Industrial Logistics Properties generates strong free cash flow (41% margin) and trades at a P/OCF of 6.8x with 34.6% upside to its $9.49 analyst target, but leverage is very high (debt-to-equity 5.0), earnings are inconsistent and it relies on an external manager.
Thesis pillars
- Strong Free Cash Flow Yield→Stable
- Upside To Analyst Target→Stable
- High Leverage And External Manager↑Improving
- +2 more pillars — see the Why tab for full reasoning
Pillars as of Oct 24, 2026, based on the 10-K filed Feb 18, 2026
Industrial Logistics Properties (ILPT) Stock Analysis
Sector Rotation edge
Real Estate · REIT - Industrial
Sell if holding. Multiple concerning factors at $7.34: Concentration risk — Counterparty: RMR (external manager); Sector modifier (Real Estate): -1.2.
Industrial Logistics Properties Trust is a Maryland REIT that owns and leases 409 industrial and logistics properties totaling 59.6 million square feet across 39 states, 94.5% occupied as of December 31, 2025. FedEx Corporation is its largest tenant at 27.9% of annualized rental... Read more
Sell if holding. Multiple concerning factors at $7.34: Concentration risk — Counterparty: RMR (external manager); Sector modifier (Real Estate): -1.2. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.5/10, high confidence.
Passes 6/7 gates (positive momentum, favorable risk/reward ratio, clean insider activity, earnings proximity 111d clear, semi cycle peak clear, materials cycle peak clear). Suitability: aggressive.
About Industrial Logistics Properties
About Industrial Logistics Properties
Industrial Logistics Properties Trust owned 409 industrial and logistics properties spanning 59.6 million rentable square feet across 39 states as of December 31, 2025, with the portfolio 94.5% occupied. FedEx Corporation alone accounts for 27.9% of annualized rental revenue across 78 properties in 33 states, while Amazon.com Services adds another 7.3%, and Hawaii properties — concentrated on Oahu — contribute 27.8% of rental revenue despite representing a small fraction of the company's 39-state footprint.
ILPT's Mainland Properties leases generally require tenants to pay fixed rent plus reimburse most operating costs, with rent resets or fixed escalators embedded in many agreements; the portfolio carries a 7.6-year weighted-average remaining lease term. Hawaii Properties leases are distinctive within the REIT sector, with rents on many parcels periodically reset to fair market value or a percentage of land value through negotiation or appraisal, a mechanism that has produced significant rent increases given limited industrial land supply on Oahu. ILPT holds a 61% interest in its Mountain JV consolidated joint venture and a 22% stake in an unconsolidated joint venture, and on May 8, 2026, Mountain JV refinanced $1.6 billion of floating- and fixed-rate mortgage debt into a new $1.62 billion loan secured by 90 properties at a fixed 5.71% rate maturing in 2031, replacing debt that carried floating-rate exposure. The company is externally managed by RMR, which employs nearly 900 people and provides all operational, investment, and administrative services since ILPT itself has no employees.
Show full overview
ILPT's own risk-factor summary names its tenant and property-type concentration as a principal risk, and the numbers back it up: FedEx alone generates more annualized rental revenue (27.9%) than the company's entire Hawaii portfolio (27.8%), meaning a single corporate credit event at FedEx would outweigh any conceivable disruption across an entire state. The top 10 tenants combined supply 47.0% of annualized rental revenue from just 43.4% of leased square feet, indicating those relationships carry above-average rents per square foot. ILPT explicitly acknowledges it has no policy limiting concentration in any one property, tenant, or location, stating only that it believes portfolio diversification is prudent — a preference, not a constraint.
See also: Real Estate · REIT - Industrial
From Industrial Logistics Properties's most recent 10-K filing, extracted July 6, 2026.
Recent developments
updated 2026-10-29Recent Developments — Industrial Logistics Properties
Latest news
- NEWS Industrial Logistics Properties Trust (ILPT) Q2 FFO and Revenues Miss Estimates - Yahoo Finance Australia — Yahoo Finance Australia negative
- NEWS Industrial Logistics Properties earnings missed by $0.01, revenue fell short of estimates - Investing.com UK — Investing.com UK negative
- NEWS Industrial Logistics Properties earnings missed by $0.01, revenue fell short of estimates - Investing.com — Investing.com negative
- NEWS Earnings To Watch: Industrial Logistics Properties Trust (ILPT) Q2 2026 -- GF Value Sees 52% Downside - GuruFocus — GuruFocus negative
- NEWS Industrial Logistics Properties Trust : Third Quarter 2026 Financial Results - www.marketscreener.com — www.marketscreener.com neutral
Generated 2026-10-29T11:14:33Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMTenantFedEx Corporation28%10-K Item 1: 'FedEx Corporation| | Various (33 States)| | 78| | 12,781 | | | 22.7| %| | 27.9| %'
- LOWTenantAmazon.com Services, Inc.7.3%10-K Item 1: 'Amazon.com Services, Inc.| | Various (7 States)| | 9| | 4,555 | | | 8.1| %| | 7.3| %'
- MEDIUMGeographicHawaii28%10-K Item 1: 'our properties located primarily on the island of Oahu, Hawaii, or our Hawaii Properties, represented 27.8% of our annualized rental revenues'
- HIGHcounterpartyRMR (external manager)10-K Item 1: 'Our day to day operations are conducted by RMR.'
Material Events(8-K, last 90d)
- 2026-06-10Item 5.02LOWOn June 9, 2026, ILPT's Board expanded from seven to eight trustees, electing Elena B. Poptodorova as an Independent Trustee to fill the new seat, serving on the Audit, Compensation, and Nominating and Governance Committees. Routine board expansion, not a departure.SEC filing →
- 2026-05-08Item 1.01LOWMountain JV (ILPT's consolidated joint venture) entered a $1.62 billion mortgage loan secured by 90 properties at a fixed 5.71% rate maturing May 2031, guaranteed in part by ILPT, using proceeds to repay $1.4 billion of floating-rate debt and $0.2 billion of amortizing fixed-rate debt.SEC filing →
- 2026-05-08Item 1.02MEDIUMIn connection with the refinancing, Mountain JV terminated the agreement governing its prior $1.4 billion floating-rate mortgage loan in accordance with its terms and without penalty. Routine refinancing-driven termination, not a dispute or default.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
3 floor-breakers
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Price Targets
Position Sizing
Analyst Consensus
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Multiple concerning factors at $7.34: Concentration risk — Counterparty: RMR (external manager); Sector modifier (Real Estate): -1.2. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $6.86. Score 5.5/10, high confidence.
Analyst target: $9.49 (+29.3% upside). Prior stop was $6.86. Stop-loss: $6.86.
Concentration risk — Counterparty: RMR (external manager); Sector modifier (Real Estate): -1.2; Leverage penalty (D/E 5.0): -1.5.
Industrial Logistics Properties trades at a P/E of N/A (forward -8.3). TrendMatrix value score: 8.2/10. Verdict: Sell.
10 analysts cover ILPT with a consensus score of 4.0/5. Average price target: $11.
What does Industrial Logistics Properties do?Industrial Logistics Properties Trust is a Maryland REIT that owns and leases 409 industrial and logistics properties...
Industrial Logistics Properties Trust is a Maryland REIT that owns and leases 409 industrial and logistics properties totaling 59.6 million square feet across 39 states, 94.5% occupied as of December 31, 2025. FedEx Corporation is its largest tenant at 27.9% of annualized rental revenue, and Hawaii properties contribute 27.8% of rental revenue. The externally managed REIT has no employees, relying on manager RMR Group for operations.