Plus   Neg

Realty Income To Buy 454 Single-tenant Retail Properties For About $1.25 Bln

Realty Income Corp. (O) Tuesday said it agreed to buy 454 single-tenant retail properties from CIM Real Estate Finance Trust Inc. for about $1.25 billion in cash.

The transaction is expected to close in various tranches with the acquisition of most of the properties in the portfolio expected to close in 2019, the company said in a statement.

"This transaction is additive to our existing high-quality real estate portfolio and is immediately accretive on a leverage-neutral basis. We believe this portfolio acquisition demonstrates the importance of size and scale as a competitive advantage in the net lease industry," said Sumit Roy, Realty Income's President & Chief Executive Officer.

Upon completion of the acquisition, Realty Income expects to assume existing mortgage debt totaling approximately $131 million at a weighted average interest rate of 4.5% and a weighted average remaining term to maturity of 5.3 years.

Looking forward to 2019, the company now expects adjusted FFO per share of $3.29 to $3.34 per share, up from previous forecast of $3.28 to $3.33 per share.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Apotex Corp. recalled all lots of type 2 diabetes medication Metformin hydrochloride in the form of oral film-coated tablets for the potential presence of nitrosamine impurity, N-Nitrosodimethylamine (NDMA), above levels of the Acceptable Daily Intake Limit (ADI), the U.S. Food and Drug Administration or FDA said in a statement. Groupe Renault plans to cut about 14,600 jobs across the world and lower its production capacity. The plan includes almost 4,600 jobs reduction in France, through voluntary retirement and retraining. Amazon said it will convert 125,000 of the 175,000 temporary workers it hired in March amid the coronavirus pandemic, to permanent full-time employees in June. The e-commerce giant had hired the temporary employees in March to meet strong consumer demand amid the lockdown. The job openings were in Amazon's fulfillment centers and its delivery network.
Follow RTT