NNN REIT, Inc. (NNN) Q3 2025 Earnings Call

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WEBVTT 00:00:00.031 -- 00:00:06.039 We also leased seven new properties to new tenants at rates of 124% of previous 00:00:06.039 -- 00:00:09.443 rents, demonstrating strong demand and execution. 00:00:09.443 -- 00:00:13.768 Our asset management team and leasing team have done a fantastic job getting deals done 00:00:13.768 -- 00:00:18.875 at a high level. Our tenant base remains stable, no material concerns 00:00:18.875 -- 00:00:20.577 at this time. 00:00:20.577 -- 00:00:26.364 Moving to acquisitions, during the quarter we invested $283,057,000 in new assets, an 00:00:26.364 -- 00:00:31.433 initial cap rate of 7.3. with an average lease duration nearly 18 years 00:00:31.433 -- 00:00:33.936 due to the sale-leaseback nature of our deals. 00:00:33.936 -- 00:00:38.462 The first nine months, we've invested $750 million in 184 properties. 00:00:38.462 -- 00:00:43.929 The cash cap rate is 7.4, which has NNN tracked into a record year of acquisition 00:00:43.929 -- 00:00:48.155 volume. As we've moved through the year, cap rates, for the most part, have stabilized, 00:00:48.155 -- 00:00:53.122 and I don't see any material way either up or down as we head into the fourth quarter 00:00:53.122 -- 00:00:57.271 and for the deals we were pricing for the first quarter of 2026. 00:00:57.271 -- 00:01:01.917 As one of the original net lease companies in the public markets, NNN has successfully 00:01:01.917 -- 00:01:07.304 operated through diverse economic cycles. While private capital has increased competition, 00:01:07.304 -- 00:01:11.409 especially for the large portfolios, our disciplined approach and long-standing tenant 00:01:11.409 -- 00:01:17.657 relationships enable us to consistently execute and deliver a highly competitive environment. 00:01:17.657 -- 00:01:22.703 During the ...