Benjamin S. Butcher, CEO, President and Chairman of STAG Industrial, Inc. (STAG), Interviews with The Wall Street Transcript

Wall Street Transcript

67 WALL STREET, New York - June 18, 2013 - The Wall Street Transcript has just published its REITs Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs and Equity Analysts. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.

Topics covered: Acquisition and Financing Costs - Pricing Power Outlook - Residential and Commercial REITs - Inexpensive Access to Capital - Apartment, Lodging, Self-Storage and Office REITs

Companies include: STAG Industrial, Inc. (STAG) and many more.

In the following excerpt from the REITs Report, the CEO, President and Chairman of STAG Industrial, Inc. (STAG) discusses company strategy and the outlook for this vital industry:

TWST: Have you given a formal guidance/outlook?

Mr. Butcher: We gave guidance on acquisitions last year; we expected to grow 25%, and that's our long-term guidance for acquisition pace, that the company will grow its assets about 25% a year. But since we grew about 70% last year, some people look at us and ask, how much guidance was that? We put out guidance in two areas. Expected acquisition volume, again 25% this year; we started with about $1 billion of assets, so that will be about $250 million for the year.

Frankly, we'll likely be north of $200 million by the end of June, so we feel very confident about being able to meet that guidance. The other piece of guidance we put out is expected G&A load; we gave out a number of $18 million, and we feel pretty confident that that number is still good.

TWST: Is there anything else you'd like investors to know about STAG Industrial?

Mr. Butcher: A catchphrase that we talk about with investors is, we offer an unusual combination of income plus growth. We are north of a 5% covered dividend. If we didn't buy any other assets, we would be able to comfortably pay that dividend, we think, for a very long period of time. But what makes it interesting is not only do we provide what is a very strong dividend relative to the general REIT universe; we also offer the opportunity for growth.

We've done some of this back-of-the-envelope stuff for some of our equity offerings, but our marginal FFO per dollar of equity deployed is significantly above our average FFO, probably greater than 50% above our average FFO. It's our expectation, again on a back-of-the-envelope basis, that we will be growing 25% a year, so we will be able to...

For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.

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