ORLANDO, Fla., Aug. 1, 2017 /PRNewswire/ -- National Retail Properties, Inc. (NYSE:
NNN), a real estate investment trust, today announced its operating results for the quarter and six months ended June 30,
2017. Highlights include:
Operating Results:
- Revenues and net earnings, FFO, Core FFO and AFFO available to common stockholders and diluted per share amounts:
|
Quarter Ended
|
|
Six Months Ended
|
|
June 30,
|
|
June 30,
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
(in thousands, except per share data)
|
|
Revenues
|
$
|
145,550
|
|
|
$
|
130,926
|
|
|
$
|
286,981
|
|
|
$
|
257,907
|
|
|
|
|
|
|
|
|
|
|
Net earnings available to common stockholders
|
$
|
49,447
|
|
|
$
|
43,084
|
|
|
$
|
101,068
|
|
|
$
|
104,908
|
|
|
Net earnings per common share
|
$
|
0.33
|
|
|
$
|
0.30
|
|
|
$
|
0.68
|
|
|
$
|
0.73
|
|
|
|
|
|
|
|
|
|
|
FFO available to common stockholders
|
$
|
87,884
|
|
|
$
|
80,503
|
|
|
$
|
166,151
|
|
|
$
|
160,601
|
|
|
FFO per common share
|
$
|
0.59
|
|
|
$
|
0.56
|
|
|
$
|
1.12
|
|
|
$
|
1.13
|
|
|
|
|
|
|
|
|
|
|
Core FFO available to common stockholders
|
$
|
95,425
|
|
|
$
|
84,404
|
|
|
$
|
183,547
|
|
|
$
|
164,722
|
|
|
Core FFO per common share
|
$
|
0.64
|
|
|
$
|
0.59
|
|
|
$
|
1.24
|
|
|
$
|
1.15
|
|
|
|
|
|
|
|
|
|
|
AFFO available to common stockholders
|
$
|
96,412
|
|
|
$
|
86,531
|
|
|
$
|
185,457
|
|
|
$
|
168,280
|
|
|
AFFO per common share
|
$
|
0.65
|
|
|
$
|
0.60
|
|
|
$
|
1.25
|
|
|
$
|
1.18
|
|
Second Quarter 2017 Highlights:
- FFO per share increased 5.4% over prior year results
- Core FFO per common share increased 8.5% over prior year results
- AFFO per common share increased 8.3% over prior year results
- Portfolio occupancy was 99.3% at June 30, 2017 as compared to 99.1% at March 31, 2017 and 99.0% at December 31, 2016
- Invested $299.5 million in property investments, including the acquisition of 140 properties
with an aggregate 832,000 square feet of gross leasable area at an initial cash yield of 6.9%
- Sold eight properties for $9.3 million producing $2.7 million
of gains on sales, net of noncontrolling interests
- Raised $25.1 million net proceeds from the issuance of 583,946 common shares
First Half 2017 Highlights:
- Core FFO per share increased 7.8% over prior year results
- AFFO per share increased 5.9% over prior year results
- Invested $407.4 million in 164 properties with an aggregate 1,082,000 square feet of gross
leasable area at an initial cash yield of 6.9%
- Sold 25 properties for $48.3 million producing $17.3 million of
gains on sales, net of noncontrolling interests
- Raised $73.6 million in net proceeds from the issuance of 1,687,621 common shares
Core FFO guidance for 2017 was increased from a range of $2.44 to $2.48 to a range of
$2.46 to $2.50 per share. The 2017 AFFO is estimated to be $2.50 to
$2.54 per share. The Core FFO guidance equates to net earnings of $1.36 to $1.40 per share,
plus $1.10 per share of expected real estate depreciation and amortization and excludes any gains
from the sale of real estate and any charges for impairments, retirement severance costs, or preferred stock redemption charges.
The guidance is based on current plans and assumptions and subject to risks and uncertainties more fully described in this press
release and the company's reports filed with the Securities and Exchange Commission.
Jay Whitehurst, Chief Executive Officer, commented: "National Retail Properties enjoyed another
impressive quarter, driven by our healthy portfolio, our selectively underwritten acquisitions, and our flexible, low leverage
balance sheet, all of which has positioned us to raise our guidance and, as previously announced, to raise our common dividend
for the 28th consecutive year, a record matched by only three other REITs and less than 90 public
companies in the United States."
National Retail Properties invests primarily in high-quality retail properties subject generally to long-term, net
leases. As of June 30, 2017, the company owned 2,675 properties in 48 states with a gross leasable area of
approximately 28.1 million square feet and with a weighted average remaining lease term of 11.5 years. For more information
on the company, visit www.nnnreit.com.
Management will hold a conference call on August 1, 2017, at 10:30 a.m. ET to review these
results. The call can be accessed on the National Retail Properties web site live at http://www.nnnreit.com. For those unable to listen to the live broadcast, a replay will be available on the
company's web site. In addition, a summary of any earnings guidance given on the call will be posted to the company's web
site.
Statements in this press release that are not strictly historical are "forward-looking" statements. These statements
generally are characterized by the use of terms such as "believe," "expect," "intend," "may," "estimated," or other similar words
or expressions. Forward-looking statements involve known and unknown risks, which may cause the company's actual future results
to differ materially from expected results. These risks include, among others, general economic conditions, local real
estate conditions, changes in interest rates, increases in operating costs, the preferences and financial condition of the
company's tenants, the availability of capital, and, risks related to the company's status as a REIT. Additional
information concerning these and other factors that could cause actual results to differ materially from these forward-looking
statements is contained from time to time in the company's Securities and Exchange Commission (the "Commission") filings,
including, but not limited to, the company's Annual Report on Form 10-K. Copies of each filing may be obtained from the
company or the Commission. Such forward-looking statements should be regarded solely as reflections of the company's
current operating plans and estimates. Actual operating results may differ materially from what is expressed or forecast in
this press release. National Retail Properties, Inc. undertakes no obligation to publicly release the results of any
revisions to these forward-looking statements that may be made to reflect events or circumstances after the date these statements
were made.
The reported results are preliminary and not final and there can be no assurance that the results will not vary from the
final information filed on Form 10-Q with the Commission for the quarter and six months ended June 30, 2017. In the
opinion of management, all adjustments considered necessary for a fair presentation of these reported results have been
made.
Funds From Operations, commonly referred to as FFO, is a relative non-GAAP financial measure of operating performance of an
equity REIT in order to recognize that income-producing real estate historically has not depreciated on the basis determined
under GAAP. FFO is defined by the National Association of Real Estate Investment Trusts ("NAREIT") and is used by the
company as follows: net earnings (computed in accordance with GAAP) plus depreciation and amortization of assets unique to
the real estate industry, excluding gains (or including losses), any applicable taxes and noncontrolling interests on the
disposition of certain assets, the company's share of these items from the company's unconsolidated partnerships and any
impairment charges on a depreciable real estate asset.
FFO is generally considered by industry analysts to be the most appropriate measure of performance of real estate
companies. FFO does not necessarily represent cash provided by operating activities in accordance with GAAP and should not
be considered an alternative to net earnings as an indication of the company's performance or to cash flow as a measure of
liquidity or ability to make distributions. Management considers FFO an appropriate measure of performance of an equity
REIT because it primarily excludes the assumption that the value of the real estate assets diminishes predictably over time, and
because industry analysts have accepted it as a performance measure. The company's computation of FFO may differ from the
methodology for calculating FFO used by other equity REITs, and therefore, may not be comparable to such other REITs. A
reconciliation of net earnings (computed in accordance with GAAP) to FFO, as defined by NAREIT, is included in the financial
information accompanying this release.
Core Funds From Operations ("Core FFO") is a non-GAAP measure of operating performance that adjusts FFO to eliminate the
impact of certain GAAP income and expense amounts that the company believes are infrequent and unusual in nature and/or not
related to its core real estate operations. Exclusion of these items from similar FFO-type metrics is common within the
REIT industry, and management believes that presentation of Core FFO provides investors with a potential metric to assist in
their evaluation of the company's operating performance across multiple periods and in comparison to the operating performance of
its peers because it removes the effect of unusual items that are not expected to impact the company's operating performance on
an ongoing basis. Core FFO is used by management in evaluating the performance of the company's core business operations
and is a factor in determining management compensation. Items included in calculating FFO that may be excluded in
calculating Core FFO may include items like transaction related gains, income or expense, impairments on land or commercial
mortgage residual interests, preferred stock redemption costs or other non-core amounts as they occur. The company's
computation of Core FFO may differ from the methodology for calculating Core FFO used by other equity REITs, and therefore, may
not be comparable to such other REITs. A reconciliation of net earnings (computed in accordance with GAAP) to Core FFO is
included in the financial information accompanying this release.
Adjusted Funds From Operations ("AFFO") is a non-GAAP financial measure of operating performance used by many companies in
the REIT industry. AFFO adjusts FFO for certain non-cash items that reduce or increase net income in accordance with GAAP.
AFFO should not be considered an alternative to net earnings, as an indication of the company's performance or to cash flow as a
measure of liquidity or ability to make distributions. Management considers AFFO a useful supplemental measure of the company's
performance. The company's computation of AFFO may differ from the methodology for calculating AFFO used by other equity
REITs, and therefore, may not be comparable to such other REITs. A reconciliation of net earnings (computed in accordance
with GAAP) to AFFO is included in the financial information accompanying this release.
|
National Retail Properties, Inc.
(in thousands, except per share data)
(unaudited)
|
|
|
Quarter Ended
|
|
Six Months Ended
|
|
|
June 30,
|
|
June 30,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
Income Statement Summary
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
Rental and earned income
|
|
$
|
141,742
|
|
|
$
|
126,929
|
|
|
$
|
279,039
|
|
|
$
|
249,404
|
|
|
Real estate expense reimbursement from tenants
|
|
3,700
|
|
|
3,248
|
|
|
7,560
|
|
|
6,838
|
|
|
Interest and other income from real estate transactions
|
|
28
|
|
|
301
|
|
|
217
|
|
|
764
|
|
|
Interest income on commercial mortgage residual interests
|
|
80
|
|
|
448
|
|
|
165
|
|
|
901
|
|
|
|
145,550
|
|
|
130,926
|
|
|
286,981
|
|
|
257,907
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
8,820
|
|
|
8,735
|
|
|
17,739
|
|
|
17,984
|
|
|
Real estate
|
|
5,424
|
|
|
4,567
|
|
|
11,087
|
|
|
9,355
|
|
|
Depreciation and amortization
|
|
41,326
|
|
|
36,489
|
|
|
81,469
|
|
|
71,144
|
|
|
Impairment – commercial mortgage residual interests valuation
|
|
—
|
|
|
632
|
|
|
—
|
|
|
852
|
|
|
Impairment losses – real estate and other charges, net of
recoveries
|
|
(39)
|
|
|
5,459
|
|
|
1,167
|
|
|
6,031
|
|
|
Retirement severance costs
|
|
7,428
|
|
|
—
|
|
|
7,428
|
|
|
—
|
|
|
|
62,959
|
|
|
55,882
|
|
|
118,890
|
|
|
105,366
|
|
|
|
|
|
|
|
|
|
|
|
Other expenses (revenues):
|
|
|
|
|
|
|
|
|
|
Interest and other income
|
|
(37)
|
|
|
(72)
|
|
|
(175)
|
|
|
(91)
|
|
|
Interest expense
|
|
27,274
|
|
|
24,081
|
|
|
53,888
|
|
|
47,667
|
|
|
Real estate acquisition costs
|
|
—
|
|
|
280
|
|
|
—
|
|
|
409
|
|
|
|
27,237
|
|
|
24,289
|
|
|
53,713
|
|
|
47,985
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before gain on disposition of real estate
|
|
55,354
|
|
|
50,755
|
|
|
114,378
|
|
|
104,556
|
|
|
|
|
|
|
|
|
|
|
|
Gain on disposition of real estate
|
|
3,055
|
|
|
1,178
|
|
|
17,679
|
|
|
18,053
|
|
|
|
|
|
|
|
|
|
|
|
Earnings including noncontrolling interests
|
|
58,409
|
|
|
51,933
|
|
|
132,057
|
|
|
122,609
|
|
|
|
|
|
|
|
|
|
|
|
Loss (earnings) attributable to noncontrolling interests
|
|
(381)
|
|
|
9
|
|
|
(372)
|
|
|
16
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings attributable to NNN
|
|
58,028
|
|
|
51,942
|
|
|
131,685
|
|
|
122,625
|
|
|
Series D preferred stock dividends
|
|
—
|
|
|
(4,762)
|
|
|
(3,598)
|
|
|
(9,523)
|
|
|
Series E preferred stock dividends
|
|
(4,096)
|
|
|
(4,096)
|
|
|
(8,194)
|
|
|
(8,194)
|
|
|
Series F preferred stock dividends
|
|
(4,485)
|
|
|
—
|
|
|
(8,970)
|
|
|
—
|
|
|
Excess of redemption value over carrying value of Series D
preferred shares redeemed
|
|
—
|
|
|
—
|
|
|
(9,855)
|
|
|
—
|
|
|
Net earnings available to common stockholders
|
|
$
|
49,447
|
|
|
$
|
43,084
|
|
|
$
|
101,068
|
|
|
$
|
104,908
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
148,373
|
|
|
143,443
|
|
|
147,655
|
|
|
142,142
|
|
|
Diluted
|
|
148,719
|
|
|
143,977
|
|
|
148,024
|
|
|
142,694
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings per share available to common stockholders:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.33
|
|
|
$
|
0.30
|
|
|
$
|
0.68
|
|
|
$
|
0.74
|
|
|
Diluted
|
|
$
|
0.33
|
|
|
$
|
0.30
|
|
|
$
|
0.68
|
|
|
$
|
0.73
|
|
|
National Retail Properties, Inc.
(in thousands, except per share data)
(unaudited)
|
|
|
Quarter Ended
|
|
Six Months Ended
|
|
|
June 30,
|
|
June 30,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
Funds From Operations (FFO) Reconciliation:
|
|
|
|
|
|
|
|
|
|
Net earnings available to common stockholders
|
|
$
|
49,447
|
|
|
$
|
43,084
|
|
|
$
|
101,068
|
|
|
$
|
104,908
|
|
|
Real estate depreciation and amortization
|
|
41,247
|
|
|
36,407
|
|
|
81,311
|
|
|
70,984
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on disposition of real estate, net of noncontrolling
interest
|
|
(2,658)
|
|
|
(1,178)
|
|
|
(17,282)
|
|
|
(18,053)
|
|
|
Impairment losses – depreciable real estate, net of recoveries
|
|
(152)
|
|
|
2,190
|
|
|
1,054
|
|
|
2,762
|
|
|
Total FFO adjustments
|
|
38,437
|
|
|
37,419
|
|
|
65,083
|
|
|
55,693
|
|
|
FFO available to common stockholders
|
|
$
|
87,884
|
|
|
$
|
80,503
|
|
|
$
|
166,151
|
|
|
$
|
160,601
|
|
|
|
|
|
|
|
|
|
|
|
FFO per common share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.59
|
|
|
$
|
0.56
|
|
|
$
|
1.13
|
|
|
$
|
1.13
|
|
|
Diluted
|
|
$
|
0.59
|
|
|
$
|
0.56
|
|
|
$
|
1.12
|
|
|
$
|
1.13
|
|
|
|
|
|
|
|
|
|
|
|
Core Funds From Operations Reconciliation:
|
|
|
|
|
|
|
|
|
|
Net earnings available to common stockholders
|
|
$
|
49,447
|
|
|
$
|
43,084
|
|
|
$
|
101,068
|
|
|
$
|
104,908
|
|
|
Total FFO adjustments
|
|
38,437
|
|
|
37,419
|
|
|
65,083
|
|
|
55,693
|
|
|
FFO available to common stockholders
|
|
87,884
|
|
|
80,503
|
|
|
166,151
|
|
|
160,601
|
|
|
|
|
|
|
|
|
|
|
|
Excess of redemption value over carrying value of preferred
share redemption
|
|
—
|
|
|
—
|
|
|
9,855
|
|
|
—
|
|
|
Impairment – commercial mortgage residual interests
valuation
|
|
—
|
|
|
632
|
|
|
—
|
|
|
852
|
|
|
Impairment losses – non-depreciable real estate
|
|
113
|
|
|
—
|
|
|
113
|
|
|
—
|
|
|
Retirement severance costs
|
|
7,428
|
|
|
—
|
|
|
7,428
|
|
|
—
|
|
|
Bad debt expense – loans
|
|
—
|
|
|
3,269
|
|
|
—
|
|
|
3,269
|
|
|
Total Core FFO adjustments
|
|
7,541
|
|
|
3,901
|
|
|
17,396
|
|
|
4,121
|
|
|
Core FFO available to common stockholders
|
|
$
|
95,425
|
|
|
$
|
84,404
|
|
|
$
|
183,547
|
|
|
$
|
164,722
|
|
|
|
|
|
|
|
|
|
|
|
Core FFO per common share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.64
|
|
|
$
|
0.59
|
|
|
$
|
1.24
|
|
|
$
|
1.16
|
|
|
Diluted
|
|
$
|
0.64
|
|
|
$
|
0.59
|
|
|
$
|
1.24
|
|
|
$
|
1.15
|
|
|
|
Quarter Ended
|
|
Six Months Ended
|
|
|
June 30,
|
|
June 30,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
Adjusted Funds From Operations (AFFO) Reconciliation:
|
|
|
|
|
|
|
|
|
|
Net earnings available to common stockholders
|
|
$
|
49,447
|
|
|
$
|
43,084
|
|
|
$
|
101,068
|
|
|
$
|
104,908
|
|
|
Total FFO adjustments
|
|
38,437
|
|
|
37,419
|
|
|
65,083
|
|
|
55,693
|
|
|
Total Core FFO adjustments
|
|
7,541
|
|
|
3,901
|
|
|
17,396
|
|
|
4,121
|
|
|
Core FFO available to common stockholders
|
|
95,425
|
|
|
84,404
|
|
|
183,547
|
|
|
164,722
|
|
|
|
|
|
|
|
|
|
|
|
Straight line accrued rent
|
|
(229)
|
|
|
84
|
|
|
(904)
|
|
|
(157)
|
|
|
Net capital lease rent adjustment
|
|
213
|
|
|
353
|
|
|
443
|
|
|
692
|
|
|
Below market rent amortization
|
|
(682)
|
|
|
(661)
|
|
|
(1,341)
|
|
|
(1,520)
|
|
|
Stock based compensation expense
|
|
2,245
|
|
|
2,667
|
|
|
4,825
|
|
|
5,370
|
|
|
Capitalized interest expense
|
|
(560)
|
|
|
(316)
|
|
|
(1,113)
|
|
|
(827)
|
|
|
Total AFFO adjustments
|
|
987
|
|
|
2,127
|
|
|
1,910
|
|
|
3,558
|
|
|
AFFO available to common stockholders
|
|
$
|
96,412
|
|
|
$
|
86,531
|
|
|
$
|
185,457
|
|
|
$
|
168,280
|
|
|
|
|
|
|
|
|
|
|
|
AFFO per common share:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.65
|
|
|
$
|
0.60
|
|
|
$
|
1.26
|
|
|
$
|
1.18
|
|
|
Diluted
|
|
$
|
0.65
|
|
|
$
|
0.60
|
|
|
$
|
1.25
|
|
|
$
|
1.18
|
|
|
|
|
|
|
|
|
|
|
|
Other Information:
|
|
|
|
|
|
|
|
|
|
Percentage rent
|
|
$
|
198
|
|
|
$
|
164
|
|
|
$
|
746
|
|
|
$
|
638
|
|
|
Amortization of debt costs
|
|
$
|
868
|
|
|
$
|
757
|
|
|
$
|
1,727
|
|
|
$
|
1,513
|
|
|
Scheduled debt principal amortization (excluding maturities)
|
|
$
|
125
|
|
|
$
|
133
|
|
|
$
|
253
|
|
|
$
|
392
|
|
|
Non-real estate depreciation expense
|
|
$
|
81
|
|
|
$
|
84
|
|
|
$
|
164
|
|
|
$
|
165
|
|
|
|
|
|
|
|
|
|
|
2017 Earnings Guidance:
Core FFO guidance for 2017 is $2.46 to $2.50 per share. The 2017 AFFO is estimated to be
$2.50 to $2.54 per share. The FFO guidance equates to net earnings of $1.36
to $1.40 per share, plus $1.10 per share of expected real estate depreciation and
amortization and excludes any gains from the sale of real estate and any charges for impairments, retirement severance costs, or
preferred stock redemption charges. The guidance is based on current plans and assumptions and subject to risks and uncertainties
more fully described in this press release and the company's reports filed with the Securities and Exchange Commission.
|
|
2017 Guidance
|
|
Net earnings per common share excluding any gains on sale of real
estate,
impairment charges, retirement severance costs or charges in connection with
preferred stock redemption
|
|
$1.36 - $1.40 per share
|
|
Real estate depreciation and amortization per share
|
|
$1.10 per share
|
|
Core FFO per share
|
|
$2.46 - $2.50 per share
|
|
AFFO per share
|
|
$2.50 - $2.54 per share
|
|
G&A expenses (excluding retirement severance costs)
|
|
$33 - $34 Million
|
|
Real estate expenses, net of tenant reimbursements
|
|
$7 - $8 Million
|
|
Acquisition volume
|
|
$550 - $650 Million
|
|
Disposition volume
|
|
$80 - $120 Million
|
|
National Retail Properties, Inc.
(in thousands)
(unaudited)
|
|
|
June 30,
2017
|
|
December 31,
2016
|
|
Balance Sheet Summary
|
|
|
|
|
|
|
|
|
|
|
Assets:
|
|
|
|
|
|
Real estate:
|
|
|
|
|
|
Accounted for using the operating method, net of accumulated depreciation
and amortization
|
|
$
|
6,198,346
|
|
|
$
|
5,881,652
|
|
|
Accounted for using the direct financing method
|
|
10,091
|
|
|
11,230
|
|
|
Real estate held for sale
|
|
2,341
|
|
|
23,478
|
|
|
Cash and cash equivalents
|
|
4,450
|
|
|
294,540
|
|
|
Receivables, net of allowance
|
|
2,208
|
|
|
3,418
|
|
|
Accrued rental income, net of allowance
|
|
25,688
|
|
|
25,101
|
|
|
Debt costs, net of accumulated amortization
|
|
2,124
|
|
|
2,715
|
|
|
Other assets
|
|
91,880
|
|
|
92,017
|
|
|
Total assets
|
|
$
|
6,337,128
|
|
|
$
|
6,334,151
|
|
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
Line of credit payable
|
|
$
|
215,500
|
|
|
$
|
—
|
|
|
Mortgages payable, including unamortized premium and net of
unamortized debt costs
|
|
13,591
|
|
|
13,878
|
|
|
Notes payable, net of unamortized discount and
unamortized
debt costs
|
|
2,299,710
|
|
|
2,297,811
|
|
|
Accrued interest payable
|
|
19,921
|
|
|
19,665
|
|
|
Other liabilities
|
|
99,720
|
|
|
85,869
|
|
|
Total liabilities
|
|
2,648,442
|
|
|
2,417,223
|
|
|
|
|
|
|
|
Stockholders' equity of NNN
|
|
3,688,185
|
|
|
3,916,799
|
|
|
Noncontrolling interests
|
|
501
|
|
|
129
|
|
|
Total equity
|
|
3,688,686
|
|
|
3,916,928
|
|
|
|
|
|
|
|
Total liabilities and equity
|
|
$
|
6,337,128
|
|
|
$
|
6,334,151
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding
|
|
149,206
|
|
|
147,150
|
|
|
|
|
|
|
|
Gross leasable area, Property Portfolio (square feet)
|
|
28,102
|
|
|
27,204
|
|
|
|
|
|
|
|
National Retail Properties, Inc.
Debt Summary
As of June 30, 2017
(in thousands)
(unaudited)
|
|
|
|
Unsecured Debt
|
|
Principal
|
|
Principal,
Net of
Unamortized
Discount
|
|
Stated Rate
|
|
Effective
Rate
|
|
Maturity Date
|
|
Line of credit payable
|
|
$
|
215,500
|
|
|
$
|
215,500
|
|
|
L + 92.5 bps
|
|
2.019%
|
|
January 2019
|
|
|
|
|
|
|
|
|
|
|
|
|
Unsecured notes payable:
|
|
|
|
|
|
|
|
|
|
|
|
2017
|
|
250,000
|
|
|
249,965
|
|
|
6.875%
|
|
6.924%
|
|
October 2017
|
|
2021
|
|
300,000
|
|
|
297,983
|
|
|
5.500%
|
|
5.689%
|
|
July 2021
|
|
2022
|
|
325,000
|
|
|
322,156
|
|
|
3.800%
|
|
3.985%
|
|
October 2022
|
|
2023
|
|
350,000
|
|
|
348,393
|
|
|
3.300%
|
|
3.388%
|
|
April 2023
|
|
2024
|
|
350,000
|
|
|
349,484
|
|
|
3.900%
|
|
3.924%
|
|
June 2024
|
|
2025
|
|
400,000
|
|
|
399,172
|
|
|
4.000%
|
|
4.029%
|
|
November 2025
|
|
2026
|
|
350,000
|
|
|
346,317
|
|
|
3.600%
|
|
3.733%
|
|
December 2026
|
|
Total
|
|
2,325,000
|
|
|
2,313,470
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total unsecured debt(1)
|
|
$
|
2,540,500
|
|
|
$
|
2,528,970
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt costs
|
|
|
|
(21,157)
|
|
|
|
|
|
|
|
|
Accumulated amortization
|
|
7,397
|
|
|
|
|
|
|
|
|
Debt costs, net of accumulated amortization
|
|
(13,760)
|
|
|
|
|
|
|
|
|
Notes payable, net of unamortized discount and
unamortized debt costs
|
|
$
|
2,515,210
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Unsecured notes payable have a weighted average
interest rate of 4.4% and a weighted average maturity of 6.1 years
|
|
Mortgages Payable
|
|
Principal
Balance
|
|
Interest Rate
|
|
Maturity Date
|
|
Mortgage(1)
|
|
13,692
|
|
5.230%
|
|
July 2023
|
|
|
|
|
|
|
|
|
Debt costs
|
|
(147)
|
|
|
|
|
|
Accumulated amortization
|
|
46
|
|
|
|
|
|
Debt costs, net of accumulated amortization
|
|
(101)
|
|
|
|
|
|
Mortgages payable, including unamortized
premium and net of unamortized debt costs
|
|
$ 13,591
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes unamortized premium
|
|
|
|
|
|
|
|
National Retail Properties, Inc.
Property Portfolio
|
|
|
Top 20 Lines of Trade
|
|
|
|
|
|
As of June 30,
|
|
|
Line of Trade
|
|
2017(1)
|
|
2016(2)
|
|
1.
|
|
Convenience stores
|
|
18.1%
|
|
16.7%
|
|
2.
|
|
Restaurants – full service
|
|
11.7%
|
|
12.6%
|
|
3.
|
|
Restaurants – limited service
|
|
7.8%
|
|
7.7%
|
|
4.
|
|
Automotive service
|
|
6.9%
|
|
6.7%
|
|
5.
|
|
Family entertainment centers
|
|
6.1%
|
|
5.7%
|
|
6.
|
|
Health and fitness
|
|
5.6%
|
|
4.2%
|
|
7.
|
|
Theaters
|
|
4.7%
|
|
5.1%
|
|
8.
|
|
Automotive parts
|
|
3.7%
|
|
4.0%
|
|
9.
|
|
Recreational vehicle dealers, parts and accessories
|
|
3.4%
|
|
3.4%
|
|
10.
|
|
Banks
|
|
2.6%
|
|
3.3%
|
|
11.
|
|
Sporting goods
|
|
2.4%
|
|
2.8%
|
|
12.
|
|
Medical service providers
|
|
2.4%
|
|
2.2%
|
|
13.
|
|
Wholesale clubs
|
|
2.2%
|
|
2.5%
|
|
14.
|
|
Drug stores
|
|
2.0%
|
|
2.2%
|
|
15.
|
|
Furniture
|
|
1.9%
|
|
1.4%
|
|
16.
|
|
Travel plazas
|
|
1.9%
|
|
2.0%
|
|
17.
|
|
General merchandise
|
|
1.9%
|
|
1.8%
|
|
18.
|
|
Consumer electronics
|
|
1.8%
|
|
2.1%
|
|
19.
|
|
Home improvement
|
|
1.8%
|
|
1.9%
|
|
20.
|
|
Home furnishings
|
|
1.6%
|
|
1.8%
|
|
|
Other
|
|
9.5%
|
|
9.9%
|
|
|
Total
|
|
100.0%
|
|
100.0%
|
|
Top 10 States
|
|
|
|
|
|
|
|
|
|
|
|
|
State
|
|
|
% of Total(1)
|
|
|
State
|
|
|
% of Total(1)
|
|
1.
|
Texas
|
|
|
18.1%
|
|
6.
|
Georgia
|
|
|
4.3%
|
|
2.
|
Florida
|
|
|
8.6%
|
|
7.
|
Tennessee
|
|
|
4.0%
|
|
3.
|
Illinois
|
|
|
5.5%
|
|
8.
|
Virginia
|
|
|
3.9%
|
|
4.
|
Ohio
|
|
|
5.4%
|
|
9.
|
Indiana
|
|
|
3.9%
|
|
5.
|
North Carolina
|
|
|
4.8%
|
|
10.
|
Alabama
|
|
|
3.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)Based on the annualized base rent for all leases in place as
of June 30, 2017.
(2)Based on the annualized base rent for all leases in place as of June 30, 2016.
|
|
National Retail Properties, Inc.
Property Portfolio
|
|
|
Top Tenants ( ≥ 2.0%)
|
|
|
|
|
|
|
|
|
|
Properties
|
|
% of Total(1)
|
|
Sunoco
|
|
125
|
|
5.2%
|
|
Mister Car Wash
|
|
96
|
|
4.2%
|
|
LA Fitness
|
|
29
|
|
3.8%
|
|
Camping world
|
|
34
|
|
3.4%
|
|
AMC Theatre
|
|
20
|
|
3.3%
|
|
Couche-Tard (Pantry)
|
|
86
|
|
3.3%
|
|
7-Eleven
|
|
77
|
|
3.2%
|
|
GPM Investments
|
|
96
|
|
2.7%
|
|
Bell American (Taco Bell)
|
|
115
|
|
2.6%
|
|
SunTrust
|
|
109
|
|
2.5%
|
|
Chuck E. Cheese's
|
|
53
|
|
2.4%
|
|
BJ's Wholesale Club
|
|
8
|
|
2.2%
|
|
Frisch's Restaurant
|
|
74
|
|
2.1%
|
|
Gander Mountain
|
|
12
|
|
2.1%
|
|
Lease Expirations (2)
|
|
|
% of
Total(1)
|
|
# of
Properties
|
|
Gross Leasable
Area(3)
|
|
|
|
% of
Total(1)
|
|
# of
Properties
|
|
Gross Leasable
Area(3)
|
|
2017
|
|
0.3%
|
|
11
|
|
213,000
|
|
2023
|
|
2.5%
|
|
87
|
|
1,052,000
|
|
2018
|
|
2.9%
|
|
85
|
|
1,063,000
|
|
2024
|
|
2.4%
|
|
50
|
|
883,000
|
|
2019
|
|
2.8%
|
|
76
|
|
1,134,000
|
|
2025
|
|
4.9%
|
|
132
|
|
1,145,000
|
|
2020
|
|
3.6%
|
|
129
|
|
1,562,000
|
|
2026
|
|
5.9%
|
|
184
|
|
1,910,000
|
|
2021
|
|
4.2%
|
|
121
|
|
1,316,000
|
|
2027
|
|
8.6%
|
|
194
|
|
2,816,000
|
|
2022
|
|
6.5%
|
|
122
|
|
1,716,000
|
|
Thereafter
|
|
55.4%
|
|
1,459
|
|
12,924,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Based on the annual base rent of $573,024,000, which is the
annualized base rent for all leases in place as of June 30, 2017.
(2) As of June 30, 2017, the weighted average remaining lease term is 11.5 years.
(3) Square feet.
|
|
|
View original content:http://www.prnewswire.com/news-releases/second-quarter-2017-operating-results-and-increased-2017-guidance-announced-by-national-retail-properties-inc-300496961.html
SOURCE National Retail Properties, Inc.