NNN REIT

NNN REIT helps retail businesses find permanent homes for their stores. The company buys land and buildings then leases them to store operators. These long-term agreements allow retailers to focus on their daily business.

What is in the Portfolio?

• Retail Properties: Freestanding buildings leased primarily to single tenants under triple-net agreements; accounts for 100% of the property portfolio.
• Triple-Net Leases: Contract structure where tenants pay all operating costs like taxes, insurance, and maintenance; provides stable returns for the company.
• Automotive Service: Real estate used for car repairs and maintenance; represents 18.6% of annualized base rent as of December 31, 2025.
• Convenience Stores: High-traffic retail locations selling fuel and snacks; accounts for 16.3% of annualized base rent as of December 31, 2025.
• Restaurant Sites: Locations for both fast-food and sit-down dining; contributes 14.3% of annualized base rent as of December 31, 2025.

Growth and Expansion

• Invested $931 million in 2025 to acquire 239 new properties and fund ongoing construction projects.
• Sold 116 properties in 2025 for net proceeds of $190 million to manage portfolio quality.
• Acquired 75 properties in 2024 with a total investment of $565 million.
• Maintains a portfolio of 3,692 properties across all 50 states and Puerto Rico as of December 31, 2025.

What Makes NNN Different

The company maintains a highly diversified tenant base across 3,692 properties to reduce the impact of any single business failure. Its triple-net lease model shifts nearly all property-level expenses to the tenant, resulting in predictable cash flows.

The Scorecard

• Revenue grew to $238.4 million in Q4 2025, up 9.1% from Q4 2024.
• Operating income rose to $148.6 million in Q4 2025, a 3.4% increase year-over-year.
• Free cash flow reached $126.2 million in Q4 2025, up 7.2% from the previous year.
• Occupancy remained stable at 98.3% as of December 31, 2025, compared to 98.5% in 2024.
• The weighted average remaining lease term was 10.2 years as of December 31, 2025.

Bottom Line

NNN has grown from its 1984 origins into a national retail real estate owner with a 36-year record of consecutive annual dividend increases. Its focus on single-tenant properties and triple-net leases provides a consistent operational foundation across varying economic cycles.