Margins Of Safety

Margins of Safety

Contract Quality
  • Approximately 72% investment-grade
  • Master Leases 94% of the time
  • Investments average 80% of replacement cost
  • Investment yields above NAV auction yields

Portfolio metrics
as of 9/30/21

Financial Strength
  • A highly protected dividend
  • High contract lease escalations
  • AAA/A+ secured borrowing capability
  • Multiple investment-grade borrowing options; Baa2 by Moody’s, BBB by S&P and Fitch Ratings
  • Conservative leverage and flexible balance sheet
Portfolio Monitoring
  • Virtually all tenants provide financial statements
  • 98% property-level financial statements
  • Every investment independently appraised
  • ~15% annual physical portfolio inspection

Portfolio metrics
as of 9/30/21

Portfolio Characteristics
  • Unparalleled direct investment origination platform, with 96% of our contracts prepared by us and approximately 80% of our customer relationships directly solicited
  • 2,788 profit-center properties leased to 538 tenants, across 49 states and 119 industries
  • A top exposure of 3.1% of rent and interest income, with top ten tenants at approximately 18.7% and over 85% of our portfolio under 1%
  • Seasoned tenants with ~74% of customers have annual revenues over $50 million, and weighted average tenant revenues are approximately $947 million

Portfolio metrics
as of 9/30/21

Organizational Structure
  • Credit and closing silos
  • Management and Board Investment Committees