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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-K


þ		ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
		For the fiscal year ended December 31, 2010
or
o		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
		For the transition period from to

Commission File Number 1-13102

FIRST INDUSTRIAL REALTY TRUST, INC.

(Exact name of Registrant as specified in its Charter)


Maryland		36-3935116
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)
311 S. Wacker Drive, Suite 3900, Chicago, Illinois (Address of principal executive offices)		60606 (Zip Code)

(312) 344-4300
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Common Stock

(Title of Class)

New York Stock Exchange
(Name of exchange on which registered)

Depositary Shares Each Representing 1/10,000 of a Share of 7.25% Series J Cumulative Preferred Stock
Depositary Shares Each Representing 1/10,000 of a Share of 7.25% Series K Cumulative Preferred Stock

(Title of class)

New York Stock Exchange

(Name of exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act:

None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes o No þ

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. Yes o No þ

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes o No o

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. þ

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):


Large accelerated filer o	Accelerated filer þ	Non-accelerated filer o	Smaller reporting company o

(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No þ

The aggregate market value of the voting and non-voting stock held by non-affiliates of the Registrant was approximately $306.3 million based on the closing price on the New York Stock Exchange for such stock on June 30, 2010.

At February 23, 2011, 68,788,017 shares of the Registrant’s Common Stock, $0.01 par value, were outstanding.

DOCUMENTS INCORPORATED BY REFERENCE

Part III incorporates certain information by reference to the Registrant’s definitive proxy statement expected to be filed with the Securities and Exchange Commission no later than 120 days after the end of the Registrant’s fiscal year.

This report contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934 (the “Exchange Act”). We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and are including this statement for purposes of complying with those safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” “seek,” “target,” “potential,” “focus,” “may,” “should” or similar expressions. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a materially adverse effect on our operations and future prospects include, but are not limited to: changes in national, international, regional and local economic conditions generally and real estate markets specifically; changes in legislation/regulation (including changes to laws governing the taxation of real estate investment trusts) and actions of regulatory authorities (including the Internal Revenue Service); our ability to qualify and maintain our status as a real estate investment trust; the availability and attractiveness of financing (including both public and private capital) to us and to our potential counterparties; the availability and attractiveness of terms of additional debt repurchases; interest rates; our credit agency ratings; our ability to comply with applicable financial covenants; competition; changes in supply and demand for industrial properties (including land, the supply and demand for which is inherently more volatile than other types of industrial property) in the Company’s current and proposed market areas; difficulties in consummating acquisitions and dispositions; risks related to our investments in properties through joint ventures; environmental liabilities; slippages in development or lease-up schedules; tenant creditworthiness; higher-than-expected costs; changes in asset valuations and related impairment charges; changes in general accounting principles, policies and guidelines applicable to real estate investment trusts; international business risks and those additional factors described in Item 1A, “Risk Factors” and in our other filings with the Securities and Exchange Commission (the “SEC”). We caution you not to place undue reliance on forward looking statements, which reflect our analysis only and speak only as of the date of this report or the dates indicated in the statements. We assume no obligation to update or supplement forward-looking statements. Unless the context otherwise requires, the terms “Company,” “we,” “us,” and “our” refer to First Industrial Realty Trust, Inc., First Industrial, L.P. and their controlled subsidiaries. We refer to our operating partnership, First Industrial, L.P., as the “Operating Partnership.” Effective September 1, 2009, our taxable real estate investment trust subsidiary, First Industrial Investment, Inc. (the “old TRS”) merged into First Industrial Investment II, LLC (“FI LLC”), which is wholly owned by the Operating Partnership. Immediately thereafter, certain assets and liabilities of FI LLC were contributed to a new subsidiary, FR Investment Properties, LLC (“FRIP”). FRIP is 1% owned by FI LLC and 99% owned by a new taxable real estate investment trust subsidiary, First Industrial Investment Properties, Inc. (the “new TRS,” which, collectively with the old TRS and certain wholly owned taxable real estate investment trust subsidiaries of FI LLC, will be referred to as the “TRSs”), which is wholly owned by FI LLC (see Note 10 to the Consolidated Financial Statements).

PART I

THE COMPANY


Item 1.	*Business*

General

First Industrial Realty Trust, Inc. is a Maryland corporation organized on August 10, 1993, and is a real estate investment trust (“REIT”) as defined in the Internal Revenue Code of 1986 (the “Code”). We are a self-administered and fully integrated real estate company which owns, manages, acquires, sells, develops, and redevelops industrial real estate. As of December 31, 2010, our in-service portfolio consisted of 365 light industrial properties, 129 R&D/flex properties, 173 bulk warehouse properties, 88 regional warehouse properties and 19 manufacturing properties containing approximately 68.6 million square feet of gross leasable area (“GLA”) located in 28 states in the United States and one province in Canada. Beginning January 1, 2009, our in-service portfolio includes all properties other than developed, redeveloped and acquired properties that have not yet reached stabilized occupancy (generally defined as properties that are 75% leased). Properties which are at least 75% occupied at acquisition are placed in-service. Acquired properties less than 75% occupied are placed in-service upon the earlier of reaching 90% occupancy or one year from the acquisition date. Development properties are placed in-service upon the earlier of reaching 90% occupancy or one year from the date construction is completed. Redevelopments (generally projects which require capital expenditures exceeding 25% of basis) are placed in-service upon the earlier of reaching 90% occupancy or one year from the completion of renovation construction.

Our interests in our properties and land parcels are held through partnerships, corporations, and limited liability companies controlled, directly or indirectly, by the Company, including the Operating Partnership, of which we are the sole general partner with an approximate 92.8% and 92.0% ownership interest at December 31, 2010 and December 31, 2009, respectively, and through the old TRS prior to September 1, 2009, and FI LLC, the new TRS and FRIP subsequent to September 1, 2009, all of whose operating data is consolidated with that of the Company as presented herein.

We also own noncontrolling equity interests in, and provide various services to, two joint ventures (the “2003 Net Lease Joint Venture” and the “2007 Europe Joint Venture”). During 2010, we provided various services to, and ultimately disposed of our equity interests in, five joint ventures (the “2005 Development/Repositioning Joint Venture,” the “2005 Core Joint Venture,” the “2006 Net Lease Co-Investment Program,” the “2006 Land/Development Joint Venture,” and the “2007 Canada Joint Venture;” together with the 2003 Net Lease Joint Venture and the 2007 Europe Joint Venture, the “Joint Ventures”). The Joint Ventures are accounted for under the equity method of accounting. Accordingly, the operating data of our Joint Ventures is not consolidated with that of the Company as presented herein. On May 25, 2010, we sold our interest in the 2006 Net Lease Co-Investment Program to our joint venture partner. On August 5, 2010, we sold our interests in the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner. The 2007 Europe Joint Venture does not own any properties. See Note 5 to the Consolidated Financial Statements for more information on the Joint Ventures.

We utilize an operating approach which combines the effectiveness of decentralized, locally-based property management, acquisition, sales and development functions with the cost efficiencies of centralized acquisition, sales and development support, capital markets expertise, asset management and fiscal control systems. At February 23, 2011, we had 183 employees.

We maintain a website at www.firstindustrial.com. Information on this website shall not constitute part of this Form 10-K. Copies of our annual report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to such reports are available without charge on our website as soon as reasonably practicable after such reports are filed with or furnished to the SEC. In addition, our Corporate Governance Guidelines, Code of Business Conduct and Ethics, Audit Committee Charter, Compensation Committee Charter, Nominating/Corporate Governance Committee Charter, along with supplemental financial

and operating information prepared by us, are all available without charge on our website or upon request to us. Amendments to, or waivers from, our Code of Business Conduct and Ethics that apply to our executive officers or directors will also be posted to our website. We also post or otherwise make available on our website from time to time other information that may be of interest to our investors. Please direct requests as follows:

First Industrial Realty Trust, Inc.

311 S. Wacker, Suite 3900

Chicago, IL 60606

Attention: Investor Relations

Business Objectives and Growth Plans

Our fundamental business objective is to maximize the total return to our stockholders through per share distributions and increases in the value of our properties and operations. Our long-term business growth plans include the following elements:


	•	Internal Growth. We seek to grow internally by (i) increasing revenues by renewing or re-leasing spaces subject to expiring leases at higher rental levels; (ii) increasing occupancy levels at properties where vacancies exist and maintaining occupancy elsewhere; (iii) controlling and minimizing property operating and general and administrative expenses; and (iv) renovating existing properties.

	•	External Growth. We seek to grow externally through (i) additional joint venture investments; (ii) the development of industrial properties; (iii) the acquisition of portfolios of industrial properties, industrial property businesses or individual properties which meet our investment parameters and target markets; and (iv) the expansion of our properties.

Our ability to pursue our long-term growth plans is affected by market conditions and our financial condition and operating capabilities.

Business Strategies

We utilize the following seven strategies in connection with the operation of our business:


	•	Organization Strategy. We implement our decentralized property operations strategy through the deployment of experienced regional management teams and local property managers. We provide acquisition, development and financing assistance, asset management oversight and financial reporting functions from our headquarters in Chicago, Illinois to support our regional operations. We believe the size of our portfolio enables us to realize operating efficiencies by spreading overhead among many properties and by negotiating purchasing discounts.

	•	Market Strategy. Our market strategy is to concentrate on the top industrial real estate markets in the United States and select industrial real estate markets in Canada. These markets have one or more of the following characteristics: (i) strong industrial real estate fundamentals, including improving industrial demand expectations; (ii) a history of industry diversity and outlook for economic growth; and (iii) sufficient size to provide opportunity for ample transaction volume.

	•	Leasing and Marketing Strategy. We have an operational management strategy designed to enhance tenant satisfaction and portfolio performance. We pursue an active leasing strategy, which includes broadly marketing available space, seeking to renew existing leases at higher rents per square foot and seeking leases which provide for the pass-through of property-related expenses to the tenant. We also have local and national marketing programs which focus on the business and real estate brokerage communities and national tenants.

	•	Acquisition/Development Strategy. Our acquisition/development strategy is to invest in properties and other assets with higher yield potential in the top industrial real estate markets in the United States and select industrial real estate markets in Canada.


	•	Financing Strategy. To finance acquisitions, developments and debt maturities, as market conditions permit, we utilize a portion of proceeds from property sales, proceeds from mortgage financings, line of credit borrowings under our unsecured credit facility, consisting of a $200.0 million term loan and a $200.0 million revolving line of credit (the “Unsecured Credit Facility”), and proceeds from the issuance, when and as warranted, of additional equity securities. We also continually evaluate joint venture arrangements as another source of capital. As of February 23, 2011, we had approximately $12.3 million available for additional borrowings under our Unsecured Credit Facility.

	•	Disposition Strategy. We continuously evaluate local market conditions and property-related factors in all of our markets for purposes of identifying assets suitable for disposition. In conjunction with the amendment of our Unsecured Credit Facility, management identified a pool of real estate assets (the “Non-Strategic Assets”) that it intends to market and sell. At December 31, 2010, the Non-Strategic Assets consisted of 193 industrial properties comprising approximately 16.1 million square feet of GLA and land parcels comprising approximately 695 gross acres, of which 192 industrial properties comprising 15.8 million square feet of GLA and all of the land parcels were classified as held for sale.

	•	Liquidity Strategy. We plan to enhance our liquidity through a combination of capital retention, mortgage and equity financings, asset sales and certain debt repayments:


	•	Capital Retention — We plan to retain capital by distributing the minimum amount of dividends required to maintain our REIT status. We did not pay a common stock dividend in 2010 and may not pay dividends in 2011 depending on our taxable income. If, to maintain our REIT status, we are required to pay common stock dividends with respect to 2011, we may elect to do so by distributing a combination of cash and common shares.

	•	Mortgage Financing — During the year ended December 31, 2010, we originated $105.6 million in mortgage financings with maturities ranging from February 2015 to October 2020 and interest rates ranging from 5.00% to 7.40% (see Note 6 to the Consolidated Financial Statements). We believe these mortgage financings comply with all covenants contained in our Unsecured Credit Facility and the indentures governing our senior unsecured notes, including coverage ratios and total indebtedness, total unsecured indebtedness and total secured indebtedness limitations. We continue to engage various lenders regarding the origination of additional mortgage financings and the terms and conditions thereof. To the extent additional mortgage financing is originated, we expect the proceeds received will be used to pay down our other debt. No assurances can be made that additional mortgage financing will be obtained.

	•	Equity Financing — During the year ended December 31, 2010, we issued 875,402 shares of the Company’s common stock, generating $6.0 million in net proceeds, under the direct stock purchase component of the Company’s Dividend Reinvestment and Direct Stock Purchase Plan (“DRIP”). Additionally, we issued 5,469,767 shares of the Company’s common stock, generating $43.9 million in net proceeds, under the Company’s “at-the-market” equity offering program (“ATM”) (see Note 7 to the Consolidated Financial Statements). On December 31, 2010, we concluded the ATM as a result of the expiration of the distribution agreements with our sales agents. We may opportunistically access the equity markets again, subject to contractual restrictions, including through a new ATM, and may continue to issue shares under the direct stock purchase component of the DRIP. To the extent additional equity offerings occur, we expect to use at least a portion of the proceeds received to reduce our indebtedness. No assurances can be made that additional equity offerings will occur on favorable terms or at all.

	•	Asset Sales — During the year ended December 31, 2010, we sold 13 industrial properties and several land parcels for gross proceeds of $71.0 million (see Note 4 to the Consolidated Financial Statements). We are in various stages of discussions with third parties for the sale of additional properties and plan to continue to selectively market other properties for sale throughout 2011. At December 31, 2010, Non-Strategic Assets consisted of 193 industrial properties comprising approximately 16.1 million square feet of GLA and land parcels comprising approximately 695 gross acres which are classified as held for sale (except one industrial property comprising approximately


		0.3 million square feet of GLA).We expect to use at least a portion of sales proceeds to reduce our indebtedness. If we are unable to sell properties on an advantageous basis, this may impair our liquidity and our ability to meet our financial covenants.


	•	Debt Reduction — During the year ended December 31, 2010, we paid off $264.8 million of our senior unsecured notes, we paid off and retired two secured mortgages maturing in September 2024 and December 2010 in the aggregate amount of $14.6 million and we made net repayments of $79.1 million on our Unsecured Credit Facility (see Note 6 to the Consolidated Financial Statements). We may from time to time repay additional amounts of our outstanding debt. Any repayments would depend upon prevailing market conditions, our liquidity requirements, contractual restrictions and other factors we consider important. Future repayments may materially impact our liquidity, future tax liability and results of operations.

Although we believe we will be successful in meeting our liquidity needs and maintaining compliance with other debt covenants through a combination of capital retention, mortgage and equity financings, asset sales and debt reduction, if we were to be unsuccessful in executing one or more of the strategies outlined above, our financial condition and operating results could be materially adversely affected.

Recent Developments

During 2010, we acquired three industrial properties for a total investment of approximately $22.4 million. We also sold 13 industrial properties and several parcels of land for an aggregate gross sales price of $71.0 million (see Note 4 to the Consolidated Financial Statements). At December 31, 2010, we owned 774 in-service industrial properties containing approximately 68.6 million square feet of GLA.

On May 25, 2010, we sold our interest in the 2006 Net Lease Co-Investment Program to our joint venture partner and on August 5, 2010, we sold our interest in the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner (see Note 5 to the Consolidated Financial Statements).

During 2010, we repurchased and retired $264.8 million of our senior unsecured notes and recognized a loss on early debt retirement of $4.1 million (see Note 6 to the Consolidated Financial Statements).

During 2010, we obtained $105.6 million in mortgage financings at a weighted average interest rate of 6.22%, with maturities ranging between February 2015 and October 2020. Also, we paid off and retired $14.6 million in mortgage loans payable (see Note 6 to the Consolidated Financial Statements).

Effective October 22, 2010, we amended our Unsecured Credit Facility to provide for a $200.0 million term loan and a $200.0 million revolving line of credit. The Unsecured Credit Facility matures on September 28, 2012. On October 22, 2010, we repaid $99.1 million in connection with the decrease in the Unsecured Credit Facility’s capacity to $400.0 million from $500.0 million as part of the amendment. For the term borrowing, the Unsecured Credit Facility requires interest only payments through March 29, 2012 at LIBOR plus 325 basis points or at a base rate plus 225 basis points, at our election. The term borrowing requires quarterly principal pay-downs of $10.0 million beginning March 30, 2012 until maturity on September 28, 2012. For the revolving borrowings, the Unsecured Credit Facility provides for interest only payments at LIBOR plus 275 basis points or at a base rate plus 175 basis points, at our election. Additionally, certain financial covenants were changed in connection with the amendment, including the fixed charge coverage ratio, which decreased to 1.2 times from 1.5 times. Also, the calculation of Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”), as defined in the Unsecured Credit Facility and used in the fixed charge coverage ratio, no longer includes economic gains or losses from property sales.

The following shows the material changes to the financial covenants:


		Amended	Amended
		Agreement	Agreement
		Through	Beginning
	Previous	September 30,	October 1,
	Agreement	2011	2011

Fixed Charge Coverage Ratio	³1.50	³1.20	³1.20
Consolidated Leverage Ratio	£60.0%	£65.0%	£60.0%
Ratio of Value of Unencumbered Assets to Outstanding Consolidated Senior Unsecured Debt	³1.60	³1.30	³1.60
Value of Unencumbered Assets	n/a	³$1.3 billion	³$1.3 billion
Property Operating Income Ratio on Unencumbered Assets	n/a	³1.30	³1.45
Indebtedness Subject to Encumbrance	n/a	£40.0%	£40.0%
Total Unencumbered Assets to Unsecured Indebtedness	n/a	³150.0%	³150.0%

Commencing October 1, 2011, certain covenants, including the consolidated leverage ratio, the ratio of value of unencumbered assets to outstanding consolidated senior unsecured debt and the property operating income ratio on unencumbered assets become more restrictive. The Company has various liquidity strategies, such as selling additional industrial properties or land parcels and issuing additional equity, that it may employ in order to ensure compliance with the covenants. However, no assurances can be made that the sales of assets and additional equity issuances will occur on favorable terms or at all.

In conjunction with the amendment of our Unsecured Credit Facility, during the third quarter of 2010 management reassessed the holding period of the Non-Strategic Assets, which, at September 30, 2010, consisted of 195 industrial properties comprising approximately 16.4 million square of GLA and land parcels comprising approximately 724 gross acres. As a result of this reassessment, we determined that 129 of the industrial properties comprising approximately 10.6 million square feet of GLA and land parcels comprising approximately 503 gross acres were impaired, and as such, we recorded an aggregate non-cash impairment charge of approximately $163.9 million during the third quarter.

At December 31, 2010, the Non-Strategic Assets consisted of 193 industrial properties comprising approximately 16.1 million square of GLA and land parcels comprising approximately 695 gross acres. The Non-Strategic Assets (except one industrial property comprising 0.3 million square feet of GLA) were classified as held for sale as of December 31, 2010. During the three months ended December 31, 2010, we recorded an additional non-cash impairment charge of $21.5 million relating to the Non-Strategic Assets. The additional charge is primarily comprised of estimated closing costs for 118 of the 192 industrial properties comprising approximately 10.4 million square feet of GLA and land parcels comprising approximately 449 gross acres classified as held for sale, as well as additional impairment related to certain industrial properties and land parcels within the Non-Strategic Assets due to a change in our estimates of fair value based upon recent market information, including receipt of third party purchase offers.

Additionally, during the first quarter of 2010 we recorded an impairment charge in the amount of $9.2 million related to a property comprised of 0.3 million square feet of GLA located in Grand Rapids, Michigan in connection with the negotiation of a new lease. See Note 4 to the Consolidated Financial Statements for more information on impairment.

During the year ended December 31, 2010, we issued 875,402 shares of the Company’s common stock, generating approximately $6.0 million in net proceeds, under the direct stock purchase component of the DRIP. Additionally, we issued 5,469,767 shares of the Company’s common stock, generating $43.9 million in net proceeds, under the ATM (see Note 7 to the Consolidated Financial Statements).

We committed to a plan to reduce organizational and overhead costs in October 2008 and have subsequently modified that plan with the goal of further reducing these costs. On June 21, 2010, we committed to additional modifications to the plan consisting of further organizational and overhead cost reductions. For the year ended December 31, 2010, we recorded as restructuring costs a pre-tax charge of $1.9 million to provide for employee severance and benefits ($0.5 million), costs associated with the termination of certain

office leases ($0.7 million) and other costs ($0.7 million) associated with implementing the restructuring plan (see Note 11 to the Consolidated Financial Statements).

Future Property Acquisitions, Developments and Property Sales

We have acquisition and development programs through which we seek to identify portfolio and individual industrial property acquisitions and developments.

We also sell properties based on market conditions and property-related factors. As a result, we are currently engaged in negotiations relating to the possible sale of certain industrial properties in our portfolio.

When evaluating potential industrial property acquisitions and developments, as well as potential industrial property sales, we will consider such factors as: (i) the geographic area and type of property; (ii) the location, construction quality, condition and design of the property; (iii) the potential for capital appreciation of the property; (iv) the ability of the Company to improve the property’s performance through renovation; (v) the terms of tenant leases, including the potential for rent increases; (vi) the potential for economic growth and the tax and regulatory environment of the area in which the property is located; (vii) the potential for expansion of the physical layout of the property and/or the number of sites; (viii) the occupancy and demand by tenants for properties of a similar type in the vicinity; and (ix) competition from existing properties and the potential for the construction of new properties in the area.

INDUSTRY

Industrial properties are typically used for the design, assembly, packaging, storage and distribution of goods and/or the provision of services. As a result, the demand for industrial space in the United States is related to the level of economic output. Historically, occupancy rates for industrial property in the United States have been higher than office property. We believe that the higher occupancy rate in the industrial property sector is a result of the construction-on-demand nature of, and the comparatively short development time required for, industrial property. For the five years ended December 31, 2010, the national occupancy rate for industrial properties in the United States has ranged from 85.4%*to 90.3%*, with an occupancy rate of 85.7%* at December 31, 2010.

* Source: CBRE Econometric Advisors


Item 1A.	*Risk Factors*

Risk Factors

Our operations involve various risks that could adversely affect our financial condition, results of operations, cash flow, ability to pay distributions on our common stock and the market price of our common stock. These risks, among others contained in our other filings with the SEC, include:

Disruptions in the financial markets could affect our ability to obtain financing and may negatively impact our liquidity, financial condition and operating results.

The capital and credit markets in the United States and other countries have experienced significant price volatility, dislocations and liquidity disruptions, which have caused market prices of many securities and the spreads on prospective debt financings to fluctuate substantially. These circumstances have materially impacted liquidity in the financial markets, making terms for certain financings less attractive, and in some cases have resulted in the unavailability of financing. A majority of our existing indebtedness was sold through capital markets transactions. We anticipate that the capital markets could be a source of refinancing of our existing indebtedness in the future, including our 4.625% Exchangeable Notes due on September 15, 2011 in the aggregate amount of $128.9 million as of December 31, 2010. This source of refinancing may not be available if capital market volatility and disruption continues, which could have a material adverse effect on our liquidity. Furthermore, we could potentially lose access to our current available liquidity under our Unsecured Credit Facility if one or more participating lenders default on their commitments. While the ultimate outcome of these market conditions cannot be predicted, they may have a material adverse effect on our liquidity and financial condition if our ability to borrow money under our Unsecured Credit Facility or to issue additional debt or equity securities to finance future acquisitions, developments and redevelopments and Joint Venture activities were to be impaired.

In addition, capital and credit market price volatility could make the valuation of our properties more difficult. There may be significant uncertainty in the valuation, or in the stability of the value, of our properties that could result in a substantial decrease in the value of our properties. As a result, we may not be able to recover the carrying amount of our properties, which may require us to recognize an impairment loss in earnings.

Real estate investments’ value fluctuates depending on conditions in the general economy and the real estate business. These conditions may limit the Company’s revenues and available cash.

The factors that affect the value of our real estate and the revenues we derive from our properties include, among other things:


	•	general economic conditions;

	•	local, regional, national and international economic conditions and other events and occurrences that affect the markets in which we own properties;

	•	local conditions such as oversupply or a reduction in demand in an area;

	•	the attractiveness of the properties to tenants;

	•	tenant defaults;

	•	zoning or other regulatory restrictions;

	•	competition from other available real estate;

	•	our ability to provide adequate maintenance and insurance; and

	•	increased operating costs, including insurance premiums and real estate taxes.

These factors may be amplified in light of the disruption of the global credit markets. Our investments in real estate assets are concentrated in the industrial sector, and the demand for industrial space in the United

States is related to the level of economic output. Accordingly, reduced economic output may lead to lower occupancy rates for our properties. In addition, if any of our tenants experiences a downturn in its business that weakens its financial condition, delays lease commencement, fails to make rental payments when due, becomes insolvent or declares bankruptcy, the result could be a termination of the tenant’s lease, which could adversely affect our cash flow from operations.

Many real estate costs are fixed, even if income from properties decreases.

Our financial results depend on leasing space to tenants on terms favorable to us. Our income and funds available for distribution to our stockholders will decrease if a significant number of our tenants cannot pay their rent or we are unable to lease properties on favorable terms. In addition, if a tenant does not pay its rent, we may not be able to enforce our rights as landlord without delays and we may incur substantial legal costs. Costs associated with real estate investment, such as real estate taxes and maintenance costs, generally are not reduced when circumstances cause a reduction in income from the investment.

The Company may be unable to sell properties when appropriate because real estate investments are not as liquid as certain other types of assets.

Real estate investments generally cannot be sold quickly and, therefore, will tend to limit our ability to adjust our property portfolio promptly in response to changes in economic or other conditions. The inability to respond promptly to changes in the performance of our property portfolio could adversely affect our financial condition and ability to service debt and make distributions to our stockholders. In addition, like other companies qualifying as REITs under the Code, we must comply with the safe harbor rules relating to the number of properties disposed of in a year, their tax basis and the cost of improvements made to the properties, or meet other tests which enable a REIT to avoid punitive taxation on the sale of assets. Thus, our ability at any time to sell assets may be restricted.

The Company may be unable to sell properties on advantageous terms.

We have sold to third parties a significant number of properties in recent years and, as part of our business, we intend to continue to sell properties to third parties. Our ability to sell properties on advantageous terms depends on factors beyond our control, including competition from other sellers and the availability of attractive financing for potential buyers of our properties. If we are unable to sell properties on favorable terms or redeploy the proceeds of property sales in accordance with our business strategy, then our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock could be adversely affected.

The Company may be unable to complete development and re-development projects on advantageous terms.

As part of our business, we develop new and re-develop existing properties when and as conditions warrant. In addition, we have sold to third parties or sold to our Joint Ventures a significant number of development and re-development properties in recent years, and we intend to continue to sell such properties to third parties or to sell or contribute such properties to our Joint Ventures as opportunities arise. The real estate development and re-development business involves significant risks that could adversely affect our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock, which include:


	•	we may not be able to obtain financing for development projects on favorable terms and complete construction on schedule or within budget, resulting in increased debt service expense and construction costs and delays in leasing the properties and generating cash flow;

	•	we may not be able to obtain, or may experience delays in obtaining, all necessary zoning, land-use, building, occupancy and other governmental permits and authorizations;


	•	the properties may perform below anticipated levels, producing cash flow below budgeted amounts and limiting our ability to sell such properties to third parties or to sell such properties to our Joint Ventures.

The Company may be unable to renew leases or find other lessees.

We are subject to the risks that, upon expiration, leases may not be renewed, the space subject to such leases may not be relet or the terms of renewal or reletting, including the cost of required renovations, may be less favorable than expiring lease terms. If we were unable to promptly renew a significant number of expiring leases or to promptly relet the space covered by such leases, or if the rental rates upon renewal or reletting were significantly lower than the current rates, our financial condition, results of operation, cash flow and ability to pay dividends on, and the market price of, our common stock could be adversely affected. As of December 31, 2010, leases with respect to approximately 9.0 million, 10.4 million and 9.0 million square feet of GLA, representing 16%, 18% and 16% of GLA, expire in 2011, 2012 and 2013, respectively.

The Company may be unable to acquire properties on advantageous terms or acquisitions may not perform as the Company expects.

We acquire and intend to continue to acquire primarily industrial properties. The acquisition of properties entails various risks, including the risks that our investments may not perform as expected and that our cost estimates for bringing an acquired property up to market standards may prove inaccurate. Further, we face significant competition for attractive investment opportunities from other well-capitalized real estate investors, including both publicly-traded REITs and private investors. This competition increases as investments in real estate become attractive relative to other forms of investment. As a result of competition, we may be unable to acquire additional properties as we desire or the purchase price may be elevated. In addition, we expect to finance future acquisitions through a combination of borrowings under the Unsecured Credit Facility, proceeds from equity or debt offerings and debt originations by the Company and proceeds from property sales, which may not be available and which could adversely affect our cash flow. Any of the above risks could adversely affect our financial condition, results of operations, cash flow and ability to pay dividends on, and the market value of, our common stock.

The Company might fail to qualify or remain qualified as a REIT.

We intend to operate so as to qualify as a REIT under the Code. Although we believe that we are organized and will operate in a manner so as to qualify as a REIT, qualification as a REIT involves the satisfaction of numerous requirements, some of which must be met on a recurring basis. These requirements are established under highly technical and complex Code provisions of which there are only limited judicial or administrative interpretations and involve the determination of various factual matters and circumstances not entirely within our control.

If we were to fail to qualify as a REIT in any taxable year, we would be subject to federal income tax, including any applicable alternative minimum tax, on our taxable income at corporate rates. This could result in a discontinuation or substantial reduction in dividends to stockholders and in cash to pay interest and principal on debt securities that we issue. Unless entitled to relief under certain statutory provisions, we would be disqualified from electing treatment as a REIT for the four taxable years following the year during which we failed to qualify as a REIT.

Certain property transfers may generate prohibited transaction income, resulting in a penalty tax on the gain attributable to the transaction.

As part of our business, we sell properties to third parties as opportunities arise. Under the Code, a 100% penalty tax could be assessed on the gain resulting from sales of properties that are deemed to be prohibited transactions. The question of what constitutes a prohibited transaction is based on the facts and circumstances surrounding each transaction. The Internal Revenue Service (“IRS”) could contend that certain sales of properties by us are prohibited transactions. While we do not believe that the IRS would prevail in such a

dispute, if the matter were successfully argued by the IRS, the 100% penalty tax could be assessed against the profits from these transactions. In addition, any income from a prohibited transaction may adversely affect our ability to satisfy the income tests for qualification as a REIT.

The REIT distribution requirements may limit the Company’s ability to retain capital and require the Company to turn to external financing sources.

We could, in certain instances, have taxable income without sufficient cash to enable us to meet the distribution requirements of the REIT provisions of the Code. In that situation, we could be required to borrow funds or sell properties on adverse terms in order to meet those distribution requirements. In addition, because we must distribute to our stockholders at least 90% of our REIT taxable income each year, our ability to accumulate capital may be limited. Thus, to provide capital resources for our ongoing business, and to satisfy our debt repayment obligations and other liquidity needs, we may be more dependent on outside sources of financing, such as debt financing or issuances of additional capital stock, which may or may not be available on favorable terms. Additional debt financings may substantially increase our leverage and additional equity offerings may result in substantial dilution of stockholders’ interests.

Debt financing, the degree of leverage and rising interest rates could reduce the Company’s cash flow.

Where possible, we intend to continue to use leverage to increase the rate of return on our investments and to allow us to make more investments than we otherwise could. Our use of leverage presents an additional element of risk in the event that the cash flow from our properties is insufficient to meet both debt payment obligations and the distribution requirements of the REIT provisions of the Code. In addition, rising interest rates would reduce our cash flow by increasing the amount of interest due on our floating rate debt and on our fixed rate debt as it matures and is refinanced.

Failure to comply with covenants in our debt agreements could adversely affect our financial condition.

The terms of our agreements governing our Unsecured Credit Facility and other indebtedness require that we comply with a number of financial and other covenants, such as maintaining debt service coverage and leverage ratios and maintaining insurance coverage. Complying with such covenants may limit our operational flexibility. Our failure to comply with these covenants could cause a default under the applicable debt agreement even if we have satisfied our payment obligations. Consistent with our prior practice, we will, in the future, continue to interpret and certify our performance under these covenants in a good faith manner that we deem reasonable and appropriate. However, these financial covenants are complex and there can be no assurance that these provisions would not be interpreted by the noteholders or lenders in a manner that could impose and cause us to incur material costs. We anticipate that we will be able to operate in compliance with our financial covenants in 2011. Our ability to meet our financial covenants may be adversely affected if economic and credit market conditions limit our ability to reduce our debt levels consistent with, or result in net operating income below, our current expectations. Under our Unsecured Credit Facility, an event of default can also occur if the lenders, in their good faith judgment, determine that a material adverse change has occurred which could prevent timely repayment or materially impair our ability to perform our obligations under the loan agreement.

Upon the occurrence of an event of default, we would be subject to higher finance costs and fees, and the lenders under our Unsecured Credit Facility will not be required to lend any additional amounts to us. In addition, our outstanding senior unsecured notes as well as all outstanding borrowings under the Unsecured Credit Facility, together with accrued and unpaid interest and fees, could be accelerated and declared to be immediately due and payable. Furthermore, our Unsecured Credit Facility and the indentures governing our senior unsecured notes contain certain cross-default provisions, which are triggered in the event that our other material indebtedness is in default. These cross-default provisions may require us to repay or restructure the Unsecured Credit Facility and the senior unsecured notes or other debt that is in default, which could adversely affect our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our stock. If repayment of any of our borrowings is accelerated, we cannot provide assurance that we will have sufficient assets to repay such indebtedness or that we would be able to borrow sufficient funds to

refinance such indebtedness. Even if we are able to obtain new financing, it may not be on commercially reasonable terms, or terms that are acceptable to us.

Cross-collateralization of mortgage loans could result in foreclosure on substantially all of the Company’s properties if the Company is unable to service its indebtedness.

We intend to obtain additional mortgage debt financing in the future, if it is available to us. These mortgages may be issued on a recourse, non-recourse or cross-collateralized basis. Cross-collateralization makes all of the subject properties available to the lender in order to satisfy our debt. Holders of indebtedness that is so secured will have a claim against these properties. To the extent indebtedness is cross-collateralized, lenders may seek to foreclose upon properties that are not the primary collateral for their loan, which may, in turn, result in acceleration of other indebtedness secured by properties. Foreclosure of properties would result in a loss of income and asset value to us, making it difficult for us to meet both debt payment obligations and the distribution requirements of the REIT provisions of the Code. At December 31, 2010, 19 of our mortgage loans payable were cross-collateralized, totaling $138.4 million (see Note 6 to the Consolidated Financial Statements).

The Company may have to make lump-sum payments on its existing indebtedness.

We are required to make the following lump-sum or “balloon” payments under the terms of some of our indebtedness, including indebtedness of the Operating Partnership:


	•	$35.0 million aggregate principal amount of 7.750% Notes due 2032 (the “2032 Notes”)

	•	$190.0 million aggregate principal amount of 7.600% Notes due 2028 (the “2028 Notes”)

	•	$13.6 million aggregate principal amount of 7.150% Notes due 2027 (the “2027 Notes”)

	•	$117.8 million aggregate principal amount of 5.950% Notes due 2017 (the “2017 II Notes”)

	•	$87.3 million aggregate principal amount of 7.500% Notes due 2017 (the “2017 Notes”)

	•	$160.2 million aggregate principal amount of 5.750% Notes due 2016 (the “2016 Notes”)

	•	$91.9 million aggregate principal amount of 6.420% Notes due 2014 (the “2014 Notes”)

	•	$61.8 million aggregate principal amount of 6.875% Notes due 2012 (the “2012 Notes”)

	•	$128.9 million aggregate principal amount of 4.625% Notes due 2011 (the “2011 Exchangeable Notes”)

	•	$426.6 million in mortgage loans payable, in the aggregate, due between March 2011 and October 2020 on certain of our mortgage loans payable.

	•	a $400.0 million Unsecured Credit Facility under which we may borrow to finance the acquisition of additional properties and for other corporate purposes, including working capital.

The Unsecured Credit Facility provides for a $200.0 million term loan and a $200.0 million revolving line of credit. The term borrowing requires quarterly principal pay-downs of $10.0 million beginning March 30, 2012 until maturity on September 28, 2012. The revolving borrowings provide for the repayment of principal in a lump-sum or “balloon” payment at maturity on September 28, 2012. As of December 31, 2010, $376.2 million was outstanding under the Unsecured Credit Facility at a weighted average interest rate of 3.376%.

Our ability to make required payments of principal on outstanding indebtedness, whether at maturity or otherwise, may depend on our ability either to refinance the applicable indebtedness or to sell properties. We have no commitments to refinance the 2011 Exchangeable Notes, the 2012 Notes, the 2014 Notes, the 2016 Notes, the 2017 Notes, the 2017 II Notes, the 2027 Notes, the 2028 Notes, the 2032 Notes, the Unsecured Credit Facility or the mortgage loans (see Subsequent Events). Our existing mortgage loan obligations are secured by our properties and therefore such obligations will permit the lender to foreclose on those properties in the event of a default.

There is no limitation on debt in the Company’s organizational documents.

As of December 31, 2010, our ratio of debt to our total market capitalization was 65.3%. We compute that percentage by calculating our total consolidated debt as a percentage of the aggregate market value of all outstanding shares of our common stock, assuming the exchange of all limited partnership units of the Operating Partnership for common stock, plus the aggregate stated value of all outstanding shares of preferred stock and total consolidated debt. Our organizational documents do not contain any limitation on the amount or percentage of indebtedness we may incur. Accordingly, we could become more highly leveraged, resulting in an increase in debt service that could adversely affect our ability to make expected distributions to stockholders and in an increased risk of default on our obligations.

Rising interest rates on the Company’s Unsecured Credit Facility could decrease the Company’s available cash.

Our Unsecured Credit Facility bears interest at a floating rate. As of December 31, 2010, our Unsecured Credit Facility had an outstanding balance of $376.2 million at a weighted average interest rate of 3.376%. Our Unsecured Credit Facility presently bears interest at LIBOR plus 325 basis points or at a base rate plus 225 basis points, at our election for the $200.0 million term borrowing, and for the $200.0 million revolving borrowings, at LIBOR plus 275 basis points or at a base rate plus 175 basis points, at our election. Based on the outstanding balance on our Unsecured Credit Facility as of December 31, 2010, a 10% increase in interest rates would increase interest expense by $1.3 million on an annual basis. Increases in the interest rate payable on balances outstanding under our Unsecured Credit Facility would decrease our cash available for distribution to stockholders.

The Company’s mortgages may impact the Company’s ability to sell encumbered properties on advantageous terms or at all.

As part of our plan to enhance liquidity and pay down our debt, we have originated numerous mortgage financings and we are in active discussions with various lenders regarding the origination of additional mortgage financings. Certain of our mortgages contain, and it is anticipated that some future mortgages will contain, substantial prepayment premiums which we would have to pay upon the sale of a property, thereby reducing the net proceeds to us from the sale of any such property. As a result, our willingness to sell certain properties and the price at which we may desire to sell a property may be impacted by the terms of any mortgage financing encumbering a property. If we are unable to sell properties on favorable terms or redeploy the proceeds of property sales in accordance with our business strategy, then our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock could be adversely affected.

Adverse market and economic conditions could cause us to recognize additional impairment charges.

We regularly review our real estate assets for impairment indicators, such as a decline in a property’s occupancy rate. If we determine that indicators of impairment are present, we review the properties affected by these indicators to determine whether an impairment charge is required. We use considerable judgment in making determinations about impairments, from analyzing whether there are indicators of impairment to the assumptions used in calculating the fair value of the investment. Accordingly, our subjective estimates and evaluations may not be accurate, and such estimates and evaluations are subject to change or revision.

Ongoing adverse market and economic conditions and market volatility will likely continue to make it difficult to value the real estate assets owned by us as well as the value of our interests in unconsolidated joint ventures. There may be significant uncertainty in the valuation, or in the stability of the cash flows, discount rates and other factors related to such assets due to the adverse market and economic conditions that could result in a substantial decrease in their value. We may be required to recognize additional asset impairment charges in the future, which could materially and adversely affect our business, financial condition and results of operations.

Earnings and cash dividends, asset value and market interest rates affect the price of the Company’s common stock.

As a REIT, the market value of our common stock, in general, is based primarily upon the market’s perception of our growth potential and our current and potential future earnings and cash dividends. The market value of our common stock is based secondarily upon the market value of our underlying real estate assets. For this reason, shares of our common stock may trade at prices that are higher or lower than our net asset value per share. To the extent that we retain operating cash flow for investment purposes, working capital reserves, or other purposes, these retained funds, while increasing the value of our underlying assets, may not correspondingly increase the market price of our common stock. Our failure to meet the market’s expectations with regard to future earnings and cash dividends likely would adversely affect the market price of our common stock. Further, the distribution yield on the common stock (as a percentage of the price of the common stock) relative to market interest rates may also influence the price of our common stock. An increase in market interest rates might lead prospective purchasers of our common stock to expect a higher distribution yield, which would adversely affect the market price of our common stock.

The Company may incur unanticipated costs and liabilities due to environmental problems.

Under various federal, state and local laws, ordinances and regulations, an owner or operator of real estate may be liable for the costs of clean-up of certain conditions relating to the presence of hazardous or toxic materials on, in or emanating from a property, and any related damages to natural resources. Environmental laws often impose liability without regard to whether the owner or operator knew of, or was responsible for, the presence of hazardous or toxic materials. The presence of such materials, or the failure to address those conditions properly, may adversely affect the ability to rent or sell the property or to borrow using the property as collateral. Persons who dispose of or arrange for the disposal or treatment of hazardous or toxic materials may also be liable for the costs of clean-up of such materials, or for related natural resource damages, at or from an off-site disposal or treatment facility, whether or not the facility is owned or operated by those persons. No assurance can be given that existing environmental assessments with respect to any of our properties reveal all environmental liabilities, that any prior owner or operator of any of the properties did not create any material environmental condition not known to us or that a material environmental condition does not otherwise exist as to any of our properties. In addition, changes to existing environmental regulation to address, among other things, climate change, could increase the scope of our potential liabilities.

The Company’s insurance coverage does not include all potential losses.

We currently carry comprehensive insurance coverage including property, boiler & machinery, liability, fire, flood, terrorism, earthquake, extended coverage and rental loss as appropriate for the markets where each of our properties and their business operations are located. The insurance coverage contains policy specifications and insured limits customarily carried for similar properties and business activities. We believe our properties are adequately insured. However, there are certain losses, including losses from earthquakes, hurricanes, floods, pollution, acts of war, acts of terrorism or riots, that are not generally insured against or that are not generally fully insured against because it is not deemed to be economically feasible or prudent to do so. If an uninsured loss or a loss in excess of insured limits occurs with respect to one or more of our properties, we could experience a significant loss of capital invested and potential revenues from these properties, and could potentially remain obligated under any recourse debt associated with the property.

The Company is subject to risks and liabilities in connection with its investments in properties through Joint Ventures.

As of December 31, 2010, the 2003 Net Lease Joint Venture owned approximately 4.9 million square feet of properties. Our net investment in this Joint Venture was $2.5 million at December 31, 2010. Our organizational documents do not limit the amount of available funds that we may invest in Joint Ventures and

we intend to continue to develop and acquire properties through Joint Ventures with other persons or entities when warranted by the circumstances. Joint venture investments, in general, involve certain risks, including:


	•	joint venturers may share certain approval rights over major decisions;

	•	joint venturers might fail to fund their share of any required capital commitments;

	•	joint venturers might have economic or other business interests or goals that are inconsistent with our business interests or goals that would affect our ability to operate the property;

	•	joint venturers may have the power to act contrary to our instructions, requests, policies or objectives, including our current policy with respect to maintaining our qualification as a real estate investment trust;

	•	the joint venture agreements often restrict the transfer of a member’s or joint venturer’s interest or “buy-sell” or may otherwise restrict our ability to sell the interest when we desire or on advantageous terms;

	•	disputes between us and our joint venturers may result in litigation or arbitration that would increase our expenses and prevent our officers and directors from focusing their time and effort on our business and subject the properties owned by the applicable joint venture to additional risk; and

	•	we may in certain circumstances be liable for the actions of our joint venturers.

The occurrence of one or more of the events described above could adversely affect our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock.

In addition, joint venture investments in real estate involve all of the risks related to the ownership, acquisition, development, sale and financing of real estate discussed in the risk factors above. To the extent our investments in Joint Ventures are adversely affected by such risks our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock could be adversely affected.

We are subject to risks associated with our international operations.

As of December 31, 2010, we owned three industrial properties and several land parcels located in Canada. Our international operations will be subject to risks inherent in doing business abroad, including:


	•	exposure to the economic fluctuations in the locations in which we invest;

	•	difficulties and costs associated with complying with a wide variety of complex laws, treaties and regulations;

	•	revisions in tax treaties or other laws and regulations, including those governing the taxation of our international revenues;

	•	obstacles to the repatriation of earnings and funds;

	•	currency exchange rate fluctuations between the United States dollar and foreign currencies;

	•	restrictions on the transfer of funds; and

	•	national, regional and local political uncertainty.

When we acquire properties located outside of the United States, we may face risks associated with a lack of market knowledge or understanding of the local economy, forging new business relationships in the area and unfamiliarity with local government and permitting procedures. We work to mitigate such risks through extensive diligence and research and associations with experienced partners; however, there can be no guarantee that all such risks will be eliminated.

Adverse changes in our credit ratings could negatively affect our liquidity and business operations.

The credit ratings of the Operating Partnership’s senior unsecured notes and the Company’s preferred stock are based on the Company’s operating performance, liquidity and leverage ratios, overall financial position and other factors employed by the credit rating agencies in their rating analyses. Our credit ratings can affect the availability, terms and pricing of any indebtedness that we may incur going forward. There can be no assurance that we will be able to maintain any credit rating, and in the event any credit rating is downgraded, we could incur higher borrowing costs or be unable to access certain capital markets at all.


Item 1B.	*Unresolved SEC Comments*

None.


Item 2.	*Properties*

General

At December 31, 2010, we owned 774 in-service industrial properties containing an aggregate of approximately 68.6 million square feet of GLA in 28 states and one province in Canada, with a diverse base of approximately 2,000 tenants engaged in a wide variety of businesses, including manufacturing, retail, wholesale trade, distribution and professional services. The average annual rental per square foot on a portfolio basis, calculated at December 31, 2010, was $4.34. The properties are generally located in business parks that have convenient access to interstate highways and/or rail and air transportation. The weighted average age of the properties as of December 31, 2010 was approximately 20 years. We maintain insurance on our properties that we believe is adequate.

We classify our properties into five industrial categories: light industrial, R&D/flex, bulk warehouse, regional warehouse and manufacturing. While some properties may have characteristics which fall under more than one property type, we use what we believe is the most dominant characteristic to categorize the property.

The following describes, generally, the different industrial categories:


	•	Light industrial properties are of less than 100,000 square feet, have a ceiling height of 16-21 feet, are comprised of 5%-50% of office space, contain less than 50% of manufacturing space and have a land use ratio of 4:1. The land use ratio is the ratio of the total property area to the area occupied by the building.

	•	R&D/flex buildings are of less than 100,000 square feet, have a ceiling height of less than 16 feet, are comprised of 50% or more of office space, contain less than 25% of manufacturing space and have a land use ratio of 4:1.

	•	Bulk warehouse buildings are of more than 100,000 square feet, have a ceiling height of at least 22 feet, are comprised of 5%-15% of office space, contain less than 25% of manufacturing space and have a land use ratio of 2:1.

	•	Regional warehouses are of less than 100,000 square feet, have a ceiling height of at least 22 feet, are comprised of 5%-15% of office space, contain less than 25% of manufacturing space and have a land use ratio of 2:1.

	•	Manufacturing properties are a diverse category of buildings that have a ceiling height of 10-18 feet, are comprised of 5%-15% of office space, contain at least 50% of manufacturing space and have a land use ratio of 4:1.

Each of the properties is wholly owned by us or our consolidated subsidiaries. The following tables summarize certain information as of December 31, 2010, with respect to our in-service properties.

In-Service Property Summary Totals


	Light Industrial				R&D/Flex				Bulk Warehouse				Regional Warehouse				Manufacturing
			Number of				Number of				Number of				Number of				Number of
Metropolitan Area	GLA		Properties		GLA		Properties		GLA		Properties		GLA		Properties		GLA		Properties

Atlanta, GA		666,544		11		206,826		5		3,742,667		14		386,207		5		662,000		3
Baltimore, MD		768,536		13		198,230		6		683,135		4		—		—		171,000		1
Central PA		1,134,145		9		—		—		3,151,350		6		117,599		3		—		—
Chicago, IL		1,009,429		16		248,090		4		2,729,716		15		172,851		4		421,000		2
Cincinnati, OH		893,839		10		—		—		1,103,830		4		130,870		2		—		—
Cleveland, OH		—		—		—		—		1,317,799		7		—		—		—		—
Columbus, OH		217,612		2		—		—		2,666,547		8		98,800		1		—		—
Dallas, TX		2,201,172		40		511,075		19		2,250,000		17		626,873		9		128,478		1
Denver, CO		1,276,308		23		1,053,097		24		400,498		3		343,516		5		—		—
Detroit, MI		2,409,456		85		464,026		15		630,780		6		759,851		18		116,250		1
Houston, TX		337,547		7		132,997		6		2,041,527		12		446,318		6		—		—
Indianapolis, IN		860,781		17		25,000		2		2,590,469		10		222,710		5		71,600		2
Inland Empire, CA		66,934		1		—		—		759,495		3		—		—		—		—
Los Angeles, CA		544,033		13		184,064		2		749,008		5		281,921		4		—		—
Miami, FL		88,820		1		—		—		142,804		1		281,626		6		—		—
Milwaukee, WI		431,508		9		93,705		2		1,726,929		7		90,089		1		—		—
Minneapolis/St.		1,277,519		14		172,862		2		2,250,076		11		323,805		4		355,056		4
Paul, MN
N. New Jersey		659,849		11		289,967		6		329,593		2		—		—		—		—
Nashville, TN		205,205		3		—		—		1,715,773		6		—		—		109,058		1
Philadelphia, PA		145,282		4		36,802		2		799,287		3		71,912		2		178,000		2
Phoenix, AZ		38,560		1		—		—		710,403		5		354,327		5		—		—
S. New Jersey		627,680		5		—		—		281,100		2		158,867		2		—		—
Salt Lake City, UT		706,201		35		146,937		6		279,179		1		—		—		—		—
San Diego, CA		213,446		8		—		—		—		—		108,701		3		—		—
Seattle, WA		—		—		—		—		258,126		2		132,195		2		—		—
St. Louis, MO		823,655		11		—		—		1,613,095		6		—		—		—		—
Tampa, FL		234,679		7		689,782		27		209,500		1		—		—		—		—
Toronto, ON		57,540		1		—		—		559,773		2		—		—		—		—
Other(a)		696,547		8		40,000		1		1,951,456		10		88,000		1		425,017		2

Total		18,592,827		365		4,493,460		129		37,643,915		173		5,197,038		88		2,637,459		19


(a)		Properties are located in Abilene, TX, Wichita, KS, Grand Rapids, MI, Des Moines, IA, Austin, TX, Orlando, FL, Horn Lake, MS, Shreveport, LA, Kansas City, MO, San Antonio, TX, Birmingham, AL, Omaha, NE, Jefferson County, KY, Greenville, KY, Sumner, IA, and Winchester, VA.

In-Service Property Summary Totals


	Totals
					Average			GLA as a %			Encumbrances
			Number of		Occupancy at			of Total			at 12/31/10
Metropolitan Area	GLA		Properties		12/31/10			Portfolio			($ in 000s)(b)

Atlanta, GA		5,664,244		38		73	%		8.3	%	$	30,987
Baltimore, MD		1,820,901		24		85	%		2.6	%		7,880
Central PA		4,403,094		18		84	%		6.4	%		13,758
Chicago, IL		4,581,086		41		86	%		6.7	%		37,537
Cincinnati, OH		2,128,539		16		80	%		3.1	%		6,652
Cleveland, OH		1,317,799		7		99	%		1.9	%		12,030
Columbus, OH		2,982,959		11		81	%		4.3	%		—
Dallas, TX		5,717,598		86		82	%		8.3	%		32,058
Denver, CO		3,073,419		55		80	%		4.5	%		30,119
Detroit, MI		4,380,363		125		92	%		6.4	%		—
Houston, TX		2,958,389		31		94	%		4.3	%		25,291
Indianapolis, IN		3,770,560		36		90	%		5.5	%		8,131
Inland Empire, CA		826,429		4		61	%		1.2	%		—
Los Angeles, CA		1,759,026		24		77	%		2.6	%		37,695
Miami, FL		513,250		8		51	%		0.7	%		—
Milwaukee, WI		2,342,231		19		88	%		3.4	%		34,401
Minneapolis/St. Paul, MN		4,379,318		35		85	%		6.4	%		53,224
N. New Jersey		1,279,409		19		85	%		1.9	%		25,791
Nashville, TN		2,030,036		10		96	%		3.0	%		8,543
Philadelphia, PA		1,231,283		13		97	%		1.8	%		5,229
Phoenix, AZ		1,103,290		11		77	%		1.6	%		14,313
S. New Jersey		1,067,647		9		88	%		1.6	%		11,079
Salt Lake City, UT		1,132,317		42		93	%		1.6	%		10,560
San Diego, CA		322,147		11		90	%		0.5	%		9,754
Seattle, WA		390,321		4		83	%		0.6	%		6,022
St. Louis, MO		2,436,750		17		93	%		3.5	%		36,569
Tampa, FL		1,133,961		35		77	%		1.7	%		9,708
Toronto, ON		617,313		3		100	%		0.9	%		—
Other(a)		3,201,020		22		92	%		4.7	%		19,068

Total or Average		68,564,699		774		85	%		100	%	$	486,399


(a)		Properties are located in Abilene, TX, Wichita, KS, Grand Rapids, MI, Des Moines, IA, Austin, TX, Orlando, FL, Horn Lake, MS, Shreveport, LA, Kansas City, MO, San Antonio, TX, Birmingham, AL, Omaha, NE, Jefferson County, KY, Greenville, KY, Sumner, IA, and Winchester, VA.

(b)		Certain properties are pledged as collateral under our secured financings at December 31, 2010 (see Note 6 to the Consolidated Financial Statements). For purposes of this table, the total principal balance of a secured financing that is collateralized by a pool of properties is allocated among the properties in the pool based on each property’s investment balance. In addition to the amounts included in the table, we also have $0.7 million of indebtedness which is secured by a letter of credit.

Property Acquisition Activity

During 2010, we acquired three industrial properties for an aggregate purchase price of approximately $22.4 million. The acquired industrial properties have the following characteristics:


	Number of						Occupancy at
Metropolitan Area	Properties		GLA		Property Type		12/31/10

Houston, TX		1		48,140		Light Industrial		100	%
Minneapolis/St. Paul, MN		1		285,000		Bulk Warehouse		100	%
Seattle, WA		1		157,515		Bulk Warehouse		100	%

Total		3		490,655

Property Sales

During 2010, we sold 13 industrial properties totaling approximately 1.1 million square feet of GLA and several land parcels. Total gross sales proceeds approximated $71.0 million. The 13 industrial properties sold have the following characteristics:


	Number of
Metropolitan Area	Properties		GLA		Property Type

Atlanta, GA		1		185,950		Manufacturing
Baltimore, MD		1		80,000		Light Industrial
Cleveland, OH		1		64,000		Light Industrial
Dallas, TX		3		370,933		Lt. Industrial/Bulk/Regional Warehouse
Detroit, MI		2		62,771		Lt. Industrial/R&D/Flex
Indianapolis, IN		1		13,200		R&D/Flex
Inland Empire, CA		1		47,075		Bulk Warehouse
Minneapolis, MN		1		132,000		Bulk Warehouse
Philadelphia, PA		1		20,800		Light Industrial
St. Louis, MO		1		115,200		Bulk Warehouse

Total		13		1,091,929

Property Acquisitions and Sales Subsequent to Year End

From January 1, 2011 to February 23, 2011, we sold five industrial properties comprising approximately 0.3 million square feet of GLA. Gross proceeds from the sale of the five industrial properties were approximately $7.7 million. There were no industrial properties acquired during this period.

Tenant and Lease Information

We have a diverse base of approximately 2,000 tenants engaged in a wide variety of businesses including manufacturing, retail, wholesale trade, distribution and professional services. Most leases have an initial term of between three and six years and provide for periodic rent increases that are either fixed or based on changes in the Consumer Price Index. Industrial tenants typically have net or semi-net leases and pay as additional rent their percentage of the property’s operating costs, including the costs of common area maintenance, property taxes and insurance. As of December 31, 2010, approximately 85% of the GLA of our in-service properties was leased, and no single tenant or group of related tenants accounted for more than 2.4% of our rent revenues, nor did any single tenant or group of related tenants occupy more than 2.0% of the total GLA of our in-service properties as of December 31, 2010.

Lease Expirations (1)

The following table shows scheduled lease expirations for all leases for our in-service properties as of December 31, 2010.


	Number of				Percentage of			Annual Base Rent		Percentage of Total
Year of	Leases		GLA		GLA			Under Expiring		Annual Base Rent
Expiration	Expiring		Expiring(2)		Expiring(2)			Leases(3)		Expiring(3)
	(In thousands)

2011		498		8,995,672		16	%	$	42,267		17	%
2012		426		10,435,488		18	%		47,619		19	%
2013		399		8,971,622		16	%		40,661		16	%
2014		220		7,405,595		13	%		30,942		12	%
2015		199		5,701,977		10	%		23,803		10	%
2016		110		4,917,797		9	%		18,431		7	%
2017		45		2,466,281		4	%		11,164		4	%
2018		28		1,786,771		3	%		7,870		3	%
2019		17		1,194,883		2	%		6,568		3	%
2020		19		2,561,747		4	%		8,490		4	%
Thereafter		26		3,144,325		5	%		12,014		5	%

Total		1,987		57,582,158		100	%	$	249,829		100	%


(1)		Includes leases that expire on or after January 1, 2011 and assumes tenants do not exercise existing renewal, termination or purchase options.

(2)		Does not include existing vacancies of 10,982,541 aggregate square feet.

(3)		Annualized base rent is calculated as monthly base rent (cash basis) per the terms of the lease, as of December 31, 2010, multiplied by 12. If free rent is granted, then the first positive rent value is used. Leases denominated in foreign currencies are translated using the currency exchange rate at December 31, 2010.


Item 3.	*Legal Proceedings*

We are involved in legal proceedings arising in the ordinary course of business. All such proceedings, taken together, are not expected to have a material impact on the results of operations, financial position or liquidity of the Company.


Item 4.	*Reserved*

None.

PART II


Item 5.	*Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities*

Market Information

The following table sets forth for the periods indicated the high and low closing prices per share and distributions declared per share for our common stock, which trades on the New York Stock Exchange under the trading symbol “FR.”


					Distribution
Quarter Ended	High		Low		Declared

December 31, 2010	$	8.78	$	4.99	$	0.0000
September 30, 2010	$	5.37	$	3.76	$	0.0000
June 30, 2010	$	9.01	$	4.82	$	0.0000
March 31, 2010	$	8.29	$	4.77	$	0.0000
December 31, 2009	$	5.95	$	4.06	$	0.0000
September 30, 2009	$	6.79	$	3.68	$	0.0000
June 30, 2009	$	6.30	$	2.40	$	0.0000
March 31, 2009	$	7.42	$	1.91	$	0.0000

We had 611 common stockholders of record registered with our transfer agent as of February 23, 2011.

We have estimated that, for federal income tax purposes, approximately 5.25% of our 2010 preferred stock distributions were classified as ordinary dividend income to our shareholders, 9.47% qualified as capital gain income, and 85.28% represented a return of capital (nondividend distribution).

In order to comply with the REIT requirements of the Code, we are generally required to make common share distributions and preferred share distributions (other than capital gain distributions) to our shareholders in amounts that together at least equal i) the sum of a) 90% of our “REIT taxable income” computed without regard to the dividends paid deduction and net capital gains and b) 90% of net income (after tax), if any, from foreclosure property, minus ii) certain excess non-cash income. An IRS revenue procedure allows us to treat a stock distribution to our shareholders in 2010 under a stock-or-cash election that meets specified conditions, including a minimum 10% cash distribution component, as a distribution qualifying for the dividends paid deduction.

Our common share distribution policy is determined by our board of directors and is dependent on multiple factors, including cash flow and capital expenditure requirements, as well as ensuring that we meet the minimum distribution requirements set forth in the Code. We met the minimum distribution requirements with the preferred distributions made with respect to 2010. For 2011, we intend to meet our minimum distribution requirements. We plan to retain capital by distributing the minimum amount of common stock dividends required to maintain our REIT status. We did not pay a common stock dividend in 2010 and may not pay dividends in 2011 depending on our taxable income. If, to maintain our REIT status, we are required to pay common stock dividends with respect to 2011, we may elect to do so by distributing a combination of cash and common shares.

During 2010, the Operating Partnership did not issue any Units.

Subject to lock-up periods and certain adjustments, Units of the Operating Partnership are redeemable for common stock of the Company on a one-for-one basis or cash at the option of the Company.

Performance Graph

The following graph provides a comparison of the cumulative total stockholder return among the Company, the FTSE NAREIT Equity REIT Total Return Index (the “NAREIT Index”) and the Standard & Poor’s 500 Index (“S&P 500”). The comparison is for the periods from December 31, 2005 to December 31, 2010 and assumes the reinvestment of any dividends. The closing price for our Common Stock quoted on the NYSE at the close of business on December 31, 2005 was $38.50 per share. The NAREIT Index includes REITs with 75% or more of their gross invested book value of assets invested directly or indirectly in the equity ownership of real estate. Upon written request, we will provide stockholders with a list of the REITs included in the NAREIT Index. The historical information set forth below is not necessarily indicative of future performance. The following graph was prepared at our request by Research Data Group, Inc., San Francisco, California.

COMPARISON OF 5 YEAR CUMULATIVE TOTAL RETURN*
Among First Industrial Realty Trust, Inc., The S&P 500 Index
And The FTSE NAREIT Equity REITs Index


*		$100 invested on 12/31/05 in stock or index, including reinvestment of dividends.

		Fiscal year ending December 31.

		Copyright^{^©} 2010 S&P, a division of The McGraw-Hill Companies Inc. All rights reserved.


	12/05		12/06		12/07		12/08		12/09		12/10

FIRST INDUSTRIAL REALTY TRUST, INC.	$	100.00	$	130.08	$	103.12	$	25.06	$	17.36	$	29.07
S&P 500		100.00		115.80		122.16		76.96		97.33		111.99
FTSE NAREIT Equity REITs		100.00		135.06		113.87		70.91		90.76		116.12

* The information provided in this performance graph shall not be deemed to be “soliciting material,” to be “filed” or to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934 unless specifically treated as such.


Item 6.	*Selected Financial Data*

The following sets forth selected financial and operating data for the Company on a historical consolidated basis. The following data should be read in conjunction with the Consolidated Financial Statements and Notes thereto and Management’s Discussion and Analysis of Financial Condition and Results of Operations included elsewhere in this Form 10-K. The historical statements of operations for the years ended December 31, 2010, 2009, 2008, 2007 and 2006 include the results of operations of the Company as derived from our audited financial statements, adjusted for discontinued operations. The results of operations of properties sold are presented in discontinued operations if they met both of the following criteria: (a) the operations and cash flows of the property have been (or will be) eliminated from the ongoing operations of the Company as a result of the disposition and (b) we will not have any significant involvement in the operations of the property after the disposal transaction. The historical balance sheet data and other data as of December 31, 2010, 2009, 2008, 2007 and 2006 include the balances of the Company as derived from our audited financial statements.


	Year Ended			Year Ended			Year Ended			Year Ended			Year Ended
	12/31/10			12/31/09			12/31/08			12/31/07			12/31/06
	(In thousands, except per share and property data)

Statement of Operations Data:
Total Revenues	$	288,541		$	351,838		$	443,751		$	303,588		$	238,635
Loss from Continuing Operations		(84,382	)		(21,902	)		(148,917	)		(89,005	)		(97,120	)
Loss from Continuing Operations Available to First Industrial Realty Trust, Inc’s Common Stockholders and Participating Securities		(95,475	)		(37,008	)		(140,383	)		(92,582	)		(100,318	)
Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders and Participating Securities	$	(222,498	)	$	(13,783	)	$	20,169		$	130,368		$	89,651

Basic and Diluted Earnings Per Weighted Average Common Share Outstanding:
Loss from Continuing Operations Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(1.52	)	$	(0.76	)	$	(3.25	)	$	(2.10	)	$	(2.28	)

Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(3.53	)	$	(0.28	)	$	0.41		$	2.90		$	1.99

Distributions Per Share	$	0.00		$	0.00		$	2.41		$	2.85		$	2.81

Basic and Diluted Weighted Average Number of Common Shares Outstanding		62,953			48,695			43,193			44,086			44,012

Balance Sheet Data (End of Period):
Real Estate, Before Accumulated Depreciation	$	2,618,767		$	3,319,764		$	3,385,597		$	3,326,268		$	3,219,728
Total Assets		2,750,054			3,204,586			3,223,501			3,257,888			3,224,215
Indebtedness (Inclusive of Indebtedness Held for Sale)		1,742,776			1,998,332			2,032,635			1,940,747			1,827,155
Total Equity		892,144			1,074,247			990,716			1,080,056			1,182,845
Other Data:
Cash Flow From Operating Activities	$	83,189		$	142,179		$	71,185		$	92,989		$	59,551
Cash Flow From Investing Activities		(9,923	)		4,777			6,274			126,909			129,147
Cash Flow From Financing Activities		(230,383	)		32,724			(79,754	)		(230,276	)		(180,800	)


Item 7.	*Management’s Discussion and Analysis of Financial Condition and Results of Operations*

The following discussion should be read in conjunction with “Selected Financial Data” and the Consolidated Financial Statements and Notes thereto appearing elsewhere in this Form 10-K.

In addition, the following discussion contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Exchange Act. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and are including this statement for purposes of complying with those safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” “seek,” “target,” “potential,” “focus,” “may,” “should” or similar expressions. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a materially adverse effect on our operations and future prospects include, but are not limited to: changes in national, international, regional and local economic conditions generally and real estate markets specifically; changes in legislation/regulation (including changes to laws governing the taxation of REITs) and actions of regulatory authorities (including the IRS); our ability to qualify and maintain our status as a REIT; the availability and attractiveness of financing (including both public and private capital) to us and to our potential counterparties; the availability and attractiveness of terms

of additional debt repurchases; interest rates; our credit agency ratings; our ability to comply with applicable financial covenants; competition; changes in supply and demand for industrial properties (including land, the supply and demand for which is inherently more volatile than other types of industrial property) in the Company’s current and proposed market areas; difficulties in consummating acquisitions and dispositions; risks related to our investments in properties through joint ventures; environmental liabilities; slippages in development or lease-up schedules; tenant creditworthiness; higher-than-expected costs; changes in asset valuations and related impairment charges; changes in general accounting principles, policies and guidelines applicable to real estate investment trusts; international business risks and those additional factors described under the heading “Risk Factors” and in our other filings with the SEC. We caution you not to place undue reliance on forward looking statements, which reflect our analysis only and speak only as of the date of this report or the dates indicated in the statements. We assume no obligation to update or supplement forward-looking statements.

The Company was organized in the state of Maryland on August 10, 1993. We are a REIT, as defined in the Code. We began operations on July 1, 1994. Our interests in our properties and land parcels are held through partnerships, corporations, and limited liability companies controlled, directly or indirectly, by us, including First Industrial, L.P. (the “Operating Partnership”), of which we are the sole general partner, and through the old TRS prior to September 1, 2009, and FI LLC, the new TRS and FRIP subsequent to September 1, 2009. We also conduct operations through other partnerships, corporations, and limited liability companies, the operating data of which, together with that of the Operating Partnership, FI LLC, FRIP and the TRSs, are consolidated with that of the Company, as presented herein.

We also own noncontrolling equity interests in, and provide services to, two joint ventures (the 2003 Net Lease Joint Venture and the 2007 Europe Joint Venture). During 2010, we provided various services to, and ultimately disposed of our equity interests in, five joint ventures (the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Net Lease Co-Investment Program, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture). The Joint Ventures are accounted for under the equity method of accounting. Accordingly, the operating data of our Joint Ventures is not consolidated with that of the Company as presented herein. On May 25, 2010, we sold our interest in the 2006 Net Lease Co-Investment Program to our joint venture partner. On August 5, 2010, we sold our interests in the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner. The 2007 Europe Joint Venture does not own any properties. See Note 5 to the Consolidated Financial Statements for more information on the Joint Ventures.

We believe our financial condition and results of operations are, primarily, a function of our performance in four key areas: leasing of industrial properties, acquisition and development of additional industrial properties, disposition of industrial properties and debt reduction and access to external capital.

We generate revenue primarily from rental income and tenant recoveries from long-term (generally three to six years) operating leases of our industrial properties. Such revenue is offset by certain property specific operating expenses, such as real estate taxes, repairs and maintenance, property management, utilities and insurance expenses, along with certain other costs and expenses, such as depreciation and amortization costs and general and administrative and interest expenses. Our revenue growth is dependent, in part, on our ability to (i) increase rental income, through increasing either or both occupancy rates and rental rates at our properties, (ii) maximize tenant recoveries and (iii) minimize operating and certain other expenses. Revenues generated from rental income and tenant recoveries are a significant source of funds, in addition to income generated from gains/losses on the sale of our properties (as discussed below), for our liquidity. The leasing of property, in general, and occupancy rates, rental rates, operating expenses and certain non-operating expenses, in particular, are impacted, variously, by property specific, market specific, general economic and other conditions, many of which are beyond our control. The leasing of property also entails various risks, including the risk of tenant default. If we were unable to maintain or increase occupancy rates and rental rates at our properties or to maintain tenant recoveries and operating and certain other expenses consistent with historical levels and proportions, our revenue would decline. Further, if a significant number of our tenants were unable to pay rent (including tenant recoveries) or if we were unable to rent our properties on favorable terms, our

financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock would be adversely affected.

Our revenue growth is also dependent, in part, on our ability to acquire existing, and acquire and develop new, additional industrial properties on favorable terms. The Company seeks to identify opportunities to acquire existing industrial properties on favorable terms, and, when conditions permit, also seeks to identify opportunities to acquire and develop new industrial properties on favorable terms. Existing properties, as they are acquired, and acquired and developed properties, as they are leased, generate revenue from rental income, tenant recoveries and fees, income from which, as discussed above, is a source of funds for our distributions. The acquisition and development of properties is impacted, variously, by property specific, market specific, general economic and other conditions, many of which are beyond our control. The acquisition and development of properties also entails various risks, including the risk that our investments may not perform as expected. For example, acquired existing and acquired and developed new properties may not sustain and/or achieve anticipated occupancy and rental rate levels. With respect to acquired and developed new properties, we may not be able to complete construction on schedule or within budget, resulting in increased debt service expense and construction costs and delays in leasing the properties. Also, we face significant competition for attractive acquisition and development opportunities from other well-capitalized real estate investors, including both publicly-traded REITs and private investors. Further, as discussed below, we may not be able to finance the acquisition and development opportunities we identify. If we were unable to acquire and develop sufficient additional properties on favorable terms, or if such investments did not perform as expected, our revenue growth would be limited and our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock would be adversely affected.

We also generate income from the sale of our properties (including existing buildings, buildings which we have developed or re-developed on a merchant basis and land). The gain/loss on, and fees from, the sale of such properties are included in our income and can be a significant source of funds, in addition to revenues generated from rental income and tenant recoveries, for our operations. Currently, a significant portion of our proceeds from sales are being used to repay outstanding debt. Market conditions permitting, however, a significant portion of our proceeds from such sales may be used to fund the acquisition of existing, and the acquisition and development of new, industrial properties. The sale of properties is impacted, variously, by property specific, market specific, general economic and other conditions, many of which are beyond our control. The sale of properties also entails various risks, including competition from other sellers and the availability of attractive financing for potential buyers of our properties. Further, our ability to sell properties is limited by safe harbor rules applying to REITs under the Code which relate to the number of properties that may be disposed of in a year, their tax bases and the cost of improvements made to the properties, along with other tests which enable a REIT to avoid punitive taxation on the sale of assets. If we were unable to sell properties on favorable terms, our income growth would be limited and our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock would be adversely affected.

We utilize a portion of the net sales proceeds from property sales, borrowings under our Unsecured Credit Facility, and proceeds from the issuance, when and as warranted, of additional debt and equity securities to refinance debt and finance future acquisitions and developments. Access to external capital on favorable terms plays a key role in our financial condition and results of operations, as it impacts our cost of capital and our ability and cost to refinance existing indebtedness as it matures and to fund acquisitions and developments or through the issuance, when and as warranted, of additional equity securities. Our ability to access external capital on favorable terms is dependent on various factors, including general market conditions, interest rates, credit ratings on our capital stock and debt, the market’s perception of our growth potential, our current and potential future earnings and cash distributions and the market price of our capital stock. If we were unable to access external capital on favorable terms, our financial condition, results of operations, cash flow and ability to pay dividends on, and the market price of, our common stock would be adversely affected.

CRITICAL ACCOUNTING POLICIES

Our significant accounting policies are described in more detail in Note 3 to the Consolidated Financial Statements. We believe the following critical accounting policies relate to the more significant judgments and estimates used in the preparation of our consolidated financial statements.


	•	We maintain an allowance for doubtful accounts which is based on estimates of potential losses which could result from the inability of our tenants to satisfy outstanding billings with us. The allowance for doubtful accounts is an estimate based on our assessment of the creditworthiness of our tenants.

	•	We review our properties on a periodic basis for possible impairment and provide a provision if impairments are determined. We utilize the guidelines established under the Financial Accounting Standards Board’s (the “FASB”) guidance for accounting for the impairment of long lived assets to determine if impairment conditions exist. We review the expected undiscounted cash flows of each property to determine if there are any indications of impairment. If the expected undiscounted cash flows of a particular property are less than the net book basis of the property, we will recognize an impairment charge equal to the amount of carrying value of the property that exceeds the fair value of the property. Fair value is determined by discounting the future expected cash flows of the property. The preparation of the undiscounted cash flows and the calculation of fair value involve subjective assumptions such as estimated occupancy, rental rates, ultimate residual value and hold period. The discount rate used to present value the cash flows for determining fair value is also subjective.

	•	Properties are classified as held for sale when all criteria within the FASB’s guidance relating to the disposal of long lived assets are met for such properties. When properties are classified as held for sale, we cease depreciating the properties and estimate the values of such properties and measure them at the lower of depreciated cost or fair value, less costs to dispose. If circumstances arise that were previously considered unlikely, and, as a result, we decide not to sell a property previously classified as held for sale, we will reclassify such property as held and used. We estimate the value of such property and measure it at the lower of its carrying amount (adjusted for any depreciation and amortization expense that would have been recognized had the property been continuously classified as held and used) or fair value at the date of the subsequent decision not to sell. Fair value is determined by deducting from the estimated sales price of the property the estimated costs to close the sale.

	•	We analyze our investments in Joint Ventures to determine whether the joint ventures should be accounted for under the equity method of accounting or consolidated into our financial statements based on standards set forth under the FASB’s guidance relating to the consolidation of variable interest entities. Based on the guidance set forth in these pronouncements, we do not consolidate any of our joint venture investments because either the joint venture has been determined to be a variable interest entity but we are not the primary beneficiary or the joint venture has been determined not to be a variable interest entity and we lack control of the joint venture. Our assessment of whether we are the primary beneficiary of a variable interest entity involves the consideration of various factors including the form of our ownership interest, our representation on the entity’s governing body, the size of our investment and future cash flows of the entity.

	•	On a periodic basis, we assess whether there are any indicators that the value of our investments in Joint Ventures may be impaired. An investment is impaired only if our estimate of the value of the investment is less than the carrying value of the investment, and such decline in value is deemed to be other than temporary. To the extent impairment has occurred, the loss shall be measured as the excess of the carrying amount of the investment over the fair value of the investment. Our estimates of fair value for each investment are based on a number of subjective assumptions that are subject to economic and market uncertainties including, among others, demand for space, market rental rates and operating costs, the discount rate used to value the cash flows of the properties and the discount rate used to value the Joint Ventures’ debt.


	•	We capitalize (direct and certain indirect) costs incurred in developing, renovating, acquiring and rehabilitating real estate assets as part of the investment basis. Costs incurred in making certain other improvements are also capitalized. During the land development and construction periods, we capitalize interest costs, real estate taxes and certain general and administrative costs of the personnel performing development, renovations or rehabilitation up to the time the property is substantially complete. The determination and calculation of certain costs requires estimates by us. Amounts included in capitalized costs are included in the investment basis of real estate assets.

	•	We are engaged in the acquisition of individual properties as well as multi-property portfolios. We are required to allocate purchase price between land, building, tenant improvements, leasing commissions, in-place leases, tenant relationships and above and below market leases. Above-market and below-market lease values for acquired properties are recorded based on the present value (using a discount rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to each in-place lease and (ii) our estimate of fair market lease rents for each corresponding in-place lease. Acquired above and below market leases are amortized over the remaining non-cancelable terms of the respective leases as an adjustment to rental income. In-place lease and tenant relationship values for acquired properties are recorded based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with the respective tenant. The value allocated to in-place lease intangible assets is amortized to depreciation and amortization expense over the remaining lease term of the respective lease. The value allocated to tenant relationships is amortized to depreciation and amortization expense over the expected term of the relationship, which includes an estimate of the probability of lease renewal and its estimated term. We also must allocate purchase price on multi-property portfolios to individual properties. The allocation of purchase price is based on our assessment of various characteristics of the markets where the property is located and the expected cash flows of the property.

	•	In the preparation of our consolidated financial statements, significant management judgment is required to estimate our current and deferred income tax liabilities, and our compliance with REIT qualification requirements. Our estimates are based on our interpretation of tax laws. These estimates may have an impact on the income tax expense recognized. Adjustments may be required by a change in assessment of our deferred income tax assets and liabilities, changes due to audit adjustments by federal and state tax authorities, our inability to qualify as a REIT, and changes in tax laws. Adjustments required in any given period are included within the income tax provision.

	•	In assessing the need for a valuation allowance against our deferred tax assets, we estimate future taxable income, considering the feasibility of ongoing tax planning strategies and the realizability of tax loss carryforwards. In the event we were to determine that we would not be able to realize all or a portion of our deferred tax assets in the future, we would reduce such amounts through a charge to income in the period in which that determination is made. Conversely, if we were to determine that we would be able to realize our deferred tax assets in the future in excess of the net carrying amounts, we would decrease the recorded valuation allowance through an increase to income in the period in which that determination is made.

RESULTS OF OPERATIONS

Comparison of Year Ended December 31, 2010 to Year Ended December 31, 2009

Our net loss available to First Industrial Realty Trust, Inc.’s common stockholders and participating securities was $222.5 million and $13.8 million for the years ended December 31, 2010 and 2009, respectively. Basic and diluted net loss available to First Industrial Realty Trust, Inc.’s common stockholders were $3.53 per share for the year ended December 31, 2010 and $0.28 per share for the year ended December 31, 2009.

The tables below summarize our revenues, property and construction expenses and depreciation and other amortization by various categories for the years ended December 31, 2010 and December 31, 2009. Same store properties are properties owned prior to January 1, 2009 and held as an operating property through

December 31, 2010 and developments and redevelopments that were placed in service prior to January 1, 2009 or were substantially completed for the 12 months prior to January 1, 2009. Properties which are at least 75% occupied at acquisition are placed in service. All other properties are placed in service as they reach the earlier of a) stabilized occupancy (generally defined as 90% occupied), or b) one year subsequent to acquisition or development completion. Acquired properties are properties that were acquired subsequent to December 31, 2008 and held as an operating property through December 31, 2010. Sold properties are properties that were sold subsequent to December 31, 2008. (Re)Developments and land are land parcels and developments and redevelopments that were not: a) substantially complete 12 months prior to January 1, 2009 or b) stabilized prior to January 1, 2009. Other revenues are derived from the operations of our maintenance company, fees earned from our Joint Ventures and other miscellaneous revenues. Construction revenues and expenses represent revenues earned and expenses incurred in connection with the TRSs acting as development manager to construct industrial properties and also include revenues and expenses related to the development and sale of properties built for third parties. Other expenses are derived from the operations of our maintenance company and other miscellaneous regional expenses.

Our future financial condition and results of operations, including rental revenues, may be impacted by the future acquisition and sale of properties. Our future revenues and expenses may vary materially from historical rates.

For the years ended December 31, 2010 and December 31, 2009, the occupancy rates of our same store properties were 83.1% and 83.5%, respectively.


	2010			2009			$ Change			% Change
	($ in 000’s)

REVENUES
Same Store Properties	$	325,280		$	331,917		$	(6,637	)		(2.0	)%
Acquired Properties		1,133			—			1,133			—
Sold Properties		1,314			9,944			(8,630	)		(86.8	)%
(Re)Developments and Land, Not Included Above		11,870			7,044			4,826			68.5	%
Other		8,793			17,560			(8,767	)		(49.9	)%

	$	348,390		$	366,465		$	(18,075	)		(4.9	)%
Discontinued Operations		(60,718	)		(69,584	)		8,866			(12.7	)%

Subtotal Revenues	$	287,672		$	296,881		$	(9,209	)		(3.1	)%

Construction Revenues		869			54,957			(54,088	)		(98.4	)%

Total Revenues	$	288,541		$	351,838		$	(63,297	)		(18.0	)%

Revenues from same store properties decreased $6.6 million due primarily to a a decrease in rental rates and a decrease in occupancy. Revenues from acquired properties increased $1.1 million due to the three industrial properties acquired subsequent to December 31, 2008 totaling approximately 0.5 million square feet of GLA. Revenues from sold properties decreased $8.6 million due to the 28 industrial properties and one leased land parcel sold subsequent to December 31, 2008 totaling approximately 3.0 million square feet of GLA. Revenues from (re)developments and land increased $4.8 million primarily due to an increase in occupancy. Other revenues decreased $8.8 million due primarily to a decrease in fees earned from our Joint Ventures. Construction revenues decreased $54.1 million primarily due to the substantial completion prior to December 31, 2009 of certain development projects for which we were acting in the capacity of development manager.


	2010			2009			$ Change			% Change
	($ in 000’s)

PROPERTY AND CONSTRUCTION EXPENSES
Same Store Properties	$	103,148		$	105,341		$	(2,193	)		(2.1	)%
Acquired Properties		200			—			200			—
Sold Properties		713			2,940			(2,227	)		(75.7	)%
(Re) Developments and Land, Not Included Above		3,676			3,736			(60	)		(1.6	)%
Other		12,735			14,229			(1,494	)		(10.5	)%

	$	120,472		$	126,246		$	(5,774	)		(4.6	)%
Discontinued Operations		(25,747	)		(28,819	)		3,072			(10.7	)%

Property Expenses	$	94,725		$	97,427		$	(2,702	)		(2.8	)%

Construction Expenses		507			52,720			(52,213	)		(99.0	)%

Total Property and Construction Expenses	$	95,232		$	150,147		$	(54,915	)		(36.6	)%

Property expenses include real estate taxes, repairs and maintenance, property management, utilities, insurance and other property related expenses. Property expenses from same store properties decreased $2.2 million due primarily to a decrease in bad debt expense. Property expenses from acquired properties increased $0.2 million due to properties acquired subsequent to December 31, 2008. Property expenses from sold properties decreased $2.2 million due to properties sold subsequent to December 31, 2008. Property expenses from (re)developments and land remained relatively unchanged. The $1.5 million decrease in other expense is primarily attributable to a decrease in compensation. Construction expenses decreased $52.2 million primarily due to the substantial completion prior to December 31, 2009 of certain development projects for which we were acting in the capacity of development manager.

General and administrative expense decreased $11.2 million, or 29.7%, due primarily to a decrease in compensation resulting from the reduction in employee headcount occurring in 2009 and 2010, a decrease in rent expense resulting from office closings in 2009 and 2010 and a decrease in legal and professional services, partially offset by an increase in lawsuit settlements.

We committed to a plan to reduce organizational and overhead costs in October 2008 and have subsequently modified that plan with the goal of further reducing these costs. For the year ended December 31, 2010, we recognized $1.9 million in restructuring charges to provide for employee severance and benefits ($0.5 million), costs associated with the termination of certain office leases ($0.7 million) and other costs ($0.7 million) associated with implementing our restructuring plan. Due to the timing of certain related expenses, we expect to record a total of approximately $1.5 million of additional restructuring charges in subsequent quarters. We also anticipate a continued reduction of general and administrative expense in 2011 compared to 2010 as a result of the employee terminations and office closings that were a part of our restructuring plan in 2010.

For the year ended December 31, 2009, we recorded as restructuring costs a pre-tax charge of $7.8 million to provide for employee severance and benefits ($5.2 million), costs associated with the termination of certain office leases ($1.9 million) and other costs ($0.7 million) associated with implementing the restructuring plan.

Due to the expected amendment to our Unsecured Credit Facility in 2010 we reassessed the holding period of our Non-Strategic Assets. As a result of the reassessment, we recorded an impairment loss in the amount of $163.9 million during the third quarter of 2010 on 129 industrial properties comprising approximately 10.6 million square feet of GLA and land parcels comprising approximately 503 gross acres. During the fourth quarter of 2010, we recorded an additional impairment loss to certain Non-Strategic Assets in the amount of $21.5 million. The additional charge is primarily comprised of estimated closing costs on 118 industrial properties comprising 10.4 million square feet of GLA and land parcels comprising approximately 449 gross acres classified as held for sale, as well as additional impairment related to certain industrial properties and land parcels due to a change in our estimates of fair value based upon recent market

information, including receipt of third party purchase offers. For the year ended December 31, 2010, $158.7 million of the impairment loss is included in discontinued operations because our Non-Strategic Assets (except one industrial property comprising approximately 0.3 million square feet of GLA) are classified as held for sale at December 31, 2010. In addition, in connection with the negotiation of a new lease, we recorded an impairment loss in the amount of $9.2 million on one property in Grand Rapids, Michigan during the first quarter of 2010 (see Note 4 to the Consolidated Financial Statements). Additional impairments may be necessary in the future in the event that market conditions continue to deteriorate and impact the factors used to estimate fair value or in the event that we change our intent to hold a property.

As a result of adverse conditions in the credit and real estate markets, we determined in the third quarter of 2009 that an impairment loss in the amount of $6.9 million should be recorded on one property in the Inland Empire market ($1.3 million of this impairment loss is included in discontinued operations for the year ended December 31, 2009 because one building of the two-building property is classified as held for sale at December 31, 2010).


	2010			2009			$ Change			% Change
	($ in 000’s)

DEPRECIATION AND OTHER AMORTIZATION
Same Store Properties	$	128,089		$	138,313		$	(10,224	)		(7.4	)%
Acquired Properties		603			—			603			—
Sold Properties		664			4,798			(4,134	)		(86.2	)%
(Re) Developments and Land, Not Included Above		5,240			4,560			680			14.9	%
Corporate Furniture, Fixtures and Equipment		1,975			2,192			(217	)		(9.9	)%

	$	136,571		$	149,863		$	(13,292	)		(8.9	)%
Discontinued Operations		(25,054	)		(35,471	)		10,417			(29.4	)%

Total Depreciation and Other Amortization	$	111,517		$	114,392		$	(2,875	)		(2.5	)%

Depreciation and other amortization for same store properties decreased $10.2 million due primarily to accelerated depreciation and amortization taken during the year ended December 31, 2009 attributable to certain tenants who terminated their lease early as well the cessation of depreciation and amortization of the Non-Strategic Assets that qualified for held for sale classification during the fourth quarter of 2010. Depreciation and other amortization from acquired properties increased $0.6 million due to properties acquired subsequent to December 31, 2008. Depreciation and other amortization from sold properties decreased $4.1 million due to properties sold subsequent to December 31, 2008. Depreciation and other amortization for (re)developments and land and other increased $0.7 million due primarily to an increase in the substantial completion of developments. Corporate furniture, fixtures and equipment decreased $0.2 million primarily due to accelerated depreciation on furniture, fixtures and equipment taken in 2009 related to the termination of certain office leases.

Interest income increased $1.3 million, or 41.5%, due primarily to an increase in the weighted average mortgage loans receivable balance outstanding for the year ended December 31, 2010 as compared to the year ended December 31, 2009.

Interest expense, inclusive of $0.1 million and $0.5 million of interest expense included in discontinued operations for the years ended December 31, 2010 and 2009, respectively, decreased $9.3 million, or 8.0%, primarily due to a decrease in the weighted average debt balance outstanding for the year ended December 31, 2010 ($1,867.8 million), as compared to the year ended December 31, 2009 ($2,050.5 million), offset by an increase in the weighted average interest rate for the year ended December 31, 2010 (5.68%), as compared to the year ended December 31, 2009 (5.64%) and by a decrease in capitalized interest for the year ended December 31, 2010 due to a decrease in development activities.

Amortization of deferred financing costs increased $0.4 million, or 14.6%, due primarily to an increase in costs related to the amendment of our Unsecured Credit Facility in October 2010 and the origination of mortgage financings during 2010 and 2009, partially offset by expensing of capitalized loan fees as a result of the repurchase and retirement of certain of our senior unsecured notes. The net unamortized deferred financing fees related to the prior line of credit are amortized over the remaining amortization period, except for $0.2 million of unamortized deferred financing costs that were expensed as a result of the decrease in the capacity of the Unsecured Credit Facility, which is included in (Loss) Gain From Early Retirement of Debt for the year ended December 31, 2010.

In October 2008, we entered into an interest rate swap agreement (the “Series F Agreement”) to mitigate our exposure to floating interest rates related to the coupon reset of the Company’s Series F Preferred Stock. The Series F Agreement has a notional value of $50.0 million and is effective from April 1, 2009 through October 1, 2013. The Series F Agreement fixes the 30-year U.S. Treasury rate at 5.2175%. We recorded $1.1 million in mark to market loss, inclusive of reset payments, which is included in Mark-to-Market (Loss) Gain on Interest Rate Protection Agreements for the year ended December 31, 2010, as compared to $2.7 million in mark to market gain, inclusive of reset payments, for the year ended December 31, 2009. Additionally included in Mark-to-Market Gain on Interest Rate Protection Agreements for the year ended December 31, 2009 is $1.0 million related to two forward starting swaps. In January 2008, we entered into two forward starting swaps each with a notional value of $59.8 million, which fixed the interest rate on forecasted debt offerings. We designated both swaps as cash flow hedges. The rates on the forecasted debt issuances underlying the swaps locked on March 20, 2009 (the “Forward Starting Agreement 1”) and on April 6, 2009 (the “Forward Starting Agreement 2”), and as such, the swaps ceased to qualify for hedge accounting. The change in value of Forward Starting Agreement 1 and Forward Starting Agreement 2 from the respective day the interest rate on the underlying debt locked until settlement was $1.0 million and is included in Mark-to-Market Gain on Interest Rate Protection Agreements for the year ended December 31, 2009.

For the year ended December 31, 2010, we recognized a net loss from early retirement of debt of $4.3 million due primarily to the redemption of our 2011 Notes. For the year ended December 31, 2009, we recognized a $34.6 million gain from early retirement of debt due to the partial repurchase of certain series of our senior unsecured notes.

Foreign currency exchange loss of $0.2 million for the year ended December 31, 2010 relates to the Company’s wind-down of its operations in Europe.

The Gain on Sale of Joint Venture Interests of $11.2 million for the year ended December 31, 2010 relates to the sale of our 10% equity interests in each of the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner on August 5, 2010. Additionally, the gain includes approximately $2.7 million of proceeds related to the separate sales of three industrial properties by the Joint Ventures during August and October 2010 for which, in accordance with the sale agreement, we were entitled to a final distribution.

For the year ended December 31, 2010, Equity in Income of Joint Ventures was $0.7 million, as compared to Equity in Loss of Joint Ventures of $6.5 million for the year ended December 31, 2009. The variance of $7.2 million is due primarily to impairment losses of $5.6 million we recorded during the year ended December 31, 2009 related to the 2006 Net Lease Co-Investment Program as a result of adverse conditions in the credit and real estate markets and also due to the gain on sale of our 15% interest in the 2006 Net Lease Co-Investment Program which occurred during the year ended December 31, 2010, partially offset by a decrease in our pro rata share of gain on sale of real estate and earn outs on property sales from the 2005 Development/Repositioning Joint Venture and a decrease in our pro rata share of income from the 2005 Core Joint Venture during the year ended December 31, 2010, as compared to the year ended December 31, 2009.

For the year ended December 31, 2010, we recorded an income tax provision of $3.3 million, as compared to an income tax benefit of $23.2 million for the year ended December 31, 2009. The variance of $26.5 million is due primarily to a loss carryback generated from the tax liquidation of the old TRS for the

year ended December 31, 2009 as well as an increase in state taxes related to an unfavorable court decision on business loss carryforwards in the State of Michigan for the year ended December 31, 2010.

The following table summarizes certain information regarding the industrial properties included in discontinued operations for the years ended December 31, 2010 and December 31, 2009.


	2010			2009
	($ in 000’s)

Total Revenues	$	60,718		$	69,584
Property Expenses		(25,747	)		(28,819	)
Impairment Loss		(158,699	)		(1,317	)
Depreciation and Amortization		(25,054	)		(35,471	)
Interest Expense		(64	)		(502	)
Gain on Sale of Real Estate		11,092			24,206
Provision for Income Taxes		—			(1,824	)

Income from Discontinued Operations	$	(137,754	)	$	25,857

Loss from discontinued operations for the year ended December 31, 2010 reflects the results of operations and gain on sale of real estate relating to 13 industrial properties and one land parcel that generated ground rental revenue that were sold during the year ended December 31, 2010 and the results of operations of 192 industrial properties that were identified as held for sale at December 31, 2010.

Income from discontinued operations for the year ended December 31, 2009 reflects the results of operations and gain on sale of real estate relating to 15 industrial properties that were sold during the year ended December 31, 2009, the results of operations of 13 industrial properties and one land parcel that generated ground rental revenue that were sold during the year ended December 31, 2010 and the results of operations of the 192 industrial properties identified as held for sale at December 31, 2010.

The $0.9 million gain on sale of real estate for the year ended December 31, 2010 resulted from the sale of several land parcels that do not meet the criteria for inclusion in discontinued operations. The $0.4 million gain on sale of real estate for the year ended December 31, 2009 resulted from the sale of several land parcels that do not meet the criteria established for inclusion in discontinued operations.

Comparison of Year Ended December 31, 2009 to Year Ended December 31, 2008

Our net (loss) income available to First Industrial Realty Trust, Inc.’s common stockholders and participating securities was $(13.8) million and $20.2 million for the years ended December 31, 2009 and 2008, respectively. Basic and diluted net (loss) income available to First Industrial Realty Trust, Inc.’s common stockholders were $(0.28) per share for the year ended December 31, 2009 and $0.41 per share for the year ended December 31, 2008.

The tables below summarize our revenues, property and construction expenses and depreciation and other amortization by various categories for the years ended December 31, 2009 and December 31, 2008. Same store properties are properties owned prior to January 1, 2008 and held as an operating property through December 31, 2009 and developments and redevelopments that were placed in service prior to January 1, 2008 or were substantially completed for the 12 months prior to January 1, 2008. Properties which are at least 75% occupied at acquisition are placed in service. All other properties are placed in service as they reach the earlier of a) stabilized occupancy (generally defined as 90% occupied), or b) one year subsequent to acquisition or development completion. Acquired properties are properties that were acquired subsequent to December 31, 2007 and held as an operating property through December 31, 2009. Sold properties are properties that were sold subsequent to December 31, 2007. (Re)Developments and land are land parcels and developments and redevelopments that were not: a) substantially complete 12 months prior to January 1, 2008 or b) stabilized prior to January 1, 2008. Other revenues are derived from the operations of our maintenance company, fees earned from our Joint Ventures and other miscellaneous revenues. Construction revenues and expenses represent revenues earned and expenses incurred in connection with the old TRS acting as general contractor

or development manager to construct industrial properties, including industrial properties for the 2006 Development/Repositioning Joint Venture, and also include revenues and expenses related to the development of properties for third parties. Other expenses are derived from the operations of our maintenance company and other miscellaneous regional expenses.

For the years ended December 31, 2009 and December 31, 2008, the occupancy rates of our same store properties were 84.2% and 88.6%, respectively.


	2009			2008			$ Change			% Change
	($ in 000’s)

REVENUES
Same Store Properties	$	291,812		$	310,791		$	(18,979	)		(6.1	)%
Acquired Properties		28,594			15,202			13,392			88.1	%
Sold Properties		5,458			38,208			(32,750	)		(85.7	)%
(Re)Developments and Land, Not Included Above		23,043			14,894			8,149			54.7	%
Other		17,558			28,893			(11,335	)		(39.2	)%

	$	366,465		$	407,988		$	(41,523	)		(10.2	)%
Discontinued Operations		(69,584	)		(111,536	)		41,952			(37.6	)%

Subtotal Revenues	$	296,881		$	296,452		$	429			0.1	%

Construction Revenues		54,957			147,299			(92,342	)		(62.7	)%

Total Revenues	$	351,838		$	443,751		$	(91,913	)		(20.7	)%

Revenues from same store properties decreased $19.0 million due primarily to a decrease in occupancy and a decrease in tenant recoveries due to a decrease in property expenses. Revenues from acquired properties increased $13.4 million due to the 26 industrial properties acquired subsequent to December 31, 2007 totaling approximately 3.1 million square feet of GLA, as well as acquisitions of land parcels in September and October 2008 for which we receive ground rents. Revenues from sold properties decreased $32.8 million due to the 129 industrial properties sold subsequent to December 31, 2007 totaling approximately 11.1 million square feet of GLA. Revenues from (re)developments and land increased $8.1 million primarily due to an increase in occupancy. Other revenues decreased $11.3 million due primarily to a decrease in development fees earned from our Joint Ventures and a decrease in fees earned related to us assigning our interest in certain purchase contracts to third parties for consideration. Construction revenues decreased $92.3 million primarily due to the substantial completion of certain development projects for which we were acting in the capacity of development manager, offset by a development project that commenced in August 2008 for which we are acting in the capacity of development manager.


	2009			2008			$ Change			% Change
	($ in 000’s)

PROPERTY AND CONSTRUCTION EXPENSES
Same Store Properties	$	95,140		$	101,999		$	(6,859	)		(6.7	)%
Acquired Properties		6,852			3,324			3,528			106.1	%
Sold Properties		1,437			12,428			(10,991	)		(88.4	)%
(Re) Developments and Land, Not Included Above		8,588			7,444			1,144			15.4	%
Other		14,229			10,422			3,807			36.5	%

	$	126,246		$	135,617		$	(9,371	)		(6.9	)%
Discontinued Operations		(28,819	)		(42,509	)		13,690			(32.2	)%

Property Expenses	$	97,427		$	93,108		$	4,319			4.6	%

Construction Expenses		52,720			139,539			(86,819	)		(62.2	)%

Total Property and Construction Expenses	$	150,147		$	232,647		$	(82,500	)		(35.5	)%

Property expenses include real estate taxes, repairs and maintenance, property management, utilities, insurance and other property related expenses. Property expenses from same store properties decreased $6.9 million due primarily to a decrease in real estate tax expense and repairs and maintenance expense. Property expenses from acquired properties increased $3.5 million due to properties acquired subsequent to December 31, 2007. Property expenses from sold properties decreased $11.0 million due to properties sold subsequent to December 31, 2007. Property expenses from (re)developments and land increased $1.1 million due to an increase in the substantial completion of developments. Expenses are no longer capitalized to the basis of a property once the development is substantially complete. The $3.8 million increase in other expense is primarily attributable to an increase in incentive compensation. Construction expenses decreased $86.8 million primarily due to the substantial completion of certain development projects for which we were acting in the capacity of development manager, offset by a development project that commenced in August 2008 for which we are acting in the capacity of development manager.

General and administrative expense decreased $47.1 million, or 55.4%, due primarily to a decrease in compensation resulting from the reduction in employee headcount occurring in 2008 and during 2009 as well as a decrease in professional services, marketing, travel and entertainment expenses and costs associated with the pursuit of acquisitions of real estate that were abandoned.

We committed to a plan to reduce organizational and overhead costs in October 2008. On February 25 and September 25, 2009, we committed to additional modifications to the plan consisting of further organizational and overhead cost reductions. For the year ended December 31, 2009, we recorded as restructuring costs a pre-tax charge of $7.8 million to provide for employee severance and benefits ($5.2 million), costs associated with the termination of certain office leases ($1.9 million) and other costs ($0.7 million) associated with implementing the restructuring plan.

For the year ended December 31, 2008, we incurred $27.3 million in restructuring charges related to employee severance and benefits ($24.8 million), costs associated with the termination of certain office leases ($1.2 million) and contract cancellation and other costs ($1.3 million) related to our restructuring plan to reduce overhead costs.


	2009			2008			$ Change			% Change
	($ in 000’s)

DEPRECIATION AND OTHER AMORTIZATION
Same Store Properties	$	120,865		$	135,553		$	(14,688	)		(10.8	)%
Acquired Properties		13,657			11,038			2,619			23.7	%
Sold Properties		2,000			11,173			(9,173	)		(82.1	)%
(Re) Developments and Land, Not Included Above		11,149			7,951			3,198			40.2	%
Corporate Furniture, Fixtures and Equipment		2,192			2,257			(65	)		(2.9	)%

	$	149,863		$	167,972		$	(18,109	)		(10.8	)%
Discontinued Operations		(35,471	)		(52,253	)		16,782			(32.1	)%

Total Depreciation and Other Amortization	$	114,392		$	115,719		$	(1,327	)		(1.1	)%

Depreciation and other amortization for same store properties decreased $14.7 million due primarily to accelerated depreciation and amortization taken during the year ended December 31, 2008 attributable to certain tenants who terminated their lease early. Depreciation and other amortization from acquired properties increased $2.6 million due to properties acquired subsequent to December 31, 2007. Depreciation and other amortization from sold properties decreased $9.2 million due to properties sold subsequent to December 31, 2007. Depreciation and other amortization for (re)developments and land and other increased $3.2 million due primarily to an increase in the substantial completion of developments.

Interest income decreased $0.6 million, or 16.4%, due primarily to a decrease in the weighted average interest rate earned on our cash accounts during the year ended December 31, 2009, as compared to the year ended December 31, 2008, partially offset by an increase in the weighted average mortgage loans receivable balance outstanding for the year ended December 31, 2009.

Interest expense, inclusive of $0.5 million and $0.5 million of interest expense included in discontinued operations for the years ended December 31, 2009 and 2008, respectively, increased $2.3 million, or 2.0%, primarily due to an increase in the weighted average debt balance outstanding for the year ended December 31, 2009 ($2,050.5 million), as compared to the year ended December 31, 2008 ($2,026.5 million) and a decrease in capitalized interest for the year ended December 31, 2009 due to a decrease in development activities, partially offset by a decrease in the weighted average interest rate for the year ended December 31, 2009 (5.64%), as compared to the year ended December 31, 2008 (5.97%).

Amortization of deferred financing costs increased $0.2 million, or 6.7%, due primarily to loan fees related to $339.8 million in mortgage loan payables we obtained during the year ended December 31, 2009, partially offset by the write-off of loan fees related to the repurchase and retirement of certain of our senior unsecured notes.

In October 2008, we entered into the Series F Agreement to mitigate our exposure to floating interest rates related to the coupon reset of the Company’s Series F Preferred Stock. The Series F Agreement has a notional value of $50.0 million and is effective from April 1, 2009 through October 1, 2013. The Series F Agreement fixes the 30-year U.S. Treasury rate at 5.2175%. We recorded $3.2 million in mark to market gain, offset by $0.5 million payments, which is included in Mark-to-Market Gain (Loss) on Interest Rate Protection Agreements for the year ended December 31, 2009. We recorded $3.1 million in mark to market loss which is included in Mark-to-Market Gain (Loss) on Interest Rate Protection Agreements for the year ended December 31, 2008.

In January 2008, we entered into two forward starting swaps each with a notional value of $59.8 million, which fixed the interest rate on forecasted debt offerings. We designated Forward Starting Agreement 1 and Forward Starting Agreement 2 as cash flow hedges. The rates on Starting Agreement 1 and Forward Starting Agreement 2 locked on March 20, 2009 and on April 6, 2009, respectively, and as such, the swaps ceased to qualify for hedge accounting. The change in value of Forward Starting Agreement 1 and Forward Starting

Agreement 2 from the respective day the interest rate on the underlying debt locked until settlement is $1.0 million and is included in Mark-to-Market Gain on Interest Rate Protection Agreements for the year ended December 31, 2009.

For the years ended December 31, 2009 and 2008, we recognized a net gain from early retirement of debt of $34.6 million and $2.7 million, respectively, due to the partial repurchase of certain series of our senior unsecured notes.

Equity in loss of Joint Ventures decreased approximately $26.7 million, or 80.5%, due primarily to a decrease in impairment loss during the year ended December 31, 2009 as compared to the year ended December 31, 2008. During 2008, we recorded impairment losses of $25.8 million, $10.1 million, $3.2 million, $2.2 million and $1.2 million related to the 2005 Development/Repositioning Joint Venture, 2006 Land/Development Joint Venture, the 2005 Core Joint Venture, the 2006 Net Lease Co-Investment Program and the 2003 Net Lease Joint Venture, respectively. During 2009, we recorded impairment losses of $5.6 million and $1.6 million related to the 2006 Net Lease Co-Investment Program and the 2003 Net Lease Joint Venture, respectively. The decrease in impairment loss recorded is offset by a decrease in our pro rata share of gain on sale of real estate and earn outs on property sales from the 2005 Core Joint Venture and from the 2005 Development/Repositioning Joint Venture during the year ended December 31, 2009 as compared to the year ended December 31, 2008.

The income tax benefit (included in continuing operations, discontinued operations and gain on sale) increased $18.9 million, or 440.8%, due primarily to a loss carryback generated from the tax liquidation of the old TRS and a decrease in state income taxes due to the reversal of prior tax expense related to a favorable court decision on business loss carryforwards in the State of Michigan.

The following table summarizes certain information regarding the industrial properties included in our discontinued operations for the years ended December 31, 2009 and December 31, 2008.


	2009			2008
	($ in 000’s)

Total Revenues	$	69,584		$	111,536
Property Expenses		(28,819	)		(42,509	)
Impairment Loss		(1,317	)		—
Depreciation and Amortization		(35,471	)		(52,253	)
Interest Expense		(502	)		(497	)
Gain on Sale of Real Estate		24,206			172,167
Provision for Income Taxes		(1,824	)		(5,166	)

Income from Discontinued Operations	$	25,857		$	183,278

Income from discontinued operations for the year ended December 31, 2009 reflects the results of operations and gain on sale of real estate relating to 15 industrial properties that were sold during the year ended December 31, 2009, the results of operations of 13 industrial properties that were sold during the year ended December 31, 2010 and the results of operations of the 192 industrial properties identified as held for sale at December 31, 2010.

Income from discontinued operations for the year ended December 31, 2008 reflects the results of operations and gain on sale of real estate relating to 113 industrial properties that were sold during the year ended December 31, 2008, the results of operations of 15 industrial properties that were sold during the year ended December 31, 2009, the results of operations of 13 industrial properties that were sold during the year ended December 31, 2010 and the results of operations of the 192 industrial properties identified as held for sale at December 31, 2010.

The $0.4 million gain on sale of real estate for the year ended December 31, 2009 resulted from the sale of several land parcels that do not meet the criteria established for inclusion in discontinued operations. The $12.0 million gain on sale of real estate for the year ended December 31, 2008 resulted from the sale of one

industrial property and several land parcels that do not meet the criteria for inclusion in discontinued operations.

LIQUIDITY AND CAPITAL RESOURCES

At December 31, 2010, our cash and cash equivalents was approximately $26.0 million. We also had $22.6 million available for additional borrowings under our Unsecured Credit Facility.

We have considered our short-term (one year or less) liquidity needs and the adequacy of our estimated cash flow from operations and other expected liquidity sources to meet these needs. Our 2011 Exchangeable Notes, in the aggregate principal amount of $128.9 million, are due on September 15, 2011. We expect to satisfy the payment obligations on the 2011 Exchangeable Notes with proceeds from property dispositions, the issuance of additional secured debt and the issuance of common equity, subject to market conditions (see Subsequent Events). With the exception of the 2011 Exchangeable Notes, we believe that our principal short-term liquidity needs are to fund normal recurring expenses, property acquisitions, developments, renovations, expansions and other nonrecurring capital improvements, debt service requirements, mortgage financing maturities and the minimum distributions required to maintain our REIT qualification under the Code. We anticipate that these needs will be met with cash flows provided by operating and investing activities, including the disposition of select assets. In addition, we plan to retain capital by distributing the minimum amount of dividends required to maintain our REIT status. We did not pay a common stock dividend in 2010 and may not pay dividends in 2011 depending on our taxable income. If we are required to pay common stock dividends in 2011, we may elect to satisfy this obligation by distributing a combination of cash and common shares.

We expect to meet long-term (greater than one year) liquidity requirements such as property acquisitions, developments, scheduled debt maturities, major renovations, expansions and other nonrecurring capital improvements through the disposition of select assets, long-term unsecured and secured indebtedness and the issuance of additional equity securities, subject to market conditions.

We also have financed the development or acquisition of additional properties through borrowings under our Unsecured Credit Facility and may finance the development or acquisition of additional properties through such borrowings, to the extent capacity is available, in the future. At December 31, 2010, borrowings under our Unsecured Credit Facility bore interest at a weighted average interest rate of 3.376%. Our Unsecured Credit Facility of is comprised of a $200.0 million term loan and a $200.0 million revolving facility. The interest rate on the term loan is LIBOR plus 325 basis points or a base rate plus 225 basis points, at our election. The revolving facility currently bears interest at a floating rate of LIBOR plus 275 basis points or a base rate plus 175 basis points, at our election. As of February 23, 2011, we had approximately $12.3 million available for additional borrowings under our Unsecured Credit Facility. Our Unsecured Credit Facility contains certain financial covenants including limitations on incurrence of debt and debt service coverage. Our access to borrowings may be limited if we fail to meet any of these covenants. We believe that we were in compliance with our financial covenants as of December 31, 2010, and we anticipate that we will be able to operate in compliance with our financial covenants in 2011.

Our senior unsecured notes have been assigned credit ratings from Standard & Poor’s, Moody’s and Fitch Ratings of BB-/Ba3/BB-, respectively. In the event of a downgrade, we believe we would continue to have access to sufficient capital; however, our cost of borrowing would increase and our ability to access certain financial markets may be limited.

Year Ended December 31, 2010

Net cash provided by operating activities of $83.2 million for the year ended December 31, 2010 was comprised primarily of the non-cash adjustments of approximately $320.3 million and operating distributions received in excess of equity in income of Joint Ventures of $2.3 million, offset by net loss before noncontrolling interest of approximately $221.6 million, net change in operating assets and liabilities of approximately $11.0 million and amortization of premiums and discounts associated with senior unsecured

notes of approximately $6.8 million. The adjustments for the non-cash items of approximately $320.3 million are primarily comprised of depreciation and amortization of approximately $148.7 million, the impairment of real estate of $194.5 million, the loss on the early retirement of debt of approximately $4.3 million, mark to market loss related to the Series F Agreement of approximately $1.1 million and the provision for bad debt of approximately $1.9 million, offset by the gain on sale of real estate of approximately $12.0 million, a gain on sale of joint venture interests of approximately $11.2 million and the effect of the straight-lining of rental income of approximately $7.0 million.

Net cash used in investing activities of approximately $9.9 million for the year ended December 31, 2010, was comprised primarily of the acquisition of real estate, capital expenditures related to the improvement of existing real estate, payments related to leasing activities, an increase in mortgage payable escrows and contributions to, and investments in, our Joint Ventures, offset by net proceeds from the sale of real estate, distributions and sale proceeds from our Joint Ventures and the repayments on our mortgage note receivables.

We invested approximately $0.8 million in, and received total distributions of approximately $14.6 million (including sale proceeds of approximately $5.0 million from the sales of our joint venture interests to our joint venture partner) from, our Joint Ventures. As of December 31, 2010, our industrial real estate Joint Ventures owned nine industrial properties comprising approximately 4.9 million square feet of GLA.

During the year ended December 31, 2010, we sold 13 industrial properties comprising approximately 1.1 million square feet of GLA and several land parcels. Proceeds from the sales of the 13 industrial properties and several land parcels, net of closing costs, were approximately $68.0 million. We are in various stages of discussions with third parties for the sale of additional properties and plan to continue to selectively market other properties for sale throughout 2011. We expect to use at least a portion of sale proceeds to pay down additional debt. If we are unable to sell properties on an advantageous basis, this may impair our liquidity and our ability to meet our financial covenants.

During the year ended December 31, 2010, we acquired three industrial properties comprising approximately 0.5 million square feet of GLA, including one industrial property purchased from the 2005 Development/Repositioning Joint Venture. The purchase price of these acquisitions totaled approximately $22.4 million, excluding costs incurred in conjunction with the acquisition of the industrial properties.

Net cash used in financing activities of approximately $230.4 million for the year ended December 31, 2010, was comprised primarily of net repayments on our Unsecured Credit Facility, repurchases of and repayments on our unsecured notes and mortgage loans payable, preferred stock dividends, payments of debt issuance costs, the repurchase and retirement of restricted stock, payments on the interest rate swap agreement, costs associated with the Company’s DRIP and the Company’s ATM and other costs associated with the early retirement of debt, offset by proceeds from the new mortgage financings and proceeds from the issuance of common stock.

During the year ended December 31, 2010, we received proceeds from the origination of $105.6 million in mortgage financings. We continue to engage various lenders regarding the origination of additional mortgage financings and the terms and conditions thereof. To the extent additional mortgage financing is originated, we expect to use proceeds received to pay down our other debt. No assurances can be made that additional mortgage financing will be obtained.

During the year ended December 31, 2010, we redeemed and/or repurchased $264.8 million of our unsecured notes at an aggregate purchase price of $265.9 million. We may from time to time repay additional amounts of our outstanding debt. Any repayments would depend upon prevailing market conditions, our liquidity requirements, contractual restrictions and other factors we consider important. Future repayments may materially impact our liquidity, taxable income and results of operations.

During the year ended December 31, 2010, we issued 6,345,169 shares of the Company’s common stock under the direct stock purchase component of the DRIP and the ATM, resulting in net proceeds of approximately $50.1 million. On December 31, 2010, we concluded the ATM as a result of the expiration of the of distribution agreements with our sales agents. We may opportunistically access the equity markets again, including through a new ATM, subject to contractual restrictions, and may continue to issue shares

under the direct stock purchase component of the DRIP. To the extent additional equity offerings occur, we expect to use at least a portion of the proceeds received to reduce our indebtedness.

Contractual Obligations and Commitments

The following table lists our contractual obligations and commitments as of December 31, 2010 (in thousands):


			Payments Due by Period
			Less Than
	Total		1 Year		1-3 Years		3-5 Years		Over 5 Years

Operating and Ground Leases(1)	$	33,162	$	1,795	$	2,348	$	1,668	$	27,351
Long-term Debt		1,749,350		141,967		472,048		274,809		860,526
Interest Expense on Long-Term Debt(1)(2)		689,854		89,386		159,530		132,405		308,533

Total	$	2,472,366	$	233,148	$	633,926	$	408,882	$	1,196,410


(1)		Not on balance sheet.

(2)		Does not include interest expense on our Unsecured Credit Facility.

Off-Balance Sheet Arrangements

Letters of credit are issued in most cases as pledges to governmental entities for development purposes. At December 31, 2010, we have $1.5 million in outstanding letters of credit, none of which are reflected as liabilities on our balance sheet. We have no other off-balance sheet arrangements, as defined in Item 303 of Regulation S-K, other than those disclosed on the Contractual Obligations and Commitments table above, that have or are reasonably likely to have a current or future effect on our financial condition, results of operation or liquidity and capital resources.

Environmental

We paid approximately $0.6 million and $2.3 million in 2010 and 2009, respectively, related to environmental expenditures. We estimate 2011 expenditures of approximately $1.1 million. We estimate that the aggregate expenditures which need to be expended in 2011 and beyond with regard to currently identified environmental issues will not exceed approximately $3.4 million.

Inflation

For the last several years, inflation has not had a significant impact on the Company because of the relatively low inflation rates in our markets of operation. Most of our leases require the tenants to pay their share of operating expenses, including common area maintenance, real estate taxes and insurance, thereby reducing our exposure to increases in costs and operating expenses resulting from inflation. In addition, many of the outstanding leases expire within six years which may enable us to replace existing leases with new leases at higher base rentals if rents of existing leases are below the then-existing market rate.

Market Risk

The following discussion about our risk-management activities includes “forward-looking statements” that involve risk and uncertainties. Actual results could differ materially from those projected in the forward-looking statements. Our business subjects us to market risk from interest rates, and to a much lesser extent, foreign currency fluctuations.

Interest Rate Risk

This analysis presents the hypothetical gain or loss in earnings, cash flows or fair value of the financial instruments and derivative instruments which are held by us at December 31, 2010 that are sensitive to

changes in the interest rates. While this analysis may have some use as a benchmark, it should not be viewed as a forecast.

In the normal course of business, we also face risks that are either non-financial or non-quantifiable. Such risks principally include credit risk and legal risk and are not represented in the following analysis.

At December 31, 2010, approximately $1,366.6 million (approximately 78.4% of total debt at December 31, 2010) of our debt was fixed rate debt and approximately $376.2 million (approximately 21.6% of total debt at December 31, 2010) was variable rate debt. Currently, we do not enter into financial instruments for trading or other speculative purposes.

For fixed rate debt, changes in interest rates generally affect the fair value of the debt, but not our earnings or cash flows. Conversely, for variable rate debt, changes in the base interest rate used to calculate the all-in interest rate generally do not impact the fair value of the debt, but would affect our future earnings and cash flows. The interest rate risk and changes in fair market value of fixed rate debt generally do not have a significant impact on us until we are required to refinance such debt. See Note 6 to the Consolidated Financial Statements for a discussion of the maturity dates of our various fixed rate debt.

Based upon the amount of variable rate debt outstanding at December 31, 2010, a 10% increase or decrease in the interest rate on our variable rate debt would decrease or increase, respectively, future net income and cash flows by approximately $1.3 million per year. The foregoing calculation assumes an instantaneous increase or decrease in the rates applicable to the amount of borrowings outstanding under our Unsecured Credit Facility at December 31, 2010. Changes in LIBOR could result in a greater than 10% increase in such rates. In addition, the calculation does not account for our option to elect the lower of two different interest rates under our borrowings or other possible actions, such as prepayment, that we might take in response to any rate increase. A 10% increase in interest rates would decrease the fair value of the fixed rate debt at December 31, 2010 by approximately $42.4 million to $1,358.1 million. A 10% decrease in interest rates would increase the fair value of the fixed rate debt at December 31, 2010 by approximately $45.4 million to $1,445.9 million.

The use of derivative financial instruments allows us to manage risks of increases in interest rates with respect to the effect these fluctuations would have on our earnings and cash flows. As of December 31, 2010, we had one outstanding derivative with a notional amount of $50.0 million which mitigates our exposure to floating interest rates related to the reset rate of our Series F Preferred Stock (see Note 14 to the Consolidated Financial Statements).

Foreign Currency Exchange Rate Risk

Owning, operating and developing industrial property outside of the United States exposes us to the possibility of volatile movements in foreign exchange rates. Changes in foreign currencies can affect the operating results of international operations reported in U.S. dollars and the value of the foreign assets reported in U.S. dollars. The economic impact of foreign exchange rate movements is complex because such changes are often linked to variability in real growth, inflation, interest rates, governmental actions and other factors. At December 31, 2010, we owned several land parcels for which the U.S. dollar was not the functional currency. These land parcels are located in Ontario, Canada and use the Canadian dollar as their functional currency.

Subsequent Events

On February 10, 2011, we prepaid and retired our secured mortgage debt maturing in September 2012 in the amount of $14.5 million, excluding a prepayment fee of $0.1 million.

On February 18, 2011, we entered into a loan commitment with a major life insurance company lender for mortgage loans, aggregating to $178.3 million. The closings of the mortgage loans are subject to lender due diligence and there can be no assurance that the mortgage loans will close or, if closed, will generate the anticipated proceeds. The mortgage loans are expected to be cross-collateralized by 32 industrial properties, have a term of seven years and bear interest at 4.45%.

Related Party Transactions

We periodically engage in transactions for which CB Richard Ellis, Inc. acts as a broker. A relative of Michael W. Brennan, the former President and Chief Executive Officer and a former director of the Company, is an employee of CB Richard Ellis, Inc. For the year ended December 31, 2008, this relative received approximately $0.1 million in brokerage commissions or other fees for transactions with the Company and the Joint Ventures.

Other

In July 2010, the FASB issued a new accounting standard that requires enhanced disclosures about financing receivables, including the allowance for credit losses, credit quality and impaired loans. This standard is effective for fiscal years ending after December 15, 2010. We adopted the standard in the fourth quarter 2010 and it did not have a material impact to our financial statements.

In June 2009, the FASB issued new guidance which revises and updates previously issued guidance related to variable interest entities. This new guidance, which became effective January 1, 2010, revises the previous guidance by eliminating the exemption for qualifying special purpose entities, by establishing a new approach for determining who should consolidate a variable-interest entity and by changing when it is necessary to reassess who should consolidate a variable- interest entity. We adopted this new guidance on January 1, 2010. However, the adoption of this guidance did not impact our financial position or results of operations.


Item 7A.	*Quantitative and Qualitative Disclosures About Market Risk*

Response to this item is included in Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations” above.


Item 8.	*Financial Statements and Supplementary Data*

See Index to Financial Statements and Financial Statement Schedule included in Item 15.


Item 9.	*Changes in and Disagreements with Accountants on Accounting and Financial Disclosure*

None.


Item 9A.	*Controls and Procedures*

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our periodic reports pursuant to the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required financial disclosure.

We carried out an evaluation, under the supervision and with the participation of our management, including the principal executive officer and principal financial officer, of the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Exchange Act Rule 13a-15(b) as of the end of the period covered by this report. Based upon this evaluation, our principal executive officer and principal

financial officer concluded that our disclosure controls and procedures were effective as of the end of the period covered by this report.

Management’s Report on Internal Control Over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting. Our internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.

Our management has assessed the effectiveness of our internal control over financial reporting as of December 31, 2010. In making its assessment of internal control over financial reporting, management used the criteria described in the Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission.

Our management has concluded that, as of December 31, 2010, our internal control over financial reporting was effective.

The effectiveness of our internal control over financial reporting as of December 31, 2010 has been audited by PricewaterhouseCoopers LLP, an independent registered public accounting firm, as stated in their report which appears herein within Item 15. See Report of Independent Registered Public Accounting Firm.

Changes in Internal Control Over Financial Reporting

There has been no change in our internal control over financial reporting that occurred during the fourth quarter of 2010 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.


Item 9B.	*Other Information*

None.

PART III


Item 10, 11, 12, 13 and 14.	Directors, Executive Officers and Corporate Governance, Executive Compensation, Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters, Certain Relationships and Related Transactions and Director Independence and Principal Accountant Fees and Services

The information required by Item 10, Item 11, Item 12, Item 13 and Item 14 is hereby incorporated or furnished, solely to the extent required by such item, from the Company’s definitive proxy statement, which is expected to be filed with the SEC no later than 120 days after the end of the Company’s fiscal year. Information from the Company’s definitive proxy statement shall not be deemed to be “filed” or “soliciting material,” or subject to liability for purposes of Section 18 of the Securities Exchange Act of 1934 to the maximum extent permitted under the Exchange Act.

PART IV


Item 15.	*Exhibits and Financial Statement Schedules*

(a) Financial Statements, Financial Statement Schedule and Exhibits

(1 & 2) See Index to Financial Statements and Financial Statement Schedule.

(3) Exhibits:


Exhibits			Description

	3	.1	Amended and Restated Articles of Incorporation of the Company (incorporated by reference to Exhibit 3.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.2	Amended and Restated Bylaws of the Company, dated September 4, 1997 (incorporated by reference to Exhibit 1 of the Company’s Form 8-K, dated September 4, 1997, as filed on September 29, 1997, File No. 1-13102)
	3	.3	Articles of Amendment to the Company’s Articles of Incorporation, dated June 20, 1994 (incorporated by reference to Exhibit 3.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.4	Articles of Amendment to the Company’s Articles of Incorporation, dated May 31, 1996 (incorporated by reference to Exhibit 3.3 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.5	Articles Supplementary relating to the Company’s 6.236% Series F Flexible Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 3.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	3	.6	Articles Supplementary relating to the Company’s 7.236% Series G Flexible Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 3.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	3	.7	Articles Supplementary relating to the Company’s Junior Participating Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 4.10 of Form S-3 of the Company and First Industrial, L.P. dated September 24, 1997, Registration No. 333-29879)
	3	.8	Articles Supplementary relating to the Company’s 7.25% Series J Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company filed January 17, 2006, File No. 1-13102)
	3	.9	Articles Supplementary relating to the Company’s 7.25% Series K Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 1.6 of the Form 8-A of the Company, as filed on August 18, 2006, File No. 1-13102)
	4	.1	Deposit Agreement, dated May 27, 2004, by and among the Company, EquiServe Inc. and EquiServe Trust Company, N.A. and holders from time to time of Series F Depositary Receipts (incorporated by reference to Exhibit 4.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	4	.2	Deposit Agreement, dated May 27, 2004, by and among the Company, EquiServe Inc. and EquiServe Trust Company, N.A. and holders from time to time of Series G Depositary Receipts (incorporated by reference to Exhibit 4.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	4	.3	Remarketing Agreement, dated May 27,2004, relating to 50,000 depositary shares, each representing 1/100 of a share of the Series F Flexible Cumulative Redeemable Preferred Stock, by and among Lehman Brothers Inc., the Company and First Industrial, L.P. (incorporated by reference to Exhibit 1.2 of the Form 8-K of the Company, dated May 27, 2004, File No. 1-13102)
	4	.4	Remarketing Agreement, dated May 27,2004, relating to 25,000 depositary shares, each representing 1/100 of a share of the Series G Flexible Cumulative Redeemable Preferred Stock, by and among Lehman Brothers Inc., the Company and First Industrial, L.P. (incorporated by reference to Exhibit 1.3 of the Form 8-K of the Company, dated May 27, 2004, File No. 1-13102)
	4	.5	Deposit Agreement, dated January 13,2006, by and among the Company, Computershare Shareholder Services, Inc. and Computershare Trust Company, N.A., as depositary, and holders from time to time of Series J Depositary Receipts (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company, filed January 17, 2006, File No. 1-13102)
	4	.6	Deposit Agreement, dated August 21, 2006, by and among the Company, Computershare Shareholder Services, Inc. and Computershare Trust Company, N.A., as depositary, and holders from time to time of Series K Depositary Receipts (incorporated by reference to Exhibit 1.7 of the Form 8-A of the Company, as filed on August 18, 2006, File No. 1-13102)


Exhibits			Description

	4	.7	Indenture, dated as of May 13, 1997,between First Industrial, L.P. and First Trust National Association, as Trustee (incorporated by reference to Exhibit 4.1 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1997, as amended by Form 10-Q/A No. 1 of the Company filed May 30, 1997, File No. 1-13102)
	4	.8	Supplemental Indenture No. 1, dated as of May 13, 1997, between First Industrial, L.P. and First Trust National Association as Trustee relating to $100 million of 7.15% Notes due 2027 (incorporated by reference to Exhibit 4.2 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1997, as amended by Form 10-Q/A No. 1 of the Company filed May 30, 1997, File No. 1-13102)
	4	.9	Supplemental Indenture No. 3 dated October 28, 1997 between First Industrial, L.P. and First Trust National Association providing for the issuance of Medium-Term Notes due Nine Months or more from Date of Issue (incorporated by reference to Exhibit 4.1 of Form 8-K of First Industrial, L.P., dated November 3, 1997, as filed November 3, 1997, File No. 333-21873)
	4	.10	7.50% Medium-Term Note due 2017 in principal amount of $100 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.19 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1997, File No. 1-13102)
	4	.11	Trust Agreement, dated as of May 16, 1997, between First Industrial, L.P. and First Bank National Association, as Trustee (incorporated by reference to Exhibit 4.5 of the Form 10-Q of First Industrial, L.P. for the fiscal quarter ended March 31, 1997, File No. 333-21873)
	4	.12	7.60% Notes due 2028 in principal amount of $200 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.2 of the Form 8-K of First Industrial, L.P. dated July 15, 1998, File No. 333-21873)
	4	.13	Supplemental Indenture No. 5, dated as of July 14, 1998, between First Industrial, L.P. and U.S. Bank Trust National Association, relating to First Industrial, L.P.’s 7.60% Notes due July 15, 2028 (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P. dated July 15, 1998, File No. 333-21873)
	4	.14	Supplemental Indenture No. 7 dated as of April 15, 2002, between First Industrial, L.P. and U.S. Bank National Association, relating to First Industrial, L.P.’s 6.875% Notes due 2012 and 7.75% Notes due 2032 (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P. dated April 4, 2002, File No. 333-21873)
	4	.15	Form of 6.875% Notes due in 2012 in the principal amount of $200 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.2 of the Form 8-K of First Industrial, L.P., dated April 4, 2002, File No. 333-21873)
	4	.16	Form of 7.75% Notes due 2032 in the principal amount of $50.0 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.3 of the Form 8-K of First Industrial, L.P., dated April 4, 2002, File No. 333-21873)
	4	.17	Supplemental Indenture No. 8, dated as of May 17, 2004, relating to 6.42% Senior Notes due June 1, 2014, by and between First Industrial, L.P. and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P., dated May 27, 2004, File No. 333-21873)
	4	.18	Supplemental Indenture No. 10, dated as of January 10, 2006, relating to 5.75% Senior Notes due 2016, by and between the Operating Partnership and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company, filed January 11, 2006, File No. 1-13102)
	4	.19	Indenture dated as of September 25, 2006 among First Industrial, L.P., as issuer, the Company, as guarantor, and U.S. Bank National Association, as trustee (incorporated by reference to Exhibit 4.1 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)
	4	.20	Form of 4.625% Exchangeable Senior Note due 2011 (incorporated by reference to Exhibit 4.2 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)


Exhibits			Description

	4	.21	Registration Rights Agreement dated September 25, 2006 among the Company, First Industrial, L.P. and the Initial Purchasers named therein (incorporated by reference to Exhibit 10.1 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)
	4	.22	Supplemental Indenture No. 11, dated as of May 7, 2007, relating to 5.95% Senior Notes due 2017, by and between the Operating Partnership and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company, filed May 5, 2007, File No. 1-13102)
	10	.1	Eleventh Amended and Restated Partnership Agreement of First Industrial, L.P. dated August 21, 2006 (the “LP Agreement”) (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company, filed August 22, 2006, File No. 1-13102)
	10	.2	Sales Agreement by and among the Company, First Industrial, L.P. and Cantor Fitzgerald & Co. dated September 16, 2004 (incorporated by reference to Exhibit 1.1 of the Form 8-K of the Company, dated September 16, 2004, File No. 1-13102)
	10	.3	Non-Competition Agreement between Jay H. Shidler and First Industrial Realty Trust, Inc. (incorporated by reference to Exhibit 10.16 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1994, File No. 1-13102)
	10	.4	Form of Non-Competition Agreement between each of Michael T. Tomasz, Paul T. Lambert, Michael J. Havala, Michael W. Brennan, Michael G. Damone, Duane H. Lund, and Johannson L. Yap and First Industrial Realty Trust, Inc. (incorporated by reference to Exhibit 10.14 to the Company’s Registration Statement on Form S-11, File No. 33-77804)
	10	.5†	1994 Stock Incentive Plan (incorporated by reference to Exhibit 10.37 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1994, File No. 1-13102)
	10	.6†	First Industrial Realty Trust, Inc. Deferred Income Plan (incorporated by reference to Exhibit 10 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1996, File No. 1-13102)
	10	.7	Contribution Agreement, dated March 19, 1996, among FR Acquisitions, Inc. and the parties listed on the signature pages thereto (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company, dated April 3, 1996, File No. 1-13102)
	10	.8	Contribution Agreement, dated January 31, 1997, among FR Acquisitions, Inc. and the parties listed on the signature pages thereto (incorporated by reference to Exhibit 10.58 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1996, File No. 1-13102)
	10	.9†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and Michael W. Brennan dated November 26, 2008 (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed November 28, 2008, File No. 1-13102)
	10	.10†	1997 Stock Incentive Plan (incorporated by reference to Exhibit 10.62 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1996, File No. 1-13102)
	10	.11†	2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.34 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2001, File No. 1-13102)
	10	.12†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and Michael J. Havala dated December 22, 2008 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed December 23, 2008, File No. 1-13102)
	10	.13†	Employment Agreement, dated March 31, 2002, between First Industrial Realty Trust, Inc. and Johannson L. Yap (incorporated by reference to Exhibit 10.2 of the Form 10-Q of First Industrial Realty Trust, Inc. for the fiscal quarter ended March 31, 2002, File No. 1-13102)
	10	.14†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and David P. Draft dated November 25, 2008 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed November 28, 2008, File No. 1-13102)
	10	.15†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.3 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.16†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.4 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.17†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.5 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)


Exhibits			Description

	10	.18†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.6 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.19	Sixth Amended and Restated Unsecured Revolving Credit and Term Loan Agreement dated as of October 22, 2010 among the First Industrial, L.P., First Industrial Realty Trust, Inc., JP Morgan Chase Bank, N.A. and the other lenders thereunder (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed October 25, 2010, File No. 1-13102)
	10	.20†	Form of Restricted Stock Agreement (Director’s Annual Retainer) (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed May 19, 2006, File No. 1-13102)
	10	.21†	Amendment No. 1 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2006, File No. 1-13102)
	10	.22†	Amendment No. 2 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2007, File No. 1-13102)
	10	.23†	Amendment No. 1 to the Company’s 1994 Stock Incentive Plan (incorporated by reference to Exhibit 10.24 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.24†	Amendment No. 1 to the Company’s 1997 Stock Incentive Plan (incorporated by reference to Exhibit 10.25 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.25†	Form of Director Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.26 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.26†	Form of Director Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.27 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.27†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.28 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.28†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.29 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.29†	Amendment No. 3 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 2008, File No. 1-13102)
	10	.30†	Form of Employee Restricted Stock Unit Award Agreement (incorporated by reference to Exhibit 10.2 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 2008, File No. 1-13102)
	10	.31†	First Amendment, dated as of December 29, 2008, to Employment Agreement, dated March 31, 2002, between First Industrial Realty Trust, Inc. and Johannson L. Yap (incorporated by reference to Exhibit 10.33 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, File No. 1-13102)
	10	.32†	Employment Agreement dated as of January 9, 2009 among First Industrial Realty Trust, Inc., First Industrial L.P. and Bruce W. Duncan (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed January 12, 2009, File No. 1-13102)
	10	.33†	Restricted Stock Unit Award Agreement dated as of January 9, 2009 between First Industrial Realty Trust, Inc. and Bruce W. Duncan (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed January 12, 2009, File No. 1-13102)
	10	.34†	2009 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Company’s Form 10-Q for the period ended June 30, 2009, File No. 1-13102)


Exhibits			Description

	10	.35†	Form of Employee Restricted Stock Unit Award Agreement (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed July 15, 2009, File No. 1-13102)
	10	.36†	Amendment No. 1, dated as of February 5, 2009, to the Restricted Stock Unit Award Agreement, dated as of January 9, 2009, by and between First Industrial Realty Trust, Inc. and Bruce W. Duncan (incorporated by reference to Exhibit 10.1 of the Company’s Form 10-Q for the period ended March 31, 2009, File No. 1-13102)
	10	.37†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed March 4, 2010, File No. 1-13102)
	10	.38	Distribution Agreement among the First Industrial Realty Trust, Inc., First Industrial, L.P. and J.P. Morgan Securities Inc. dated May 4, 2010 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed May 4, 2010, File No. 1-13102)
	10	.39†	Form of Employee Service Based Bonus Agreement (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed July 7, 2010, File No. 1-13102)
	21	.1*	Subsidiaries of the Registrant
	23	*	Consent of PricewaterhouseCoopers LLP
	31	.1*	Certification of Principal Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended
	31	.2*	Certification of Principal Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended
	32	**	Certification of the Principal Executive Officer and Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002


*		Filed herewith.

**		Furnished herewith.

†		Indicates a compensatory plan or arrangement contemplated by Item 15 a (3) of Form 10-K.

EXHIBIT INDEX


Exhibits			Description

	3	.1	Amended and Restated Articles of Incorporation of the Company (incorporated by reference to Exhibit 3.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.2	Amended and Restated Bylaws of the Company, dated September 4, 1997 (incorporated by reference to Exhibit 1 of the Company’s Form 8-K, dated September 4, 1997, as filed on September 29, 1997, File No. 1-13102)
	3	.3	Articles of Amendment to the Company’s Articles of Incorporation, dated June 20, 1994 (incorporated by reference to Exhibit 3.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.4	Articles of Amendment to the Company’s Articles of Incorporation, dated May 31, 1996 (incorporated by reference to Exhibit 3.3 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 1996, File No. 1-13102)
	3	.5	Articles Supplementary relating to the Company’s 6.236% Series F Flexible Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 3.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	3	.6	Articles Supplementary relating to the Company’s 7.236% Series G Flexible Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 3.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	3	.7	Articles Supplementary relating to the Company’s Junior Participating Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 4.10 of Form S-3 of the Company and First Industrial, L.P. dated September 24, 1997, Registration No. 333-29879)
	3	.8	Articles Supplementary relating to the Company’s 7.25% Series J Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company filed January 17, 2006, File No. 1-13102)
	3	.9	Articles Supplementary relating to the Company’s 7.25% Series K Cumulative Redeemable Preferred Stock, $0.01 par value (incorporated by reference to Exhibit 1.6 of the Form 8-A of the Company, as filed on August 18, 2006, File No. 1-13102)
	4	.1	Deposit Agreement, dated May 27, 2004, by and among the Company, EquiServe Inc. and EquiServe Trust Company, N.A. and holders from time to time of Series F Depositary Receipts (incorporated by reference to Exhibit 4.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	4	.2	Deposit Agreement, dated May 27, 2004, by and among the Company, EquiServe Inc. and EquiServe Trust Company, N.A. and holders from time to time of Series G Depositary Receipts (incorporated by reference to Exhibit 4.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	4	.3	Remarketing Agreement, dated May 27,2004, relating to 50,000 depositary shares, each representing 1/100 of a share of the Series F Flexible Cumulative Redeemable Preferred Stock, by and among Lehman Brothers Inc., the Company and First Industrial, L.P. (incorporated by reference to Exhibit 1.2 of the Form 8-K of the Company, dated May 27, 2004, File No. 1-13102)
	4	.4	Remarketing Agreement, dated May 27,2004, relating to 25,000 depositary shares, each representing 1/100 of a share of the Series G Flexible Cumulative Redeemable Preferred Stock, by and among Lehman Brothers Inc., the Company and First Industrial, L.P. (incorporated by reference to Exhibit 1.3 of the Form 8-K of the Company, dated May 27, 2004, File No. 1-13102)
	4	.5	Deposit Agreement, dated January 13,2006, by and among the Company, Computershare Shareholder Services, Inc. and Computershare Trust Company, N.A., as depositary, and holders from time to time of Series J Depositary Receipts (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company, filed January 17, 2006, File No. 1-13102)
	4	.6	Deposit Agreement, dated August 21, 2006, by and among the Company, Computershare Shareholder Services, Inc. and Computershare Trust Company, N.A., as depositary, and holders from time to time of Series K Depositary Receipts (incorporated by reference to Exhibit 1.7 of the Form 8-A of the Company, as filed on August 18, 2006, File No. 1-13102)


Exhibits			Description

	4	.7	Indenture, dated as of May 13, 1997,between First Industrial, L.P. and First Trust National Association, as Trustee (incorporated by reference to Exhibit 4.1 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1997, as amended by Form 10-Q/A No. 1 of the Company filed May 30, 1997, File No. 1-13102)
	4	.8	Supplemental Indenture No. 1, dated as of May 13, 1997, between First Industrial, L.P. and First Trust National Association as Trustee relating to $100 million of 7.15% Notes due 2027 (incorporated by reference to Exhibit 4.2 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1997, as amended by Form 10-Q/A No. 1 of the Company filed May 30, 1997, File No. 1-13102)
	4	.9	Supplemental Indenture No. 3 dated October 28, 1997 between First Industrial, L.P. and First Trust National Association providing for the issuance of Medium-Term Notes due Nine Months or more from Date of Issue (incorporated by reference to Exhibit 4.1 of Form 8-K of First Industrial, L.P., dated November 3, 1997, as filed November 3, 1997, File No. 333-21873)
	4	.10	7.50% Medium-Term Note due 2017 in principal amount of $100 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.19 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1997, File No. 1-13102)
	4	.11	Trust Agreement, dated as of May 16, 1997, between First Industrial, L.P. and First Bank National Association, as Trustee (incorporated by reference to Exhibit 4.5 of the Form 10-Q of First Industrial, L.P. for the fiscal quarter ended March 31, 1997, File No. 333-21873)
	4	.12	7.60% Notes due 2028 in principal amount of $200 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.2 of the Form 8-K of First Industrial, L.P. dated July 15, 1998, File No. 333-21873)
	4	.13	Supplemental Indenture No. 5, dated as of July 14, 1998, between First Industrial, L.P. and U.S. Bank Trust National Association, relating to First Industrial, L.P.’s 7.60% Notes due July 15, 2028 (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P. dated July 15, 1998, File No. 333-21873)
	4	.14	Supplemental Indenture No. 7 dated as of April 15, 2002, between First Industrial, L.P. and U.S. Bank National Association, relating to First Industrial, L.P.’s 6.875% Notes due 2012 and 7.75% Notes due 2032 (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P. dated April 4, 2002, File No. 333-21873)
	4	.15	Form of 6.875% Notes due in 2012 in the principal amount of $200 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.2 of the Form 8-K of First Industrial, L.P., dated April 4, 2002, File No. 333-21873)
	4	.16	Form of 7.75% Notes due 2032 in the principal amount of $50.0 million issued by First Industrial, L.P. (incorporated by reference to Exhibit 4.3 of the Form 8-K of First Industrial, L.P., dated April 4, 2002, File No. 333-21873)
	4	.17	Supplemental Indenture No. 8, dated as of May 17, 2004, relating to 6.42% Senior Notes due June 1, 2014, by and between First Industrial, L.P. and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of First Industrial, L.P., dated May 27, 2004, File No. 333-21873)
	4	.18	Supplemental Indenture No. 10, dated as of January 10, 2006, relating to 5.75% Senior Notes due 2016, by and between the Operating Partnership and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company, filed January 11, 2006, File No. 1-13102)
	4	.19	Indenture dated as of September 25, 2006 among First Industrial, L.P., as issuer, the Company, as guarantor, and U.S. Bank National Association, as trustee (incorporated by reference to Exhibit 4.1 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)
	4	.20	Form of 4.625% Exchangeable Senior Note due 2011 (incorporated by reference to Exhibit 4.2 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)


Exhibits			Description

	4	.21	Registration Rights Agreement dated September 25, 2006 among the Company, First Industrial, L.P. and the Initial Purchasers named therein (incorporated by reference to Exhibit 10.1 of the current report on Form 8-K of First Industrial, L.P. dated September 25, 2006, File No. 333-21873)
	4	.22	Supplemental Indenture No. 11, dated as of May 7, 2007, relating to 5.95% Senior Notes due 2017, by and between the Operating Partnership and U.S. Bank National Association (incorporated by reference to Exhibit 4.1 of the Form 8-K of the Company, filed May 5, 2007, File No. 1-13102)
	10	.1	Eleventh Amended and Restated Partnership Agreement of First Industrial, L.P. dated August 21, 2006 (the “LP Agreement”) (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company, filed August 22, 2006, File No. 1-13102)
	10	.2	Sales Agreement by and among the Company, First Industrial, L.P. and Cantor Fitzgerald & Co. dated September 16, 2004 (incorporated by reference to Exhibit 1.1 of the Form 8-K of the Company, dated September 16, 2004, File No. 1-13102)
	10	.3	Non-Competition Agreement between Jay H. Shidler and First Industrial Realty Trust, Inc. (incorporated by reference to Exhibit 10.16 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1994, File No. 1-13102)
	10	.4	Form of Non-Competition Agreement between each of Michael T. Tomasz, Paul T. Lambert, Michael J. Havala, Michael W. Brennan, Michael G. Damone, Duane H. Lund, and Johannson L. Yap and First Industrial Realty Trust, Inc. (incorporated by reference to Exhibit 10.14 to the Company’s Registration Statement on Form S-11, File No. 33-77804)
	10	.5†	1994 Stock Incentive Plan (incorporated by reference to Exhibit 10.37 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1994, File No. 1-13102)
	10	.6†	First Industrial Realty Trust, Inc. Deferred Income Plan (incorporated by reference to Exhibit 10 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 1996, File No. 1-13102)
	10	.7	Contribution Agreement, dated March 19, 1996, among FR Acquisitions, Inc. and the parties listed on the signature pages thereto (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company, dated April 3, 1996, File No. 1-13102)
	10	.8	Contribution Agreement, dated January 31, 1997, among FR Acquisitions, Inc. and the parties listed on the signature pages thereto (incorporated by reference to Exhibit 10.58 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1996, File No. 1-13102)
	10	.9†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and Michael W. Brennan dated November 26, 2008 (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed November 28, 2008, File No. 1-13102)
	10	.10†	1997 Stock Incentive Plan (incorporated by reference to Exhibit 10.62 of the Company’s Annual Report on Form 10-K for the year ended December 31, 1996, File No. 1-13102)
	10	.11†	2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.34 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2001, File No. 1-13102)
	10	.12†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and Michael J. Havala dated December 22, 2008 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed December 23, 2008, File No. 1-13102)
	10	.13†	Employment Agreement, dated March 31, 2002, between First Industrial Realty Trust, Inc. and Johannson L. Yap (incorporated by reference to Exhibit 10.2 of the Form 10-Q of First Industrial Realty Trust, Inc. for the fiscal quarter ended March 31, 2002, File No. 1-13102)
	10	.14†	Separation and Release Agreement between First Industrial Realty Trust, Inc. and David P. Draft dated November 25, 2008 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed November 28, 2008, File No. 1-13102)
	10	.15†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.3 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.16†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.4 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.17†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.5 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)


Exhibits			Description

	10	.18†	Form of Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.6 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2004, File No. 1-13102)
	10	.19	Sixth Amended and Restated Unsecured Revolving Credit and Term Loan Agreement dated as of October 22, 2010 among First Industrial, L.P., First Industrial Realty Trust, Inc., JP Morgan Chase Bank, N.A. and the other lenders thereunder (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed October 25, 2010, File No. 1-13102)
	10	.20†	Form of Restricted Stock Agreement (Director’s Annual Retainer) (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed May 19, 2006, File No. 1-13102)
	10	.21†	Amendment No. 1 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.2 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2006, File No. 1-13102)
	10	.22†	Amendment No. 2 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Form 10-Q of the Company for the fiscal quarter ended June 30, 2007, File No. 1-13102)
	10	.23†	Amendment No. 1 to the Company’s 1994 Stock Incentive Plan (incorporated by reference to Exhibit 10.24 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.24†	Amendment No. 1 to the Company’s 1997 Stock Incentive Plan (incorporated by reference to Exhibit 10.25 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.25†	Form of Director Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.26 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.26†	Form of Director Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.27 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.27†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.28 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.28†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.29 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2007, File No. 1-13102)
	10	.29†	Amendment No. 3 to the Company’s 2001 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 2008, File No. 1-13102)
	10	.30†	Form of Employee Restricted Stock Unit Award Agreement (incorporated by reference to Exhibit 10.2 of the Form 10-Q of the Company for the fiscal quarter ended March 31, 2008, File No. 1-13102)
	10	.31†	First Amendment, dated as of December 29, 2008, to Employment Agreement, dated March 31, 2002, between First Industrial Realty Trust, Inc. and Johannson L. Yap (incorporated by reference to Exhibit 10.33 of the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, File No. 1-13102)
	10	.32†	Employment Agreement dated as of January 9, 2009 among First Industrial Realty Trust, Inc., First Industrial L.P. and Bruce W. Duncan (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed January 12, 2009, File No. 1-13102)
	10	.33†	Restricted Stock Unit Award Agreement dated as of January 9, 2009 between First Industrial Realty Trust, Inc. and Bruce W. Duncan (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed January 12, 2009, File No. 1-13102)
	10	.34†	2009 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 of the Company’s Form 10-Q for the period ended June 30, 2009, File No. 1-13102)


Exhibits			Description

	10	.35†	Form of Employee Restricted Stock Unit Award Agreement (incorporated by reference to Exhibit 10.2 of the Form 8-K of the Company filed July 15, 2009, File No. 1-13102)
	10	.36†	Amendment No. 1, dated as of February 5, 2009, to the Restricted Stock Unit Award Agreement, dated as of January 9, 2009, by and between First Industrial Realty Trust, Inc. and Bruce W. Duncan (incorporated by reference to Exhibit 10.1 of the Company’s Form 10-Q for the period ended March 31, 2009, File No. 1-13102)
	10	.37†	Form of Employee Restricted Stock Award Agreement (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed March 4, 2010, File No. 1-13102)
	10	.38	Distribution Agreement among First Industrial Realty Trust, Inc., First Industrial, L.P. and J.P. Morgan Securities Inc. dated May 4, 2010 (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed May 4, 2010, File No. 1-13102)
	10	.39†	Form of Employee Service Based Bonus Agreement (incorporated by reference to Exhibit 10.1 of the Form 8-K of the Company filed July 7, 2010, File No. 1-13102)
	21	.1*	Subsidiaries of the Registrant
	23	*	Consent of PricewaterhouseCoopers LLP
	31	.1*	Certification of Principal Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended
	31	.2*	Certification of Principal Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended
	32	**	Certification of the Principal Executive Officer and Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002


*		Filed herewith.

**		Furnished herewith.

†		Indicates a compensatory plan or arrangement contemplated by Item 15 a (3) of Form 10-K.

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Stockholders of

First Industrial Realty Trust, Inc.:

In our opinion, the consolidated financial statements listed in the index appearing under Item 15(a) (1) present fairly, in all material respects, the financial position of First Industrial Realty Trust, Inc. and its subsidiaries (the “Company”) at December 31, 2010 and 2009, and the results of their operations and their cash flows for each of the three years in the period ended December 31, 2010 in conformity with accounting principles generally accepted in the United States of America. In addition, in our opinion, the financial statement schedule listed in the index appearing under Item 15(a)(2) presents fairly, in all material respects, the information set forth therein when read in conjunction with the related consolidated financial statements. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2010, based on criteria established in Internal Control — Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). The Company’s management is responsible for these financial statements and financial statement schedule, for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in Management’s Report on Internal Control Over Financial Reporting appearing under Item 9A. Our responsibility is to express opinions on these financial statements, on the financial statement schedule, and on the Company’s internal control over financial reporting based on our integrated audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement and whether effective internal control over financial reporting was maintained in all material respects. Our audits of the financial statements included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ PricewaterhouseCoopers LLP

Chicago, Illinois

February 23, 2011

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED BALANCE SHEETS


	December 31,			December 31,
	2010			2009
	(In thousands except share and per share data)

ASSETS
Assets:
Investment in Real Estate:
Land	$	554,829		$	751,479
Buildings and Improvements		2,061,266			2,543,573
Construction in Progress		2,672			24,712
Less: Accumulated Depreciation		(509,634	)		(594,895	)

Net Investment in Real Estate		2,109,133			2,724,869

Real Estate and Other Assets Held for Sale, Net of Accumulated Depreciation and Amortization of $165,211 and $3,341 at December 31, 2010 and December 31, 2009, respectively		392,291			37,305
Cash and Cash Equivalents		25,963			182,943
Restricted Cash		117			102
Tenant Accounts Receivable, Net		3,064			2,243
Investments in Joint Ventures		2,451			8,788
Deferred Rent Receivable, Net		37,878			39,220
Deferred Financing Costs, Net		15,351			15,333
Deferred Leasing Intangibles, Net		39,718			60,160
Prepaid Expenses and Other Assets, Net		124,088			133,623

Total Assets	$	2,750,054		$	3,204,586


LIABILITIES AND EQUITY
Liabilities:
Mortgage and Other Loans Payable, Net	$	486,055		$	402,974
Senior Unsecured Debt, Net		879,529			1,140,114
Unsecured Credit Facility		376,184			455,244
Mortgage Loan Payable on Real Estate Held for Sale, Net, Inclusive of $6 of Accrued Interest at December 31, 2010		1,014			—
Accounts Payable, Accrued Expenses and Other Liabilities, Net		67,326			81,136
Deferred Leasing Intangibles, Net		18,519			24,754
Rents Received in Advance and Security Deposits		27,367			26,117
Leasing Intangibles Held for Sale, Net of Accumulated Amortization of $2,668 and $0 at December 31, 2010 and December 31, 2009, respectively		1,916			—

Total Liabilities		1,857,910			2,130,339

Commitments and Contingencies		—			—
Equity:
First Industrial Realty Trust Inc.’s Stockholders’ Equity:
Preferred Stock ($0.01 par value, 10,000,000 shares authorized, 500, 250, 600, and 200 shares of Series F, G, J, and K Cumulative Preferred Stock, respectively, issued and outstanding at December 31, 2010 and December 31, 2009, having a liquidation preference of $100,000 per share ($50,000), $100,000 per share ($25,000), $250,000 per share ($150,000), and $250,000 per share ($50,000), respectively)		—			—
Common Stock ($0.01 par value, 100,000,000 shares authorized, 73,165,410 and 66,169,328 shares issued and 68,841,296 and 61,845,214 shares outstanding at December 31, 2010 and December 31, 2009, respectively)		732			662
Additional Paid-in-Capital		1,608,014			1,551,218
Distributions in Excess of Accumulated Earnings		(606,511	)		(384,013	)
Accumulated Other Comprehensive Loss		(15,339	)		(18,408	)
Treasury Shares at Cost (4,324,114 shares at December 31, 2010 and December 31, 2009)		(140,018	)		(140,018	)

Total First Industrial Realty Trust, Inc.’s Stockholders’ Equity		846,878			1,009,441
Noncontrolling Interest		45,266			64,806

Total Equity		892,144			1,074,247

Total Liabilities and Equity	$	2,750,054		$	3,204,586

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS


	Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,
	2010			2009			2008
	(In thousands except per share data)

Revenues:
Rental Income	$	216,937		$	220,438		$	208,041
Tenant Recoveries and Other Income		70,735			76,443			88,411
Construction Revenues		869			54,957			147,299

Total Revenues		288,541			351,838			443,751

Expenses:
Property Expenses		94,725			97,427			93,108
General and Administrative		26,589			37,835			84,896
Restructuring Costs		1,858			7,806			27,349
Impairment of Real Estate		35,853			5,617			—
Depreciation and Other Amortization		111,517			114,392			115,719
Construction Expenses		507			52,720			139,539

Total Expenses		271,049			315,797			460,611

Other Income (Expense):
Interest Income		4,364			3,084			3,690
Interest Expense		(106,102	)		(114,919	)		(112,642	)
Amortization of Deferred Financing Costs		(3,473	)		(3,030	)		(2,840	)
Mark-to-Market (Loss) Gain on Interest Rate Protection Agreements		(1,107	)		3,667			(3,073	)
(Loss) Gain From Early Retirement of Debt		(4,304	)		34,562			2,749
Foreign Currency Exchange Loss, Net		(190	)		—			—

Total Other Income (Expense)		(110,812	)		(76,636	)		(112,116	)
Loss from Continuing Operations Before Gain on Sale of Joint Venture Interests, Equity in Income (Loss) of Joint Ventures and Income Tax (Provision) Benefit		(93,320	)		(40,595	)		(128,976	)
Gain on Sale of Joint Venture Interests		11,226			—			—
Equity in Income (Loss) of Joint Ventures		675			(6,470	)		(33,178	)
Income Tax (Provision) Benefit		(2,963	)		25,163			13,237

Loss from Continuing Operations		(84,382	)		(21,902	)		(148,917	)
(Loss) Income from Discontinued Operations (Including Gain on Sale of Real Estate of $11,092, $24,206, and $172,167 for the Years Ended December 31, 2010, 2009 and 2008, respectively)		(137,754	)		27,681			188,444
Provision for Income Taxes Allocable to Discontinued Operations (including $0, $1,462, and $3,732 allocable to Gain on Sale of Real Estate for the Years Ended December 31, 2010, 2009 and 2008, respectively)		—			(1,824	)		(5,166	)

(Loss) Income Before Gain on Sale of Real Estate		(222,136	)		3,955			34,361
Gain on Sale of Real Estate		859			374			12,008
Provision for Income Taxes Allocable to Gain on Sale of Real Estate		(342	)		(143	)		(3,782	)

Net (Loss) Income		(221,619	)		4,186			42,587
Less: Net Loss (Income) Attributable to the Noncontrolling Interest		18,798			1,547			(2,990	)

Net (Loss) Income Attributable to First Industrial Realty Trust, Inc.		(202,821	)		5,733			39,597
Less: Preferred Dividends		(19,677	)		(19,516	)		(19,428	)

Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders and Participating Securities	$	(222,498	)	$	(13,783	)	$	20,169

Basic and Diluted Earnings Per Share:
Loss from Continuing Operations Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(1.52	)	$	(0.76	)	$	(3.25	)

(Loss) Income from Discontinued Operations Attributable to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(2.02	)	$	0.48		$	3.66

Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(3.53	)	$	(0.28	)	$	0.41

Distributions Per Share	$	0.00		$	0.00		$	2.41

Weighted Average Shares Outstanding		62,953			48,695			43,193

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME


	Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,
	2010			2009			2008
	(Dollars in thousands)

Net (Loss) Income	$	(221,619	)	$	4,186		$	42,587
Mark-to-Market on Interest Rate Protection Agreements, Net of Income Tax (Provision) Benefit of $(414), $(450) and $610 for the years ended December 31, 2010, 2009 and 2008, respectively		990			(383	)		(8,676	)
Amortization of Interest Rate Protection Agreements		2,108			796			(792	)
Write-off of Unamortized Settlement Amounts of Interest Rate Protection Agreements		(182	)		523			831
Foreign Currency Translation Adjustment, Net of Tax Benefit (Provision) of $299, $(2,817) and $3,498 for the years ended December 31, 2010, 2009 and 2008, respectively		563			1,503			(2,792	)

Comprehensive (Loss) Income		(218,140	)		6,625			31,158
Comprehensive Loss (Income) Attributable to Noncontrolling Interest		18,527			1,299			(1,599	)

Comprehensive (Loss) Income Attributable to First Industrial Realty Trust, Inc.	$	(199,613	)	$	7,924		$	29,559

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY


													Accumulated
							Treasury			Distributions			Other
	Common			Additional			Shares			in Excess of			Comprehensive			Noncontrolling
	Stock			Paid-in Capital			At Cost			Earnings			Loss			Interest			Total

Balance as of December 31, 2007	$	480		$	1,362,375		$	(140,018	)	$	(283,268	)	$	(9,630	)	$	150,117		$	1,080,056
Issuance of Common Stock, Net of Issuance Costs		—			(147	)		—			—			—			—			(147	)
Stock Based Compensation Activity		4			21,221			—			(266	)					—			20,959
Conversion of Units to Common Stock		6			14,575			—			—			—			(14,581	)		—
Preferred Dividends		—			—			—			(19,428	)		—			—			(19,428	)
Distributions		—			—			—			(106,864	)		—			(15,018	)		(121,882	)
Other Comprehensive Income:
Net Income		—			—			—			39,597			—			2,990			42,587
Other Comprehensive Loss		—			—			—			—			(10,038	)		(1,391	)		(11,429	)

Total Other Comprehensive Income																				31,158

Balance as of December 31, 2008	$	490		$	1,398,024		$	(140,018	)	$	(370,229	)	$	(19,668	)	$	122,117		$	990,716
Issuance of Common Stock, Net of Issuance Costs		169			83,626			—			—			—			—			83,795
Stock Based Compensation Activity		(1	)		12,662			—			(1	)		—			—			12,660
Conversion of Units to Common Stock		4			7,813			—			—			—			(7,817	)		—
Reallocation — Additional Paid in Capital		—			49,126			—			—			—			(49,126	)		—
Repurchase of Equity Component of Exchangeable Note		—			(33	)		—			—			—			—			(33	)
Preferred Dividends		—			—			—			(19,516	)		—			—			(19,516	)
Other Comprehensive Income:
Net Income (Loss)		—			—			—			5,733			—			(1,547	)		4,186
Reallocation — Other Comprehensive Income		—			—			—			—			(931	)		931			—
Other Comprehensive Income		—			—			—			—			2,191			248			2,439

Total Other Comprehensive Income																				6,625

Balance as of December 31, 2009	$	662		$	1,551,218		$	(140,018	)	$	(384,013	)	$	(18,408	)	$	64,806		$	1,074,247
Issuance of Common Stock, Net of Issuance Costs		64			49,909			—			—			—			—			49,973
Stock Based Compensation Activity		5			5,736			—			—			—			—			5,741
Conversion of Units to Common Stock		1			315			—			—			—			(316	)		—
Reallocation — Additional Paid in Capital		—			836			—			—			—			(836	)		—
Preferred Dividends		—			—			—			(19,677	)		—			—			(19,677	)
Other Comprehensive Loss:
Net Loss		—			—			—			(202,821	)		—			(18,798	)		(221,619	)
Reallocation — Other Comprehensive Income		—			—			—			—			(139	)		139			—
Other Comprehensive Income		—			—			—			—			3,208			271			3,479

Total Other Comprehensive Loss																				(218,140	)

Balance as of December 31, 2010	$	732		$	1,608,014		$	(140,018	)	$	(606,511	)	$	(15,339	)	$	45,266		$	892,144

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS


	Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,
	2010			2009			2008

CASH FLOWS FROM OPERATING ACTIVITIES:
Net (Loss) Income	$	(221,619	)	$	4,186		$	42,587
Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities:
Depreciation		104,175			112,241			114,925
Amortization of Deferred Financing Costs		3,473			3,030			2,840
Other Amortization		41,024			52,646			72,035
Impairment of Real Estate		194,552			6,934			—
Provision for Bad Debt		1,880			3,259			3,346
Mark-to-Market Loss (Gain) on Interest Rate Protection Agreements		1,107			(3,667	)		3,073
Loss (Gain) on Early Retirement of Debt		4,304			(34,562	)		(2,749	)
Gain on Sale of Joint Venture Interest		(11,226	)		—			—
Operating Distributions Received in Excess of Equity in (Income) Loss of Joint Ventures		2,357			8,789			34,698
Decrease in Developments for Sale Costs		—			812			1,527
Gain on Sale of Real Estate		(11,951	)		(24,580	)		(184,175	)
(Increase) Decrease in Tenant Accounts Receivable, Prepaid Expenses and Other Assets, Net		(1,580	)		51,641			(12,665	)
Increase in Deferred Rent Receivable		(7,041	)		(8,350	)		(7,189	)
Decrease in Accounts Payable, Accrued Expenses, Other Liabilities, Rents Received in Advance and Security Deposits		(9,411	)		(27,631	)		(216	)
(Increase) Decrease in Restricted Cash		(15	)		7			90
Payments of Premiums and Discounts Associated with Senior Unsecured Debt		(6,840	)		(2,576	)		—
Cash Book Overdraft.		—			—			3,058

Net Cash Provided by Operating Activities		83,189			142,179			71,185

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of and Additions to Investment in Real Estate and Lease Costs		(89,736	)		(75,947	)		(583,414	)
Net Proceeds from Sales of Investments in Real Estate		68,046			74,982			502,929
Contributions to and Investments in Joint Ventures		(777	)		(3,742	)		(17,327	)
Distributions and Sale Proceeds from Joint Venture Interests		11,519			6,333			20,985
Funding of Notes Receivable		—			—			(10,325	)
Repayment of Notes Receivable		1,460			3,151			68,722
Increase in Lender Escrows		(435	)		—			—
Decrease in Restricted Cash		—			—			24,704

Net Cash (Used in) Provided by Investing Activities		(9,923	)		4,777			6,274

CASH FLOWS FROM FINANCING ACTIVITIES:
Debt and Equity Issuance Costs		(4,544	)		(8,322	)		(400	)
Proceeds from the Issuance of Common Stock		50,087			84,465			174
Repurchase and Retirement of Restricted Stock		(298	)		(739	)		(4,847	)
Payments on Interest Rate Swap Agreement		(450	)		(320	)		—
Settlement of Interest Rate Protection Agreements		—			(7,491	)		—
Repayments of Senior Unsecured Debt		(259,018	)		(336,196	)		(32,525	)
Dividends/Distributions		—			(12,614	)		(145,347	)
Preferred Stock Dividends		(19,677	)		(20,296	)		(19,428	)
Repayments on Mortgage Loans Payable		(20,872	)		(13,513	)		(3,271	)
Proceeds from Origination of Mortgage Loans Payable		105,580			339,783			—
Proceeds from Unsecured Credit Facility		69,097			180,000			550,920
Repayments on Unsecured Credit Facility		(149,280	)		(172,000	)		(425,030	)
Costs Associated with the Early Retirement of Debt		(1,008	)		—			—
Repurchase of Equity Component Exchangeable Notes		—			(33	)		—

Net Cash (Used in) Provided by Financing Activities		(230,383	)		32,724			(79,754	)

Net Effect of Exchange Rate Changes on Cash and Cash Equivalents		137			81			(280	)
Net (Decrease) Increase in Cash and Cash Equivalents		(157,117	)		179,680			(2,295	)
Cash and Cash Equivalents, Beginning of Year		182,943			3,182			5,757

Cash and Cash Equivalents, End of Year	$	25,963		$	182,943		$	3,182

The accompanying notes are an integral part of the consolidated financial statements.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Dollars in thousands except share and per share data)


1.	Organization and Formation of Company

First Industrial Realty Trust, Inc. (the “Company”) was organized in the state of Maryland on August 10, 1993. The Company is a real estate investment trust (“REIT”) as defined in the Internal Revenue Code of 1986 (the “Code”). Unless the context otherwise requires, the terms “Company,” “we,” “us,” and “our” refer to First Industrial Realty Trust, Inc., First Industrial, L.P. and their other controlled subsidiaries. We refer to our operating partnership, First Industrial, L.P., as the “Operating Partnership.” Effective September 1, 2009, our taxable real estate investment trust subsidiary, First Industrial Investment, Inc. (the “old TRS”) merged into First Industrial Investment II, LLC (“FI LLC”), which is wholly owned by the Operating Partnership. Immediately thereafter, certain assets and liabilities of FI LLC were contributed to a new subsidiary, FR Investment Properties, LLC (“FRIP”). FRIP is 1% owned by FI LLC and 99% owned by a new taxable real estate investment trust subsidiary, First Industrial Investment Properties, Inc. (the “new TRS,” which, collectively with the old TRS and certain wholly owned taxable real estate investment trust subsidiaries of FI LLC, will be referred to as the “TRSs”), which is wholly owned by FI LLC (see Note 10).

We began operations on July 1, 1994. Our operations are conducted primarily through the Operating Partnership, of which we are the sole general partner, and through the old TRS prior to September 1, 2009, and through FI LLC, the new TRS and FRIP subsequent to September 1, 2009. We also conduct operations through other partnerships, corporations, and limited liability companies, the operating data of which, together with that of the Operating Partnership, FI LLC, FRIP and the TRSs, is consolidated with that of the Company as presented herein.

We also own noncontrolling equity interests in, and provide various services to, two joint ventures (the “2003 Net Lease Joint Venture” and the “2007 Europe Joint Venture”). During 2010, we provided various services to, and ultimately disposed our equity interests in, five joint ventures ( the “2005 Development/Repositioning Joint Venture,” the “2005 Core Joint Venture,” the “2006 Net Lease Co-Investment Program,” the “2006 Land/Development Joint Venture,” and the “2007 Canada Joint Venture;” together with the 2003 Net Lease Joint Venture and the 2007 Europe Joint Venture, the “Joint Ventures”). The Joint Ventures are accounted for under the equity method of accounting. Accordingly, the operating data of our Joint Ventures is not consolidated with that of the Company as presented herein. On May 25, 2010, we sold our interests in the 2006 Net Lease Co-Investment Program to our joint venture partner. On August 5, 2010, we sold our interest in the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner. The 2007 Europe Joint Venture does not own any properties. See Note 5 to the Consolidated Financial Statements for more information on the Joint Ventures.

As of December 31, 2010, we owned 775 industrial properties located in 28 states in the United States and one province in Canada, containing an aggregate of approximately 68.6 million square feet of gross leasable area (“GLA”).

Any references to the number of buildings and square footage in the financial statement footnotes are unaudited.


2.	Basis of Presentation

First Industrial Realty Trust, Inc. is the sole general partner of the Operating Partnership, with an approximate 92.8% and 92.0% common ownership interest at December 31, 2010 and 2009, respectively. Noncontrolling interest at December 31, 2010 and 2009 represents the approximate 7.2% and 8.0%, respectively, aggregate partnership interest in the Operating Partnership held by the limited partners thereof.

Our consolidated financial statements at December 31, 2010 and 2009 and for each of the years ended December 31, 2010, 2009 and 2008 include the accounts and operating results of the Company and our

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

subsidiaries. Such financial statements present our noncontrolling equity interests in our Joint Ventures under the equity method of accounting. All intercompany transactions have been eliminated in consolidation.


3.	Summary of Significant Accounting Policies

In order to conform with generally accepted accounting principles, we are required in preparation of our financial statements to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of December 31, 2010 and 2009, and the reported amounts of revenues and expenses for each of the years ended December 31, 2010, 2009 and 2008. Actual results could differ from those estimates.

Cash and Cash Equivalents

Cash and cash equivalents include all cash and liquid investments with an initial maturity of three months or less. The carrying amount approximates fair value due to the short term maturity of these investments. At December 31, 2010, approximately $1,000 is subject to a compensating balance arrangement. The related balance, however, is not subject to any withdrawal restrictions.

Restricted Cash

At December 31, 2010 and 2009, restricted cash includes cash held in escrow in connection with mortgage debt requirements. The carrying amount approximates fair value due to the short term maturity of these investments.

Investment in Real Estate and Depreciation

Investment in Real Estate is carried at cost. We review our properties on a periodic basis for impairment and provide a provision if impairments are found. To determine if an impairment may exist, we review our properties and identify those that have had either an event of change or event of circumstances warranting further assessment of recoverability (such as a decrease in occupancy). If further assessment of recoverability is needed, we estimate the future net cash flows expected to result from the use of the property and its eventual disposition, on an individual property basis. If the sum of the expected future net cash flows (undiscounted and without interest charges) is less than the carrying amount of the property on an individual property basis, we will recognize an impairment loss based upon the estimated fair value of such property. For properties we consider held for sale, we cease depreciating the properties and value the properties at the lower of depreciated cost or fair value, less costs to dispose. If circumstances arise that were previously considered unlikely, and, as a result, we decide not to sell a property previously classified as held for sale, we will reclassify such property as held and used. Such property is measured at the lower of its carrying amount (adjusted for any depreciation and amortization expense that would have been recognized had the property been continuously classified as held and used) or fair value at the date of the subsequent decision not to sell. To calculate the fair value of properties held for sale, we deduct from the estimated sales price of the property the estimated costs to close the sale. We classify properties as held for sale when all criteria within the Financial Accounting Standards Board’s (the “FASB”) guidance on the impairment or disposal of long-lived assets are met.

Interest costs, real estate taxes, compensation costs of development personnel and other directly related costs incurred during construction periods are capitalized and depreciated commencing with the date the property is substantially completed. Upon substantial completion, we reclassify construction in progress to building, tenant improvements and leasing commissions. Such costs begin to be capitalized to the development projects from the point we are undergoing necessary activities to get the development ready for its intended

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

use and ceases when the development projects are substantially completed and held available for occupancy. Depreciation expense is computed using the straight-line method based on the following useful lives:


	Years

Buildings and Improvements		8 to 50
Land Improvements		3 to 20
Furniture, Fixtures and Equipment		5 to 10

Construction expenditures for tenant improvements, leasehold improvements and leasing commissions (inclusive of compensation costs of personnel attributable to leasing) are capitalized and amortized over the terms of each specific lease. Capitalized compensation costs of personnel attributable to leasing relate to time directly attributable to originating leases with independent third parties that result directly from and are essential to originating those leases and would not have been incurred had these leasing transactions not occurred. Repairs and maintenance are charged to expense when incurred. Expenditures for improvements are capitalized.

We account for all acquisitions entered into subsequent to June 30, 2001 in accordance with the FASB’s guidance on business combinations. Upon acquisition of a property, we allocate the purchase price of the property based upon the fair value of the assets acquired and liabilities assumed, which generally consists of land, buildings, tenant improvements, leasing commissions and intangible assets including in-place leases, above market and below market leases and tenant relationships. We allocate the purchase price to the fair value of the tangible assets of an acquired property by valuing the property as if it were vacant. Acquired above and below market leases are valued based on the present value of the difference between prevailing market rates and the in-place rates measured over a period equal to the remaining term of the lease for above market leases and the initial term plus the term of any below market fixed rate renewal options for below market leases that are considered bargain renewal options. The above market lease values are amortized as a reduction of rental revenue over the remaining term of the respective leases, and the below market lease values are amortized as an increase to base rental revenue over the remaining initial terms plus the terms of any below market fixed rate renewal options that are considered bargain renewal options of the respective leases.

The purchase price is further allocated to in-place lease values and tenant relationships based on our evaluation of the specific characteristics of each tenant’s lease and our overall relationship with the respective tenant. The value of in-place lease intangibles and tenant relationships, which are included as components of Deferred Leasing Intangibles, Net are amortized over the remaining lease term (and expected renewal periods of the respective lease for tenant relationships) as adjustments to depreciation and other amortization expense. If a tenant terminates its lease early, the unamortized portion of the tenant improvements, leasing commissions, above and below market leases, the in-place lease value and tenant relationships is immediately written off.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Deferred Leasing Intangibles, exclusive of Deferred Leasing Intangibles held for sale, included in our total assets consist of the following:


	December 31,			December 31,
	2010			2009

In-Place Leases	$	47,844		$	69,785
Less: Accumulated Amortization		(25,893	)		(32,788	)

	$	21,951		$	36,997

Above Market Leases	$	6,107		$	7,298
Less: Accumulated Amortization		(2,159	)		(2,341	)

	$	3,948		$	4,957

Tenant Relationships	$	22,241		$	26,278
Less: Accumulated Amortization		(8,422	)		(8,072	)

	$	13,819		$	18,206

Total Deferred Leasing Intangibles, Net	$	39,718		$	60,160

Deferred Leasing Intangibles, exclusive of Deferred Leasing Intangibles held for sale, included in our total liabilities consist of the following:


	December 31,			December 31,
	2010			2009

Below Market Leases	$	29,416		$	39,125
Less: Accumulated Amortization		(10,897	)		(14,371	)

Total Deferred Leasing Intangibles, Net	$	18,519		$	24,754

Amortization expense related to in-place leases and tenant relationships of deferred leasing intangibles, exclusive of in-place leases and tenant relationships held for sale, was $12,637, $14,165, and $18,989 for the years ended December 31, 2010, 2009, and 2008, respectively. Rental revenues increased by $2,497, $3,784 and $5,140 related to net amortization of above/(below) market leases, exclusive of above/(below) market leases held for sale, for the years ended December 31, 2010, 2009, and 2008, respectively. We will recognize net amortization expense related to deferred leasing intangibles over the next five years, for properties owned as of December 31, 2010 and not classified as held for sale, as follows:


			Estimated Net Increase to
	Estimated Net Amortization		Rental Revenues Related to
	of In-Place Leases and		Above and Below Market
	Tenant Relationships		Leases

2011	$	7,280	$	1,783
2012	$	5,828	$	1,335
2013	$	4,813	$	1,069
2014	$	3,754	$	913
2015	$	2,889	$	918

Construction Revenues and Expenses

Construction revenues and expenses represent revenues earned and expenses incurred in connection with the TRSs acting as a general contractor or development manager to construct industrial properties, including industrial properties for the 2006 Development/Repositioning Joint Venture, and also include revenues and expenses related to the development of properties for third parties. We use the percentage-of-completion

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

contract method to recognize revenue. Using this method, revenues are recorded based on estimates of the percentage of completion of individual contracts. The percentage of completion estimates are based on a comparison of the contract expenditures incurred to the estimated final costs. Changes in job performance, job conditions and estimated profitability may result in revisions to costs and income and are recognized in the period in which the revisions are determined.

Foreign Currency Transactions and Translation

At December 31, 2010, we owned several land parcels located in Toronto, Canada for which the functional currency was determined to be the Canadian dollar. The assets and liabilities of these land parcels are translated to U.S. dollars from the Canadian dollar based on the current exchange rate prevailing at each balance sheet date. The income statement accounts of the land parcels are translated using the average exchange rate for the period. The resulting translation adjustments are included in Accumulated Other Comprehensive Income.

Deferred Financing Costs

Deferred financing costs include fees and costs incurred to obtain long-term financing. These fees and costs are being amortized over the terms of the respective loans. Accumulated amortization of deferred financing costs was $16,565 and $17,447 at December 31, 2010 and 2009, respectively. Unamortized deferred financing costs are written-off when debt is retired before the maturity date.

Investments in Joint Ventures

Investments in Joint Ventures represent our noncontrolling equity interests in our Joint Ventures. We account for our Investments in Joint Ventures under the equity method of accounting, as we do not have a majority voting interest, operational control or financial control. Control is determined using accounting standards related to the consolidation of joint ventures and variable interest entities. In June 2009, the FASB issued amended guidance related to the consolidation of variable-interest entities. These amendments require an enterprise to qualitatively assess the determination of the primary beneficiary of a variable interest entity (“VIE”) based on whether the entity (1) has the power to direct matters that most significantly impact the activities of the VIE, and (2) has the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. Additionally, they require an ongoing reconsideration of the primary beneficiary and provide a framework for the events that trigger a reassessment of whether an entity is a VIE.

Under the equity method of accounting, our share of earnings or losses of our Joint Ventures is reflected in income as earned and contributions or distributions increase or decrease our Investments in Joint Ventures as paid or received, respectively. Differences between our carrying value of our Investments in Joint Ventures and our underlying equity of such Joint Ventures are amortized over the respective lives of the underlying assets.

On a periodic basis, we assess whether there are any indicators that the value of our Investments in Joint Ventures may be impaired. An investment is impaired only if our estimate of the fair value of the investment is less than the carrying value of the investment, and such decline in fair value is deemed to be other than temporary. To the extent impairment has occurred, the loss shall be measured as the excess of the carrying amount of the investment over the fair value of the investment. Our estimates of fair value for each investment are based on a number of subjective assumptions that are subject to economic and market uncertainties including, among others, demand for space, market rental rates and operating costs, the discount rate used to value the cash flows of the properties and the discount rate used to value the Joint Ventures’ debt. As these factors are difficult to predict and are subject to future events that may alter our assumptions, our fair values estimated in the impairment analyses may not be realized.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Stock Based Compensation

We account for stock based compensation using the modified prospective application method, which requires measurement of compensation cost for all stock-based awards at fair value on the date of grant and recognition of compensation over the service period for awards expected to vest.

Revenue Recognition

Rental income is recognized on a straight-line method under which contractual rent increases are recognized evenly over the lease term. Tenant recovery income includes payments from tenants for real estate taxes, insurance and other property operating expenses and is recognized as revenue in the same period the related expenses are incurred by us.

Revenue is recognized on payments received from tenants for early lease terminations after we determine that all the necessary criteria have been met in accordance with the FASB’s guidance on accounting for leases.

Interest income on mortgage loans receivable is recognized based on the accrual method unless a significant uncertainty of collection exists. If a significant uncertainty exists, interest income is recognized as collected.

We provide an allowance for doubtful accounts against the portion of tenant accounts receivable which is estimated to be uncollectible. Accounts receivable in the consolidated balance sheets are shown net of an allowance for doubtful accounts of $3,001 and $3,235 as of December 31, 2010 and 2009, respectively. For accounts receivable we deem uncollectible, we use the direct write-off method.

Gain on Sale of Real Estate

Gain on sale of real estate is recognized using the full accrual method, when appropriate. Gains relating to transactions which do not meet the full accrual method of accounting are deferred and recognized when the full accrual method of accounting criteria are met or by using the installment or deposit methods of profit recognition, as appropriate in the circumstances. As the assets are sold, their costs and related accumulated depreciation are written off with resulting gains or losses reflected in net income or loss. Estimated future costs to be incurred by us after completion of each sale are included in the determination of the gain on sales.

Notes Receivable

Notes receivable are primarily comprised of mortgage note receivables that we have made in connection with sales of real estate assets. The note receivables are recorded at fair value at the time of issuance. Interest income is accrued as earned. Notes receivable are considered past due based on the contractual terms of the note agreement. On a quarterly basis, we evaluate the collectability of each mortgage note receivable based on various factors which may include payment history, expected fair value of the collateral securing the loan, internal and external credit information and/or economic trends. A loan is considered impaired when, based upon current information and events, it is probable that we will be unable to collect all amounts due under the existing contractual terms. When a loan is considered impaired, the amount of the loss accrual is calculated by comparing the carrying amount of the note receivable to the present value of expected future cash flows. Since the majority of our notes receivable are collateralized by a first mortgage, the loans have risk characteristics similar to the risks in owning commercial real estate.

Income Taxes

We have elected to be taxed as a REIT under Sections 856 through 860 of the Code. As a result, we generally are not subject to federal income taxation to the extent of the income which we distribute if we satisfy the requirements set forth in Section 856 of the Code (pertaining to its organization and types of

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

income and assets) necessary to maintain our status as a REIT. We are required to distribute annually at least 90% of our REIT taxable income, as defined in the Code, to our stockholders and we satisfy certain other requirements.

A benefit/provision has been made for federal income taxes in the accompanying consolidated financial statements for activities conducted in the TRSs, which has been accounted for under the FASB’s guidance on accounting for income taxes. In accordance with the guidance, the total benefit/provision has been separately allocated to income from continuing operations, income from discontinued operations and gain on sale of real estate.

We and certain of our subsidiaries are subject to certain state and local income, excise and franchise taxes. The provision for excise and franchise taxes has been reflected in general and administrative expense in the consolidated statements of operations and has not been separately stated due to its insignificance. State and local income taxes are included in the benefit/provision for income taxes which is allocated to income from continuing operations, income from discontinued operations and gain on sale of real estate.

We file income tax returns in the U.S., and various states and foreign jurisdictions. The old TRS is currently under examination by the Internal Revenue Service (“IRS”) for 2008 and for the tax year ended September 1, 2009. In general, the statutes of limitations for income tax returns remain open for the years 2007 through 2010.

Participating Securities

Net income net of preferred dividends is allocated to common stockholders and participating securities based upon their proportionate share of weighted average shares plus weighted average participating securities. Participating securities are unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents. Certain restricted stock awards and restricted unit awards granted to employees and directors are considered participating securities as they receive non-forfeitable dividend or dividend equivalents at the same rate as common stock. See Note 9 for further disclosure about participating securities.

Earnings Per Share (“EPS”)

Basic net (loss) income per common share is computed by dividing net (loss) income available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted net (loss) income per common share is computed by dividing net (loss) income available to common shareholders by the sum of the weighted average number of common shares outstanding and any dilutive non-participating securities for the period. See Note 9 for further disclosure about EPS.

Derivative Financial Instruments

Historically, we have used interest rate protection agreements (“Agreements”) to fix the interest rate on anticipated offerings of senior unsecured notes or convert floating rate debt to fixed rate debt. Receipts or payments that result from the settlement of Agreements used to fix the interest rate on anticipated offerings of senior unsecured notes are amortized over the life of the derivative or the life of the debt and included in interest expense. Receipts or payments resulting from Agreements used to convert floating rate debt to fixed rate debt are recognized as a component of interest expense. Agreements which qualify for hedge accounting are marked-to-market and any gain or loss that is effective is recognized in other comprehensive income (shareholders’ equity). Agreements which do not qualify for hedge accounting are marked-to-market and any gain or loss is recognized in net (loss) income immediately. Amounts accumulated in other comprehensive income during the hedge period are reclassified to earnings in the same period during which the forecasted transaction or hedged item affects net (loss) income. The credit risks associated with Agreements are

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

controlled through the evaluation and monitoring of the creditworthiness of the counterparty. In the event that the counterparty fails to meet the terms of Agreements, our exposure is limited to the current value of the interest rate differential, not the notional amount, and our carrying value of Agreements on the balance sheet. See Note 14 for more information on Agreements.

Fair Value of Financial Instruments

Financial instruments other than our derivatives include tenant accounts receivable, net, mortgage notes receivable, accounts payable, other accrued expenses, mortgage and other loans payable, unsecured credit facility and senior unsecured notes. The fair values of tenant accounts receivable, net, accounts payable and other accrued expenses approximate their carrying or contract values. See Note 6 for the fair values of the mortgage and other loans payable, unsecured credit facility and senior unsecured notes and see Note 4 for the fair value of our mortgage notes receivable.

Discontinued Operations

The FASB’s guidance on financial reporting for the disposal of long lived assets requires that the results of operations and gains or losses on the sale of property or property held for sale be presented in discontinued operations if both of the following criteria are met: (a) the operations and cash flows of the property have been (or will be) eliminated from the ongoing operations of the Company as a result of the disposal transaction and (b) we will not have any significant continuing involvement in the operations of the property after the disposal transaction. The guidance also requires prior period results of operations for these properties to be reclassified and presented in discontinued operations in prior consolidated statements of operations.

Segment Reporting

Management views the Company as a single segment based on its method of internal reporting.

Recent Accounting Pronouncements


4.	Investment in Real Estate

Acquisitions

In 2008, we acquired 26 industrial properties comprising, in the aggregate, approximately 3.1 million square feet of GLA and several land parcels. The purchase price of these acquisitions totaled approximately $339,650, excluding costs incurred in conjunction with the acquisition of the industrial properties and land parcels. We also substantially completed development of eight properties comprising approximately 4.5 million square feet of GLA at a cost of approximately $148,236. We reclassed the costs of the substantially completed developments from construction in progress to building, tenant improvements and leasing commissions.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

In 2009, we acquired one land parcel. The purchase price of the land parcel was approximately $208, excluding costs incurred in conjunction with the acquisition of the land parcel. We also substantially completed the development of two industrial properties comprising approximately 1.1 million square feet of GLA at a cost of approximately $41,258. We reclassed the costs of the substantially completed developments from construction in progress to building, tenant improvements and leasing commissions.

In 2010, we acquired three industrial properties comprising, in the aggregate, approximately 0.5 million square feet of GLA, including one industrial property purchased from the 2005 Development/Repositioning Joint Venture (see Note 5). The purchase price of these acquisitions totaled approximately $22,408 excluding costs incurred in conjunction with the acquisition of the industrial properties.

Intangible Assets Subject To Amortization in the Period of Acquisition

The fair value of in-place leases, above market leases and tenant relationships recorded due to real estate properties acquired for the years ended December 31, 2010 and 2009 is as follows:


	Year Ended		Year Ended
	December 31,		December 31,
	2010		2009

In-Place Leases	$	1,782	$	—
Above Market Leases	$	239	$	—
Tenant Relationships	$	1,881	$	—

The weighted average life in months of in-place leases, above market leases and tenant relationships recorded as a result of the real estate properties acquired for the years ended December 31, 2010 and 2009 is as follows:


	Year Ended		Year Ended
	December 31,		December 31,
	2010		2009

In-Place Leases		100		N/A
Above Market Leases		88		N/A
Tenant Relationships		165		N/A

Sales and Discontinued Operations

In 2008, we sold 114 industrial properties comprising approximately 9.1 million square feet of GLA and several land parcels. Gross proceeds from the sales of the 114 industrial properties and several land parcels were approximately $583,211. The gain on sale of real estate was approximately $184,175, of which $172,167 is shown in discontinued operations. One-hundred thirteen of the 114 sold industrial properties meet the criteria to be included in discontinued operations. Therefore the results of operations and gain on sale of real estate for the 113 sold industrial properties that meet the criteria are included in discontinued operations. The results of operations and gain on sale of real estate for the one industrial property and several land parcels that do not meet the criteria to be included in discontinued operations are included in continuing operations.

In 2009, we sold 15 industrial properties comprising approximately 1.9 million square feet of GLA and several land parcels. Gross proceeds from the sales of the 15 industrial properties and several land parcels were approximately $100,194. The gain on sale of real estate was approximately $24,580, of which $24,206 is shown in discontinued operations. The 15 sold industrial properties meet the criteria to be included in discontinued operations. Therefore the results of operations and gain on sale of real estate for the 15 sold industrial properties are included in discontinued operations. The results of operations and gain on sale of real estate for the several land parcels that do not meet the criteria to be included in discontinued operations are included in continuing operations.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

In 2010, we sold 13 industrial properties comprising approximately 1.1 million square feet of GLA and several land parcels. Gross proceeds from the sales of the 13 industrial properties and several land parcels were approximately $71,019. The gain on sale of real estate was approximately $11,951, of which $11,092 is shown in discontinued operations. The 13 sold industrial properties and one land parcel that received ground rental revenues meet the criteria to be included in discontinued operations. Therefore the results of operations and gain on sale of real estate for the 13 sold industrial properties are included in discontinued operations. The results of operations and gain on sale of real estate for the several land parcels that do not meet the criteria to be included in discontinued operations are included in continuing operations.

At December 31, 2010, we had 192 industrial properties comprising approximately 15.8 million square feet of GLA held for sale. The results of operations of the 192 industrial properties held for sale at December 31, 2010 are included in discontinued operations. There can be no assurance that such industrial properties held for sale will be sold.

The following table discloses certain information regarding the industrial properties included in our discontinued operations for the years ended December 31, 2010, 2009 and 2008.


	Year Ended December 31,
	2010			2009			2008

Total Revenues	$	60,718		$	69,584		$	111,536
Property Expenses		(25,747	)		(28,819	)		(42,509	)
Impairment Loss		(158,699	)		(1,317	)		—
Depreciation and Amortization		(25,054	)		(35,471	)		(52,253	)
Interest Expense		(64	)		(502	)		(497	)
Gain on Sale of Real Estate		11,092			24,206			172,167
Provision for Income Taxes		—			(1,824	)		(5,166	)

Income from Discontinued Operations	$	(137,754	)	$	25,857		$	183,278

At December 31, 2010 and 2009, we had notes receivables outstanding of approximately $58,803 and $60,029, net of a discount of $383 and $449, respectively, which is included as a component of Prepaid Expenses and Other Assets, Net. At December 31, 2010 and 2009, the fair value of the notes receivables were $60,944 and $56,812, respectively. The fair values of our notes receivables were determined by discounting the future cash flows using the current rates at which similar loans with similar remaining maturities would be made to other borrowers.

Impairment Charges

On October 22, 2010, management amended its revolving credit facility (as amended, the “Unsecured Credit Facility”). In conjunction with the amendment, management identified a pool of real estate assets (the “Non-Strategic Assets”) that it intends to market and sell. Management evaluated whether the Non-Strategic Assets should be classified as “held for sale” at September 30, 2010 but concluded that the Non-Strategic Assets did not meet the “held for sale” criteria because management did not have the authority to sell and were not committed to a plan to sell until October 22, 2010. At September 30, 2010, the Non-Strategic Assets consisted of 195 industrial properties comprising approximately 16.4 million square feet of GLA and land parcels comprising approximately 724 gross acres. Management reassessed the holding period for the Non-Strategic Assets and determined that 129 of the industrial properties comprising approximately 10.6 million square feet of GLA and land parcels comprising approximately 503 gross acres were impaired, and as such, the Company recorded an aggregate impairment charge of approximately $163,862 during the third quarter of 2010. At September 30, 2010, the valuation of the 129 impaired industrial properties comprising approximately 10.6 million square feet of GLA and land parcels comprising approximately 474 gross acres was determined using widely accepted valuation techniques including internal valuations of real estate and/or discounted cash flow analyses on expected cash flows.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

At December 31, 2010, the Non-Strategic Assets consisted of 193 industrial properties comprising approximately 16.1 million square feet of GLA and land parcels comprising approximately 695 gross acres. The Non-Strategic Assets (except one industrial property comprising 0.3 million square feet of GLA) were classified as held for sale as of December 31, 2010. During the three months ended December 31, 2010, we recorded an additional non-cash impairment charge of $21,535 relating to the Non-Strategic Assets. The additional charge is primarily comprised of estimated closing costs for 118 of the 192 industrial properties comprising approximately 10.4 million square feet of GLA and land parcels comprising approximately 449 gross acres as well as additional impairment related to certain industrial properties and land parcels within the Non-Strategic Assets based upon recent market information, including receipt of third party purchase offers. The impairment charge recognized during the three months ended December 31, 2010 for the Non-Strategic Assets (except one industrial property comprising 0.3 million square feet of GLA) was calculated as the excess of the carrying value of the properties and land parcels over the fair value less costs to sell due to their classification as held for sale at December 31, 2010. The impairment charge related to the one industrial property comprising 0.3 million square feet of GLA that is not classified as held for sale was calculated as the excess of its carrying value over fair value.

Additionally, during the first quarter of 2010, we recorded an impairment charge in the amount of $9,155 related to a certain property comprised of 0.3 million square feet of GLA located in Grand Rapids, Michigan (“Grand Rapids Property”) in connection with the negotiation of a new lease. The non-cash impairment charge related to the Grand Rapids Property was based upon the difference between the fair value of the property and its carrying value. The valuation of the Grand Rapids Property was determined based upon a discounted cash flow analysis on expected cash flows and the income capitalization approach considering prevailing market capitalization rates.

During 2009, we recorded an impairment charge in the amount of $6,934 related to a certain property comprised of 0.2 million square feet of GLA located in the Inland Empire market in California (“Inland Empire Property”). The non-cash impairment charge related to the Inland Empire Property was based upon the difference between the fair value of the property and its carrying value. The valuation of the Inland Empire Property was determined based upon a discounted cash flow analysis on expected cash flows and the income capitalization approach considering prevailing market capitalization rates.

We adopted the fair value measurement provisions as of January 1, 2009, for the impairment of long-lived assets recorded at fair value. The new guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The following table presents information about our assets that were measured at fair value on a non-recurring basis during the years ended December 31, 2010 and 2009. The table indicates the fair value hierarchy of the valuation techniques we utilized to determine fair value.


			Fair Value Measurements on a
			Non-Recurring Basis Using:
			Quoted Prices in
			Active Markets for		Significant Other		Unobservable		Total
	For the Year Ended		Identical Assets		Observable Inputs		Inputs		Gains
Description	December 31, 2010		(Level 1)		(Level 2)		(Level 3)		(Losses)

Long-lived Assets Held and Used	$	3,905		—		—	$	3,905	$	(1,326	)
Long-lived Assets Held for Sale	$	288,369		—		—	$	288,369	$	(193,226	)

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Fair Value Measurements on a

Non-Recurring Basis Using:

Quoted Prices in

Active Markets for

Significant Other

Unobservable

Total

For The Year Ended

Identical Assets

Observable Inputs

Inputs

Gains

Description

December 31, 2009

(Level 1)

(Level 2)

(Level 3)

(Losses)

Long-lived Assets Held and Used

3,830

—

3,830

(6,934

)


5.	Investments in Joint Ventures and Property Management Services

On August 5, 2010, we sold our interests in the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture to our joint venture partner generating sale proceeds of approximately $5.0 million. In connection with the sale, we wrote off our carrying value for the 2005 Development/Repositioning Joint Venture, the 2005 Core Joint Venture, the 2006 Land/Development Joint Venture and the 2007 Canada Joint Venture as well as $1,625 of unrealized loss recorded in Other Comprehensive Income (see Note 14). We recorded an $11,226 gain related to the sale, which is included in Gain on Sale of Joint Venture Interests for the year ended December 31, 2010. As a result of this sale, we will no longer serve as asset manager for these ventures. Pursuant to the sale agreement, we are entitled to proceeds related to sales of certain assets (the “Sale Assets”), if the sale of such assets was consummated by a stated timeframe. Three of the Sale Assets closed between August 6, 2010 and December 31, 2010. In connection with the three sales, we earned approximately $2,700, which is included in the Gain on Sale of Joint Venture Interests for the year ended December 31, 2010. Additionally, we are entitled to earn leasing, development and disposition fees related to certain assets identified at the time of sale within the sale agreement.

During December 2007, we entered into the 2007 Europe Joint Venture with an institutional investor to invest in, own, develop, redevelop and operate industrial properties. We continue to hold our 10% equity interest in the 2007 Europe Joint Venture. As of December 31, 2010, the 2007 Europe Joint Venture did not own any properties.

On June 11, 2010, we purchased an industrial property from the 2005 Development/Repositioning Joint Venture for a purchase price of $14,627.

On May 16, 2003, we entered into the 2003 Net Lease Joint Venture with an institutional investor to invest in industrial properties. We own a 15% equity interest in and provide property management services to the 2003 Net Lease Joint Venture. During the year ended December 31, 2009, we recorded an impairment loss of $243 in Equity in Income (Loss) of Joint Ventures which represents our proportionate share of the impairment loss related to one industrial property owned by the 2003 Net Lease Joint Venture. Additionally, for the year ended December 31, 2009, we recorded an impairment loss on our investment in the 2003 Net Lease Joint Venture of $1,315 in Equity in Income (Loss) of Joint Ventures. For the year ended December 31, 2008, we recorded an impairment loss on the investment in one industrial property owned by the 2003 Net Lease Joint Venture of $1,249 in Equity in Income (Loss) of Joint Ventures. As of December 31, 2010, the 2003 Net Lease Joint Venture owned nine industrial properties comprising approximately 4.9 million square feet of GLA.

On March 18, 2005, we entered into the 2005 Development/Repositioning Joint Venture with an institutional investor to invest in, own, develop, redevelop and operate certain industrial properties. We owned a 10% equity interest in and provided property management, asset management, development management, disposition, incentive and leasing management services to the 2005 Development/Repositioning Joint Venture. During the year ended December 31, 2008, we recorded an impairment loss of $483 in Equity in Income (Loss) of Joint Ventures which represents our proportionate share of impairment loss related to two industrial properties and one land parcel owned by the 2005 Development/Repositioning Joint Venture. Additionally, for

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

the year ended December 31, 2008 we recorded an impairment loss on our investment in the 2005 Development/Repositioning Joint Venture of $25,332 in Equity in Income (Loss) of Joint Ventures.

On September 7, 2005, we entered into the 2005 Core Joint Venture with an institutional investor to invest in, own and operate certain industrial properties. We owned a 10% equity interest in and provided property management, asset management, development management, disposition, incentive and leasing management services to the 2005 Core Joint Venture. For the year ended December 31, 2008, we recorded an impairment loss on our investment in the 2005 Core Joint Venture of $3,153 in Equity in Income (Loss) of Joint Ventures.

On March 21, 2006, we entered into the 2006 Net Lease Co-Investment Program with an institutional investor to invest in industrial properties. We owned a 15% equity interest in and provided property management, asset management and leasing management services to the 2006 Net Lease Co-Investment Program. On September 18, 2009, we received a notice from the counterparty in the 2006 Net Lease Co-Investment Program that such counterparty is exercising the buy/sell provision in the program’s governing agreement to either purchase our 15% interests in the real property assets currently owned by the program or sell to us its interests in some or all of such assets, along with an additional real property asset in another program which we manage but in which we have no ownership interest. We accepted the investor’s offered price. As a result, during the year ended December 31, 2009, we recorded an impairment loss of $1,747 in Equity in Income (Loss) of Joint Ventures which represents our proportionate share of the impairment loss related to one industrial property owned by the 2006 Net Lease Co-Investment Program and an impairment loss on our investment in the 2006 Net Lease Co-Investment Program of $3,879. During the year ended December 31, 2008, we recorded an impairment loss of $2,216 in Equity in Income (Loss) of Joint Ventures which represents our proportionate share of the impairment loss related to two industrial properties owned by the 2006 Net Lease Co-Investment Program.

Pursuant to the buy/sell provision in the 2006 Net Lease Co-Investment Program’s governing agreement that our counterparty exercised on May 25, 2010, we sold our 15% interest in the real estate property assets in the 2006 Net Lease Co-Investment Program to our counterparty and received $4,541 in net proceeds. In connection with the sale, we wrote off our carrying value for the 2006 Net Lease Co-Investment Program and recorded a $852 gain, which is included in Equity in Income (Loss) of Joint Ventures.

On July 21, 2006, we entered into the 2006 Land/Development Joint Venture with an institutional investor to invest in land and vertical development. We owned a 10% equity interest in and provide property management, asset management, development management and leasing management services to the 2006 Land/Development Joint Venture. For the year ended December 31, 2008 we recorded an impairment loss on our investment in the 2006 Land/Development Joint Venture of $10,105 in Equity in Income (Loss) of Joint Ventures.

The 2003 Net Lease Joint Venture is considered a variable interest entity in accordance with the FASB’s guidance on the consolidation of variable interest entities. However, we continue to not be the primary beneficiary for the venture. As of December 31, 2010, our investment in the 2003 Net Lease Joint Venture is $2,451. Our maximum exposure to loss is equal to our investment balance of each venture as of year end plus any future contributions we make to the ventures.

During July 2007, we entered into a management arrangement with an institutional investor to provide property management, leasing, acquisition, disposition and portfolio management services for three industrial properties (the “July 2007 Fund”). We do not own an equity interest in the July 2007 Fund, however we are entitled to incentive payments if certain economic thresholds related to the industrial properties are achieved. Effective September 2, 2009, we ceased to provide any services for two of the industrial properties in the July 2007 Fund. We received a one-time fee of approximately $866 in the third quarter of 2009 from the

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

termination of the management agreement. Effective May 24, 2010, we ceased to provide any services to the remaining industrial property in the July 2007 Fund.

At December 31, 2010 and 2009, we have receivables from the Joint Ventures (and/or our former Joint Venture partner) and the July 2007 Fund in the aggregate amount of $2,857 and $1,218, respectively, which primarily relate to proceeds from the sale of three Sale Assets and development, leasing, property management, disposition and asset management fees due to us. These receivable amounts are included in Prepaid Expenses and Other Assets, Net.

During the years ended December 31, 2010, 2009 and 2008, we invested the following amounts in, as well as received distributions from, our Joint Ventures and recognized fees from acquisition, disposition, leasing, development, incentive, property management and asset management services from our Joint Ventures and the July 2007 Fund in the following amounts:


	Year Ended		Year Ended		Year Ended
	December 31,		December 31,		December 31,
	2010		2009		2008

Contributions	$	777	$	3,742	$	16,623
Distributions	$	14,551	$	8,652	$	22,505
Fees	$	4,952	$	11,174	$	19,757

The combined summarized financial information of the investments in Joint Ventures is as follows:


	December 31,			December 31,
	2010			2009

Condensed Combined Balance Sheets
Gross Real Estate Investment	$	210,567		$	1,785,713
Less: Accumulated Depreciation		(47,286	)		(126,685	)

Net Real Estate		163,281			1,659,028
Other Assets		33,351			159,659

Total Assets	$	196,632		$	1,818,687

Debt	$	157,431		$	1,452,339
Other Liabilities		10,849			70,544
Equity		28,352			295,804

Total Liabilities and Equity	$	196,632		$	1,818,687

Company’s share of Equity	$	4,344		$	34,310
Basis Differentials(1)		(2,089	)		(28,507	)

Carrying Value of the Company’s investments in Joint Ventures	$	2,255		$	5,803


(1)		This amount represents the aggregate difference between our historical cost basis and the basis reflected at the joint venture level. Basis differentials are primarily comprised of impairments we recorded to reduce certain of our investments in Joint Ventures to fair value, a gain deferral related to a property we sold to the 2003 Net Lease Joint Venture, deferred fees and certain equity costs which are not reflected at the joint venture level.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


	Year Ended December 31,
	2010			2009			2008

Condensed Combined Statements of Operations
Total Revenues	$	61,628		$	91,143		$	86,245
Expenses:
Operating and Other		28,067			42,172			36,905
Interest		32,461			42,194			53,053
Depreciation and Amortization		30,877			49,993			46,460
Impairment Loss		3,268			150,804			9,951

Total Expenses		94,673			285,163			146,369
Income from Discontinued Operations (Including Gain on Sale of Real Estate of $2,761, $1,177 and $34,885 for the years ended December 31, 2010, 2009 and 2008, respectively)		3,725			1,846			25,114
Gain on Sale of Real Estate		808			8,603			17,092

Net Loss	$	(28,512	)	$	(183,571	)	$	(17,918	)

Company’s Share of Net Income (Loss)		675			(1,276	)		6,661
Impairment on the Company’s Investments in Joint Ventures		—			(5,194	)		(39,839	)

Equity in Income (Loss) of Joint Ventures	$	675		$	(6,470	)	$	(33,178	)

During the year ended December 31, 2009, we recorded $5,194 in impairment charges on our interest in the 2006 Net Lease Co-Investment Program and the 2003 Net Lease Joint Venture. The non-cash impairment charge related to our unconsolidated Joint Venture investments is based upon the difference between the fair value of our equity interest and our carrying value. The valuation of investments is determined using widely accepted valuation techniques including discounted cash flow analysis on expected cash flows, the income capitalization approach considering prevailing market capitalization rates, analysis of recent comparable sale transactions and/or consideration of the amount that currently would be required to replace the asset, as adjusted for obsolescence. In general, we consider multiple valuation techniques when measuring the fair value of an investment, however; in certain circumstances, a single valuation technique may be appropriate.

The following table presents information about our impairment charges that were measured on a fair value basis for the year ended December 31, 2009. The table indicates the fair value hierarchy of the valuation techniques we utilized to determine fair value.

Fair Value Measurements at

December 31, 2009 Using:

Quoted Prices in

Active Markets for

Significant Other

Unobservable

Total

December 31,

Identical Assets

Observable Inputs

Inputs

Gains

Description

2009

(Level 1)

(Level 2)

(Level 3)

(Losses)

Unconsolidated Joint Venture Investments

3,910

—

3,910

(5,194

)

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


6.	Indebtedness

The following table discloses certain information regarding our indebtedness:


									Effective
	Outstanding						Interest		Interest
	Balance at						Rate at		Rate at
	December 31,			December 31,			December 31,		December 31,		Maturity
	2010			2009			2010		2010		Date

Mortgage and Other Loans Payable, Net*	$	486,055		$	402,974		5.00%	- 9.25%	4.93%	-9.25%		March 2011- October 2020
Unamortized Premiums*		(358	)		(1,025	)

Mortgage and Other Loans Payable, Gross*	$	485,697		$	401,949

Senior Unsecured Notes, Net
2016 Notes	$	159,899		$	159,843		5.750%		5.91%			01/15/16
2017 Notes		87,195			87,187		7.500%		7.52%			12/01/17
2027 Notes		13,559			13,559		7.150%		7.11%			05/15/27
2028 Notes		189,869			189,862		7.600%		8.13%			07/15/28
2011 Notes		—			143,447		7.375%		7.39%			03/15/11
2012 Notes		61,774			143,837		6.875%		6.85%			04/15/12
2032 Notes		34,667			34,651		7.750%		7.87%			04/15/32
2014 Notes		86,792			105,253		6.420%		6.54%			06/01/14
2011 Exchangeable Notes		128,137			144,870		4.625%		5.53%			09/15/11
2017 II Notes		117,637			117,605		5.950%		6.37%			05/15/17

Subtotal	$	879,529		$	1,140,114
Unamortized Discounts		6,980			11,191

Senior Unsecured Notes, Gross	$	886,509		$	1,151,305

Unsecured Credit Facility	$	376,184		$	455,244		3.376%		3.376%			09/28/12


*		Excludes $1,008 of Mortgage Loan Payable on Real Estate Held for Sale and $48 of unamortized premiums.

Mortgage and Other Loans Payable, Net

During year ended December 31, 2010, we obtained the following mortgage loans:


												Number of				Property
												Industrial				Carrying
												Properties				Value at
Mortgage	Loan		Interest			Origination		Maturity		Amortization		Collateralizing		GLA		December 31,
Financing	Principal		Rate			Date		Date		Period		Mortgage		(In millions)		2010

I	$	7,780		7.40	%		January 28, 2010		February 5, 2015		25-year		1		0.1	$	8,875
II		7,200		7.40	%		January 28, 2010		February 5, 2015		25-year		1		0.2		7,322
III		4,300		7.40	%		February 17, 2010		March 5, 2015		25-year		1		0.2		6,827
IV		8,250		7.40	%		February 24, 2010		March 5, 2015		25-year		1		0.3		12,217
V.1		8,000		6.50	%		June 22, 2010		July 10, 2020		25-year		2		0.2		8,919
V.2		7,800		6.50	%		June 22, 2010		July 10, 2020		25-year		2		0.2		6,945
V.3		5,750		6.50	%		June 22, 2010		July 10, 2020		25-year		1		0.1		9,244
V.4		5,500		6.50	%		June 22, 2010		July 10, 2020		25-year		6		0.1		10,003
VI		41,200		5.55	%		September 29, 2010		October 1, 2020		25-year		11		1.5		46,258
VII		9,800		5.00	%		October 7, 2010		November 1, 2015		25-year		2		0.2		10,927

	$	105,580														$	127,537

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

For Mortgage Financings I, II, III and IV, principal prepayments are prohibited for 36 months after loan origination. For Mortgage Financing V.1 through V.4 principal prepayments are allowed at any payment due date. For Mortgage Financing VI, early principal prepayments are prohibited for 12 months after loan origination. For Mortgage Financing VII, principal prepayments are allowed at any time after loan origination. Prepayment premiums typically decrease as the loan matures and range from 1% to 5% of the loan balance (or a yield maintenance amount).

On April 30, 2010, we prepaid and retired our secured mortgage debt maturing in September 2024 in the amount of $1,654, excluding a prepayment fee of $17, which is included in (Loss) Gain From Early Retirement of Debt .

On December 1, 2010, we paid off and retired our secured mortgage debt maturing in December 2010 in the amount of $12,970.

As of December 31, 2010, mortgage and other loans payable are collateralized by, and in some instances cross-collateralized by, industrial properties with a net carrying value of $672,157 and one letter of credit in the amount of $889. We believe the Operating Partnership and the Company were in compliance with all covenants relating to mortgage loans payable as of December 31, 2010.

Senior Unsecured Notes, Net

During the years ended December 31, 2010 and December 31, 2009, we repurchased and retired the following senior unsecured notes prior to its maturity:


	Principal Amount Repurchased				Purchase Price
	For the		For the		For the		For the
	Year Ended		Year Ended		Year Ended		Year Ended
	December 31,		December 31,		December 31,		December 31,
	2010		2009		2010		2009

2009 Notes	$	—	$	19,279	$	—	$	19,064
2011 Notes		143,498		56,502		147,723		52,465
2011 Exchangeable Notes		18,000		53,100		17,936		48,938
2012 Notes		82,236		55,935		82,235		48,519
2014 Notes		21,062		12,000		17,964		8,810
2016 Notes		—		34,821		—		24,511
2017 Notes		—		12,747		—		10,399
2017 II Notes		—		590		—		439
2027 Notes		—		1,500		—		1,078
2028 Notes		—		10,000		—		7,548
2032 Notes		—		15,000		—		11,313

	$	264,796	$	271,474	$	265,858	$	233,084

In connection with these repurchases prior to maturity, we recognized $(4,096) and $34,562 as (loss) gain on early retirement of debt for the years ended December 31, 2010 and December 31, 2009, respectively, which is the difference between the repurchase price of $265,858 and $233,084, respectively, and the principal amount retired of $264,796 and $271,474, respectively, net of the pro rata write off of the unamortized debt issue discount, the unamortized loan fees, the unamortized settlement amount of the interest rate protection agreements and the professional services fees related to the repurchases of $1,707, $519, $(183) and $991, respectively, and $2,052, $1,286, $523 and $0, respectively. In addition, we allocated $33 of the purchase price for our 2011 Exchangeable Notes to the reacquisition of the 2011 Exchangeable Notes equity component for the year ended December 31, 2009.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The indentures governing our senior unsecured notes (except for the 2011 Exchangeable Notes) contain certain covenants, including limitations on incurrence of debt and debt service coverage. We believe the Operating Partnership and the Company were in compliance with all covenants relating to senior unsecured debt as of December 31, 2010. However, these financial covenants are complex and there can be no assurance that these provisions would not be interpreted by our noteholders in a manner that could impose and cause us to incur material costs.

Unsecured Credit Facility

We have maintained our Unsecured Credit Facility since 1997. Effective October 22, 2010, we amended our revolving credit facility to provide for a $200.0 million term loan and a $200.0 million revolving line of credit. The Unsecured Credit Facility matures on September 28, 2012. For the term borrowing, the Unsecured Credit Facility requires interest only payments through March 29, 2012 at LIBOR plus 325 basis points or at a base rate plus 225 basis points, at our election. The term borrowing requires quarterly principal pay-downs of $10,000 beginning March 30, 2012 until maturity on September 28, 2012. For the revolving borrowings, the Unsecured Credit Facility provides for interest only payments at LIBOR plus 275 basis points or at a base rate plus 175 basis points, at our election. At December 31, 2010, borrowings under the Unsecured Credit Facility bore interest at a weighted average interest rate of 3.376%. The portion of the Unsecured Credit Facility available in Canadian dollars is $64,400. The net unamortized deferred financing fees related to the prior line of credit are amortized over the extended amortization period, except for $191, which represents the write off of unamortized deferred financing costs associated with the decreased capacity of the agreement, which is included in (Loss) Gain From Early Retirement of Debt. Certain financial covenants were changed in connection with the amendment, including the fixed charge coverage ratio, which decreased to 1.2 times from 1.5 times. Also, the calculation of Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”), as defined in the Unsecured Credit Facility and used in the fixed charge coverage ratio, no longer includes economic gains or losses from property sales.

Commencing October 1, 2011, certain covenants, including the consolidated leverage ratio, the ratio of value of unencumbered assets to outstanding consolidated senior unsecured debt and the property operating income ratio on unencumbered assets become more restrictive. The Company has various liquidity strategies, such as issuing additional equity and selling industrial properties and land parcels, that it may employ in order to ensure compliance with the covenants. However, no assurances can be made that the additional equity issuances and sales of assets will occur on favorable terms or at all.

The following shows the material changes to the financial covenants:


	Amended		Amended
	Agreement		Agreement
	through		beginning
	September 30,		October 1,
	2011		2011

Consolidated Leverage Ratio		£65.0%		£ 60.0%
Ratio of Value of Unencumbered Assets to Outstanding Consolidated Senior Unsecured Debt		³1.30		³ 1.60
Property Operating Income Ratio on Unencumbered Assets		³1.30		³ 1.45

The Unsecured Credit Facility contains certain covenants, including limitations on incurrence of debt and debt service coverage. Under the Unsecured Credit Facility, an event of default can also occur if the lenders, in their good faith judgment, determine that a material adverse change has occurred which could prevent timely repayment or materially impair our ability to perform our obligations under the loan agreement. We believe that the Operating Partnership and the Company were in compliance with all covenants relating to the Unsecured Credit Facility as of December 31, 2010. However, these financial covenants are complex and there

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

can be no assurance that these provisions would not be interpreted by our lenders in a manner that could impose and cause us to incur material costs.

The following is a schedule of the stated maturities and scheduled principal payments of our indebtedness, inclusive of maturities and scheduled principal payments on Real Estate Held for Sale, exclusive of premiums and discounts, for the next five years ending December 31, and thereafter:


	Amount

2011	$	141,967
2012		463,075
2013		8,973
2014		209,538
2015		65,271
Thereafter		860,526

Total	$	1,749,350

During 2011, the Company has $141,967 of stated maturities and scheduled principal repayments of which $128,900 represents the 2011 Exchangeable Notes due September 15, 2011. While no assurances can be made, we expect to satisfy these obligations with proceeds from property dispositions, the issuance of additional secured debt and the issuance of common equity, subject to market conditions (see Note 17).

Fair Value

At December 31, 2010 and 2009, the fair value of our indebtedness was as follows:


	December 31, 2010				December 31, 2009
	Carrying		Fair		Carrying		Fair
	Amount		Value		Amount		Value

Mortgage and Other Loans Payable, including mortgages Held for Sale	$	487,063	$	548,696	$	402,974	$	407,706
Senior Unsecured Debt		879,529		851,771		1,140,114		960,452
Unsecured Credit Facility		376,184		376,184		455,244		422,561

Total	$	1,742,776	$	1,776,651	$	1,998,332	$	1,790,719

The fair values of our mortgage loans payable were determined by discounting the future cash flows using the current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. The fair value of the senior unsecured notes was determined by quoted market prices. The fair value of the Unsecured Credit Facility was determined by discounting the future cash flows using current rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining term, assuming no repayment until maturity.


7.	Stockholders’ Equity

Preferred Stock

On May 27, 2004, we issued 50,000 Depositary Shares, each representing 1/100th of a share of our 6.236%, $0.01 par value, Series F Flexible Cumulative Redeemable Preferred Stock (the “Series F Preferred Stock”), at an initial offering price of $1,000.00 per Depositary Share. Dividends on the Series F Preferred Stock are cumulative from the date of initial issuance and are payable semi-annually in arrears for the period from the date of original issuance through March 31, 2009 (the “Series F Initial Fixed Rate Period”), commencing on September 30, 2004, at a rate of 6.236% per annum of the liquidation preference (the “Series F

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Initial Distribution Rate”) (equivalent to $62.36 per Depositary Share). The coupon rate of our Series F Preferred Stock resets every quarter beginning March 31, 2009 at 2.375% plus the greater of (i) the 30 year U.S. Treasury rate, (ii) the 10 year U.S. Treasury rate or (iii) 3-month LIBOR. For the fourth quarter of 2010, the new coupon rate was 6.075%. Dividends on the Series F Preferred Stock are payable semi-annually in arrears for fixed rate periods subsequent to the Series F Initial Fixed Rate Period and quarterly in arrears for floating rate periods. With respect to the payment of dividends and amounts upon liquidation, dissolution or winding up, the Series F Preferred Stock ranks senior to payments on our Common Stock and pari passu with our Series G Preferred Stock (hereinafter defined), Series J Preferred Stock (hereinafter defined) and Series K Preferred Stock (hereinafter defined). On or after March 31, 2009, subject to any conditions on redemption applicable in any fixed rate period subsequent to the Series F Initial Fixed Rate Period, the Series F Preferred Stock is redeemable for cash at our option, in whole or in part, at a redemption price equivalent to $1,000.00 per Depositary Share, or $50,000 in the aggregate, plus dividends accrued and unpaid to the redemption date. The Series F Preferred Stock has no stated maturity and is not convertible into any other securities of the Company. In October 2008, we entered into an interest rate swap agreement to mitigate our exposure to floating interest rates related to the forecasted reset rate of the coupon rate of our Series F Preferred Stock (see Note 14 for further information on the agreement).

On May 27, 2004, we issued 25,000 Depositary Shares, each representing 1/100th of a share of our 7.236%, $0.01 par value, Series G Flexible Cumulative Redeemable Preferred Stock (the “Series G Preferred Stock”), at an initial offering price of $1,000.00 per Depositary Share. Dividends on the Series G Preferred Stock are cumulative from the date of initial issuance and are payable semi-annually in arrears for the period from the date of original issuance of the Series G Preferred Stock through March 31, 2014 (the “Series G Initial Fixed Rate Period”), commencing on September 30, 2004, at a rate of 7.236% per annum of the liquidation preference (the “Series G Initial Distribution Rate”) (equivalent to $72.36 per Depositary Share). On or after March 31, 2014, the Series G Initial Distribution Rate is subject to reset, at our option, subject to certain conditions and parameters, at fixed or floating rates and periods. Fixed rates and periods will be determined through a remarketing procedure. Floating rates during floating rate periods will equal 2.500% (the initial credit spread), plus the greater of (i) the 3-month LIBOR Rate, (ii) the 10-year Treasury CMT Rate (as defined in the Articles Supplementary), and (iii) the 30-year Treasury CMT Rate (the adjustable rate) (as defined in the Articles Supplementary), reset quarterly. Dividends on the Series G Preferred Stock are payable semi-annually in arrears for fixed rate periods subsequent to the Series G Initial Fixed Rate Period and quarterly in arrears for floating rate periods. With respect to the payment of dividends and amounts upon liquidation, dissolution or winding up, the Series G Preferred Stock ranks senior to payments on our Common Stock and pari passu with our Series F Preferred Stock, Series J Preferred Stock (hereinafter defined) and Series K Preferred Stock (hereinafter defined). On or after March 31, 2014, subject to any conditions on redemption applicable in any fixed rate period subsequent to the Series G Initial Fixed Rate Period, the Series G Preferred Stock is redeemable for cash at our option, in whole or in part, at a redemption price equivalent to $1,000.00 per Depositary Share, or $25,000 in the aggregate, plus dividends accrued and unpaid to the redemption date. The Series G Preferred Stock has no stated maturity and is not convertible into any other securities of the Company.

On January 13, 2006, we issued 6,000,000 Depositary Shares, each representing 1/10,000th of a share of our 7.25%, $.01 par value, Series J Cumulative Redeemable Preferred Stock (the “Series J Preferred Stock”), at an initial offering price of $25.00 per Depositary Share. Dividends on the Series J Preferred Stock, represented by the Depositary Shares, are cumulative from the date of initial issuance and are payable quarterly in arrears. However, during any period that both (i) the depositary shares are not listed on the NYSE or AMEX, or quoted on NASDAQ, and (ii) we are not subject to the reporting requirements of the Exchange Act, but the preferred shares are outstanding, we will increase the dividend on the preferred shares to a rate of 8.25% of the liquidation preference per year. However, if at any time both (i) the depositary shares cease to be listed on the NYSE or the AMEX, or quoted on NASDAQ, and (ii) we cease to be subject to the reporting

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

requirements of the Exchange Act, but the preferred shares are outstanding, then the preferred shares will be redeemable, in whole but not in part at our option, within 90 days of the date upon which the depositary shares cease to be listed and we cease to be subject to such reporting requirements, at a redemption price equivalent to $25.00 per Depositary Share, plus all accrued and unpaid dividends to the date of redemption. With respect to the payment of dividends and amounts upon liquidation, dissolution or winding up, the Series J Preferred Stock ranks senior to payments on our Common Stock and pari passu with our Series F Preferred Stock, Series G Preferred Stock and Series K Preferred Stock (hereinafter defined). The Series J Preferred Stock is not redeemable prior to January 15, 2011. On or after January 15, 2011, the Series J Preferred Stock is redeemable for cash at our option, in whole or in part, at a redemption price equivalent to $25.00 per Depositary Share, or $150,000 in the aggregate, plus dividends accrued and unpaid to the redemption date. The Series J Preferred Stock has no stated maturity and is not convertible into any other securities of the Company.

On August 21, 2006, we issued 2,000,000 Depositary Shares, each representing 1/10,000th of a share of our 7.25%, $.01 par value, Series K Flexible Cumulative Redeemable Preferred Stock (the “Series K Preferred Stock”), at an initial offering price of $25.00 per Depositary Share. Dividends on the Series K Preferred Stock, represented by the Depositary Shares, are cumulative from the date of initial issuance and are payable quarterly in arrears. With respect to the payment of dividends and amounts upon liquidation, dissolution or winding up, the Series K Preferred Stock ranks senior to payments on our Common Stock and pari passu with our Series F Preferred Stock, Series G Preferred Stock and Series J Preferred Stock. The Series K Preferred Stock is not redeemable prior to August 15, 2011. On or after August 15, 2011, the Series K Preferred Stock is redeemable for cash at our option, in whole or in part, at a redemption price equivalent to $25.00 per Depositary Share, or $50,000 in the aggregate, plus dividends accrued and unpaid to the redemption date. The Series K Preferred Stock has no stated maturity and is not convertible into any other securities of the Company.

The following table summarizes certain information regarding our preferred stock:


	Stated Value at
	December 31,		December 31,
	2010		2009

Series F Preferred Stock	$	50,000	$	50,000
Series G Preferred Stock		25,000		25,000
Series J Preferred Stock		150,000		150,000
Series K Preferred Stock		50,000		50,000

Total	$	275,000	$	275,000

Shares of Common Stock

For the years ended December 31, 2010, 2009 and 2008, 27,586, 415,466 and 632,492, shares of common stock, respectively, were converted from an equivalent number of limited partnership interests in the Operating Partnership (“Units”), resulting in a reclassification of $316, $7,817 and $14,581, respectively, of noncontrolling interest to First Industrial Realty Trust Inc.’s Stockholders’ Equity.

On August 8, 2008, the Company’s Dividend Reinvestment and Direct Stock Purchase Plan (“DRIP”) became effective. Under the terms of the DRIP, stockholders who participate may reinvest all or part of their dividends in additional shares of the Company at a discount from the market price, at our discretion, when the shares are issued and sold directly by us from authorized but unissued shares of the Company’s common stock. Stockholders and non-stockholders may also purchase additional shares at a discounted price, at our discretion, when the shares are issued and sold directly by us from authorized but unissued shares of the Company’s common stock, by making optional cash payments, subject to certain dollar thresholds. During the

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

year ended December 31, 2010, we issued 875,402 shares of the Company’s common stock under the direct stock purchase component of the DRIP for approximately $5,970. During the year ended December 31, 2009, the Company issued 3,034,120 shares under the direct stock purchase component of the DRIP for $15,920.

On October 5, 2009, the Company sold in an underwritten public offering 13,635,700 shares of its common stock at a price of $5.25 per share. Gross offering proceeds from the issuance were $71,587 in the aggregate. Proceeds to the Company, net of underwriters’ discount of $3,042 and total expenses of $765, were approximately $67,780.

On May 4, 2010, we entered into distribution agreements with sales agents to sell up to 10,000,000 shares of the Company’s common stock from time to time in “at-the-market” offerings (the “ATM”). During the year ended December 31, 2010, we issued 5,469,767 shares of the Company’s common stock under the ATM for approximately $44,117, net of $900 paid to the sales agent. Additionally, we paid $210 in professional fees related to the ATM offerings. Under the terms of the ATM, sales were made primarily in transactions that were deemed to be “at-the-market” offerings, including sales made directly on the New York Stock Exchange or sales made through a market maker other than on an exchange or by privately negotiated transactions. On December 31, 2010, we concluded the ATM as a result of the expiration of the of distribution agreements with our sales agents.

During the years ended December 31, 2010 and 2009, we awarded 23,567 and 50,445 shares, respectively, of common stock to certain directors. The common stock shares had a fair value of approximately $128 and $240, respectively, upon issuance.

Non-Qualified Employee Stock Options

For the year ended December 31, 2008, certain employees of the Company exercised 6,300 non-qualified employee stock options. Proceeds to us were approximately $174.

Restricted Stock/Units

During the year ended December 31, 2009, we made a grant of 1,000,000 restricted stock units to our Chief Executive Officer. During each of the years ended December 31, 2010 and 2009, 150,000 of the restricted stock units vested.

During the years ended December 31, 2010, 2009 and 2008 we awarded 573,198, 0 and 583,871 restricted shares of common stock, respectively, as well as 0, 1,473,600 and 4,757 restricted stock units, respectively, to certain employees of the Company and 0, 35,145 and 21,945 restricted shares of common stock, respectively, to certain directors of the Company. See Note 13 for further disclosure on our stock based compensation.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The following table is a roll-forward of our shares of common stock outstanding, including unvested restricted shares of common stock for the three years ended December 31, 2010:


	Shares of
	Common Stock
	Outstanding

Balance at December 31, 2007		43,672,149
Stock Option Exercises		6,300
Issuance of Common Stock		138
Issuance of Restricted Stock Shares		605,816
Repurchase and Retirement of Restricted Stock Shares		(264,713	)
Conversion of Operating Partnership Units		632,492

Balance at December 31, 2008		44,652,182

Issuance of Common Stock		16,874,884
Issuance of Restricted Stock Shares		35,145
Repurchase and Retirement of Restricted Stock Shares		(132,463	)
Conversion of Operating Partnership Units		415,466

Balance at December 31, 2009		61,845,214

Issuance of Common Stock		6,518,736
Issuance of Restricted Stock Shares		573,198
Repurchase and Retirement of Restricted Stock Shares		(123,438	)
Conversion of Operating Partnership Units		27,586

Balance at December 31, 2010		68,841,296

Dividends/Distributions

The following table summarizes dividends/distributions declared for the past three years:


	Year Ended 2010				Year Ended 2009				Year Ended 2008
	Dividend/				Dividend/				Dividend/
	Distribution		Total		Distribution		Total		Distribution		Total
	per Share/		Dividend/		per Share/		Dividend/		per Share/		Dividend/
	Unit		Distribution		Unit		Distribution		Unit		Distribution

Common Stock/Operating Partnership Units	$	0.0000	$	—	$	0.0000	$	—	$	2.4100	$	121,882
Series F Preferred Stock	$	6,736.1540	$	3,368	$	6,414.5700	$	3,207	$	6,236.0000	$	3,118
Series G Preferred Stock	$	7,236.0000	$	1,809	$	7,236.0000	$	1,809	$	7,236.0000	$	1,809
Series J Preferred Stock	$	18,125.2000	$	10,875	$	18,125.2000	$	10,875	$	18,125.2000	$	10,875
Series K Preferred Stock	$	18,125.2000	$	3,625	$	18,125.2000	$	3,625	$	18,125.2000	$	3,625

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


8.	Supplemental Information to Statements of Cash Flows

Supplemental disclosure of cash flow information:


	Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,
	2010			2009			2008

Interest paid, net of capitalized interest	$	105,276		$	115,990		$	113,062

Capitalized Interest	$	—		$	281		$	7,775

Income Taxes Paid (Refunded)	$	3,663		$	(54,173	)	$	2,355

Supplemental schedule of noncash investing and financing activities:
Distribution payable on common stock/Units	$	—		$	—		$	12,614

Distribution payable on preferred stock	$	452		$	452		$	1,232

Exchange of units for common stock:
Noncontrolling interest	$	(316	)	$	(7,817	)	$	(14,581	)
Common stock		1			4			6
Additional paid-in-capital		315			7,813			14,575

	$	—		$	—		$	—

In conjunction with property and land acquisitions, the following liabilities were assumed:
Accounts payable and accrued expenses	$	—		$	—		$	(464	)

Mortgage debt	$	—		$	—		$	(7,852	)

In conjunction with certain property sales, we provided seller financing:
Notes receivable	$	168		$	20,645		$	62,613

Write-off of fully depreciated assets	$	(59,485	)	$	(55,089	)	$	(72,406	)

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


9.	Earnings Per Share (“EPS”)

The computation of basic and diluted EPS is presented below:


	Year Ended			Year Ended			Year Ended
	December 31,			December 31,			December 31,
	2010			2009			2008

Numerator:
Loss from Continuing Operations, Net of Income Tax	$	(84,382	)	$	(21,902	)	$	(148,917	)
Noncontrolling Interest Allocable to Continuing Operations		8,107			4,203			20,756

Loss from Continuing Operations, Net of Noncontrolling Interest and Income Tax		(76,275	)		(17,699	)		(128,161	)
Gain on Sale of Real Estate		859			374			12,008
Income Tax Provision Allocable to Gain on Sale of Real Estate		(342	)		(143	)		(3,782	)
Noncontrolling Interest Allocable to Gain on Sale of Real Estate		(40	)		(24	)		(1,020	)
Preferred Stock Dividends		(19,677	)		(19,516	)		(19,428	)

Loss from Continuing Operations Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(95,475	)	$	(37,008	)	$	(140,383	)

(Loss) Income from Discontinued Operations	$	(137,754	)	$	27,681		$	188,444
Income Tax Provision Allocable to Discontinued Operations		—			(1,824	)		(5,166	)
Noncontrolling Interest Allocable to Discontinued Operations		10,731			(2,632	)		(22,726	)
Discontinued Operations Allocable to Participating Securities		—			—			(2,553	)

Discontinued Operations Attributable to First Industrial Realty Trust, Inc.	$	(127,023	)	$	23,225		$	157,999

Net (Loss) Income Available		(222,498	)		(13,783	)		20,169
Net Income Allocable to Participating Securities		—			—			(2,553	)

Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(222,498	)	$	(13,783	)	$	17,616

Denominator:
Weighted Average Shares — Basic and Diluted		62,952,565			48,695,317			43,192,969
Basic and Diluted EPS:
Loss from Continuing Operations Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(1.52	)	$	(0.76	)	$	(3.25	)

Discontinued Operations Attributable to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(2.02	)	$	0.48		$	3.66

Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders	$	(3.53	)	$	(0.28	)	$	0.41

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Participating securities include unvested restricted stock awards and restricted unit awards outstanding that participate in non-forfeitable dividends of the Company.

Allocation of

Net Income

Available to

Participating

Securities For

Unvested Awards

the Year

Unvested Awards

the Year

Unvested Awards

the Year

Outstanding at

Ended

Outstanding at

Ended

Outstanding at

Ended

December 31,

2010

2009

2008

Participating Securities:

Restricted Stock Awards

662,092

355,645

757,041

Restricted Unit Awards

—

4,619

662,092

—

355,645

—

761,660

482

Participating security holders are not obligated to share in losses, therefore, none of the loss was allocated to participating securities for the year ended December 31, 2010 and 2009.

The number of weighted average shares — diluted is the same as the number of weighted average shares — basic for the years ended December 31, 2010, 2009 and 2008 as the effect of stock options and restricted unit awards was excluded as its inclusion would have been antidilutive to the loss from continuing operations available to First Industrial Realty Trust, Inc.’s common stockholders. The following awards were anti-dilutive and could be dilutive in future periods:

Number of

Awards

Outstanding At

December 31,

2010

2009

2008

Non-Participating Securities:

Restricted Unit Awards

1,012,800

1,218,800

—

Options

98,701

139,700

278,601

The 2011 Exchangeable Notes are convertible into common shares of the Company at a price of $50.93 and were not included in the computation of diluted EPS as our average stock price did not exceed the strike price of the conversion feature.


10.	Income Taxes

For income tax purposes, distributions paid to common shareholders are classified as ordinary income, capital gain, return of capital or qualified dividends. We did not pay common share distributions for the year ended December 31, 2010 or 2009. For the year ended December 31, 2008, the distributions per common share were classified as follows:


			As a Percentage
	2008		of Distributions

Ordinary income	$	0.1127		4.68	%
Long-term capital gains		1.3166		54.63	%
Unrecaptured Section 1250 gain		0.8141		33.78	%
Qualified Dividends		0.1666		6.91	%

	$	2.4100		100.00	%

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

For income tax purposes, distributions paid to preferred shareholders are classified as ordinary income, capital gain, return of capital or qualified dividends. For the years ended December 31, 2010, 2009 and 2008, the preferred distributions per depositary share were classified as follows:


			As a Percentage					As a Percentage					As a Percentage
Series J Preferred Stock	2010		of Distributions			2009		of Distributions			2008		of Distributions

Ordinary income	$	0.0123		0.68	%	$	—		0.00	%	$	0.0847		4.68	%
Long-term capital gains		—		0.00	%		1.3697		75.57	%		0.9902		54.63	%
Unrecaptured Section 1250 gain		0.1717		9.47	%		0.4428		24.43	%		0.6123		33.78	%
Return of Capital		1.5457		85.28	%		—		0.00	%		—		0.00	%
Qualified Dividends		0.0828		4.57	%		—		0.00	%		0.1253		6.91	%

	$	1.8125		100.00	%	$	1.8125		100.00	%	$	1.8125		100.00	%


			As a Percentage					As a Percentage					As a Percentage
Series K Preferred Stock	2010		of Distributions			2009		of Distributions			2008		of Distributions

Ordinary income	$	0.0123		0.68	%	$	—		0.00	%	$	0.0847		4.68	%
Long-term capital gains		—		0.00	%		1.3697		75.57	%		0.9902		54.63	%
Unrecaptured Section 1250 gain		0.1717		9.47	%		0.4428		24.43	%		0.6123		33.78	%
Return of Capital		1.5457		85.28	%		—		0.00	%		—		0.00	%
Qualified Dividends		0.0828		4.57	%		—		0.00	%		0.1253		6.91	%

	$	1.8125		100.00	%	$	1.8125		100.00	%	$	1.8125		100.00	%

The components of income tax (provision) benefit for the TRSs for the years ended December 31, 2010, 2009 and 2008 are comprised of the following:


	2010			2009			2008

Current:
Federal	$	(887	)	$	38,703		$	5,114
State		(45	)		372			814
Foreign		(77	)		(835	)		(649	)
Deferred:
Federal		163			(15,816	)		(526	)
State		3			(557	)		(107	)
Foreign		(147	)		9			671

	$	(990	)	$	21,876		$	5,317

In addition to income tax (provision) benefit recognized by the TRSs, $(2,315), $1,320 and $(1,028) of additional income tax (provision) benefit, which is included in continuing operations, was recognized by the Company and is included in income tax (provision) benefit on the consolidated statement of operations for the years ended December 31, 2010, 2009 and 2008, respectively.

On August 24, 2009, we received a private letter ruling from the IRS granting favorable loss treatment under Sections 331 and 336 of the Code on the tax liquidation of our old TRS. As a result, the Company completed a transaction on September 1, 2009 whereby approximately 75% of the assets formerly held by the old TRS are now held by FI LLC (which is wholly owned by the Operating Partnership). The remaining 25%

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

of the assets are now held by FRIP (which is 99% owned by the new TRS). On November 6, 2009, legislation was signed that allows businesses with net operating losses for 2008 or 2009 to carry back those losses for up to five years. As a result, we received a refund from the IRS of $40,418 in the fourth quarter of 2009 due to the tax liquidation of the old TRS.

Deferred income taxes represent the tax effect of the temporary differences between the book and tax basis of assets and liabilities. Deferred tax assets (liabilities) of the TRSs include the following as of December 31, 2010 and 2009.


	2010			2009

Investments in Joint Ventures	$	47		$	1,679
Fixed assets		1,010			1,074
Prepaid rent		71			114
Restricted stock		99			34
Capitalized Interest		626			—
Impairment of Real Estate		10,196			—
Federal net operating loss carrying forward		—			345
State net operating loss carrying forward		—			11
Foreign net operating loss carrying forward		706			77
Valuation Allowance		(9,301	)		(1,299	)
Other		569			753

Total deferred tax assets	$	4,023		$	2,788

Straight-line rent		(510	)		(507	)
Fixed assets		(2,544	)		(1,358	)
Other		—			(3	)

Total deferred tax liabilities	$	(3,054	)	$	(1,868	)

Total net deferred tax asset	$	969		$	920

As of December 31, 2010 and 2009, the TRSs had net deferred tax assets of $969 and $920, after valuation allowances of $9,301 and $1,299, respectively. The increase in the valuation allowance of $8,002 from December 31, 2009 to December 31, 2010 is primarily related to an increase in net deferred tax assets due to the impairment of real estate recognized by the TRSs. As of December 31, 2009 and 2008, the TRSs had net deferred tax assets of $920 and $17,194, after valuation allowances of $1,299 and $19,501, respectively. The decrease in the valuation allowance of ($18,202) from December 31, 2008 to December 31, 2009 is primarily related to a decrease in net deferred tax assets due to the liquidation of the old TRS. The deferred tax assets and liabilities of the old TRS were eliminated on September 1, 2009, as FI LLC is a nontaxable entity. We recorded valuation allowances to offset the deferred tax assets at December 31, 2010 and 2009 because we concluded, based on a review of the relative weight of the available evidence, that it was more likely than not that the TRSs will not generate sufficient future taxable income to realize certain deferred tax assets. We will continue to assess the need for a valuation allowance in the future.

The TRSs have a net operating loss carryforward related to foreign taxes of $706 at December 31, 2010. The TRSs had a net operating loss carryforward related to federal, state and foreign taxes of $433 and a tax credit carryforward of $684 at December 31, 2009.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The TRSs’ components of income tax benefit (provision) for the years ended December 31, 2010, 2009 and 2008 are as follows:


	2010			2009			2008

Tax provision associated with income from operations on sold properties which is included in discontinued operations	$	—		$	(362	)	$	(1,434	)
Tax provision associated with gains and losses on the sale of real estate which is included in discontinued operations		—			(1,462	)		(3,732	)
Tax provision associated with gains and losses on the sale of real estate		(342	)		(143	)		(3,782	)
Income tax (provision) benefit		(648	)		23,843			14,265

Income tax (provision) benefit	$	(990	)	$	21,876		$	5,317

The income tax benefit pertaining to income from continuing operations and gain on sale of real estate for the TRSs differs from the amounts computed by applying the applicable federal statutory rate as follows:


	2010			2009			2008

Tax benefit at federal rate related to continuing operations	$	2,497		$	8,815		$	28,625
State tax benefit, net of federal benefit		28			523			2,825
Non-deductible permanent items, net		9			(1,652	)		(1,852	)
Change in valuation allowance		(3,334	)		16,269			(19,501	)
Foreign taxes, net		(193	)		315			347
Other		3			(570	)		39

Net income tax (provision) benefit	$	(990	)	$	23,700		$	10,483

Michigan Tax Issue

As of December 31, 2008, we had paid approximately $1,400 (representing tax and interest for the years 1997-2000) to the State of Michigan regarding business loss carryforwards the appropriateness of which was the subject of litigation initiated by us. On December 11, 2007, the Michigan Court of Claims rendered a decision against us regarding the business loss carryforwards. Also, the court ruled against us on an alternative position involving Michigan’s Capital Acquisition Deduction. We filed an appeal to the Michigan Appeals Court in January 2008; however, as a result of the lower court’s decision, an additional approximately $800 (representing tax and interest for the year 2001) had been accrued through June 30, 2009 for both tax and financial statement purposes. On August 18, 2009, the Michigan Appeals Court issued a decision in our favor on the business loss carryforward issue. The Michigan Department of Treasury appealed the decision to the Michigan Supreme Court on September 29, 2009; however, we believed there was a very low probability that the Michigan Supreme Court would accept the case. Therefore, in September 2009 we reversed our accrual of $800 (related to the 2001 tax year) and set up a receivable of $1,400 for the amount paid in 2006 (related to the 1997-2000 tax years), resulting in an aggregate reversal of prior tax expense of approximately $2,200. On April 23, 2010, the Michigan Supreme Court reversed the decision of the Michigan Appeals Court and reinstated the decision of the Michigan Court of Claims. Based on the most recent ruling of the Michigan Supreme Court, we reversed the receivable of $1,400 and paid approximately $800, for a total of approximately $2,200 of tax expense for the year ended December 31, 2010, which is included in continuing operations.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


11.	Restructuring Costs

We committed to a plan to reduce organizational and overhead costs in October 2008 and have subsequently modified that plan with the goal of further reducing these costs. During 2009 and 2010, we committed to additional modifications to the plan consisting of further organizational and overhead cost reductions.

For the year ended December 31, 2010, we recorded as restructuring costs a pre-tax charge of $1,858 to provide for employee severance and benefits ($525), costs associated with the termination of certain office leases ($647) and other costs ($686) associated with implementing the restructuring plan. Included in employee severance costs is $156 of non-cash costs which represents the accelerated recognition of restricted stock expense for certain employees for the year ended December 31, 2010. At December 31, 2010, we have $1,574 included in Accounts Payable, Accrued Expenses and Other Liabilities, Net related to severance obligations, remaining lease payments and other costs incurred but not yet paid.

For the year ended December 31, 2009, we recorded as restructuring costs a pre-tax charge of $7,806 to provide for employee severance and benefits ($5,186), costs associated with the termination of certain office leases ($1,867) and other costs ($753) associated with implementing the restructuring plan. Included in employee severance costs is $2,931 of non-cash costs which represents the accelerated recognition of restricted stock expense for certain employees for the year ended December 31, 2009. At December 31, 2009, we had $2,884 included in Accounts Payable, Accrued Expenses and Other Liabilities, Net related to severance obligations, remaining lease payments and other costs incurred but not yet paid.

For the year ended December 31, 2008, we recorded as restructuring costs a pre-tax charge of $27,349 to provide for employee severance and benefits ($24,825), costs associated with the termination of certain office leases ($1,162) and contract cancellation and other costs ($1,362) associated with implementing the restructuring plan. Included in employee severance costs is $9,585 of non-cash costs which represents the accelerated recognition of restricted stock for certain employees. At December 31, 2008, we had $6,695 included in Accounts Payable, Accrued Expenses and Other Liabilities, Net related to severance obligations, remaining lease payments and other costs incurred but not yet paid.


12.	Future Rental Revenues

Our properties are leased to tenants under net and semi-net operating leases. Minimum lease payments receivable, excluding tenant reimbursements of expenses, under non-cancelable operating leases in effect as of December 31, 2010 are approximately as follows:


2011	$	236,836
2012		197,544
2013		157,727
2014		121,718
2015		95,467
Thereafter		361,818

Total	$	1,171,110


13.	Stock Based Compensation

We maintain four stock incentive plans (the “Stock Incentive Plans”) which are administered by the Compensation Committee of the Board of Directors. There are approximately 10.4 million shares authorized for issuance under the Stock Incentive Plans. Only officers, certain employees, our Independent Directors and our affiliates generally are eligible to participate in the Stock Incentive Plans.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The Stock Incentive Plans authorize (i) the grant of stock options that qualify as incentive stock options under Section 422 of the Code, (ii) the grant of stock options that do not so qualify, (iii) restricted stock/Unit awards, (iv) performance share awards and (v) dividend equivalent rights. The exercise price of the stock options is determined by the Compensation Committee. Special provisions apply to awards granted under the Stock Incentive Plans in the event of a change in control in the Company. As of December 31, 2010, stock options and restricted stock/units covering 1.8 million shares were outstanding and 1.0 million shares were available under the Stock Incentive Plans. At December 31, 2010, all outstanding stock options are vested. Stock option transactions are summarized as follows:


				Weighted
				Average		Exercise		Aggregate
				Exercise		Price		Intrinsic
	Shares			Price		per Share		Value

Outstanding at December 31, 2008		278,601		$	31.92	$	27.25-$33.15	$	—
Expired or Terminated		(138,901	)	$	31.94	$	27.69-$33.13

Outstanding at December 31, 2009		139,700		$	31.89	$	27.25-$33.15	$	—
Expired or Terminated		(40,999	)	$	30.96	$	27.25-$33.15

Outstanding at December 31, 2010		98,701		$	32.34	$	30.53-$33.15	$	—

The following table summarizes currently outstanding and exercisable options as of December 31, 2010:


	Number		Weighted		Weighted
	Outstanding		Average		Average
	and		Remaining		Exercise
Range of Exercise Price	Exercisable		Contractual Life		Price

$30.53 - $31.05		31,901		0.83	$	30.69
$33.13 - $33.15		66,800		0.26	$	33.13

In September 1994, the Board of Directors approved and we adopted a 401(k)/Profit Sharing Plan. Under our 401(k)/Profit Sharing Plan, all eligible employees may participate by making voluntary contributions. We may make, but are not required to make, matching contributions. For the years ended December 31, 2010, 2009 and 2008, we made matching contributions of $194, $0 and $0, respectively.

For the years ended December 31, 2010, 2009 and 2008, we awarded 573,198, 1,473,600, and 588,628 restricted stock and unit awards to our employees having a fair value at grant date of $3,336, $7,406, and $18,860, respectively. We also awarded 0, 35,145, and 21,945, restricted stock awards to our directors having a fair value at grant date of $0, $149, and $603, respectively. Restricted stock awards granted to employees generally vest over a period of three to four years and restricted stock awards granted to directors generally vest over a period of five years. For the years ended December 31, 2010, 2009 and 2008, we recognized $6,040, $13,015, and $25,883 in restricted stock amortization related to restricted stock awards, of which $0, $45, and $1,519, respectively, was capitalized in connection with development activities. At December 31, 2010, we have $6,207 in unearned compensation related to unvested restricted stock awards. The weighted average period that the unrecognized compensation is expected to be incurred is 1.05 years. We did not award options to our employees or our directors during the years ended December 31, 2010, 2009 and 2008 and all outstanding options are fully vested; therefore, no stock-based employee compensation expense related to options is included in Net (Loss) Income Available to First Industrial Realty Trust, Inc.’s Common Stockholders and Participating Securities.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Restricted stock award and restricted stock unit award transactions for the years ended December 31, 2010 and 2009 are summarized as follows:


				Weighted
				Average
				Grant Date
	Shares			Fair Value

Outstanding at December 31, 2008		761,660		$	36.00
Issued		1,508,745		$	5.01
Vested		(571,149	)	$	28.79
Forfeited		(124,811	)	$	7.51

Outstanding at December 31, 2009		1,574,445		$	11.17

Issued		573,198		$	5.82
Vested		(349,440	)	$	22.56
Forfeited		(123,311	)	$	7.13

Outstanding at December 31, 2010		1,674,892		$	17.77

During the year ended December 31, 2009, we made a grant of 1,000,000 restricted stock units to our Chief Executive Officer. These restricted stock units had a fair value of approximately $6,014 on the date of issuance. Of these restricted stock units, a total of 600,000 (the “Service Awards”) vest in four equal installments on the first, second, third and fourth year anniversary of December 31, 2008, and a total of 400,000 (the “Performance Awards I”) vest in four installments of up to 100,000 on the first, up to 200,000 on the second, up to 300,000 on the third and up to 400,000 on the fourth year anniversary of December 31, 2008, to the extent certain market conditions are met. The market conditions are met when certain stock price levels are achieved and maintained for certain time periods between the award issuance date and December 31, 2013. Both the Service Awards and Performance Awards I require the Chief Executive Officer to be employed by the Company at the applicable vesting dates, subject to certain clauses in the award agreement. The Service Awards are amortized over the four year service period. The Performance Awards I are amortized over the service period of each installment.

During the year ended December 31, 2009, we made a grant of 473,600 restricted stock units to certain members of management (the “Performance Awards II”). The Performance Awards II had a fair value of approximately $1,392 on the date of issuance and will vest in four installments on the first, second, third and fourth anniversary of June 30, 2009, to the extent certain service periods and market conditions are both met. The market conditions are met when certain stock price levels are achieved and maintained for certain time periods between the award issuance date and June 30, 2014. The Performance Awards II are amortized over the service period of each installment. In conjunction with the issuance of the Performance Awards II, the members of management were also granted cash awards with a fair value of $792. The cash awards vested on June 30, 2010 and compensation expense was recognized on a straight-line basis over the service period. In order to receive the Performance Awards II, the members of management are required to be employed by the Company at the applicable vesting dates, subject to certain clauses in the award agreements.

During the year ended December 31, 2010, certain members of management were granted cash awards with a fair value of $688. The cash awards vest on June 30, 2011 and compensation expense is recognized on a straight-line basis over the service period. In order to receive the cash awards, the members of management are required to be employed by the Company at the vesting date, subject to certain clauses of the award agreements.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

The fair value of the Performance Awards I and the Performance Awards II at issuance was determined using a Monte Carlo simulation model with the following assumptions:


	Performance Awards I	Performance Awards II

Expected dividend yield	0.0%	0.0%
Expected stock volatility	57.18% to 119.55%	76.29% to 162.92%
Risk-free interest rate	0.40% to 1.84%	0.43% to 2.38%
Expected life (years)	1-4	1-4
Fair value	$4.49	$2.94


14.	Derivatives

Our objectives in using interest rate derivatives are to add stability to interest expense and to manage our cash flow volatility exposure to interest rate movements. To accomplish this objective, we primarily use interest rate swaps as part of our interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for fixed-rate payments over the life of the agreements without exchange of the underlying notional amount.

In January 2008, we entered into two forward starting swaps each with a notional value of $59,750, which fixed the interest rate on forecasted debt offerings. We designated both swaps as cash flow hedges. The rates on the forecasted debt issuances underlying the swaps locked on March 20, 2009 (the “Forward Starting Agreement 1”) and on April 6, 2009 (the “Forward Starting Agreement 2”), and as such, the swaps ceased to qualify for hedge accounting. On March 20, 2009, the fair value of Forward Starting Agreement 1 was a liability of $4,442 and on April 6, 2009, the fair value of Forward Starting Agreement 2 was a liability of $4,023. These amounts are included in Other Comprehensive Income (“OCI”) and will be amortized over five years, which was the original life of the Forward Starting Agreement 1 and Forward Starting Agreement 2, as an increase to interest expense. On May 8, 2009, we settled the Forward Starting Agreement 1 and paid the counterparty $4,105 and on June 3, 2009 we settled the Forward Starting Agreement 2 and paid the counterparty $3,386. The change in value of Forward Starting Agreement 1 and Forward Starting Agreement 2 from the respective day the interest rate on the underlying debt was locked until settlement is $974 for the year ended December 31, 2009 and is included in Mark-to-Market (Loss) Gain on Interest Rate Protection Agreements in the statement of operations.

The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in OCI and is subsequently reclassified to earnings through interest expense over the life of the derivative or over the life of the debt. In the next 12 months, we will amortize approximately $2,276 into net income by increasing interest expense for interest rate protection agreements we settled in previous periods.

As of December 31, 2009, we also had an interest rate swap agreement with a notional value of $50,000 which fixed the LIBOR rate on a portion of our outstanding borrowings on our Unsecured Credit Facility at 2.4150% (the “Interest Rate Swap Agreement”). Monthly payments or receipts were treated as a component of interest expense. We designated the Interest Rate Swap Agreement as a cash flow hedge. The Interest Rate Swap Agreement was highly effective through its maturity on April 1, 2010, and, as a result, the change in the fair value was shown in OCI.

The coupon rate of our Series F Preferred Stock resets every quarter beginning March 31, 2009 at 2.375% plus the greater of (i) the 30 year U.S. Treasury rate, (ii) the 10 year U.S. Treasury rate or (iii) 3-month LIBOR. For the fourth quarter of 2010, the new coupon rate was 6.075% (see Note 7). In October 2008, we entered into an interest rate swap agreement with a notional value of $50,000 to mitigate our exposure to floating interest rates related to the forecasted reset rate of the coupon rate of our Series F Preferred Stock (the “Series F Agreement”). This Series F Agreement fixes the 30-year U.S. Treasury rate at 5.2175%.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Accounting guidance for derivatives does not permit hedge accounting treatment related to equity instruments and therefore the mark to market gains or losses related to this agreement are recorded in the statement of operations. Quarterly payments or receipts are treated as a component of the mark to market gains or losses. For the years ended December 31, 2010 and 2009, we incurred settlement payments of $492 and $472, respectively, of which $194 and $152, respectively, was outstanding at December 31, 2010 and 2009.

The following is a summary of the terms of the forward starting swaps and the interest rate swaps and their fair values, which are included in Accounts Payable, Accrued Expenses and Other Liabilities, Net on the accompanying consolidated balance sheet as of December 31, 2010:


										Fair Value As of			Fair Value As of
	Notional		Fixed			Trade		Maturity		December 31,			December 31,
Hedge Product	Amount		Pay Rate			Date		Date		2010			2009

Derivatives designated as hedging instruments:
Interest Rate Swap Agreement	$	50,000		2.4150	%		March 2008		April 1, 2010		N/A		$	(267	)

Total derivatives designated as hedging instruments:	$	50,000									N/A		$	(267	)
Derivatives not designated as hedging instruments:
Series F Agreement*		50,000		5.2175	%		October 2008		October 1, 2013	$	(523	)		93

Total Derivatives	$	100,000							Total	$	(523	)	$	(174	)


*		Fair value excludes quarterly settlement payment due on Series F Agreement. As of December 31, 2010 and 2009, the outstanding payable was $194 and $152, respectively.

The following is a summary of the impact of the derivatives in cash flow hedging relationships on the statement of operations and the statement of OCI for the years ended December 31, 2010 and December 31, 2009.


		Year Ended
		December 31,			December 31,
Interest Rate Products	Location on Statement	2010			2009

Loss Recognized in OCI (Effective Portion)	Mark-to-Market on Interest Rate Protection Agreements (OCI)	$	990		$	(383	)
Amortization Reclassified from OCI into Income	Interest Expense	$	(2,108	)	$	(796	)
Gain Recognized in Income (Unhedged Position)	Mark-to-Market Gain on Interest Rate Protection Agreements		N/A		$	974

During 2010, the 2006 Land/Development Joint Venture had interest rate protection agreements outstanding which effectively converted floating rate debt to fixed rate debt on a portion of its total variable debt. The hedge relationships were considered highly effective and as such, for the year ended December 31, 2010, we recorded $1,137 in unrealized gain, representing our 10% share, offset by $414 of income tax provision, which is shown in Mark-to-Market on Interest Rate Protection Agreements, Net of Income Tax, in OCI. In connection with the sale of our equity interest of the 2006 Land/Development Joint Venture on August 5, 2010, we wrote off $1,625 that was recorded in OCI related to our 10% share of unrealized loss related to the interest rate protection agreements. During 2009, two of the Joint Ventures had interest rate protection agreements outstanding which effectively convert floating rate debt to fixed rate debt on a portion of its total variable debt. The hedge relationships were considered highly effective and as such, for the year ended December 31, 2009, we recorded $1,060 in unrealized gain, representing our 10% share, offset by $450 of

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

income tax provision, which is shown in Mark-to-Market on Interest Rate Protection Agreements, Net of Income Tax, in OCI.

Our agreements with our derivative counterparties contain provisions where if we default on any of our indebtedness, then we could also be declared in default on our derivative obligations subject to certain thresholds.

We adopted the fair value measurement provisions as of January 1, 2008, for financial instruments recorded at fair value. The new guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The following table sets forth our financial liabilities that are accounted for at fair value on a recurring basis as of December 31, 2010 and 2009:

Fair Value Measurements at Reporting

Date Using:

Quoted Prices in

Active Markets for

Significant Other

Unobservable

December 31,

Identical Assets

Observable Inputs

Inputs

Description

2010

(Level 1)

(Level 2)

(Level 3)

Liabilities:

Series F Agreement

(523

)

—

(523

)


				Fair Value Measurements at Reporting
				Date Using:
				Quoted Prices in
				Active Markets for		Significant Other			Unobservable
	December 31,			Identical Assets		Observable Inputs			Inputs
Description	2009			(Level 1)		(Level 2)			(Level 3)

Assets:
Series F Agreement	$	93			—		—		$	93
Liabilities:
Interest Rate Swap Agreement	$	(267	)		—	$	(267	)		—

The valuation of the Interest Rate Swap Agreement is determined using widely accepted valuation techniques including discounted cash flow analysis on the expected cash flows of the instrument. This analysis reflects the contractual terms of the agreements including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. In adjusting the fair value of the interest rate protection agreements for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements. To comply with the provisions of fair value measurement, we incorporated a credit valuation adjustment (“CVA”) to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. However, assessing significance of inputs is a matter of judgment that should consider a variety of factors. One factor we consider is the CVA and its materiality to the overall valuation of the derivatives on the balance sheet and to their related changes in fair value. We believe the inputs obtained related to our CVAs are observable and therefore fall under Level 2 of the fair value hierarchy. Accordingly, the liabilities related to the Interest Rate Swap Agreement are classified as Level 2 amounts.

The valuation of the Series F Agreement utilizes the same valuation technique as the Interest Rate Swap Agreement, however, we consider the Series F Agreement to be classified as Level 3 in the fair value hierarchy due to a significant number of unobservable inputs. The Series F Agreement swaps a fixed rate 5.2175% for

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

floating rate payments based on 30-year Treasury. No market observable prices exist for long-dated Treasuries past 30 years. Therefore, we have classified the Series F Agreement in its entirety as a Level 3.

The following table presents a reconciliation for our liabilities classified as Level 3 at December 31, 2010 and 2009:


	Fair Value Measurements
	Using Significant
	Unobservable Inputs
	(Level 3)
	Derivatives

Beginning liability balance at December 31, 2008	$	(3,073	)
Total unrealized gains:
Mark-to-Market on Series F Agreement		3,166

Ending asset balance at December 31, 2009	$	93

Total unrealized losses:
Mark-to-Market on Series F Agreement		(616	)

Ending liability balance at December 31, 2010	$	(523	)


15.	Related Party Transactions

We periodically engage in transactions for which CB Richard Ellis, Inc. acts as a broker. A relative of Michael W. Brennan, the former President and Chief Executive Officer and a former director of the Company, is an employee of CB Richard Ellis, Inc. For the year ended December 31, 2008, this relative received approximately $95 in brokerage commissions or other fees for transactions with the Company and the Joint Ventures.


16.	Commitments and Contingencies

Eleven properties have leases granting the tenants options to purchase the property. Such options are exercisable at various times at appraised fair market value or at a fixed purchase price in excess of our depreciated cost of the asset. We have no notice of any exercise of any tenant purchase option.

At December 31, 2010, we had nine letters of credit outstanding in the aggregate amount of $1,462. These letters of credit expire between February 2011 and November 2011.

Ground and Operating Lease Agreements

For the years ended December 31, 2010, 2009 and 2008, we recognized $3,047, $4,181 and $4,072 in operating and ground lease expense.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Future minimum rental payments under the terms of all non-cancelable ground and operating leases under which we are the lessee, offset by sub-lease rental payments under non-cancelable operating leases, as of December 31, 2010, are as follows:


2011	$	1,795
2012		1,206
2013		1,142
2014		893
2015		775
Thereafter		27,351

Total	$	33,162


17.	Subsequent Events

From January 1, 2011 to February 23, 2011, we sold five industrial properties comprising approximately 0.3 million square feet of GLA. Gross proceeds from the sale of the five industrial properties were approximately $7,675. There were no industrial properties acquired during this period.

On February 10, 2011, we prepaid and retired our secured mortgage debt maturing in September 2012 in the amount of $14,520, excluding a prepayment fee of $73.

On February 18, 2011, we entered into a loan commitment with a major life insurance company lender for mortgage loans, aggregating to $178,300. The closings of the mortgage loans are subject to lender due diligence and there can be no assurance that the mortgage loans will close or, if closed, will generate the anticipated proceeds. The mortgage loans are expected to be cross-collateralized by 32 industrial properties, have a term of seven years and bear interest at 4.45%.


18.	Quarterly Financial Information (unaudited)

The following tables summarize our quarterly financial information. The first, second and third fiscal quarters of 2010 and all fiscal quarters in 2009 have been revised in accordance with guidance on accounting for discontinued operations. The results of operations for the fourth quarter of 2010 include $2,387 which should have been recorded as part of the impairment charge recorded during the third quarter in 2010. Management evaluated this impairment charge and believes it is not material to the results of operations of either quarter.

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Net income available to common stockholders and basic and diluted EPS from net income available to common stockholders has not been affected.


	Year Ended December 31, 2010
	First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter

Total Revenues	$	74,393		$	71,731		$	70,043		$	72,374
Equity in (Loss) Income of Joint Ventures		(459	)		582			(398	)		950
Noncontrolling Interest Allocable to Continuing Operations		1,629			1,998			2,617			1,863
(Loss) Income from Continuing Operations, Net of Income Tax and Noncontrolling Interest		(13,963	)		(18,843	)		(24,929	)		(18,540	)
(Loss) Income from Discontinued Operations, Net of Income Tax		(3,949	)		5,732			(134,725	)		(4,812	)
Noncontrolling Interest Allocable to Discontinued Operations		324			(437	)		10,466			378
Gain (Loss) on Sale of Real Estate, Net of Income Tax		731			—			(214	)		—
Noncontrolling Interest Allocable to Gain (Loss) on Sale of Real Estate		(57	)		—			17			—

Net Loss Attributable to First Industrial Realty Trust, Inc.		(16,914	)		(13,548	)		(149,385	)		(22,974	)
Preferred Stock Dividends		(4,960	)		(4,979	)		(4,884	)		(4,854	)

Net Loss Available	$	(21,874	)	$	(18,527	)	$	(154,269	)	$	(27,828	)
Income from Continuing Operations Allocable to Participating Securities		—			—			—			—
Discontinued Operations Allocable to Participating Securities		—			—			—			—

Net Loss Available to Common Stockholders	$	(21,874	)	$	(18,527	)	$	(154,269	)	$	(27,828	)

Basic and Diluted Earnings Per Share:
Loss From Continuing Operations Available	$	(0.30	)	$	(0.38	)	$	(0.48	)	$	(0.37	)

(Loss) Income from Discontinued Operations	$	(0.06	)	$	0.08		$	(1.97	)	$	(0.07	)

Net Loss Available to Common Stockholders	$	(0.35	)	$	(0.29	)	$	(2.44	)	$	(0.43	)

Weighted Average Shares Outstanding		61,797			62,838			63,100			64,049

100

FIRST INDUSTRIAL REALTY TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)


	Year Ended December 31, 2009
	First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter

Total Revenues	$	95,096		$	91,328		$	89,601		$	75,813
Equity in Income (Loss) of Joint Ventures		29			1,551			(5,889	)		(2,161	)
Noncontrolling Interest Allocable to Continuing Operations		2,532			1,454			1,050			(833	)
(Loss) Income from Continuing Operations, Net of Income Tax and Noncontrolling Interest		(14,725	)		(7,104	)		(4,076	)		8,206
Income from Discontinued Operations, Net of Income Tax		4,254			4,747			7,797			9,059
Noncontrolling Interest Allocable to Discontinued Operations		(500	)		(529	)		(851	)		(752	)
Gain (Loss) on Sale of Real Estate, Net of Income Tax		477			—			101			(347	)
Noncontrolling Interest Allocable to Gain (Loss) on Sale of Real Estate		(50	)		—			(6	)		32

Net (Loss) Income Attributable to First Industrial Realty Trust, Inc.		(10,544	)		(2,886	)		2,965			16,198
Preferred Stock Dividends		(4,857	)		(4,824	)		(4,913	)		(4,922	)

Net (Loss) Income Available	$	(15,401	)	$	(7,710	)	$	(1,948	)	$	11,276
Income from Continuing Operations Allocable to Participating Securities		—			—			—			(17	)
Discontinued Operations Allocable to Participating Securities		—			—			—			(49	)

Net (Loss) Income Available to Common Stockholders	$	(15,401	)	$	(7,710	)	$	(1,948	)	$	11,210

Basic and Diluted Earnings Per Share:
(Loss) Income From Continuing Operations Available	$	(0.43	)	$	(0.27	)	$	(0.20	)	$	0.05

Income from Discontinued Operations	$	0.09		$	0.09		$	0.15		$	0.14

Net (Loss) Income Available to Common Stockholders	$	(0.35	)	$	(0.17	)	$	(0.04	)	$	0.18

Weighted Average Shares Outstanding		44,147			44,439			45,360			60,690


19.	Pro Forma Financial Information (unaudited)

The following Pro Forma Condensed Statement of Operations for the year ended December 31, 2008 (the “Pro Forma Statement”) is presented as if the acquisition of 20 operating industrial properties between January 1, 2008 and December 31, 2008 had occurred at the beginning of the year. The Pro Forma Statement does not include acquisitions between January 1, 2008 and December 31, 2008 for industrial properties that were vacant upon purchase, were leased back to the sellers upon purchase or were subsequently sold before December 31, 2008. The Pro Forma Condensed Statement of Operations includes all necessary adjustments to reflect the occurrence of purchases and sales of properties during 2008 as of January 1, 2008. The Pro Forma

101

FIRST INDUSTRIAL REALTY TRUST, INC.

SCHEDULE III:

REAL ESTATE AND ACCUMULATED DEPRECIATION
As of December 31, 2010


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Atlanta
4250 River Green Parkway	Duluth, GA	$	—	$	264	$	1,522	$	(59	)	$	207	$	1,520	$	1,727	$	701		1994		(l	)
3450 Corporate Parkway	Duluth, GA		—		506		2,904		(798	)		284		2,328		2,612		1,271		1994		(l	)
1650 Highway 155	McDonough, GA		—		788		4,544		(1,673	)		349		3,310		3,659		1,963		1994		(l	)
1665 Dogwood Drive	Conyers, GA		—		635		3,662		580			635		4,242		4,877		1,601		1994		(l	)
1715 Dogwood	Conyers, GA		—		288		1,675		675			215		2,423		2,638		828		1994		(l	)
11235 Harland Drive	Covington, GA		—		125		739		181			125		920		1,045		359		1994		(l	)
4051 Southmeadow Parkway	Atlanta, GA		—		726		4,130		875			726		5,005		5,731		1,897		1994		(l	)
4071 Southmeadow Parkway	Atlanta, GA		—		750		4,460		1,460			828		5,842		6,670		2,255		1994		(l	)
4081 Southmeadow Parkway	Atlanta, GA		—		1,012		5,918		1,595			1,157		7,368		8,525		2,819		1994		(l	)
5570 Tulane Dr(d)	Atlanta, GA		2,119		527		2,984		686			546		3,651		4,197		1,302		1996		(l	)
955 Cobb Place	Kennesaw, GA		3,000		780		4,420		741			804		5,137		5,941		1,837		1997		(l	)
1005 Sigman Road	Conyers, GA		2,204		566		3,134		403			574		3,529		4,103		943		1999		(l	)
2050 East Park Drive	Conyers, GA		—		452		2,504		188			459		2,685		3,144		745		1999		(l	)
1256 Oakbrook Drive	Norcross, GA		1,265		336		1,907		262			339		2,166		2,505		540		2001		(l	)
1265 Oakbrook Drive	Norcross, GA		1,264		307		1,742		454			309		2,194		2,503		684		2001		(l	)
1280 Oakbrook Drive	Norcross, GA		1,230		281		1,592		306			283		1,896		2,179		495		2001		(l	)
1300 Oakbrook Drive	Norcross, GA		1,728		420		2,381		260			423		2,638		3,061		611		2001		(l	)
1325 Oakbrook Drive	Norcross, GA		1,363		332		1,879		204			334		2,081		2,415		508		2001		(l	)
1351 Oakbrook Drive	Norcross, GA		—		370		2,099		(1,068	)		141		1,260		1,401		547		2001		(l	)
1346 Oakbrook Drive	Norcross, GA		—		740		4,192		(1,588	)		338		3,006		3,344		1,130		2001		(l	)
1412 Oakbrook Drive	Norcross, GA		—		313		1,776		(988	)		113		988		1,101		439		2001		(l	)
3060 South Park Blvd	Ellenwood, GA		—		1,600		12,464		1,315			1,604		13,775		15,379		2,991		2003		(l	)
Greenwood Industrial Park	McDonough, GA		4,563		1,550		—		7,485			1,550		7,485		9,035		1,195		2004		(l	)
46 Kent Drive	Cartersville GA		1,773		794		2,252		6			798		2,254		3,052		472		2005		(l	)
100 Dorris Williams	Villa Rica GA		1,947		401		3,754		42			406		3,791		4,197		1,208		2005		(l	)
605 Stonehill Drive	Atlanta, GA		1,601		485		1,979		(38	)		490		1,936		2,426		974		2005		(l	)
5095 Phillip Lee Drive	Atlanta, GA		—		735		3,627		588			740		4,210		4,950		1,465		2005		(l	)
6514 Warren Drive	Norcross, GA		—		510		1,250		(51	)		513		1,196		1,709		226		2005		(l	)
6544 Warren Drive	Norcross, GA		—		711		2,310		(15	)		715		2,291		3,006		469		2005		(l	)

S-1


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

5356 E. Ponce De Leon	Stone Mountain, GA		2,819		604		3,888		210			610		4,092		4,702		1,209		2005		(l	)
5390 E. Ponce De Leon	Stone Mountain, GA		—		397		1,791		95			402		1,881		2,283		486		2005		(l	)
195 & 197 Collins Boulevard	Athens, GA		—		1,410		5,344		(1,838	)		953		3,963		4,916		2,160		2005		(l	)
1755 Enterprise Drive	Buford, GA		1,537		712		2,118		11			716		2,125		2,841		482		2006		(l	)
4555 Atwater Court	Buford, GA		2,574		881		3,550		485			885		4,031		4,916		941		2006		(l	)
80 Liberty Industrial Parkway	McDonough, GA		—		756		3,695		(1,419	)		451		2,581		3,032		609		2007		(l	)
596 Bonnie Valentine	Pendergrass, GA		—		2,580		21,730		2,414			2,594		24,130		26,724		2,439		2007		(l	)
11415 Old Roswell Road	Alpharetta, GA		—		2,403		1,912		315			2,428		2,202		4,630		313		2008		(l	)
Baltimore
1820 Portal	Baltimore, MD		—		884		4,891		454			899		5,330		6,229		1,684		1998		(l	)
9700 Martin Luther King Hwy	Lanham, MD		—		700		1,920		289			700		2,209		2,909		472		2003		(l	)
9730 Martin Luther King Hwy	Lanham, MD		—		500		955		518			500		1,473		1,973		482		2003		(l	)
4621 Boston Way	Lanham, MD		—		1,100		3,070		388			1,100		3,458		4,558		827		2003		(l	)
4720 Boston Way	Lanham, MD		—		1,200		2,174		300			1,200		2,474		3,674		585		2003		(l	)
22520 Randolph Drive	Dulles, VA		7,880		3,200		8,187		(151	)		3,208		8,028		11,236		1,564		2004		(l	)
22630 Dulles Summit Court	Dulles, VA		—		2,200		9,346		168			2,206		9,508		11,714		2,020		2004		(l	)
4201 Forbes Boulevard	Lanham, MD		—		356		1,823		337			375		2,141		2,516		474		2005		(l	)
4370-4383 Lottsford Vista Rd.	Lanham, MD		—		279		1,358		215			296		1,556		1,852		358		2005		(l	)
4400 Lottsford Vista Rd.	Lanham, MD		—		351		1,955		201			372		2,135		2,507		435		2005		(l	)
4420 Lottsford Vista Road	Lanham, MD		—		539		2,196		327			568		2,494		3,062		628		2005		(l	)
11204 McCormick Road	Hunt Valley, MD		—		1,017		3,132		67			1,038		3,178		4,216		778		2005		(l	)
11110 Pepper Road	Hunt Valley, MD		—		918		2,529		316			938		2,825		3,763		709		2005		(l	)
11100-11120 Gilroy Road	Hunt Valley, MD		—		901		1,455		57			919		1,494		2,413		501		2005		(l	)
318 Clubhouse Lane	Hunt Valley, MD		—		701		1,691		(121	)		718		1,553		2,271		230		2005		(l	)
10709 Gilroy Road	Hunt Valley, MD		—		913		2,705		64			913		2,769		3,682		918		2005		(l	)
10707 Gilroy Road	Hunt Valley, MD		—		1,111		3,819		154			1,136		3,948		5,084		1,284		2005		(l	)
38 Loveton Circle	Sparks, MD		—		1,648		2,151		(226	)		1,690		1,883		3,573		409		2005		(l	)
7120-7132 Ambassador Road	Baltimore, MD		—		829		1,329		255			847		1,566		2,413		554		2005		(l	)
7142 Ambassador Road	Hunt Valley, MD		—		924		2,876		1,124			942		3,982		4,924		591		2005		(l	)
7144-7162 Ambassador Road	Baltimore, MD		—		979		1,672		187			1,000		1,838		2,838		602		2005		(l	)
7223-7249 Ambassador Road	Woodlawn, MD		—		1,283		2,674		(49	)		1,311		2,597		3,908		741		2005		(l	)
7200 Rutherford Road	Baltimore, MD		—		1,032		2,150		253			1,054		2,381		3,435		527		2005		(l	)
2700 Lord Baltimore Road	Baltimore, MD		—		875		1,826		772			897		2,576		3,473		795		2005		(l	)
1225 Bengies Road	Baltimore, MD		—		2,640		270		14,581			2,823		14,668		17,491		1,465		2008		(l	)

S-2


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Central Pennsylvania
1214-B Freedom Road	Cranberry Township, PA		—		31		994		613			200		1,438		1,638		1,033		1994		(l	)
401 Russell Drive	Middletown, PA		1,261		262		857		1,741			287		2,573		2,860		1,631		1994		(l	)
2700 Commerce Drive	Middletown, PA		—		196		997		714			206		1,701		1,907		1,141		1994		(l	)
2701 Commerce Drive	Middletown, PA		—		141		859		1,174			164		2,010		2,174		1,176		1994		(l	)
2780 Commerce Drive	Middletown, PA		—		113		743		1,215			209		1,862		2,071		1,287		1994		(l	)
350 Old Silver Spring Road	Mechanicsburg, PA		—		510		2,890		6,296			541		9,155		9,696		2,689		1997		(l	)
16522 Hunters Green Parkway	Hagerstown, MD		—		1,390		13,104		3,893			1,863		16,524		18,387		3,071		2003		(l	)
18212 Shawley Drive	Hagerstown, MD		—		1,000		5,847		1,567			1,016		7,398		8,414		1,752		2004		(l	)
37 Valleyview Business Park	Jessup, PA		—		542		—		2,974			532		2,984		3,516		448		2004		(l	)
301 Railroad Avenue	Shiremanstown, PA		—		1,181		4,447		1,438			1,328		5,738		7,066		1,712		2005		(l	)
431 Railroad Avenue	Shiremanstown, PA		9,057		1,293		7,164		1,821			1,341		8,937		10,278		2,234		2005		(l	)
6951 Allentown Blvd	Harrisburg, PA		—		585		3,176		117			601		3,277		3,878		683		2005		(l	)
320 Museum Road	Washington, PA		—		201		1,819		(227	)		169		1,624		1,793		547		2005		(l	)
1351 Eisenhower Blvd., Bldg 1	Harrisburg, PA		2,034		382		2,343		98			387		2,436		2,823		466		2006		(l	)
1351 Eisenhower Blvd., Bldg 2	Harrisburg, PA		1,406		436		1,587		37			443		1,617		2,060		332		2006		(l	)
1490 Commerce Avenue	Carlisle, PA		—		1,500		—		13,513			2,341		12,672		15,013		1,123		2008		(l	)
600 First Avenue	Gouldsboro, PA		—		7,022		—		58,132			7,019		58,135		65,154		3,432		2008		(l	)
225 Cross Farm Lane	York, PA		—		4,718		—		23,567			4,715		23,570		28,285		1,921		2008		(l	)
Chicago
720-730 Landwehr Road	Northbrook, IL		—		521		2,982		1,207			521		4,189		4,710		1,960		1994		(l	)
20W201 101st Street	Lemont, IL		3,970		967		5,554		871			968		6,424		7,392		2,496		1994		(l	)
3600 West Pratt Avenue	Lincolnwood, IL		—		1,050		5,767		(1,657	)		435		4,725		5,160		2,740		1994		(l	)
6750 South Sayre Avenue	Bedford Park, IL		—		224		1,309		620			224		1,929		2,153		745		1994		(l	)
585 Slawin Court	Mount Prospect, IL		3,059		611		3,505		1,608			516		5,208		5,724		2,217		1994		(l	)
2300 Windsor Court	Addison, IL		—		688		3,943		1,180			696		5,115		5,811		2,100		1994		(l	)
3505 Thayer Court	Aurora, IL		—		430		2,472		387			430		2,859		3,289		1,069		1994		(l	)
305-311 Era Drive	Northbrook, IL		—		200		1,154		916			205		2,065		2,270		565		1994		(l	)
3150-3160 MacArthur Boulevard	Northbrook, IL		—		429		2,518		104			429		2,622		3,051		1,067		1994		(l	)
365 North Avenue	Carol Stream, IL		—		1,081		6,882		2,581			1,111		9,433		10,544		3,758		1994		(l	)
11241 Melrose Street	Franklin Park, IL		—		332		1,931		70			222		2,111		2,333		1,147		1995		(l	)
11939 S Central Avenue	Alsip, IL		—		1,208		6,843		2,296			1,305		9,042		10,347		2,839		1997		(l	)
405 East Shawmut	LaGrange, IL		—		368		2,083		(284	)		223		1,944		2,167		830		1997		(l	)

S-3


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

1010-50 Sesame Street	Bensenville, IL		—		979		5,546		3,062			1,048		8,539		9,587		2,640		1997		(l	)
7501 South Pulaski	Chicago, IL		—		318		2,038		(276	)		100		1,980		2,080		1,073		1997		(l	)
2120-24 Roberts	Broadview, IL		—		220		1,248		196			231		1,433		1,664		464		1998		(l	)
800 Business Center Drive	Mount Prospect, IL		—		631		3,493		328			666		3,786		4,452		936		2000		(l	)
580 Slawin Court	Mount Prospect, IL		—		233		1,292		(216	)		156		1,153		1,309		392		2000		(l	)
1150 Feehanville Drive	Mount Prospect, IL		—		260		1,437		(743	)		75		879		954		410		2000		(l	)
19W661 101st Street	Lemont, IL		5,477		1,200		6,643		2,408			1,220		9,031		10,251		2,930		2001		(l	)
175 Wall Street	Glendale Heights, IL		1,491		427		2,363		163			433		2,520		2,953		588		2002		(l	)
800-820 Thorndale Avenue	Bensenville, IL		4,449		751		4,159		2,213			761		6,362		7,123		1,837		2002		(l	)
251 Airport Road	North Aurora, IL		—		983		—		6,783			983		6,783		7,766		1,480		2002		(l	)
1661 Feehanville Drive	Mount Prospect, IL		—		985		5,455		2,155			1,044		7,551		8,595		1,964		2004		(l	)
1850 Touhy & 1158 McCage Ave.	Elk Grove Village, IL		—		1,500		4,842		(163	)		1,514		4,665		6,179		1,003		2004		(l	)
1088-1130 Thorndale Avenue	Bensenville, IL		—		2,103		3,674		204			2,108		3,873		5,981		1,028		2005		(l	)
855-891 Busse Rd.	Bensenville, IL		—		1,597		2,767		(76	)		1,601		2,687		4,288		677		2005		(l	)
1060-1074 W. Thorndale Ave	Bensenville, IL		—		1,704		2,108		352			1,709		2,455		4,164		781		2005		(l	)
400 Crossroads Pkwy	Bolingbrook, IL		5,747		1,178		9,453		845			1,181		10,295		11,476		2,136		2005		(l	)
7609 W. Industrial Drive	Forest Park, IL		—		1,207		2,343		174			1,213		2,511		3,724		678		2005		(l	)
7801 W. Industrial Drive	Forest Park, IL		—		1,215		3,020		(170	)		1,220		2,845		4,065		687		2005		(l	)
825 E. 26th Street	LaGrange, IL		—		1,547		2,078		2,761			1,617		4,769		6,386		1,536		2005		(l	)
725 Kimberly Drive	Carol Stream, IL		—		793		1,395		182			801		1,569		2,370		313		2005		(l	)
17001 S. Vincennes	Thornton, IL		—		497		504		103			513		591		1,104		287		2005		(l	)
1111 Davis Road	Elgin, IL		—		998		1,859		674			1,046		2,485		3,531		1,049		2006		(l	)
2900 W. 166th Street	Markham, IL		—		1,132		4,293		723			1,134		5,014		6,148		1,139		2007		(l	)
555 W. Algonquin Rd	Arlington Heights, IL		1,953		574		741		2,053			579		2,789		3,368		405		2007		(l	)
7000 W. 60th Street	Chicago, IL		1,061		609		932		137			667		1,011		1,678		436		2007		(l	)
9501 Nevada	Franklin Park, IL		7,687		2,721		5,630		514			2,737		6,128		8,865		1,027		2008		(l	)
1501 Oakton Street	Elk Grove Village, IL		—		3,369		6,121		139			3,482		6,147		9,629		905		2008		(l	)
16500 W. 103rd Street	Woodridge, IL		2,643		744		2,458		151			760		2,594		3,354		377		2008		(l	)
Cincinnati
9900-9970 Princeton	Cincinnati, OH		—		545		3,088		1,760			566		4,827		5,393		1,920		1996		(l	)
2940 Highland Avenue	Cincinnati, OH		—		1,717		9,730		(883	)		1,126		9,438		10,564		4,194		1996		(l	)
4700-4750 Creek Road	Blue Ash, OH		—		1,080		6,118		1,112			1,109		7,201		8,310		2,401		1996		(l	)
901 Pleasant Valley Drive	Springboro, OH		—		304		1,721		(257	)		203		1,565		1,768		687		1998		(l	)
4436 Mulhauser Road	Hamilton, OH		—		630		—		5,076			630		5,076		5,706		1,026		2002		(l	)
4438 Mulhauser Road	Hamilton, OH		4,986		779		—		6,728			779		6,728		7,507		1,706		2002		(l	)

S-4


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

420 Wards Corner Road	Loveland, OH		—		600		1,083		669			606		1,746		2,352		487		2003		(l	)
422 Wards Corner Road	Loveland, OH		—		600		1,811		(179	)		575		1,657		2,232		486		2003		(l	)
4663 Dues Drive	Westchester, OH		—		858		2,273		1,173			875		3,429		4,304		1,939		2005		(l	)
9345 Princeton-Glendale Road	Westchester, OH		1,666		818		1,648		428			840		2,054		2,894		807		2006		(l	)
9525 Glades Drive	Westchester, OH		—		347		1,323		115			355		1,430		1,785		330		2007		(l	)
9776-9876 Windisch Road	Westchester, OH		—		392		1,744		24			394		1,766		2,160		304		2007		(l	)
9810-9822 Windisch Road	Westchester, OH		—		395		2,541		16			397		2,555		2,952		305		2007		(l	)
9842-9862 Windisch Road	Westchester, OH		—		506		3,148		47			508		3,193		3,701		377		2007		(l	)
9872-9898 Windisch Road	Westchester, OH		—		546		3,039		46			548		3,083		3,631		377		2007		(l	)
9902-9922 Windisch Road	Westchester, OH		—		623		4,003		94			627		4,093		4,720		619		2007		(l	)
Cleveland
30311 Emerald Valley Pkwy.	Glenwillow, OH		—		681		11,838		928			691		12,756		13,447		2,072		2006		(l	)
30333 Emerald Valley Pkwy.	Glenwillow, OH		4,916		466		5,447		103			475		5,541		6,016		1,080		2006		(l	)
7800 Cochran Road	Glenwillow, OH		7,114		972		7,033		171			991		7,185		8,176		1,385		2006		(l	)
7900 Cochran Road	Glenwillow, OH		—		775		6,244		80			792		6,307		7,099		1,104		2006		(l	)
7905 Cochran Road	Glenwillow, OH		—		920		6,174		89			921		6,262		7,183		1,069		2006		(l	)
30600 Carter Street	Solon, OH		—		989		3,042		960			1,022		3,969		4,991		1,741		2006		(l	)
8181 Darrow Road	Twinsburg, OH		—		2,478		6,791		1,865			2,496		8,639		11,135		1,174		2008		(l	)
Columbus
3800 Lockbourne Industrial Pkwy	Columbus, OH		—		1,045		6,421		(1,875	)		588		5,003		5,591		2,348		1996		(l	)
3880 Groveport Road	Columbus, OH		—		1,955		12,154		(1,420	)		1,610		11,079		12,689		4,369		1996		(l	)
1819 North Walcutt Road	Columbus, OH		—		637		4,590		(690	)		454		4,083		4,537		1,487		1997		(l	)
4115 Leap Road(d)	Hillard, OH		—		756		4,297		1,511			756		5,808		6,564		1,858		1998		(l	)
3300 Lockbourne	Columbus, OH		—		708		3,920		(2,121	)		156		2,351		2,507		1,513		1998		(l	)
1076 Pittsburgh Drive	Delaware, OH		—		2,265		4,733		(37	)		2,273		4,688		6,961		1,220		2005		(l	)
6150 Huntly Road	Columbus, OH		—		920		4,810		(689	)		791		4,250		5,041		857		2005		(l	)
4985 Frusta Drive	Obetz, OH		—		318		837		255			326		1,084		1,410		318		2006		(l	)
4311 Janitrol Road	Columbus, OH		—		681		5,941		(3,796	)		227		2,599		2,826		915		2006		(l	)
4600 S. Hamilton Road	Groveport, OH		—		662		4,332		1,453			675		5,772		6,447		1,033		2007		(l	)
Dallas/Fort Worth
2406-2416 Walnut Ridge	Dallas, TX		—		178		1,006		585			172		1,597		1,769		409		1997		(l	)
2401-2419 Walnut Ridge	Dallas, TX		—		148		839		299			142		1,144		1,286		287		1997		(l	)
900-906 Great Southwest Pkwy	Arlington, TX		—		237		1,342		440			270		1,749		2,019		545		1997		(l	)
3000 West Commerce	Dallas, TX		—		456		2,584		983			469		3,554		4,023		1,027		1997		(l	)
3030 Hansboro	Dallas, TX		—		266		1,510		(619	)		85		1,072		1,157		620		1997		(l	)

S-5


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

405-407 113th	Arlington, TX		—		181		1,026		475			185		1,497		1,682		434		1997		(l	)
816 111th Street	Arlington, TX		873		251		1,421		132			258		1,546		1,804		512		1997		(l	)
7427 Dogwood Park	Richland Hills, TX		—		96		532		573			102		1,099		1,201		444		1998		(l	)
7348-54 Tower Street	Richland Hills, TX		—		88		489		225			94		708		802		213		1998		(l	)
7339-41 Tower Street	Richland Hills, TX		—		98		541		169			104		704		808		192		1998		(l	)
7437-45 Tower Street	Richland Hills, TX		—		102		563		121			108		678		786		198		1998		(l	)
7331-59 Airport Freeway	Richland Hills, TX		—		354		1,958		349			372		2,289		2,661		721		1998		(l	)
7338-60 Dogwood Park	Richland Hills, TX		—		106		587		126			112		707		819		207		1998		(l	)
7450-70 Dogwood Park	Richland Hills, TX		—		106		584		157			112		735		847		228		1998		(l	)
7423-49 Airport Freeway	Richland Hills, TX		—		293		1,621		393			308		1,999		2,307		648		1998		(l	)
7400 Whitehall Street	Richland Hills, TX		—		109		603		61			115		658		773		198		1998		(l	)
1602-1654 Terre Colony	Dallas, TX		1,867		458		2,596		805			468		3,391		3,859		841		2000		(l	)
2351-2355 Merritt Drive	Garland, TX		—		101		574		87			92		670		762		180		2000		(l	)
701-735 North Plano Road	Richardson, TX		—		696		3,944		(1,760	)		269		2,611		2,880		1,186		2000		(l	)
2220 Merritt Drive	Garland, TX		—		352		1,993		1,088			356		3,077		3,433		936		2000		(l	)
2010 Merritt Drive	Garland, TX		—		350		1,981		578			357		2,552		2,909		794		2000		(l	)
2363 Merritt Drive	Garland, TX		—		73		412		65			47		503		550		157		2000		(l	)
2447 Merritt Drive	Garland, TX		—		70		395		(205	)		23		237		260		119		2000		(l	)
2465-2475 Merritt Drive	Garland, TX		—		91		514		35			71		569		640		154		2000		(l	)
2485-2505 Merritt Drive	Garland, TX		—		431		2,440		848			436		3,283		3,719		778		2000		(l	)
2081 Hutton Drive — Bldg 1(e)	Carrolton, TX		1,507		448		2,540		(272	)		295		2,421		2,716		725		2001		(l	)
2110 Hutton Drive	Carrolton, TX		—		374		2,117		(260	)		268		1,963		2,231		721		2001		(l	)
2025 McKenzie Drive	Carrolton, TX		1,579		437		2,478		348			442		2,821		3,263		774		2001		(l	)
2019 McKenzie Drive	Carrolton, TX		1,886		502		2,843		552			507		3,390		3,897		903		2001		(l	)
1420 Valwood Parkway — Bldg 1(d)	Carrolton, TX		—		460		2,608		(1,499	)		112		1,457		1,569		797		2001		(l	)
1620 Valwood Parkway(e)	Carrolton, TX		—		1,089		6,173		(1,613	)		605		5,044		5,649		1,829		2001		(l	)
1505 Luna Road — Bldg II	Carrolton, TX		—		167		948		(425	)		78		612		690		254		2001		(l	)
1625 West Crosby Road	Carrolton, TX		—		617		3,498		(249	)		456		3,410		3,866		1,033		2001		(l	)
2029-2035 McKenzie Drive	Carrolton, TX		1,897		306		1,870		680			306		2,550		2,856		1,014		2001		(l	)
1840 Hutton Drive(d)	Carrolton, TX		—		811		4,597		176			695		4,889		5,584		1,362		2001		(l	)
1420 Valwood Pkwy — Bldg II	Carrolton, TX		—		373		2,116		321			377		2,433		2,810		599		2001		(l	)
2015 McKenzie Drive	Carrolton, TX		2,106		510		2,891		395			516		3,280		3,796		843		2001		(l	)
2009 McKenzie Drive	Carrolton, TX		—		476		2,699		376			481		3,070		3,551		790		2001		(l	)

S-6


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

1505 Luna Road — Bldg I	Carrolton, TX		—		521		2,953		(1,985	)		130		1,359		1,489		735		2001		(l	)
2104 Hutton Drive	Carrolton, TX		—		246		1,393		(424	)		140		1,075		1,215		372		2001		(l	)
900-1100 Avenue S	Grand Prairie, TX		2,669		623		3,528		1,365			629		4,887		5,516		1,059		2002		(l	)
Plano Crossing(f)	Plano, TX		7,709		1,961		11,112		819			1,981		11,911		13,892		2,648		2002		(l	)
7413A-C Dogwood Park	Richland Hills, TX		—		110		623		195			111		817		928		167		2002		(l	)
7450 Tower Street	Richland Hills, TX		—		36		204		183			36		387		423		148		2002		(l	)
7436 Tower Street	Richland Hills, TX		—		57		324		158			58		481		539		172		2002		(l	)
7426 Tower Street	Richland Hills, TX		—		76		429		239			76		668		744		103		2002		(l	)
7427-7429 Tower Street	Richland Hills, TX		—		75		427		130			76		556		632		111		2002		(l	)
2840-2842 Handley Ederville Rd	Richland Hills, TX		—		112		635		56			113		690		803		145		2002		(l	)
7451-7477 Airport Freeway	Richland Hills, TX		—		256		1,453		254			259		1,704		1,963		372		2002		(l	)
7415 Whitehall Street	Richland Hills, TX		—		372		2,107		(194	)		269		2,016		2,285		542		2002		(l	)
7450 Whitehall Street	Richland Hills, TX		—		104		591		288			105		878		983		162		2002		(l	)
300 Wesley Way	Richland Hills, TX		908		208		1,181		18			211		1,196		1,407		247		2002		(l	)
7451 Dogwood Park	Richland Hills, TX		608		133		753		29			134		781		915		165		2002		(l	)
825-827 Avenue H(d)	Arlington, TX		—		600		3,006		245			604		3,247		3,851		974		2004		(l	)
1013-31 Avenue M	Grand Prairie, TX		—		300		1,504		357			302		1,859		2,161		462		2004		(l	)
1172-84 113th Street(d)	Grand Prairie, TX		2,253		700		3,509		196			704		3,701		4,405		1,009		2004		(l	)
1200-16 Avenue H(d)	Arlington, TX		1,702		600		2,846		(132	)		604		2,710		3,314		591		2004		(l	)
1322-66 N. Carrier Parkway(e)	Grand Prairie, TX		—		1,000		5,012		113			1,006		5,119		6,125		1,082		2004		(l	)
2401-2407 Centennial Dr	Arlington, TX		1,912		600		2,534		217			604		2,747		3,351		865		2004		(l	)
3111 West Commerce Street	Dallas, TX		—		1,000		3,364		95			1,011		3,448		4,459		1,047		2004		(l	)
9150 West Royal Lane	Irving, TX		—		818		3,767		(1,859	)		368		2,358		2,726		904		2005		(l	)
13800 Senlac Drive	Farmers Ranch, TX		—		823		4,042		146			825		4,186		5,011		1,025		2005		(l	)
801-831 S Great Southwest Pkwy(g)	Grand Prairie, TX		—		2,581		16,556		(917	)		2,586		15,634		18,220		4,429		2005		(l	)
801-842 Heinz Way	Grand Prairie, TX		—		599		3,327		355			601		3,680		4,281		995		2005		(l	)
901-937 Heinz Way	Grand Prairie, TX		—		493		2,758		(14	)		481		2,756		3,237		851		2005		(l	)
3730 Wheeler Avenue	Fort Smith, AR		—		720		2,800		(658	)		566		2,296		2,862		448		2006		(l	)
3301 Century Circle	Irving, TX		2,582		760		3,856		204			771		4,049		4,820		500		2007		(l	)
First Garland Dist Ctr.	Garland, TX		—		1,912		—		15,155			1,947		15,120		17,067		1,367		2008		(l	)
Denver
4785 Elati	Denver, CO		—		173		981		132			175		1,111		1,286		336		1997		(l	)
4770 Fox Street	Denver, CO		—		132		750		149			134		897		1,031		265		1997		(l	)
3871 Revere	Denver, CO		1,302		361		2,047		282			368		2,322		2,690		725		1997		(l	)

S-7


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

4570 Ivy Street	Denver, CO		1,048		219		1,239		165			220		1,403		1,623		468		1997		(l	)
5855 Stapleton Drive North	Denver, CO		1,329		288		1,630		142			290		1,770		2,060		566		1997		(l	)
5885 Stapleton Drive North	Denver, CO		1,870		376		2,129		392			380		2,517		2,897		860		1997		(l	)
5977-5995 North Broadway	Denver, CO		—		268		1,518		303			271		1,818		2,089		558		1997		(l	)
2952-5978 North Broadway	Denver, CO		—		414		2,346		861			422		3,199		3,621		1,004		1997		(l	)
4721 Ironton Street	Denver, CO		—		232		1,313		24			236		1,333		1,569		449		1997		(l	)
East 47th Drive — A	Denver, CO		—		441		2,689		(18	)		441		2,671		3,112		892		1997		(l	)
9500 West 49th Street — A	Wheatridge, CO		—		283		1,625		7			287		1,628		1,915		570		1997		(l	)
9500 West 49th Street — B	Wheatridge, CO		—		225		1,272		109			227		1,379		1,606		486		1997		(l	)
9500 West 49th Street — C	Wheatridge, CO		—		600		3,409		110			601		3,518		4,119		1,146		1997		(l	)
9500 West 49th Street — D	Wheatridge, CO		—		246		1,537		395			247		1,931		2,178		683		1997		(l	)
451-591 East 124th Avenue	Littleton, CO		—		383		2,145		328			383		2,473		2,856		998		1997		(l	)
608 Garrison Street	Lakewood, CO		—		265		1,501		423			269		1,920		2,189		620		1997		(l	)
610 Garrison Street	Lakewood, CO		—		264		1,494		372			265		1,865		2,130		606		1997		(l	)
15000 West 6th Avenue	Golden, CO		—		913		5,174		769			918		5,938		6,856		1,902		1997		(l	)
14998 West 6th Avenue Bldg E	Golden, CO		—		565		3,199		263			570		3,457		4,027		1,138		1997		(l	)
14998 West 6th Avenue Bldg F	Englewood, CO		—		269		1,525		73			273		1,594		1,867		516		1997		(l	)
12503 East Euclid Drive	Denver, CO		—		1,208		6,905		429			1,000		7,542		8,542		2,804		1997		(l	)
6547 South Racine Circle	Englewood, CO		3,003		739		4,241		402			739		4,643		5,382		1,631		1997		(l	)
1600 South Abilene	Aurora, CO		—		465		2,633		(1,134	)		210		1,754		1,964		889		1997		(l	)
1620 South Abilene	Aurora, CO		—		268		1,520		84			270		1,602		1,872		520		1997		(l	)
1640 South Abilene	Aurora, CO		—		368		2,085		(158	)		307		1,988		2,295		719		1997		(l	)
13900 East Florida Ave	Aurora, CO		—		189		1,071		(439	)		81		740		821		393		1997		(l	)
11701 East 53rd Avenue	Denver, CO		—		416		2,355		326			422		2,675		3,097		921		1997		(l	)
5401 Oswego Street	Denver, CO		—		273		1,547		197			278		1,739		2,017		580		1997		(l	)
14818 West 6th Avenue Bldg A	Golden, CO		—		468		2,799		400			468		3,199		3,667		1,141		1997		(l	)
14828 West 6th Avenue Bldg B	Golden, CO		—		503		2,942		199			503		3,141		3,644		1,028		1997		(l	)
445 Bryant Street	Denver, CO		6,926		1,829		10,219		2,265			1,829		12,484		14,313		3,794		1998		(l	)
3811 Joliet	Denver, CO		—		735		4,166		448			752		4,597		5,349		1,448		1998		(l	)
12055 E 49th Ave/4955 Peoria	Denver, CO		—		298		1,688		547			305		2,228		2,533		737		1998		(l	)
4940-4950 Paris	Denver, CO		—		152		861		253			156		1,110		1,266		321		1998		(l	)
4970 Paris	Denver, CO		—		95		537		144			97		679		776		208		1998		(l	)
7367 South Revere Parkway	Englewood, CO		3,324		926		5,124		818			934		5,934		6,868		2,016		1998		(l	)

S-8


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

8200 East Park Meadows Drive(d)	Lone Tree, CO		—		1,297		7,348		903			1,304		8,244		9,548		2,245		2000		(l	)
3250 Quentin(d)	Aurora, CO		—		1,220		6,911		638			1,230		7,539		8,769		2,043		2000		(l	)
Highpoint Bus Ctr B	Littleton, CO		—		739		—		3,259			781		3,217		3,998		704		2000		(l	)
1130 W. 124th Ave.	Westminster, CO		—		441		—		3,766			441		3,766		4,207		1,223		2000		(l	)
1070 W. 124th Ave.	Westminster, CO		—		374		—		2,771			374		2,771		3,145		654		2000		(l	)
1020 W. 124th Ave.	Westminster, CO		—		374		—		2,813			374		2,813		3,187		793		2000		(l	)
Jeffco Bus Ctr Phase I	Broomfield, CO		—		312		—		1,403			370		1,345		1,715		337		2001		(l	)
960 W. 124th Ave	Westminster, CO		—		441		—		3,395			429		3,407		3,836		991		2001		(l	)
8820 W. 116th Street	Broomfield, CO		—		338		1,918		290			372		2,174		2,546		451		2003		(l	)
8835 W. 116th Street	Broomfield, CO		—		1,151		6,523		1,090			1,304		7,460		8,764		1,601		2003		(l	)
18150 E. 32nd Street	Aurora, CO		2,130		563		3,188		651			572		3,830		4,402		1,160		2004		(l	)
3400 Fraser Street	Aurora, CO		2,449		616		3,593		(168	)		620		3,421		4,041		598		2005		(l	)
7005 E. 46th Avenue Drive	Denver, CO		1,462		512		2,025		60			517		2,080		2,597		410		2005		(l	)
4001 Salazar Way	Frederick, CO		4,254		1,271		6,508		(88	)		1,276		6,415		7,691		1,137		2006		(l	)
1690 S. Abilene	Aurora, CO		—		406		2,814		(699	)		294		2,227		2,521		570		2006		(l	)
5909-5915 N. Broadway	Denver, CO		1,022		495		1,268		183			500		1,446		1,946		396		2006		(l	)
555 Corporate Circle	Golden, CO		—		499		2,673		77			559		2,690		3,249		521		2006		(l	)
Detroit
1731 Thorncroft	Troy, MI		—		331		1,904		192			331		2,096		2,427		826		1994		(l	)
47461 Clipper	Plymouth Township, MI		—		122		723		114			122		837		959		374		1994		(l	)
238 Executive Drive	Troy, MI		—		52		173		514			100		639		739		558		1994		(l	)
301 Executive Drive	Troy, MI		—		71		293		627			133		858		991		796		1994		(l	)
449 Executive Drive	Troy, MI		—		125		425		939			218		1,271		1,489		1,181		1994		(l	)
501 Executive Drive	Troy, MI		—		71		236		600			129		778		907		556		1994		(l	)
451 Robbins Drive	Troy, MI		—		96		448		867			192		1,219		1,411		1,098		1994		(l	)
1095 Crooks Road	Troy, MI		—		331		1,017		2,239			360		3,227		3,587		1,882		1994		(l	)
1416 Meijer Drive	Troy, MI		—		94		394		516			121		883		1,004		741		1994		(l	)
1624 Meijer Drive	Troy, MI		—		236		1,406		940			373		2,209		2,582		1,754		1994		(l	)
1972 Meijer Drive	Troy, MI		—		315		1,301		738			372		1,982		2,354		1,466		1994		(l	)
1621 Northwood Drive	Troy, MI		—		85		351		1,014			215		1,235		1,450		1,151		1994		(l	)
1707 Northwood Drive	Troy, MI		—		95		262		1,316			239		1,434		1,673		1,116		1994		(l	)
1788 Northwood Drive	Troy, MI		—		50		196		483			103		626		729		558		1994		(l	)
1821 Northwood Drive	Troy, MI		—		132		523		744			220		1,179		1,399		1,162		1994		(l	)
1826 Northwood Drive	Troy, MI		—		55		208		472			103		632		735		547		1994		(l	)
1864 Northwood Drive	Troy, MI		—		57		190		489			107		629		736		566		1994		(l	)

S-9


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

2277 Elliott Avenue	Troy, MI		—		48		188		411			16		631		647		559		1994		(l	)
2451 Elliott Avenue	Troy, MI		—		78		319		751			164		984		1,148		909		1994		(l	)
2730 Research Drive	Rochester Hills, MI		—		903		4,215		1,402			903		5,617		6,520		3,691		1994		(l	)
2791 Research Drive	Rochester Hills, MI		—		557		2,731		719			560		3,447		4,007		2,233		1994		(l	)
2871 Research Drive	Rochester Hills, MI		—		324		1,487		846			327		2,330		2,657		1,518		1994		(l	)
3011 Research Drive	Rochester Hills, MI		—		457		2,104		687			457		2,791		3,248		1,790		1994		(l	)
2870 Technology Drive	Rochester Hills, MI		—		275		1,262		292			279		1,550		1,829		1,079		1994		(l	)
2900 Technology Drive	Rochester Hills, MI		—		214		977		613			219		1,585		1,804		1,004		1994		(l	)
2930 Technology Drive	Rochester Hills, MI		—		131		594		379			138		966		1,104		572		1994		(l	)
2950 Technology Drive	Rochester Hills, MI		—		178		819		381			185		1,193		1,378		763		1994		(l	)
23014 Commerce Drive	Farmington Hills, MI		—		39		203		216			56		402		458		281		1994		(l	)
23028 Commerce Drive	Farmington Hills, MI		—		98		507		278			125		758		883		580		1994		(l	)
23035 Commerce Drive	Farmington Hills, MI		—		71		355		274			93		607		700		441		1994		(l	)
23042 Commerce Drive	Farmintgon Hills, MI		—		67		277		274			89		529		618		417		1994		(l	)
23065 Commerce Drive	Farmington Hills, MI		—		71		408		207			93		593		686		449		1994		(l	)
23070 Commerce Drive	Farmington Hills, MI		—		112		442		346			125		775		900		605		1994		(l	)
23079 Commerce Drive	Farmington Hills, MI		—		68		301		290			79		580		659		402		1994		(l	)
23093 Commerce Drive	Farmington Hills, MI		—		211		1,024		753			295		1,693		1,988		1,356		1994		(l	)
23135 Commerce Drive	Farmington Hills, MI		—		146		701		392			158		1,081		1,239		702		1994		(l	)
23163 Commerce Drive	Farmington Hills, MI		—		111		513		341			138		827		965		576		1994		(l	)
23177 Commerce Drive	Farmington Hills, MI		—		175		1,007		593			254		1,521		1,775		1,094		1994		(l	)
23206 Commerce Drive	Farmington Hills, MI		—		125		531		309			137		828		965		600		1994		(l	)
23370 Commerce Drive	Farmington Hills, MI		—		59		233		175			66		401		467		351		1994		(l	)
6515 Cobb Drive	Sterling Heights, MI		—		305		1,753		242			305		1,995		2,300		779		1994		(l	)
1451 East Lincoln Avenue	Madison Heights, MI		—		299		1,703		(474	)		148		1,380		1,528		756		1995		(l	)
4400 Purks Drive	Auburn Hills, MI		—		602		3,410		3,201			612		6,601		7,213		2,414		1995		(l	)
32450 N Avis Drive	Madison Heights, MI		—		281		1,590		529			286		2,114		2,400		685		1996		(l	)
12707 Eckles Road	Plymouth Township, MI		—		255		1,445		239			267		1,672		1,939		568		1996		(l	)
9300-9328 Harrison Rd	Romulus, MI		—		147		834		408			154		1,235		1,389		404		1996		(l	)
9330-9358 Harrison Rd	Romulus, MI		—		81		456		253			85		705		790		238		1996		(l	)
28420-28448 Highland Rd	Romulus, MI		—		143		809		268			149		1,071		1,220		332		1996		(l	)
28450-28478 Highland Rd	Romulus, MI		—		81		461		602			85		1,059		1,144		293		1996		(l	)
28421-28449 Highland Rd	Romulus, MI		—		109		617		497			114		1,109		1,223		355		1996		(l	)
28451-28479 Highland Rd	Romulus, MI		—		107		608		379			112		982		1,094		292		1996		(l	)
28825-28909 Highland Rd	Romulus, MI		—		70		395		293			73		685		758		247		1996		(l	)
28933-29017 Highland Rd	Romulus, MI		—		112		634		240			117		869		986		270		1996		(l	)

S-10


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

28824-28908 Highland Rd	Romulus, MI		—		134		760		221			140		975		1,115		346		1996		(l	)
28932-29016 Highland Rd	Romulus, MI		—		123		694		276			128		965		1,093		306		1996		(l	)
9710-9734 Harrison Rd	Romulus, MI		—		125		706		187			130		888		1,018		294		1996		(l	)
9740-9772 Harrison Rd	Romulus, MI		—		132		749		226			138		969		1,107		319		1996		(l	)
9840-9868 Harrison Rd	Romulus, MI		—		144		815		174			151		982		1,133		378		1996		(l	)
9800-9824 Harrison Rd	Romulus, MI		—		117		664		146			123		804		927		289		1996		(l	)
29265-29285 Airport Dr	Romulus, MI		—		140		794		254			147		1,041		1,188		380		1996		(l	)
29185-29225 Airport Dr	Romulus, MI		—		140		792		328			146		1,114		1,260		407		1996		(l	)
29149-29165 Airport Dr	Romulus, MI		—		216		1,225		250			226		1,465		1,691		513		1996		(l	)
29101-29115 Airport Dr	Romulus, MI		—		130		738		261			136		993		1,129		348		1996		(l	)
29031-29045 Airport Dr	Romulus, MI		—		124		704		178			130		876		1,006		343		1996		(l	)
29050-29062 Airport Dr	Romulus, MI		—		127		718		213			133		925		1,058		297		1996		(l	)
29120-29134 Airport Dr	Romulus, MI		—		161		912		268			169		1,172		1,341		393		1996		(l	)
29200-29214 Airport Dr	Romulus, MI		—		170		963		250			178		1,205		1,383		421		1996		(l	)
9301-9339 Middlebelt Rd	Romulus, MI		—		124		703		291			130		988		1,118		330		1996		(l	)
26980 Trolley Industrial Drive	Taylor, MI		—		450		2,550		(658	)		207		2,135		2,342		1,137		1997		(l	)
32975 Capitol Avenue	Livonia, MI		—		135		748		(49	)		77		757		834		392		1998		(l	)
2725 S. Industrial Highway	Ann Arbor, MI		—		660		3,654		(1,431	)		313		2,570		2,883		1,277		1998		(l	)
32920 Capitol Avenue	Livonia, MI		—		76		422		(98	)		27		373		400		161		1998		(l	)
11923 Brookfield Avenue	Livonia, MI		—		120		665		(350	)		32		403		435		257		1998		(l	)
11965 Brookfield Avenue	Livonia, MI		—		120		665		(411	)		28		346		374		224		1998		(l	)
13405 Stark Road	Livonia, MI		—		46		254		(3	)		30		267		297		99		1998		(l	)
1170 Chicago Road	Troy, MI		—		249		1,380		(455	)		129		1,045		1,174		501		1998		(l	)
1200 Chicago Road	Troy, MI		—		268		1,483		284			286		1,749		2,035		542		1998		(l	)
450 Robbins Drive	Troy, MI		—		166		920		260			178		1,168		1,346		381		1998		(l	)
1230 Chicago Road	Troy, MI		—		271		1,498		166			289		1,646		1,935		516		1998		(l	)
12886 Westmore Avenue	Livonia, MI		—		190		1,050		(413	)		86		741		827		381		1998		(l	)
12898 Westmore Avenue	Livonia, MI		—		190		1,050		(639	)		39		562		601		376		1998		(l	)
33025 Industrial Road	Livonia, MI		—		80		442		(331	)		6		185		191		160		1998		(l	)
47711 Clipper Street	Plymouth Township, MI		—		539		2,983		265			575		3,212		3,787		1,012		1998		(l	)
32975 Industrial Road	Livonia, MI		—		160		887		(231	)		92		724		816		326		1998		(l	)
32985 Industrial Road	Livonia, MI		—		137		761		(368	)		46		484		530		271		1998		(l	)
32995 Industrial Road	Livonia, MI		—		160		887		(344	)		69		634		703		328		1998		(l	)
12874 Westmore Avenue	Livonia, MI		—		137		761		(203	)		58		637		695		347		1998		(l	)
33067 Industrial Road	Livonia, MI		—		160		887		(430	)		54		563		617		319		1998		(l	)
1775 Bellingham	Troy, MI		—		344		1,902		365			367		2,244		2,611		685		1998		(l	)

S-11


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

1785 East Maple	Troy, MI		—		92		507		140			98		641		739		185		1998		(l	)
1807 East Maple	Troy, MI		—		321		1,775		(445	)		189		1,462		1,651		638		1998		(l	)
980 Chicago	Troy, MI		—		206		1,141		209			220		1,336		1,556		401		1998		(l	)
1840 Enterprise Drive	Rochester Hills, MI		—		573		3,170		(2,280	)		49		1,414		1,463		1,069		1998		(l	)
1885 Enterprise Drive	Rochester Hills, MI		—		209		1,158		146			223		1,290		1,513		412		1998		(l	)
1935-55 Enterprise Drive	Rochester Hills, MI		—		1,285		7,144		735			1,371		7,793		9,164		2,426		1998		(l	)
5500 Enterprise Court	Warren, MI		—		675		3,737		517			721		4,208		4,929		1,304		1998		(l	)
750 Chicago Road	Troy, MI		—		323		1,790		498			345		2,266		2,611		731		1998		(l	)
800 Chicago Road	Troy, MI		—		283		1,567		366			302		1,914		2,216		583		1998		(l	)
850 Chicago Road	Troy, MI		—		183		1,016		261			196		1,264		1,460		404		1998		(l	)
2805 S. Industrial Highway	Ann Arbor, MI		—		318		1,762		276			219		2,137		2,356		823		1998		(l	)
6833 Center Drive	Sterling Heights, MI		—		467		2,583		218			493		2,775		3,268		898		1998		(l	)
32201 North Avis Drive	Madison Heights, MI		—		345		1,911		(1,007	)		96		1,153		1,249		681		1998		(l	)
1100 East Mandoline Road	Madison Heights, MI		—		888		4,915		(985	)		402		4,416		4,818		1,937		1998		(l	)
30081 Stephenson Highway	Madison Heights, MI		—		271		1,499		(585	)		108		1,077		1,185		576		1998		(l	)
1120 John A. Papalas Drive(e)	Lincoln Park, MI		—		366		3,241		202			291		3,518		3,809		1,468		1998		(l	)
4872 S. Lapeer Road	Lake Orion Twsp, MI		—		1,342		5,441		526			1,412		5,897		7,309		1,809		1999		(l	)
22701 Trolley Industrial	Taylor, MI		—		795		—		7,372			849		7,318		8,167		2,028		1999		(l	)
1400 Allen Drive	Troy, MI		—		209		1,154		253			212		1,404		1,616		367		2000		(l	)
1408 Allen Drive	Troy, MI		—		151		834		133			153		965		1,118		264		2000		(l	)
1305 Stephenson Hwy	Troy, MI		—		345		1,907		255			350		2,157		2,507		533		2000		(l	)
32505 Industrial Drive	Madison Heights, MI		—		345		1,910		333			351		2,237		2,588		575		2000		(l	)
1799-1813 Northfield Drive(d)	Rochester Hills, MI		—		481		2,665		297			490		2,953		3,443		784		2000		(l	)
28435 Automation Blvd	Wixom, MI		—		621		—		3,736			628		3,729		4,357		608		2004		(l	)
32200 N Avis Drive	Madison Heights, MI		—		503		3,367		(1,368	)		190		2,312		2,502		684		2005		(l	)
100 Kay Industrial Drive	Rion Township, MI		—		677		2,018		682			685		2,692		3,377		925		2005		(l	)
1849 West Maple Road	Troy, MI		—		1,688		2,790		(3,643	)		156		679		835		476		2005		(l	)
32650 Capitol Avenue	Livonia, MI		—		282		1,128		(500	)		167		743		910		148		2005		(l	)
11800 Sears Drive	Livonia, MI		—		693		1,507		1,156			466		2,890		3,356		942		2005		(l	)
1099 Chicago Road	Troy, MI		—		1,277		1,332		(718	)		765		1,126		1,891		639		2005		(l	)
42555 Merrill Road	Sterling Heights, MI		—		1,080		2,300		3,487			1,090		5,777		6,867		1,062		2006		(l	)
2441 N. Opdyke Road	Auburn Hills, MI		—		530		737		16			538		745		1,283		277		2006		(l	)
200 Northpointe Drive	Orion Township, MI		—		723		2,063		36			734		2,088		2,822		454		2006		(l	)

S-12


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Houston
2102-2314 Edwards Street	Houston, TX		—		348		1,973		1,698			382		3,637		4,019		1,232		1997		(l	)
3351 Rauch St	Houston, TX		—		272		1,541		560			278		2,095		2,373		581		1997		(l	)
3851 Yale St	Houston, TX		2,150		413		2,343		482			425		2,813		3,238		986		1997		(l	)
3337-3347 Rauch Street	Houston, TX		962		227		1,287		220			233		1,501		1,734		474		1997		(l	)
8505 N Loop East	Houston, TX		1,738		439		2,489		662			449		3,141		3,590		961		1997		(l	)
4749-4799 Eastpark Dr	Houston, TX		2,554		594		3,368		1,316			611		4,667		5,278		1,465		1997		(l	)
4851 Homestead Road	Houston, TX		—		491		2,782		949			504		3,718		4,222		1,134		1997		(l	)
3365-3385 Rauch Street	Houston, TX		1,721		284		1,611		696			290		2,301		2,591		686		1997		(l	)
5050 Campbell Road	Houston, TX		1,693		461		2,610		427			470		3,028		3,498		985		1997		(l	)
4300 Pine Timbers	Houston, TX		—		489		2,769		702			499		3,461		3,960		1,100		1997		(l	)
2500-2530 Fairway Park Drive	Houston, TX		3,446		766		4,342		2,013			792		6,329		7,121		1,767		1997		(l	)
6550 Longpointe	Houston, TX		1,394		362		2,050		469			370		2,511		2,881		803		1997		(l	)
1815 Turning Basin Dr	Houston, TX		1,880		487		2,761		637			531		3,354		3,885		1,084		1997		(l	)
1819 Turning Basin Dr	Houston, TX		—		231		1,308		414			251		1,702		1,953		509		1997		(l	)
1805 Turning Basin Drive	Houston, TX		2,212		564		3,197		810			616		3,955		4,571		1,272		1997		(l	)
9835A Genard Road	Houston, TX		—		1,505		8,333		3,088			1,581		11,345		12,926		2,854		1999		(l	)
9835B Genard Road	Houston, TX		—		245		1,357		646			256		1,992		2,248		556		1999		(l	)
11505 State Highway 225	LaPorte City, TX		4,723		940		4,675		615			940		5,290		6,230		1,100		2005		(l	)
1500 E. Main Street	Houston, TX		—		201		1,328		24			204		1,349		1,553		534		2005		(l	)
700 Industrial Blvd	Sugar Land, TX		—		608		3,679		365			617		4,035		4,652		632		2007		(l	)
7230-7238 Wynnwood	Houston, TX		—		254		764		66			259		825		1,084		212		2007		(l	)
7240-7248 Wynnwood	Houston, TX		—		271		726		77			276		798		1,074		213		2007		(l	)
7250-7260 Wynnwood	Houston, TX		—		200		481		35			203		513		716		121		2007		(l	)
7967 Blankenship	Houston, TX		—		307		1,166		220			307		1,386		1,693		77		2010		(l	)
6400 Long Point	Houston, TX		818		188		898		(6	)		188		892		1,080		212		2007		(l	)
12705 S. Kirkwood, Ste 100-150	Stafford, TX		—		154		626		(45	)		139		596		735		122		2007		(l	)
12705 S. Kirkwood, Ste 200-220	Stafford, TX		—		404		1,698		19			378		1,743		2,121		351		2007		(l	)
8850 Jameel	Houston, TX		—		171		826		63			171		889		1,060		194		2007		(l	)
8800 Jameel	Houston, TX		—		163		798		(154	)		124		683		807		145		2007		(l	)
8700 Jameel	Houston, TX		—		170		1,020		(109	)		120		961		1,081		228		2007		(l	)
8600 Jameel	Houston, TX		—		163		818		(20	)		163		798		961		137		2007		(l	)

S-13


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Indianapolis
2900 N Shadeland Avenue	Indianapolis, IN		—		2,057		13,565		3,428			2,057		16,993		19,050		6,132		1996		(l	)
1445 Brookville Way	Indianapolis, IN		—		459		2,603		679			476		3,265		3,741		1,149		1996		(l	)
1440 Brookville Way	Indianapolis, IN		—		665		3,770		983			685		4,733		5,418		1,889		1996		(l	)
1240 Brookville Way	Indianapolis, IN		—		247		1,402		322			258		1,713		1,971		643		1996		(l	)
1345 Brookville Way	Indianapolis, IN		—		586		3,321		825			601		4,131		4,732		1,577		1996		(l	)
1350 Brookville Way	Indianapolis, IN		—		205		1,161		312			212		1,466		1,678		543		1996		(l	)
1341 Sadlier Circle E Dr	Indianapolis, IN		—		131		743		202			136		940		1,076		327		1996		(l	)
1322-1438 Sadlier Circle E Dr	Indianapolis, IN		—		145		822		229			152		1,044		1,196		348		1996		(l	)
1327-1441 Sadlier Circle E Dr	Indianapolis, IN		—		218		1,234		330			225		1,557		1,782		557		1996		(l	)
1304 Sadlier Circle E Dr	Indianapolis, IN		—		71		405		188			75		589		664		187		1996		(l	)
1402 Sadlier Circle E Dr	Indianapolis, IN		—		165		934		266			171		1,194		1,365		404		1996		(l	)
1504 Sadlier Circle E Dr	Indianapolis, IN		—		219		1,238		12			146		1,323		1,469		567		1996		(l	)
1365 Sadlier Circle E Dr	Indianapolis, IN		—		121		688		23			91		741		832		304		1996		(l	)
1352-1354 Sadlier Circle E Dr	Indianapolis, IN		—		178		1,008		170			166		1,190		1,356		425		1996		(l	)
1335 Sadlier Circle E Dr	Indianapolis, IN		—		81		460		307			85		763		848		308		1996		(l	)
1327 Sadlier Circle E Dr	Indianapolis, IN		—		52		295		88			55		380		435		124		1996		(l	)
1425 Sadlier Circle E Dr	Indianapolis, IN		—		21		117		37			23		152		175		56		1996		(l	)
6951 E 30th St	Indianapolis, IN		—		256		1,449		191			265		1,631		1,896		585		1996		(l	)
6701 E 30th St	Indianapolis, IN		—		78		443		59			82		498		580		180		1996		(l	)
6737 E 30th St	Indianapolis, IN		—		385		2,181		184			398		2,352		2,750		861		1996		(l	)
6555 E 30th St	Indianapolis, IN		3,546		484		4,760		1,393			484		6,153		6,637		2,291		1996		(l	)
8402-8440 E 33rd St	Indianapolis, IN		—		222		1,260		534			230		1,786		2,016		642		1996		(l	)
8520-8630 E 33rd St	Indianapolis, IN		—		326		1,848		206			281		2,099		2,380		805		1996		(l	)
8710-8768 E 33rd St	Indianapolis, IN		—		175		993		533			187		1,514		1,701		537		1996		(l	)
3316-3346 N. Pagosa Court	Indianapolis, IN		1,414		325		1,842		479			335		2,311		2,646		854		1996		(l	)
7901 West 21st St.	Indianapolis, IN		—		1,048		6,027		253			1,048		6,280		7,328		2,132		1997		(l	)
1225 Brookville Way	Indianapolis, IN		—		60		—		462			68		454		522		173		1997		(l	)
6751 E 30th St	Indianapolis, IN		—		728		2,837		292			741		3,116		3,857		1,029		1997		(l	)
9200 East 146th Street	Noblesville, IN		—		181		1,221		1,019			181		2,240		2,421		692		1998		(l	)
6575 East 30th Street	Indianapolis, IN		—		118		—		2,086			128		2,076		2,204		653		1998		(l	)
6585 East 30th Street	Indianapolis, IN		—		196		—		3,206			196		3,206		3,402		1,044		1998		(l	)
9210 E. 146th Street	Noblesville, IN		—		66		684		834			66		1,518		1,584		815		1998		(l	)
5705-97 Park Plaza Ct.	Indianapolis, IN		2,163		600		2,194		456			609		2,641		3,250		655		2003		(l	)
9319-9341 Castlegate Drive	Indianapolis, IN		—		530		1,235		1,003			544		2,224		2,768		738		2003		(l	)
1133 Northwest L Street	Richmond, IN		1,008		201		1,358		(23	)		208		1,328		1,536		524		2006		(l	)

S-14


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

14425 Bergen Blvd	Noblesville, IN		—		647		—		3,861			743		3,765		4,508		495		2007		(l	)
Inland Empire
3411 N. Perris Boulevard	Riverside, CA		—		8,125		7,150		(10,542	)		1,838		2,895		4,733		1,842		2007		(l	)
100 West Sinclair	Riverside, CA		—		4,894		3,481		(4,555	)		1,818		2,002		3,820		738		2007		(l	)
14050 Day Street	Moreno Valley, CA		—		2,538		2,538		291			2,565		2,801		5,366		333		2008		(l	)
12925 Marlay Avenue	Fontana, CA		—		6,072		7,891		105			6,090		7,978		14,068		1,230		2008		(l	)
Los Angeles
1944 Vista Bella Way	Rancho Domingue, CA		3,422		1,746		3,148		584			1,822		3,656		5,478		891		2005		(l	)
2000 Vista Bella Way	Rancho Domingue, CA		1,398		817		1,673		278			853		1,915		2,768		451		2005		(l	)
2835 East Ana Street	Rancho Domingue, CA		2,959		1,682		2,750		82			1,772		2,742		4,514		808		2005		(l	)
665 N. Baldwin Park Blvd.	City of Industry, CA		4,614		2,124		5,219		1,678			2,143		6,878		9,021		1,214		2006		(l	)
27801 Avenue Scott	Santa Clarita, CA		—		2,890		7,020		584			2,902		7,592		10,494		1,214		2006		(l	)
2610&2660 Columbia St	Torrance, CA		4,698		3,008		5,826		181			3,031		5,984		9,015		963		2006		(l	)
433 Alaska Avenue	Torrance, CA		—		681		168		5			684		170		854		101		2006		(l	)
4020 S. Compton Ave	Los Angeles, CA		—		3,800		7,330		71			3,825		7,376		11,201		978		2006		(l	)
21730-21748 Marilla St.	Chatsworth, CA		3,109		2,585		3,210		126			2,608		3,313		5,921		555		2007		(l	)
8015 Paramount	Pico Rivera, CA		—		3,616		3,902		61			3,657		3,922		7,579		675		2007		(l	)
3365 E. Slauson	Vernon, CA		—		2,367		3,243		40			2,396		3,254		5,650		590		2007		(l	)
3015 East Ana	Rancho Domingue, CA		—		19,678		9,321		7,451			20,144		16,306		36,450		2,316		2007		(l	)
19067 Reyes Ave	Rancho Domingue, CA		—		9,281		3,920		190			9,381		4,010		13,391		805		2007		(l	)
1250 Rancho Conejo Blvd.	Thousand Oaks, CA		—		1,435		779		36			1,441		809		2,250		160		2007		(l	)
1260 Rancho Conejo Blvd.	Thousand Oaks, CA		—		1,353		722		(898	)		651		526		1,177		138		2007		(l	)
1270 Rancho Conejo Blvd.	Thousand Oaks, CA		—		1,224		716		21			1,229		732		1,961		166		2007		(l	)
1280 Rancho Conejo Blvd.	Thousand Oaks, CA		3,234		2,043		3,408		40			2,051		3,440		5,491		567		2007		(l	)
1290 Rancho Conejo Blvd	Thousand Oaks, CA		2,788		1,754		2,949		35			1,761		2,977		4,738		494		2007		(l	)
18201-18291 Santa Fe	Rancho Domingue, CA		—		6,720		—		8,949			6,897		8,772		15,669		671		2008		(l	)
1011 Rancho Conejo	Thousand Oaks, CA		5,762		7,717		2,518		(186	)		7,752		2,296		10,048		407		2008		(l	)
2300 Corporate Center Drive	Thousand Oaks, CA		—		6,506		4,885		(5,254	)		3,236		2,901		6,137		915		2008		(l	)
20700 Denker Avenue	Rancho Domingue, CA		5,711		5,767		2,538		1,426			5,964		3,768		9,732		597		2008		(l	)
18408 Laurel Park Road	Rancho Domingue, CA		—		2,850		2,850		643			2,874		3,469		6,343		337		2008		(l	)
19021 S. Reyes Ave	Rancho Domingue, CA		—		8,183		7,501		549			8,545		7,688		16,233		561		2008		(l	)
Miami
4700 NW 15th Ave.	Ft. Lauderdale, FL		—		908		1,883		310			912		2,189		3,101		360		2007		(l	)
4710 NW 15th Ave.	Ft. Lauderdale, FL		—		830		2,722		384			834		3,102		3,936		439		2007		(l	)
4720 NW 15th Ave.	Ft. Lauderdale, FL		—		937		2,455		262			942		2,712		3,654		375		2007		(l	)
4740 NW 15th Ave.	Ft. Lauderdale, FL		—		1,107		3,111		261			1,112		3,367		4,479		489		2007		(l	)

S-15


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

4750 NW 15th Ave.	Ft. Lauderdale, FL		—		947		3,079		756			951		3,831		4,782		532		2007		(l	)
4800 NW 15th Ave	Ft. Lauderdale, FL		—		1,092		3,308		359			1,097		3,662		4,759		673		2007		(l	)
Medley Industrial Center	Medley, FL		—		857		3,428		2,978			864		6,399		7,263		594		2007		(l	)
Pan American Business Park	Medley, FL		—		2,521		—		633			828		2,326		3,154		50		2008		(l	)
Milwaukee
N25 W23050 Paul Road	Pewaukee, WI		—		474		2,723		649			265		3,581		3,846		1,802		1994		(l	)
N25 W23255 Paul Road	Pewaukee, WI		2,018		569		3,270		(102	)		456		3,281		3,737		1,429		1994		(l	)
6523 N Sydney Place	Glendale, WI		—		172		976		(46	)		88		1,014		1,102		538		1995		(l	)
5355 South Westridge Drive	New Berlin, WI		5,489		1,630		7,058		(306	)		1,646		6,736		8,382		1,001		2004		(l	)
320-334 W. Vogel Avenue	Milwaukee, WI		—		506		3,199		80			508		3,277		3,785		1,139		2005		(l	)
4950 South 6th Avenue	Milwaukee, WI		—		299		1,565		57			301		1,620		1,921		672		2005		(l	)
1711 Paramount Court	Waukesha, WI		1,329		308		1,762		41			311		1,800		2,111		402		2005		(l	)
17005 W. Ryerson Road	New Berlin, WI		—		403		3,647		16			405		3,661		4,066		1,077		2005		(l	)
W140 N9059 Lilly Road	Menomonee Falls, WI		—		343		1,153		140			366		1,270		1,636		344		2005		(l	)
200 W. Vogel Avenue-Bldg B	Milwaukee, WI		—		301		2,150		—			302		2,149		2,451		648		2005		(l	)
4921 S. 2nd Street	Milwaukee, WI		—		101		713		(221	)		60		533		593		214		2005		(l	)
1500 Peebles Drive	Richland Center, WI		—		1,577		1,018		(387	)		1,434		774		2,208		635		2005		(l	)
16600 West Glendale Ave	New Berlin, WI		—		704		1,923		468			715		2,380		3,095		710		2006		(l	)
2905 S. 160th Street	New Berlin, WI		—		261		672		312			265		980		1,245		258		2007		(l	)
2855 S. 160th Street	New Berlin, WI		—		221		628		198			225		822		1,047		304		2007		(l	)
2485 Commerce Drive	New Berlin, WI		—		483		1,516		235			491		1,743		2,234		387		2007		(l	)
14518 Whittaker Way	Menomonee Falls, WI		—		437		1,082		125			445		1,199		1,644		358		2007		(l	)
Rust-Oleum BTS	Kenosha, WI		14,362		4,100		—		23,783			3,212		24,671		27,883		1,338		2008		(l	)
Menomonee Falls-Barry Land	Menomonee Falls, WI		11,203		1,188		—		16,945			1,204		16,929		18,133		845		2008		(l	)
Minneapolis/St. Paul
6201 West 111th Street	Bloomington, MN		4,479		1,358		8,622		5,364			1,499		13,845		15,344		8,401		1994		(l	)
7251-7267 Washington Avenue	Edina, MN		—		129		382		624			182		953		1,135		745		1994		(l	)
7301-7325 Washington Avenue	Edina, MN		—		174		391		(70	)		193		302		495		75		1994		(l	)
7101 Winnetka Avenue North	Brooklyn Park, MN		5,933		2,195		6,084		3,982			2,228		10,033		12,261		6,173		1994		(l	)
9901 West 74th Street	Eden Prairie, MN		3,480		621		3,289		3,281			639		6,552		7,191		4,718		1994		(l	)
1030 Lone Oak Road	Eagan, MN		2,358		456		2,703		616			456		3,319		3,775		1,251		1994		(l	)
1060 Lone Oak Road	Eagan, MN		3,083		624		3,700		610			624		4,310		4,934		1,844		1994		(l	)
5400 Nathan Lane	Plymouth, MN		2,973		749		4,461		935			757		5,388		6,145		2,173		1994		(l	)
6655 Wedgewood Road	Maple Grove, MN		7,035		1,466		8,342		3,216			1,466		11,558		13,024		4,214		1994		(l	)
10120 W 76th Street	Eden Prairie, MN		—		315		1,804		1,439			315		3,243		3,558		1,042		1995		(l	)
12155 Nicollet Ave.	Burnsville, MN		—		286		—		1,731			288		1,729		2,017		658		1995		(l	)

S-16


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

4100 Peavey Road	Chaska, MN		—		277		2,261		798			277		3,059		3,336		1,061		1996		(l	)
5205 Highway 169	Plymouth, MN		—		446		2,525		427			557		2,841		3,398		1,140		1996		(l	)
7100-7198 Shady Oak Road	Eden Prairie, MN		—		715		4,054		1,910			736		5,943		6,679		1,816		1996		(l	)
7500-7546 Washington Square	Eden Prairie, MN		—		229		1,300		782			235		2,076		2,311		653		1996		(l	)
7550-7558 Washington Square	Eden Prairie, MN		—		153		867		275			157		1,138		1,295		367		1996		(l	)
5240-5300 Valley Industrial Blvd S	Shakopee, MN		—		362		2,049		810			371		2,850		3,221		927		1996		(l	)
500-530 Kasota Avenue SE	Minneapolis, MN		—		415		2,354		997			434		3,332		3,766		992		1998		(l	)
2530-2570 Kasota Avenue	St. Paul, MN		—		407		2,308		737			435		3,017		3,452		953		1998		(l	)
5775 12th Avenue	Shakopee, MN		4,009		590		—		5,827			590		5,827		6,417		1,708		1998		(l	)
1157 Valley Park Drive	Shakopee, MN		4,486		760		—		6,421			888		6,293		7,181		1,807		1999		(l	)
9600 West 76th Street	Eden Prairie, MN		2,610		1,000		2,450		48			1,034		2,464		3,498		542		2004		(l	)
9700 West 76th Street	Eden Prairie, MN		3,160		1,000		2,709		529			1,038		3,200		4,238		647		2004		(l	)
7600 69th Avenue	Greenfield, MN		—		1,500		8,328		1,808			1,510		10,126		11,636		2,407		2004		(l	)
5017 Boone Avenue North	New Hope, MN		—		1,000		1,599		(19	)		1,009		1,571		2,580		480		2005		(l	)
2300 West Highway 13	Burnsville, MN		—		2,517		6,069		(3,429	)		1,253		3,904		5,157		2,274		2005		(l	)
1087 Park Place	Shakopee, MN		—		1,195		4,891		(622	)		1,198		4,266		5,464		635		2005		(l	)
5391 12th Avenue SE	Shakopee, MN		5,084		1,392		8,149		201			1,395		8,347		9,742		1,729		2005		(l	)
4701 Valley Industrial Blvd S	Shakopee, MN		—		1,296		7,157		569			1,299		7,723		9,022		2,016		2005		(l	)
316 Lake Hazeltine Drive	Chaska, MN		—		714		944		57			729		986		1,715		362		2006		(l	)
6455 City West Parkway	Eden Prairie, MN		—		659		3,189		(304	)		665		2,879		3,544		542		2006		(l	)
1225 Highway 169 North	Plymouth, MN		—		1,190		1,979		391			1,207		2,353		3,560		711		2006		(l	)
7102 Winnetka Avene North	Brooklyn Park, MN		4,534		1,275		—		6,850			1,343		6,782		8,125		931		2007		(l	)
139 Eva Street	St. Paul, MN		—		2,132		3,105		90			2,175		3,152		5,327		352		2008		(l	)
21900 Dodd Boulevard	Lakeville, MN		—		2,289		7,952		(1	)		2,289		7,952		10,241		223		2009		(l	)
Nashville
1621 Heil Quaker Boulevard	Nashville, TN		2,455		413		2,383		1,775			430		4,141		4,571		1,860		1995		(l	)
3099 Barry Drive	Portland, TN		—		418		2,368		(745	)		240		1,801		2,041		870		1996		(l	)
3150 Barry Drive	Portland, TN		—		941		5,333		5,955			981		11,248		12,229		2,391		1996		(l	)
5599 Highway 31 West	Portland, TN		—		564		3,196		(1,618	)		180		1,962		2,142		1,183		1996		(l	)
1650 Elm Hill Pike	Nashville, TN		—		329		1,867		180			300		2,076		2,376		739		1997		(l	)
1931 Air Lane Drive	Nashville, TN		—		489		2,785		397			493		3,178		3,671		1,037		1997		(l	)
4640 Cummings Park	Nashville, TN		—		360		2,040		632			365		2,667		3,032		678		1999		(l	)
1740 River Hills Drive	Nashville, TN		3,398		848		4,383		1,385			888		5,728		6,616		2,040		2005		(l	)
211 Ellery Court	Nashville, TN		2,690		606		3,192		211			616		3,393		4,009		630		2007		(l	)
Rockdale BTS	Gallatin, TN		—		1,778		—		24,267			1,778		24,267		26,045		1,287		2008		(l	)

S-17


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Northern New Jersey
14 World’s Fair Drive	Franklin, NJ		—		483		2,735		610			503		3,325		3,828		1,135		1997		(l	)
12 World’s Fair Drive	Franklin, NJ		—		572		3,240		682			593		3,901		4,494		1,294		1997		(l	)
22 World’s Fair Drive	Franklin, NJ		—		364		2,064		665			375		2,718		3,093		951		1997		(l	)
26 World’s Fair Drive	Franklin, NJ		—		361		2,048		547			377		2,579		2,956		863		1997		(l	)
24 World’s Fair Drive	Franklin, NJ		—		347		1,968		447			362		2,400		2,762		882		1997		(l	)
20 World’s Fair Drive Lot 13	Sumerset, NJ		—		9		—		2,581			691		1,899		2,590		505		1999		(l	)
45 Route 46	Pine Brook, NJ		—		969		5,491		911			978		6,393		7,371		1,770		2000		(l	)
43 Route 46	Pine Brook, NJ		—		474		2,686		435			479		3,116		3,595		741		2000		(l	)
39 Route 46	Pine Brook, NJ		—		260		1,471		191			262		1,660		1,922		433		2000		(l	)
26 Chapin Road	Pine Brook, NJ		4,950		956		5,415		802			965		6,208		7,173		1,619		2000		(l	)
30 Chapin Road	Pine Brook, NJ		4,833		960		5,440		603			969		6,034		7,003		1,629		2000		(l	)
20 Hook Mountain Road	Pine Brook, NJ		—		1,507		8,542		2,920			1,534		11,435		12,969		3,037		2000		(l	)
30 Hook Mountain Road	Pine Brook, NJ		—		389		2,206		423			396		2,622		3,018		681		2000		(l	)
55 Route 46	Pine Brook, NJ		—		396		2,244		(478	)		300		1,862		2,162		560		2000		(l	)
16 Chapin Rod	Pine Brook, NJ		3,708		885		5,015		440			901		5,439		6,340		1,313		2000		(l	)
20 Chapin Road	Pine Brook, NJ		4,810		1,134		6,426		664			1,154		7,070		8,224		1,815		2000		(l	)
Sayreville Lot 4	Sayreville, NJ		3,573		944		—		4,592			944		4,592		5,536		976		2002		(l	)
Sayreville Lot 3	Sayreville, NJ		—		996		—		5,380			996		5,380		6,376		866		2003		(l	)
309-319 Pierce Street	Somerset, NJ		3,917		1,300		4,628		1,069			1,309		5,688		6,997		1,417		2004		(l	)
Philadelphia
230-240 Welsh Pool Road	Exton, PA		—		154		851		306			170		1,141		1,311		315		1998		(l	)
264 Welsh Pool Road	Exton, PA		—		147		811		306			162		1,102		1,264		348		1998		(l	)
254 Welsh Pool Road	Exton, PA		—		152		842		414			184		1,224		1,408		354		1998		(l	)
251 Welsh Pool Road	Exton, PA		—		144		796		467			159		1,248		1,407		366		1998		(l	)
151-161 Philips Road	Exton, PA		—		191		1,059		298			229		1,319		1,548		411		1998		(l	)
216 Philips Road	Exton, PA		—		199		1,100		412			220		1,491		1,711		408		1998		(l	)
14 McFadden Road	Palmer, PA		1,650		600		1,349		56			625		1,380		2,005		501		2004		(l	)
2801 Red Lion Road	Philadelphia, PA		—		950		5,916		(669	)		964		5,233		6,197		1,282		2005		(l	)
3240 S. 78th Street	Philadelphia, PA		—		515		1,245		(312	)		403		1,045		1,448		311		2005		(l	)
200 Cascade Drive, Bldg. 1	Allen Town, PA		—		2,133		17,562		928			2,769		17,854		20,623		3,292		2007		(l	)
200 Cascade Drive, Bldg. 2	Allen Town, PA		—		310		2,268		233			316		2,495		2,811		385		2007		(l	)
6300 Bristol Pike	Levittown, PA		—		1,074		2,642		(250	)		919		2,547		3,466		839		2008		(l	)
2455 Boulevard of Generals	Norristown, PA		3,579		1,200		4,800		1,088			1,226		5,862		7,088		888		2008		(l	)
Phoenix
1045 South Edward Drive	Tempe, AZ		—		390		2,160		164			396		2,318		2,714		653		1999		(l	)

S-18


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

50 South 56th Street	Chandler, AZ		—		1,206		3,218		352			1,252		3,524		4,776		712		2004		(l	)
4701 W. Jefferson	Phoenix, AZ		2,675		926		2,195		443			929		2,635		3,564		832		2005		(l	)
7102 W. Roosevelt	Phoenix, AZ		—		1,613		6,451		1,107			1,620		7,551		9,171		1,644		2006		(l	)
4137 West Adams Street	Phoenix, AZ		—		990		2,661		150			1,033		2,768		3,801		503		2006		(l	)
245 W. Lodge	Tempe, AZ		—		898		3,066		(2,164	)		349		1,451		1,800		366		2007		(l	)
1590 E Riverview Dr.	Phoenix, AZ		—		1,293		5,950		69			1,292		6,020		7,312		588		2008		(l	)
14131 N. Rio Vista Dr.	Peoria, AZ		—		2,563		9,388		1,652			2,563		11,040		13,603		1,221		2008		(l	)
8716 W. Ludlow Drive	Peoria, AZ		—		2,709		10,970		1,008			2,709		11,978		14,687		1,024		2008		(l	)
3815 W. Washington St.	Phoenix, AZ		4,090		1,675		4,514		146			1,719		4,616		6,335		377		2008		(l	)
690 91st Avenue	Tolleson, AZ		7,548		1,904		6,805		2,617			1,923		9,403		11,326		1,016		2008		(l	)
Salt Lake City
512 Lawndale Drive(i)	Salt Lake City, UT		—		2,705		15,749		2,750			2,705		18,499		21,204		6,146		1997		(l	)
1270 West 2320 South	West Valley, UT		—		138		784		155			143		934		1,077		336		1998		(l	)
1275 West 2240 South	West Valley, UT		—		395		2,241		333			408		2,561		2,969		792		1998		(l	)
1288 West 2240 South	West Valley, UT		—		119		672		125			123		793		916		257		1998		(l	)
2235 South 1300 West	West Valley, UT		—		198		1,120		278			204		1,392		1,596		566		1998		(l	)
1293 West 2200 South	West Valley, UT		—		158		896		94			163		985		1,148		309		1998		(l	)
1279 West 2200 South	West Valley, UT		—		198		1,120		310			204		1,424		1,628		429		1998		(l	)
1272 West 2240 South	West Valley, UT		—		336		1,905		301			347		2,195		2,542		667		1998		(l	)
1149 West 2240 South	West Valley, UT		—		217		1,232		118			225		1,342		1,567		445		1998		(l	)
1142 West 2320 South	West Valley, UT		—		217		1,232		73			225		1,297		1,522		416		1998		(l	)
1152 West 2240 South	West Valley, UT		—		2,067		—		2,551			1,083		3,535		4,618		985		2000		(l	)
2323 South 900 W	Salt Lake City, UT		—		886		2,995		128			898		3,111		4,009		994		2006		(l	)
1815-1957 South 4650 West	Salt Lake City, UT		7,255		1,707		10,873		116			1,713		10,983		12,696		1,649		2006		(l	)
2100 Alexander Street	West Valley, UT		1,187		376		1,670		(21	)		376		1,649		2,025		208		2007		(l	)
2064 Alexander Street	West Valley, UT		2,118		864		2,771		112			869		2,878		3,747		437		2007		(l	)
San Diego
16275 Technology Drive	San Diego, CA		—		2,848		8,641		(198	)		2,859		8,432		11,291		1,361		2005		(l	)
6305 El Camino Real	Carlsbad, CA		—		1,590		6,360		7,563			1,590		13,923		15,513		1,629		2006		(l	)
2325 Camino Vida Roble	Carlsbad, CA		2,192		1,441		1,239		670			1,446		1,904		3,350		329		2006		(l	)
2335 Camino Vida Roble	Carlsbad, CA		1,139		817		762		126			821		884		1,705		184		2006		(l	)
2345 Camino Vida Roble	Carlsbad, CA		806		562		456		86			565		539		1,104		121		2006		(l	)
2355 Camino Vida Roble	Carlsbad, CA		588		481		365		52			483		415		898		98		2006		(l	)
2365 Camino Vida Roble	Carlsbad, CA		1,239		1,098		630		(6	)		1,102		620		1,722		155		2006		(l	)
2375 Camino Vida Roble	Carlsbad, CA		1,538		1,210		874		173			1,214		1,043		2,257		274		2006		(l	)
6451 El Camino Real	Carlsbad, CA		—		2,885		1,931		461			2,895		2,382		5,277		485		2006		(l	)

S-19


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

8572 Spectrum Lane	San Diego, CA		2,252		806		3,225		429			807		3,653		4,460		441		2007		(l	)
13100 Gregg Street	Poway, CA		—		1,040		4,160		474			1,073		4,601		5,674		740		2007		(l	)
Seattle
1901 Raymond Ave SW	Renton, WA		2,046		4,458		2,659		197			4,594		2,720		7,314		357		2008		(l	)
19014 64th Avenue South	Kent, WA		3,160		1,990		3,979		244			2,042		4,172		6,214		497		2008		(l	)
18640 68th Ave. South	Kent, WA		816		1,218		1,950		118			1,258		2,028		3,286		277		2008		(l	)
Puget Sound Terminal 7	Seattle, WA		—		9,139		5,881		476			9,340		6,155		15,495		139		2008		(l	)
Southern New Jersey
8 Springdale Road	Cherry Hill, NJ		—		258		1,436		782			258		2,218		2,476		669		1998		(l	)
111 Whittendale Drive	Morrestown, NJ		1,769		522		2,916		65			522		2,981		3,503		815		2000		(l	)
7851 Airport Highway	Pennsauken, NJ		—		160		508		295			151		812		963		194		2003		(l	)
103 Central	Mt. Laurel, NJ		—		610		1,847		539			619		2,377		2,996		153		2003		(l	)
999 Grand Avenue	Hammonton, NJ		5,120		969		8,793		(3,776	)		401		5,585		5,986		2,632		2005		(l	)
7890 Airport Hwy/7015 Central	Pennsauken, NJ		1,318		300		989		511			425		1,375		1,800		510		2006		(l	)
600 Creek Road	Delanco, NJ		—		2,125		6,504		(2,098	)		1,475		5,056		6,531		1,660		2007		(l	)
1070 Thomas Busch Mem Hwy	Pennsauken, NJ		2,872		1,054		2,278		328			1,084		2,576		3,660		623		2007		(l	)
1601 Schlumberger Drive	Moorestown, NJ		—		560		2,240		(418	)		372		2,010		2,382		452		2007		(l	)
St. Louis
8921-8971 Fost Avenue	Hazelwood, MO		—		431		2,479		521			431		3,000		3,431		1,138		1994		(l	)
9043-9083 Frost Avenue	Hazelwood, MO		—		319		1,838		2,221			319		4,059		4,378		1,074		1994		(l	)
10431-10449 Midwest Industrial Blvd	Olivette, MO		—		237		1,360		371			237		1,731		1,968		665		1994		(l	)
10751 Midwest Industrial Boulevard	Olivette, MO		—		193		1,119		347			194		1,465		1,659		581		1994		(l	)
6951 N Hanley(d)	Hazelwood, MO		—		405		2,295		1,635			419		3,916		4,335		1,269		1996		(l	)
1067 Warson-Bldg A	St. Louis, MO		—		246		1,359		619			251		1,973		2,224		450		2002		(l	)
1067 Warson-Bldg B	St. Louis, MO		—		380		2,103		2,001			388		4,096		4,484		996		2002		(l	)
1067 Warson-Bldg C	St. Louis, MO		—		303		1,680		1,458			310		3,131		3,441		741		2002		(l	)
1067 Warson-Bldg D	St. Louis, MO		—		353		1,952		990			360		2,935		3,295		760		2002		(l	)
6821-6857 Hazelwood Avenue	Berkeley, MO		4,912		985		6,205		854			985		7,059		8,044		1,725		2003		(l	)
13701 Rider Trail North	Earth City, MO		—		800		2,099		498			804		2,593		3,397		598		2003		(l	)
1908-2000 Innerbelt(d)	Overland, MO		7,884		1,590		9,026		633			1,591		9,658		11,249		2,577		2004		(l	)
9060 Latty Avenue	Berkeley, MO		—		687		1,947		(235	)		694		1,705		2,399		873		2006		(l	)
21-25 Gateway Commerce Center	Edwardsville, IL		23,773		1,874		31,958		191			1,928		32,095		34,023		3,967		2006		(l	)
6647 Romiss Court	St. Louis, MO		—		230		681		72			241		742		983		145		2008		(l	)

S-20


								(c)
								Costs
								Capitalized
								Subsequent to					Gross Amount Carried
								Acquisition or					At Close of Period 12/31/10
				(b)				Completion									Accumulated		Year		Depreciable
	Location	(a)		Initial Cost				and Valuation					Building and				Depreciation		Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land		Improvements		Total		12/31/2010		Constructed		(Years)
		(Dollars in thousands)

Tampa
5313 Johns Road	Tampa, FL		—		204		1,159		241			257		1,347		1,604		480		1997		(l	)
5525 Johns Road	Tampa, FL		—		192		1,086		386			200		1,464		1,664		553		1997		(l	)
5709 Johns Road	Tampa, FL		—		192		1,086		312			200		1,390		1,590		423		1997		(l	)
5711 Johns Road	Tampa, FL		—		243		1,376		191			255		1,555		1,810		522		1997		(l	)
5453 W Waters Avenue	Tampa, FL		—		71		402		133			82		524		606		165		1997		(l	)
5455 W Waters Avenue	Tampa, FL		—		307		1,742		405			326		2,128		2,454		718		1997		(l	)
5553 W Waters Avenue	Tampa, FL		—		307		1,742		417			326		2,140		2,466		717		1997		(l	)
5501 W Waters Avenue	Tampa, FL		—		215		871		447			242		1,291		1,533		463		1997		(l	)
5503 W Waters Avenue	Tampa, FL		—		98		402		287			110		677		787		192		1997		(l	)
5555 W Waters Avenue	Tampa, FL		—		213		1,206		236			221		1,434		1,655		480		1997		(l	)
5557 W Waters Avenue	Tampa, FL		—		59		335		44			62		376		438		120		1997		(l	)
5463 W Waters Avenue	Tampa, FL		—		497		2,751		662			560		3,350		3,910		1,054		1998		(l	)
5461 W Waters	Tampa, FL		—		261		—		1,442			265		1,438		1,703		506		1998		(l	)
5481 W. Waters Avenue	Tampa, FL		—		558		—		2,496			561		2,493		3,054		696		1999		(l	)
4515-4519 George Road	Tampa, FL		2,491		633		3,587		712			640		4,292		4,932		1,005		2001		(l	)
6089 Johns Road	Tampa, FL		883		180		987		73			186		1,054		1,240		249		2004		(l	)
6091 Johns Road	Tampa, FL		696		140		730		120			144		846		990		221		2004		(l	)
6103 Johns Road	Tampa, FL		1,112		220		1,160		140			226		1,294		1,520		313		2004		(l	)
6201 Johns Road	Tampa, FL		1,055		200		1,107		195			205		1,297		1,502		356		2004		(l	)
6203 Johns Road	Tampa, FL		1,297		300		1,460		119			311		1,568		1,879		488		2004		(l	)
6205 Johns Road	Tampa, FL		1,272		270		1,363		95			278		1,450		1,728		265		2004		(l	)
6101 Johns Road	Tampa, FL		902		210		833		127			216		954		1,170		294		2004		(l	)
4908 Tampa West Blvd	Tampa, FL		—		2,622		8,643		(337	)		2,635		8,293		10,928		1,917		2005		(l	)
7201-7245 Bryan Dairy Road(d)	Largo, FL		—		1,895		5,408		(1,126	)		1,365		4,812		6,177		1,212		2006		(l	)
11701 Belcher Road South	Largo, FL		—		1,657		2,768		(1,701	)		752		1,972		2,724		683		2006		(l	)
4900-4914 Creekside Drive(h)	Clearwater, FL		—		3,702		7,338		(3,469	)		2,121		5,450		7,571		1,538		2006		(l	)
12345 Starkey Road	Largo, FL		—		898		2,078		(584	)		570		1,822		2,392		475		2006		(l	)
Toronto
135 Dundas Street	Cambridge, ON		—		3,128		4,958		(700	)		3,179		4,207		7,386		1,705		2005		(l	)
678 Erie Street	Stratford, ON		—		786		557		(236	)		829		278		1,107		209		2005		(l	)
114 Packham Rd	Stratford, ON		—		1,000		3,526		55			1,012		3,569		4,581		1,094		2007		(l	)
Other
3501 Maple Street	Abilene, TX		—		67		1,057		482			44		1,562		1,606		1,338		1994		(l	)
4200 West Harry Street(e)	Wichita, KS		—		193		2,224		1,777			532		3,662		4,194		2,509		1994		(l	)
5050 Kendrick Court	Grand Rapids, MI		—		1,721		11,433		(2,675	)		694		9,785		10,479		7,173		1994		(l	)

S-21


								(c)
								Costs
								Capitalized
								Subsequent to						Gross Amount Carried
								Acquisition or						At Close of Period 12/31/10
				(b)				Completion											Accumulated			Year		Depreciable
	Location	(a)		Initial Cost				and Valuation						Building and					Depreciation			Acquired/		Lives
Building Address	(City/State)	Encumbrances		Land		Buildings		Provision			Land			Improvements			Total		12/31/2010			Constructed		(Years)
		(Dollars in thousands)

5015 52nd Street SE	Grand Rapids, MI		—		234		1,321		(205	)		173			1,177			1,350		577			1994		(l	)
2250 Delaware Ave	Des Moines, IA		—		277		1,609		(114	)		167			1,605			1,772		651			1998		(l	)
9601A Dessau Road	Austin, TX		1,145		255		—		1,782			366			1,671			2,037		463			1999		(l	)
9601C Dessau Road	Austin, TX		1,367		248		—		2,185			355			2,078			2,433		944			1999		(l	)
9601B Dessau Road	Austin, TX		1,180		248		—		1,852			355			1,745			2,100		524			2000		(l	)
6266 Hurt Road	Horn Lake, MS		—		427		—		3,234			364			3,297			3,661		430			2004		(l	)
6266 Hurt Road Building B	Horn Lake, MS		—		—		—		866			97			769			866		218			2004		(l	)
6301 Hazeltine National Drive	Orlando, FL		4,027		909		4,613		307			920			4,909			5,829		1,150			2005		(l	)
12626 Silicon Drive	San Antonio, TX		3,187		768		3,448		158			779			3,595			4,374		884			2005		(l	)
3100 Pinson Valley Parkway	Birmingham, AL		—		303		742		(215	)		225			605			830		193			2005		(l	)
1021 W. First Street, Hwy 93	Sumner, IA		—		99		2,540		(940	)		54			1,645			1,699		643			2005		(l	)
1245 N. Hearne Avenue	Shreveport, LA		—		99		1,263		(166	)		82			1,114			1,196		391			2005		(l	)
10330 I Street	Omaha, NE		—		1,808		8,340		(1,644	)		1,569			6,935			8,504		2,147			2006		(l	)
3200 Pond Station	Jefferson County, KY		—		2,074		—		9,681			2,120			9,635			11,755		895			2007		(l	)
Ozburn Hessey Logistics	Winchester, VA		8,162		2,320		—		10,855			2,401			10,774			13,175		958			2007		(l	)
Pure Fishing BTS	Kansas City, MO		—		4,152		—		13,605			4,228			13,529			17,757		749			2008		(l	)
600 Greene Drive	Greenville, KY		—		294		8,570		3			296			8,571			8,867		2,071			2008		(l	)
Redevelopments/Developements/Developable Land
Redevelopments/Developments/ Developable Land(j)			—		161,040		1,048		(22,255	)(m)		128,642			11,192			139,834		695

Total		$	486,399	$	736,251	$	1,856,424	$	537,913		$	674,393	(k)	$	2,456,196	(k)	$	3,130,589	$	663,310	(k)

S-22

NOTES:


(a)		See description of encumbrances in Note 6 to Notes to Consolidated Financial Statements.


(b)		Initial cost for each respective property is tangible purchase price allocated in accordance with FASB’s guidance on business combinations.

(c)		Improvements are net of write-off of fully depreciated assets.

(d)		Comprised of two properties.

(e)		Comprised of three properties.

(f)		Comprised of four properties.

(g)		Comprised of five properties.

(h)		Comprised of eight properties.

(i)		Comprised of 28 properties.

(j)		These properties represent developable land and redevelopments that have not been placed in service.

(k)


							Gross Amount
	Amounts						Carried At
	Included			Amounts Within			Close of Period
	in Real Estate			Net Investment			December 31,
	Held for Sale			in Real Estate*			2010*

Land	$	119,564		$	554,829		$	674,393
Buildings & Improvements		394,930			2,061,266			2,456,196
Accumulated Depreciation		(153,676	)		(509,634	)		(663,310	)

Subtotal		360,818			2,106,461			2,467,279
Construction in Progress		7,388			2,672			10,060

Net Investment in Real Estate		368,206			2,109,133			2,477,339

Leasing Commissions, Net, Deferred Leasing Intangibles, Net and Deferred Rent Receivable, Net		24,085

Total at December 31, 2010	$	392,291


	*	Amounts exclude $39,718 of above market and other deferred leasing intangibles, net.


(l)		Depreciation is computed based upon the following estimated lives:


Buildings and Improvements		8 to 50 years
Tenant Improvements, Leasehold Improvements		Life of lease


(m)		Includes foreign currency translation adjustments.

At December 31, 2010, the aggregate cost of land and buildings and equipment for federal income tax purpose was approximately $3.1 billion (excluding construction in progress.)

S-23

The changes in total real estate assets, including real estate held for sale, for the three years ended December 31, 2010 are as follows:


	2010			2009			2008
	(Dollars in thousands)

Balance, Beginning of Year	$	3,351,626		$	3,406,729		$	3,365,500
Acquisition of Real Estate Assets		17,595			208			319,431
Construction Costs and Improvements		49,881			54,650			186,997
Disposition of Real Estate Assets		(50,929	)		(73,015	)		(429,106	)
Impairment of Real Estate		(194,552	)		(6,934	)		—
Write-off of Fully Depreciated Assets		(32,972	)		(30,012	)		(36,093	)

Balance, End of Year	$	3,140,649		$	3,351,626		$	3,406,729

The changes in accumulated depreciation, including accumulated depreciation for real estate held for sale, for the three years ended December 31, 2010 are as follows:


	2010			2009			2008

Balance, Beginning of Year	$	597,461		$	524,865		$	512,781
Depreciation for Year		104,175			112,241			114,795
Disposition of Assets		(5,354	)		(9,633	)		(66,618	)
Write-off of Fully Depreciated Assets		(32,972	)		(30,012	)		(36,093	)

Balance, End of Year	$	663,310		$	597,461		$	524,865

S-24

SIGNATURES

Pursuant to the requirements of Section 13 or 15 (d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

FIRST INDUSTRIAL REALTY TRUST, INC.


	By:	/s/ Bruce W. Duncan

Bruce W. Duncan

President, Chief Executive Officer and Director

(Principal Executive Officer)

Date: February 23, 2011


	By:	/s/ Scott A. Musil

Scott A. Musil

Chief Financial and Accounting Officer

(Principal Financial and Accounting Officer)

Date: February 23, 2011

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.


Signature	Title	Date


/s/ W. Edwin Tyler W. Edwin Tyler	Chairman of the Board of Directors	February 23, 2011

/s/ Bruce W. Duncan Bruce W. Duncan	President, Chief Executive Officer and Director	February 23, 2011

/s/ Michael G. Damone Michael G. Damone	Director of Strategic Planning and Director	February 23, 2011

/s/ Matthew Dominski Matthew Dominski	Director	February 23, 2011

/s/ H. Patrick Hackett, Jr. H. Patrick Hackett, Jr.	Director	February 23, 2011

/s/ Kevin W. Lynch Kevin W. Lynch	Director	February 23, 2011

/s/ John E. Rau John E. Rau	Director	February 23, 2011

/s/ L. Peter Sharpe L. Peter Sharpe	Director	February 23, 2011

/s/ Robert J. Slater Robert J. Slater	Director	February 23, 2011

S-25


	Page

FINANCIAL STATEMENTS
Report of Independent Registered Public Accounting Firm		57
Consolidated Balance Sheets of First Industrial Realty Trust, Inc. (the “Company”) as of December 31, 2010 and 2009		58
Consolidated Statements of Operations of the Company for the Years Ended December 31, 2010, 2009 and 2008		59
Consolidated Statements of Comprehensive Income of the Company for the Years Ended December 31, 2010, 2009 and 2008		60
Consolidated Statements of Changes in Stockholders’ Equity of the Company for the Years Ended December 31, 2010, 2009 and 2008		61
Consolidated Statements of Cash Flows of the Company for the Years Ended December 31, 2010, 2009 and 2008		62
Notes to the Consolidated Financial Statements		63
FINANCIAL STATEMENT SCHEDULE
Schedule III: Real Estate and Accumulated Depreciation		S-1


		Page

PART I.
Item 1.	Business		4
Item 1A.	Risk Factors		10
Item 1B.	Unresolved SEC Comments		18
Item 2.	Properties		18
Item 3.	Legal Proceedings		22
Item 4.	Reserved		22

PART II.
Item 5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities		23
Item 6.	Selected Financial Data		26
Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		26
Item 7A.	Quantitative and Qualitative Disclosures About Market Risk		44
Item 8.	Financial Statements and Supplementary Data		44
Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure		44
Item 9A.	Controls and Procedures		44
Item 9B.	Other Information		45

PART III.
Item 10.	Directors, Executive Officers and Corporate Governance		45
Item 11.	Executive Compensation		45
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters		45
Item 13.	Certain Relationships and Related Transactions and Director Independence		45
Item 14.	Principal Accountant Fees and Services		45

PART IV.
Item 15.	Exhibits and Financial Statement Schedules		45
Signatures			S-25
EX-21.1
EX-23
EX-31.1
EX-31.2
EX-32


(1)		See Note 13 of the Notes to Consolidated Financial Statements.