Realty Income to acquire 454 properties for $1.25b

Realty Income Corp. has acquired 454 single-tenant retail properties from CIM Real Estate Finance Trust for $1.25 billion.

The deal, expected to take place in a number of tranches with majority of the buyouts taking place this year, will be immediately accretive on a leverage-neutral basis, per the company’s management.

The portfolio totals approximately 5.1 million leasable square feet, will add to the company’s scale and will offer a competitive edge in its net-lease industry.

Currently leased to 59 different tenants across 20 industries, this portfolio reaps 58 percent of total rental revenues from investment grade–rated companies or their subsidiaries and has a weighted average remaining lease term of 9.7 years. The top two states by projected rental revenues for the forward 12-month period starting July 1, 2019, are Texas and California at 11 percent and 7.2 percent, respectively.