Rexford Industrial Realty (NYSE: REXR) agreed to sell a 49.9 million square-foot industrial portfolio in Southern California to an affiliate of EQT Real Estate for approximately $1.2 billion, the company said on Tuesday.
The portfolio comprises 409 properties, with the transaction representing a key step in Rexford’s previously announced $2 billion disposition initiative targeting non-core assets. Year-to-date, the company has completed or contracted dispositions totaling about $1.5 billion, aligning with its full-year guidance range of $1.5 billion to $2 billion.
Proceeds from the sale will be directed toward capital allocation priorities, including repayment of debt maturing in 2027 and opportunistic repurchases of common stock under a $1 billion share buyback program. The company also plans to reinvest in internal repositioning and development projects.
The transaction is expected to close by the end of the third quarter of 2026, subject to customary closing conditions. As of June 30, 2026, the portfolio’s estimated 2027 cash net operating income yield is 5.5%, reflecting anticipated reductions in above-market in-place rents and expected moveouts.
Rexford Industrial CEO Laura Clark stated the deal underscores the company’s disciplined approach to capital allocation amid its portfolio realignment strategy.
