2022 Annual Report
Click here to go directly to the 2022 Annual Report or continue reading for a preview.
Despite the turbulence in the market last year, Fort prospered by remaining focused on our mission to become the best real estate operator in the world. We have found the more we stay focused and promote a culture of operational excellence, the better we get. As our operations improve, so does everything in our business—our team, our relationships with investors, banks, tenants, our ability to underwrite, our ability to control and reduce costs, and more. Becoming the best will take a while, but that’s okay because we are focused on the long game.
We have built a business that will only get better if we continue to think long-term. We have built a solid foundation that has been delicately crafted over the past seven years. As we surpass $1 billion in assets under management and have a total lifetime transaction volume over $2 billion with a team of nearly 50 people, staying focused on being the best operator, despite what’s going on outside of our walls, will continue to lead us to success.
As for our investment strategy, we remain strongly convicted in Class B industrial. Within this asset class, there is no new supply. In fact, we estimate that in Texas it’s depleting due to properties being redeveloped for higher and better-use projects (i.e., most urban revitalizations are taking place in old industrial parks). In addition to no new supply, we continue to see tenant demand grow. The tenants that occupy our buildings often serve a market that is within one to five miles of our buildings. When we underwrite the competition, we can get very specific as to where tenant options truly are—in a market with vacancy headed to zero, it further limits movability. Supply is low, demand is growing, and options are limited.
Our incredible team of accountable, resilient, driven, and agile leaders have worked together to compile this summary of our year. Reflecting on all that our team achieved in 2022, we are even more excited about what we will accomplish in 2023. We have built an extraordinary group at Fort who continue to drive forward our company at the highest level.