finance: draft 13-week cash view by Friday.