Exhibit 99.1
| NEWS RELEASE | ||
| For information contact: | ||
| Kevin B. Habicht | ||
| Chief Financial Officer | ||
| (407) 265-7348 | FOR IMMEDIATE RELEASE | |
| February 6, 2012 |
2011 OPERATING RESULTS AND INCREASED 2012 GUIDANCE ANNOUNCED
BY NATIONAL RETAIL PROPERTIES, INC.
Orlando, Florida, February 6, 2012 – National Retail Properties, Inc. (NYSE: NNN), a real estate investment trust, today announced operating results for the quarter and year ended December 31, 2011. Highlights include:
Operating Results:
| • | Revenues and net earnings, FFO and AFFO available to common stockholders: |
Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| (in thousands, except per share data) | ||||||||||||||||
Revenues | $ | 74,400 | $ | 59,516 | $ | 265,793 | $ | 227,888 | ||||||||
Net earnings available to common stockholders | $ | 25,874 | $ | 12,519 | $ | 85,540 | $ | 66,212 | ||||||||
Net earnings per common share (diluted) | $ | 0.26 | $ | 0.15 | $ | 0.96 | $ | 0.80 | ||||||||
FFO available to common stockholders | $ | 41,038 | $ | 23,990 | $ | 139,665 | $ | 108,328 | ||||||||
FFO per common share (diluted) | $ | 0.42 | $ | 0.29 | $ | 1.57 | $ | 1.31 | ||||||||
FFO excluding impairment losses and other charges, net of recoveries | $ | 40,051 | $ | 31,661 | $ | 139,258 | $ | 119,781 | ||||||||
FFO excluding impairment losses and other charges, net of recoveries per share | $ | 0.41 | $ | 0.38 | $ | 1.57 | $ | 1.45 | ||||||||
AFFO available to common stockholders | $ | 42,729 | $ | 34,851 | $ | 150,815 | $ | 131,721 | ||||||||
AFFO per common share (diluted) | $ | 0.43 | $ | 0.41 | $ | 1.70 | $ | 1.59 | ||||||||
| • | Portfolio occupancy was 97.4% at December 31, 2011, as compared to 97.2% at September 30, 2011, and 96.9% at December 31, 2010 |
2011 Highlights:
| • | Increased FFO per share 8.3% from $1.45 in 2010 to $1.57 in 2011 (excluding impairments) |
| • | Dividend yield at December 31, 2011 of 5.8% |
| • | Dividends per share increased to $1.53 (+ 1.3%) marking the 22nd consecutive year of annual dividend increases - one of only 104 public companies with 22 or more consecutive annual dividend increases |
| • | Maintained high occupancy levels at 97.4% |
| • | Invested $772.4 million in 218 properties with an aggregate 3,448,000 square feet of gross leasable area |
| • | Sold eight properties for $12.6 million producing $527,000 of gains on sale (not included in FFO) |
| • | Expanded unsecured bank credit facility to $450 million while extending the term to May 2015 and reducing the interest rate to LIBOR + 150 bps |
2011 Highlights (continued):
| • | Maintained strong balance sheet raising $521 million from the issuance of common equity |
| • | Generated annual total return to shareholders of 5.6% for 2011 and 11.8% annually for the past 15 years |
Investments and Dispositions for the quarter ended December 31, 2011:
| • | Investments: |
| • | $327.1 million in the Property Portfolio, including acquiring 111 properties with an aggregate 975,000 square feet of gross leasable area |
| • | Dispositions: |
| • | Three properties with net proceeds of $3.5 million |
Capital transactions for the quarter ended December 31, 2011:
| • | Completed 8,050,000 common shares offering priced at $25.75 generating net proceeds of $198.3 million |
| • | Issued 1,322,285 common shares generating $33.7 million of net proceeds pursuant to the Dividend Reinvestment and Stock Purchase Plan |
National Retail Properties announced an increase in 2012 FFO guidance to $1.65 to $1.70 per share before any impairment expense and estimated AFFO to be $1.74 to $1.79 per share. The FFO guidance equates to the net earnings before any gains or losses from the sale of real estate of $1.03 to $1.08 per share plus $0.62 per share of expected real estate depreciation and amortization. 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.
Craig Macnab, Chief Executive Officer, commented: “The strong investment activity in 2011 drove significant FFO per share growth in 2011 and positions us well for continued growth in profitability in 2012 as evidenced by our increased FFO guidance. Notably, the $772 million of investments made in 2011 were financed with over $520 million of new equity which we were able to deploy on a very accretive basis and allow us to maintain a strong balance sheet as we start 2012. Most importantly, we are well positioned to perpetuate our 22-year consecutive annual dividend increase track record in 2012. We know the value of a safe and growing dividend is magnified in uncertain times.”
National Retail Properties invests primarily in high-quality retail properties subject generally to long-term, net leases. As of December 31, 2011, the company owned 1,422 properties in 47 states with a gross leasable area of approximately 16.4 million square feet. For more information on the company, visit www.nnnreit.com.
Management will hold a conference call on February 6, 2012, at 10:30 a.m. ET to review these results. The call can be accessed on the National Retail Properties web site live athttp://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. 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 our tenants, the availability of capital, risks related to our status as a REIT and the profitability of the company’s taxable subsidiary. Additional information concerning these and other factors that could cause actual results to differ materially from those forward-looking statements is contained from time to time in the company’s Securities and Exchange Commission (“SEC”) 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 SEC. 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 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-K with the SEC for the year ended December 31, 2011. 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) 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.
2
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. 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.
Adjusted Funds From Operations (“AFFO”) is a non-GAAP financial measure of operating performance used by many companies in the REIT industry. AFFO further adjusts FFO for certain non-cash items that reduce or increase net income in accordance with GAAP. 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.
The company has determined that there are earnings from discontinued operations in each of its segments, real estate held for investment and real estate held for sale. All property dispositions from the company’s held for investment segment are classified as discontinued operations. In addition, certain properties in the company’s held for sale segment that have generated revenues before disposition are classified as discontinued operations. The results of operations for prior periods for these properties now classified as discontinued operations have been restated to reflect the results in earnings from discontinued operations for comparability purposes. These adjustments resulted in a decrease in the company’s reported total revenues and total and per share earnings from continuing operations and an increase in the company’s earnings from discontinued operations. However, the company’s total and per share FFO and net earnings available to common stockholders are not affected.
3
National Retail Properties, Inc.
(in thousands, except per share data)
(unaudited)
Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
Income Statement Summary | ||||||||||||||||
Revenues: | ||||||||||||||||
Rental and earned income | $ | 69,978 | $ | 55,930 | $ | 250,449 | $ | 214,249 | ||||||||
Real estate expense reimbursement from tenants | 3,060 | 2,333 | 9,927 | 7,197 | ||||||||||||
Interest and other income from real estate transactions | 583 | 498 | 2,312 | 2,982 | ||||||||||||
Interest income on commercial mortgage residual interests | 779 | 755 | 3,105 | 3,460 | ||||||||||||
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| 74,400 | 59,516 | 265,793 | 227,888 | |||||||||||||
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Retail operations: | ||||||||||||||||
Revenues | 11,436 | 8,500 | 45,139 | 32,958 | ||||||||||||
Operating expenses | (10,920 | ) | (8,133 | ) | (43,096 | ) | (31,647 | ) | ||||||||
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Net | 516 | 367 | 2,043 | 1,311 | ||||||||||||
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Operating expenses: | ||||||||||||||||
General and administrative | 8,554 | 5,464 | 28,814 | 22,763 | ||||||||||||
Real estate | 4,852 | 3,854 | 16,887 | 13,235 | ||||||||||||
Depreciation and amortization | 15,910 | 12,635 | 58,115 | 48,047 | ||||||||||||
Impairment losses and other charges, net of recoveries | (1,615 | ) | 7,525 | (1,431 | ) | 7,458 | ||||||||||
Impairment - commercial mortgage residual interests valuation | 628 | 146 | 1,024 | 3,995 | ||||||||||||
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| 28,329 | 29,624 | 103,409 | 95,498 | |||||||||||||
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Other expenses (revenues): | ||||||||||||||||
Interest and other income | (429 | ) | (343 | ) | (1,511 | ) | (1,513 | ) | ||||||||
Interest expense | 19,585 | 16,655 | 74,845 | 65,179 | ||||||||||||
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| 19,156 | 16,312 | 73,334 | 63,666 | |||||||||||||
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Gain on disposition of real estate | 297 | — | 297 | 641 | ||||||||||||
Income tax benefit (expense) | (521 | ) | 23 | (779 | ) | (475 | ) | |||||||||
Equity in earnings of unconsolidated affiliate | 153 | 108 | 474 | 428 | ||||||||||||
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Earnings from continuing operations | 27,360 | 14,078 | 91,085 | 70,629 | ||||||||||||
Earnings from discontinued operations | 326 | 134 | 1,331 | 2,724 | ||||||||||||
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Earnings including noncontrolling interests | 27,686 | 14,212 | 92,416 | 73,353 | ||||||||||||
Loss (earnings) attributable to noncontrolling interests: | ||||||||||||||||
Continuing operations | (124 | ) | (5 | ) | (11 | ) | (367 | ) | ||||||||
Discontinued operations | 8 | 8 | (80 | ) | 11 | |||||||||||
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| (116 | ) | 3 | (91 | ) | (356 | ) | ||||||||||
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Net earnings attributable to NNN | 27,570 | 14,215 | 92,325 | 72,997 | ||||||||||||
Series C preferred stock dividends | (1,696 | ) | (1,696 | ) | (6,785 | ) | (6,785 | ) | ||||||||
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Net earnings available to common stockholders | $ | 25,874 | $ | 12,519 | $ | 85,540 | $ | 66,212 | ||||||||
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4
National Retail Properties, Inc.
(in thousands, except per share data)
(unaudited)
| Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
Weighted average common shares outstanding: | ||||||||||||||||
Basic | 97,605 | 82,899 | 88,100 | 82,716 | ||||||||||||
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Diluted | 98,671 | 84,041 | 88,837 | 82,849 | ||||||||||||
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Net earnings per share available to common stockholders: | ||||||||||||||||
Basic: | ||||||||||||||||
Continuing operations | $ | 0.26 | $ | 0.15 | $ | 0.95 | $ | 0.77 | ||||||||
Discontinued operations | — | — | 0.01 | 0.03 | ||||||||||||
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Net earnings | $ | 0.26 | $ | 0.15 | $ | 0.96 | $ | 0.80 | ||||||||
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Diluted: | ||||||||||||||||
Continuing operations | $ | 0.26 | $ | 0.15 | $ | 0.95 | $ | 0.77 | ||||||||
Discontinued operations | — | — | 0.01 | 0.03 | ||||||||||||
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Net earnings | $ | 0.26 | $ | 0.15 | $ | 0.96 | $ | 0.80 | ||||||||
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5
National Retail Properties, Inc.
(in thousands, except per share data)
(unaudited)
Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
Funds From Operations (FFO) Reconciliation: | ||||||||||||||||
Net earnings available to common stockholders | $ | 25,874 | $ | 12,519 | $ | 85,540 | $ | 66,212 | ||||||||
Real estate depreciation and amortization: | ||||||||||||||||
Continuing operations | 15,537 | 11,456 | 53,827 | 43,182 | ||||||||||||
Discontinued operations | 15 | 92 | 216 | 468 | ||||||||||||
Joint venture real estate depreciation | 44 | 45 | 178 | 178 | ||||||||||||
Gain on disposition of real estate | (432 | ) | (122 | ) | (527 | ) | (1,712 | ) | ||||||||
Impairment losses - real estate | — | — | 431 | — | ||||||||||||
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Total FFO adjustments | 15,164 | 11,471 | 54,125 | 42,116 | ||||||||||||
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FFO available to common stockholders | $ | 41,038 | $ | 23,990 | $ | 139,665 | $ | 108,328 | ||||||||
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FFO per share: | ||||||||||||||||
Basic | $ | 0.42 | $ | 0.29 | $ | 1.59 | $ | 1.31 | ||||||||
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Diluted | $ | 0.42 | $ | 0.29 | $ | 1.57 | $ | 1.31 | ||||||||
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Adjusted Funds From Operations (AFFO) Reconciliation: | ||||||||||||||||
Net earnings available to common stockholders | $ | 25,874 | $ | 12,519 | $ | 85,540 | $ | 66,212 | ||||||||
Total FFO adjustments | 15,164 | 11,471 | 54,125 | 42,116 | ||||||||||||
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FFO available to common stockholders | 41,038 | 23,990 | 139,665 | 108,328 | ||||||||||||
Straight-line accrued rent | 108 | 285 | 54 | (74 | ) | |||||||||||
Net capital lease rent adjustment | 404 | 400 | 1,595 | 1,544 | ||||||||||||
Below market rent amortization | (615 | ) | (99 | ) | (1,106 | ) | (376 | ) | ||||||||
Stock based compensation expense | 2,121 | 1,284 | 6,390 | 5,309 | ||||||||||||
Capitalized interest expense | (366 | ) | (257 | ) | (1,213 | ) | (617 | ) | ||||||||
Convertible debt interest expense | 1,026 | 1,577 | 5,837 | 6,154 | ||||||||||||
Impairment losses and other charges, net of recoveries | (1,615 | ) | 7,525 | (1,431 | ) | 7,458 | ||||||||||
Impairment - commercial mortgage residual interests valuation | 628 | 146 | 1,024 | 3,995 | ||||||||||||
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Total AFFO adjustments | 1,691 | 10,861 | 11,150 | 23,393 | ||||||||||||
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AFFO available to common stockholders | $ | 42,729 | $ | 34,851 | $ | 150,815 | $ | 131,721 | ||||||||
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AFFO per share: | ||||||||||||||||
Basic | $ | 0.44 | $ | 0.42 | $ | 1.71 | $ | 1.59 | ||||||||
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Diluted | $ | 0.43 | $ | 0.41 | $ | 1.70 | $ | 1.59 | ||||||||
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Other Information: | ||||||||||||||||
Percentage rent | $ | 644 | $ | 577 | $ | 1,120 | $ | 959 | ||||||||
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Amortization of debt costs | $ | 351 | $ | 1,163 | $ | 4,141 | $ | 4,599 | ||||||||
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Scheduled debt principal amortization (excluding maturities) | $ | 283 | $ | 263 | $ | 1,098 | $ | 1,051 | ||||||||
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Non-real estate depreciation expense | $ | 27 | $ | 21 | $ | 168 | $ | 287 | ||||||||
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6
National Retail Properties, Inc.
(in thousands)
(unaudited)
Earnings from Discontinued Operations:NNN classified the revenues and expenses related to leasehold interests which expired and properties which generated revenue and were sold or generated revenue and were held for sale as of December 31, 2011, as discontinued operations. The following is a summary of the earnings from discontinued operations.
| Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
Revenues: | ||||||||||||||||
Rental and earned income | $ | 591 | $ | 651 | $ | 3,736 | $ | 5,434 | ||||||||
Real estate expense reimbursement from tenants | 159 | 190 | 619 | 1,647 | ||||||||||||
Interest and other income from real estate transactions | 3 | 5 | 37 | 578 | ||||||||||||
Interest and other income from non-real estate | — | — | — | 2 | ||||||||||||
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| 753 | 846 | 4,392 | 7,661 | |||||||||||||
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Expenses: | ||||||||||||||||
General and administrative | 11 | 13 | 22 | 101 | ||||||||||||
Real estate | 269 | 297 | 1,146 | 2,363 | ||||||||||||
Depreciation and amortization | 38 | 114 | 306 | 627 | ||||||||||||
Impairment losses - real estate | — | — | 431 | — | ||||||||||||
Interest | 357 | 383 | 1,382 | 2,655 | ||||||||||||
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| 675 | 807 | 3,287 | 5,746 | |||||||||||||
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Gain on disposition of real estate | 284 | 122 | 424 | 1,434 | ||||||||||||
Income tax expense | (36 | ) | (27 | ) | (198 | ) | (625 | ) | ||||||||
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Earnings from discontinued operations including noncontrolling interests | 326 | 134 | 1,331 | 2,724 | ||||||||||||
Loss (earnings) attributable to noncontrolling interests | 8 | 8 | (80 | ) | 11 | |||||||||||
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Earnings from discontinued operations attributable to NNN | $ | 334 | $ | 142 | $ | 1,251 | $ | 2,735 | ||||||||
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7
National Retail Properties, Inc.
(in thousands)
(unaudited)
| Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||||||||||
| # of Properties | Gain | # of Properties | Gain | # of Properties | Gain | # of Properties | Gain | |||||||||||||||||||||||||
Real Estate Disposition Summary | ||||||||||||||||||||||||||||||||
Reconciliation of gain on disposition between continuing and discontinued operations: | ||||||||||||||||||||||||||||||||
Continuing operations | — | $ | 297 | — | $ | — | — | $ | 297 | 2 | $ | 641 | ||||||||||||||||||||
Discontinued operations | 3 | 284 | 1 | 122 | 8 | 424 | 16 | 1,434 | ||||||||||||||||||||||||
Noncontrolling interest | — | (149 | ) | — | — | — | (194 | ) | — | (363 | ) | |||||||||||||||||||||
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| 3 | $ | 432 | 1 | $ | 122 | 8 | $ | 527 | 18 | $ | 1,712 | |||||||||||||||||||||
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8
National Retail Properties, Inc.
(in thousands)
(unaudited)
| December 31, 2011 | December 31, 2010 | |||||||
Balance Sheet Summary | ||||||||
Assets: | ||||||||
Cash and cash equivalents | $ | 2,082 | $ | 2,048 | ||||
Receivables, net of allowance | 2,149 | 3,403 | ||||||
Investment in unconsolidated affiliate | 4,358 | 4,515 | ||||||
Mortgages, notes and accrued interest receivable | 33,428 | 30,331 | ||||||
Real estate: | ||||||||
Accounted for using the operating method, net of accumulated depreciation and amortization | 3,224,023 | 2,514,302 | ||||||
Accounted for using the direct financing method | 26,518 | 29,773 | ||||||
Real estate held for sale | 37,201 | 37,724 | ||||||
Commercial mortgage residual interests | 15,299 | 15,915 | ||||||
Accrued rental income, net of allowance | 25,187 | 25,535 | ||||||
Other assets | 64,184 | 50,029 | ||||||
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Total assets | $ | 3,434,429 | $ | 2,713,575 | ||||
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Liabilities: | ||||||||
Line of credit payable | $ | 65,600 | $ | 161,000 | ||||
Mortgages payable | 23,171 | 24,269 | ||||||
Notes payable - convertible, net of unamortized discount | 355,371 | 349,534 | ||||||
Notes payable, net of unamortized discount | 894,967 | 598,882 | ||||||
Other liabilities | 91,444 | 51,116 | ||||||
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Total liabilities | 1,430,553 | 1,184,801 | ||||||
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Stockholders’ equity of NNN | 2,002,498 | 1,527,483 | ||||||
Noncontrolling interests | 1,378 | 1,291 | ||||||
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Total equity | 2,003,876 | 1,528,774 | ||||||
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Total liabilities and equity | $ | 3,434,429 | $ | 2,713,575 | ||||
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Common shares outstanding | 104,755 | 83,613 | ||||||
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Gross leasable area, Property Portfolio (square feet) | 16,428 | 12,972 | ||||||
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9
NNN Retail Properties Fund I LLC
(in thousands)
(unaudited)
In September 2007, the company entered into a joint venture, NNN Retail Properties Fund I LLC, with an affiliate of Crow Holdings Realty Partners IV, L.P. The company owns a 15 percent equity interest, and the following summary represents the Balance Sheet and Income Statement Summary for the joint venture. The company’s investment in the joint venture is included in the company’s Balance Sheet Summary under “Investment in unconsolidated affiliate.”
| December 31, 2011 | December 31, 2010 | |||||||
Assets: | ||||||||
Cash and cash equivalents | $ | 307 | $ | 999 | ||||
Receivables | 200 | 200 | ||||||
Real estate | 70,911 | 72,095 | ||||||
Other assets | 402 | 561 | ||||||
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| $ | 71,820 | $ | 73,855 | |||||
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Liabilities: | ||||||||
Notes payable | $ | 42,700 | $ | 43,600 | ||||
Other liabilities | 65 | 995 | ||||||
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Total liabilities | 42,765 | 44,595 | ||||||
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Members’ equity | 29,055 | 29,260 | ||||||
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Total liabilities and equity | $ | 71,820 | $ | 73,855 | ||||
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| Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
Revenues: | ||||||||||||||||
Rental income | $ | 1,565 | $ | 1,565 | $ | 6,261 | $ | 6,261 | ||||||||
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Expenses: | ||||||||||||||||
General and administrative | 73 | 73 | 332 | 331 | ||||||||||||
Real estate | 4 | 4 | 18 | 19 | ||||||||||||
Depreciation and amortization | 339 | 369 | 1,444 | 1,475 | ||||||||||||
Interest | 192 | 463 | 1,558 | 1,837 | ||||||||||||
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| 608 | 909 | 3,352 | 3,662 | |||||||||||||
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Net earnings | $ | 957 | $ | 656 | $ | 2,909 | $ | 2,599 | ||||||||
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10
National Retail Properties, Inc.
Property Portfolio
Top 20 Lines of Trade
| As of December 31, | ||||||||||||
Line of Trade | 2011(1) | 2010(2) | ||||||||||
| 1. | Convenience stores | 24.6 | % | 23.5 | % | |||||||
| 2. | Restaurants - full service | 9.4 | % | 10.1 | % | |||||||
| 3. | Automotive parts | 6.5 | % | 7.8 | % | |||||||
| 4. | General merchandise | 5.2 | % | 1.4 | % | |||||||
| 5. | Theaters | 5.0 | % | 5.7 | % | |||||||
| 6. | Automotive service | 4.9 | % | 5.3 | % | |||||||
| 7. | Sporting goods | 4.8 | % | 4.5 | % | |||||||
| 8. | Restaurants - limited service | 3.6 | % | 4.3 | % | |||||||
| 9. | Consumer electronics | 3.5 | % | 2.6 | % | |||||||
| 10. | Drug stores | 3.2 | % | 3.9 | % | |||||||
| 11. | Health and fitness | 2.6 | % | 2.1 | % | |||||||
| 12. | Travel plazas | 2.5 | % | 2.3 | % | |||||||
| 13. | Recreational vehicle dealers, parts and accessories | 2.3 | % | 0.9 | % | |||||||
| 14. | Home improvement | 2.1 | % | 1.0 | % | |||||||
| 15. | Grocery | 2.1 | % | 2.6 | % | |||||||
| 16. | Books | 2.0 | % | 3.7 | % | |||||||
| 17. | Family entertainment centers | 1.9 | % | 1.3 | % | |||||||
| 18. | Office supplies | 1.5 | % | 2.4 | % | |||||||
| 19. | Furniture | 1.5 | % | 2.3 | % | |||||||
| 20. | Financial services | 1.3 | % | 1.2 | % | |||||||
Other | 9.5 | % | 11.1 | % | ||||||||
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Total | 100.0 | % | 100.0 | % | ||||||||
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Top 10 States
State | % of Total(1) | State | % of Total(1) | |||||||||||||||
| 1. | Texas | 23.0 | % | 6. | Indiana | 3.5 | % | |||||||||||
| 2. | Florida | 9.2 | % | 7. | California | 3.4 | % | |||||||||||
| 3. | Illinois | 5.6 | % | 8. | Ohio | 3.3 | % | |||||||||||
| 4. | North Carolina | 5.2 | % | 9. | Pennsylvania | 3.1 | % | |||||||||||
| 5. | Georgia | 4.1 | % | 10. | Virginia | 3.1 | % | |||||||||||
| (1) | Based on the annualized base rent for all leases in place as of December 31, 2011. |
| (2) | Based on the annualized base rent for all leases in place as of December 31, 2010. |
11
National Retail Properties, Inc.
Property Portfolio
Top Tenants
| Properties | % of Total(1) | |||||||
Pantry | 96 | 6.6 | % | |||||
Susser | 86 | 6.4 | % | |||||
C.L. Thomas | 66 | 5.4 | % | |||||
AMC Theatre | 15 | 4.3 | % | |||||
BJ’s Wholesale Club | 7 | 4.0 | % | |||||
Best Buy | 20 | 3.4 | % | |||||
Mister Car Wash | 44 | 3.1 | % | |||||
Road Ranger | 34 | 3.0 | % | |||||
Gander Mountain | 8 | 2.7 | % | |||||
Pull-A-Part | 20 | 2.7 | % | |||||
LA Fitness | 9 | 2.5 | % | |||||
Pep Boys | 17 | 2.4 | % | |||||
Camping World | 15 | 2.3 | % | |||||
Logan’s Roadhouse | 26 | 2.2 | % | |||||
Lease Expirations(2)
| % of Total(1) | # of Properties | Gross Leasable Area(3) | % of Total(1) | # of Properties | Gross Leasable Area(3) | |||||||||||||||||||||||
2012 | 1.5 | % | 28 | 434,000 | 2018 | 3.5 | % | 39 | 829,000 | |||||||||||||||||||
2013 | 3.5 | % | 42 | 883,000 | 2019 | 3.1 | % | 40 | 670,000 | |||||||||||||||||||
2014 | 3.3 | % | 43 | 587,000 | 2020 | 3.5 | % | 87 | 746,000 | |||||||||||||||||||
2015 | 3.1 | % | 68 | 926,000 | 2021 | 5.1 | % | 86 | 723,000 | |||||||||||||||||||
2016 | 2.1 | % | 38 | 569,000 | 2022 | 8.9 | % | 97 | 934,000 | |||||||||||||||||||
2017 | 3.8 | % | 32 | 812,000 | Thereafter | 58.6 | % | 764 | 7,472,000 | |||||||||||||||||||
| (1) | Based on the annual base rent of $297,576,000, which is the annualized base rent for all leases in place as of December 31, 2011. |
| (2) | As of December 31, 2011, the weighted average remaining lease term is 12 years. |
| (3) | Square feet. |
12
