CHICAGO—The investment bank and institutional broker MLV& Co. LLC just released its latest earnings review ofFirst Industrial Realty Trust, Inc. and decided tomaintain its BUY rating for the Chicago-based operator anddeveloper of industrial properties. MLV researchers found that itsinternal fundamentals remain strong and expects that a “recentS&P upgrade to investment grade will befollowed by the other ratings agencies.”

First Industrial did miss, by a slight amount, MLV's estimate ofits cash flow. The trust reported a first quarter “core FFO/shareof $0.26, which was below our estimate of $0.28 and consensus of$0.27,” the researchers noted. However, same-store NOI increased by2.3% and trust has also seen an increase in occupancy, which wentup 280 bps since the first quarter of 2013. MLV also increased itsprice target for the trust from $21 to $22. As of April 25, itsprice on the NYSE was $18.56.

“U.S. industrial market fundamentals are strong, demonstrated by15 consecutive quarters of positive net absorption, as well asmeasured new supply and improving market rental rates,” saidBruce W. Duncan, First Industrial's president andchief executive officer, last week after it released its earningsreport. “We are positioned to grow cash flow as we increaseoccupancy in our existing portfolio and lease-up our newinvestments.”