10-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

(Mark One)

☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2023

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to

Commission File Number 001-38530

Essential Properties Realty Trust, Inc.

(Exact name of Registrant as specified in its Charter)

Maryland	82-4005693
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
902 Carnegie Center Blvd., Suite 520 Princeton, New Jersey	08540
(Address of Principal Executive Offices)	(Zip Code)
Registrants telephone number, including area code: (609) 436-0619

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Common Stock, $0.01 par value	EPRT	New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☒  No ☐

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒  No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒  No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company, “and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. Yes ☒ No ☐

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

As of June 30, 2023 (the last business day of the registrant's most recently completed second fiscal quarter), the aggregate market value of the registrant's shares of common stock, $0.01 par value, held by non-affiliates of the registrant, was $3.6 billion based on the last reported sale price of $23.54 per share on the New York Stock Exchange on June 30, 2023.

The number of shares of the registrant's Common Stock outstanding as of February 14, 2024 was 166,102,747.

Documents Incorporated by Reference

Portions of the Definitive Proxy Statement for the registrant's 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this report. The registrant expects to file such proxy statement within 120 days after the end of its fiscal year.

Table of Contents

		Page
PART I
Item 1.	Business	4
Item 1A.	Risk Factors	15
Item 1B.	Unresolved Staff Comments	35
Item 1C.	Cybersecurity	35
Item 2.	Properties	36
Item 3.	Legal Proceedings	42
Item 4.	Mine Safety Disclosures	42
PART II
Item 5.	Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	43
Item 6.	[Reserved]	44
Item 7.	Management's Discussion and Analysis of Financial Condition and Results of Operations	45
Item 7A.	Quantitative and Qualitative Disclosures About Market Risk	63
Item 8.	Financial Statements and Supplementary Data	64
Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	108
Item 9A.	Controls and Procedures	108
Item 9B.	Other Information	108
Item 9C.	Disclosure Regarding Foreign Jurisdictions that Prevent Inspections	108
PART III
Item 10.	Directors, Executive Officers and Corporate Governance	109
Item 11.	Executive Compensation	109
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	109
Item 13.	Certain Relationships and Related Transactions, and Director Independence	109
Item 14.	Principal Accounting Fees and Services	109
PART IV
Item 15.	Exhibits, Financial Statement Schedules	110
Item 16.	Form 10-K Summary	112
	Signatures	113
	Schedules	F-1

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PART I

In this Annual Report, we refer to Essential Properties Realty Trust, Inc., a Maryland corporation, together with its consolidated subsidiaries, including, Essential Properties, L.P., a Delaware limited partnership and its operating partnership (the "Operating Partnership"), as "we," "us," "our" or "the Company" unless we specifically state otherwise or the context otherwise requires.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This report contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). In particular, statements pertaining to our business and growth strategies, investment, financing and leasing activities and trends in our business, including trends in the market for long-term, net leases of freestanding, single-tenant properties, contain forward-looking statements. When used in this report, the words "estimate," "anticipate," "expect," "believe," "intend," "may," "will," "should," "seek," "approximately" and "plan," and variations of such words, and similar words or phrases, that are predictions of future events or trends and that do not relate solely to historical matters, are intended to identify forward-looking statements. You can also identify forward-looking statements by discussions of strategy, plans, beliefs or intentions of management.

Forward-looking statements involve known and unknown risks and uncertainties that may cause our actual results, performance or achievements to be materially different from the results of operations or plans expressed or implied by such forward-looking statements; accordingly, you should not rely on forward-looking statements as predictions of future events. Forward-looking statements depend on assumptions, data or methods that may be incorrect or imprecise, and may not be realized. We do not guarantee that the transactions and events described will happen as described (or that they will happen at all). The following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements:

•general business and economic conditions;

•risks inherent in the real estate business, including tenant defaults or bankruptcies, illiquidity of real estate investments, fluctuations in real estate values and the general economic climate in local markets, competition for tenants in such markets, potential liability relating to environmental matters and potential damages from natural disasters;

•the performance and financial condition of our tenants;

•the availability of suitable properties to acquire and our ability to acquire and lease those properties on favorable terms;

•our ability to renew leases, lease vacant space or re-lease space as existing leases expire or are terminated;

•volatility and uncertainty in financial markets, in particular the equity and credit markets, fluctuations in the Consumer Price Index ("CPI"), and the impact of inflation on us and our tenants;

•the degree and nature of our competition;

•our failure to generate sufficient cash flows to service our outstanding indebtedness;

•our ability to access debt and equity capital on attractive terms;

•fluctuating interest rates;

•availability of qualified personnel and our ability to retain our key management personnel;

•changes in, or the failure or inability to comply with, applicable law or regulation;

•our failure to continue to qualify for taxation as a real estate investment trust ("REIT");

•changes in the U.S. tax law and other U.S. laws, whether or not specific to REITs; and

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•additional factors discussed in the sections entitled "Business," "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this Annual Report.

You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this report. While forward-looking statements reflect our good faith beliefs, they are not guarantees of future events or of our performance. We disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes, except as required by law.

Because we operate in a highly competitive and rapidly changing environment, new risks emerge from time to time, and it is not possible for management to predict all such risks, nor can management assess the impact of all such risks on our business or the extent to which any risk, or combination of risks, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual events or results.

Summary Risk Factors

Our business is subject to a number of risks that could materially and adversely impact our financial condition, results of operations, cash flows and liquidity, prospects, the market price of our common stock and our ability to, among other things, service our debt and to make distributions to our stockholders. The following risks, which, together with other material risks that are discussed more fully herein under “Risk Factors,” are the principal factors that make an investment in our company speculative or risky:

•adverse changes in the U.S., global and local markets and related economic conditions;

•the failure of our tenants to successfully operate their businesses, or tenant defaults, bankruptcies or insolvencies;

•defaults by borrowers on our mortgage loans receivable;

•an inability to identify and complete investments in suitable properties or yield the returns we seek with future investments;

•an inability to access debt and equity capital on commercially acceptable terms or at all;

•a decline in the fair value of our real estate assets;

•geographic, industry and tenant concentrations that reduce the diversity of our portfolio;

•a reduction in the willingness or ability of consumers to physically patronize or use their discretionary income in the businesses of our tenants and potential tenants;

•our significant indebtedness, which requires substantial cash flow to service, subjects us to covenants and exposes us to refinancing risk and the risk of default; and

•failure to continue to qualify for taxation as a REIT.

Item 1. Business.

We are an internally managed real estate company that acquires, owns and manages primarily single-tenant properties that are net leased on a long-term basis to middle-market companies operating service-oriented or experience-based businesses. We have assembled a diversified portfolio using a disciplined strategy that focuses on properties leased to tenants in businesses including, but not limited to,:

•Automotive services,

•Car washes,

•Convenience stores,

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•Early childhood education,

•Entertainment,

•Equipment rental and sales,

•Grocery,

•Health and fitness,

•Industrial,

•Medical and dental services, and

•Restaurants (primarily quick service restaurants and casual dining).

We believe that, in general, properties leased to tenants in these businesses and similar businesses are essential to the generation of the tenants' sales and profits. We also believe that these businesses have favorable growth potential and, because of their nature, they are more insulated from e-commerce pressure than many other businesses.

We completed our initial public offering in June 2018 and we qualified to be taxed as a REIT beginning with our taxable year ended December 31, 2018. As of December 31, 2023, 92.9% of our total annualized base rent of $364.8 million was attributable to properties operated by tenants in service-oriented and experience-based businesses. "Annualized base rent" means annualized contractually specified cash base rent in effect on December 31, 2023 for all of our leases (including those accounted for as loans or direct financing leases) commenced as of that date and annualized cash interest on our mortgage loans receivable as of that date.

Our primary business objective is to maximize stockholder value by generating attractive risk-adjusted returns through owning, managing and growing a diversified portfolio of commercially desirable properties. We have grown significantly since commencing our operations and investment activities in June 2016. As of December 31, 2023, our portfolio consisted of 1,873 properties, inclusive of 136 properties which secure our investments in mortgage loans receivable. Our portfolio was built based on the following core investment attributes:

Diversified Portfolio.   Our goal is that, over time, no more than 5% of our annualized base rent will be derived from any single-tenant or more than 1% from any single property. As of December 31, 2023, our portfolio was 99.8% occupied by 374 tenants operating 588 different concepts (i.e., generally brands) in 16 industries across 48 states, with none of our tenants contributing more than 3.8% of our annualized base rent.

Long Lease Term.    Our properties generally are subject to long-term net leases that we believe provide us a stable base of revenue from which to grow our portfolio. As of December 31, 2023, our leases had a weighted average remaining lease term of 14.0 years (based on annualized base rent), with only 4.7% of our annualized base rent attributable to leases expiring prior to January 1, 2029.

Significant Use of Master Leases.   As of December 31, 2023, 65.7% of our annualized base rent was attributable to master leases. A master lease is a single lease pursuant to which multiple properties are leased to a single operator/tenant on a unitary (i.e., “all or none”) basis. The master lease structure spreads our investment risk across multiple properties, and we believe it reduces our exposure to operating and renewal risk at any one property, and promotes efficient asset management. We seek to acquire properties owned and operated by middle-market businesses and lease the properties back to the operators pursuant to our standard lease form. For the year ended December 31, 2023, 68% of our investments (weighted by annualized base rent) were in a master lease structure.

Significant Use of Sale-Leaseback Structure. Because the focus of our investment strategy is on middle-market and smaller operators, our investment in their real estate operating assets is typically either the first time the real estate has transacted, or we are the capital provider for the portion of a merger/acquisition transaction with another operator involving the real estate properties. The structure of these transactions, which represent the majority of our investment activity, involves our acquisition of the property and then the leasing back of the property to the operator of the real estate, a sale-leaseback structure. Among the benefits of executing the sale-leaseback

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structure is that we use a standard lease form that we structured, and which includes terms favorable to us, including the requirement for the operator to provide us with unit-level and, in some instances, corporate level financial statements on a quarterly basis, in arrears. For the year ended December 31, 2023, 98.8% of our investments (weighted by annualized base rent) were through the sale-leaseback structure.

Contractual Base Rent Escalation. As of December 31, 2023, 98.7% of our leases (based on annualized base rent) provided for increases in future base rent at a weighted average rate of 1.7% per year. Fixed rent escalation provisions provide contractually-specified incremental increases in the yield on our investments, provide a degree of protection from inflation or a rising interest rate environment, and provide our tenants with predictability and stability in managing their operating expenses.

Smaller, Low Basis Single-Tenant Properties. We generally invest in freestanding "small-box" single-tenant properties. As of December 31, 2023, our average investment per property was $2.7 million (which equals our aggregate investment in our properties (including transaction costs, lease incentives and amounts funded for construction in progress) divided by the number of properties owned at such date). We believe that investing in smaller more granular assets provides us with an element of risk mitigation with regard to credit risk, real estate risk, and the risk associated with the applicable lease, and allows us to not have large concentrations of our capital allocated to any single asset. This should provide us with an ability to limit our exposure to events that may adversely affect a particular property. Because of the smaller investment size of individual investments, we believe we benefit from our properties being fungible in terms of the alternative commercial uses that could be operated at any given property we own. This also reduces the risk that the particular property might become obsolete and enhances our ability to sell a property if we choose to do so, in part to alleviate credit risk.

Healthy Rent Coverage Ratio and Tenant Financial Reporting. As of December 31, 2023, our portfolio's weighted average rent coverage ratio was 3.8x, and 98.8% of our leases (based on annualized base rent) obligate the tenant to periodically provide us with specified unit-level financial reporting. "Rent coverage ratio" means, as of a specified date, the ratio of (x) tenant-reported or, when unavailable, management's estimate (based on tenant-reported financial information) of annual earnings before interest, taxes, depreciation, amortization and cash rent attributable to the leased property (or properties, in the case of a master lease) to (y) the annualized base rental obligation. The benefits of receiving periodic unit-level and, in some instances, corporate-level financial reporting is that we can assess the ongoing operating effectiveness of a particular property and utilize that information to make informed decisions regarding credit risk. In addition, the financial reporting we receive from out tenants provides us with an expansive data set from which to underwrite new investments for properties in similar industries or operating platforms.

2023 Financial and Operating Highlights

•During 2023, we completed $1.0 billion of investments in 293 properties, including $13.1 million in newly originated mortgage loans receivable secured by 2 properties.

•As of December 31, 2023, our total gross investment in real estate was $4.9 billion and we had total debt of $1.7 billion.

•During 2023, our Board of Directors ("Board") declared quarterly distributions for the year ended December 31, 2023 that totaled $1.12 per share of common stock.

•In February 2023, we completed, on a forward basis, a primary underwritten public follow-on offering of 8,855,000 shares of our common stock, including 1,155,000 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at a public offering price of $24.60 per share. Net proceeds, after settlement of the related forward sale agreements, were $209.3 million.

•In September 2023, we completed, on a forward basis, a primary underwritten public follow-on offering of 12,006,000 shares of our common stock, including 1,566,000 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at a public offering price of $23.00 per share. Net proceeds, after settlement of the related forward sale agreements, are expected to be $263.4 million.

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•During 2023, we sold 5,931,654 shares of our common stock under the ATM Program (as defined herein) at a weighted average price per share of $24.48 for gross proceeds of $145.2 million, including 1,937,450 shares sold on a forward basis that have not been physically settled for cash as of December 31, 2023.

• As of December 31, 2023, our liquidity totaled $779.6 million, which includes $49.0 million of cash and cash equivalents and restricted cash, $130.6 million available upon settlement of our outstanding forward equity contracts and $600.0 million of availability under our revolving credit facility.

Our Target Market

We are an active investor in single-tenant, net leased commercial real estate. The properties we target for investment are generally freestanding commercial real estate facilities in which a single middle-market tenant conducts activities that are essential to the generation of its sales and profits. We believe that this market is underserved, from a capital perspective, and therefore offers attractive risk-adjusted investment returns.

Within this market, we focus our investment activities on properties leased to tenants engaged in a targeted set of 13 service-oriented or experience-based businesses. We believe that operating properties in these 13 industries are the essential venues through which these businesses transact with their customers, and therefore that such properties and businesses are generally more insulated from the competitive pressure of e-commerce than many other businesses where significant activity can take place online.

We define middle-market companies as regional and national operators with between 10 and 250 locations and $20 million to $1 billion in annual revenue, and we also opportunistically invest in properties leased to smaller companies, which we define as regional or local operators with fewer than 10 locations and less than $20 million in annual revenue. Although it is not our primary investment focus, we will opportunistically consider investing in properties leased to larger companies. While the creditworthiness of most of our targeted tenants is not rated by a nationally recognized statistical rating organization, we seek to invest in properties leased to companies in our targeted middle-market that we determine have attractive credit characteristics and stable operating histories.

Despite the size of the overall commercial retail real estate market, the market for single-tenant, net leased commercial real estate is highly fragmented. In particular, we believe that there is a limited number of participants addressing the long-term capital needs of unrated middle-market and smaller companies. We believe that many publicly traded REITs that invest in net leased properties concentrate their investment activity in properties leased to tenants whose creditworthiness has been rated by a nationally recognized statistical rating organization, which tend to be larger and often publicly traded organizations, with the result that unrated, middle-market and smaller companies are relatively underserved and offer us an opportunity to make investments with attractive risk-adjusted return potential.

Furthermore, we believe that there is strong demand for our net-lease capital solutions among middle-market and smaller companies that own commercial real estate, in part, due to the bank regulatory environment, which, since the turmoil in the housing and mortgage industries from 2007-2009, has generally been characterized by increased scrutiny and regulation. We believe that this environment has made commercial banks less responsive to the long-term capital needs of unrated middle-market and smaller companies, many of which have historically depended on commercial banks for their financing. Accordingly, we see an attractive opportunity to address capital needs of these companies by offering them an efficient alternative for financing their real estate versus accessing traditional mortgage or bank debt and/or using their own equity.

As a result, while we believe our net-lease financing solutions may be attractive to a wide variety of companies, we believe our most attractive opportunity is owning properties net leased to middle-market and smaller companies that are generally unrated and have less access to efficient sources of long-term capital than larger, credit-rated companies.

Our Competitive Strengths

We believe the following competitive strengths distinguish us from our competitors and allow us to compete effectively in the single-tenant, net-lease market:

•Carefully Constructed Portfolio of Properties Leased to Service-Oriented or Experience-Based Tenants.   We have strategically constructed a portfolio that is diversified by tenant, industry, concept and

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geography and generally avoids exposure to businesses that we believe are subject to pressure from e-commerce. Our properties are generally subject to long-term net leases that we believe provide us with a stable and predictable base of revenue from which to grow our portfolio. As of December 31, 2023, our portfolio consisted of 1,873 properties, with total annualized base rent of $364.8 million, which was purposefully selected by our management team in accordance with our focused and disciplined investment strategy. Our diversified portfolio is comprised of 374 tenants operating 588 different concepts across 48 states and in 16 distinct industries. No single tenant contributed more than 3.8% of our annualized base rent as of December 31, 2023, consistent with our strategy of having a scaled portfolio that, over time, allows us to derive no more than 5.0% of our annualized base rent from any single-tenant or more than 1.0% from any single property.

We believe that our portfolio's diversity and the rigorous underwriting process we utilize decreases the impact on us of an adverse event affecting an individual tenant, industry or region. Our focus on leasing to tenants in industries where the operator's properties are essential to generating their revenues and profits (and that we believe are well-positioned to withstand competition from e-commerce businesses) increases the stability and predictability of our rental revenue.

•Differentiated Investment Strategy.    We seek to acquire and lease freestanding, single-tenant commercial real estate properties where a tenant engages with or services its customers and conducts activities at the property that are essential to the generation of its sales and profits. We primarily seek to invest in properties leased to middle-market companies that we determine have attractive credit characteristics and stable operating histories. We believe middle-market companies are underserved from a capital perspective and that we can offer them attractive real estate financing solutions while allowing us to enter into leases that provide us with stable cash flows and attractive risk-adjusted returns. Furthermore, the properties we invest in with middle-market companies typically are smaller assets, in terms of square footage. As a result, our average size investment of $2.7 million as of December 31, 2023 provides a level of diversity in our portfolio, in that we do not have oversized amounts of capital attributable to any individual property. Our differentiated strategy benefits from us maintaining a close relationship with our existing tenants, allowing us to source additional investments from these tenants and establishing a position as a preferred capital provider, helping our tenants grow their businesses and address their real estate needs.

•Disciplined Underwriting Leading to Strong Portfolio Characteristics.    We generally seek to invest in single assets or portfolios of assets through transactions which range in aggregate purchase price from $2 million to $100 million. Our focus on investing in properties operated by middle market and smaller operators provides us with what we believe is a large addressable market of investment opportunities, one in which our tenants are largely undeserved from a capital perspective. In addition, because we invest in smaller sized, more granular properties, our assets are more fungible in that the properties typically are more commercially desirable given their smaller footprint, and as such there are more potential tenants that could operate in the property were we to need to re-tenant for any reason. As of December 31, 2023:

•Our leases had a weighted average remaining lease term (based on annualized base rent) of 14.0 years, with only 4.7% of our annualized base rent attributable to leases expiring prior to January 1, 2029;

•Master leases contributed 65.7% of our annualized base rent;

•Our portfolio's weighted average rent coverage ratio was 3.8x, with leases contributing 73.2% of our annualized base rent having rent coverage ratios in excess of 2.0x (excluding leases that do not report unit-level financial information);

•Our portfolio was 99.8% occupied;

•Leases contributing 98.7% of our annualized base rent provide for increases in future annual base rent that generally range from 1.0% to 4.0% annually, with a weighted average annual escalation equal to 1.7% of base rent; and

•Leases contributing 95.9% of annualized base rent were triple-net.

•Growth-Oriented Balance Sheet Scalable Infrastructure.  We believe our financial position, liquidity and existing operating infrastructure are supportive of our external growth strategy. As of December 31, 2023, our

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total liquidity was $779.6 million, including $49.0 million of cash and cash equivalents and restricted cash, $130.6 million available upon settlement of our outstanding forward equity contracts, and $600.0 million of availability under our senior unsecured revolving credit facility that matures in February 2026.

As of December 31, 2023, we had $1.7 billion of gross debt outstanding, with a weighted average maturity of 4.9 years, and net debt of $1.6 billion. For the year ended December 31, 2023, our net income was $191.4 million, our EBITDAre was $324.2 million and our Annualized Adjusted EBITDAre was $374.6 million. Our ratio of net debt to Annualized Adjusted EBITDAre was 4.4x as of December 31, 2023. Net debt, EBITDAre and Annualized Adjusted EBITDAre are non-GAAP financial measures. For definitions of net debt, EBITDAre and Annualized Adjusted EBITDAre, reconciliations of these measures to total debt and net income, respectively, the most directly comparable financial measures calculated in accordance with accounting principles generally accepted in the United States ("GAAP"), and a statement of why our management believes the presentation of these non-GAAP financial measures provide useful information to investors and a discussion of how management uses these measures, see "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations'—Non-GAAP Financial Measures."

We also maintain an ATM Program and, as of December 31, 2023, we had the ability to sell additional common stock thereunder with an aggregate gross sales price of up to $279.4 million. We have $130.6 million of unsettled forward equity as of December 31, 2023, including $83.7 million sold through our equity offering completed in September 2023 and $46.9 million sold on a forward basis under our ATM program in the fourth quarter of 2023 and early 2024.

•Experienced and Proven Management Team.  Our senior management has significant experience in the net lease industry and a track record of growing net lease businesses to significant scale.

Our senior management team has been responsible for our focused and disciplined investment strategy and for developing and implementing our investment sourcing, underwriting, closing and asset management infrastructure, which we believe can support significant investment growth without a proportionate increase in our operating expenses. During the year ended December 31, 2023, 98.8% of our new investments in real estate were attributable to internally originated sale-leaseback transactions and 85.1% of our new investments were consummated with parties who had previously engaged in one or more transactions that involved a member of our senior management team (including operators and tenants and other participants in the net lease industry, such as brokers, intermediaries and financing sources). The substantial experience, knowledge and relationships of our senior leadership team provide us with an extensive network of contacts that we believe allows us to originate attractive investment opportunities and effectively grow our business.

•Scalable Platform Allows for Significant Growth.    Building on our senior leadership team's experience in net lease real estate investing, we have developed leading origination, underwriting, financing, and property management capabilities. We believe our platform is scalable, and we consistently seek to leverage our capabilities to improve our efficiency and processes to continue to seek attractive risk-adjusted growth. While we expect that our general and administrative expenses could increase as our portfolio grows, we expect that such expenses as a percentage of our portfolio and our revenues will decrease over time due to efficiencies and economies of scale. During the years ended December 31, 2023, 2022 and 2021, we invested in properties with aggregate investment values of $1.0 billion, $937.4 million and $974.0 million, respectively.

•Extensive Tenant Financial Reporting Supports Active Asset Management.    We seek to enter into leases that obligate our tenants to periodically provide us with corporate and/or unit-level financial reporting, which we believe enhances our ability to actively monitor our investments, actively evaluate credit risk, negotiate lease renewals and proactively manage our portfolio to protect stockholder value. As of December 31, 2023, leases contributing 98.8% of our annualized base rent required tenants to provide us with specified unit-level financial information.

Our Business and Growth Strategies

Our primary business objective is to maximize stockholder value by generating attractive risk-adjusted returns through owning, managing and growing a diversified portfolio of commercially desirable net lease properties. We intend to pursue our objective through the following business and growth strategies.

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•Structure and Manage Our Diverse Portfolio with Focused and Disciplined Underwriting and Risk Management.    We seek to maintain the stability of our rental revenue and maximize the long-term return on our investments while continuing our growth by using our focused and disciplined underwriting and risk management expertise. When underwriting assets, we focus on commercially desirable properties, with strong operating performance, healthy rent coverage ratios and tenants with what we believe are attractive credit characteristics.

Leasing.    In general, we seek to enter into leases with (i) relatively long contractual terms (typically with initial terms of 15 years or more and tenant renewal options); (ii) attractive rent escalation provisions; (iii) healthy rent coverage ratios; and (iv) tenant obligations to periodically provide us with financial information, which provides us with information about the operating performance of the leased property and/or tenant and allows us to actively monitor the security of our rent payments under the lease on an ongoing basis. We prefer to use master lease structures, pursuant to which we lease multiple properties to a single-tenant on a unitary (i.e., "all or none") basis. In addition, in the context of our sale-leaseback investments, we generally seek to establish contract rents that are at or below prevailing market rents, which we believe enhances tenant retention and reduces our releasing risk if a lease is rejected in a bankruptcy proceeding or expires.

Diversification.    We monitor and manage the diversification of our portfolio in order to reduce the risks associated with adverse developments affecting a particular tenant, property, industry or region. Our strategy targets a portfolio that, over time, will (i) derive no more than 5% of its annualized base from any single-tenant or more than 1% of its annualized base rent from any single property, (ii) be primarily leased to tenants operating in service-oriented or experience-based businesses and (iii) avoid significant geographic concentration. While we consider these criteria when making investments, we may be opportunistic in managing our business and make investments that do not meet one or more of these criteria if we believe the opportunity presents an attractive risk-adjusted return.

Asset Management.    We are an active asset manager and regularly review each of our properties to evaluate, various factors, including, but not limited to, changes in the business performance at the property, credit of the tenant and local real estate market conditions. Among other things, we use Moody's Analytics RiskCalc ("RiskCalc") to proactively detect credit deterioration. RiskCalc is a model for predicting private company defaults based on Moody's Analytics Credit Research Database. Additionally, we monitor market rents relative to in-place rents and the amount of tenant capital expenditures in order to refine our tenant retention and alternative use assumptions. Our management team utilizes our internal credit diligence to monitor the credit profile of each of our tenants on an ongoing basis. We believe that this proactive approach enables us to identify and address issues in a timely manner and to determine whether there are properties in our portfolio that are appropriate for disposition.

In addition, as part of our active portfolio management, we may selectively dispose of assets that we conclude do not offer a return commensurate with the investment risk, contribute to unwanted geographic, industry or tenant concentrations, or may be sold at a price we determine is attractive. During the year ended December 31, 2023, we sold 52 properties for net sales proceeds of $138.0 million, including three properties that were vacant. We believe that our underwriting processes and active asset management enhance the stability of our rental revenue by reducing default losses and increasing the likelihood of lease renewals.

•Focus on Relationship-Based Sourcing to Grow Our Portfolio by Originating Sale-Leaseback Transactions.    We plan to continue our disciplined growth by originating sale-leaseback transactions and opportunistically making acquisitions of properties subject to net leases that contribute to our portfolio’s tenant, industry and geographic diversification. During the year ended December 31, 2023, 98.8% of our new investments in real estate were attributable to internally originated sale-leaseback transactions and 85.1% of our new investments were consummated with parties who had previously engaged in one or more transactions that involved a member of our senior management team (including operators and tenants and other participants in the net lease industry, such as brokers, intermediaries and financing sources). In addition, we seek to enhance our relationships with our tenants to facilitate investment opportunities, including selectively agreeing to reimburse certain of our tenants for development costs at our properties in exchange for contractually specified rent that generally increases proportionally with our funding. We believe our senior management team’s reputation, in-depth market knowledge and extensive network of long-standing relationships in the net lease industry provide us access to an ongoing pipeline of attractive investment opportunities.

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•Focus on Middle-Market Companies in Service-Oriented or Experience-Based Businesses.    We primarily focus on investing in properties that we lease on a long-term, triple-net basis to middle-market companies that we determine have attractive credit characteristics and stable operating histories. Properties leased to middle-market companies may offer us the opportunity to achieve superior risk-adjusted returns, as a result of our extensive and disciplined credit and real estate analysis, lease structuring and portfolio composition. We believe our capital solutions are attractive to middle-market companies as such companies often have limited financing options, as compared to larger, credit rated organizations. We also believe that, in many cases, smaller transactions with middle-market companies will allow us to maintain and grow our portfolio's diversification. Middle-market companies are often willing to enter into leases with structures and terms that we consider attractive (such as master leases and leases that require ongoing tenant financial reporting) and believe contribute to the stability of our rental revenue.

In addition, we emphasize investment in properties leased to tenants engaged in service-oriented or experience-based businesses, such as restaurants (primarily quick service and casual dining), car washes, early childhood education, medical and dental services, convenience stores, automotive services, equipment rental, entertainment and health and fitness, as we believe these businesses are generally more insulated from e-commerce pressure than many others.

•Internal Growth Through Long-Term Triple-Net Leases That Provide for Periodic Rent Escalations.    We seek to enter into long-term (typically with initial terms of 15 years or more and tenant renewal options), triple-net leases that provide for periodic contractual rent escalations. As of December 31, 2023, our leases had a weighted average remaining lease term of 14.0 years (based on annualized base rent), with only 4.7% of our annualized base rent attributable to leases expiring prior to January 1, 2029, and 98.7% of our leases (based on annualized base rent) provided for increases in future base rent at a weighted average of 1.7% per year.

•Actively Manage Our Balance Sheet to Maximize Capital Efficiency.    We seek to maintain a prudent balance between debt and equity financing and to maintain funding sources that lock in long-term investment spreads and limit interest rate sensitivity. As of December 31, 2023, we had $1.7 billion of gross debt outstanding and $1.6 billion of net debt outstanding. Our net income for the year ended December 31, 2023 was $191.4 million, our EBITDAre was $324.2 million, our Annualized Adjusted EBITDAre was $374.6 million and our ratio of net debt to Annualized Adjusted EBITDAre was 4.4x. Over time, we believe an appropriate ceiling for net debt is generally less than six times our Annualized Adjusted EBITDAre. We have access to multiple sources of debt capital, including, but not limited to, the investment grade-rated unsecured bond market and bank debt, through our revolving credit facility and our unsecured term loan facilities. Net debt, EBITDAre and Annualized Adjusted EBITDAre are non-GAAP financial measures. See "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations—Non-GAAP Financial Measures."

Competition

We face competition for acquisitions of real property from other investors, including traded and non-traded public REITs, private equity investors and institutional investment funds. Some of our competitors have greater economies of scale, lower costs of capital, access to more sources of capital, a larger base of operating resources and greater name recognition than we do, and the ability to accept more risk. We also believe that competition for real estate financing comes from middle-market business owners themselves, many of whom have had a historic preference to own, rather than lease, the real estate they use in their businesses. This competition may increase the demand for the types of properties in which we typically invest and, therefore, may reduce the number of suitable investment opportunities available to us and increase the prices paid for such investment properties. This competition will increase if investments in real estate become more attractive relative to other forms of investment.

As a landlord, we compete in the multi-billion dollar commercial real estate market with numerous developers and owners of properties, many of which own properties similar to ours in the same markets in which our properties are located. If our competitors offer space at rental rates below current market rates or below the rental rates we currently charge our tenants, we may lose our tenants or prospective tenants, and we may be pressured to reduce our rental rates or to offer substantial rent abatements, tenant improvement allowances, early termination rights or below-market renewal options in order to retain tenants when our leases expire.

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Employees

As of December 31, 2023, we had 40 full-time employees. Our staff is mostly comprised of professionals engaged in originating, underwriting and closing investments; portfolio asset management; portfolio servicing (e.g., collections, property tax compliance, etc.); capital markets activity; sustainability initiatives; and accounting, financial reporting and cash management. Women comprise 40% of our employee base and hold approximately 50% of our management positions, providing significant leadership at our company, and minorities comprise approximately 25% of our employee base and 14% of our management team. Our commitment to diversity also extends to our Board, as three of its seven members, or approximately 43%, are women. Additionally, we have a consistent and strong record of hiring veterans of the U.S. military, including our chief executive officer and our senior vice president of investments.

We seek to provide a dynamic work environment that promotes the retention and development of our employees, and is a differentiating factor in our ability to attract new talent. We strive to offer our employees attractive and equitable compensation, regular opportunities to participate in professional development activities, outlets for civic engagement and reasonable flexibility to allow a healthy work/life balance. All of our employees are eligible to participate in our Equity Incentive Plan through the annual performance review process.

We value equal opportunity in the workplace and fair employment practices. We have built an inclusive culture that encourages, supports and celebrates our diverse employee population. We endeavor to maintain a workplace that is free from discrimination or harassment on the basis of color, race, sex, national origin, ethnicity, religion, age, disability, sexual orientation, gender identification or expression, or any other status protected by applicable law. We have implemented a Human Rights Policy consistent with these values. We conduct annual training in an effort to ensure that all employees remain aware of and help prevent harassment and discrimination.

Our compensation program is designed to attract and retain talent, and align our employee’s efforts with the interests of all of our stakeholders. Factors we evaluate in connection with hiring, developing, training, compensating and advancing individuals include, but are not limited to, qualification, performance, skill and experience. Our employees are fairly compensated based on merit, without regard to color, race, sex, national origin, ethnicity, religion, age, disability, sexual orientation, gender identification or expression, or any other status protected by applicable law.

Environmental, Social and Governance (ESG)

We believe that responsible and effective corporate governance, a positive corporate culture, good corporate citizenship, and the promotion of sustainability initiatives are critical to our ability to create long-term stockholder value. EPRT is committed to conducting its business in accordance with the highest ethical standards. We take our responsibilities to all of our stakeholders, including our stockholders, creditors, employees, tenants, and business relationships, very seriously. We are dedicated to being trusted stewards of capital and also providing our employees with a rewarding and dynamic work environment.

Overall, our commitment to ESG and our strategy for pursuing the goals we’ve established to demonstrate that commitment include the following:

•Accountability and Transparency. Our Board and our management team are committed to strong corporate governance. As stewards of capital, we are committed to accountability and transparency regarding our ESG efforts;

•Reducing our Carbon Footprint. Implement sustainability upgrades at our corporate offices and our income properties to reduce our carbon footprint;

•Expanding our Relationships with our Tenants through Sustainability. Implement sustainability upgrades at our properties to positively impact our tenants' operations and prospects for success; and

•Our People are EPRT. Our diversity is our strength, creating an inclusive work environment is our culture, and all of our employees are owners, thus aligned with our fellow stockholders.

Our ESG goals include the following:

•Oversight. Maintain strong oversight and visibility over our ESG strategy and initiatives led by our independent and experienced Board, and specifically our Nominating and Corporate Governance Committee;

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•Reporting. Publish our Corporate Responsibility Report during the first quarter of 2024, aligned with the Sustainability Accounting Standards Board and The Financial Stability Board Task Force on Climate-related Financial Disclosure indices;

•Measurement. Establish the carbon footprint of our portfolio, specifically our Scope 3 emissions, as we have immaterial Scope 1 and 2 emissions;

•Structure. Continue to enhance our robust cybersecurity program including using third-party experts to facilitate our system penetration testing;

•Engagement. Perform a survey of our tenants in 2024 to increase our understanding of their sustainability initiatives, expand our tenant engagement and understand how we can continue to contribute to our tenants' operational effectiveness;

•Implementation. Continue to implement energy efficiency upgrades throughout our income property portfolio;

•Equity. Continue to invest in our employees through our various benefit programs and incentive structures that maintain our alignment with our stockholders at an employee level;

•Diversity. Continue to ensure that diversity is at the forefront of our hiring practices and maintained as a key input to our operations; and

•Inclusion. Maintain our annual employee survey process to ensure consistent engagement with our team and promote our understanding of our work environment and opportunities for improvement.

Insurance

Our tenants are generally contractually required to maintain liability and property insurance coverage for the properties they lease from us pursuant to triple-net leases. Our leases generally require our tenants to name us (and any of our lenders that have a mortgage on the property leased by the tenant) as additional insureds on their liability policies and additional named insured and/or loss payee (or mortgagee, in the case of our lenders) on their property policies. Depending on the location of the property, other losses of a catastrophic nature, such as those caused by earthquakes and floods, may be covered by insurance policies that are held by our tenant with limitations such as large deductibles or co-payments that a tenant may not be able to meet. In addition, other losses of a catastrophic nature, such as those caused by wind/hail, hurricanes, terrorism or acts of war, may be uninsurable or not economically insurable. If there is damage to our properties that is not covered by insurance and such properties are subject to recourse indebtedness, we will continue to be liable for the indebtedness, even if these properties are irreparably damaged. See "Item 1A. Risk Factors—Risks Related to Our Business and Properties—Insurance on our properties may not adequately cover all losses and uninsured losses could materially and adversely affect us."

In addition to being a named insured on our tenants' liability and property insurance policies, we separately maintain commercial insurance policies providing general liability and umbrella coverages associated with our portfolio. We also maintain full property coverage on all untenanted properties and other property coverage as may be required by our lenders, which are not required to be carried by our tenants under our leases.

Regulation and Requirements

Our properties are subject to various laws, ordinances and regulations, including those relating to fire and safety requirements, and affirmative and negative covenants and, in some instances, common area obligations. Compliance with applicable requirements may require modifications to our properties, and the failure to comply with applicable requirements could result in the imposition of fines or an award of damages to private litigants, as well as the incurrence of the costs of making modifications to attain compliance. Our tenants have primary responsibility for compliance with these requirements pursuant to our leases. We believe that each of our properties has the necessary permits and approvals.

Environmental Matters

Federal, state and local environmental laws and regulations regulate, and impose liability for, releases of hazardous or toxic substances, hazardous waste or petroleum products into the environment. Under various of these laws and regulations, a current or previous owner, operator or tenant of real estate may be required to

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investigate and clean up hazardous or toxic substances, hazardous wastes or petroleum product releases or threats of releases at the property, and may be held liable to a government entity or to third parties for property damage and for investigation, clean-up and monitoring costs incurred by those parties in connection with the actual or threatened contamination. These laws may impose clean-up responsibility and liability without regard to fault, or whether or not the owner, operator or tenant knew of or caused the presence of the contamination. The liability under these laws may be joint and several for the full amount of the investigation, clean-up and monitoring costs incurred or to be incurred or actions to be undertaken, although a party held jointly and severally liable may seek to obtain contributions from other identified, solvent, responsible parties of their fair share toward these costs. These costs may be substantial, and can exceed the value of the property. In addition, some environmental laws may create a lien on the contaminated site in favor of the government for damages and costs it incurs in connection with the contamination. As the owner or operator of real estate, we also may be liable under common law to third parties for damages and injuries resulting from environmental contamination present at, or emanating from, the real estate. The presence of contamination, or the failure to properly remediate contamination, on a property may adversely affect the ability of the owner, operator or tenant to sell or rent that property or to borrow using the property as collateral, and may adversely impact our investment in that property.

Some of our properties contain, have contained, or are adjacent to or near other properties that have contained or currently contain storage tanks for the storage of petroleum products or other hazardous or toxic substances. Similarly, some of our properties were used in the past for commercial or industrial purposes, or are currently used for commercial purposes, that involve or involved the use of petroleum products or other hazardous or toxic substances, the generation and storage of hazardous waste, or that are adjacent to or near properties that have been or are used for similar commercial or industrial purposes. These operations create a potential for the release of petroleum products, hazardous waste or other hazardous or toxic substances, and we could potentially be required to pay to clean up any contamination. In addition, environmental laws regulate a variety of activities that can occur on a property, including the storage of petroleum products, hazardous waste, or other hazardous or toxic substances, air emissions, water discharges, hazardous waste generation, and exposure to lead-based paint. Such laws may impose fines or penalties for violations, and may require permits or other governmental approvals to be obtained for the operation of a business involving such activities. In addition, as an owner or operator of real estate, we can be liable under common law to third parties for damages and injuries resulting from the presence or release of petroleum products, hazardous waste, or other hazardous or toxic substances present at, or emanating from, the real estate. As a result of the foregoing, we could be materially and adversely affected.

Environmental laws also govern the presence, maintenance and removal of asbestos-containing material ("ACM"). Federal regulations require building owners and those exercising control over a building's management to identify and warn, through signs and labels, of potential hazards posed by workplace exposure to installed ACM in their building. The regulations also have employee training, record keeping and due diligence requirements pertaining to ACM. Significant fines can be assessed for violation of these regulations. As a result of these regulations, building owners and those exercising control over a building's management may be subject to an increased risk of personal injury lawsuits under common law by workers and others exposed to ACM. The regulations may affect the value of a building containing ACM in which we have invested. Federal, state and local laws and regulations also govern the removal, encapsulation, disturbance, handling and/or disposal of ACM when those materials are in poor condition or in the event of construction, remodeling, renovation or demolition of a building. These laws may impose liability for improper handling or a release into the environment of ACM and may provide for fines to, and for third parties to seek recovery from, owners or operators of real properties for personal injury or improper work exposure associated with ACM.

When excessive moisture accumulates in buildings or on building materials, mold growth may occur, particularly if the moisture problem remains undiscovered or is not addressed over a period of time. Some molds may produce airborne toxins or irritants. Indoor air quality issues can also stem from inadequate ventilation, chemical contamination from indoor or outdoor sources, and other biological contaminants such as pollen, viruses and bacteria. Indoor exposure to airborne toxins or irritants above certain levels can be alleged to cause a variety of adverse health effects and symptoms, including allergic or other reactions. As a result, the presence of significant mold or other airborne contaminants at any of our properties could require us to undertake a costly remediation program to contain or remove the mold or other airborne contaminants from the affected property or increase indoor ventilation. In addition, the presence of significant mold or other airborne contaminants could expose us to liability from our tenants, employees of our tenants or others if property damage or personal injury occurs.

Before completing any property acquisition, we obtain environmental assessments in order to identify potential environmental concerns at the property. These assessments are carried out in accordance with the

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Standard Practice for Environmental Site Assessments (ASTM Practice E 1527-13) as set by ASTM International, formerly known as the American Society for Testing and Materials, and generally include a physical site inspection, a review of relevant federal, state and local environmental and health agency database records, one or more interviews with appropriate site-related personnel, review of the property's chain of title and review of historical aerial photographs and other information on past uses of the property. These assessments are limited in scope. If, however, recommended in the initial assessments, we may undertake additional assessments such as soil and/or groundwater samplings or other limited subsurface investigations and ACM or mold surveys to test for substances of concern. A prior owner or operator of a property or historic operations at our properties may have created a material environmental condition that is not known to us or the independent consultants preparing the site assessments. Material environmental conditions may have arisen after the review was completed or may arise in the future, and future laws, ordinances or regulations may impose material additional environmental liability. If environmental concerns are not satisfactorily resolved in any initial or additional assessments, we may obtain environmental insurance policies to insure against potential environmental risk or loss depending on the type of property, the availability and cost of the insurance and various other factors we deem relevant (i.e., an environmental occurrence affects one of our properties where our lessee may not have the financial capability to honor its indemnification obligations to us). Our ultimate liability for environmental conditions may exceed the policy limits on any environmental insurance policies we obtain, if any.

Generally, our leases require the lessee to comply with environmental law and provide that the lessee will indemnify us for any loss or expense we incur as a result of lessee's violation of environmental law or the presence, use or release of hazardous materials on our property attributable to the lessee. If our lessees do not comply with environmental law, or we are unable to enforce the indemnification obligations of our lessees, our results of operations would be adversely affected.

We cannot predict what other environmental legislation or regulations will be enacted in the future, how existing or future laws or regulations will be administered or interpreted or what environmental conditions may be found to exist on the properties in the future. Compliance with existing and new laws and regulations may require us or our tenants to spend funds to remedy environmental problems. If we or our tenants were to become subject to significant environmental liabilities, we could be materially and adversely affected.

Available Information

Our headquarters are located at 902 Carnegie Center Blvd., Suite 520, Princeton, New Jersey, 08540, where we lease approximately 13,453 square feet of office space from an unaffiliated third party. Our telephone number is (609) 436-0619 and our website is www.essentialproperties.com. Information contained on or hyperlinked from our website is not incorporated by reference into and should not be considered part of this Annual Report or our other filings with the the SEC.

We electronically file with the Securities and Exchange Commission (“SEC”) our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, pursuant to Section 13(a) of the Exchange Act. You may obtain these reports and any amendments thereto free of charge on our website as soon as reasonably practicable after we file such material with, or furnish it to, the SEC, or by sending an email message to info@essentialproperties.com.

Item 1A. Risk Factors.

There are many factors that may adversely affect us, some of which are beyond our control. The occurrence of any of the following risks could materially and adversely impact our financial condition, results of operations, cash flows and liquidity, prospects, the market price of our common stock, and our ability to, among other things, service our debt and to make distributions to our stockholders. Some statements in this report including statements in the following risk factors constitute forward-looking statements. See "Special Note Regarding Forward-Looking Statements."

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Risks Related to Our Business and Properties

We are subject to risks related to the ownership of commercial real estate that could adversely impact the value of our properties.

Factors beyond our control can affect the performance and value of our properties. Our performance is subject to risks incident to the ownership of commercial real estate, including: the possible inability to collect rents from tenants due to financial hardship, including tenant bankruptcies; changes in local real estate conditions and tenant demand for our properties; changes in consumer trends and preferences that reduce the demand for products and services offered by our tenants; adverse changes in national, regional and local economic conditions; inability to re-lease or sell our properties upon expiration or termination of leases; environmental risks; the subjectivity and volatility of real estate valuations and the relative illiquidity of real estate investments compared to many other financial assets, which may limit our ability to modify our portfolio promptly in response to changes in economic or other conditions; changes in laws and governmental regulations, including those governing real estate usage and zoning; changes in interest rates and the availability of financing; acts of God, including natural disasters, which may result in uninsured losses; and acts of war or terrorism, including terrorist attacks.

Adverse changes in the U.S., global and local markets and related economic and supply chain conditions may materially and adversely affect us and the ability of our tenants to make rental payments to us.

Our results of operations, as well as the results of operations of our tenants, are sensitive to changes in U.S., global and local regions or markets that impact our tenants’ businesses. Adverse changes or developments in U.S., global or regional economic or supply chain conditions may impact our tenants’ financial condition, which may adversely impact their ability to make rental payments to us and may also impact their current or future leasing practices. During periods of supply chain disruption or economic slowdown and declining demand for real estate, we may experience a general decline in rents or increased rates of default under our leases. A lack of demand for rental space could adversely affect our ability to maintain our current tenants and attract new tenants, which may affect our growth, profitability and ability to pay dividends.

Our business is dependent upon our tenants successfully operating their businesses, and their failure to do so could materially and adversely affect us.

The success of our investments is materially dependent on the financial stability and operating performance of our tenants. The success of any one of our tenants is dependent on the location of the leased property, its individual business and its industry, which could be adversely affected by poor management, economic conditions in general, changes in consumer trends and preferences that decrease demand for a tenant's products or services or other factors over which neither they nor we have control.

At any given time, any tenant may experience a downturn in its business, including as a result of adverse economic conditions, that may weaken its operating results or the overall financial condition of individual properties or its business as whole. As a result, a tenant may delay lease commencement, fail to make rental payments when due, decline to extend a lease upon its expiration, become insolvent or declare bankruptcy. We depend on our tenants to operate the properties leased from us in a manner which generates revenues sufficient to allow them to meet their obligations to us, including their obligations to pay rent, maintain certain insurance coverage, pay real estate taxes and maintain the properties in a manner so as not to jeopardize their operating licenses or regulatory status. The ability of our tenants to fulfill their obligations under our leases generally depends, to a significant degree, upon the overall profitability of their operations. Cash flow generated by certain tenant businesses may not be sufficient for a tenant to meet its obligations to us. We could be materially and adversely affected if a number of our tenants are unable to meet their obligations to us.

Our assessment that certain businesses are more insulated from e-commerce pressure than many others may prove to be incorrect, and changes in macroeconomic trends may adversely affect our tenants, either of which could impair our tenants' ability to make rental payments to us and materially and adversely affect us.

We primarily invest in properties leased to tenants in industries where a physical location is critical to the generation of sales and profits. Such tenants are particularly focused in service-oriented and experienced-based businesses, such as car washes, early childhood education centers, medical/dental offices, quick service restaurants, automotive service facilities, equipment rental locations and convenience stores. We believe these businesses have characteristics that make them e-commerce resistant and resilient through economic cycles.While

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we believe this to be the case, businesses previously thought to be internet resistant, such as the retail grocery industry, have proven to be susceptible to competition from e-commerce. Technology and business conditions, particularly in the retail industry, are rapidly changing, and our tenants may be adversely affected by technological innovation, changing consumer preferences and competition from non-traditional sources. To the extent our tenants face increased competition from non-traditional competitors, such as internet vendors, some of which may have different business models and larger profit margins, their businesses could suffer. There can be no assurance that our tenants will be successful in meeting any new competition, and a deterioration in our tenants’ businesses could impair their ability to meet their lease obligations to us and materially and adversely affect us.

Properties occupied by a single-tenant pursuant to a single-tenant lease subject us to significant risk of tenant default.

Our strategy focuses primarily on investing in single-tenant triple-net leased properties throughout the United States. The financial failure of, or default in payment by, a single-tenant under its lease is likely to cause a significant or complete reduction in our rental revenue from that property and a reduction in the value of the property. We may also experience difficulty or a significant delay in re-leasing or selling such property. This risk is magnified in situations where we lease multiple properties to a single-tenant under a master lease. The default of a tenant that leases multiple properties from us or its decision not to renew its master lease upon expiration could materially and adversely affect us.

Periodically, we have experienced, and we may experience in the future, a decline in the fair value of our real estate assets, resulting in impairment charges that impact our financial condition and results of operations.

A decline in the fair market value of our long-lived assets may require us to recognize an impairment against such assets (as defined by the Financial Accounting Standards Board (“FASB”)) if certain conditions or circumstances related to an asset were to change and we were to determine that, with respect to any such asset, the cash flows no longer support the carrying value of the asset. The fair value of our long-lived assets depends on market conditions, including estimates of future demand for these assets, and the revenues that can be generated from such assets. When such a determination is made, we recognize the estimated unrealized losses through earnings and write down the depreciated cost of such assets to a new cost basis, based on the fair value of such assets on the date they are considered to be impaired. Such impairment charges reflect non-cash losses at the time of recognition, and subsequent dispositions or sales of such assets could further affect our future losses or gains, as they are based on the difference between the sales price received and the adjusted depreciated cost of such assets at the time of sale.

Geographic, industry and tenant concentrations reduce the diversity of our portfolio and make us more susceptible to adverse economic or regulatory developments in those areas or industries.

Geographic, industry and tenant concentrations expose us to greater economic or regulatory risks than if we owned a more diverse portfolio. Our business includes substantial holdings in the following states as of December 31, 2023 (based on annualized base rent): Texas (13.1%), Georgia (8.0%), Ohio (6.0%), Florida (5.9%) and Wisconsin (5.2%). We are susceptible to adverse developments in the economic or regulatory environments of the geographic areas in which we own substantial assets (or in which we may develop a substantial concentration of assets in the future), such as epidemics, pandemics or public health crises and measures intended to mitigate their spread, business layoffs or downsizing, industry slowdowns, relocations of businesses, increases in real estate and other taxes or costs of complying with governmental regulations.

As of December 31, 2023, our five largest tenants contributed 11.2% of our annualized base rent, and our ten largest tenants contributed 18.1% of our annualized base rent. If one of these tenants, or another tenant that occupies a significant portion of our properties or whose lease payments represent a significant portion of our rental revenue, were to experience financial weakness or file for bankruptcy, it could have a material adverse effect on our business, financial condition, results of operations, cash flows and liquidity, and prospects.

As we continue to acquire properties, our portfolio may become more concentrated by geographic area, industry or tenant. If our portfolio becomes less diverse, our business will be more sensitive to a general economic downturn in a particular geographic area, to changes in trends affecting a particular industry and to the financial weakness, bankruptcy or insolvency of fewer tenants.

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The vast majority of our properties are leased to unrated tenants whose credit is evaluated through our internal underwriting and credit analysis. However, the tools and methods we use, such as property-level rent coverage ratio, may not accurately assess the investment related credit risk.

The vast majority of our properties are leased to unrated tenants whose credit is evaluated through our internal underwriting and credit analysis. Substantially all of our tenants are required to provide financial information to us periodically or, in some instances, at our request. As of December 31, 2023, leases contributing 98.8% of our annualized base rent required tenants to provide us with specified unit-level financial information and leases contributing 98.8% of our annualized base rent required tenants to provide us with corporate-level financial information.

We analyze the creditworthiness of our tenants using Moody’s Analytics RiskCalc, which provides an estimated default frequency (“EDF”) and a “shadow rating,” and a lease's property-level rent coverage ratio. Our methods may not adequately assess the risk of an investment. An EDF score and a shadow rating are not the same as, and may not be as indicative of creditworthiness as, a rating published by a nationally recognized statistical rating organization. Our calculations of EDFs, shadow ratings and rent coverage ratios are unaudited and are based on financial information provided to us by our tenants and prospective tenants without independent verification on our part, and we assume the appropriateness of estimates and judgments that were made by the party preparing the financial information. If our assessment of credit quality proves to be inaccurate, we may be subject to defaults, and our cash flows may be less stable. The ability of an unrated tenant to meet its obligations to us may be more speculative than that of a rated tenant.

We may be unable to renew expiring leases with existing tenants or re-lease spaces to new tenants on favorable terms or at all.

Our results of operations depend to a significant degree on our ability to continue to lease our properties, including renewing expiring leases, leasing vacant space and re-leasing space in properties where leases are expiring. As of December 31, 2023, our occupancy was 99.8% and leases representing approximately 4.7% of our annualized base rent as of such date will expire prior to 2029. Current tenants may decline to renew leases and we may not be able to find replacement tenants. We cannot guarantee that leases that are renewed or new leases will have terms that are as economically favorable to us as the expiring leases, or that substantial rent abatements, tenant improvement allowances, early termination rights or below-market renewal options will not be offered to retain tenants or attract new tenants or that we will be able to lease a property at all. We may experience significant costs in connection with re-leasing a significant number of our properties, which could materially and adversely affect us.

The tenants that occupy our properties compete in industries that depend upon discretionary spending by consumers. A reduction in the willingness or ability of consumers to physically patronize and use their discretionary income in the businesses of our tenants and potential tenants could adversely impact our tenants’ business and thereby adversely impact our ability to collect rents and reduce the demand for our properties.

Most of our portfolio is leased to tenants operating service-oriented or experience-based businesses at our properties. As of December 31, 2023, the largest industries in our portfolio were restaurants (including quick service, casual dining and family dining), car washes, early childhood education, medical and dental services, entertainment (including movie theaters), automotive service, equipment rental and sales, and convenience stores. As of December 31, 2023, tenants operating in those industries represented approximately 84.7% of our annualized base rent. EquipmentShare, Chicken N Pickle , Crunch Fitness, Captain D's, Tidal Wave Auto Spa, Festival Foods, Five Star, Mister Car Wash, Spare Time Entertainment and John Deere represent the largest concepts in our portfolio. These types of businesses depend on the willingness of consumers to physically patronize their businesses and use discretionary income to purchase their products or services. To the extent that the COVID-19 pandemic or the responses thereto caused a secular change in consumer behavior that reduces patronage of service-based and/or experience-based businesses, many of our tenants would be adversely affected and their ability to meet their obligations to us could be impaired. Additional adverse economic conditions and other developments that discourage consumer spending, such as high unemployment levels, wage stagnation, interest rates, inflation, tax rates and fuel and energy costs, may have an adverse impact on the results of operations and financial conditions of our tenants and their ability to pay rent to us.

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Our ability to realize future rent increases on some of our leases may vary depending on changes in the CPI.

The vast majority of our leases provide for periodic contractual rent escalations. As of December 31, 2023, leases contributing 98.7% of our annualized base rent provided for increases in future annual base rent, generally ranging from 1.0% to 4.0% annually, with a weighted average annual escalation equal to 1.7% of base rent. Although many of our rent escalators increase rent at a fixed amount on fixed dates, approximately 2.4% of our rent escalators relate to an increase in the CPI over a specified period. During periods of low inflation or deflation, small increases or decreases in the CPI will subject us to the risk of receiving lower rental revenue than we otherwise would have been entitled to receive if our rent escalators were based on higher fixed percentages or amounts. Conversely, during periods of relatively high inflation, fixed rate rent increases may be lower than the rate of inflation, resulting in a deterioration of the real return on our assets. Recently, numerous measures of inflation have been relatively high, and our fixed rent escalators have not resulted in increases that equal or exceed the rate of inflation. Similarly, to the extent our tenants are unable to increase the prices they charge to their customers in response to any rent increases, their ability to meet their rental payment and other obligations to us could be reduced.

Inflation may materially and adversely affect us and our tenants.

While our tenants are generally obligated to pay property-level expenses relating to the properties they lease from us (e.g., maintenance, insurance and property taxes), we incur other expenses, such as general and administrative expense, interest expense relating to our debt (some of which bears interest at floating rates) and carrying costs for vacant properties. These expenses have generally increased in the current inflationary environment, and such increases have, in some instances, exceeded any increase in revenue we receive under our leases. Additionally, increased inflation may have an adverse impact on our tenants if increases in their operating expenses exceed increases in their revenue, which may adversely affect the tenants' ability to pay rent owed to us and meet other lease obligations, such as paying property taxes and insurance and maintenance costs.

Some of our tenants operate under franchise or license agreements, and, if they are terminated or not renewed prior to the expiration of their leases with us, that would likely impair their ability to pay us rent.

As of December 31, 2023, tenants contributing 9.1% of our annualized base rent operated under franchise or license agreements. Often, our tenants’ franchise or license agreements have terms that end prior to the expiration dates of the properties they lease from us. In addition, a tenant's rights as a franchisee or licensee typically may be terminated and the tenant may be precluded from competing with the franchisor or licensor upon termination. Usually, we have no notice or cure rights with respect to such a termination and have no rights to assignment of any such franchise agreement. This may have an adverse effect on our ability to mitigate losses arising from a default on any of our leases. A franchisor's or licensor's termination or refusal to renew a franchise or license agreement would likely have a material adverse effect on the ability of the tenant to make payments under its lease, which could materially and adversely affect us.

The bankruptcy or insolvency of a tenant could result in the termination or modification of such tenant's lease and material losses to us.

The occurrence of a tenant bankruptcy or insolvency could diminish the income we receive from that tenant's lease or leases or force us to “take back” a property as a result of a default or a rejection of a lease by a tenant in bankruptcy. Bankruptcy risk is more acute in situations where we lease multiple properties to a tenant pursuant to a master lease. If a tenant becomes bankrupt, the automatic stay created by the bankruptcy will prohibit us from collecting pre-bankruptcy debts from that tenant, or from its property, or evicting such tenant based solely upon such bankruptcy or insolvency, unless we obtain an order permitting us to do so from the bankruptcy court. In addition, a bankrupt or insolvent tenant may be authorized to reject and terminate its lease or leases with us. Any claims against such bankrupt tenant for unpaid future rent would be subject to statutory limitations that would likely result in our receipt of rental revenues that are substantially less than the contractually specified rent we are owed under the lease or leases. In addition, any claim we have for unpaid past rent, if any, may not be paid in full. We may also be unable to re-lease a property whose lease is terminated or rejected in a bankruptcy proceeding on comparable terms (or at all) or to sell any such property. As a result, a significant number of tenant bankruptcies may materially and adversely affect us.

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Tenants who are considering filing for bankruptcy protection may request that we agree to amendments of their master leases to remove certain of the properties they lease from us under such master leases. We cannot guarantee that we will be able to sell or re-lease properties that we agree to release from tenants' leases in the future or that lease termination fees, if any, will be sufficient to make up for the rental revenues lost as a result of lease amendments.

Property vacancies could result in us having to incur significant capital expenditures to re-tenant the properties.

Many of our leases relate to properties that have been designed or physically modified for a particular tenant. If such a lease is terminated or not renewed, we may be required to renovate the property at substantial costs, decrease the rent we charge or provide other concessions in order to lease the property to another tenant. In addition, if we determine to sell the property, we may have difficulty selling it to a party other than the current tenant due to the special purpose for which the property may have been designed or modified. This potential illiquidity may limit our ability to quickly modify our portfolio in response to changes in economic or other conditions, including tenant demand.

Defaults by borrowers on loans we hold could lead to losses.

We make mortgage and other loans, which may be unsecured, to extend financing to tenants at certain of our properties. A default by a borrower on its loan payments to us that would prevent us from earning interest or receiving a return of the principal of our loan could materially and adversely affect us. In the event of a default, we may also experience delays in enforcing our rights as lender and may incur substantial costs in collecting the amounts owed to us and in liquidating any collateral. Where collateral is available, foreclosure and other similar proceedings used to enforce payment of real estate loans are generally subject to principles of equity, which are designed to relieve the indebted party from the legal effect of that party's default. In the event we have to foreclose on a property, the amount we receive from the foreclosure sale of the property may be inadequate to fully pay the amounts owed to us by the borrower and our costs incurred to foreclose, repossess and sell the property.

Real estate lending has several risks that need to be considered. There is the potential for changes in local real estate conditions and subjectivity of real estate valuations. In addition, overall economic conditions may impact the borrowers’ financial condition. Adverse economic conditions such as high unemployment levels, interest rates, tax rates and fuel and energy costs may have an impact on the results of operations and financial conditions of borrowers.

We may be unable to identify and complete acquisitions of suitable properties, which may impede our growth, and our future acquisitions may not yield the returns we seek.

Growth through property acquisitions is a primary element of our strategy. Our ability to expand through acquisitions requires us to identify, finance and complete acquisitions or investment opportunities that are compatible with our growth strategy and to successfully finance and integrate newly acquired properties into our portfolio, which may be constrained by the following significant risks: we face competition from other real estate investors, some of which have greater economies of scale, lower costs of capital, access to more financial resources, greater name recognition than we do, and a greater ability to borrow funds and the ability to accept more risk than we can prudently manage, which may significantly reduce our acquisition volume or increase the purchase price for property we acquire, which could reduce our growth prospects; we may be unable to locate properties that will produce a sufficient spread between our cost of capital and the lease rate we can obtain from a tenant, in which case our ability to profitably grow our company will decrease; we may fail to have sufficient capital resources to complete acquisitions or our cost of capital could increase; we may incur significant costs and divert management attention in connection with evaluating and negotiating potential acquisitions, including ones that we are subsequently unable to complete; we may acquire properties that are not accretive to our results upon acquisition; our cash flow from an acquired property may be insufficient to meet our required principal and interest payments with respect to debt used to finance the acquisition of such property; we may discover unexpected items, such as unknown liabilities, during our due diligence investigation of a potential acquisition or other customary closing conditions may not be satisfied, causing us to abandon an investment opportunity after incurring expenses related thereto; we may spend more than budgeted amounts to make necessary improvements or renovations to acquired properties; we may acquire properties subject to liabilities and without any recourse, or with only limited recourse, with respect to unknown liabilities, such as liabilities for clean-up of undisclosed environmental contamination, claims by tenants, vendors or other persons dealing with the former owners of the properties, liabilities incurred in

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the ordinary course of business and claims for indemnification by general partners, directors, officers and others indemnified by the former owners of the properties; and we may obtain only limited warranties when we acquire a property, including properties purchased in “as is” condition on a “where is” basis and “with all faults,” without warranties of merchantability or fitness for a particular purpose and pursuant to purchase agreements that contain only limited warranties, representations and indemnifications that survive for only a limited period after the closing. If any of these risks are realized, we may be materially and adversely affected.

Our real estate investments are generally illiquid which could significantly impede our ability to respond to market conditions or adverse changes in the performance of our tenants or our properties and which would harm our financial condition.

Our investments are relatively difficult to sell quickly. As a result of this illiquidity, our ability to promptly sell one or more properties in our portfolio in response to changing economic, financial or investment conditions is limited. Return of capital and realization of gains, if any, from an investment generally will occur upon disposition or refinancing of the underlying property. We may be unable to realize our investment objective by sale, other disposition or refinancing at attractive prices within any given period of time or may otherwise be unable to complete any exit strategy. In particular, these risks could arise from weakness in or even the lack of an established market for a property, changes adversely affecting the tenant of a property, changes adversely affecting the area in which a particular property is located, adverse changes in the financial condition or prospects of prospective purchasers and changes in local, national or international economic conditions.

In addition, the Internal Revenue Code of 1986, as amended (the “Code”), imposes restrictions on a REIT's ability to dispose of properties that are not applicable to other types of real estate companies. In particular, the tax laws applicable to REITs effectively require that we hold our properties for investment, rather than primarily for sale in the ordinary course of business, which may cause us to forgo or defer sales of properties that otherwise would be in our best interest. Therefore, we may not be able to vary our portfolio in response to economic or other conditions promptly or on favorable terms.

Our growth depends on third-party sources of capital that are outside of our control and may not be available to us on commercially reasonable terms or at all.

In order to qualify as a REIT, we are required under the Code, among other things, to distribute annually at least 90% of our REIT taxable income, determined without regard to the dividends paid deduction and excluding any net capital gain. In addition, we will be subject to income tax at the corporate rate to the extent that we distribute less than 100% of our REIT taxable income, determined without regard to the dividends paid deduction and including any net capital gain. Accordingly, we will not be able to fund all of our future capital needs, including any necessary acquisition financing, from operating cash flow. Consequently, we rely on other sources of capital, including net proceeds from asset sales and external third-party sources to fund a portion of our capital needs. Our access to debt and equity capital, and the cost thereof, depends on many factors, including general market conditions, interest rates, inflation, the market's perception of our growth potential, our debt levels, our credit rating, our current and expected future earnings, our cash flow and cash distributions, and the market price of our common stock. In particular, the market price of our common stock on the New York Stock Exchange (“NYSE”) has experienced significant volatility. Similarly, the availability and pricing of debt and equity capital has been volatile and, in many instances, more expensive. Accordingly, we could experience difficulty accessing debt and equity capital on attractive terms, or at all, which would adversely affect our ability to grow our business, conduct our operations or address maturing liabilities. Similarly, a deterioration in access to capital or an increase in cost may adversely affect our tenants' abilities to finance their businesses and reduce their liquidity, which could reduce their ability to meet their obligations to us.

An important aspect of our business is capturing a positive “spread” between the cost at which we raise capital and the returns that we receive on our investments. To the extent our weighted average cost of capital increases without a corresponding increase in the returns that we receive on our investments, this spread will be reduced or eliminated, and our ability to grow through accretive acquisitions will be reduced or even eliminated. If we cannot obtain capital from third-party sources, or if our cost of capital increases materially, we may not be able to acquire properties when strategic opportunities exist, meet the capital and operating needs of our existing properties, satisfy our debt service obligations or make the cash distributions to our stockholders necessary to qualify as a REIT.

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Loss of senior executives with long-standing business relationships could materially impair our ability to operate successfully.

Our ability to operate our business and grow our portfolio depend, in large part, upon the efforts of our senior executive team. Several of our executives have extensive experience and strong reputations in the real estate industry and have been important in setting our strategic direction, operating our business, assembling and growing our portfolio, identifying, recruiting and training key personnel, and arranging necessary financing. In particular, relationships that these individuals have with financial institutions and existing and prospective tenants are important to our growth and the success of our business. The loss of services of one or more members of our senior management team, or our inability to attract and retain highly qualified personnel, could adversely affect our business, diminish our investment opportunities and weaken our relationships with lenders, business partners, existing and prospective tenants and industry personnel, which could materially and adversely affect us.

The long-term impact of the COVID-19 pandemic is unclear and could further adversely affect us.

The direct adverse impact of the COVID-19 pandemic on us has significantly diminished; however, its long-term impact is unclear. For instance, a reinstitution of lockdowns, quarantines, restrictions on travel, “shelter in place” rules, school closures and/or restrictions on the types of businesses that may continue to operate or limitations on certain business operations, whether in response to a COVID-19 resurgence or another pathogen, could cause a decline in economic activity and a reduction in consumer confidence that could impair the ability of many of our tenants to operate their businesses and meet their obligations to us, including rental payment obligations.

More broadly, to the extent the COVID-19 pandemic has caused or causes a secular change in consumer behavior that reduces patronage of service-based and/or experience-based businesses, many of our tenants will be adversely affected and their ability to meet their obligations to us could be impaired; this could also reduce the value of our properties and cause us to realize impairment charges.

Risks Related to Environmental and Compliance Matters and Climate Change

The costs of compliance with or liabilities related to environmental laws may materially and adversely affect us.

The properties we own or have owned in the past may subject us to known and unknown environmental liabilities. We obtain Phase I environmental site assessments on all properties we finance or acquire. However, the Phase I environmental site assessments are limited in scope and therefore may not reveal all environmental conditions affecting a property. Under various federal, state and local laws and regulations relating to the environment, as a current or former owner or operator of real property, we may be liable for costs and damages resulting from environmental matters, including the presence or discharge of hazardous or toxic substances, waste or petroleum products at, on, in, under or migrating from such property, including costs to investigate or clean up such contamination and liability for personal injury, property damage or harm to natural resources. If environmental contamination exists on our properties, we could be subject to strict, joint and/or several liability for the contamination by virtue of our ownership interest; we may face liability regardless of our knowledge of the contamination, the timing of the contamination, the cause of the contamination, or the party responsible for the contamination of the property.

If our environmental liability insurance is inadequate, we may become subject to material losses for environmental liabilities. Although our leases generally require our tenants to operate in compliance with all applicable laws and to indemnify us against any environmental liabilities arising from a tenant's activities on the property, we could be subject to strict liability by virtue of our ownership interest. We cannot be sure that our tenants will, or will be able to, satisfy their indemnification obligations, if any, under our leases. Furthermore, the discovery of environmental liabilities on any of our properties could lead to significant remediation costs or to other liabilities or obligations attributable to the tenant of that property or could result in material interference with the ability of our tenants to operate their businesses as currently operated. Noncompliance with environmental laws or discovery of environmental liabilities could each individually or collectively affect such tenant's ability to make payments to us, including rental payments and, where applicable, indemnification payments. Additionally, the known or potential presence of hazardous substances on a property may adversely affect our ability to sell, lease or improve the property or to borrow using the property as collateral. Environmental laws may also create liens on contaminated properties in favor of the government for damages and costs it incurs to address such contamination. Moreover, if

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contamination is discovered on our properties, environmental laws may impose restrictions on the manner in which they may be used, and these restrictions may require substantial expenditures.

Insurance on our properties may not adequately cover all losses and uninsured losses could materially and adversely affect us.

Our tenants are required to maintain liability and property insurance coverage for the properties they lease from us pursuant to triple-net leases. Pursuant to such leases, our tenants are required to name us (and any of our lenders that have a mortgage on the property leased by the tenant) as additional insureds on their liability policies and additional named insured and/or loss payee (or mortgagee, in the case of our lenders) on their property policies. All tenants are required to maintain casualty coverage. Depending on the location of the property, losses of a catastrophic nature, such as those caused by earthquakes and floods, may be covered by insurance policies that are held by our tenant with limitations such as large deductibles or co-payments that a tenant may not be able to meet. In addition, losses of a catastrophic nature, such as those caused by wind/hail, hurricanes, terrorism or acts of war, may be uninsurable or not economically insurable. If there is damage to our properties that is not covered by insurance and such properties are subject to recourse indebtedness, we will continue to be liable for the indebtedness, even if these properties are irreparably damaged.

Inflation, changes in building codes and ordinances, environmental considerations and other factors, including terrorism or acts of war, may make any insurance proceeds we receive insufficient to repair or replace a property if it is damaged or destroyed. In that situation, the insurance proceeds received may not be adequate to restore our economic position with respect to the affected real property. Furthermore, if we experience a substantial or comprehensive loss of one of our properties, we may not be able to rebuild such property to its existing specifications without significant capital expenditures which may exceed any amounts received pursuant to insurance policies, as reconstruction or improvement of such a property would likely require significant upgrades to meet zoning and building code requirements. The loss of our capital investment in or anticipated future returns from our properties due to material uninsured losses could materially and adversely affect us.

Compliance with the Americans with Disability Act of 1990 (the “ADA”), fire and safety regulations, and other regulations may require us to make unanticipated expenditures.

Our properties are subject to the ADA, fire and safety regulations, building codes and other regulations. Failure to comply with these laws and regulations could result in imposition of fines by the government or an award of damages to private litigants, or both. While our tenants are obligated by law to comply with the ADA and typically obligated under our leases to cover costs associated with compliance with the ADA and other property regulations, if required changes involve greater expenditures than anticipated or if the changes must be made on a more accelerated basis than anticipated, the ability of our tenants to cover costs could be adversely affected, and we could be required to expend our own funds to comply with applicable law and regulation.

Our operations and financial condition may be adversely affected by climate change, including possible changes in weather patterns, weather-related events, government policy, laws, regulations and economic conditions.

In recent years, the assessment of the potential impact of climate change has begun to impact the activities of government authorities, the pattern of consumer behavior and other areas that impact the business environment in the U.S., including, but not limited to, energy-efficiency measures, water use measures and land-use practices. The promulgation of policies, laws or regulations relating to climate change by governmental authorities in the U.S. and the markets in which we own properties may require us to invest additional capital in our properties. New laws and regulations relating to sustainability and climate change are under consideration or being adopted, which may include specific disclosure requirements or obligations, and that may result in additional investments and implementation of new practices and reporting processes, all entailing additional compliance costs and risk. In addition, the impact of climate change on businesses operated by our tenants is not reasonably determinable at this time. Climate change may impact weather patterns, the occurrence of significant weather events and rising sea levels, which could impact economic activity or the value of our properties in specific markets. The occurrence of any of these events or conditions may adversely impact our ability to lease our properties or our or our tenants’ ability to obtain property insurance on acceptable terms, which would materially and adversely affect us.

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Risks Related to Our Indebtedness

As of December 31, 2023, we had $1.7 billion of indebtedness outstanding, which requires substantial cash flow to service, subjects us to covenants and refinancing risk and the risk of default.

As of December 31, 2023, we had $1.7 billion of indebtedness outstanding. This indebtedness consisted of $1.3 billion of combined borrowings under our term loans and $400.0 million outstanding principal amount of senior unsecured notes. We had no indebtedness outstanding under our Revolving Credit Facility as of December 31, 2023, but we may borrow from this facility in the future. Payments of principal and interest on indebtedness may leave us with insufficient cash resources to meet our cash needs, including funding our investment program, or to make the distributions to our common stockholders currently contemplated or necessary to continue to qualify as a REIT. Our indebtedness and the limitations imposed on us by our debt agreements could have significant adverse consequences, including the following: our cash flow may be insufficient to make our required principal and interest payments; cash interest expense and financial covenants relating to our indebtedness may limit or eliminate our ability to make distributions to our common stockholders; we may be unable to borrow additional funds as needed or on favorable terms, which could, among other things, adversely affect our ability to consummate investment opportunities or meet operational needs; we may be unable to refinance our indebtedness at maturity, or the refinancing terms may be less favorable than the terms of the debt being refinanced; because a portion of our debt bears interest at variable rates, increases in interest rates could increase our interest expense; we may be unable to hedge floating rate debt, counterparties may fail to honor their obligations under our hedge agreements, such agreements may not effectively hedge interest rate fluctuation risk, and, upon the expiration of our hedge agreements, we will be exposed to then-existing market rates of interest and future interest rate volatility; we may be forced to dispose of properties, possibly on unfavorable terms or in violation of certain covenants to which we may be subject; we may default on our obligations; we may violate restrictive covenants in our loan documents, which would entitle the lenders to accelerate our debt obligations; and our default under any loan with cross-default provisions could result in a default on other indebtedness. The occurrence of any of these events could materially and adversely affect us.

Our business plan depends on external sources of capital, including debt financings, and market conditions could adversely affect our ability to refinance existing indebtedness or obtain additional financing for growth on commercially acceptable terms or at all.

Credit markets have recently experienced significant price volatility, interest rate fluctuations, displacement and liquidity disruptions. In particular, credit spreads in certain credit markets have recently been wider relative to historical levels. Such circumstances could materially impact liquidity in the financial markets, making financing terms for borrowers less attractive, and potentially result in the unavailability of various types of debt financing. As a result, we may be unable to obtain debt financing on favorable terms or at all or fully refinance maturing indebtedness with new indebtedness. A deterioration in our credit or credit rating, reductions in our available borrowing capacity or our inability to obtain credit when required or when business conditions warrant could materially and adversely affect us.

If prevailing interest rates or other factors at the time of refinancing result in higher interest rates upon refinancing, then the interest expense relating to that refinanced indebtedness would increase. Higher interest rates on newly incurred debt may negatively impact us as well. If interest rates increase, our interest costs and overall costs of capital will increase, which could materially and adversely affect us and our ability to invest accretively or make distributions to our stockholders.

Though we currently do not have any secured debt, we have raised capital through secured debt financing in the past, and we may do so again in the future. Secured debt subjects us to certain risks, including the potential loss of the property securing such debt through foreclosure or otherwise and the possible inability to refinance any such debt at maturity at a similar loan-to-value ratio.

A downgrade in our credit ratings could have a material adverse effect on our business and financial condition.

The credit ratings assigned to us and our debt, which are subject to ongoing evaluation by the rating agencies who have published them, could change based upon, among other things, our historical and projected business, prospects, liquidity, results of operations and financial condition, or the real estate industry generally. If any credit rating agency downgrades or lowers our credit rating, places any such rating on a so-called “watch list” for a possible downgrading or lowering or otherwise publishes a negative outlook for that rating, it could materially

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adversely affect the market price of our debt securities and possibly our common stock, and generally the cost and availability of our capital.

We have engaged in hedging transactions and may engage in additional hedging transactions in the future; such transactions may materially and adversely affect our results of operations and cash flows.

We use hedging strategies, in a manner consistent with the REIT qualification requirements, in an effort to reduce our exposure to changes in interest rates. As of December 31, 2023, we were party to 25 interest rate swap agreements with third-party financial institutions having an aggregate notional amount of $1.3 billion that are designated as cash flow hedges and designed to effectively fix the Secured Overnight Financing Rate (“SOFR”) component of the interest rate on the debt outstanding under our term loans. Unanticipated changes in interest rates may result in poorer overall investment performance than if we had not engaged in any such hedging transactions and may materially and adversely affect our business by increasing our cost of capital and reducing the net returns we earn on our portfolio.

SOFR, which has replaced the London Interbank Offer Rate (“LIBOR”) as the principal floating rate benchmark, has a limited history, is different than LIBOR and rates derived from SOFR may perform differently than LIBOR would have performed, which could create increased volatility in our cost of borrowing or increase our interest expense.

In anticipation of the discontinuation of LIBOR as a floating rate benchmark, we transitioned the reference interest rate used in connection with our floating rate debt obligations to ones based on SOFR, which the Alternative Reference Rates Committee, convened by the Federal Reserve Board and the Federal Reserve Bank of New York, selected as the principal floating rate benchmark in the financial markets. SOFR-based rates differ from LIBOR, and the differences may be material. For example, SOFR is intended to be a broad measure of the cost of borrowing funds overnight in transactions that are collateralized by U.S. Treasury securities. Because SOFR is a financing rate based on overnight secured funding transactions, it differs fundamentally from LIBOR, which was intended to be an unsecured rate that represents interbank funding costs for different short-term tenors. LIBOR was a forward-looking rate reflecting expectations regarding interest rates for those tenors. Thus, LIBOR was intended to be sensitive to bank credit risk and to short-term interest rate risk. In contrast, SOFR is a secured overnight rate reflecting the credit of U.S. Treasury securities as collateral. Thus, SOFR is intended to be insensitive to credit risk and to risks related to interest rates other than overnight rates. However, like LIBOR, some SOFR-based rates, including the ones used in connection with our floating rate debt obligations, are forward-looking term rates. SOFR and SOFR-based rates have a limited history, and there is no assurance that SOFR, or rates derived from SOFR, will perform in the same or a similar way as LIBOR would have performed at any time, and there is no assurance that SOFR-based rates will ultimately prove to be a suitable substitute for LIBOR. SOFR-based reference rates cannot be predicted based on SOFR’s history, and future levels of SOFR may bear little or no relation to historical levels of SOFR, LIBOR or other rates. Additionally, SOFR has been more volatile than other benchmark or market rates, such as three-month LIBOR. Accordingly, there can be no assurance that our transition to term SOFR in connection with our floating rate borrowings will not result in increased volatility in our cost of borrowing or increased interest expense.

Additionally, the inability or any inefficiency in market participants ability to hedge SOFR-based transactions or the illiquidity or relative illiquidity in the market for SOFR-based instruments may increase the costs associated with SOFR-based debt instruments or our ability to hedge our exposure to floating interest rates.

Our debt financing agreements contain restrictions and covenants which may limit our ability to enter into, or obtain funding for, certain transactions, operate our business or make distributions to our common stockholders.

Our debt financing agreements contain financial and other covenants with which we are required to comply and that limit our ability to operate our business. These covenants, as well as any additional covenants to which we may be subject in the future because of additional or replacement debt financing, could cause us to have to forego investment opportunities, reduce or eliminate distributions to our common stockholders or obtain financing that is more expensive than financing we could obtain if we were not subject to the covenants. The covenants impose limitations on, among other things, our ability to incur additional indebtedness, encumber assets and pay distributions to our stockholders under certain circumstances (subject to certain exceptions relating to our qualification as a REIT under the Code). In addition, these agreements have cross-default provisions that generally result in an event of default if we default under other material indebtedness.

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The covenants and other restrictions under our debt agreements may affect, among other things, our ability to: incur indebtedness; create liens on assets; cause our subsidiaries to distribute cash to us to fund distributions to stockholders or to otherwise use in our business; sell or substitute assets; modify certain terms of our leases; manage our cash flows; and make distributions to equity holders, including our common stockholders.

Additionally, these restrictions may adversely affect our operating and financial flexibility and may limit our ability to respond to changes in our business or competitive environment, all of which may materially and adversely affect us.

Mortgage debt obligations expose us to the possibility of foreclosure, which could result in the loss of our investment in any property subject to mortgage debt.

Future borrowings may be secured by mortgages on our properties. Incurring mortgage and other secured debt obligations increases our risk of losses because defaults on secured indebtedness may result in foreclosure actions initiated by lenders and ultimately our loss of the properties securing any loans for which we are in default. If we are in default under a cross-defaulted mortgage loan, we could lose multiple properties to foreclosure. For tax purposes, a foreclosure of any of our properties would be treated as a sale of the property for a purchase price equal to the outstanding balance of the debt secured by the mortgage. If the outstanding balance of the debt secured by the mortgage exceeds our tax basis in the property, we would recognize taxable income on foreclosure, but would not receive any cash proceeds, which could hinder our ability to meet the REIT distribution requirements. As we execute our business plan, we may assume or incur new mortgage indebtedness on our properties. Any default under any mortgage debt obligation we incur may increase the risk of our default on our other indebtedness.

Risks Related to Our Organizational Structure

Our charter and bylaws and Maryland law contain provisions that may delay, defer or prevent a change of control transaction, even if such a change in control may be in your interest, and as a result may depress the market price of our common stock. Our charter contains certain restrictions on ownership and transfer of our stock.

Our charter contains various provisions that are intended to, among other things, assist us in maintaining our qualification for taxation as a REIT and, subject to certain exceptions, authorizes our directors to take such actions as are necessary or appropriate to cause us to continue to qualify as a REIT. For example, our charter prohibits the actual, beneficial or constructive ownership by any person of more than 9.8% in value or in number of shares, whichever is more restrictive, of the outstanding shares of our common stock or more than 9.8% in value of the aggregate of the outstanding shares of all classes and series of our stock.

Our Board, in its sole and absolute discretion, may exempt a person, prospectively or retroactively, from these ownership limits if certain conditions are satisfied. The restrictions on ownership and transfer of our stock may, among other things: discourage a tender offer or other transaction or a change in management or of control that might involve a premium price for our common stock or that our stockholders otherwise believe to be in their best interests; or result in the transfer of shares acquired in excess of the restrictions to a trust for the benefit of one or more charitable beneficiaries and, as a result, the forfeiture by the acquirer of the benefits of owning the additional shares.

We could increase or decrease the number of authorized shares of stock, classify and reclassify unissued stock and issue stock without stockholder approval.

Our Board, without stockholder approval, has the power under our charter to amend our charter to increase or decrease the aggregate number of shares of stock or the number of shares of stock of any class or series that we are authorized to issue, to authorize us to issue authorized but unissued shares of our common stock or preferred stock and to classify or reclassify any unissued shares of our common stock or preferred stock into one or more classes or series of stock and to set the terms of such newly classified or reclassified shares. As a result, we may issue one or more classes or series of common stock or preferred stock with preferences, conversion or other rights, voting powers or rights, restrictions, limitations as to dividends or other distributions, qualifications or terms or conditions of redemption that are senior to, or otherwise conflict with, the rights of our common stockholders. Our Board could establish a class or series of common stock or preferred stock that could, depending on the terms of such class or series, delay, defer or prevent a transaction or a change of control that might involve a premium price for our common stock or otherwise be in the best interest of our stockholders.

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Our bylaws designate the Circuit Court for Baltimore City, Maryland as the sole and exclusive forum for certain types of actions and proceedings that may be initiated by our stockholders, which could limit stockholders' ability to obtain a favorable judicial forum for disputes with us or our directors, officers or employees and could discourage lawsuits against us and our directors, officers and employees.

Our bylaws provide that, unless we consent in writing to the selection of an alternative forum, the Circuit Court for Baltimore City, Maryland, or, if that court does not have jurisdiction, the United States District Court for the District of Maryland, Baltimore Division, will be the sole and exclusive forum for (a) any Internal Corporate Claim, as such term is defined in the Maryland General Corporation Law (“MGCL”), (b) any derivative action or proceeding brought on our behalf, (c) any action asserting a claim of breach of any duty owed by any of our directors, officers or other employees to us or to our stockholders, (d) any action asserting a claim against us or any of our directors, officers or other employees arising pursuant to any provision of the MGCL or our charter or bylaws or (e) any other action asserting a claim against us or any of our directors, officers or other employees that is governed by the internal affairs doctrine. These choice of forum provisions will not apply to suits brought to enforce a duty or liability created by the Securities Act, the Exchange Act, or any other claim for which federal courts have exclusive jurisdiction.

These exclusive forum provisions may limit the ability of our stockholders to bring a claim in a judicial forum that such stockholders find favorable for disputes with us or our directors, officers, or employees, which may discourage such lawsuits against us and our directors, officers, and employees. Alternatively, if a court were to find the choice of forum provisions contained in our bylaws to be inapplicable or unenforceable in an action, we may incur additional costs associated with resolving such action in other jurisdictions, which could materially adversely affect our business, financial condition, and operating results.

Termination of the employment agreements with certain members of our senior management team could be costly and could impact a change in control of our company.

The employment agreements with certain members of our senior management team provide that if their employment with us terminates under certain circumstances (including in connection with a change in control of our company), we may be required to pay them significant amounts of severance compensation, thereby making it costly to terminate their employment. Furthermore, these provisions could delay or otherwise impact a transaction or a change in control of our company that might involve a premium paid for shares of our common stock or otherwise be in the best interests of our stockholders.

Our Board may change our investment and financing policies without stockholder approval, including those with respect to borrowing, and we may become more highly leveraged, which may increase our risk of default under our debt obligations.

Our investment and financing policies are exclusively determined by our Board. Accordingly, our stockholders do not control these policies. Further, our organizational documents do not limit the amount or percentage of indebtedness, funded or otherwise, that we may incur. Although we are not required by our organizational documents to maintain a particular leverage ratio and may not be able to do so, we generally intend to target a level of net debt (which includes recourse and non-recourse borrowings and any outstanding preferred stock issuance less unrestricted cash and cash equivalents) that, over time, is less than six times our Annualized Adjusted EBITDAre. However, from time to time, our ratio of net debt to our Annualized Adjusted EBITDAre may equal or exceed six times. Our Board may alter or eliminate our current policy on borrowing at any time without stockholder approval. If this policy changed, we could become more highly leveraged, which could result in an increase in our debt service and the risk of default on our obligations. In addition, a change in our investment policies, including the manner in which we allocate our resources across our portfolio or the types of assets in which we seek to invest, may increase our exposure to interest rate risk, real estate market fluctuations and liquidity risk. Changes to our policies with regard to the foregoing could materially and adversely affect us.

Our rights and the rights of our stockholders to take action against our directors and officers are limited.

As permitted by Maryland law, our charter limits the liability of our directors and officers to us and our stockholders for money damages to the maximum extent permitted by Maryland law. Therefore, our directors and officers are subject to monetary liability resulting only from: actual receipt of an improper benefit or profit in money, property or services; or active and deliberate dishonesty by the director or officer that was established by a final judgment as being material to the cause of action adjudicated.

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As a result, we and our stockholders have rights against our directors and officers that are more limited than might otherwise exist. Accordingly, if actions taken by any of our directors or officers impede the performance of our company, your and our ability to recover damages from such director or officer will be limited. In addition, our charter requires us to indemnify our directors and officers for actions taken by them in those and certain other capacities to the maximum extent permitted by Maryland law.

We are a holding company with no direct operations and rely on funds received from our Operating Partnership to make any distributions to stockholders and to pay liabilities.

We are a holding company and conduct substantially all of our operations through our Operating Partnership. We do not have any independent operations, and our only material asset is our interest in our Operating Partnership. As a result, we rely on distributions from our Operating Partnership to pay any distributions our Board declares on shares of our common stock. We also rely on distributions from our Operating Partnership to meet any of our obligations, including any tax liability on taxable income allocated to us from our Operating Partnership. In addition, because we are a holding company, claims by our stockholders will be structurally subordinated to all existing and future liabilities and obligations (whether or not for borrowed money) of our Operating Partnership and its subsidiaries. Therefore, in the event of our bankruptcy, liquidation or reorganization, our assets and those of our Operating Partnership and its subsidiaries will be able to satisfy the claims of our stockholders only after all of our and our Operating Partnership's and its subsidiaries' liabilities and obligations have been paid in full.

In connection with our future acquisition of properties or otherwise, we may issue units of our Operating Partnership to third parties. Such issuances would reduce our ownership in our Operating Partnership. If you do not directly own units of our Operating Partnership, you will not have any voting rights with respect to any such issuances or other partnership level activities of our Operating Partnership.

Conflicts of interest could arise in the future between the interests of our stockholders and the interests of holders of units in our Operating Partnership, which may impede business decisions that could benefit our stockholders.

Conflicts of interest could arise in the future as a result of the relationships between us and our stockholders, on the one hand, and our Operating Partnership and its limited partners, on the other. Under the terms of the partnership agreement of our Operating Partnership, if there is a conflict between the interests of our stockholders, on one hand, and any limited partners, on the other, we will endeavor in good faith to resolve the conflict in a manner not adverse to either our stockholders or any limited partners; provided, however, that so long as we own a controlling economic interest in our Operating Partnership, any conflict that cannot be resolved in a manner not adverse to either our stockholders or any limited partners shall be resolved in favor of our stockholders.

Certain mergers, consolidations and other transactions require the approval of a majority in interest of the outside limited partners in our Operating Partnership (which excludes us and our subsidiaries), which could prevent certain transactions that may result in our stockholders receiving a premium for their shares or otherwise be in their best interest.

The partnership agreement requires the general partner or us, as the parent of the general partner, to obtain the approval of a majority in interest of the outside limited partners in our Operating Partnership (which excludes us and our subsidiaries) in connection with certain mergers, consolidations or other combinations of us, or a sale of all or substantially all of our assets. This approval right could prevent a transaction that might be in the best interests of our stockholders.

Risks Related to Our Status as a REIT

Failure to continue to qualify as a REIT would materially and adversely affect us and the value of our common stock, and even if we continue to qualify as a REIT, we may be subject to certain additional taxes.

We elected to be taxed as a REIT for federal income tax purposes beginning with our taxable year ended December 31, 2018, and we believe that our current organization and operations have allowed and will continue to allow us to qualify as a REIT. We have not requested and do not plan to request a ruling from the Internal Revenue Service, or IRS, that we qualify as a REIT, and the statements in this Annual Report are not binding on the IRS or any court. Therefore, we cannot assure you that we will remain qualified as a REIT in the future. If we lose our REIT status, we will face significant tax consequences that would substantially reduce our cash available for distribution

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to our stockholders for each of the years involved because: we would not be allowed a deduction for distributions to stockholders in computing our taxable income and would be subject to federal income tax at the corporate rate; we also could be subject to increased state and local taxes; and unless we are entitled to relief under applicable statutory provisions, we could not elect to be taxed as a REIT for four taxable years following the year during which we were disqualified.

Any such corporate tax liability could be substantial and would reduce our cash available for, among other things, our operations and distributions to stockholders. In addition, if we fail to remain qualified as a REIT, we will not be required to make distributions to our stockholders. As a result of all these factors, our failure to remain qualified as a REIT also could impair our ability to expand our business and raise capital and could materially and adversely affect the trading price of our common stock.

Qualification as a REIT involves the application of highly technical and complex Code provisions for which there are only limited judicial and administrative interpretations. The determination of various factual matters and circumstances not entirely within our control may affect our ability to continue to qualify as a REIT. In order to continue to qualify as a REIT, we must satisfy a number of requirements, including requirements regarding the ownership of our stock, requirements regarding the composition of our assets and a requirement that at least 95% of our gross income in any year must be derived from qualifying sources, such as “rents from real property.” Also, we must make distributions to stockholders aggregating annually at least 90% of our REIT taxable income, determined without regard to the dividends paid deduction and excluding any net capital gains. In addition, legislation, new regulations, administrative interpretations or court decisions may materially and adversely affect our investors, our ability to continue to qualify as a REIT for federal income tax purposes or the desirability of an investment in a REIT relative to other investments.

Even if we continue to qualify as a REIT for federal income tax purposes, we may be subject to some federal, state and local income, property and excise taxes on our income or property and, in certain cases, a 100% penalty tax, in the event we sell property as a dealer. In addition, any taxable REIT subsidiaries will be subject to tax as regular corporations in the jurisdictions in which they operate.

If our Operating Partnership fails to qualify as a partnership for federal income tax purposes, we will cease to qualify as a REIT and suffer other adverse consequences.

We believe that our Operating Partnership will be treated as a partnership for federal income tax purposes and, as a result, will generally not be subject to federal income tax on its income. Instead, for federal income tax purposes each of the partners of the Operating Partnership, including us, will be allocated, and may be required to pay tax with respect to, such partner's share of its income. Our Operating Partnership will generally be required to determine and pay an imputed underpayment of tax (plus interest and penalties) resulting from an adjustment of the Operating Partnership's items of income, gain, loss, deduction or credit at the partnership level. We cannot assure you that the IRS will not challenge the tax classification of our Operating Partnership or any other subsidiary partnership in which we own an interest, or that a court will not sustain such a challenge. If the IRS were successful in treating our Operating Partnership or any such other subsidiary partnership as an entity taxable as a corporation for federal income tax purposes, we will fail to meet the gross income tests and certain of the asset tests applicable to REITs and, accordingly, we will likely cease to qualify as a REIT. Also, the failure of our Operating Partnership or any subsidiary partnerships to qualify as a disregarded entity or partnership could cause it to become subject to federal and state corporate income tax, which will reduce significantly the amount of cash available for debt service and for distribution to its partners, including us.

To maintain our REIT status, we may be forced to borrow funds during unfavorable market conditions, and the unavailability of such capital on favorable terms at the desired times, or at all, may cause us to curtail our investment activities and/or to dispose of assets at inopportune times.

To continue to qualify as a REIT, we generally must distribute to our stockholders at least 90% of our REIT taxable income each year, determined without regard to the dividends-paid deduction and excluding any net capital gains, and we will be subject to corporate income tax on our undistributed taxable income to the extent that we distribute less than 100% of our REIT taxable income, determined without regard to the dividends-paid deduction and including any net capital gains, each year. In addition, we will be subject to a 4% nondeductible excise tax on the amount, if any, by which distributions paid by us in any calendar year are less than the sum of 85% of our ordinary income, 95% of our capital gain net income and 100% of our undistributed income from prior years.

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In order to maintain our REIT status and avoid the payment of income and excise taxes, we may need to borrow funds to meet the REIT distribution requirements even if market conditions are not favorable for these borrowings. We cannot assure you that we will have access to such capital on favorable terms at the desired times, or at all, which may cause us to curtail our investment activities and/or to dispose of assets at inopportune times, and could materially and adversely affect us and the per share trading price of our common stock.

Our ability to provide certain services to our tenants may be limited by the REIT rules or may have to be provided through a taxable REIT subsidiary.

As a REIT, we generally cannot provide services to our tenants other than those that are customarily provided by landlords, nor can we derive income from a third party that provides such services. If we forego providing such services to our tenants, we may be at a disadvantage to competitors that are not subject to the same restrictions. However, we can provide such non-customary services to our tenants and receive our share in the revenue from such services if we do so through a taxable REIT subsidiary (“TRS”), though income earned by such TRS will be subject to U.S. federal corporate income taxation.

The IRS may treat sale-leaseback transactions as loans, which could jeopardize our REIT status or require us to make an unexpected distribution.

A significant portion of our investments were obtained through sale-leaseback transactions, where we purchase owner-occupied real estate and lease it back to the seller. We expect that a majority of our future investments will be obtained this way. The IRS may take the position that specific sale-leaseback transactions that we treat as leases are not true leases for federal income tax purposes but, instead, should be re-characterized as financing arrangements or loans.

If a sale-leaseback transaction were so re-characterized, we might fail to satisfy the REIT asset tests, the income tests or distribution requirements and consequently lose our REIT status effective with the year of re-characterization unless we elect to make an additional distribution to maintain our REIT status. The primary risk relates to our loss of previously incurred depreciation expenses, which could affect the calculation of our REIT taxable income and could cause us to fail the REIT distribution test that requires a REIT to distribute at least 90% of its REIT taxable income, determined without regard to the dividends-paid deduction and excluding any net capital gain. In this circumstance, we may elect to distribute an additional dividend of the increased taxable income so as not to fail the REIT distribution test. This distribution would be paid to all stockholders at the time of declaration rather than the stockholders existing in the taxable year affected by the re-characterization.

Dividends payable by REITs do not qualify for the reduced tax rates available for some dividends.

The maximum tax rate applicable to income from "qualified dividends" payable to U.S. stockholders that are individuals, trusts and estates is 20%. Dividends payable by REITs, however, generally are not eligible for the 20% rate except to the extent the REIT dividends are attributable to "qualified dividends" received by the REIT itself. However, for non-corporate U.S. stockholders, dividends payable by REITs that are not designated as capital gain dividends or otherwise treated as "qualified dividends" generally are eligible for a deduction of 20% of the amount of such dividends, for taxable years beginning before January 1, 2027. More favorable rates will nevertheless continue to apply for regular corporate "qualified dividends."  Although these rules do not adversely affect the taxation of REITs or dividends payable by REITs, if the 20% rate continues to apply to regular corporate qualified dividends, investors who are individuals, trusts and estates may regard investments in REITs to be relatively less attractive than investments in the stocks of non-REIT corporations.

The tax imposed on REITs engaging in “prohibited transactions” may limit our ability to engage in transactions which would be treated as sales for federal income tax purposes.

A REIT's net income from “prohibited transactions” is subject to a 100% penalty tax. In general, prohibited transactions are sales or other dispositions of property, other than foreclosure property, held primarily for sale to customers in the ordinary course of business. Although we do not intend to hold any properties that would be characterized as held for sale to customers in the ordinary course of our business, unless a sale or disposition qualifies under certain statutory safe harbors, no guarantee can be given that the IRS would agree with our characterization of our properties or that we will always be able to make use of the available safe harbors.

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Complying with REIT requirements may limit our ability to hedge effectively and may cause us to incur tax liabilities.

The REIT provisions of the Code substantially limit our ability to hedge our assets and liabilities. Any income from a hedging transaction that we enter into to manage the risk of interest rate changes with respect to borrowings made or to be made to acquire or carry real estate assets, or from certain terminations of such hedging positions, does not constitute “gross income” for purposes of the 75% or 95% gross income tests that apply to REITs, provided that certain identification requirements are met. To the extent that we enter into other types of hedging transactions or fail to properly identify such transaction as a hedge, the income is likely to be treated as non-qualifying income for purposes of both of the gross income tests. As a result of these rules, we may be required to limit our use of advantageous hedging techniques or implement those hedges through a TRS. This could increase the cost of our hedging activities because any TRS in which we own an interest may be subject to tax on gains or expose us to greater risks associated with changes in interest rates than we would otherwise want to bear. In addition, losses in any TRS in which we own an interest will generally not provide any tax benefit, except that such losses could theoretically be carried forward against future taxable income in such TRS.

Complying with REIT requirements may affect our profitability and may force us to liquidate or forgo otherwise attractive investments.

To qualify as a REIT, we must continually satisfy tests concerning, among other things, the nature and diversification of our assets, the sources of our income and the amounts we distribute to our stockholders. We may be required to liquidate or forgo otherwise attractive investments in order to satisfy the asset and income tests or to qualify under certain statutory relief provisions. We also may be required to make distributions to stockholders at disadvantageous times or when we do not have funds readily available for distribution. As a result, having to comply with the distribution requirement could cause us to: (i) sell assets in adverse market conditions; (ii) borrow on unfavorable terms; or (iii) distribute amounts that would otherwise be invested in future acquisitions, capital expenditures or repayment of debt. Accordingly, satisfying the REIT requirements could materially and adversely affect us. Moreover, if we are compelled to liquidate our investments to meet any of these asset, income or distribution tests, or to repay obligations to our lenders, we may be unable to comply with one or more of the requirements applicable to REITs or may be subject to a 100% tax on any resulting gain if such sales are prohibited transactions.

There is a risk of changes in the tax law applicable to REITs.

Because the IRS, the United States Treasury Department and Congress frequently review federal income tax legislation, we cannot predict whether, when or to what extent new federal tax laws, regulations, interpretations or rulings will be adopted. Any of such legislative actions may prospectively or retroactively modify our tax treatment and, therefore, may adversely affect taxation of us and/or our investors. For example, the Tax Cuts and Jobs Act of 2017 (the “TCJA”) has significantly changed the U.S. federal income taxation of U.S. businesses and their owners, including REITs and their stockholders. You are urged to consult with your tax advisor with respect to the status of legislative, regulatory, judicial or administrative developments and proposals and their potential effect on an investment in our securities.

Risks Related to the Ownership of Our Common Stock

Changes in market conditions and volatility of stock prices could adversely affect the market price of our common stock.

The market price of our common stock on the NYSE has experienced significant volatility. The market price of our common stock will fluctuate, and such fluctuations could be significant and frequent; accordingly, our common stockholders may experience a significant decrease in the value of their shares, including decreases that may be related to technical market factors and may be unrelated to our operating performance or prospects. Similarly, the trading volume of our common stock may decline, and our common stockholders could experience a decrease in liquidity. A number of factors could negatively affect the price per share of our common stock, including: actual or anticipated variations in our quarterly operating results or distributions; changes in our funds from operations (“FFO”), core FFO (“Core FFO”), adjusted FFO (“AFFO”) or guidance; changes in our net investment activity; difficulties or inability to access equity or debt capital on attractive terms or extend or refinance existing debt; increases in our leverage; changes in our management or business strategy; failure to comply with the NYSE listing requirements or other regulatory requirements; and the other factors described in this Risk Factors section. Many of

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these factors are beyond our control. These factors may cause the market price of shares of our common stock to decline significantly, regardless of our financial condition, results of operations, business or our prospects.

Increases in market interest rates may result in a decrease in the value of shares of our common stock.

One of the factors that may influence the price of shares of our common stock is the distribution yield on shares of our common stock (as a percentage of the price of shares of our common stock) relative to market interest rates. An increase in market interest rates may lead prospective purchasers of shares of our common stock to expect a higher distribution yield. Additionally, higher interest rates would likely increase our borrowing costs and potentially decrease funds available for distribution. Thus, higher market interest rates could cause the per share trading price of our common stock to decrease. Higher borrowing costs and a reduced trading price of our common stock would increase our overall cost of capital and adversely affect our ability to make accretive acquisitions.

We may be unable to continue to make distributions at our current distribution level, and our Board may change our distribution policy in the future.

While we expect to continue to make regular quarterly distributions to the holders of our common stock, if sufficient cash is not available for distribution from our operations, we may have to fund distributions from working capital or net proceeds from asset sales, borrow to provide funds for such distributions, or reduce the amount of such distributions. To the extent we borrow to fund distributions, our future interest costs would increase, thereby reducing our earnings and cash available for distribution from what they otherwise would have been. If cash available for distribution generated by our assets is less than expected, or if such cash available for distribution decreases in future periods from expected levels, our inability to make distributions could result in a decrease in the market price of our common stock.

The decision to declare and pay distributions on our common stock, as well as the form, timing and amount of any such future distributions, is at the sole discretion of our Board and depends upon a number of factors, including our actual and projected results of operations, FFO, Core FFO, AFFO, liquidity, cash flows and financial condition, the revenue we actually receive from our properties, our operating expenses, our debt service requirements, our capital expenditures, prohibitions and other limitations under our financing arrangements, our REIT taxable income, the annual REIT distribution requirements, applicable law and such other factors as our Board deems relevant. We may not be able to make distributions in the future, and our inability to make distributions, or to make distributions at expected levels, could have a material adverse effect on the market price of our common stock.

The incurrence of additional debt, which would be senior to shares of our common stock upon liquidation, and/or preferred equity securities that may be senior to shares of our common stock for purposes of distributions or upon liquidation, may materially and adversely affect the market price of shares of our common stock.

In the future, we may attempt to increase our capital resources by making additional offerings of debt or preferred equity securities, including by causing our Operating Partnership or its subsidiaries to issue additional debt securities, or by otherwise incurring additional indebtedness. Upon liquidation, holders of our debt securities, other lenders and creditors, and any holders of preferred stock with a liquidation preference will receive distributions of our available assets prior to our stockholders. Additionally, any convertible or exchangeable securities that we issue in the future may have rights, preferences and privileges more favorable than those of our common stock and may result in dilution to owners of our common stock. Our stockholders are not entitled to preemptive rights or other protections against dilution. Our preferred stock, if issued, could have a preference on liquidating distributions or a preference on distribution payments that could limit our right to make distributions to our stockholders. Because our decision to issue securities in any future offering will depend on market conditions and other factors beyond our control, we cannot predict or estimate the amount, timing or nature of our future offerings. Our stockholders bear the risk of our future offerings reducing per share trading price of our common stock.

Sales of substantial amounts of our common stock or securities convertible into or exercisable or exchangeable therefor, or the perception that such sales might occur, could reduce the price of our common stock and may dilute your voting power and your ownership interest in us.

Sales of substantial amounts of our common stock or securities convertible into or exercisable or exchangeable therefor (such as OP Units), or the perception that such sales might occur, could adversely affect the market price of our common stock. OP Units (“OP Units”) are limited partnership interests in the Operating

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Partnership. Generally, beginning on and after the date that is 12 months after the issuance of OP Units, each limited partner of the Operating Partnership has the right to require the Operating Partnership to redeem part or all of its OP Units for cash, based upon the value of an equivalent number of shares of our common stock at the time of the redemption, or, at our election, shares of common stock on a one-for-one basis, subject to certain adjustments and the restrictions on ownership and transfer of our stock. Additionally, such sales would dilute the voting power and ownership interest of existing common stockholders. Our charter provides that we may issue up to 500,000,000 shares of common stock, and a majority of our entire Board has the power to amend our charter to increase the aggregate number of shares of stock or the number of shares of stock of any class or series that we are authorized to issue without stockholder approval. As of December 31, 2023, we had 164,635,150 shares of common stock outstanding and 553,847 OP Units outstanding (excluding OP Units held directly or indirectly by us). Any exchange of OP Units for common stock may result in stockholder dilution. In the future we may acquire properties through tax deferred contribution transactions in exchange for OP Units. This acquisition structure may have the effect of, among other things, reducing the amount of tax depreciation we could deduct over the tax life of the acquired properties, and may require that we agree to protect the contributors' ability to defer recognition of taxable gain through restrictions on our ability to dispose of the acquired properties and/or the allocation of partnership debt to the contributors to maintain their tax bases. These restrictions could limit our ability to sell an asset at a time, or on terms, that would be favorable absent such restrictions. As of December 31, 2023, 4,365,504 shares remain available for issuance under our 2023 Incentive Plan.

General Risk Factors

We may be vulnerable to security breaches or cyber attacks which could disrupt our operations and have a material adverse effect on our financial condition and operating results.

We rely on information systems across our operations and corporate functions, including finance and accounting, and depend on such systems to ensure payment of obligations, collection of cash, data warehousing to support analytics, and other various processes and procedures. Our ability to efficiently manage our business depends significantly on the reliability and capacity of these systems. Security breaches, cyber attacks, or disruption, of our or our third-party service providers’ physical or information technology infrastructure, networks and related management systems could result in, among other things, a breach of our networks and information technology infrastructure, the misappropriation of our or our tenants’ proprietary or confidential information, interruptions or malfunctions in our or our tenants’ operations, misstated financial reports, violations of loan covenants, an inability to monitor compliance with REIT qualification requirements, breach of our legal, regulatory or contractual obligations, our inability to access or rely upon critical business records, unauthorized access to our facilities or other disruptions in our operations. Numerous sources can cause these types of incidents, including physical or electronic security breaches; viruses, ransomware or other malware; hardware vulnerabilities; accident or human error by our own personnel or third parties; criminal activity or malfeasance (including by our own personnel); fraud or impersonation scams perpetrated against us or our partners or tenants; or security events impacting our third-party service providers or our partners or tenants.

We recognize the increasing volume of cyber attacks and employ commercially reasonable efforts to provide reasonable assurance such attacks are appropriately mitigated. We may be required to expend significant financial resources and management time to protect against or respond to such breaches. Techniques used to breach security change frequently and are generally not recognized until launched against a target, so we may not be able to promptly detect that a security breach or unauthorized access has occurred. We also may not be able to implement security measures in a timely manner or, if and when implemented, we may not be able to determine the extent to which these measures could be circumvented. If an actual or perceived security breach occurs, the market’s perception of our security measures could be harmed and we could lose current and potential tenants, and such a breach could be harmful to our brand and reputation. Any breaches that may occur could expose us to increased risk of lawsuits, material monetary damages, potential violations of applicable privacy and other laws, penalties and fines, harm to our reputation and increases in our security and insurance costs. In the event of a breach resulting in loss of data, such as personally identifiable information or other such data protected by data privacy or other laws, we may be liable for damages, fines and penalties for such losses under applicable regulatory frameworks despite not handling the data. We cannot guarantee that any backup systems, regular data backups, security protocols, network protection mechanisms and other procedures currently in place, or that may be in place in the future, will be adequate to prevent network and service interruption, system failure, damage to one or more of our systems or data loss in the event of a security breach or attack.

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In addition, the regulatory framework around data custody, data privacy and breaches varies by jurisdiction and is an evolving area of law with increasingly complex and rigorous regulatory standards enacted to protect business and personal data in the United States. We may not be able to limit our liability or damages in the event of such a loss. Data protection legislation is becoming increasingly common in the United States at both the federal and state level and may require us to further modify our data processing practices and policies. Compliance with existing, proposed and recently enacted laws and regulations can be costly; any failure to comply with these regulatory standards could subject us to legal and reputational risks. Misuse of or failure to secure personal information could also result in violation of data privacy laws and regulations, proceedings against the Company by governmental entities or others, fines and penalties, or damage to our reputation and credibility with regulators, tenants and investors.

We may become subject to litigation, which could materially and adversely affect us.

From time to time, we may become party to various lawsuits, claims and other legal proceedings. These matters may involve significant expense and may result in judgments or settlements, which may be significant. There can be no assurance that insurance will be available to cover losses related to legal proceedings or that our tenants will meet any indemnification obligations that they have to us. Litigation may result in significant defense costs and potentially significant judgments against us, some of which are not, or cannot be, insured against. Resolution of these types of matters against us may result in our having to pay significant fines, judgments or settlements, which, if uninsured, or if the fines, judgments, and settlements exceed insured levels, could materially and adversely affect us.

Material weaknesses in or a failure to maintain an effective system of internal control over financial reporting or disclosure controls could prevent us from accurately and timely reporting our financial results, which could materially and adversely affect us.

Effective internal controls over financial reporting are necessary for us to provide reliable financial reports, effectively prevent fraud and operate successfully as a public company. If we cannot provide reliable financial reports or prevent fraud, our reputation and operating results would be harmed. We are required to perform system and process evaluation and testing of our internal control over financial reporting to allow management to report on, and our independent registered public accounting firm to attest to, the effectiveness of our internal control over financial reporting, as required by Section 404 of the Sarbanes-Oxley Act of 2002. Designing and implementing an effective system of internal control over financial reporting and disclosure controls and procedures is a continuous effort that requires significant resources, including the expenditure of a significant amount of time by senior members of our management team.

In connection with our ongoing monitoring of our internal control over financial reporting or audits of our financial statements, we or our auditors may identify deficiencies in our internal control over financial reporting that may be significant or rise to the level of material weaknesses. Any failure to maintain effective internal control over financial reporting or disclosure controls and procedures or to timely effect any necessary improvements to such controls, could harm our operating results or cause us to fail to meet our reporting obligations (which could affect the listing of our common stock on the NYSE). Additionally, ineffective internal control over financial reporting or disclosure controls and procedures could also adversely affect our ability to prevent or detect fraud, harm our reputation and cause investors to lose confidence in our reported financial information, which would likely have a negative effect on the trading price of our common stock.

Changes in accounting standards may materially and adversely affect us.

From time to time FASB and the SEC, who create and interpret accounting standards, may change the financial accounting and reporting standards or their interpretation and application of these standards that will govern the preparation of our financial statements. These changes could materially and adversely affect our reported financial condition and results of operations, and, under certain circumstances, may cause us to fail to comply with financial covenants contained in agreements relating to our indebtedness. In some cases, we could be required to apply a new or revised standard retroactively, resulting in restating prior period financial statements. Similarly, these changes could materially and adversely affect our tenants’ reported financial condition or results of operations and affect their preferences regarding leasing real estate.

34

Item 1B. Unresolved Staff Comments.

None.

Item 1C. Cybersecurity.

Cyber criminals are becoming more sophisticated and effective every day, and all companies utilizing technology are subject to threats of breaches of their cybersecurity programs. To mitigate the threat to our business, we take a comprehensive approach to cybersecurity risk management and make securing our systems and data a top priority. Our Board and our management are actively involved in our overall enterprise risk management program, of which cybersecurity represents an important component. As described in more detail below, we have established policies, procedures and processes for assessing, identifying, and managing material risks from cybersecurity threats. There can be no guarantee that our policies, procedures and processes will be properly followed in every instance or that those policies, procedures and processes will be effective. We are not aware of any risks from cybersecurity threats, including as a result of any previous cybersecurity incidents, that have materially affected or are reasonably likely to materially affect us, including our business strategy, results of operations or financial condition. However, we can provide no assurance that there will not be incidents in the future or that they will not materially affect us. For more information about risks relating to cybersecurity matters see “Item 1A. Risk-Factors—General Risk Factors—We may be vulnerable to security breaches or cyber attacks which could disrupt our operations and have a material adverse effect on our financial condition and operating results.”

Risk Management and Strategy

Our policies, procedures and processes for assessing, identifying, and managing material risks from cybersecurity threats are integrated into our overall enterprise risk management program. Our cybersecurity program in particular focuses on the following key areas:

Collaboration

Our cybersecurity risks are identified and addressed through a comprehensive, cross-functional approach. Personnel primarily responsible for security, risk and compliance matters meet periodically to develop strategies for preserving the confidentiality, integrity and availability of Company and tenant information, identifying, preventing and mitigating cybersecurity threats, and responding to any cybersecurity incidents. We maintain controls and procedures that are designed to ensure prompt escalation of material cybersecurity incidents so that decisions regarding public disclosure and reporting of such incidents can be made by management and the Board in a timely manner.

Risk Assessment

At least annually, we, with the assistance of an external cybersecurity consultant, conduct a cybersecurity risk assessment that takes into account information from internal personnel, known potential information security vulnerabilities and information from external sources (e.g., reported security incidents that have impacted other companies, industry trends, and evaluations by third parties and consultants). The results of the assessment are used to drive alignment on, and prioritization of, initiatives to enhance our security controls, make recommendations to improve processes, and inform a broader enterprise-level risk assessment that is presented to our Board, its Nominating and Corporate Governance Committee, and members of management.

Technical Safeguards

We periodically assess and deploy technical safeguards designed to protect our information systems from cybersecurity threats. Such safeguards are periodically evaluated and improved based on vulnerability assessments, cybersecurity threat intelligence and incident response experience.

Incident Response and Recovery Planning

We have established comprehensive incident response and recovery plans and continue to periodically test and evaluate the effectiveness of those plans. Our incident response and recovery plans address—and guide our employees, management and the Board on—our response to a cybersecurity incident.

35

Third-Party Risk Management

We have implemented controls designed to identify and mitigate cybersecurity threats associated with our use of third-party service providers. Such providers are subject to security risk assessments at the time of engagement, contract renewal and upon detection of an increase in risk profile. We use a variety of inputs in such risk assessments, including information supplied by providers and third parties, and investigate security incidents that have impacted our third-party providers, as appropriate.

Education and Awareness

Each of our employees is required to comply with our cybersecurity policies. We regularly remind employees of the importance of handling and protecting our data, including through annual privacy and security training to enhance employee awareness of how to detect and respond to cybersecurity threats.

External Assessments

Our cybersecurity policies and procedures are periodically assessed by our external cybersecurity consultant. These assessments include a variety of activities including information security maturity assessments, penetration tests, and independent reviews of our information security control environment and operating effectiveness. The results of significant assessments are reported to management, the Board and its Nominating and Corporate Governance Committee. Cybersecurity processes are adjusted based on the information provided from these assessments.

Governance

Board Oversight

Our Board, in coordination with its Nominating and Corporate Governance Committee, oversees our management of cybersecurity risk. They receive periodic reports from management and our external cybersecurity consultant about the identification, prevention, detection, mitigation and remediation of cybersecurity incidents, including material security risks and information security vulnerabilities. Our Nominating and Corporate Governance Committee directly oversees our cybersecurity program. The Nominating and Corporate Governance Committee receives periodic updates from management and our external cybersecurity consultant on cybersecurity risk resulting from risk assessments, progress of risk reduction initiatives, external auditor feedback, control maturity assessments, and relevant internal and industry cybersecurity incidents.

Management’s Role

Our chief financial officer (“CFO”) has primary responsibility for assessing and managing material risks from cybersecurity threats. The CFO meets periodically with our external cybersecurity consultant to review security performance metrics and identify security risks. The CFO and our external cybersecurity consultant also consider and make recommendations on security policies and procedures, security service requirements and risk mitigation strategies to the Nominating and Corporate Governance Committee.

Item 2. Properties.

Our Real Estate Investment Portfolio

As of December 31, 2023, we had a portfolio of 1,873 properties, inclusive of 136 properties that secure our investments in mortgage loans receivable, that was diversified by tenant, concept, industry and geography and had annualized base rent of $364.8 million. Our 374 tenants operate 588 different concepts in 16 industries across 48 states. None of our tenants represented more than 3.8% of our portfolio at December 31, 2023 and our top ten largest tenants represented 18.1% of our annualized base rent as of that date.

36

Diversification by Tenant

As of December 31, 2023, our top ten tenants included ten different concepts. The following table details information about our tenants and the related concepts they operate as of December 31, 2023 (dollars in thousands):

Tenant (1)	Concept	Number of Properties (2)	Annualized Base Rent		% of Annualized Base Rent
EquipmentShare.com Inc.	EquipmentShare	48	$	14,039	3.8	%
CNP Holdings, LLC	Chicken N Pickle	8	8,346		2.3	%
Busy Bees US Holdings Limited	Various	31	6,943		1.9	%
New Potato Creek Holdings, LLC	Tidal Wave Auto Spa	16	5,943		1.6	%
Mdsfest, Inc.	Festival Foods	6	5,778		1.6	%
The Track Holdings, LLC	Five Star	10	5,695		1.6	%
Captain D's, LLC	Captain D's	77	5,627		1.5	%
SB Pep Holdco, LLC(3)	Various	12	4,650		1.3	%
Premier Early Childhood Education Partners LLC	Various	26	4,619		1.3	%
Car Wash Partners, Inc.	Mister Car Wash	13	4,566		1.3	%
Top 10 Subtotal		247	66,205		18.1	%
Other		1,623	298,571		81.9	%
Total		1,870	$	364,776	100.0	%

 __________________________________________

(1)Represents tenant or guarantor.

(2)Excludes three vacant properties.

(3)Includes properties leased to a subsidiary of Accelerated Brands.

As of December 31, 2023, our five largest tenants, who contributed 11.2% of our annualized base rent, had a rent coverage ratio of 7.3x while our ten largest tenants, who contributed 18.1% of our annualized base rent, had a rent coverage ratio of 5.4x.

As of December 31, 2023, 95.9% of our leases (based on annualized base rent) were triple-net, where the tenant is typically responsible for all improvements and is contractually obligated to pay all operating expenses, such as maintenance, insurance, utility and tax expense, related to the leased property. Due to the triple-net structure of our leases, we do not expect to incur significant capital expenditures relating to our triple-net leased properties, and the potential impact of inflation on our operating expenses is reduced.

37

Diversification by Concept

Our tenants operate their businesses across 588 concepts (i.e., generally brands). The following table provides information about the top ten concepts in our portfolio as of December 31, 2023 (dollars in thousands): 

Concept	Type of Business	Annualized Base Rent		% of Annualized Base Rent		Number of Properties (1)	Building (Sq. Ft.) (1)
EquipmentShare	Service	$	14,039	3.8	%	48	823,701
Chicken N Pickle	Experience	8,346		2.3	%	8	279,483
Crunch Fitness	Experience	8,028		2.2	%	19	675,084
Captain D's	Service	6,707		1.8	%	88	228,470
Tidal Wave Auto Spa	Service	5,943		1.6	%	16	30,497
Festival Foods	Retail	5,778		1.6	%	6	465,660
Five Star	Experience	4,717		1.3	%	9	65,455
Mister Car Wash	Service	4,566		1.3	%	13	54,621
Spare Time Entertainment	Experience	4,521		1.2	%	6	272,979
John Deere	Service	4,259		1.2	%	22	395,014
Top 10 Subtotal		66,904		18.3	%	235	3,290,964
Other		297,872		81.7	%	1,635	15,301,544
Total		$	364,776	100.0	%	1,870	18,592,508

 ______________________________________

(1)Excludes three vacant properties.

38

Diversification by Industry

Our tenants' business concepts are diversified across various industries. The following table summarizes those industries as of December 31, 2023 (dollars in thousands except per sq. ft amounts):

Tenant Industry	Type of Business	Annualized Base Rent		% of Annualized Base Rent		Number of Properties (1)	Building (Sq. Ft.) (1)	Rent Per Sq. Ft. (2)
Car Washes	Service	$	55,177	15.1	%	179	887,863	$	62.53
Early Childhood Education	Service	42,288		11.6	%	191	1,990,269	21.25
Quick Service	Service	39,101		10.7	%	427	1,145,403	34.48
Medical / Dental	Service	38,581		10.6	%	206	1,557,129	24.78
Automotive Service	Service	30,003		8.2	%	224	1,526,876	19.65
Casual Dining	Service	25,506		7.0	%	115	817,546	31.20
Equipment Rental and Sales	Service	18,572		5.1	%	72	1,252,458	14.83
Convenience Stores	Service	18,415		5.0	%	145	578,272	33.09
Other Services	Service	8,634		2.4	%	46	600,191	14.39
Family Dining	Service	6,835		1.9	%	38	249,173	27.43
Pet Care Services	Service	5,904		1.6	%	38	260,429	23.92
Service Subtotal		289,016		79.2	%	1,681	10,865,609	26.73
Entertainment	Experience	29,970		8.2	%	54	1,727,559	17.35
Health and Fitness	Experience	15,633		4.3	%	38	1,427,431	11.34
Movie Theatres	Experience	4,398		1.2	%	6	293,206	15.00
Experience Subtotal		50,001		13.7	%	98	3,448,196	14.71
Grocery	Retail	11,604		3.2	%	32	1,477,780	7.85
Home Furnishings	Retail	1,491		0.4	%	3	176,809	8.44
Retail Subtotal		13,095		3.6	%	35	1,654,589	7.91
Other Industrial	Industrial	8,754		2.4	%	33	1,367,097	6.40
Building Materials	Industrial	3,910		1.1	%	23	1,257,017	3.11
Industrial Subtotal		12,664		3.5	%	56	2,624,114	4.83
Total/Weighted Average		$	364,776	100.0	%	1,870	18,592,508	$	19.73

 ____________________________________________________

(1)Excludes three vacant properties.

(2)Excludes properties with no annualized base rent and properties under construction.

As of December 31, 2023, our tenants operating service-oriented businesses had a weighted average rent coverage ratio of 3.7x, our tenants operating experience-based businesses had a weighted average rent coverage ratio of 2.8x, our tenants operating retail businesses had a weighted average rent coverage ratio of 4.2x and our tenants operating other types of businesses had a weighted average rent coverage ratio of 10.9x.

39

Diversification by Geography

Our 1,873 properties locations are located in 48 states. The following table details the geographical locations of our properties as of December 31, 2023 (dollars in thousands):

State	Annualized Base Rent		% of Annualized Base Rent		Number of Properties	Building (Sq. Ft.)
Texas	$	47,745	13.1	%	215	2,312,947
Georgia	29,165		8.0	%	153	1,051,818
Ohio	22,002		6.0	%	141	1,198,456
Florida	21,455		5.9	%	86	775,400
Wisconsin	19,048		5.2	%	72	1,011,950
Missouri	13,274		3.6	%	69	849,260
North Carolina	12,394		3.4	%	63	642,318
Arizona	11,874		3.3	%	52	562,798
Oklahoma	10,849		3.0	%	59	831,399
Michigan	10,400		2.9	%	60	1,002,532
Alabama	9,791		2.7	%	56	514,795
New Jersey	9,296		2.6	%	29	373,874
New York	8,749		2.4	%	58	304,086
Arkansas	8,675		2.4	%	58	480,277
Virginia	8,662		2.4	%	29	321,102
Illinois	8,659		2.4	%	51	403,037
Minnesota	8,633		2.4	%	40	551,746
Tennessee	8,592		2.4	%	51	349,388
South Carolina	8,310		2.3	%	50	456,252
Pennsylvania	7,402		2.0	%	39	391,321
Indiana	7,140		2.0	%	49	365,594
Mississippi	6,718		1.8	%	53	316,851
Connecticut	6,513		1.8	%	20	508,568
Colorado	6,202		1.7	%	28	319,000
Massachusetts	6,119		1.7	%	31	431,281
Iowa	5,297		1.5	%	32	363,483
Nevada	4,385		1.2	%	13	104,860
Kentucky	4,234		1.2	%	38	234,363
Kansas	3,918		1.1	%	17	162,837
California	3,647		1.0	%	17	125,741
Louisiana	3,624		1.0	%	19	133,848
New Hampshire	3,499		1.0	%	15	255,981
New Mexico	3,359		0.9	%	21	128,455
South Dakota	2,684		0.7	%	9	130,152
Washington	2,382		0.7	%	12	99,374
Maryland	2,379		0.7	%	9	75,410
West Virginia	1,655		0.5	%	24	66,746
Maine	1,002		0.3	%	3	56,981
Utah	956		0.3	%	2	67,659
Nebraska	911		0.3	%	8	32,892
Idaho	644		0.2	%	2	41,146
North Dakota	559		0.2	%	4	62,270
Rhode Island	466		0.1	%	2	22,865
Wyoming	453		0.1	%	2	14,001
Oregon	403		0.1	%	7	119,584
Alaska	250		0.1	%	2	6,630
Vermont	223		0.1	%	1	30,508
Montana	179		0.1	%	1	—
Total	$	364,776	100.0	%	1,873	18,661,836

40

Lease Expirations

As of December 31, 2023, the weighted average remaining term of our leases was 14.0 years (based on annualized base rent), with only 4.7% of our annualized base rent attributable to leases expiring prior to January 1, 2029. The following table sets forth our lease expirations for leases in place as of December 31, 2023 (dollars in thousands):

Lease Expiration Year (1)	Annualized Base Rent		% of Annualized Base Rent		Number of Properties (2)	Weighted Average Rent Coverage Ratio (3)
2024	$	1,506	0.4	%	20	2.3	x
2025	2,226		0.6	%	15	3.2	x
2026	3,046		0.8	%	19	3.0	x
2027	6,140		1.7	%	55	2.9	x
2028	4,323		1.2	%	16	2.7	x
2029	9,701		2.7	%	113	5.2	x
2030	4,116		1.1	%	45	4.7	x
2031	13,059		3.6	%	78	2.8	x
2032	12,209		3.3	%	47	4.2	x
2033	7,842		2.1	%	24	3.4	x
2034	28,169		7.7	%	200	6.6	x
2035	14,795		4.1	%	98	3.7	x
2036	39,372		10.8	%	159	4.4	x
2037	21,714		6.0	%	127	6.0	x
2038	42,516		11.7	%	178	3.6	x
2039	17,471		4.8	%	80	2.5	x
2040	28,548		7.8	%	126	2.5	x
2041	23,060		6.3	%	111	2.6	x
2042	40,198		11.0	%	177	3.3	x
2043	37,333		10.2	%	158	2.9	x
Thereafter	7,432		2.0	%	24	4.1	x
Total/Weighted Average	$	364,776	100.0	%	1,870	3.8	x

 _______________________________________________________________

(1)Expiration year of contracts in place as of December 31, 2023, excluding any tenant option renewal periods that have not been exercised.

(2)Excludes three vacant properties.

(3)Weighted by annualized base rent.

Unit Level Rent Coverage

Generally, we seek to acquire investments with healthy rent coverage ratios, and as of December 31, 2023, the weighted average rent coverage ratio of our portfolio was 3.8x. Our portfolio’s unit-level rent coverage ratios (by annualized base rent and excluding leases that do not report unit-level financial information) as of December 31, 2023 are displayed below:

Unit Level Coverage Ratio	% of Total
≥ 2.00x	73.2	%
1.50x to 1.99x	12.5	%
1.00x to 1.49x	9.9	%
< 1.00x	3.1	%
Not reported	1.3	%
	100.0	%

41

Implied Tenant Credit Ratings

Tenant financial distress is typically caused by consistently poor or deteriorating operating performance, near-term liquidity issues or unexpected liabilities. To assess the probability of tenant insolvency, we utilize Moody’s Analytics RiskCalc, which is a model for predicting private company defaults based on Moody’s Analytics Credit Research Database, which incorporates both market and company-specific risk factors. The following table illustrates the portions of our annualized base rent as of December 31, 2023 attributable to leases with tenants having specified implied credit ratings based on their Moody’s RiskCalc scores:

Credit Rating	NR		< 1.00x		1.00 to 1.49x		1.50 to 1.99x		≥ 2.00x
CCC+	0.1	%	0.4	%	0.1	%	0.8	%	0.5	%
B-	—	%	0.1	%	0.1	%	—	%	1.1	%
B	0.2	%	0.1	%	1.9	%	1.1	%	7.4	%
B+	0.1	%	1.1	%	2.3	%	0.7	%	13.4	%
BB-	—	%	—	%	0.7	%	2.9	%	9.6	%
BB	0.2	%	0.3	%	1.0	%	0.7	%	5.4	%
BB+	—	%	0.2	%	1.4	%	2.1	%	9.8	%
BBB-	—	%	0.4	%	1.0	%	1.7	%	8.2	%
BBB	0.2	%	0.1	%	0.3	%	1.5	%	7.7	%
BBB+	—	%	—	%	0.3	%	0.1	%	2.3	%
A-	—	%	—	%	0.1	%	0.1	%	2.2	%
A	—	%	—	%	—	%	0.4	%	1.9	%
A+	—	%	—	%	0.6	%	—	%	0.2	%
AA-	—	%	—	%	—	%	—	%	—	%

_____________________________________

NR    Not reported

Item 3. Legal Proceedings.

We are subject to various lawsuits, claims and other legal proceedings. Management does not believe that the resolution of any of these matters either individually or in the aggregate will have a material adverse effect on our business, financial condition, results of operations or liquidity. Further, from time to time, we are party to various lawsuits, claims and other legal proceedings for which third parties, such as our tenants, are contractually obligated to indemnify, defend and hold us harmless. In some of these matters, the indemnitors have insurance for the potential damages. In other matters, we are being defended by tenants who may not have sufficient insurance, assets, income or resources to satisfy their defense and indemnification obligations to us. The unfavorable resolution of such legal proceedings could, individually or in the aggregate, materially adversely affect the indemnitors' ability to satisfy their respective obligations to us, which, in turn, could have a material adverse effect on our business, financial condition, results of operations or liquidity. It is management's opinion that there are currently no such legal proceedings pending that will, individually or in the aggregate, have such a material adverse effect. Despite management's view of the ultimate resolution of these legal proceedings, we may have significant legal expenses and costs associated with the defense of such matters. Further, management cannot predict the outcome of these legal proceedings and if management's expectation regarding such matters is not correct, such proceedings could have a material adverse effect on our business, financial condition, results of operations or liquidity.

Item 4. Mine Safety Disclosures.

Not applicable.

42

PART II

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.

Our common stock is listed on the NYSE under the symbol "EPRT". As of February 9, 2024, there were 196 holders of record of the 166,102,747 outstanding shares of our common stock. Because many of our shares of common stock are held by brokers and other institutions on behalf of stockholders, we are unable to estimate the total number of stockholders represented by these record holders.

Distributions

We have made and intend to continue to make quarterly cash distributions to our common stockholders. In particular, in order to maintain our qualification for taxation as a REIT, we intend to make annual distributions to our stockholders of at least 90% of our REIT taxable income, determined without regard to the deduction for dividends paid and excluding any net capital gain. However, any future distributions will be at the sole discretion of our Board, and their form, timing and amount, if any, will depend upon a number of factors, including our actual and projected results of operations, FFO, Core FFO, AFFO, liquidity, cash flows and financial condition, the revenue we actually receive from our properties, our operating expenses, our debt service requirements, our capital expenditures, prohibitions and other limitations under our financing arrangements, our REIT taxable income, the annual REIT distribution requirements, applicable law and such other factors as our Board deems relevant. To the extent that our cash available for distribution is less than 90% of our REIT taxable income, we may consider various means to cover any such shortfall, including borrowing under the Revolving Credit Facility or other loans, selling certain of our assets, or using a portion of the net proceeds we receive from offerings of equity, equity-related or debt securities or declaring taxable share dividends. Agreements relating to our indebtedness, including our revolving and term loan credit facilities, limit and, under certain circumstances, could eliminate our ability to make distributions.  See "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations—Description of Certain Debt."

We have determined that, for federal income tax purposes, approximately 86.0% of the distributions paid for the 2023 tax year represented taxable income and 14.0% represented a return of capital.

Issuer Purchases of Equity Securities

During the year ended December 31, 2023, the Company did not repurchase any of its equity securities.

Stock Performance Graph

The following performance graph and related table compare, for the five year period ended December 31, 2023, the cumulative total stockholder return on our common stock with that of the Standard & Poor's 500 Composite Stock Index ("S&P 500") and the FTSE NAREIT All Equity REITs index ("FNER"). The graph and related table assume $100.00 was invested on January 1, 2019 and assumes the reinvestment of all dividends. The historical stock price performance reflected in the graph and related table is not necessarily indicative of future stock price performance.

43

Essential Properties Realty Trust, Inc.

 

Ticker / Index	1/1/2019	12/31/2019	12/31/2020	12/31/2021	12/31/2022	12/31/2023
EPRT	100.00	187.70	169.71	238.32	204.45	233.36
S&P 500	100.00	136.89	159.19	202.58	162.81	202.31
FNER	100.00	123.96	113.69	156.04	113.51	121.37

 The performance graph and the related table are being furnished solely to accompany this Annual Report on Form 10-K pursuant to Item 201(e) of Regulation S-K, and are not being filed for purposes of Section 18 of the Exchange Act and are not to be incorporated by reference into any filing of ours, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

Equity Compensation Plan Information

The information concerning our Equity Compensation Plan will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

Unregistered Sales of Equity Securities and Use of Proceeds

Not applicable.

Item 6. [Reserved]

44

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion and analysis of our financial condition and results of operations should be read together with our consolidated financial statements and the related notes included elsewhere in this report, as well as the "Business" section of this report. Some of the information contained in this discussion and analysis or set forth elsewhere in this report, including information with respect to our plans and strategies for our business, includes forward‑looking statements that involve risks and uncertainties. You should read "Item 1A. Risk Factors" and the "Special Note Regarding Forward‑Looking Statements" sections of this report for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by these forward‑looking statements.

Overview

We are an internally managed real estate company that acquires, owns and manages primarily single-tenant properties that are net leased on a long-term basis to middle-market companies operating service-oriented or experience-based businesses. We generally invest in and lease freestanding, single-tenant commercial real estate facilities where a tenant services its customers and conducts activities that are essential to the generation of the tenant’s sales and profits. As of December 31, 2023, 92.9% of our $364.8 million of annualized base rent was attributable to properties operated by tenants in service-oriented and experience-based businesses. "Annualized base rent" means annualized contractually specified cash base rent in effect on December 31, 2023 for all of our leases (including those accounted for as loans or direct financing leases) commenced as of that date and annualized cash interest on our mortgage loans receivable as of that date.

We were organized on January 12, 2018 as a Maryland corporation. We elected to be taxed as a REIT for federal income tax purposes beginning with the year ended December 31, 2018, and we believe that our current organization, operations and intended distributions will allow us to continue to so qualify. Our common stock is listed on the New York Stock Exchange under the symbol “EPRT”.

Our primary business objective is to maximize stockholder value by generating attractive risk-adjusted returns through owning, managing and growing a diversified portfolio of commercially desirable properties. As of December 31, 2023, we had a portfolio of 1,873 properties (inclusive of 136 properties which secure our investments in mortgage loans receivable) that was diversified by tenant, industry, concept and geography, had annualized base rent of $364.8 million and was 99.8% occupied. Our portfolio is built based on the following core investment attributes:

Diversification. As of December 31, 2023, our portfolio was 99.8% occupied by 374 tenants operating 588 different brands, or concepts, in 16 industries across 48 states, with none of our tenants contributing more than 3.8% of our annualized base rent. Our goal is that, over time, no more than 5% of our annualized base rent will be derived from any single-tenant or more than 1% from any single property.

Long Lease Term. As of December 31, 2023, our leases had a weighted average remaining lease term of 14.0 years (based on annualized base rent), with 4.7% of our annualized base rent attributable to leases expiring prior to January 1, 2029. Our properties generally are subject to long-term net leases that we believe provide us a stable base of revenue from which to grow our portfolio.

Significant Use of Sale-Leaseback Investments. We seek to acquire properties owned and operated by middle-market businesses and lease the properties back to the operators pursuant to our standard lease form. During the year ended December 31, 2023, approximately 98.8% of our investments were sale-leaseback transactions.

Significant Use of Master Leases. As of December 31, 2023, 65.7% of our annualized base rent was attributable to master leases.

Contractual Base Rent Escalation. As of December 31, 2023, 98.7% of our leases (based on annualized base rent) provided for increases in future base rent at a weighted average rate of 1.7% per year.

Smaller, Low Basis Single-Tenant Properties. We generally invest in freestanding “small-box” single- tenant properties. As of December 31, 2023, our average investment per property was $2.7 million (which equals

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our aggregate investment in our properties (including transaction costs, lease incentives and amounts funded for construction in progress) divided by the number of properties owned at such date), and we believe investments of similar size allow us to grow our portfolio without concentrating a large amount of capital in individual properties and limit our exposure to events that may adversely affect a particular property. Additionally, we believe that many of our properties are generally fungible and appropriate for multiple commercial uses, which reduces the risk that a particular property may become obsolete and enhances our ability to sell a property if we choose to do so.

Healthy Rent Coverage Ratio and Tenant Financial Reporting. As of December 31, 2023, our portfolio’s weighted average rent coverage ratio was 3.8x, and 98.8% of our leases (based on annualized base rent) obligate the tenant to periodically provide us with specified unit-level financial reporting. "Rent coverage ratio" means, as of a specified date, the ratio of (x) tenant-reported or, when unavailable, management's estimate (based on tenant-reported financial information) of annual earnings before interest, taxes, depreciation, amortization and cash rent attributable to the leased property (or properties, in the case of a master lease) to (y) the annualized base rental obligation.

Historical Investment and Disposition Activity

The following table sets forth select information about our investment activity for the previous eight quarters beginning with the quarter ended March 31, 2022 through December 31, 2023 (dollars in thousands):

	Three Months Ended
	March 31, 2023		June 30, 2023		September 30, 2023		December 31, 2023
Investment activity	$	207,147	$	277,361	$	213,327	$	314,865
Number of transactions	24		29		30		43
Property count	57		78		65		93
Avg. investment per unit	$	3,401	$	3,350	$	2,812	$	3,008
Cash cap rate 1	7.6%		7.4%		7.6%		7.9%
GAAP cap rate 2	9.0%		8.7%		8.7%		9.1%
Master lease percentage 3,4	86%		57%		60%		72%
Sale-leaseback percentage 3,5	100%		99%		100%		97%
Existing relationship percentage	94%		66%		86%		96%
Percentage of financial reporting3	100%		100%		100%		100%
Rent coverage ratio	3.3x		3.9x		3.3x		3.3x
Lease term (years)	19.0		19.3		17.6		17.6
	Three Months Ended
	March 31, 2022		June 30, 2022		September 30, 2022		December 31, 2022
Investment activity	$	237,795	$	175,738	$	195,454	$	328,370
Number of transactions	23		23		27		39
Property count	105		39		40		115
Avg. investment per unit	$	2,187	$	3,870	$	3,750	$	2,782
Cash cap rate 1	7.0%		7.0%		7.1%		7.5%
GAAP cap rate 2	7.8%		8.0%		8.2%		8.8%
Master lease percentage 3,4	83%		86%		68%		90%
Sale-leaseback percentage 3,5	100%		100%		89%		99%
Existing relationship percentage	83%		79%		94%		95%
Percentage of financial reporting3	100%		100%		100%		100%
Rent coverage ratio	3.3x		2.7x		4.4x		3.2x
Lease term (years)	15.0		17.2		16.5		18.7

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(1)    Cash annualized base rent for the first full month after the investment divided by the gross investment in the property plus transaction costs.

(2)    GAAP rent and interest income for the first twelve months after the investment divided by the gross investment in the property plus transaction costs.

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(3)    As a percentage of annualized base rent.

(4)    Includes investments in mortgage loans receivable collateralized by more than one property.

(5)    Includes investments in mortgage loans receivable made in support of sale-leaseback transactions.

The following table sets forth select information about our quarterly disposition activity for the quarters ended March 31, 2022 through December 31, 2023 (dollars in thousands):

	Three Months Ended
	March 31, 2023		June 30, 2023		September 30, 2023		December 31, 2023
Disposition volume1	$	37,161	$	41,736	$	28,496	$	30,602
Cash cap rate on leased assets 2	6.1%		6.2%		6.5%		6.6%
Leased properties sold 3	17		14		9		9
Vacant properties sold 3	—		2		1		—
	Three Months Ended
	March 31, 2022		June 30, 2022		September 30, 2022		December 31, 2022
Disposition volume1	$	18,443	$	26,091	$	35,513	$	75,522
Cash cap rate on leased assets 2	7.1%		6.2%		6.2%		6.9%
Leased properties sold 3	6		8		12		25
Vacant properties sold 3	—		—		—		1

_____________________________________

(1)     Net of transaction costs.

(2)     Annualized base rent at time of sale divided by the gross sale price (excluding transaction costs) for the property.

(3)     Property count excludes dispositions of undeveloped land parcels or dispositions where only a portion of the owned parcel was sold.

Liquidity and Capital Resources

As of December 31, 2023, the net investment value of our income property portfolio totaled $4.5 billion, consisting of investments in 1,873 properties (inclusive of 136 properties which secure our investments in mortgage loans receivable), with annualized base rent of $364.8 million. Substantially all of our cash from operations is generated by our investment portfolio.

The liquidity requirements for operating our Company consist primarily of funding our investment activities, servicing our outstanding indebtedness and paying our general and administrative expenses. The occupancy level of our portfolio is high (99.8% as of December 31, 2023) and, because substantially all of our leases are triple-net (whereby our tenants are generally responsible for all maintenance, costs for operating the property, and insurance and property taxes associated with the leased properties), our liquidity requirements are not significantly impacted by property costs. When a property becomes vacant, we are required to pay the property costs not paid by a tenant, as well as those property costs accruing during the time it takes to locate a new tenant or to sell the property. As of December 31, 2023, three of our investment properties were vacant, significantly less than 1% of our portfolio, and all remaining properties were subject to a lease or mortgage loan receivable. We expect to incur property costs from time to time in periods during which properties that become vacant are being marketed for lease or sale. In addition, we may recognize an expense for certain property costs, such as real estate taxes billed in arrears, if we believe the tenant is likely to vacate the property before making payment on those obligations. The amount of such property costs can vary quarter-to-quarter based on the timing of property vacancies and the level of underperforming properties; however, we do not expect that such costs will be significant to our operations.

We intend to continue to grow through additional investments in stand-alone single-tenant properties. To accomplish this objective, we seek to invest in real estate utilizing a combination of debt and equity capital and with cash from operations that we do not distribute to our stockholders. When we sell properties, we generally reinvest the cash proceeds from our sales in new single-tenant properties. Our short-term liquidity requirements also include the funding needs associated with 74 properties where we have agreed to reimburse the tenant for certain development, construction, or renovation costs or to provide construction financing in exchange for contractual payments of interest or increased rent that generally increases in proportion with our level of funding. As of December 31, 2023, we agreed to provide construction financing or reimburse the tenant for certain development, construction and renovation costs in an aggregate amount of $435.2 million, and, as of such date, we have funded

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$254.6 million of this commitment. We expect to fund the remaining commitment totaling $180.6 million by December 31, 2024.

Additionally, as of February 9, 2024, we were under contract to acquire 20 properties with an aggregate purchase price of $59.4 million, subject to completion of our due diligence procedures and satisfaction of customary closing conditions. We expect to meet our short-term liquidity requirements, including our construction financing and tenant reimbursement obligations and potential investment in future single-tenant properties, primarily with our cash and cash equivalents, net cash from operating activities, issuance of common stock subject to outstanding forward purchase commitments, borrowings under the Revolving Credit Facility and potentially through proceeds generated from asset sales and our 2022 ATM Program, under which we may issue common stock with an aggregate gross sales price of up to $278.5 million as of February 9, 2024.

Our long-term liquidity requirements consist primarily of the funds necessary to make additional investments and repay indebtedness. We expect to meet our long-term liquidity requirements through various sources of capital, including net cash from operating activities, borrowings under our Revolving Credit Facility, future debt financings, proceeds from the sale of our common stock and proceeds from the sale of selected properties in our portfolio. However, at any point in time, there may be a number of factors that could have a material and adverse effect on our ability to access these capital sources, including unfavorable conditions in the overall equity and credit markets, our level of leverage, the portion of our portfolio that is unencumbered, our credit ratings, borrowing restrictions imposed by our existing debt agreements, general market conditions for real estate and potentially REITs specifically, our operating performance, our liquidity and general market perceptions about us. The success of our business strategy will depend, to a significant degree, on our ability to access these various capital sources to fund our future investments and thereby grow our cash flows.

An additional liquidity need is funding the required level of distributions, generally 90% of our REIT taxable income (determined without regard to the dividends paid deduction and excluding any net capital gain), that are among the requirements for us to continue to qualify for taxation as a REIT. Holders of OP Units are entitled to distributions per unit equivalent to those paid by us per share of common stock. During the year ended December 31, 2023, our Board declared total cash distributions of $1.12 per share of common stock/OP Unit totaling $176.0 million and $47.2 million is payable as of December 31, 2023. To continue to qualify for taxation as a REIT, we must make distributions to our stockholders aggregating annually at least 90% of our REIT taxable income, determined without regard to the dividends paid deduction and excluding any net capital gain. As a result of this requirement, we cannot rely on retained earnings to fund our business needs to the same extent as other entities that are not REITs. If we do not have sufficient funds available to us from our operations to fund our business needs, we will need to find alternative ways to fund those needs. Such alternatives may include, among other things, selling properties (whether or not the sales price is optimal or otherwise meets our strategic long-term objectives), incurring additional indebtedness or issuing equity securities in public or private transactions. The availability and attractiveness of the terms of these potential sources of financing cannot be assured.

Generally, our short-term debt capital needs are provided through the use of our Revolving Credit Facility. We manage our long-term leverage position through the issuance of long-term fixed-rate debt on an unsecured or secured basis. Generally, we will seek to issue long-term debt on an unsecured basis as we believe this facilitates greater flexibility in the management of our portfolio and our ability to retain optionality in our overall financing and growth strategy. By seeking to match the expected cash inflows from our long-term income producing investments with the expected cash outflows for our long-term debt, we seek to "lock in," for as long as is economically feasible, the expected positive spread between our scheduled cash inflows from our investments and the cash outflows on our debt obligations. In this way, we seek to reduce the risk that increases in interest rates would adversely impact our cash flows and results of operations. Our ability to execute leases that contain annual rent escalations also contributes to our ability to manage the risk of a rising interest rate environment. We use various financial instruments designed to mitigate the impact of interest rate fluctuations on our cash flows and earnings, including hedging strategies such as interest rate swaps and caps, depending on our analysis of the interest rate environment and the costs and risks of such strategies. Although we are not required to maintain a particular leverage ratio and may not be able to do so, we generally consider that, over time, a level of net debt (which includes recourse and non-recourse borrowings and any outstanding preferred stock less cash and cash equivalents and restricted cash available for future investment) that is less than six times our annualized adjusted EBITDAre is prudent for a real estate company like ours.

As of December 31, 2023, all of our long-term debt was fixed-rate debt or was effectively converted to a fixed-rate for the term of the debt though hedging strategies and our weighted average debt maturity was 4.9 years. As

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we continue to invest in real estate properties and grow our real estate portfolio, we intend to manage our long-term debt maturities to reduce the risk that a significant amount of our debt will mature in any single year in the future.

Future sources of debt capital may include public issuances of senior unsecured notes, term loan borrowings, mortgage financing of a single-asset or a portfolio of assets and CMBS borrowings. These sources of debt capital may offer us the opportunity to lower our cost of funding and further diversify our sources of debt capital. Over time, we may choose to issue preferred equity as a part of our overall strategy for funding our business. As our outstanding debt matures, we may refinance it as it comes due or choose to repay it using cash and cash equivalents or borrowings under our Revolving Credit Facility. We believe that the cash generated by our operations, together with our cash and cash equivalents at December 31, 2023, our borrowing availability under the Revolving Credit Facility, issuance of common stock subject to outstanding forward purchase commitments, and our potential access to additional sources of capital, will be sufficient to fund our operations for the foreseeable future and allow us to invest in the real estate for which we currently have made commitments.

Supplemental Guarantor Information

In March 2020, the SEC adopted amendments to Rule 3-10 of Regulation S-X and created Rule 13-01 to simplify disclosure requirements related to certain registered securities. The rule became effective January 4, 2021. The Company and the Operating Partnership have filed a registration statement on Form S-3 with the SEC registering, among other securities, debt securities of the Operating Partnership, which, unless otherwise specified, will be fully and unconditionally guaranteed by the Company. At December 31, 2023, the Operating Partnership had issued and outstanding $400.0 million of senior notes. The obligations of the Operating Partnership under the senior notes are guaranteed on a senior basis by the Company. The guarantee is full and unconditional, and the Operating Partnership is a consolidated subsidiary of the Company.

As a result of the amendments to Rule 3-10 of Regulation S-X, subsidiary issuers of obligations guaranteed by the parent are not required to provide separate financial statements, provided that the subsidiary obligor is consolidated into the parent company’s consolidated financial statements, the parent guarantee is “full and unconditional” and, subject to certain exceptions as set forth below, the alternative disclosure required by Rule 13-01 is provided, which includes narrative disclosure and summarized financial information. Accordingly, separate consolidated financial statements of the Operating Partnership have not been presented. Furthermore, as permitted under Rule 13-01(a)(4)(vi), the Company has excluded the summarized financial information for the Operating Partnership as the assets, liabilities and results of operations of the Company and the Operating Partnership are not materially different than the corresponding amounts presented in the consolidated financial statements of the Company, and management believes such summarized financial information would be repetitive and not provide incremental value to investors.

Description of Certain Debt

The following table summarizes our outstanding indebtedness as of December 31, 2023 and 2022:

		Principal Outstanding				Weighted Average Interest Rate (1)
(in thousands)	Maturity Date	December 31, 2023		December 31, 2022		December 31, 2023	December 31, 2022
Unsecured term loans:
2024 Term Loan	April 2024	$	—	$	200,000	—%	2.9%
2027 Term Loan	February 2027	430,000		430,000		2.4%	2.4%
2028 Term Loan	January 2028	400,000		400,000		4.6%	4.6%
2029 Term Loan	February 2029 (2)	450,000		—		4.3%	—%
Senior unsecured notes	July 2031	400,000		400,000		3.1%	3.1%
Revolving Credit Facility	February 2026	—		—		—%	—%
Total principal outstanding		$	1,680,000	$	1,430,000	3.6%	3.3%

_______________________________________________________________

(1)Interest rates are presented after giving effect to our interest rate swap and lock agreements, where applicable.

(2)After giving effect to extension options exercisable at the Operating Partnership's election.

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Revolving Credit Facility and Credit Facility Term Loans

Through our Operating Partnership, we are party to an Amended and Restated Credit Agreement with a group of lenders, which was amended on August 24, 2023 (the "Credit Agreement") and provides for revolving loans of up to $600.0 million (the "Revolving Credit Facility") and an additional $850.0 million of term loans, consisting of a $400.0 million term loan (the "2028 Term Loan") and a $450.0 million term loan (the “2029 Term Loan” and, together with the 2028 Term Loan, the "CF Term Loans”). All principal amounts available under the 2028 Term Loan were drawn in the third and fourth quarters of 2022. Concurrently with the closing of the August 24, 2023 amendment, $250.0 million of the 2029 Term Loan was drawn with further draws of $125.0 million made in September 2023 and $75.0 million made in October 2023. The $200.0 million previously outstanding under the Company's term loan due in April 2024 (the "2024 Term Loan") was repaid in full with a portion of the Company's initial borrowings under the 2029 Term Loan in August 2023.

The Revolving Credit Facility matures on February 10, 2026, with two extension options of six months each, exercisable by the Operating Partnership subject to the satisfaction of certain conditions. The 2028 Term Loan matures on January 25, 2028 and the 2029 Term Loan has an original maturity of three years, plus extension options at the Operating Partnership's election which can extend the maturity to February 24, 2029. The loans under each of the Revolving Credit Facility and the CF Term Loans initially bear interest at an annual rate of applicable Adjusted Term SOFR (as defined in the Credit Agreement) plus an applicable margin (which applicable margin varies between the Revolving Credit Facility and the CF Term Loans). The Adjusted Term SOFR is a rate with a term equivalent to the interest period applicable to the relevant borrowing. In addition, the Operating Partnership is required to pay a revolving facility fee throughout the term of the Revolving Credit Facility. The applicable margin and the revolving facility fee rate are a spread and rate, as applicable, set according to the Company's credit ratings provided by S&P, Moody's and/or Fitch.

Each of the Revolving Credit Facility and the CF Term Loans is freely pre-payable at any time. Outstanding credit extensions under the Revolving Credit Facility are mandatorily payable if the amount of such credit extensions exceeds the revolving facility limit. The Operating Partnership may re-borrow amounts paid down on the Revolving Credit Facility prior to its maturity. Loans repaid under the CF Term Loans cannot be reborrowed. The Credit Agreement has an accordion feature to increase, subject to certain conditions, the maximum availability of credit (either through increased revolving commitments or additional term loans) by up to $600.0 million.

The Operating Partnership is the borrower under the Credit Agreement, and we and certain of the subsidiaries of the Operating Partnership that own a direct or indirect interest in an eligible real property asset are guarantors under the Credit Agreement. Under the terms of the Credit Agreement, we are subject to customary restrictive financial and nonfinancial covenants which, among other things, require us to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios. As of December 31, 2023, we were in compliance with these covenants.

The Credit Agreement also restricts our ability to pay distributions to our stockholders under certain circumstances. However, we may make distributions to the extent necessary to maintain our qualification as a REIT under the Code. In addition to the financial covenants described above, the Credit Agreement contains customary affirmative and negative covenants that, among other things and subject to exceptions, limit or restrict our ability to incur indebtedness and liens, consummate mergers or other fundamental changes, dispose of assets, make certain restricted payments, make certain investments, modify our organizational documents, transact with affiliates, change our fiscal periods, provide negative pledge clauses, make subsidiary distributions, enter into certain new lines of business or engage in certain activities, and fail to meet the requirements for taxation as a REIT.

2027 Term Loan

On February 18, 2022, we, through our Operating Partnership, amended our existing $430.0 million term loan credit facility (the "2027 Term Loan") to, among other things, reduce the Applicable Margin, extend the maturity date to February 18, 2027 and make certain other changes consistent with market terms and conditions. In August 2022, the 2027 Term Loan was further amended to revise the applicable margin grid such that the applicable pricing is based on the credit rating of the Company’s long-term senior unsecured non-credit enhanced debt for borrowed money (subject to a single step-down in the applicable pricing if the Company achieves a consolidated leverage ratio that is less than 0.35 to 1:00 while maintaining a credit rating of BBB/Baa2 provided by S&P, Moody's and/or Fitch).

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The borrowings under the 2027 Term Loan, as amended, bear interest at an annual rate of applicable Adjusted Term SOFR (as defined in the Credit Agreement) plus an applicable margin. The Adjusted Term SOFR is a rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin was initially a spread set according to a leverage-based pricing grid. In May 2022, the Operating Partnership made an irrevocable election to have the applicable margin be a spread set according to the Company’s corporate credit ratings provided by S&P, Moody’s and/or Fitch. The 2027 Term Loan is pre-payable at any time by the Operating Partnership without penalty. The 2027 Term Loan has an accordion feature to increase, subject to certain conditions, the maximum availability of the facility up to an aggregate of $500.0 million.

The Operating Partnership is the borrower under the 2027 Term Loan, and we and certain of the subsidiaries of the Operating Partnership that own a direct or indirect interest in an eligible real property asset are guarantors under the facility. Under the terms of the 2027 Term Loan, we are subject to customary restrictive financial and nonfinancial covenants which, among other things, require us to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios. As of December 31, 2023, we were in compliance with these covenants.

The 2027 Term Loan restricts our ability to pay distributions to our stockholders under certain circumstances. However, we may make distributions to the extent necessary to maintain our qualification as a REIT under the Code. The 2027 Term Loan contains certain additional covenants that, subject to exceptions, limit or restrict our incurrence of indebtedness and liens, disposition of assets, transactions with affiliates, mergers and fundamental changes, modification of organizational documents, changes to fiscal periods, making of investments, negative pledge clauses and lines of business and REIT qualification.

Senior Unsecured Notes

On June 22, 2021, the Operating Partnership issued $400.0 million aggregate principal amount of 2.950% Senior Notes due 2031 (the "2031 Notes"), resulting in net proceeds of $396.6 million. The 2031 Notes were issued by the Operating Partnership and the obligations of the Operating Partnership under the 2031 Notes are fully and unconditionally guaranteed on a senior basis by the Company.

The indenture and supplemental indenture creating the 2031 Notes contain customary restrictive covenants, including limitations on our ability to incur additional secured and unsecured indebtedness. As of December 31, 2023, we were in compliance with these covenants.

Cash Flows

Comparison of the years ended December 31, 2023 and 2022

As of December 31, 2023, we had $39.8 million of cash and cash equivalents and $9.2 million of restricted cash, as compared to $62.3 million of cash and cash equivalents and $9.2 million of restricted cash as of December 31, 2022.

Cash Flows for the year ended December 31, 2023

During the year ended December 31, 2023, net cash provided by operating activities was $254.6 million and our net income was $191.4 million. Our cash flows from operating activities are primarily dependent upon the occupancy of our portfolio, the rental rates specified in our leases, the interest on our loans and direct financing lease receivables, the collectability of rent and interest, and the level of our operating expenses and general and administrative costs. Our cash inflows from operating activities reflect adjustments to net income for non-cash items of $68.3 million, including i) depreciation and amortization of tangible, intangible and right-of-use real estate assets, and amortization of deferred financing costs and other non-cash interest expense of $107.6 million, ii) loss on debt extinguishment of $0.1 million, iii) our provision for impairment of real estate of $3.5 million, iv) adjustment to rental revenue for tenant credit of $0.6 million, and v) non-cash equity-based compensation expense of $9.0 million, reduced by i) our $24.2 million gain on dispositions of real estate, net, ii) $28.3 million related to the recognition of straight-line rent receivables, and iii) the subtraction of the change in our provision for credit losses of $0.1 million. An additional inflow was our increase in accrued liabilities and other payables of $0.8 million, offset by the outflow caused by the increase in our rent receivables, prepaid expenses and other assets of $6.0 million.

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Net cash used in investing activities during the year ended December 31, 2023 was $857.1 million. Our net cash used in investing activities generally reflects our investment in real estate, including capital expenditures, construction in progress and lease incentives, and in mortgage loans receivable, which totaled $1.0 billion in the aggregate for the year ended December 31, 2023. These cash outflows were partially offset by $128.6 million of proceeds from sales of investments, net of disposition costs, and $27.9 million of principal collections on our loans and direct financing lease receivables.

Net cash provided by financing activities of $580.0 million during the year ended December 31, 2023 reflected net cash inflows of $507.3 million from the issuance of common stock, $248.0 million from new borrowings under the 2029 Term Loan and $70.0 million of borrowings under the Revolving Credit Facility. These cash inflows were partially offset by the payment of $168.2 million in dividends, $0.9 million of offeing costs paid related to our follow-on offerings and the ATM program, repayment of $70.0 million of borrowings under the Revolving Credit Facility, the payment of deferred financing costs of $2.4 million, and the payment of $3.7 million in taxes related to the net settlement of equity awards.

Cash Flows for the year ended December 31, 2022

During the year ended December 31, 2022, net cash provided by operating activities was $211.0 million. Our cash flows from operating activities primarily depend on the occupancy of our portfolio, the rental rates specified in our leases, the interest on our loans and direct financing lease receivables, the collectability of rent and interest and the level of our operating expenses and general and administrative costs. Cash inflows during 2022 related to net income adjusted for non-cash items of $210.5 million (net income of $134.7 million adjusted for non-cash items, including the addition of depreciation and amortization of tangible, intangible and right-of-use real estate assets, amortization of deferred financing costs and other non-cash interest expense, loss on debt extinguishment and provision for impairment of real estate, offset by the subtraction of the change in our provision for credit losses, gain on dispositions of real estate, net, straight-line rent receivable, equity-based compensation expense and adjustment to rental revenue for tenant credit, which in aggregate net to an addition of $75.7 million), a decrease in rent receivables, prepaid expenses and other assets of $4.5 million and a decrease in accrued liabilities and other payables of $3.9 million.

Net cash used in investing activities during the year ended December 31, 2022 was $706.1 million. Our net cash used in investing activities is generally used to fund our investments in real estate, the development of our construction in progress and investments in mortgage loans receivable, offset by cash provided from the disposition of real estate and principal collections on our loans and direct financing lease receivables. The cash used in investing activities during 2022 primarily included $728.7 million to fund investments in real estate, $115.0 million of investments in loans receivable, $51.9 million to fund construction in progress and $7.5 million paid to tenants as lease incentives. These cash outflows were partially offset by $126.6 million of proceeds from sales of investments, net of disposition costs, and $70.4 million of principal collections on our loans and direct financing lease receivables.

Net cash provided by financing activities was $506.8 million during the year ended December 31, 2022. Our net cash provided by financing activities in 2022 related to cash inflows of $403.9 million from the issuance of common stock in a follow-on equity offering and through our ATM Program, and $299.0 million of borrowings under the Revolving Credit Facility. These cash inflows were partially offset by $443.0 million of repayments on the Revolving Credit Facility, the payment of $141.7 million in dividends, $1.0 million of offering costs paid related to our follow-on offering and the ATM Program, the payment of deferred financing costs of $5.0 million and $2.5 million of payments for taxes related to the net settlement of equity awards.

Off-Balance Sheet Arrangements

We had no off-balance sheet arrangements as of December 31, 2023.

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Contractual Obligations

The following table provides information with respect to our contractual obligations as of December 31, 2023: 

	Payment due by period
(in thousands)	Total		2024		2025-2026		2027-2028		Thereafter
Unsecured Term Loans	$	1,280,000	$	—	$	—	$	830,000	$	450,000
Senior unsecured notes	400,000		—		—		—		400,000
Revolving Credit Facility	—		—		—		—		—
Tenant Construction Financing and Reimbursement Obligations (1)	180,630		180,630		—		—		—
Operating Lease Obligations (2)	24,359		1,641		2,624		2,035		18,059
Total	$	1,884,989	$	182,271	$	2,624	$	832,035	$	868,059

_____________________________________ 

(1)Includes obligations to reimburse certain of our tenants for development, construction and renovation costs that they incur related to properties leased from the Company in exchange for contractual payments of interest or increased rent that generally increases proportionally with our funding.

(2)Includes $22.2 million of rental payments due under ground lease arrangements where our tenants are directly responsible for payment.

Additionally, we may enter into commitments to purchase goods and services in connection with the operation of our business. These commitments generally have terms of one-year or less and reflect expenditure levels comparable to our historical expenditures, as adjusted for growth.

Critical Accounting Estimates

Our accounting policies are determined in accordance with GAAP. The preparation of our financial statements requires us to make estimates and assumptions that are subjective in nature and, as a result, our actual results could differ materially from our estimates. Estimates and assumptions include, among other things, subjective judgments regarding the fair values and useful lives of our properties for depreciation and lease classification purposes, the collectability of receivables and asset impairment analysis. Set forth below are the more critical accounting policies that require management judgment and estimates in the preparation of our consolidated financial statements.

Real Estate Investments

Investments in real estate are carried at cost less accumulated depreciation and impairment losses, if any. The cost of investments in real estate reflects their purchase price or development cost and, in the case of asset acquisitions, transaction costs related to the acquisition.

We allocate the purchase price (plus transaction costs) of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics.

The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the "as-if-vacant" value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant's lease. We estimate the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors we consider in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, we include real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six to 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and our estimate of the fair market lease rate for the corresponding in-place lease, measured over the

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remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases.

In making estimates of fair values for purposes of allocating purchase price, we use a number of sources, including real estate valuations prepared by independent valuation firms. We also consider information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate, e.g., location, size, demographics, value and comparative rental rates, tenant credit profile and the importance of the location of the real estate to the operations of the tenant's business. Additionally, we consider information obtained about each property as a result of our pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. We use the information obtained as a result of our pre-acquisition due diligence as part of our consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation.

Allowance for Credit Losses

Under ASC Topic 326, Financial Instruments - Credit Losses, we use a real estate loss estimate model (“RELEM”) which estimates losses on our loans and direct financing lease receivable portfolio, for purposes of calculating allowances for credit losses. The RELEM allows us to refine (on an ongoing basis) the expected loss estimate by incorporating asset-specific assumptions as necessary, such as anticipated funding, interest payments, estimated extensions and estimated loan repayment/refinancing at maturity to estimate cash flows over the life of the loan or direct financing lease receivable. The model also incorporates assumptions related to underlying collateral values, various loss scenarios, and predicted losses to estimate expected losses. Our specific asset-level inputs include loan-to-stabilized-value (“LTV”), principal balance, property type, location, coupon, origination year, term, subordination, expected repayment date and future funding. We categorize the results by LTV range, which we consider the most significant indicator of credit quality for our loans and direct financing lease receivables. A lower LTV ratio typically indicates a lower credit loss risk.

We also evaluate each loan and direct financing lease receivable measured at amortized cost for credit deterioration at least quarterly. Credit deterioration occurs when it is deemed probable that we will not be able to collect all amounts due according to the contractual terms of the loan or direct financing lease receivable.

Our allowance for credit losses is adjusted to reflect our estimation of the current and future economic conditions that impact the performance of the real estate assets securing our loans. These estimations include various macroeconomic factors impacting the likelihood and magnitude of potential credit losses for our loans and direct financing lease receivables during their anticipated term. Changes in our allowance for credit losses are presented within change in provision for credit losses in the accompanying statements of operations.

Impairment of Long-Lived Assets

If circumstances indicate that the carrying value of a property may not be recoverable, we review the asset for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property's use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. Impairment assessments have a direct impact on the consolidated statements of operations, because recording an impairment loss results in an immediate negative adjustment to the consolidated statements of operations.

Adjustment to Rental Revenue for Tenant Credit

We continually review receivables related to rent and unbilled rent receivables and determine collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located.

If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments

54

that have been collected is recognized as a current period reduction of rental revenue in our consolidated statements of operations.

Derivative Instruments

In the normal course of business, we use derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect us against adverse fluctuations in interest rates by reducing our exposure to variability in cash flows on a portion of our floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. We record all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. We may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or we elect not to apply hedge accounting.

The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designated and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If we elect not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of these derivative instruments is recognized immediately in gains (losses) on derivative instruments in the consolidated statements of operations. We do not intend to use derivative instruments for trading or speculative purposes.

Equity-Based Compensation  

We grant shares of restricted common stock ("RSAs") and restricted stock units ("RSUs") to our directors, executive officers and other employees that vest over multiple periods, subject to the recipient's continued service. We also grant performance-based RSUs to our executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient's continued service. We account for RSAs and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods.

We recognize compensation expense for equity-based compensation using the straight-line method based on the fair value of the award on the grant date. Forfeitures of equity-based compensation awards, if any, are recognized when they occur.

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Results of Operations

The following discussion includes the results of our operations for the periods presented.

Comparison of the years ended December 31, 2023 and 2022 

	Year ended December 31,
(dollar amounts in thousands)	2023		2022		Change		%
Revenues:
Rental revenue	$	339,897	$	269,827	$	70,070	26.0	%
Interest on loans and direct financing lease receivables	18,128		15,499		2,629		17.0	%
Other revenue, net	1,570		1,180		390		33.1	%
Total revenues	359,595		286,506		73,089		25.5	%
Expenses:
General and administrative	30,678		29,464		1,214		4.1	%
Property expenses	4,663		3,452		1,211		35.1	%
Depreciation and amortization	102,219		88,562		13,657		15.4	%
Provision for impairment of real estate	3,548		20,164		(16,616)		(82.4)	%
Change in provision for credit losses	(99)		88		(187)		212.5	%
Total expenses	141,009		141,730		(721)		(0.5)	%
Other operating income:
Gain on dispositions of real estate, net	24,167		30,647		(6,480)		(21.1)	%
Income from operations	242,753		175,423		67,330		38.4	%
Other (expense)/income:
Loss on debt extinguishment	(116)		(2,138)		2,022		94.6	%
Interest expense	(52,597)		(40,370)		(12,227)		30.3	%
Interest income	2,011		2,825		(814)		(28.8)	%
Income before income tax expense	192,051		135,740		56,311		41.5	%
Income tax expense	636		998		(362)		(36.3)	%
Net income	191,415		134,742		56,673		42.1	%
Net income attributable to non-controlling interests	(708)		(612)		(96)		(15.7)	%
Net income attributable to stockholders	$	190,707	$	134,130	$	56,577	42.2	%

Revenues:

Rental revenue. Rental revenue increased by $70.1 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. The increase in rental revenue was driven primarily by the growth in our real estate investment portfolio, which grew by 220 rental properties, or 13% since December 31, 2022. Our real estate investments were acquired throughout the periods presented and were not all owned by us for the entirety of the applicable periods; accordingly, a significant portion of the increase in rental revenue between periods is related to recognizing revenue in 2023 from acquisitions that were made during 2022 and 2023. Another component of the increase in revenues between periods relates to rent escalations recognized on our leases.

Interest on loans and direct financing lease receivables. Interest on loans and direct financing lease receivables increased by $2.6 million during the year ended December 31, 2023, as compared to the year ended December 31, 2022, primarily due to a higher average daily balance of mortgage loans receivable outstanding during 2023 along with increased interest rates earned during the year ended December 31, 2023.

Other revenue, net. Other revenue for the year ended December 31, 2023 increased by $0.4 million, as compared to the year ended December 31, 2022, primarily due to the receipt of insurance claim proceeds offset by a decrease in mortgage loan prepayment income fees received during the year ended December 31, 2023.

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Expenses:

General and administrative. General and administrative expense increased by $1.2 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. This increase in general and administrative expense was primarily due to an increase in salary expense, severance costs, and professional fees during the year ended December 31, 2023.

Property expenses. Property expenses increased by $1.2 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. The increase in property expenses was primarily due to increased reimbursable property taxes and property-related operational costs during the year ended December 31, 2023.

Depreciation and amortization. Depreciation and amortization expense increased by $13.7 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. Depreciation and amortization expense increased in proportion to the general increase in the size of our real estate investment portfolio.    

Provision for impairment of real estate. Impairment charges on real estate investments were $3.5 million and $20.2 million for the years ended December 31, 2023 and 2022, respectively, a decrease of $16.6 million. During the years ended December 31, 2023 and 2022, we recorded a provision for impairment of real estate on 8 and 13 of our real estate investments, respectively, with the average size of our impairments being smaller in 2023. We strategically seek to identify non-performing properties that we may re-lease or dispose of in an effort to improve our returns and manage risk exposure. An increase in vacancy associated with our disposition or re-leasing strategies may trigger impairment charges when the expected future cash flows from the properties from sale or re-lease are less than their net book value.

Change in provision for credit losses. During the year ended December 31, 2023, our provision for credit losses decreased by $0.1 million, compared to a $0.1 million increase in our provision for credit losses during the year ended December 31, 2022. Under ASC 326, we are required to re-evaluate the expected loss on our portfolio of loans and direct financing lease receivables at each balance sheet date. Changes in our provision for credit losses are driven by revisions to global and loan-specific assumptions in our credit loss model and by changes in the size of our loan and direct financing lease portfolio.

Other operating income:

Gain on dispositions of real estate, net. Gain on dispositions of real estate, net, decreased by $6.5 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. We disposed of 52 real estate properties during the year ended December 31, 2023, compared to 54 real estate properties during the year ended December 31, 2022. Overall, our 2023 dispositions had a lower sales price in relation to their net book value as compared to our 2022 dispositions.

Other (expense)/income:

Loss on debt extinguishment. The loss on debt extinguishment of $0.1 million during the year ended December 31, 2023 relates to the write-off of deferred financing costs in conjunction with the full repayment of our 2024 Term Loan in August 2023. During the year ended December 31, 2022, we recorded a loss on debt extinguishment of $2.1 million related to the write-off of deferred financing costs and the payment of fees in conjunction with amendments to our term loans and revolving credit facility.

Interest expense. Interest expense increased by $12.2 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. This increase in interest expense was primarily due to an increase in our outstanding debt balance and increased interest rates during the year ended December 31, 2023 compared to the year ended December 31, 2022.

Interest income. Interest income decreased by $0.8 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. The decrease in interest income was primarily due to lower average daily cash balances in our interest-bearing bank accounts and a decrease in investments in commercial paper during the year ended December 31, 2023.

Income tax expense. Income tax expense decreased by $0.4 million for the year ended December 31, 2023, as compared to the year ended December 31, 2022. The decrease was primarily due to the accrual of income taxes

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for a transaction consummated in 2022 through our taxable REIT subsidiary. We are organized and operate as a REIT and are generally not subject to U.S. federal taxation. However, the Operating Partnership is subject to taxation in certain state and local jurisdictions that impose income taxes on a partnership. Changes in income tax expense are also due to changes in the proportion of our real estate portfolio located in jurisdictions where the Operating Partnership is subject to taxation.

Non-GAAP Financial Measures

Our reported results are presented in accordance with GAAP. We also disclose the following non-GAAP financial measures: funds from operations ("FFO"), core funds from operations ("Core FFO"), adjusted funds from operations ("AFFO"), earnings before interest, taxes, depreciation and amortization ("EBITDA"), EBITDA further adjusted to exclude gains (or losses) on sales of depreciable property and real estate impairment losses ("EBITDAre"), adjusted EBITDAre, annualized adjusted EBITDAre, net debt, net operating income ("NOI") and cash NOI ("Cash NOI"). We believe these non-GAAP financial measures are industry measures used by analysts and investors to compare the operating performance of REITs.

We compute FFO in accordance with the definition adopted by the Board of Governors of the National Association of Real Estate Investment Trusts ("NAREIT"). NAREIT defines FFO as GAAP net income or loss adjusted to exclude extraordinary items (as defined by GAAP), net gain or loss from sales of depreciable real estate assets, impairment write-downs associated with depreciable real estate assets and real estate-related depreciation and amortization (excluding amortization of deferred financing costs and depreciation of non-real estate assets), including the pro rata share of such adjustments of unconsolidated subsidiaries. FFO is used by management, and may be useful to investors and analysts, to facilitate meaningful comparisons of operating performance between periods and among our peers primarily because it excludes the effect of real estate depreciation and amortization and net gains and losses on sales (which are dependent on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions).

We compute Core FFO by adjusting FFO, as defined by NAREIT, to exclude certain GAAP income and expense amounts that we believe are infrequent and unusual in nature and/or not related to our core real estate operations. Exclusion of these items from similar FFO-type metrics is common within the equity REIT industry, and management believes that presentation of Core FFO provides investors with a metric to assist in their evaluation of our operating performance across multiple periods and in comparison to the operating performance of our peers, because it removes the effect of unusual items that are not expected to impact our operating performance on an ongoing basis. Core FFO is used by management in evaluating the performance of our core business operations. Items included in calculating FFO that may be excluded in calculating Core FFO include certain transaction related gains, losses, income or expenses or other non-core amounts as they occur.

To derive AFFO, we modify our computation of Core FFO to include other adjustments to GAAP net income related to certain items that we believe are not indicative of our operating performance, including straight-line rental revenue, non-cash interest expense, non-cash compensation expense, other amortization expense, other non-cash charges and capitalized interest expense. Such items may cause short-term fluctuations in net income but have no impact on operating cash flows or long-term operating performance. We believe that AFFO is an additional useful supplemental measure for investors to consider when assessing our operating performance without the distortions created by non-cash items and certain other revenues and expenses.

FFO, Core FFO and AFFO do not include all items of revenue and expense included in net income, they do not represent cash generated from operating activities and they are not necessarily indicative of cash available to fund cash requirements; accordingly, they should not be considered alternatives to net income as a performance measure or cash flows from operations as a liquidity measure and should be considered in addition to, and not in lieu of, GAAP financial measures. Additionally, our computation of FFO, Core FFO and AFFO may differ from the methodology for calculating these metrics used by other equity REITs and, therefore, may not be comparable to similarly titled measures reported by other equity REITs.

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The following table reconciles net income (which is the most comparable GAAP measure) to FFO, Core FFO and AFFO attributable to stockholders and non-controlling interests:

	Year ended December 31,
(in thousands)	2023		2022		2021
Net income	$	191,415	$	134,742	$	96,211
Depreciation and amortization of real estate	102,103		88,459		69,043
Provision for impairment of real estate	3,548		20,164		6,120
Gain on dispositions of real estate, net	(24,167)		(30,647)		(9,338)
FFO attributable to stockholders and non-controlling interests	272,899		212,718		162,036
Non-core expense (income) (1)(2)(3)	(510)		2,388		4,461
Core FFO attributable to stockholders and non-controlling interests	272,389		215,106		166,497
Adjustments:
Straight-line rental revenue, net	(30,375)		(20,615)		(19,116)
Non-cash interest	3,187		2,616		2,554
Non-cash compensation expense	9,192		9,489		5,683
Other amortization expense	1,507		2,912		2,675
Other non-cash charges	(73)		74		(212)
Capitalized interest expense	(2,430)		(757)		(81)
AFFO attributable to stockholders and non-controlling interests	$	253,397	$	208,825	$	158,000

_____________________________________

(1)Includes $0.1 million loss on debt extinguishment, $0.9 million of insurance recovery income and $0.4 million of cash and non-cash separation costs with the departures of a junior executive and a Board member during the year ended December 31, 2023.

(2)Includes $0.2 million of fees incurred in conjunction with the August 2022 amendment to our 2027 Term Loan and our $2.1 million loss on debt extinguishment during the year ended December 31, 2022.

(3)Includes our $4.5 million loss on debt extinguishment during the year ended December 31, 2021.

We compute EBITDA as earnings before interest, income taxes and depreciation and amortization. In 2017, NAREIT issued a white paper recommending that companies that report EBITDA also report EBITDAre. We compute EBITDAre in accordance with the definition adopted by NAREIT. NAREIT defines EBITDAre as EBITDA (as defined above) excluding gains (or losses) from the sales of depreciable property and real estate impairment losses. We present EBITDA and EBITDAre as they are measures commonly used in our industry. We believe that these measures are useful to investors and analysts because they provide supplemental information concerning our operating performance, exclusive of certain non-cash items and other costs. We use EBITDA and EBITDAre as measures of our operating performance and not as measures of liquidity.

EBITDA and EBITDAre do not include all items of revenue and expense included in net income, they do not represent cash generated from operating activities and they are not necessarily indicative of cash available to fund cash requirements; accordingly, they should not be considered alternatives to net income as a performance measure or cash flows from operations as a liquidity measure and should be considered in addition to, and not in lieu of, GAAP financial measures. Additionally, our computation of EBITDA and EBITDAre may differ from the methodology for calculating these metrics used by other equity REITs and, therefore, may not be comparable to similarly titled measures reported by other equity REITs.

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The following table reconciles net income (which is the most comparable GAAP measure) to EBITDA and EBITDAre attributable to stockholders and non-controlling interests:

	Year ended December 31,
(in thousands)	2023		2022		2021
Net income	$	191,415	$	134,742	$	96,211
Depreciation and amortization	102,219		88,562		69,146
Interest expense	52,597		40,370		33,614
Interest income	(2,011)		(2,825)		(94)
Income tax expense	636		998		227
EBITDA attributable to stockholders and non-controlling interests	344,856		261,847		199,104
Provision for impairment of real estate	3,548		20,164		6,120
Gain on dispositions of real estate, net	(24,167)		(30,647)		(9,338)
EBITDAre attributable to stockholders and non-controlling interests	$	324,237	$	251,364	$	195,886

We further adjust EBITDAre for the most recently completed quarter i) based on an estimate calculated as if all re-leasing, investment and disposition activity that took place during the quarter had been made on the first day of the quarter, ii) to exclude certain GAAP income and expense amounts that we believe are infrequent and unusual in nature and iii) to eliminate the impact of lease termination fees and contingent rental revenue from certain of our tenants, which is subject to sales thresholds specified in the applicable leases ("Adjusted EBITDAre"). We then annualize quarterly Adjusted EBITDAre by multiplying it by four ("Annualized Adjusted EBITDAre"), which we believe provides a meaningful estimate of our current run rate for all of our investments as of the end of the most recently completed quarter. You should not unduly rely on this measure, as it is based on assumptions and estimates that may prove to be inaccurate. Our actual reported EBITDAre for future periods may be significantly less than our current Annualized Adjusted EBITDAre.

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The following table reconciles net income (which is the most comparable GAAP measure) to Annualized Adjusted EBITDAre attributable to stockholders and non-controlling interests for the three months ended December 31, 2023:

(in thousands)	Three months ended December 31, 2023
Net income	$	49,271
Depreciation and amortization	27,440
Interest expense	15,760
Interest income	(595)
Income tax expense	164
EBITDA attributable to stockholders and non-controlling interests	92,040
Provision for impairment of real estate	1,903
Gain on dispositions of real estate, net	(4,847)
EBITDAre attributable to stockholders and non-controlling interests	89,096
Adjustment for current quarter re-leasing, acquisition and disposition activity (1)	4,506
Adjustment to exclude other non-core or non-recurring activity (2)	185
Adjustment to exclude termination/prepayment fees and certain percentage rent (3)	(144)
Adjusted EBITDAre attributable to stockholders and non-controlling interests	$	93,643
Annualized Adjusted EBITDAre attributable to stockholders and non-controlling interests	$	374,572

_____________________________________

(1)Adjustment assumes all re-leasing activity, investments in and dispositions of real estate and loan repayments completed during the three months ended December 31, 2023 had occurred on October 1, 2023.

(2)Adjustment is made to i) exclude non-core income and expense adjustments made in computing Core FFO, ii) exclude changes in our provision for credit losses and iii) eliminate the impact of seasonal fluctuation in certain non-cash compensation expense recorded in the period.

(3)Adjustment excludes lease termination or loan prepayment fees and contingent rent (based on a percentage of the tenant's gross sales at the leased property) where payment is subject to exceeding a sales threshold specified in the lease, if any.

We calculate our net debt as our gross debt (defined as total debt plus net deferred financing costs on our secured borrowings) less cash and cash equivalents and restricted cash available for future investment. We believe excluding cash and cash equivalents and restricted cash available for future investment from gross debt, all of which could be used to repay debt, provides an estimate of the net contractual amount of borrowed capital to be repaid, which we believe is a beneficial disclosure to investors and analysts.

The following table reconciles total debt (which is the most comparable GAAP measure) to net debt: 

	December 31,
(in thousands)	2023		2022
Unsecured term loan, net of deferred financing costs	$	1,272,772	$	1,025,492
Revolving credit facility	—		—
Senior unsecured notes	395,846		395,286
Total debt	1,668,618		1,420,778
Deferred financing costs and original issue discount, net	11,382		9,222
Gross debt	1,680,000		1,430,000
Cash and cash equivalents	(39,807)		(62,345)
Restricted cash available for future investment	(9,156)		(9,155)
Net debt	$	1,631,037	$	1,358,500

 We compute NOI as total revenues less property expenses. NOI excludes all other items of expense and income included in the financial statements in calculating net income or loss in accordance with GAAP. Cash NOI further excludes non-cash items included in total revenues and property expenses, such as straight-line rental revenue and other amortization and non-cash charges. We believe NOI and Cash NOI provide useful and relevant

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information because they reflect only those revenue and expense items that are incurred at the property level and present such items on an unlevered basis.

NOI and Cash NOI are not measures of financial performance under GAAP. You should not consider our NOI and Cash NOI as alternatives to net income or cash flows from operating activities determined in accordance with GAAP. Additionally, our computation of NOI and Cash NOI may differ from the methodology for calculating these metrics used by other equity REITs and, therefore, may not be comparable to similarly titled measures reported by other equity REITs.

The following table reconciles net income (which is the most comparable GAAP measure) to NOI and Cash NOI attributable to stockholders and non-controlling interests: 

	Year ended December 31,
(in thousands)	2023		2022		2021
Net income	$	191,415	$	134,742	$	96,211
General and administrative expense	30,678		29,464		24,329
Depreciation and amortization	102,219		88,562		69,146
Provision for impairment of real estate	3,548		20,164		6,120
Change in provision for credit losses	(99)		88		(204)
Gain on dispositions of real estate, net	(24,167)		(30,647)		(9,338)
Loss on debt extinguishment	116		2,138		4,461
Interest expense	52,597		40,370		33,614
Interest income	(2,011)		(2,825)		(94)
Income tax expense	636		998		227
NOI attributable to stockholders and non-controlling interests	354,932		283,054		224,472
Straight-line rental revenue, net	(30,375)		(20,615)		(19,116)
Other amortization and non-cash charges	1,507		2,912		2,675
Cash NOI attributable to stockholders and non-controlling interests	$	326,064	$	265,351	$	208,031

62

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

Over time, we generally seek to match the expected cash inflows from our long-term leases and loans receivable with the expected cash outflows for our long-term debt. To achieve this objective, we borrow on a fixed-rate basis through the issuance of senior unsecured notes or incur debt that bears interest at floating rates under the Revolving Credit Facility, which we use in connection with our operations, including for funding investments, the 2027 Term Loan, the 2028 Term Loan and the 2029 Term Loan.

		Principal Outstanding				Weighted Average Interest Rate (1)
(in thousands)	Maturity Date	December 31, 2023		December 31, 2022		December 31, 2023	December 31, 2022
Unsecured term loans:
2024 Term Loan	April 2024	$	—	$	200,000	—%	2.9%
2027 Term Loan	February 2027	430,000		430,000		2.4%	2.4%
2028 Term Loan	January 2028	400,000		400,000		4.6%	4.6%
2029 Term Loan	February 2029 (2)	450,000		—		4.3%	—%
Senior unsecured notes	July 2031	400,000		400,000		3.1%	3.1%
Revolving Credit Facility	February 2026	—		—		—%	—%
Total principal outstanding		$	1,680,000	$	1,430,000	3.6%	3.3%

 _______________________________________________________________

(1)Interest rates are presented after giving effect to our interest rate swap and lock agreements, where applicable.

(2)After giving effect to extension options exercisable at the Operating Partnership's election.

While our borrowings under the 2027 Term Loan, 2028 Term Loan and 2029 Term Loan are variable-rate, we have effectively fixed the interest rate under these term loans by entering into interest rate swap agreements where we pay a fixed interest rate and receive a floating interest rate equal to the rate we pay on the respective loan. At December 31, 2023, our aggregate asset in the event of the early termination of our swaps was $7.7 million.

Our borrowings under the Revolving Credit Facility, if any, bear interest at a variable rate equal to 1-month SOFR plus a leverage-based credit spread. Therefore, an increase or decrease in interest rates would result in an increase or decrease to our interest expense related to the Revolving Credit Facility.

We are exposed to interest rate risk between the time we enter into a sale-leaseback transaction, acquire a leased property or invest in a loan receivable and the time we finance the related asset with long-term fixed-rate debt. In addition, when our long-term debt matures, we may have to refinance the debt at a higher interest rate. Market interest rates are sensitive to many factors that are beyond our control. Our interest rate risk management objective is to limit the impact of future interest rate changes on our earnings and cash flows.

In addition to amounts that we borrow under the Revolving Credit Facility, we may incur variable-rate debt in the future that we do not choose to hedge. Additionally, decreases in interest rates may lead to increased competition for the acquisition of real estate due to a reduction in desirable alternative income-producing investments. Increased competition for the acquisition of real estate may lead to a decrease in the yields on real estate we have targeted for acquisition. In such circumstances, if we are not able to offset the decrease in yields by obtaining lower interest costs on our borrowings, our results of operations will be adversely affected. Significant increases in interest rates may also have an adverse impact on our earnings if we are unable to acquire real estate with rental rates high enough to offset the increase in interest rates on our borrowings.

Fair Value of Fixed-Rate Indebtedness

The estimated fair value of our fixed-rate indebtedness under our senior unsecured notes is calculated based on quoted prices in active markets for identical assets. The following table discloses fair value information related to our fixed-rate indebtedness as of December 31, 2023:

(in thousands)	Carrying Value (1)		Estimated Fair Value
Senior unsecured notes	$	400,000	$	315,336

_____________________________________

(1)Excludes net deferred financing costs of $3.6 million and net discount of $0.6 million.

63

Item 8. Financial Statements and Supplementary Data.

Index to Consolidated Financial Statements

Financial Statements and Supplemental Data
Reports of Independent Registered Public Accounting Firm (PCAOB ID: Number 248)	65
Consolidated Balance Sheets as of December 31, 2023 and 2022	68
Consolidated Statements of Operations for the Years Ended December 31, 2023, 2022, and 2021	69
Consolidated Statements of Comprehensive Income for the Years Ended December 31, 2023, 2022, and 2021	70
Consolidated Statements of Stockholders' Equity for the Years Ended December 31, 2023, 2022, and 2021	71
Consolidated Statements of Cash Flows for the Years Ended December 31, 2023, 2022, and 2021	72
Notes to Consolidated Financial Statements	74

64

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Board of Directors and Stockholders

Essential Properties Realty Trust, Inc.

Opinion on the financial statements

We have audited the accompanying consolidated balance sheets of Essential Properties Realty Trust, Inc. (a Maryland corporation) and subsidiaries (the “Company”) as of December 31, 2023 and 2022, the related consolidated statements of operations, comprehensive income, stockholders’ equity, and cash flows for each of the three years in the period ended December 31, 2023, and the related notes and financial statement schedules included under Item 15(a) (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the Company’s internal control over financial reporting as of December 31, 2023, based on criteria established in the 2013 Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”), and our report dated February 14, 2024, expressed an unqualified opinion.

Basis for opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

Critical audit matter

The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing separate opinions on the critical audit matter or on the accounts or disclosures to which it relates.

Evaluation of the measurement of the fair values used in the purchase price allocation of real estate acquisitions

As described further in Notes 2 and 3 to the consolidated financial statements, the acquisition of real estate for investment purposes is typically accounted for as an asset acquisition in which the Company allocates the purchase price of acquired properties to land, buildings, site improvements and other identified tangible and intangible assets and liabilities on a relative fair value basis. The Company acquired approximately $1.0 billion of real estate investments during the year ended December 31, 2023. We identified fair value measurements used to allocate the purchase price to the assets acquired and liabilities assumed in the real estate acquisitions as a critical audit matter.

The principal consideration for our determination that the fair value measurements used to allocate the purchase price to the assets acquired and liabilities assumed in the real estate acquisitions is a critical audit matter is the

65

higher risk of estimation uncertainty in determining fair value estimates. Specifically, fair value measurements were sensitive to establishing a range of market assumptions for land values, building replacement values, and rental rates. Establishing the market assumptions for land, building, site improvements and rent included identifying the relevant properties in the established range most comparable to the acquired property. There was a high degree of subjective and complex auditor judgment in evaluating these key inputs assumptions.

Our audit procedures related to the fair value measurements used to allocate the purchase price to assets acquired and liabilities assumed in the real estate acquisitions included the following, among others.

We obtained an understanding, evaluated the design, and tested the operating effectiveness of relevant controls relating to the process to allocate the purchase price of real estate acquisitions, including internal controls over the selection and review of the inputs and assumptions to estimate fair value, including those used by third-party valuation professionals.

For a selection of real estate acquisitions, we involved our real estate valuation professionals with specialized skills and knowledge who assisted in evaluating the valuation techniques and assumptions to the fair value measurements used in the purchase price allocations. We read the purchase agreements and tested the completeness and accuracy of underlying data used that was contractual in nature, including rental data where applicable. The evaluation included comparison of the Company’s assumptions to independently developed ranges using market data from industry transaction databases and published industry reports. We analyzed where the Company’s market rental rates fell within our real estate valuation professionals’ independently developed ranges to evaluate if management bias was present.

/s/ GRANT THORNTON LLP

We have served as the Company’s auditor since 2021.

New York, New York

February 14, 2024

66

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Board of Directors and Stockholders

Essential Properties Realty Trust, Inc.

Opinion on internal control over financial reporting

We have audited the internal control over financial reporting of Essential Properties Realty Trust, Inc. (a Maryland corporation) and subsidiaries (the “Company”) as of December 31, 2023, based on criteria established in the 2013 Internal Control— Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2023, based on criteria established in the 2013 Internal Control—Integrated Framework issued by COSO.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the consolidated financial statements of the Company as of and for the year ended December 31, 2023, and our report dated February 14, 2024, expressed an unqualified opinion on those financial statements.

Basis for opinion

The Company’s management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management’s Report on Internal Control Over Financial Reporting. Our responsibility is to express an opinion on the Company’s internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

Definition and limitations of internal control over financial reporting

A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ GRANT THORNTON LLP

New York, New York

February 14, 2024

67

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Balance Sheets

	December 31,
(In thousands, except share and per share data)	2023		2022
ASSETS
Investments:
Real estate investments, at cost:
Land and improvements	$	1,542,302	$	1,228,687
Building and improvements	2,938,012		2,440,630
Lease incentives	17,890		18,352
Construction in progress	96,524		34,537
Intangible lease assets	89,209		88,364
Total real estate investments, at cost	4,683,937		3,810,570
Less: accumulated depreciation and amortization	(367,133)		(276,307)
Total real estate investments, net	4,316,804		3,534,263
Loans and direct financing lease receivables, net	223,854		240,035
Real estate investments held for sale, net	7,455		4,780
Net investments	4,548,113		3,779,078
Cash and cash equivalents	39,807		62,345
Restricted cash	9,156		9,155
Straight-line rent receivable, net	107,545		78,587
Derivative assets	30,980		47,877
Rent receivables, prepaid expenses and other assets, net	32,660		22,991
Total assets (1)	$	4,768,261	$	4,000,033
LIABILITIES AND EQUITY
Unsecured term loans, net of deferred financing costs	$	1,272,772	$	1,025,492
Senior unsecured notes, net	395,846		395,286
Revolving credit facility	—		—
Intangible lease liabilities, net	11,206		11,551
Dividend payable	47,182		39,398
Derivative liabilities	23,005		2,274
Accrued liabilities and other payables	31,248		29,261
Total liabilities (1)	1,781,259		1,503,262
Commitments and contingencies (see Note 11)	—		—
Stockholders' equity:
Preferred stock, $0.01 par value; 150,000,000 authorized; none issued and outstanding as of December 31, 2023 and 2022	—		—
Common stock, $0.01 par value; 500,000,000 authorized; 164,635,150 and 142,379,655 issued and outstanding as of December 31, 2023 and 2022, respectively	1,646		1,424
Additional paid-in capital	3,078,459		2,563,305
Distributions in excess of cumulative earnings	(105,545)		(117,187)
Accumulated other comprehensive income	4,019		40,719
Total stockholders' equity	2,978,579		2,488,261
Non-controlling interests	8,423		8,510
Total equity	2,987,002		2,496,771
Total liabilities and equity	$	4,768,261	$	4,000,033

 _____________________________________

(1)The Company's consolidated balance sheets include assets and liabilities of consolidated variable interest entities ("VIEs"). See Note 2—Summary of Significant Accounting Policies. As of December 31, 2023 and 2022, all of the assets and liabilities of the Company were held by its operating partnership, a consolidated VIE, with the exception of $47.0 million and $39.2 million, respectively, of dividends payable.

The accompanying notes are an integral part of these consolidated financial statements.

68

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statements of Operations

	Year ended December 31,
(In thousands, except share and per share data)	2023		2022		2021
Revenues:
Rental revenue	$	339,897	$	269,827	$	213,327
Interest on loans and direct financing lease receivables	18,128		15,499		15,710
Other revenue, net	1,570		1,180		1,197
Total revenues	359,595		286,506		230,234
Expenses:
General and administrative	30,678		29,464		24,329
Property expenses	4,663		3,452		5,762
Depreciation and amortization	102,219		88,562		69,146
Provision for impairment of real estate	3,548		20,164		6,120
Change in provision for credit losses	(99)		88		(204)
Total expenses	141,009		141,730		105,153
Other operating income:
Gain on dispositions of real estate, net	24,167		30,647		9,338
Income from operations	242,753		175,423		134,419
Other (expense)/income:
Loss on debt extinguishment	(116)		(2,138)		(4,461)
Interest expense	(52,597)		(40,370)		(33,614)
Interest income	2,011		2,825		94
Income before income tax expense	192,051		135,740		96,438
Income tax expense	636		998		227
Net income	191,415		134,742		96,211
Net income attributable to non-controlling interests	(708)		(612)		(486)
Net income attributable to stockholders	$	190,707	$	134,130	$	95,725
Basic weighted average shares outstanding	152,140,735		134,941,188		116,358,059
Basic net income per share	$	1.25	$	0.99	$	0.82
Diluted weighted average shares outstanding	153,521,854		135,855,916		117,466,338
Diluted net income per share	$	1.24	$	0.99	$	0.82

The accompanying notes are an integral part of these consolidated financial statements.

69

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statements of Comprehensive Income

	Year ended December 31,
(In thousands)	2023		2022		2021
Net income	$	191,415	$	134,742	$	96,211
Other comprehensive income:
Deferred loss on cash flow hedges	—		—		(4,824)
Unrealized (loss) gain on cash flow hedges	(9,187)		56,736		17,273
Cash flow hedge loss reclassified to interest expense	(27,687)		26		10,059
Total other comprehensive (loss) income	(36,874)		56,762		22,508
Comprehensive income	154,541		191,504		118,719
Net income attributable to non-controlling interests	(708)		(612)		(486)
Adjustment for other comprehensive income (loss) attributable to non-controlling interests	174		(1,257)		(113)
Comprehensive income attributable to stockholders	$	154,007	$	189,635	$	118,120

The accompanying notes are an integral part of these consolidated financial statements.

70

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statements of Stockholders' Equity 

	Common Stock
(In thousands, except share data)	Number of Shares	Par Value		Additional Paid-In Capital		Distributions in Excess of Cumulative Earnings		Accumulated Other Comprehensive Income (Loss)		Total Stockholders' Equity		Non- Controlling Interests		Total Equity
Balance at December 31, 2020	106,361,524	$	1,064	$	1,688,540	$	(77,665)	$	(37,181)	$	1,574,758	$	7,190	$	1,581,948
Common stock issuance	18,230,721	182		469,018		—		—		469,200		—		469,200
Common stock withheld related to net share settlement of equity awards	—	—		—		(353)		—		(353)		—		(353)
Costs related to issuance of common stock	—	—		(12,153)		—		—		(12,153)		—		(12,153)
Other comprehensive income	—	—		—		—		22,395		22,395		113		22,508
Equity based compensation expense	56,808	—		5,683		—		—		5,683		—		5,683
Dividends declared on common stock and OP Units	—	—		—		(118,689)		—		(118,689)		(552)		(119,241)
Net income	—	—		—		95,725		—		95,725		486		96,211
Balance at December 31, 2021	124,649,053	1,246		2,151,088		(100,982)		(14,786)		2,036,566		7,237		2,043,803
Common stock issuance	17,576,684	178		413,667		—		—		413,845		—		413,845
Common stock withheld related to net share settlement of equity awards	—	—		—		(2,452)		—		(2,452)		—		(2,452)
Costs related to issuance of common stock	—	—		(10,939)		—		—		(10,939)		—		(10,939)
Other comprehensive income	—	—		—		—		55,505		55,505		1,257		56,762
Equity based compensation expense	153,918	—		9,489		—		—		9,489		—		9,489
Dividends declared on common stock and OP Units	—	—		—		(147,883)		—		(147,883)		(596)		(148,479)
Net income	—	—		—		134,130		—		134,130		612		134,742
Balance at December 31, 2022	142,379,655	1,424		2,563,305		(117,187)		40,719		2,488,261		8,510		2,496,771
Common stock issuance	21,971,744	219		507,161		—		—		507,380		—		507,380
Common stock withheld related to net share settlement of equity awards	—	—		—		(3,671)		—		(3,671)		—		(3,671)
Costs related to issuance of common stock	—	—		(1,010)		—		—		(1,010)		—		(1,010)
Other comprehensive loss	—	—		—		—		(36,700)		(36,700)		(174)		(36,874)
Equity based compensation expense	283,751	3		9,003		—		—		9,006		—		9,006
Dividends declared on common stock and OP Units	—	—		—		(175,394)		—		(175,394)		(621)		(176,015)
Net income	—	—		—		190,707		—		190,707		708		191,415
Balance at December 31, 2023	164,635,150	$	1,646	$	3,078,459	$	(105,545)	$	4,019	$	2,978,579	$	8,423	$	2,987,002

 The accompanying notes are an integral part of these consolidated financial statements.

71

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statements of Cash Flows

	Year ended December 31,
(In thousands)	2023		2022		2021
Cash flows from operating activities:
Net income	$	191,415	$	134,742	$	96,211
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	102,219		88,562		69,146
Amortization of lease incentives	1,782		3,480		3,074
Amortization of above/below market leases and right of use assets, net	(275)		(217)		749
Amortization of deferred financing costs and other non-cash interest expense	3,863		3,099		2,738
Loss on debt extinguishment	116		2,138		4,461
Provision for impairment of real estate	3,548		20,164		6,120
Change in provision for credit losses	(99)		88		(204)
Gain on dispositions of real estate, net	(24,167)		(30,647)		(9,338)
Straight-line rent receivable, net	(28,285)		(20,811)		(20,160)
Equity based compensation expense	9,006		9,489		5,683
Adjustment to rental revenue for tenant credit	640		371		(2,900)
Payments made in settlement of cash flow hedges	—		—		(4,836)
Changes in other assets and liabilities:
Rent receivables, prepaid expenses and other assets, net	(5,956)		4,507		2,216
Accrued liabilities and other payables	767		(3,943)		14,433
Net cash provided by operating activities	254,574		211,022		167,393
Cash flows from investing activities:
Proceeds from sales of investments, net	128,598		126,610		58,381
Principal collections on loans and direct financing lease receivables	27,908		70,439		100,488
Investments in loans receivable	(13,091)		(115,016)		(136,391)
Deposits for prospective real estate investments	189		(26)		(590)
Investment in real estate, including capital expenditures	(894,550)		(728,727)		(840,027)
Investment in construction in progress	(105,075)		(51,870)		(9,348)
Lease incentives paid	(1,104)		(7,488)		(2,197)
Net cash used in investing activities	(857,125)		(706,078)		(829,684)
Cash flows from financing activities:
Repayment of secured borrowings	—		—		(175,781)
Borrowings under term loans	247,972		397,523		—
Borrowings under revolving credit facility	70,000		299,000		393,000
Repayments under revolving credit facility	(70,000)		(443,000)		(267,000)
Proceeds from issuance of senior unsecured notes	—		—		396,600
Proceeds from issuance of common stock, net	507,318		403,884		458,267
Payments for taxes related to net settlement of equity awards	(3,671)		(2,452)		(353)
Payment of debt extinguishment costs	—		(467)		—
Deferred financing costs	(2,426)		(4,991)		(2,120)
Offering costs	(948)		(1,008)		(1,220)
Dividends paid	(168,231)		(141,691)		(112,334)
Net cash provided by financing activities	580,014		506,798		689,059
Net (decrease) increase in cash and cash equivalents and restricted cash	(22,537)		11,742		26,768
Cash and cash equivalents and restricted cash, beginning of period	71,500		59,758		32,990
Cash and cash equivalents and restricted cash, end of period	$	48,963	$	71,500	$	59,758
Reconciliation of cash and cash equivalents and restricted cash:
Cash and cash equivalents	$	39,807	$	62,345	$	59,758
Restricted cash	9,156		9,155		—
Cash and cash equivalents and restricted cash, end of period	$	48,963	$	71,500	$	59,758

The accompanying notes are an integral part of these consolidated financial statements.

72

ESSENTIAL PROPERTIES REALTY TRUST, INC.

CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statements of Cash Flows (continued)

	Year ended December 31,
(In thousands)	2023		2022		2021
Supplemental disclosure of cash flow information:
Cash paid for interest, net of amounts capitalized	$	49,587	$	36,832	$	24,162
Cash paid for income taxes	1,486		1,214		637
Non-cash investing and financing activities:
Reclassification from construction in progress upon project completion	$	45,518	$	26,948	$	4,478
Non-cash repayment of term loan facility	200,000		—		—
Non-cash borrowing under term loan facility	(202,028)		—		—
Non-cash debt issuance costs	2,028		—		—
Net settlement of proceeds on the sale of investments	(4,625)		(28,938)		(960)
Non-cash investments in real estate and loan receivable activity	—		22,679		1,227
Unrealized losses on cash flow hedges	(9,187)		(56,615)		(27,890)
Payable and accrued offering costs	24		30		—
Discounts and fees on capital raised through issuance of common stock	38		9,931		10,933
Discounts and fees on issuance of debt	—		2,477		3,400
Dividends declared and unpaid	47,182		39,398		32,610

The accompanying notes are an integral part of these consolidated financial statements.

73

Notes to Consolidated Financial Statements

December 31, 2023

1. Organization

Description of Business

Essential Properties Realty Trust, Inc. (the “Company”) is an internally managed real estate company that acquires, owns and manages primarily single-tenant properties that are net leased on a long-term basis to middle-market companies operating service-oriented or experience-based businesses. The Company generally invests in and leases freestanding, single-tenant commercial real estate facilities where a tenant services its customers and conducts activities that are essential to the generation of the tenant’s sales and profits.

The Company was organized on January 12, 2018 as a Maryland corporation. It elected to be taxed as a real estate investment trust (“REIT”) for federal income tax purposes beginning with the year ended December 31, 2018, and it believes that its current organizational and operational status and intended distributions will allow it to continue to so qualify. Substantially all of the Company’s business is conducted directly and indirectly through its operating partnership, Essential Properties, L.P. (the “Operating Partnership”).

The common stock of the Company is listed on the New York Stock Exchange under the ticker symbol “EPRT”.

2. Summary of Significant Accounting Policies

Basis of Accounting

The accompanying consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”).

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and subsidiaries in which the Company has a controlling financial interest. All intercompany accounts and transactions have been eliminated in consolidation. As of December 31, 2023 and 2022, the Company, directly and indirectly, held a 99.7% and 99.6% ownership interest in the Operating Partnership, respectively, and the consolidated financial statements include the financial statements of the Operating Partnership as of these dates. See Note 8—Non-controlling Interests for changes in the ownership interest in the Operating Partnership.

Use of Estimates

The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Reportable Segments

ASC Topic 280, Segment Reporting, establishes standards for the manner in which enterprises report information about operating segments. Substantially all of the Company’s investments, at acquisition, are comprised of real estate owned that is leased to tenants on a long-term basis or real estate that secures the Company's investment in loans and direct financing lease receivables. Therefore, the Company aggregates these investments for reporting purposes and operates in one reportable segment.

Real Estate Investments

Investments in real estate are carried at cost less accumulated depreciation and impairment losses. The cost of investments in real estate reflects their purchase price or development cost. The Company evaluates each acquisition transaction to determine whether the acquired asset meets the definition of a business. Under Accounting Standards Update ("ASU") 2017-1, Business Combinations (Topic 805): Clarifying the Definition of a

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Business, an acquisition does not qualify as a business when there is no substantive process acquired or substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets or the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort or delay. Transaction costs related to acquisitions that are asset acquisitions are capitalized as part of the cost basis of the acquired assets, while transaction costs for acquisitions that are deemed to be acquisitions of a business are expensed as incurred. Improvements and replacements are capitalized when they extend the useful life or improve the productive capacity of the asset. Costs of repairs and maintenance are expensed as incurred.

The Company incurs various costs in the leasing and development of its properties. Amounts paid to tenants that incentivize them to extend or otherwise amend an existing lease or to sign a new lease agreement are capitalized to lease incentives on the Company's consolidated balance sheets. Tenant improvements are capitalized to building and improvements within the Company's consolidated balance sheets. Costs incurred which are directly related to properties under development, which include pre-construction costs essential to the development of the property, development costs, construction costs, interest costs and real estate taxes and insurance, are capitalized during the period of development as construction in progress. After the determination is made to capitalize a cost, it is allocated to the specific component of a project that benefited. Determination of when a development project commences, and capitalization begins, and when a development project has reached substantial completion, and is available for occupancy and capitalization must cease, involves a degree of judgment. The Company does not engage in speculative real estate development. The Company does, however, opportunistically agree to reimburse certain of its tenants for development costs at its properties in exchange for contractually-specified rent that generally increases proportionally with its funding.

The Company allocates the purchase price of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics.

The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the "as-if-vacant" value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant's lease. The Company estimates the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors the Company considers in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six to 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and the Company's estimate of the fair market lease rate for the corresponding in-place lease, measured over the remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases.

In making estimates of fair values for purposes of allocating purchase price, the Company uses a number of sources, including real estate valuations prepared by independent valuation firms. The Company also considers information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate (e.g., location, size, demographics, value and comparative rental rates), tenant credit profile and the importance of the location of the real estate to the operations of the tenant's business. Additionally, the Company considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. The Company uses the information obtained as a result of its pre-acquisition due diligence as part of its consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation.

Real estate investments that are intended to be sold are designated as "held for sale" on the consolidated balance sheets at the lesser of carrying amount and fair value less estimated selling costs. Real estate investments are no longer depreciated when they are classified as held for sale. If the disposal, or intended disposal, of certain

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real estate investments represents a strategic shift that has had or will have a major effect on the Company's operations and financial results, the operations of such real estate investments would be presented as discontinued operations in the consolidated statements of operations for all applicable periods.

Depreciation and Amortization

Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings and 15 years for site improvements. The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Depreciation on real estate investments	$	95,527	$	80,647	$	61,171

Lease incentives are amortized on a straight-line basis as a reduction of rental income over the remaining non-cancellable terms of the respective leases. If a tenant terminates its lease, the unamortized portion of the lease incentive is charged to rental revenue. Construction in progress is not depreciated until the development has reached substantial completion. Tenant improvements are depreciated over the non-cancellable term of the related lease or their estimated useful life, whichever is shorter.

Capitalized above-market lease intangibles are amortized on a straight-line basis as a reduction of rental revenue over the remaining non-cancellable terms of the respective leases. Capitalized below-market lease intangibles are accreted on a straight-line basis as an increase to rental revenue over the remaining non-cancellable terms of the respective leases including any below-market fixed rate renewal option periods.

Capitalized above-market ground lease values are accreted as a reduction of property expenses over the remaining terms of the respective leases. Capitalized below-market ground lease values are amortized as an increase to property expenses over the remaining terms of the respective leases and any expected below-market renewal option periods where renewal is considered probable.

The value of in-place leases, exclusive of the value of above-market and below-market lease intangibles, is amortized to depreciation and amortization expense on a straight-line basis over the remaining periods of the respective leases.

If a tenant terminates its lease, the unamortized portion of each intangible, including in-place lease values, is charged to depreciation and amortization expense, while above- and below-market lease adjustments are recorded within rental revenue in the consolidated statements of operations.

Loans Receivable

The Company holds its loans receivable for long-term investment. Loans receivable are carried at amortized cost, including related unamortized discounts or premiums, if any, less the Company's estimated allowance for credit losses. The Company recognizes interest income on loans receivable using the effective-interest method applied on a loan-by-loan basis. Direct costs associated with originating loans are offset against any related fees received and the balance, along with any premium or discount, is deferred and amortized as an adjustment to interest income over the term of the related loan receivable using the effective-interest method.

Direct Financing Lease Receivables

Certain of the Company’s real estate investment transactions are accounted for as direct financing leases. The Company records the direct financing lease receivables at their net investment, determined as the aggregate minimum lease payments and the estimated non-guaranteed residual value of the leased property less unearned income. The unearned income is recognized over the term of the related lease so as to produce a constant rate of return on the net investment in the asset. The Company’s investment in direct financing lease receivables is reduced over the applicable lease term to its non-guaranteed residual value by the portion of rent allocated to the direct financing lease receivables.

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Allowance for Credit Losses

Under ASC Topic 326, Financial Instruments - Credit Losses, the Company uses a real estate loss estimate model (“RELEM”) which estimates losses on its loans and direct financing lease receivable portfolio, for purposes of calculating allowances for credit losses. The RELEM allows the Company to refine (on an ongoing basis) the expected loss estimate by incorporating asset-specific assumptions as necessary, such as anticipated funding, interest payments, estimated extensions and estimated loan repayment/refinancing at maturity to estimate cash flows over the life of the loan or direct financing lease receivable. The model also incorporates assumptions related to underlying collateral values, various loss scenarios, and predicted losses to estimate expected losses. The Company's specific asset-level inputs include loan-to-stabilized-value (“LTV”), principal balance, property type, location, coupon, origination year, term, subordination, expected repayment date and future funding. The Company categorizes the results by LTV range, which it considers the most significant indicator of credit quality for its loans and direct financing lease receivables. A lower LTV ratio typically indicates a lower credit loss risk.

The Company also evaluates each loan and direct financing lease receivable measured at amortized cost for credit deterioration at least quarterly. Credit deterioration occurs when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan or direct financing lease receivable.

The Company's allowance for credit losses is adjusted to reflect its estimation of the current and future economic conditions that impact the performance of the real estate assets securing its loans. These estimations include various macroeconomic factors impacting the likelihood and magnitude of potential credit losses for the Company's loans and direct financing lease receivables during their anticipated term. Changes in the Company's allowance for credit losses are presented within change in provision for credit losses in it's consolidated statements of operations.

Impairment of Long-Lived Assets

If circumstances indicate that the carrying value of a property may not be recoverable, the Company reviews the property for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. Impairment losses, if any, are recorded directly within the Company's consolidated statements of operations.

The Company recorded the following provisions for impairment of long lived assets during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Provision for impairment of real estate	$	3,548	$	20,164	$	6,120

Cash and Cash Equivalents

Cash and cash equivalents includes cash in the Company’s bank accounts. The Company considers all cash balances and highly liquid investments with original maturities of three months or less to be cash and cash equivalents. The Company deposits cash with high quality financial institutions. These deposits are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to an insurance limit.

As of December 31, 2023 and 2022, the Company had cash and cash equivalents of $39.8 million and $62.3 million, respectively, of which $39.6 million and $62.1 million, respectively, were not insured by the FDIC. Although the Company bears risk with respect to amounts not insured by the FDIC, it has not experienced and does not anticipate any losses as a result due to the high quality of the financial institutions where balances are held.

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Restricted Cash

Restricted cash primarily consists of cash proceeds from the sale of assets held by a qualified intermediary to facilitate tax-deferred exchange transactions under Section 1031 of the Internal Revenue Code of 1986, as amended (the "Code").

Forward Equity Sales

The Company has and may continue to enter into forward sale agreements relating to shares of its common stock, either through its 2022 ATM Program (as defined herein) or through underwritten public offerings. These agreements may be physically settled in stock, settled in cash or net share settled at the Company’s election.

The Company evaluated its forward sale agreements and concluded they meet the conditions to be classified within stockholders’ equity. Prior to settlement, a forward sale agreement will be reflected in the diluted earnings per share calculations using the treasury stock method. Under this method, the number of shares of the Company’s common stock used in calculating diluted earnings per share is deemed to be increased by the excess, if any, of the number of shares of the Company’s common stock that would be issued upon full physical settlement of such forward sale agreement over the number of shares of the Company’s common stock that could be purchased by the Company in the market (based on the average market price during the reporting period) using the proceeds receivable upon full physical settlement (based on the adjusted forward sale price at the end of the reporting period). Consequently, prior to settlement of a forward sale agreement, there will be no dilutive effect on the Company’s earnings per share except during periods when the average market price of the Company’s common stock is above the adjusted forward sale price. However, upon settlement of a forward sales agreement, if the Company elects to physically settle or net share settle such forward sale agreement, delivery of the Company’s shares will result in dilution to the Company’s earnings per share.

Deferred Financing Costs

Financing costs related to establishing the Company’s Revolving Credit Facility (as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the facility and are reported as a component of rent receivables, prepaid expenses and other assets, net on the consolidated balance sheets.

Financing costs related to the incurrence of borrowings under the Company's unsecured term loans and the issuance of senior unsecured notes were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the related debt instrument and are reported as a reduction of the related debt balance on the consolidated balance sheets.

Derivative Instruments

In the normal course of business, the Company uses derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows on a portion of the Company’s floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting.

The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designated and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other

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comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If the Company elects not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of such derivative instruments would be recognized immediately as a gain or loss on derivative instruments in the consolidated statements of operations.

Fair Value Measurement

The Company estimates the fair value of financial and non-financial assets and liabilities based on the framework established in fair value accounting guidance. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The hierarchy described below prioritizes inputs to the valuation techniques used in measuring the fair value of assets and liabilities. This hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring the most observable inputs to be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows:

Level 1—Quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date.

Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability.

Level 3—Unobservable inputs that reflect the Company's own assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.

Revenue Recognition

The Company’s rental revenue is primarily rent received from tenants. Rent from tenants is recorded in accordance with the terms of each lease on a straight-line basis over the non-cancellable initial term of the lease from the later of the date of the commencement of the lease and the date of acquisition of the property subject to the lease. Rental revenue recognition begins when the tenant controls the space and continues through the term of the related lease. Because substantially all of the leases provide for rental increases at specified intervals, the Company records a straight-line rent receivable and recognizes revenue on a straight-line basis through the expiration of the non-cancelable term of the lease. The Company considers whether the collectability of rents is reasonably assured in determining the amount of straight-line rent to record.

Generally, the Company’s leases provide the tenant with one or more multi-year renewal options, subject to generally the same terms and conditions provided under the initial lease term, including rent increases. If economic incentives make it reasonably certain that an option period to extend the lease will be exercised, the Company will include these options in determining the non-cancelable term of the lease.

The Company defers rental revenue related to lease payments received from tenants in advance of their due dates. These amounts are presented within accrued liabilities and other payables on the Company’s consolidated balance sheets.

Certain properties in the Company’s investment portfolio are subject to leases that provide for contingent rent based on a percentage of the tenant’s gross sales. For these leases, the Company recognizes contingent rental revenue when the threshold upon which the contingent lease payment is based is actually reached.

The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Contingent rent	$	743	$	682	$	721

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Adjustment to Rental Revenue for Tenant Credit

The Company continually reviews receivables related to rent and unbilled rent receivables and determines collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located.

If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments that have been collected is recognized as a current period reduction of rental revenue in the consolidated statements of operations.

The Company recorded the following adjustments as increases or decreases to rental revenue for tenant credit during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Adjustment to (decrease) increase rental revenue for tenant credit	$	(640)	$	(371)	$	2,900

Offering Costs

In connection with the completion of equity offerings, the Company incurs legal, accounting and other offering-related costs. Such costs are deducted from the gross proceeds of each equity offering when the offering is completed. As of December 31, 2023 and 2022, the Company capitalized a total of $91.3 million and $90.3 million, respectively, of such costs, which are presented as a reduction of additional paid-in capital in the Company's consolidated balance sheets.

Income Taxes

The Company elected and qualified to be taxed as a REIT under sections 856 through 860 of the Code commencing with its taxable year ended December 31, 2018. REITs are subject to a number of organizational and operational requirements, including a requirement that 90% of ordinary “REIT taxable income” (as determined without regard to the dividends paid deduction or net capital gains) be distributed. As a REIT, the Company will generally not be subject to U.S. federal income tax to the extent that it meets the organizational and operational requirements and its distributions equal or exceed REIT taxable income. For the period subsequent to the effective date of its REIT election, the Company continues to meet the organizational and operational requirements and expects distributions to exceed REIT taxable income. Accordingly, no provision has been made for U.S. federal income taxes. Even though the Company has elected and qualifies for taxation as a REIT, it may be subject to state and local income and franchise taxes, and to federal income and excise tax on its undistributed income. Franchise taxes and federal excise taxes on the Company’s undistributed income, if any, are included in general and administrative expenses on the accompanying consolidated statements of operations. Additionally, taxable income from non-REIT activities managed through the Company's taxable REIT subsidiary is subject to federal, state, and local taxes.

The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in such jurisdictions. The Company follows a two-step process to evaluate uncertain tax positions. Step one, recognition, occurs when an entity concludes that a tax position, based solely on its technical merits, is more-likely-than-not to be sustained upon examination. Step two, measurement, determines the amount of benefit that is more-likely-than-not to be realized upon settlement. Derecognition of a tax position that was previously recognized would occur when the Company subsequently determines that a tax position no longer meets the more-likely-than-not threshold of being sustained. The use of a valuation allowance as a substitute for derecognition of tax positions is prohibited.

As of December 31, 2023 and 2022, the Company had no accruals recorded for uncertain tax positions. The Company’s policy is to classify interest expense and penalties relating to taxes in general and administrative expense in the consolidated statements of operations. During the years ended December 31, 2023, 2022 and 2021, the Company recorded de minimis interest or penalties relating to taxes, and there were no interest or penalties with

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respect to taxes accrued as of December 31, 2023 or 2022. The 2022, 2021, and 2020 taxable years remain open to examination by federal and/or state taxing jurisdictions to which the Company is subject.

Equity-Based Compensation

The Company grants shares of restricted common stock ("RSAs") and restricted stock units (“RSUs”) to its directors, executive officers and other employees that vest over specified time periods, subject to the recipient’s continued service. The Company also grants performance-based RSUs to executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient’s continued service. The Company accounts for RSAs and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods.

The Company recognizes compensation expense for equity-based compensation using the straight-line method based on the fair value of the award on the grant date. Forfeitures of equity-based compensation awards, if any, are recognized when they occur.

Variable Interest Entities

The Financial Accounting Standards Board (“FASB”) provides guidance for determining whether an entity is a VIE. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. A VIE is required to be consolidated by its primary beneficiary, which is the party that (i) has the power to control the activities that most significantly impact the VIE’s economic performance and (ii) has the obligation to absorb losses, or the right to receive benefits, of the VIE that could potentially be significant to the VIE.

The Company has concluded that the Operating Partnership is a VIE of which the Company is the primary beneficiary, as the Company has the power to direct the activities that most significantly impact the economic performance of the Operating Partnership. Substantially all of the Company’s assets and liabilities are held by the Operating Partnership. The assets and liabilities of the Operating Partnership are consolidated and reported as assets and liabilities on the Company’s consolidated balance sheets as of December 31, 2023 and 2022.

Additionally, the Company has concluded that certain entities to which it has provided mortgage loans are VIEs because the entities' equity was not sufficient to finance their activities without additional subordinated financial support. The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Number of VIEs	21		21
Aggregate carrying value	$	219,449	$	233,351

The Company was not the primary beneficiary of any of these entities, because the Company did not have the power to direct the activities that most significantly impact the entities’ economic performance as of December 31, 2023 and 2022. The Company’s maximum exposure to loss in these entities is limited to the carrying amount of its investment. The Company had no liabilities associated with these VIEs as of December 31, 2023 and 2022.

Recent Accounting Developments

In July 2021, the FASB issued ASU 2021-05, Lease (Topic 842): Lessors - Certain Leases with Variable Lease Payments ("ASU 2021-05"). The guidance in ASU 2021-05 amends the lease classification requirements for the lessors under certain leases containing variable payments to align with practice under ASC 840. The lessor should classify and account for a lease with variable lease payments that do not depend on a reference index or a rate as an operating lease if both of the following criteria are met: 1) the lease would have been classified as a sales-type lease or a direct financing lease in accordance with the classification criteria in ASC 842-10-25-2 through 25-3; and 2) the lessor would have otherwise recognized a day-one loss. The amendments in ASU 2021-05 are

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effective for fiscal years beginning after December 15, 2021, with early adoption permitted. The adoption of ASU 2021-05 did not have a material impact on the Company's consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The guidance in ASU 2023-07 improves reportable segment disclosure requirements through enhanced disclosures about significant segment expenses. ASU 2023-07 includes requirements to disclose the title and position of the Chief Operating Decision Maker ("CODM") along with disclosure of the significant segment expenses regularly provided to the CODM, the extension of certain annual disclosures to interim periods, requirements that entities that have a single reportable segment must apply ASC 280 in its entirety, and requirements that permit more than one measure of segment profit or loss to be reported under certain conditions. The amendments in ASU 2023-07 are effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of the guidance on the Company's consolidated financial statements and related disclosures.

3. Investments

The following table presents information about the number of investments in the Company's real estate investment portfolio as of each date presented:

	December 31,
	2023	2022
Owned properties (1)	1,726	1,489
Properties securing investments in mortgage loans (2)	136	153
Ground lease interests	11	11
Total number of investments	1,873	1,653

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(1)Includes six and eight properties which are subject to leases accounted for as direct financing leases or loans as of December 31, 2023 and 2022, respectively.

(2)Properties secure 20 mortgage loans receivable as of December 31, 2023 and 2022.

The following table presents information about the gross investment value of the Company's real estate investment portfolio as of each date presented:

	December 31,
(in thousands)	2023		2022
Real estate investments, at cost	$	4,683,937	$	3,810,570
Loans and direct financing lease receivables, net	223,854		240,035
Real estate investments held for sale, net	7,455		4,780
Total gross investments	$	4,915,246	$	4,055,385

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Investments in 2023 and 2022

The following table presents information about the Company’s investment activity during the years ended December 31, 2023 and 2022:

	Year ended December 31,
(Dollars in thousands)	2023		2022
Ownership type	(1)		(2)
Number of properties	291		224
Purchase price allocation:
Land and improvements	$	354,331	$	270,049
Building and improvements	539,062		481,560
Construction in progress (3)	105,075		51,870
Intangible lease assets	2,553		3,366
Total purchase price	1,001,021		806,845
Intangible lease liabilities	(181)		—
Purchase price (including acquisition costs)	$	1,000,840	$	806,845

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(1)During the year ended December 31, 2023, the Company acquired fee interests in 289 properties and acquired two properties subject to ground leases.

(2)During the year ended December 31, 2022, the Company acquired fee interests in 223 properties and acquired one property subject to a ground lease.

(3)Represents amounts incurred at and subsequent to initial investment and includes $2.4 million and $0.8 million, respectively, of capitalized interest expense during the years ended December 31, 2023 and 2022.

During the years ended December 31, 2023 and 2022, the Company did not make any new investments that individually represented more than 5% of the Company’s total real estate investment portfolio.

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Gross Investment Activity

During the years ended December 31, 2023, 2022 and 2021, the Company had the following gross investment activity:

(Dollar amounts in thousands)	Number of Investment Locations	Dollar Amount of Investments
Gross investments, December 31, 2020	1,181	$	2,528,673
Acquisitions of and additions to real estate investments	297	853,798
Sales of investments in real estate	(38)	(57,154)
Provisions for impairment of real estate (1)	—	(6,120)
Investments in loans receivable	49	137,351
Principal collections on and settlements of loans and direct financing lease receivables	(38)	(100,488)
Other	—	(499)
Gross investments, December 31, 2021	1,451	3,355,561
Acquisitions of and additions to real estate investments	224	810,661
Sales of investments in real estate	(54)	(138,515)
Provisions for impairment of real estate (2)	—	(20,164)
Investments in loans receivable	75	143,954
Principal collections on and settlements of loans and direct financing lease receivables	(43)	(93,118)
Other	—	(2,994)
Gross investments, December 31, 2022	1,653	4,055,385
Acquisitions of and additions to real estate investments	291	1,004,075
Sales of investments in real estate	(51)	(120,809)
Relinquishment of properties at end of ground lease term	(2)	(1,543)
Provisions for impairment of real estate (3)	—	(3,548)
Investments in loans receivable	2	13,091
Principal collections on and settlements of loans and direct financing lease receivables	(20)	(27,908)
Other	—	(3,497)
Gross investments, December 31, 2023	1,873	4,915,246
Less: Accumulated depreciation and amortization (4)	—	(367,133)
Net investments, December 31, 2023	1,873	$	4,548,113

_____________________________________________ 

(1)During the year ended December 31, 2021, the Company identified and recorded provisions for impairment at two vacant and 16 tenanted properties.

(2)During the year ended December 31, 2022, the Company identified and recorded provisions for impairment at four vacant and nine tenanted properties.

(3)During the year ended December 31, 2023, the Company identified and recorded provisions for impairment at two vacant and six tenanted properties.

(4)Includes $321.9 million of accumulated depreciation as of December 31, 2023.

Real Estate Investments

The Company's investment properties are leased to tenants under long-term operating leases that typically include one or more renewal options. See Note 4—Leases for more information about the Company's leases.

Loans and Direct Financing Lease Receivables

As of December 31, 2023 and 2022, the Company had 20 and 23 mortgage loans receivable outstanding, respectively. As of December 31, 2023 and 2022, the Company had two and three leases accounted for as loans, respectively, with an aggregate carrying amount of $223.1 million and $238.7 million, respectively. The maximum amount of loss due to credit risk is the Company's current principal balance of $223.1 million as of December 31, 2023.

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The Company's loans receivable portfolio as of December 31, 2023 and 2022 is summarized below (dollars in thousands): 

Loan Type	Monthly Payment (1)	Number of Secured Properties	Effective Interest Rate	Stated Interest Rate	Maturity Date	Principal Balance Outstanding
						December 31, 2023		December 31, 2022
Mortgage (2)(3)	I/O	2	8.80%	8.00%	2039	$	12,000	$	12,000
Mortgage (2)	I/O	2	8.53%	7.75%	2039	7,300		7,300
Mortgage (2)	I/O	69	7.79%	7.33%	2034	51,000		51,000
Mortgage (2)	I/O	1	8.42%	7.65%	2040	5,300		5,300
Mortgage (2)	I/O	2	8.54%	8.50%	2024	1,785		2,324
Mortgage (2)	I/O	1	7.00%	7.00%	2024	500		600
Mortgage (2)	I/O	2	8.30%	8.25%	2024	994		3,146
Mortgage (2)	I/O	2	6.87%	6.40%	2036	2,520		2,520
Mortgage (2)	I/O	—	7.51%	7.00%	2036	—		2,673
Mortgage (2)	I/O	2	8.29%	8.25%	2024	2,389		2,389
Mortgage (2)	I/O	1	8.96%	8.06%	2051	24,100		24,100
Mortgage (2)	I/O	—	7.44%	7.10%	2036	—		9,808
Mortgage (2)	I/O	7	7.30%	6.80%	2036	35,474		35,474
Mortgage (2)	I/O	1	7.73%	7.20%	2036	2,470		2,470
Mortgage (2)	I/O	1	8.00%	8.00%	2024	1,754		1,754
Mortgage (2)	I/O	26	7.00%	7.00%	2027	17,494		26,307
Mortgage (2)	I/O	1	7.73%	7.20%	2037	3,600		3,600
Mortgage (2)	I/O	1	8.30%	8.25%	2024	760		760
Mortgage (2)	I/O	4	8.64%	8.05%	2037	12,250		12,250
Mortgage (2)	I/O	9	8.85%	8.25%	2037	25,993		28,938
Mortgage (2)	I/O	1	8.83%	8.25%	2038	10,200		—
Mortgage (2)	I/O	1	8.10%	8.10%	2025	2,891		—
Leasehold interest	P+I	1	2.25%	(4)	2034	929		992
Leasehold interest	P+I	1	2.41%	(4)	2034	1,382		1,473
Leasehold interest	P+I	—	4.97%	(4)	2038	—		1,517
Net investment						$	223,085	$	238,695

________________________________________________

(1)I/O: Interest Only; P+I: Principal and Interest

(2)Loan requires monthly payments of interest only with a balloon payment due at maturity.

(3)Loan allows for prepayments in whole or in part without penalty.

(4)These leasehold interests are accounted for as loans receivable, as the lease for each property contains an option for the lessee to repurchase the leased property in the future.

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Scheduled principal payments due to be received under the Company's loans receivable as of December 31, 2023 were as follows:

(in thousands)	Loans Receivable
2024	$	8,346
2025	3,063
2026	181
2027	17,684
2028	199
Thereafter	193,612
Total	$	223,085

As of December 31, 2023 and 2022, the Company had $1.4 million and $2.1 million, respectively, of net investments accounted for as direct financing lease receivables. The components of the investments accounted for as direct financing lease receivables were as follows:

	December 31,
(in thousands)	2023		2022
Minimum lease payments receivable	$	1,709	$	2,812
Estimated unguaranteed residual value of leased assets	251		251
Unearned income from leased assets	(525)		(957)
Net investment	$	1,435	$	2,106

Scheduled future minimum non-cancelable base rental payments due to be received under the direct financing lease receivables as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Payments
2024	$	210
2025	178
2026	167
2027	143
2028	145
Thereafter	866
Total	$	1,709

Allowance for Credit Losses

The Company utilizes a real estate loss estimate model (i.e. a RELEM) which estimates losses on loans and direct financing lease receivables for purposes of calculating an allowance for credit losses. As of December 31, 2023 and 2022, the Company recorded an allowance for credit losses of $0.7 million and $0.8 million, respectively, which is recorded within loans and direct financing receivables on the Company's consolidated balance sheets. Changes in the Company’s allowance for credit losses are presented within change in provision for credit losses in the Company’s consolidated statements of operations.

86

For the years ended December 31, 2023, 2022 and 2021, the changes to the Company's allowance for credit losses were as follows:

(in thousands)	Loans and Direct Financing Lease Receivables
Balance at December 31, 2020	$	1,018
Current period provision for expected credit losses (1)	(204)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2021	814
Current period provision for expected credit losses (2)	88
Write-offs charged	(137)
Recoveries	—
Balance at December 31, 2022	765
Current period provision for expected credit losses(2)	(99)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2023	$	666

_____________________________________

(1)The decrease in expected credit losses was due to assumptions regarding current macroeconomic factors returning to pre-pandemic values due to the reduction of the adverse impact of the COVID-19 pandemic.

(2)The change in expected credit loss was primarily due to an overall increase or decrease in the size of our loans and direct financing lease receivables portfolio.

The Company considers the ratio of loan to value ("LTV") to be a significant credit quality indicator for its loans and direct financing lease portfolio. The following table presents information about the LTV of the Company's loans and direct financing lease receivables measured at amortized cost as of as of December 31, 2023:

	Amortized Cost Basis by Origination Year										Total Amortized Cost Basis
(in thousands)	2023		2022		2021		2020		Prior to 2020
LTV <60%	$	—	$	23,000	$	—	$	—	$	28,986	$	51,986
LTV 60%-70%	—		—		28,734		—		—		28,734
LTV >70%	13,091		71,611		29,953		8,466		20,679		143,800
	$	13,091	$	94,611	$	58,687	$	8,466	$	49,665	$	224,520

Real Estate Investments Held for Sale

The Company continually evaluates its portfolio of real estate investments and may elect to dispose of investments considering criteria including, but not limited to, tenant concentration, tenant credit quality, tenant operation type (e.g., industry, sector or concept), unit-level financial performance, local market conditions and lease rates, associated indebtedness and asset location. Real estate investments held for sale are expected to be sold within twelve months.

87

The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the years ended December 31, 2023 and 2022: 

(Dollar amounts in thousands)	Number of Properties	Real Estate Investments		Intangible Lease Liabilities		Net Carrying Value
Held for sale balance, December 31, 2021	9	$	15,434	$	—	$	15,434
Transfers to held for sale classification	11	28,393		—		28,393
Sales	(16)	(39,047)		—		(39,047)
Transfers to held and used classification	—	—		—		—
Held for sale balance, December 31, 2022	4	4,780		—		4,780
Transfers to held for sale classification	10	19,311		—		19,311
Sales	(9)	(16,067)		—		(16,067)
Transfers to held and used classification	(1)	(569)		—		(569)
Held for sale balance, December 31, 2023	4	$	7,455	$	—	$	7,455

Significant Concentrations

The Company did not have any tenants (including for this purpose, all affiliates of such tenants) whose rental revenue for the years ended December 31, 2023, 2022 or 2021 represented 10% or more of total rental revenue in the Company's consolidated statements of operations.

The following table lists the state where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company's consolidated statements of operations:

	Year ended December 31,
State	2023	2022	2021
Texas	13.3%	13.5%	13.1%

Intangible Assets and Liabilities

Intangible assets and liabilities consisted of the following as of the dates presented:

	December 31, 2023						December 31, 2022
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets:
In-place leases	$	78,080	$	35,896	$	42,184	$	77,096	$	30,217	$	46,879
Intangible market lease assets	11,129		5,456		5,673		11,268		4,917		6,351
Total intangible assets	$	89,209	$	41,352	$	47,857	$	88,364	$	35,134	$	53,230
Intangible market lease liabilities	$	15,505	$	4,299	$	11,206	$	15,325	$	3,774	$	11,551

 The remaining weighted average amortization period for the Company's intangible assets and liabilities as of December 31, 2023, by category and in total, were as follows:

	Years Remaining
In-place leases	8.5
Intangible market lease assets	10.4
Total intangible assets	8.7
Intangible market lease liabilities	8.7

The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and

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liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Amortization of in-place leases (1)	$	6,408	$	7,575	$	7,544
Amortization (accretion) of market lease intangibles, net (2)	11		(217)		(47)
Amortization (accretion) of above- and below-market ground lease intangibles, net (3)	(286)		(350)		(353)

 ______________________________________________________

(1)Reflected within depreciation and amortization expense.

(2)Reflected within rental revenue.

(3)Reflected within property expenses.

The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter:

(in thousands)	In-Place Lease Assets
2024	$	5,854
2025	4,564
2026	4,260
2027	3,731
2028	3,192
Thereafter	20,583
Total	$	42,184

The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter:

(in thousands)	Above Market Lease Asset		Below Market Lease Liabilities		Net Adjustment to Rental Revenue
2024	$	(667)	$	699	$	32
2025	(659)		701		42
2026	(649)		705		56
2027	(627)		729		102
2028	(385)		684		299
Thereafter	(2,686)		7,688		5,002
Total	$	(5,673)	$	11,206	$	5,533

4. Leases

As Lessor

The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more tenant renewal options. The Company’s leases provide for annual base rental payments (generally payable in monthly installments), and generally provide for increases in rent based on fixed contractual terms or as a result of increases in the Consumer Price Index.

Substantially all of the leases are triple-net, which means that the lessees are responsible for paying all property operating expenses, including maintenance, insurance, utilities, property taxes and, if applicable, ground rent expense; therefore, the Company is generally not responsible for repairs or other capital expenditures related to the properties while the triple-net leases are in effect and, at the end of the lease term, the lessees are responsible for returning the property to the Company in a substantially similar condition as when they took possession. Some of the Company’s leases provide that in the event the Company wishes to sell the property subject to that lease, it first must offer the lessee the right to purchase the property on the same terms and conditions as any offer which it intends to accept for the sale of the property.

89

Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Receipts
2024	$	367,658
2025	372,511
2026	375,862
2027	377,320
2028	378,407
Thereafter	4,031,616
Total	$	5,903,374

Since lease renewal periods are exercisable at the option of the lessee, the preceding table presents future minimum base rental payments to be received during the initial non-cancelable lease term only. In addition, the future minimum lease payments exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and exclude increases in annual rent based on future changes in the Consumer Price Index, among other items.

The fixed and variable components of lease revenues for the years ended December 31, 2023, 2022, and 2021 were as follows:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed lease revenues	$	338,720	$	270,694	$	210,441
Variable lease revenues (1)	3,610		1,632		1,708
Total lease revenues (2)	$	342,330	$	272,326	$	212,149

_____________________________________

(1)Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants.

(2)Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.

As Lessee

The Company has a number of ground leases, office leases and other equipment leases which are classified as operating leases. As of December 31, 2023, the Company's ROU assets and lease liabilities were $8.9 million and $9.8 million, respectively. As of December 31, 2022, the Company's ROU assets and lease liabilities were $7.3 million and $9.0 million, respectively. These amounts are included in rent receivables, prepaid expenses and other assets, net and accrued liabilities and other payables on the Company's consolidated balance sheets.

The discount rate applied to measure each ROU asset and lease liability is based on the Company's incremental borrowing rate ("IBR"). The Company considers the general economic environment and its historical borrowing activity and factors in various financing and asset specific adjustments to ensure the IBR is appropriate to the intended use of the underlying lease. As the Company did not elect to apply hindsight, lease term assumptions determined under ASC 840 were carried forward and applied in calculating the lease liabilities recorded under ASC 842. Certain of the Company's ground leases offer renewal options which it assesses against relevant economic factors to determine whether it is reasonably certain of exercising or not exercising the option. Lease payments associated with renewal periods that the Company is reasonably certain will be exercised, if any, are included in the measurement of the corresponding lease liability and ROU asset.

The following table sets forth information related to the measurement of the Company's lease liabilities as of the dates presented:

	December 31, 2023	December 31, 2022
Weighted average remaining lease term (in years)	22.8	22.9
Weighted average discount rate	6.75%	6.09%

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The following table sets forth the details of rent expense for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed rent expense - Ground Rent	$	970	$	981	$	957
Fixed rent expense - Office Rent	606		511		510
Variable rent expense	—		—		—
Total rent expense	$	1,576	$	1,492	$	1,467

As of December 31, 2023, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company's tenants are directly responsible for payment over the next five years and thereafter were as follows:

(in thousands)	Office and Equipment Leases		Ground Leases to be Paid by the Company		Ground Leases to be Paid Directly by the Company’s Tenants		Total Future Minimum Base Rental Payments
2024	$	704	$	28	$	909	$	1,641
2025	733		—		834		1,567
2026	217		—		840		1,057
2027	219		—		854		1,073
2028	224		—		738		962
Thereafter	57		—		18,002		18,059
Total	$	2,154	$	28	$	22,177	24,359
Present value discount							(14,582)
Lease liabilities							$	9,777

The Company has adopted the short-term lease policy election and accordingly, the table above excludes future minimum base cash rental payments by the Company or its tenants on leases that have a term of less than 12 months at lease inception. The total of such future obligations is not material.

5. Long Term Debt

The following table summarizes the Company's outstanding indebtedness as of December 31, 2023 and 2022:

		Principal Outstanding				Weighted Average Interest Rate (1)
(in thousands)	Maturity Date	December 31, 2023		December 31, 2022		December 31, 2023	December 31, 2022
Unsecured term loans:
2024 Term Loan	April 2024	$	—	$	200,000	—%	5.3%
2027 Term Loan	February 2027	430,000		430,000		6.3%	5.3%
2028 Term Loan	January 2028	400,000		400,000		6.3%	5.3%
2029 Term Loan	February 2029 (2)	450,000		—		6.4%	—%
Senior unsecured notes	July 2031	400,000		400,000		3.0%	3.0%
Revolving Credit Facility	February 2026	—		—		—%	—%
Total principal outstanding		$	1,680,000	$	1,430,000	5.5%	4.6%

______________________________________________________

(1)Interest rates are presented as stated in debt agreements and do not reflect the impact of the Company's interest rate swap and lock agreements, where applicable (see Note 6—Derivative and Hedging Activities).

(2)After giving effect to extension options exercisable at the Operating Partnership's election.

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The following table summarizes the scheduled principal payments on the Company’s outstanding indebtedness as of December 31, 2023:

(in thousands)	2027 Term Loan		2028 Term Loan		2029 Term Loan(1)		Senior Unsecured Notes		Revolving Credit Facility(2)		Total
2024	$	—	$	—	$	—	$	—	$	—	$	—
2025	—		—		—		—		—		—
2026	—		—		—		—		—		—
2027	430,000		—		—		—		—		430,000
2028	—		400,000		—		—		—		400,000
Thereafter	—		—		450,000		400,000		—		850,000
Total	$	430,000	$	400,000	$	450,000	$	400,000	$	—	$	1,680,000

______________________

(1)    After giving effect to extension options exercisable at the Operating Partnership's election.

(2)    Any amounts drawn will be due in February 2026.

The Company was not in default of any provisions under any of its outstanding indebtedness as of December 31, 2023 or 2022.

Revolving Credit Facility, 2024 Term Loan, 2028 Term Loan and 2029 Term Loan

In April 2019, the Company, through the Operating Partnership, entered into an amended and restated credit agreement (the “Amended Credit Agreement”) with a group of lenders, amending and restating the terms of the Company’s previous $300.0 million revolving credit facility to increase the maximum aggregate initial original principal amount of the revolving loans available thereunder up to $400.0 million (the “Revolving Credit Facility”) and to permit the incurrence of an additional $200.0 million in term loans thereunder (the “2024 Term Loan”). The full amount available under the 2024 Term Loan was borrowed in May 2019.

In February 2022, the Company entered into an amendment to the Amended Credit Agreement (as so amended, the "Credit Agreement") and, pursuant to such amendment, among other things, the availability of extensions of credit under the Revolving Credit Facility was increased to $600.0 million, the accordion feature was increased to $600.0 million, the borrowing base limitation on borrowings thereunder was removed, the leverage-based margin applicable to borrowings under the Revolving Credit Facility was reduced, the LIBOR reference rate was replaced with reference to the Adjusted Term SOFR rate, consistent with market practice, and the composition and extent of lender participation under the Revolving Credit Facility was changed. During the year ended December 31, 2022, in connection with this amendment, the Company recorded a $0.1 million loss on debt extinguishment related to the write-off of certain deferred financing costs on the Revolving Credit Facility.

Prior to the February 2022 amendment, the Revolving Credit Facility had a term of four years beginning on April 12, 2019, with an extension option of up to six months exercisable by the Operating Partnership, subject to certain conditions, and the 2024 Term Loan was set to mature on April 12, 2024. The loans under each of the Revolving Credit Facility and the 2024 Term Loan initially bore interest at an annual rate of applicable LIBOR plus the applicable margin (which applicable margin varied between the Revolving Credit Facility and the 2024 Term Loan). The applicable LIBOR was the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin was initially a spread set according to a leverage-based pricing grid.

The Revolving Credit Facility matures on February 10, 2026, with two extension options of six months each, exercisable by the Operating Partnership subject to the satisfaction of certain conditions. The loans under each of the Revolving Credit Facility and the 2024 Term Loan initially bear interest at an annual rate of applicable Adjusted Term SOFR (as defined in the Credit Agreement) plus an applicable margin (which applicable margin varies between the Revolving Credit Facility and the 2024 Term Loan). The Adjusted Term SOFR is a rate with a term equivalent to the interest period applicable to the relevant borrowing. In addition, the Operating Partnership is required to pay a revolving facility fee throughout the term of the Revolving Credit Facility. The applicable margin and the revolving facility fee rate are initially a spread and rate, as applicable, set according to a leverage-based pricing grid. At the Operating Partnership's election, on and after receipt of an investment grade corporate credit rating from S&P, Moody's or Fitch, the applicable margin and the revolving facility fee rate will be a spread and rate, as applicable, set according to the credit ratings provided by S&P, Moody's and/or Fitch.

92

In July 2022, the Credit Agreement was further amended to provide for an additional $400.0 million of second tranche term loans (the “2028 Term Loan”). Loans under the 2028 Term Loan in an aggregate principal amount of $250.0 million were drawn in July 2022, concurrently with the closing of such amendment, and the remaining $150 million was drawn in October 2022. Such amendment also amended the applicable margin grid such that the applicable pricing for all borrowings under the Credit Agreement is based on the credit rating of the Company’s long-term senior unsecured non-credit enhanced debt for borrowed money (subject to a single step-down in the applicable pricing if the Company achieves a consolidated leverage ratio that is less than 0.35 to 1:00 while maintaining a credit rating of BBB/Baa2 from S&P, Moody's and/or Fitch), and reset the accordion feature to maintain the $600.0 million availability thereunder.

In August 2023, the Credit Agreement was further amended to provide for an additional $450.0 million of term loans (the "2029 Term Loan"). Concurrently with the closing of such amendment, loans under the 2029 Term Loan in an aggregate principal amount of $250.0 million were drawn, a portion of which was used to pay off the 2024 Term Loan in full. Additional loans under the 2029 Term Loan were drawn in an aggregate principal amount of $125.0 million in September 2023 and $75.0 million in October 2023. The 2029 Term Loan has an original maturity of three years, which may be extended, at the Operating Partnership's election, to February 2029 by exercising two one-year extension options and a six-month extension option. The 2029 Term Loan will initially bear interest at an annual rate of applicable Adjusted Term SOFR plus an applicable margin.

Amounts previously borrowed and repaid under the 2024 Term Loan cannot be reborrowed. The Company accounted for the repayment of the 2024 Term Loan as a debt extinguishment and recorded a $0.1 million loss on debt extinguishment during the year ended December 31, 2023.

Each of the Revolving Credit Facility, the 2028 Term Loan and the 2029 Term Loan is freely pre-payable at any time. Outstanding credit extensions under the Revolving Credit Facility are mandatorily payable if the amount of such credit extensions exceeds the revolving facility limit. The Operating Partnership may re-borrow amounts paid down on the Revolving Credit Facility prior to its maturity. Loans repaid under the 2028 Term Loan and 2029 Term Loan cannot be reborrowed.

The Operating Partnership is the borrower under the Credit Agreement, and the Company and certain of its subsidiaries that own direct or indirect interests in an eligible real property assets are guarantors under the Credit Agreement.

Under the terms of the Credit Agreement, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios.

The Company was in compliance with all financial covenants and was not in default on any provisions under the Credit Agreement as of December 31, 2023 and 2022.

The following table presents information about the Revolving Credit Facility for the periods presented:

(in thousands)	2023		2022		2021
Balance on January 1,	$	—	$	144,000	$	18,000
Borrowings	70,000		299,000		393,000
Repayments	(70,000)		(443,000)		(267,000)
Balance on December 31,	$	—	$	—	$	144,000

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The following table presents information about interest expense related to the Revolving Credit Facility for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense and fees	$	1,038	$	2,807	$	1,552
Amortization of deferred financing costs	1,203		1,217		1,165
Total	$	2,241	$	4,024	$	2,717

Total deferred financing costs, net, of $2.5 million and $3.7 million related to the Revolving Credit Facility are included within rent receivables, prepaid expenses and other assets, net on the Company’s consolidated balance sheets as of December 31, 2023 and 2022, respectively.

As of December 31, 2023 and 2022, the Company had $600.0 million of unused borrowing capacity under the Revolving Credit Facility.

2027 Term Loan

On November 26, 2019, the Company, through the Operating Partnership, entered into a $430 million term loan (the “2027 Term Loan”) with a group of lenders. The 2027 Term Loan provides for term loans to be drawn up to an aggregate amount of $430 million with an initial maturity of November 26, 2026. The Company borrowed the entire $430.0 million available under the 2027 Term Loan in separate draws in December 2019 and March 2020.

In February 2022, the Company entered into an amendment to the 2027 Term Loan to, among other things, reduce the leverage-based margin applicable to borrowings, extend the maturity date of the 2027 Term Loan to February 18, 2027, replace the LIBOR reference rate with reference to the Adjusted Term SOFR rate, consistent with market practice, and change the composition and extent of lender participation under the 2027 Term Loan. During the year ended December 31, 2022, in connection with this amendment, the Company recorded a $2.1 million loss on debt extinguishment related to fees and the write-off of certain deferred financing costs on the 2027 Term Loan.

In August 2022, the Company entered into an amendment to the 2027 Term Loan to make certain changes to provisions relating to the rates and other matters to reflect changes in market standards.

Prior to its amendment in February 2022, borrowings under the 2027 Term Loan bore interest at an annual rate of applicable LIBOR plus the applicable margin. Following this amendment, the 2027 Term Loan bears interest at an annual rate of applicable Adjusted Term SOFR plus the applicable margin. The applicable LIBOR/Adjusted Term SOFR is the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin was initially a spread set according to a leverage-based pricing grid. In May 2022, the Operating Partnership made an irrevocable election to have the applicable margin be a spread set according to the Company’s corporate credit ratings provided by S&P, Moody’s and/or Fitch.

The 2027 Term Loan is pre-payable at any time by the Operating Partnership (as borrower) without penalty. The Operating Partnership may not re-borrow amounts paid down on the 2027 Term Loan. The 2027 Term Loan has an accordion feature to increase, subject to certain conditions, the maximum availability of the facility up to an aggregate of $500 million.

The Operating Partnership is the borrower under the 2027 Term Loan, and the Company and certain of its subsidiaries that own direct or indirect interests in eligible real property assets are guarantors under the facility. Under the terms of the 2027 Term Loan, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios and a minimum level of tangible net worth.

The Company was in compliance with all financial covenants and was not in default of any provisions under the 2027 Term Loan as of December 31, 2023 and 2022.

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The following table presents information about aggregate interest expense related to the 2024 Term Loan, 2027 Term Loan, 2028 Term Loan and 2029 Term Loan:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	66,582	$	23,967	$	9,819
Amortization of deferred financing costs	1,617		836		736
Total	$	68,199	$	24,803	$	10,555

As of December 31, 2023 and 2022, total deferred financing costs, net, of $7.2 million and $4.5 million, respectively, related to the term loan facilities are included as a component of unsecured term loans, net of deferred financing costs on the Company’s consolidated balance sheets.

The Company fixed the interest rates on its variable-rate term loan debt through the use of interest rate swap agreements. See Note 6—Derivative and Hedging Activities for additional information.

Senior Unsecured Notes

In June 2021, through its Operating Partnership, the Company completed a public offering of $400.0 million aggregate principal amount of 2.950% Senior Notes due 2031 (the "2031 Notes"), resulting in net proceeds of $396.6 million. The 2031 Notes were issued by the Operating Partnership, and the obligations of the Operating Partnership under the 2031 Notes are fully and unconditionally guaranteed on a senior basis by the Company. The 2031 Notes were issued at 99.8% of their principal amount. In connection with the offering of the 2031 Notes, the Operating Partnership incurred $4.7 million in deferred financing costs and an offering discount of $0.8 million.

The following is a summary of the senior unsecured notes outstanding as of December 31, 2023 and 2022:

(dollars in thousands)	Maturity Date	Interest Payment Dates	Stated Interest Rate		Principal Outstanding
2031 Notes	July 15, 2031	January 15 and July 15	2.95	%	$	400,000

The Company's senior unsecured notes are redeemable in whole at any time or in part from time to time, at the Operating Partnership's option, at a redemption price equal to the sum of:

•100% of the principal amount of the notes to be redeemed plus accrued and unpaid interest, if any, up to, but not including, the redemption date; and

•a make-whole premium calculated in accordance with the indenture governing the notes.

In addition, if any of the 2031 Notes are redeemed on or after April 15, 2031 (three months prior to the stated maturity date of such notes), the redemption price will equal 100% of the principal amount of the notes to be redeemed plus accrued and unpaid interest, if any, up to, but not including, the redemption date, without any make-whole premium.

The following table presents information about interest expense related to the Company's senior unsecured notes for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	11,713	$	11,711	$	5,952
Amortization of deferred financing costs and original issue discount	560		562		295
Total	$	12,273	$	12,273	$	6,247

Total deferred financing costs, net, of $3.6 million and $4.0 million related to the Company's senior unsecured notes were included within senior unsecured notes, net on the Company's consolidated balance sheets as of December 31, 2023 and 2022, respectively.

The Company was in compliance with all financial covenants and was not in default of any provisions under the 2031 Notes as of December 31, 2023 and 2022.

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6. Derivative and Hedging Activities

The Company does not enter into derivative financial instruments for speculative or trading purposes. The Company's objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount.

These derivatives are considered cash flow hedges and are recorded on a gross basis at fair value. Subsequent to the adoption of ASU 2017-12, assessments of hedge effectiveness are performed quarterly using either a qualitative or quantitative approach. The Company recognizes the entire change in the fair value in accumulated other comprehensive income (loss) and the change is reflected as derivative changes in fair value in the supplemental disclosures of non-cash financing activities in the consolidated statements of cash flows. The amounts recorded in accumulated other comprehensive income (loss) will subsequently be reclassified to interest expense as interest payments are made on the Company's borrowings under its variable-rate term loan facilities. During the next twelve months, the Company estimates that $22.4 million will be reclassified from accumulated other comprehensive income as a decrease to interest expense. The Company does not have netting arrangements related to its derivatives.

The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, the Company only enters into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which the Company and its affiliates may also have other financial relationships. The Company does not anticipate that any of the counterparties will fail to meet their obligations. As of December 31, 2023 and 2022, there were no events of default related to the Company's derivative financial instruments.

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The following table summarizes the notional amount at inception and fair value of these instruments on the Company's balance sheets as of December 31, 2023 and 2022 (dollar amounts in thousands):

						Fair Value of Asset/(Liability)(2)
Derivatives Designated as Hedging Instruments	Fixed Rate Paid by Company	Effective Date	Maturity Date	Notional Value (1)		December 31, 2023		December 31, 2022
Interest Rate Swap (3)	1.96%	5/14/2019	4/12/2024	$	100,000	$	981	$	3,545
Interest Rate Swap (3)	1.95%	5/14/2019	4/12/2024	50,000		492		1,781
Interest Rate Swap (3)	1.94%	5/14/2019	4/12/2024	50,000		492		1,777
Interest Rate Swap (3)	1.52%	12/9/2019	11/26/2026	175,000		10,654		14,685
Interest Rate Swap (3)	1.51%	12/9/2019	11/26/2026	50,000		3,077		4,248
Interest Rate Swap (3)	1.49%	12/9/2019	11/26/2026	25,000		1,542		2,120
Interest Rate Swap (3)	1.26%	7/9/2020	11/26/2026	100,000		6,810		9,324
Interest Rate Swap (3)	1.28%	7/9/2020	11/26/2026	80,000		5,406		7,418
Interest Rate Swap	3.19%	9/26/2022	1/25/2028	50,000		688		1,166
Interest Rate Swap	3.35%	9/26/2022	1/25/2028	50,000		383		804
Interest Rate Swap	3.36%	9/26/2022	1/25/2028	25,000		180		387
Interest Rate Swap	3.43%	9/26/2022	1/25/2028	50,000		226		612
Interest Rate Swap	3.71%	9/26/2022	1/25/2028	50,000		(290)		(12)
Interest Rate Swap	3.70%	9/26/2022	1/25/2028	25,000		(144)		(15)
Interest Rate Swap	4.00%	10/26/2022	1/25/2028	50,000		(851)		(693)
Interest Rate Swap	3.95%	11/28/2022	1/25/2028	25,000		(378)		(293)
Interest Rate Swap	4.03%	11/28/2022	1/25/2028	25,000		(459)		(396)
Interest Rate Swap	4.06%	11/28/2022	1/25/2028	25,000		(485)		(427)
Interest Rate Swap	4.07%	11/28/2022	1/25/2028	25,000		(492)		(428)
Interest Rate Swap	4.15%	8/24/2023	2/28/2029	50,000		(1,550)		—
Interest Rate Swap	4.38%	9/29/2023	2/28/2029	75,000		(3,193)		—
Interest Rate Swap	4.39%	9/29/2023	2/28/2029	50,000		(2,114)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(981)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(980)		—
Interest Rate Swap	4.51%	10/31/2023	2/28/2029	25,000		(1,207)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,919)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,913)		—
				$	1,480,000	$	7,975	$	45,603

 _____________________________________

(1)Notional value indicates the extent of the Company’s involvement in these instruments, but does not represent exposure to credit, interest rate or market risks.

(2)Derivatives in an asset position are included within derivative assets and derivatives in a liability position are included within derivative liabilities in the Company's consolidated balance sheets.

(3)In June 2022, the Company converted the reference rate used in these interest rate swaps from 1-month LIBOR to 1-month Adjusted Term SOFR.

(4)The Company entered into two forward swap contracts during the year ended December 31, 2023.

The Company has agreements with each of its derivative counterparties that contain a provision where if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations.

The following table presents amounts recorded to accumulated other comprehensive income related to derivative and hedging activities for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Other comprehensive (loss) income	$	(36,874)	$	56,762	$	22,508

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As of December 31, 2023, the fair value of derivatives in a net asset position including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $31.1 million and the fair value of derivatives in a net liability position, including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $23.4 million. 

As of December 31, 2022, the fair value of derivatives in a net asset position, including accrued interest but excluding any adjustment for nonperformance risk related to these agreements, was $48.2 million and the fair value of derivatives in a net liability position, including accrued interest but excluding an adjustment for nonperformance risk related to these agreements, was $2.4 million.

During the year ended December 31, 2023, the Company realized a gain on the change in fair value of its interest rate swaps of $27.7 million, which was included as a reduction of interest expense in the Company's consolidated statements of operations. During the years ended December 31, 2022 and 2021, the Company realized a loss on the change in fair value of its interest rate swaps of approximately $26,000 and $10.1 million, respectively, which are included in interest expense in the Company's consolidated statements of operations.

As of December 31, 2023 and December 31, 2022, the Company had not posted any collateral related to these agreements and was not in breach of any provisions of such agreements. If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreements at their aggregate termination value, which were a $7.7 million net asset and a $45.9 million net asset as of December 31, 2023 and 2022, respectively.

7. Equity

Stockholders' Equity

In April 2021, the Company completed a follow-on primary offering of 8,222,500 shares of its common stock, including 1,072,500 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at a public offering price of $23.50 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $185.1 million.

In August 2022, the Company completed a follow-on primary offering of 8,740,000 shares of its common stock, including the full exercise of the underwriters' option to purchase 1,140,000 additional shares of common stock, at a public offering price of $23.00 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $192.6 million.

In February 2023, the Company completed a follow-on primary offering of 8,855,000 shares of its common stock, including the full exercise of the underwriters' option to purchase 1,155,000 additional shares of common stock, at a public offering price of $24.60 per share, and entered into forward sale agreements relating to all such shares. All shares were physically settled as of May 2023 and the Company realized net proceeds from this offering, after deducting underwriting discounts and commissions and other expenses, of $209.3 million.

In September 2023, the Company completed a follow-on primary offering of 12,006,000 shares of its common stock, including the full exercise of the underwriters' option to purchase up to 1,566,000 additional shares of common stock, at a public offering price of $23.00 per share, and entered into forward sale agreements relating to all such shares. Through December 31, 2023, the Company physically settled 8,165,087 shares under the forward sale agreements relating to this offering, realizing net proceeds of $180.0 million. Assuming full physical settlement of the remaining forward sale agreements, net proceeds from this offering, after deducting underwriting discounts and commissions and other expenses and making certain other adjustments as provided in the forward sale agreements, are expected to be $263.4 million. The Company is required to settle the balance of the forward sale agreements by September 2024.

At the Market Program

In May 2022, the Company established a new at the market common equity offering program, pursuant to which it can publicly offer and sell, from time to time, shares of its common stock with an aggregate gross sales price of up to $500 million (the "2022 ATM Program") through the identified sales agents, as its sales agents or, if applicable, as forward sellers, or directly to such agents as principals. In addition to the issuance and sale by the Company of shares to or through the agents, the 2022 ATM Program also permits the Company to enter into

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separate forward sale agreements with the identified forward purchasers. References to the Company's "ATM Program" are to the 2022 ATM Program or the 2022 ATM Program and its prior ATM programs as the context requires.

The following table presents information about the 2022 ATM Program and the Company's prior ATM Programs:

Program Name	Date Established	Date Terminated	Maximum Sales Authorization		Gross Sales through December 31, 2023
2019 ATM Program	August 2019	June 2020	$	200,000	$	184,400
2020 ATM Program	June 2020	July 2021	$	250,000	$	166,800
2021 ATM Program	July 2021	May 2022	$	350,000	$	348,140
2022 ATM Program (1)	May 2022		$	500,000	$	220,643

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

The following table details information related to activity under the ATM Program for each period presented:

	Year ended December 31,
(in thousands, except share and per share data)	2023		2022		2021
Shares of common stock sold (1)(2)	5,931,654		9,794,137		10,005,890
Weighted average sale price per share	$	24.48	$	24.00	$	27.58
Gross proceeds	$	145,224	$	235,060	$	275,972
Net proceeds	$	142,922	$	232,478	$	271,949

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

(2)During the year ended December 31, 2023, the Company issued an additional 957,453 shares of common stock which were previously sold on a forward basis under the ATM Program and were unsettled as of December 31, 2022.

Dividends on Common Stock

During the years ended December 31, 2023, 2022 and 2021, the Company's board of directors declared the following quarterly cash dividends on common stock: 

Date Declared	Record Date	Date Paid	Dividend per Share of Common Stock		Total Dividend (dollars in thousands)
December 1, 2023	December 29, 2023	January 12, 2024	$	0.285	$	47,024
September 7, 2023	September 29, 2023	October 13, 2023	$	0.28	$	43,788
June 9, 2023	June 30, 2023	July 14, 2023	$	0.28	$	43,551
March 7, 2023	March 31, 2023	April 14, 2023	$	0.275	$	41,031
November 30, 2022	December 30, 2022	January 13, 2023	$	0.275	$	39,246
September 2, 2022	September 30, 2022	October 14, 2022	$	0.27	$	38,533
June 2, 2022	June 30, 2022	July 14, 2022	$	0.27	$	35,916
March 14, 2022	March 31, 2022	April 13, 2022	$	0.26	$	34,188
December 3, 2021	December 31, 2021	January 13, 2022	$	0.26	$	32,466
September 2, 2021	September 30, 2021	October 14, 2021	$	0.25	$	30,397
May 27, 2021	June 30, 2021	July 15, 2021	$	0.25	$	29,559
March 5, 2021	March 31, 2021	April 15, 2021	$	0.24	$	26,265

The Company has determined that, during the years ended December 31, 2023, 2022 and 2021, approximately 86.0%, 79.7% and 69.4%, respectively, of the distributions it paid represented taxable income and 14.0%, 20.3% and 30.6%, respectively, of the distributions it paid represented return of capital for federal income tax purposes.

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8. Non-controlling Interests

Essential Properties OP G.P., LLC, a wholly owned subsidiary of the Company, is the sole general partner of the Operating Partnership and holds a 1.0% general partner interest in the Operating Partnership. The Company contributes the net proceeds from issuing shares of common stock to the Operating Partnership in exchange for a number of OP Units equal to the number of shares of common stock issued. OP Units ("OP Units") are limited partnership interests in the Operating Partnership.

As of December 31, 2023, the Company held 164,635,150 OP Units, representing a 99.7% limited partner interest in the Operating Partnership. As of the same date, certain members of management and external parties (the "Non-controlling OP Unit Holders") held 553,847 OP Units in the aggregate, representing a 0.3% limited partner interest in the Operating Partnership. As of December 31, 2022, the Company held 142,379,655 OP Units, representing a 99.6% limited partner interest in the Operating Partnership and the Non-controlling OP Unit Holders held 553,847 OP Units in the aggregate, representing a 0.4% limited partner interest in the Operating Partnership. The OP Units held by the Non-controlling OP Unit Holders are presented as non-controlling interests in the Company's consolidated financial statements.

A holder of OP Units has the right to distributions per unit equal to dividends per share paid on the Company's common stock and has the right to redeem OP Units for cash or, at the Company's election, shares of the Company's common stock on a one-for-one basis, provided, however, that such OP Units must have been outstanding for at least one year. Distributions to OP Unit holders are declared and paid concurrently with the Company's cash dividends to common stockholders. See Note 7—Equity for details.

9. Equity Based Compensation

Equity Incentive Plan

In May 2023, the Company’s stockholders approved the Essential Properties Realty Trust, Inc. 2023 Incentive Plan (the “2023 Equity Incentive Plan”), which replaced the Essential Properties Realty Trust, Inc. 2018 Incentive Plan (the “2018 Equity Incentive Plan” and, collectively with the 2023 Equity Incentive Plan, the “Equity Incentive Plans”). The 2023 Equity Incentive Plan provides for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, RSAs, RSUs, other stock awards, performance awards and LTIP units up to an aggregate of 4,300,808 shares of the Company’s common stock, subject to certain conditions. Officers, employees, non-employee directors, consultants, independent contractors and agents who provide services to the Company or to any subsidiary of the Company are eligible to receive such awards. All subsequent awards of equity will be granted under the 2023 Equity Incentive Plan, and no further awards will be made under the 2018 Equity Incentive Plan.

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The following table presents information about the Company's RSAs and RSUs during the years ended December 31, 2023, 2022 and 2021:

	Restricted Stock Awards			Restricted Stock Units
	Shares	Wtd. Avg. Grant Date Fair Value		Units	Wtd. Avg. Grant Date Fair Value
Unvested, January 1, 2021	240,598	$	13.73	321,602	$	25.27
Granted	—	—		213,686	31.78
Vested	(221,694)	13.70		(72,879)	18.83
Forfeited	—	—		(7,717)	23.52
Unvested, December 31, 2021	18,904	$	14.12	454,692	$	29.39
Unvested, January 1, 2022	18,904	$	14.12	454,692	$	29.39
Granted	—	—		607,347	29.08
Vested	(9,865)	14.12		(243,640)	25.70
Forfeited	—	—		(1,019)	27.25
Unvested, December 31, 2022	9,039	$	14.12	817,380	$	30.26
Unvested, January 1, 2023	9,039	$	14.12	817,380	$	30.26
Granted	—	—		457,859	31.39
Vested	(9,039)	14.12		(436,967)	26.98
Forfeited	—	—		(94,419)	32.79
Unvested, December 31, 2023	—	$	14.12	743,853	$	32.56

Restricted Stock Awards

In June 2018, an aggregate of 691,290 shares of RSAs were issued to the Company's directors, executive officers and other employees under the Equity Incentive Plans. These RSAs vested over periods ranging from one year to three years from the date of grant, subject to the individual recipient's continued provision of service to the Company through the applicable vesting dates.

In January 2019, RSAs relating to an aggregate of 46,368 shares of unvested restricted common stock were granted to the Company's executive officers, other employees and an external consultant under the Equity Incentive Plans. These RSAs vested over periods ranging from one year to four years from the date of grant, subject to the individual recipient's continued provision of service to the Company through the applicable vesting dates. The Company estimates the grant date fair value of RSAs granted under the Equity Incentive Plans using the average market price of the Company's common stock on the date of grant.

The following table presents information about the Company's RSAs for the periods presented: 

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	2	$	128	$	1,548
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	—		8		70
Fair value of shares vested during the period	128		139		3,037

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The following table presents information about the Company's RSAs as of the dates presented: 

	December 31,
(Dollars in thousands)	2023		2022		2021
Total unrecognized compensation cost	$	—	$	2	$	130
Weighted average period over which compensation cost will be recognized (in years)	—		0.1		1.0

Restricted Stock Units

In 2019, 2020, 2021, 2022 and 2023 the Company issued target grants of 119,085, 84,684, 126,353, 149,699 and 147,587 performance-based RSUs, respectively, to the Company's senior management team under the Equity Incentive Plans. Of these awards, 75% are non-vested RSUs for which vesting percentages and the ultimate number of units vesting is calculated based on the total stockholder return ("TSR") of the Company's common stock as compared to the TSR of peer companies identified in the grant agreements. The payout schedule can produce vesting percentages ranging from 0% to 250% of target. TSR is calculated over the performance period for each award based upon the average closing price for the 20-trading day period ending December 31st of the year prior to grant divided by the average closing price for the 20-trading day period ending December 31st of the third year following the grant. The target number of units is based on achieving a TSR equal to the 50th percentile of the peer group. The Company records expense on these TSR RSUs based on achieving the target.

The grant date fair value of the TSR RSUs was measured using a Monte Carlo simulation model based on the following assumptions:

	Grant Year
	2023	2022	2021
Volatility	37%	54%	55%
Risk free rate	4.36%	1.68%	0.20%

The remaining 25% of these performance-based RSUs vest based on the Compensation Committee's subjective evaluation of the individual recipient's achievement of certain strategic objectives over the performance period of the award. In January 2022 and February 2023, the Compensation Committee identified specific performance targets and completed its subjective evaluation in relation to the performance-based RSUs granted in 2019 and 2020 and concluded that 78,801 and 50,598 RSUs, respectively, should be awarded. 50% of these RSUs vested immediately upon the Compensation Committee's certification and the remaining 50% vested on December 31, 2022 and December 31, 2023. The Company began recording compensation expense with respect to these subjective performance-based RSUs granted in 2019 and 2020 after the completion of the Compensation Committee's subjective evaluation.

In April 2023, the Compensation Committee evaluated and awarded 11,334 subjective performance-based RSUs to a former member of the Company's senior management team, which vested immediately. During the year ended December 31, 2023, the Company recorded $0.3 million of compensation expense related to the subjective RSUs awarded to this former employee. As of December 31, 2023, the Compensation Committee had not identified specific performance targets relating to the individual recipients' achievement of strategic objectives for the remainder of the subjective awards granted in 2021, 2022 and 2023. As such, these awards do not have either a service inception or a grant date for GAAP accounting purposes and the Company recorded no compensation expense with respect to this portion of the performance-based RSUs during the years ended December 31, 2023, 2022 and 2021.

In 2020, 2021, 2022 and 2023, the Company issued an aggregate of 184,760, 135,686, 199,793 and 210,406 RSUs, respectively, to the Company’s executive officers, other employees and directors under the Equity Incentive Plan. These awards vest over a period of up to five years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates.

In January 2022, the Company issued 69,372 performance-based RSUs (at target) to an executive officer under the Equity Incentive Plans. These RSUs vest based on the compound annual growth rate of the Company's adjusted funds from operations ("AFFO CAGR") over a five year performance period, and the payout schedule can produce vesting percentages ranging from 0% to 200% of target. To the extent the performance goal is achieved, these performance-based RSUs will vest in 50% increments on each of the four-year and five-year anniversary of

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the grant date, subject to the recipient's continued provision of service to the Company through the applicable vesting dates. As of December 31, 2023 and 2022, based on its AFFO CAGR forecasts, the Company believes it is probable that the maximum performance level will be achieved and recorded compensation expense based off of this estimate during the years ended December 31, 2023 and 2022.

A portion of the RSUs that vested in 2023, 2022, and 2021 were net share settled such that the Company withheld shares with a value equal to the relevant employee's income and employment tax obligations with respect to the vesting and remitted a cash payment to the appropriate taxing authority.

The following table presents information about the Company's RSUs for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	9,002	$	9,361	$	4,135
Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings	407		366		241
Fair value of units vested during the period	11,791		6,262		1,372

The following table presents information about the Company's RSUs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Total unrecognized compensation cost	$	13,131	$	13,761
Weighted average period over which compensation cost will be recognized (in years)	2.2		2.8

10. Net Income Per Share

The Company computes net income per share pursuant to the guidance in FASB ASC Topic 260, Earnings Per Share. The guidance requires the classification of the Company’s unvested restricted common stock and units, which contain rights to receive non-forfeitable dividends or dividend equivalents, as participating securities requiring the two-class method of computing net income per share. Diluted net income per share of common stock further considers the effect of potentially dilutive shares of common stock outstanding during the period, including the assumed vesting of RSUs with market-, performance- or service-based vesting conditions, where dilutive. The OP Units held by non-controlling interests represent potentially dilutive securities as the OP Units may be redeemed for cash or, at the Company’s election, exchanged for shares of the Company’s common stock on a one-for-one basis.

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The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net income per share (dollars in thousands):

	Year ended December 31,
(dollar amounts in thousands)	2023		2022		2021
Numerator for basic and diluted earnings per share:
Net income	$	191,415	$	134,742	$	96,211
Less: net income attributable to non-controlling interests	(708)		(612)		(486)
Less: net income allocated to unvested RSAs and RSUs	(407)		(374)		(311)
Net income available for common stockholders: basic	190,300		133,756		95,414
Net income attributable to non-controlling interests	708		612		486
Net income available for common stockholders: diluted	$	191,008	$	134,368	$	95,900
Denominator for basic and diluted earnings per share:
Weighted average common shares outstanding	152,140,896		134,950,418		116,479,322
Less: weighted average number of shares of unvested RSAs	(161)		(9,230)		(121,263)
Weighted average shares outstanding used in basic net income per share	152,140,735		134,941,188		116,358,059
Effects of dilutive securities: (1)
OP Units	553,847		553,847		553,847
Unvested RSAs and RSUs	421,292		356,044		554,432
Forward sales	405,980		4,837		—
Weighted average shares outstanding used in diluted net income per share	153,521,854		135,855,916		117,466,338

_____________________________________

(1)Excludes the impact of 179,807 and 171,059 unvested RSUs and unsettled forward equity sales for the years ended December 31, 2023 and 2022, respectively, as the effect would have been antidilutive.

11. Commitments and Contingencies

As of December 31, 2023, the Company had remaining future commitments, under mortgage notes, reimbursement obligations or similar arrangements, to fund $180.6 million to its tenants for development, construction and renovation costs related to properties leased from the Company.

Litigation and Regulatory Matters

In the ordinary course of business, the Company may become subject to litigation, claims and regulatory matters. As of December 31, 2023, there are no material legal or regulatory proceedings pending or known to be contemplated against the Company or its properties.

Environmental Matters

In connection with the ownership of real estate, the Company may be liable for costs and damages related to environmental matters. As of December 31, 2023, the Company had not been notified by any governmental authority of any non-compliance, liability or other claim, and is not aware of any other environmental condition that it believes will have a material adverse effect on the Company's business, financial condition, results of operations or liquidity.

Defined Contribution Retirement Plan

The Company has a defined contribution retirement savings plan qualified under Section 401(a) of the Code (the "401(k) Plan"). The 401(k) Plan is available to all of the Company's full-time employees. The Company provides a matching contribution in cash equal to 100% of the first 6% of eligible compensation contributed by participants, which vests immediately.

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The following table presents the matching contributions made by the Company for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
401(k) matching contributions	$	331	$	318	$	205

Employment Agreements

The Company has employment agreements with certain of its executive officers. These employment agreements have an initial term of four years, with automatic one year extensions unless notice of non-renewal is provided by either party. These agreements provide for initial annual base salaries and an annual performance bonus. If an executive officer's employment terminates under certain circumstances, the Company would be liable for any annual performance bonus awarded for the year prior to termination, to the extent unpaid, continued payments equal to 12 months of base salary, monthly reimbursement for 12 months of COBRA premiums, and under certain situations, a pro rata bonus for the year of termination.

12. Fair Value Measurements

GAAP establishes a hierarchy of valuation techniques based on the observability of inputs used in measuring financial instruments at fair value. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs.

The determination of where an asset or liability falls in the hierarchy requires significant judgment and considers factors specific to the asset or liability. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company evaluates its hierarchy disclosures regularly and, depending on various factors, it is possible that an asset or liability may be classified differently from period to period. However, the Company expects that changes in classifications between levels will be rare.

In addition to the disclosures for assets and liabilities required to be measured at fair value at the balance sheet date, companies are required to disclose the estimated fair values of all financial instruments, even if they are not presented at their fair value on the consolidated balance sheet.The fair values of financial instruments are estimates based upon market conditions and perceived risks at December 31, 2023 and 2022. These estimates require management's judgment and may not be indicative of the future fair values of the assets and liabilities.

Financial assets and liabilities for which the carrying values approximate their fair values include cash and cash equivalents, restricted cash, accounts receivable included within rent receivables, prepaid expenses and other assets, net, dividends payable and accrued liabilities and other payables. Generally, these assets and liabilities are short term in duration and their carrying value approximates fair value on the consolidated balance sheets.

The estimated fair values of the Company’s fixed-rate loans receivable have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its fixed-rate loans receivable approximates fair value as of December 31, 2023 and 2022.

The estimated fair values of the Company’s borrowings under the Revolving Credit Facility, the 2024 Term Loan, the 2027 Term Loan, the 2028 Term Loan and the 2029 Term Loan have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its borrowings under the Revolving Credit Facility, the 2024 Term Loan, the 2027 Term Loan, the 2028 Term Loan, and the 2029 Term Loan as of December 31, 2023 and 2022 approximate fair value.

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The Company measures the fair value of its senior unsecured notes and derivative financial instruments on a recurring basis. The fair values of these financial assets and liabilities were determined using the following input levels as of the dates presented: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Financial assets:
Senior unsecured notes (1)	$	395,846	$	315,336	$	315,336	$	—	$	—
Interest rate swaps	7,975		7,975		—		7,975		—
December 31, 2022
Financial assets:
Senior unsecured notes (1)	$	395,286	$	292,120	$	292,120	$	—	$	—
Interest rate swaps	45,603		45,603		—		45,603		—

_____________________________________

(1)Carrying value is net of $3.6 million and $4.0 million of net deferred financing costs and $0.6 million and $0.7 million of net discount as of December 31, 2023 and 2022, respectively.

The Company measures its real estate investments at fair value on a nonrecurring basis. The fair values of real estate investments that were impaired as of the dates presented were determined using the following input levels: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Non-financial assets:
Long-lived assets	$	4,510	$	4,510	$	—	$	—	$	4,510
December 31, 2022
Non-financial assets:
Long-lived assets	$	12,144	$	12,144	$	—	$	—	$	12,144

Long-Lived Assets

The Company reviews its investments in real estate when events or circumstances change indicating that the carrying amount of an asset may not be recoverable. In the evaluation of an investment in real estate for impairment, many factors are considered, including estimated current and expected operating cash flows from the asset during the projected holding period, costs necessary to extend the life or improve the asset, expected capitalization rates, projected stabilized net operating income, selling costs, and the ability to hold and dispose of the asset in the ordinary course of business.

Quantitative information about Level 3 fair value measurements as of December 31, 2023 is as follows:

(dollar amounts in thousands)	Fair Value		Valuation Techniques	Significant Unobservable Inputs
Non-financial assets:
Long-lived assets
Convenience store	$	1,500	Sales comparison approach	Non-binding sales agreement	$	1,500
Pet care services	2,139		Sales comparison approach	Binding sales agreement	2,139
Quick service restaurant	871		Discounted cash flow approach	Terminal value: 8.0% Discount rate: 8.5%	871

The fair values of impaired real estate were determined by using the following information, depending on availability, in order of preference: (i) signed purchase and sale agreements or letters of intent; (ii) recently quoted

106

bid or ask prices; (iii) estimates of future cash flows, which consider, among other things, contractual and forecasted rental revenues, leasing assumptions, terminal capitalization rates, discount rates and expenses based upon market conditions; or (iv) expectations for the use of the real estate. Based on these inputs, the Company determined that its valuation of the impaired real estate falls within Level 3 of the fair value hierarchy.

13. Subsequent Events

The Company has evaluated all events and transactions that occurred after December 31, 2023 through the filing of this Annual Report on Form 10-K and determined that there have been no events that have occurred that would require adjustment to disclosures in the consolidated financial statements except as disclosed below.

Equity Awards

In January 2024, the Company issued an aggregate of 51,158 shares of unvested RSUs to certain of the Company’s employees under the Equity Incentive Plan. These awards vest over a period of up to four years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates.

Subsequent Acquisition and Disposition Activity

Subsequent to December 31, 2023, the Company invested in 12 real estate properties for an aggregate investment amount (including acquisition-related costs) of $16.8 million and invested $10.1 million in new and ongoing construction in progress and reimbursements to tenants for development, construction and renovation costs related to properties leased from the Company. In addition, the Company invested $14.0 million in mortgage loans receivable subsequent to December 31, 2023.

Subsequent to December 31, 2023, the Company sold its investment in four real estate properties for an aggregate gross sales price of $9.1 million and incurred $0.3 million of disposition costs related to these transactions.

2022 ATM Program Activity

In January 2024, the Company sold 34,000 shares of its common stock on a forward basis under the 2022 ATM Program for gross proceeds of $0.9 million.

Forward Equity Settlement

In January 2024, the Company physically settled 1,374,363 shares of its common stock sold on a forward basis under the September 2023 follow-on primary offering for net proceeds of $30.0 million. All settled shares were sold on a forward basis during the year ended December 31, 2023.

107

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.

None.

Item 9A. Controls and Procedures.

Disclosure Controls and Procedures

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information we are required to disclose in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

As of the end of the period covered by this Annual Report on Form 10-K, our management evaluated, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer,  the effectiveness of our disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of the end of the period covered by this Annual Report on Form 10-K, our disclosure controls and procedures were effective in providing reasonable assurance of compliance.

Management's Report on Internal Control over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act). Our internal control system was designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes, in accordance with generally accepted accounting principles in the United States. Due to inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness of the internal control over financial reporting to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with policies and procedures may deteriorate. Our management, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of our internal control over financial reporting as of the end of the period covered by this Annual Report on Form 10-K based on the framework in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations (2013 Framework) (COSO). Based on such evaluation, our management concluded that our internal control over financial reporting was effective as of the end of the period covered by this Annual Report on Form 10-K.

The effectiveness of our internal control over financial reporting as of December 31, 2023 has been audited by Grant Thornton LLP, an independent registered public accounting firm, as stated in their report which is presented in this Annual Report on Form 10-K.

Changes in Internal Control Over Financial Reporting

There have not been any changes in our internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during our most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Item 9B. Other Information.

None of our directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the quarter ended December 31, 2023.

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections.

Not applicable.

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PART III

Item 10. Directors, Executive Officers and Corporate Governance

The information concerning our directors and executive officers required by Item 10 will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

Item 11. Executive Compensation.

The information concerning our executive compensation required by Item 11 will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.

The information concerning our security ownership of certain beneficial owners and management and related stockholder matters (including equity compensation plan information) required by Item 12 will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

Item 13. Certain Relationships and Related Transactions, and Director Independence.

The information concerning certain relationships, related transactions and director independence required by Item 13 will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

Item 14. Principal Accounting Fees and Services.

The information concerning our principal accounting fees and services required by Item 14 will be included in the Proxy Statement to be filed relating to our 2024 Annual Meeting of Stockholders and is incorporated herein by reference.

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PART IV

Item 15. Exhibits, Financial Statement Schedules.

(a)(1) and (2) The following financial statements and financial statement schedules are filed as part of this Annual Report on Form 10-K.

Financial Statements. (see Item 8)

Reports of Independent Registered Public Accounting Firm

Consolidated Balance Sheets as of December 31, 2023 and 2022

Consolidated Statements of Operations for the years ended December 31, 2023, 2022 and 2021

Consolidated Statements of Comprehensive Income for the years ended December 31, 2023, 2022 and 2021

Consolidated Statements of Stockholders' Equity for the years ended December 31, 2023, 2022 and 2021

Consolidated Statements of Cash Flows for the years ended December 31, 2023, 2022 and 2021

Notes to Consolidated Financial Statements

Financial Statement Schedules. (see schedules beginning on page F-1) 

Schedule III - Real Estate and Accumulated Depreciation

Schedule IV - Mortgage Loans on Real Estate

All other schedules are omitted since the required information is not present or is not present in amounts sufficient to require submission of the schedule, or because the information required is included in the consolidated financial statements and notes thereto.

(b)Exhibits. The following exhibits are included or incorporated by reference in this Annual Report on Form 10-K (and are numbered in accordance with Item 601 of Regulation S-K).

Exhibit Number	Description
3.1	Articles of Amendment and Restatement of Essential Properties Realty Trust, Inc., dated as of June 19, 2018 (Incorporated by reference to Exhibit 3.1 to the Company's Annual Report on Form 10-K filed on February 28, 2019)
3.2	Certificate of Correction to the Articles of Amendment and Restatement of Essential Properties Realty Trust, Inc., dated as of February 27, 2019 (Incorporated by reference to Exhibit 3.2 to the Company's Annual Report on Form 10-K filed on February 28, 2019)
3.3	Certificate of Notice, dated August 8, 2019 (Incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed on August 8, 2019)
3.4	Certificate of Notice, dated February 28, 2020 (Incorporated by reference to Exhibit 3.4 to the Company's Annual Report on Form 10-K filed on March 2, 2020)
3.5	Amended and Restated Bylaws of Essential Properties Realty Trust, Inc. (Incorporated by reference to Exhibit 3.1 to the Company's Current Report on Form 8-K filed on November 16, 2020)
4.1	Form of Common Stock Certificate (Incorporated by reference to Exhibit 4.1 to the Company's Registration Statement on Form S-11 filed on May 25, 2018)
4.2	Description of the Company's Common Stock, $0.01 par value (Incorporated by reference to Exhibit 4.4 to the Company’s Annual Report on Form 10-K filed on February 23, 2021)
4.3	Indenture, dated as of June 28, 2021, among Essential Properties, L.P., Essential Properties Realty Trust, Inc. and U.S. Bank National Association, as trustee, including the form of the Guarantee (Incorporated by reference to Exhibit 4.1 to the Company’s Current Report on Form 8-K filed on June 28, 2021)

110

4.4	First Supplemental Indenture, dated as of June 28, 2021, among Essential Properties, L.P., Essential Properties Realty Trust, Inc. and U.S. Bank National Association, as trustee, including the form of the Notes (Incorporated by reference to Exhibit 4.2 to the Company’s Current Report on Form 8-K filed on June 28, 2021)
10.1	Agreement of Limited Partnership of Essential Properties, L.P. (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on June 26, 2018)
10.2	Amended and Restated Credit Agreement, dated as of April 12, 2019, among the Company, the Operating Partnership, the several lenders from time to time parties thereto, Barclays Bank PLC, as administrative agent, and Citigroup Global Markets Inc. and Bank of America, N.A., as co-syndication agents (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on April 18, 2019)
10.3	First Amendment to Amended and Restated Credit Agreement, dated November 22, 2019, among the Company, the Operating Partnership, Barclays Bank PLC, as administrative agent, and the lenders party thereto (Incorporated by reference to Exhibit 10.2 to the Company's Current Report on Form 8-K filed on November 27, 2019)
10.4	Second Amendment to Amended and Restated Credit Agreement, dated February 10, 2022, among the Company, the Operating Partnership, Wells Fargo Bank, National Association, as administrative agent, Barclays Bank PLC, as existing agent, and the lenders party thereto (Incorporated by reference to Exhibit 10.4 to the Company's Annual Report on Form 10-K filed February 16, 2022)
10.5	Third Amendment to Amended and Restated Credit Agreement, dated as of July 25, 2022, by and among the Company, the Operating Partnership, as borrower, certain subsidiaries of the Company, as subsidiary guarantors, Wells Fargo Bank, National Association, as administrative agent, and the lenders party thereto, as lenders (Incorporated by reference to Exhibit 10.2 to the Company's Quarterly Report on Form 10-Q filed on July 28, 2022)
10.6	Credit Agreement, dated as of November 26, 2019, among the Company, the Operating Partnership, the several lenders from time to time parties thereto, Capital One, National Association, as administrative agent, Suntrust Robinson Humphrey, Inc. and Mizuho Bank Ltd., as co-syndication agents, and Chemical Bank, a division of TCF National Bank, as documentation agent (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on November 27, 2019)
10.7	First Amendment to Credit Agreement, dated as of February 18, 2022, among the Company, the Operating Partnership, as borrower, certain subsidiaries of the Company, as subsidiary guarantors, the lenders party thereto, as lenders, and Capital One, National Association, as administrative agent (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on February 22, 2022)
10.8	Second Amendment to Credit Agreement, dated as of August 23, 2022, among the Company, the Operating Partnership, as borrower, certain subsidiaries of the Company, as subsidiary guarantors, the lenders party thereto, as lenders, and Capital One, National Association, as administrative agent (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on August 24, 2022)
10.9†	Employment Agreement, effective as of January 1, 2022, by and between Essential Properties Realty Trust, Inc. and Peter M. Mavoides (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on January 6, 2022)
10.10†	Essential Properties Realty Trust, Inc. 2018 Incentive Award Plan, effective as of June 19, 2018 (Incorporated by reference to Exhibit 10.18 to the Company’s Current Report on Form 8-K filed on June 26, 2018)
10.11†	Employment Agreement between Essential Properties Realty Trust, Inc. and Mark E. Patten, effective as of August 10, 2020 (Incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K filed on July 7, 2020)
10.12†	Consulting Agreement, effective as of June 25, 2022, by and between Essential Properties Realty Trust, Inc. and Gregg A. Seibert (Incorporated by reference to Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q filed on July 28, 2022)

111

Exhibit Number	Description
10.13	Form of Indemnification Agreement between Essential Properties Realty Trust, Inc. and each of its directors and executive officers (Incorporated by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed on July 7, 2020)
16.1	Letter from Ernst & Young LLP (Incorporated by reference to Exhibit 16.1 to the Company’s Current Report on Form 8-K filed on March 30, 2021).
21.1*	Subsidiaries of the Company
22*	List of Guarantors and Subsidiary Issuers of Guaranteed Securities
23.1*	Consent of Grant Thornton LLP
24.1*	Power of Attorney (set forth on the signature page to this Annual Report on Form 10-K)
31.1*	Certification of Principal Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2*	Certification of Principal Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1**	Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2**	Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
97.1*	Policy Relating to Recovery of Erroneously Awarded Compensation

101.INS*	XBRL Instance Document
101.SCH*	XBRL Taxonomy Extension Schema Document
101.CAL*	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF*	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB*	XBRL Taxonomy Extension Label Linkbase Document
101.PRE*	XBRL Taxonomy Extension Presentation Linkbase Document
104*	Cover Page Interactive Data File (embedded within the Inline XBRL document)

*	Filed herewith.
**	Furnished herewith.
†	Indicates management contract or compensatory plan.

Item 16. Form 10-K Summary

None.

112

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		ESSENTIAL PROPERTIES REALTY TRUST, INC.
Date:	February 14, 2024	By:	/s/ Peter M. Mavoides
			Peter M. Mavoides
			President and Chief Executive Officer
			(Principal Executive Officer)

POWER OF ATTORNEY

KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below does hereby constitute and appoint Peter M. Mavoides and Mark E. Patten, and each of them singly, his or her true and lawful attorneys with full power to them, and each of them singly, to sign for each of the undersigned and in his or her name in the capacities indicated below, any and all amendments to this Annual Report on Form 10-K, and generally to do all such things in our names and in our capacities as officers and directors to enable Essential Properties Realty Trust, Inc. to comply with the provisions of the Securities Exchange Act of 1934, as amended, and all requirements of the Securities and Exchange Commission in connection therewith.

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

113

Name	Title	Date
/s/ Peter M. Mavoides	Director, President and Chief Executive Officer	February 14, 2024
Peter M. Mavoides	(Principal Executive Officer)
/s/ Mark E. Patten	Executive Vice President, Chief Financial Officer, Treasurer and Secretary	February 14, 2024
Mark E. Patten	(Principal Financial Officer)
/s/ Timothy J. Earnshaw	Senior Vice President and Chief Accounting Officer	February 14, 2024
Timothy J. Earnshaw	(Principal Accounting Officer)
/s/ Joyce DeLucca	Director	February 14, 2024
Joyce DeLucca
/s/ Scott A. Estes	Director	February 14, 2024
Scott A. Estes
/s/ Lawrence J. Minich	Director	February 14, 2024
Lawrence J. Minich
/s/ Heather L. Neary	Director	February 14, 2024
Heather Leed Neary
/s/ Stephen D. Sautel	Director	February 14, 2024
Stephen D. Sautel
/s/ Janaki Sivanesan	Director	February 14, 2024
Janaki Sivanesan

114

ESSENTIAL PROPERTIES REALTY TRUST, INC.

Schedule III - Real Estate and Accumulated Depreciation

As of December 31, 2023

(Dollar amounts in thousands)

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Automotive Service
Alabama	2	$	770	$	882	$	—	$	—	$	770	$	882	$	1,652	$	(123)	1988-1991	2019-2019
Arizona	9	10,587		19,611		—		—		10,587		19,611		30,198		(1,738)		1975-2018	2020-2021
California	4	4,502		8,499		—		—		4,502		8,499		13,001		(627)		1953-1991	2021-2022
Colorado	7	6,027		11,544		—		170		6,027		11,714		17,741		(901)		1990-2016	2021-2022
Connecticut	3	3,504		6,262		—		—		3,504		6,262		9,766		(58)		1958-2016	2023-2023
Florida	3	1,862		2,642		—		580		1,862		3,223		5,084		(683)		1980-2000	2017-2017
Georgia	23	11,517		25,952		—		—		11,517		25,952		37,468		(1,551)		1955-2012	2017-2023
Iowa	2	747		1,462		—		245		747		1,707		2,454		(19)		1946-2011	2023-2023
Illinois	8	4,032		9,513		—		54		4,032		9,567		13,599		(646)		1927-1999	2019-2023
Indiana	8	1,509		4,617		—		302		1,509		4,919		6,427		(327)		1957-1998	2018-2022
Kansas	7	3,009		4,366		—		—		3,009		4,366		7,375		(346)		1981-2018	2021-2021
Kentucky	1	264		1,131		—		—		264		1,131		1,395		(3)		2002	2023
Massachusetts	1	512		1,804		—		—		512		1,804		2,316		(17)		1950	2023
Maryland	4	3,973		12,825		—		—		3,973		12,825		16,798		(2,376)		1952-2016	2017-2018
Maine	2	1,463		3,467		—		—		1,463		3,467		4,930		(45)		1985-1990	2023-2023
Michigan	12	5,277		10,807		—		—		5,277		10,807		16,084		(1,437)		1955-2014	2017-2023
Minnesota	5	3,442		7,602		—		—		3,442		7,602		11,044		(1,198)		1991-2000	2018-2021
Missouri	8	3,525		9,103		—		200		3,525		9,303		12,828		(557)		1960-2015	2021-2023
Mississippi	5	1,948		3,114		—		—		1,948		3,114		5,062		(344)		1990-1992	2021-2021
North Carolina	9	3,249		3,366		—		—		3,249		3,366		6,614		(651)		1990-2008	2018-2020
Nebraska	1	1,177		479		—		—		1,177		479		1,656		(58)		1995	2021
New Jersey	16	18,996		22,047		—		—		18,996		22,047		41,043		(2,522)		1928-1995	2020-2023
New Mexico	3	800		3,016		—		50		800		3,066		3,866		(212)		1989-1994	2021-2022
New York	8	3,735		8,978		—		—		3,735		8,978		12,713		(1,257)		1978-2019	2016-2023
Ohio	5	2,764		5,063		—		—		2,764		5,063		7,827		(444)		1960-2017	2018-2023
Oklahoma	20	9,013		27,923		—		—		9,013		27,923		36,936		(2,965)		1967-2019	2018-2021
Oregon	2	1,076		1,104		—		—		1,076		1,104		2,180		(85)		1984-1988	2022-2022
Pennsylvania	5	4,920		8,651		—		—		4,920		8,651		13,571		(822)		1968-2021	2017-2023
Rhode Island	1	1,834		2,178		—		—		1,834		2,178		4,012		(28)		2001	2023
South Carolina	5	1,409		2,574		—		580		1,409		3,154		4,563		(121)		2007-2007	2020-2023
Tennessee	4	2,584		3,368		—		—		2,584		3,368		5,952		(515)		1990-2016	2017-2022
Texas	15	10,949		23,030		—		300		10,949		23,330		34,279		(3,328)		1971-2017	2016-2021
Virginia	1	224		734		—		—		224		734		959		(96)		2006	2020
Wisconsin	9	3,175		7,554		—		74		3,175		7,627		10,802		(503)		1985-2017	2021-2022
West Virginia	6	1,985		4,519		—		—		1,985		4,519		6,504		(413)		1983-2007	2020-2022
Building Materials
Alabama	2	$	2,060	$	3,640	$	—	$	—	$	2,060	$	3,640	$	5,700	$	(848)	1975-2002	2017-2017

F-1

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Colorado	1	760		403		—		—		760		403		1,163		(94)		1983	2017
Florida	1	934		638		—		—		934		638		1,572		(149)		2003	2017
Georgia	2	2,338		4,165		—		—		2,338		4,165		6,503		(971)		2003-2004	2017-2017
Indiana	2	1,072		1,619		—		—		1,072		1,619		2,691		(267)		1979-1989	2020-2020
Kentucky	1	414		200		—		—		414		200		614		(47)		1984	2017
Michigan	3	4,438		8,425		—		—		4,438		8,425		12,863		(1,244)		1973-1995	2020-2020
Ohio	6	3,011		4,573		—		—		3,011		4,573		7,584		(1,066)		1953-1996	2017-2017
South Carolina	1	1,097		172		—		—		1,097		172		1,268		(40)		1983	2017
Texas	4	5,228		3,746		—		—		5,228		3,746		8,974		(873)		1972-1985	2017-2017
Car Washes
Alabama	4	$	6,867	$	10,141	$	—	$	—	$	6,867	$	10,141	$	17,008	$	(394)	2019-2020	2020-2023
Arkansas	3	2,757		11,016		—		—		2,757		11,016		13,773		(1,033)		1997-2019	2017-2022
Arizona	12	18,697		31,746		—		—		18,697		31,746		50,443		(2,628)		1988-2022	2016-2023
California	5	14,218		8,388		—		—		14,218		8,388		22,606		(202)		2004-2020	2023-2023
Colorado	8	10,679		14,064		—		—		10,679		14,064		24,743		(2,319)		2008-2018	2017-2023
Florida	7	12,009		27,468		—		283		12,009		27,752		39,760		(1,872)		2017-2021	2019-2023
Georgia	21	27,953		57,475		—		2,055		27,953		59,530		87,483		(8,063)		1967-2023	2016-2023
Iowa	2	5,923		4,490		—		—		5,923		4,490		10,413		(324)		2021-2021	2019-2022
Illinois	1	1,674		3,227		—		—		1,674		3,227		4,901		(375)		2018	2020
Indiana	4	2,249		11,175		—		—		2,249		11,175		13,424		(352)		1979-2008	2022-2022
Louisiana	5	4,596		12,695		—		425		4,596		13,120		17,716		(1,080)		2012-2018	2017-2023
Michigan	1	1,268		—		—		—		1,268		—		1,268		—		N/A	2022
Minnesota	1	1,430		3,253		—		—		1,430		3,253		4,683		(12)		2022	2023
Missouri	2	2,928		—		—		—		2,928		—		2,928		—		N/A	2023-2023
Mississippi	5	3,923		13,810		—		567		3,923		14,376		18,299		(524)		2008-2023	2020-2023
North Carolina	3	3,159		6,813		—		—		3,159		6,813		9,972		(693)		2003-2020	2019-2022
Nebraska	1	597		2,569		—		—		597		2,569		3,166		(258)		2021	2019
New Mexico	4	2,461		12,216		—		—		2,461		12,216		14,676		(2,504)		1982-2013	2017-2017
Nevada	3	6,269		10,385		—		—		6,269		10,385		16,654		(96)		2022-2022	2023-2023
New York	8	6,538		24,076		—		—		6,538		24,076		30,614		(1,097)		1985-2022	2022-2023
Ohio	6	6,911		18,490		—		—		6,911		18,490		25,401		(1,476)		1990-2017	2021-2022
Oklahoma	2	2,536		2,077		—		—		2,536		2,077		4,613		(240)		2016-2016	2021-2022
South Carolina	1	793		4,031		—		—		793		4,031		4,824		(741)		2008	2017
South Dakota	6	5,890		14,859		—		1,225		5,890		16,084		21,973		(2,038)		1987-2017	2019-2019
Tennessee	2	2,618		2,724		—		—		2,618		2,724		5,343		(12)		2023-2023	2022-2023
Texas	19	31,500		54,385		—		775		31,500		55,160		86,660		(3,207)		1942-2023	2020-2023
Virginia	15	20,563		38,700		—		—		20,563		38,700		59,263		(1,281)		1981-2023	2022-2023
Wisconsin	6	7,000		9,976		—		—		7,000		9,976		16,976		(91)		1964-2023	2023-2023
Convenience Stores
Arkansas	10	$	6,845	$	8,337	$	—	$	50	$	6,845	$	8,387	$	15,232	$	(2,311)	1979-2012	2019-2019
Arizona	2	2,085		2,791		—		34		2,085		2,825		4,910		(750)		1985-2002	2018-2018

F-1

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Colorado	1	272		1,047		—		—		272		1,047		1,319		(223)		1983	2017
Iowa	3	1,362		2,380		—		—		1,362		2,380		3,742		(162)		1927-1996	2022-2022
Illinois	1	656		832		—		—		656		832		1,488		(197)		1999	2019
Indiana	1	840		838		—		—		840		838		1,678		(265)		1999	2019
Kentucky	11	9,442		5,630		—		—		9,442		5,630		15,072		(1,828)		1998-1999	2019-2019
Minnesota	5	3,325		5,396		14		104		3,339		5,500		8,839		(1,534)		1967-2013	2017-2018
Missouri	3	1,931		2,396		—		—		1,931		2,396		4,327		(696)		1997-2003	2019-2019
North Carolina	2	758		873		—		—		758		873		1,631		(5)		1991-2015	2023-2023
New Mexico	12	4,781		8,998		—		—		4,781		8,998		13,780		(2,172)		1966-2013	2017-2018
New York	16	5,881		20,342		—		—		5,881		20,342		26,222		(5,931)		1970-2010	2016-2016
Ohio	21	15,191		13,382		—		—		15,191		13,382		28,573		(4,122)		1996-2001	2019-2019
Pennsylvania	1	467		383		—		—		467		383		850		(141)		1996	2019
South Carolina	7	3,408		7,038		—		—		3,408		7,038		10,446		(28)		1970-2011	2023-2023
Texas	6	1,827		5,161		—		975		1,827		6,137		7,964		(1,205)		1965-2019	2017-2019
Washington	1	568		508		—		—		568		508		1,077		(148)		1976	2018
Wisconsin	32	36,034		37,234		—		—		36,034		37,234		73,268		(7,007)		1940-2018	2018-2023
Early Childhood Education
Arizona	16	$	10,474	$	14,986	$	—	$	21	$	10,474	$	15,007	$	25,481	$	(2,014)	1932-2021	2018-2022
Colorado	2	2,867		5,617		—		98		2,867		5,714		8,581		(239)		1988-1988	2019-2023
Connecticut	5	3,423		7,360		—		2,404		3,423		9,764		13,187		(1,943)		1957-2018	2018-2018
Florida	8	8,790		21,022		—		—		8,790		21,022		29,812		(3,385)		1981-2016	2017-2021
Georgia	9	9,348		21,292		—		—		9,348		21,292		30,640		(3,323)		1995-2016	2016-2023
Iowa	1	636		2,199		—		—		636		2,199		2,835		(179)		2005	2021
Illinois	12	8,342		29,548		—		391		8,342		29,939		38,281		(2,075)		1972-2021	2019-2023
Kansas	2	2,056		4,914		—		—		2,056		4,914		6,970		(933)		2007-2017	2017-2019
Kentucky	2	716		2,500		—		—		716		2,500		3,216		(292)		2002-2003	2019-2021
Massachusetts	1	3,200		2,423		—		—		3,200		2,423		5,623		(316)		1990	2020
Michigan	5	1,850		5,450		—		—		1,850		5,450		7,301		(657)		1987-2012	2018-2022
Minnesota	5	5,157		7,591		—		—		5,157		7,591		12,748		(272)		1968-2017	2021-2023
Missouri	8	4,239		14,583		19		81		4,258		14,664		18,922		(852)		1986-2009	2021-2022
Mississippi	2	2,085		2,547		—		124		2,085		2,671		4,756		(599)		2002-2008	2017-2018
North Carolina	22	20,463		35,245		—		100		20,463		35,345		55,809		(2,789)		1954-2018	2020-2023
Nebraska	1	224		813		—		—		224		813		1,037		(31)		2006	2022
New Hampshire	1	711		1,733		—		—		711		1,733		2,444		(9)		1994	2023
New Jersey	2	1,249		3,439		—		—		1,249		3,439		4,687		(607)		2000-2002	2018-2018
Nevada	2	2,480		3,451		—		—		2,480		3,451		5,930		(338)		1998-2006	2021-2021
New York	6	2,087		6,664		—		—		2,087		6,664		8,751		(77)		1986-2007	2023-2023
Ohio	30	23,197		61,829		31		9,321		23,228		71,150		94,378		(5,888)		1956-2017	2018-2023
Oklahoma	3	1,327		3,860		—		—		1,327		3,860		5,186		(192)		1967-1995	2022-2022
Pennsylvania	12	10,670		28,267		—		—		10,670		28,267		38,937		(5,024)		1930-2010	2018-2023
South Carolina	1	1,323		5,218		—		—		1,323		5,218		6,541		(14)		2007	2023
Tennessee	2	1,943		2,970		—		—		1,943		2,970		4,913		(534)		1989-1996	2019-2020

F-2

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Texas	11	9,256		18,436		—		529		9,256		18,965		28,221		(2,517)		1989-2021	2017-2023
Virginia	2	3,799		6,385		—		—		3,799		6,385		10,184		(798)		2006-2006	2017-2021
Washington	5	2,235		5,154		—		—		2,235		5,154		7,389		(751)		1924-2002	2019-2019
Wisconsin	8	6,716		25,474		—		—		6,716		25,474		32,190		(2,523)		1992-2007	2020-2022
Entertainment
Alabama	2	$	5,806	$	8,631	$	—	$	—	$	5,806	$	8,631	$	14,438	$	(1,465)	2002-2017	2017-2019
Arizona	5	4,903		21,304		—		—		4,903		21,304		26,206		(369)		1954-2022	2022-2023
California	1	1,320		2,320		—		—		1,320		2,320		3,640		(525)		1977	2017
Connecticut	3	4,681		15,584		—		—		4,681		15,584		20,265		(1,025)		1960-2019	2021-2023
Florida	2	6,456		6,815		—		4,500		6,456		11,315		17,771		(1,581)		1994-2007	2017-2022
Iowa	1	2,560		6,120		—		—		2,560		6,120		8,680		(468)		2018	2021
Idaho	1	886		2,768		—		—		886		2,768		3,654		(402)		2008	2019
Kansas	2	5,886		21,128		—		—		5,886		21,128		27,014		(1,073)		2018-2020	2022-2022
Louisiana	2	3,403		3,115		—		—		3,403		3,115		6,518		(628)		1990-2016	2018-2022
Maine	1	2,052		4,924		—		—		2,052		4,924		6,975		(352)		1989	2021
Michigan	1	693		4,593		—		2,362		693		6,954		7,648		(1,295)		1995	2017
Minnesota	10	10,877		20,806		—		—		10,877		20,806		31,683		(3,386)		1950-2009	2018-2023
Missouri	5	20,925		13,731		—		—		20,925		13,731		34,655		(2,199)		1990-2016	2022-2022
North Carolina	3	11,099		21,176		—		—		11,099		21,176		32,275		(3,123)		1988-2019	2019-2022
Oklahoma	1	3,073		9,673		—		—		3,073		9,673		12,747		(530)		2020	2022
Pennsylvania	1	823		2,028		—		—		823		2,028		2,850		(378)		2016	2019
South Carolina	1	2,156		1,476		—		—		2,156		1,476		3,631		(3)		2002	2023
Tennessee	2	18,026		1,873		—		—		18,026		1,873		19,898		(462)		1940-2013	2022-2022
Texas	6	19,439		44,160		—		—		19,439		44,160		63,599		(1,625)		1981-2022	2022-2023
Virginia	1	4,821		7,264		—		—		4,821		7,264		12,085		(205)		1997	2023
Equipment Rental and Sales
Alabama	4	$	5,499	$	6,985	$	12	$	864	$	5,510	$	7,849	$	13,360	$	(442)	1974-2023	2020-2023
Arkansas	2	2,734		544		246		1,245		2,980		1,788		4,769		(169)		1982-1992	2019-2023
California	1	2,467		2,429		—		—		2,467		2,429		4,896		(50)		1992	2023
Colorado	2	6,120		3,825		5		1,021		6,124		4,846		10,970		(753)		1990-2021	2020-2022
Connecticut	3	2,891		4,222		—		—		2,891		4,222		7,113		(181)		2002-2005	2020-2021
Florida	6	9,972		5,557		—		3,526		9,972		9,083		19,055		(794)		1964-1979	2019-2023
Georgia	3	6,704		4,891		236		3,176		6,940		8,067		15,007		(948)		1964-2019	2019-2023
Idaho	1	1,796		1,265		—		—		1,796		1,265		3,061		(53)		1992	2023
Louisiana	1	1,006		227		16		1,164		1,022		1,390		2,412		(235)		2012	2020
Massachusetts	2	1,756		2,904		—		—		1,756		2,904		4,661		(322)		1971-2012	2020-2020
Michigan	2	6,086		9,037		—		1,331		6,086		10,368		16,454		(1,276)		1987-1988	2017-2023
Missouri	5	5,538		6,703		21		1,536		5,558		8,238		13,797		(870)		1995-2015	2019-2022
North Carolina	1	1,488		649		—		1,451		1,488		2,100		3,589		(6)		1955	2023
North Dakota	1	851		1,567		—		330		851		1,897		2,748		(100)		2012	2022
New Hampshire	4	4,991		1,859		—		982		4,991		2,841		7,832		(215)		1978-1986	2020-2022

F-3

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
New Mexico	1	1,686		286		25		1,862		1,711		2,148		3,859		(313)		1970	2020
New York	6	7,131		3,366		—		—		7,131		3,366		10,497		(495)		1965-1980	2020-2023
Oklahoma	3	2,268		2,257		—		—		2,268		2,257		4,525		(237)		1997-2003	2021-2023
Pennsylvania	1	751		1,678		—		—		751		1,678		2,429		(284)		1987	2020
South Carolina	1	1,777		582		—		616		1,777		1,198		2,975		(8)		1974	2023
Tennessee	2	3,519		3,713		816		1,734		4,335		5,448		9,783		(657)		1985-2018	2019-2022
Texas	15	19,681		23,217		—		2,937		19,681		26,154		45,835		(1,333)		1970-2022	2020-2023
Utah	1	1,731		2,196		—		1,346		1,731		3,542		5,273		(472)		1979	2019
Virginia	1	2,076		199		—		581		2,076		780		2,856		(6)		1986	2023
Vermont	1	1,809		—		—		—		1,809		—		1,809		—		1995	2022
Washington	2	5,946		2,727		492		1,563		6,438		4,289		10,727		(460)		1959-2000	2019-2023
Grocery
Arkansas	6	$	5,704	$	12,942	$	—	$	1,425	$	5,704	$	14,367	$	20,071	$	(1,516)	1986-2020	2020-2021
Colorado	3	1,524		8,059		—		—		1,524		8,059		9,583		(161)		1980-2011	2023-2023
Michigan	1	1,224		6,189		—		—		1,224		6,189		7,412		(557)		1969	2021
Missouri	10	5,661		16,938		—		—		5,661		16,938		22,599		(2,181)		1970-2013	2020-2021
North Carolina	1	762		1,300		—		—		762		1,300		2,062		(264)		1992	2018
Oklahoma	3	1,606		8,726		—		—		1,606		8,726		10,332		(1,141)		1987-1993	2019-2020
Wisconsin	8	20,724		80,848		—		—		20,724		80,848		101,573		(4,969)		1982-2017	2021-2023
Health and Fitness
Alabama	1	$	1,102	$	2,412	$	—	$	—	$	1,102	$	2,412	$	3,515	$	(517)	2007	2017
Arizona	1	4,367		4,264		—		—		4,367		4,264		8,632		(471)		2021	2018
Colorado	1	1,484		4,491		—		—		1,484		4,491		5,975		(832)		1989	2017
Florida	2	5,291		5,975		—		2,572		5,291		8,546		13,837		(715)		1983-2000	2019-2021
Georgia	2	5,751		6,242		—		—		5,751		6,242		11,993		(631)		2005-2019	2017-2023
Iowa	1	2,013		—		—		—		2,013		—		2,013		—		N/A	2023
Illinois	1	1,133		2,226		—		2,150		1,133		4,376		5,510		(546)		1986	2019
Indiana	1	1,668		3,268		—		—		1,668		3,268		4,936		(61)		2007	2023
Kansas	1	954		—		—		—		954		—		954		—		N/A	2023
Kentucky	1	868		2,186		—		—		868		2,186		3,053		(437)		1994	2017
Massachusetts	3	10,541		29,129		282		3,605		10,822		32,735		43,557		(4,353)		2004-2009	2018-2018
North Carolina	1	912		883		761		1,875		1,674		2,759		4,432		(276)		1972	2018
New Mexico	1	938		1,503		—		—		938		1,503		2,441		(346)		2016	2017
Nevada	1	491		2,543		—		—		491		2,543		3,034		(355)		1970	2019
Oklahoma	5	8,211		12,420		—		559		8,211		12,980		21,191		(1,328)		1979-2018	2018-2023
Oregon	1	2,024		2,468		—		—		2,024		2,468		4,492		(529)		1999	2018
South Carolina	5	4,516		9,463		—		330		4,516		9,793		14,309		(1,554)		1993-2010	2018-2019
Texas	7	13,269		20,039		—		144		13,269		20,183		33,452		(943)		1974-2019	2019-2023
Utah	1	1,937		4,209		—		—		1,937		4,209		6,146		(844)		1984	2016
Home Furnishings

F-4

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Michigan	2	$	3,369	$	24,427	$	69	$	3,034	$	3,438	$	27,461	$	30,899	$	(5,129)	1987-1992	2017-2017
Missouri	1	273		4,683		—		—		273		4,683		4,956		(640)		2007	2018
Industrial
Connecticut	4	$	6,173	$	19,694	$	—	$	—	$	6,173	$	19,694	$	25,867	$	(633)	1941-1959	2023-2023
Florida	4	9,388		1,955		—		—		9,388		1,955		11,344		(62)		1974-2003	2022-2023
Iowa	2	734		3,261		—		—		734		3,261		3,995		(121)		1991-1993	2022-2022
Illinois	2	3,958		1,744		—		—		3,958		1,744		5,702		(114)		1951-1987	2022-2022
Indiana	5	1,789		6,261		—		—		1,789		6,261		8,050		(247)		2000-2022	2022-2022
Louisiana	1	490		761		—		1,783		490		2,544		3,034		(83)		1981	2022
Massachusetts	1	272		998		—		—		272		998		1,270		(28)		1930	2023
Mississippi	1	2,198		3,351		—		—		2,198		3,351		5,549		(201)		1986	2022
North Carolina	1	909		746		—		—		909		746		1,655		(107)		1999	2022
North Dakota	3	1,354		2,860		—		—		1,354		2,860		4,214		(52)		1954-1965	2023-2023
Ohio	1	902		2,330		—		—		902		2,330		3,231		(102)		2000	2022
Oklahoma	1	922		5,548		—		—		922		5,548		6,471		(102)		2020	2023
Pennsylvania	1	678		2,922		—		—		678		2,922		3,600		(167)		1989	2022
South Dakota	1	1,250		2,950		—		—		1,250		2,950		4,200		(202)		1992	2021
Tennessee	2	861		2,139		—		—		861		2,139		3,001		(69)		1997-2008	2022-2022
Texas	1	5,350		6,679		—		—		5,350		6,679		12,029		(1,013)		2008	2021
Virginia	1	679		3,839		—		—		679		3,839		4,518		(287)		1964	2021
Washington	1	4,383		110		—		—		4,383		110		4,493		(6)		2019	2023
Medical / Dental
Alabama	5	$	1,623	$	7,508	$	—	$	—	$	1,623	$	7,508	$	9,131	$	(1,270)	1990-2012	2016-2019
Arkansas	16	4,013		12,692		—		497		4,013		13,189		17,202		(1,955)		1950-2017	2018-2021
Arizona	2	1,770		2,635		—		1,913		1,770		4,549		6,319		(369)		1967-1980	2016-2020
California	3	1,867		4,276		—		—		1,867		4,276		6,142		(430)		1989-2005	2021-2021
Connecticut	2	1,889		1,675		—		—		1,889		1,675		3,564		(241)		1840-2009	2021-2021
Florida	13	10,524		33,494		—		200		10,524		33,694		44,218		(2,542)		1934-2019	2016-2023
Georgia	8	9,437		17,853		—		—		9,437		17,853		27,290		(1,138)		1960-2004	2016-2023
Iowa	3	1,252		2,085		—		—		1,252		2,085		3,337		(79)		1963-1990	2022-2022
Illinois	11	4,816		14,474		—		—		4,816		14,474		19,290		(1,321)		1967-2008	2016-2023
Indiana	5	5,985		7,951		—		—		5,985		7,951		13,936		(1,197)		1976-2021	2016-2019
Kentucky	1	199		474		—		—		199		474		673		(111)		2000	2017
Massachusetts	4	853		2,784		—		—		853		2,784		3,637		(329)		1850-2005	2016-2020
Michigan	4	2,401		9,443		—		—		2,401		9,443		11,844		(646)		2007-2007	2019-2021
Missouri	11	3,543		9,169		—		775		3,543		9,944		13,487		(987)		1979-2015	2016-2022
Mississippi	4	1,302		13,437		—		—		1,302		13,437		14,739		(1,437)		1970-2006	2016-2021
North Carolina	7	2,527		6,920		—		—		2,527		6,920		9,446		(591)		1996-2019	2021-2021
New Hampshire	7	5,304		18,868		—		—		5,304		18,868		24,172		(815)		1888-2013	2016-2023
New Jersey	1	1,731		6,560		—		—		1,731		6,560		8,291		(32)		2010	2023
New York	6	1,032		3,736		—		—		1,032		3,736		4,768		(371)		1940-2010	2016-2023

F-5

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Ohio	21	10,332		28,725		—		—		10,332		28,725		39,057		(2,526)		1907-2021	2017-2023
Oklahoma	7	1,472		6,767		—		—		1,472		6,767		8,239		(554)		1964-2018	2021-2022
Oregon	1	1,457		1,230		—		—		1,457		1,230		2,687		(177)		1981	2020
Pennsylvania	2	505		3,641		—		—		505		3,641		4,146		(212)		2002-2012	2022-2022
South Carolina	7	4,836		10,564		—		—		4,836		10,564		15,400		(1,190)		1936-1998	2016-2021
Texas	49	31,618		111,148		—		1,601		31,618		112,750		144,368		(14,878)		1940-2019	2016-2022
Virginia	2	1,493		2,800		—		—		1,493		2,800		4,293		(266)		2001-2009	2021-2021
Vermont	1	357		916		—		—		357		916		1,273		(69)		1980	2021
Washington	1	627		868		—		—		627		868		1,496		(155)		1981	2021
Wyoming	1	620		2,550		—		—		620		2,550		3,170		(528)		2001	2017
Movie Theatres
Alabama	2	$	3,011	$	10,643	$	169	$	—	$	3,180	$	10,643	$	13,823	$	(2,340)	2001-2013	2016-2018
North Carolina	1	1,826		2,798		—		—		1,826		2,798		4,624		(573)		2004	2018
Ohio	1	2,126		10,097		—		—		2,126		10,097		12,223		(1,740)		1989	2017
South Carolina	1	1,465		7,081		—		—		1,465		7,081		8,546		(1,295)		2006	2017
Texas	1	3,049		—		—		—		3,049		—		3,049		—		N/A	2023
Wisconsin	1	3,159		3,755		164		—		3,323		3,755		7,078		(937)		1997	2017
Other Services
Alabama	1	$	312	$	176	$	—	$	—	$	312	$	176	$	488	$	(75)	1978	2016
Colorado	1	370		434		—		—		370		434		804		(120)		2002	2016
Florida	1	1,187		3,344		—		—		1,187		3,344		4,531		(303)		1960	2020
Georgia	5	2,293		7,204		—		—		2,293		7,204		9,497		(922)		1895-2000	2018-2023
Kentucky	2	1,503		4,613		—		—		1,503		4,613		6,115		(549)		1882-1999	2018-2022
North Carolina	1	713		1,942		—		—		713		1,942		2,655		(391)		1973	2018
New York	1	714		553		—		—		714		553		1,268		(27)		1965	2023
Ohio	3	246		1,056		—		—		246		1,056		1,301		(11)		1855-1900	2023-2023
Oklahoma	1	2,257		2,073		—		—		2,257		2,073		4,330		(268)		2006	2021
Pennsylvania	1	2,014		—		—		—		2,014		—		2,014		—		N/A	2023
South Carolina	5	3,056		5,810		—		—		3,056		5,810		8,866		(234)		1937-2013	2016-2023
Tennessee	14	10,757		19,485		—		—		10,757		19,485		30,242		(2,317)		1870-2014	2016-2022
Texas	6	15,090		17,940		729		—		15,819		17,940		33,759		(1,883)		2006-2021	2021-2022
Virginia	1	1,259		1,786		—		—		1,259		1,786		3,045		(391)		1991	2018
Wisconsin	3	1,010		1,781		—		—		1,010		1,781		2,792		(5)		1997-2011	2023-2023
Pet Care Services
Alabama	1	$	2,359	$	4,730	$	—	$	—	$	2,359	$	4,730	$	7,089	$	(92)	2023	2021
Arkansas	3	2,741		10,657		—		—		2,741		10,657		13,398		(467)		1979-2023	2017-2023
Arizona	2	2,386		2,589		13		1,575		2,399		4,164		6,563		(565)		1990-2008	2018-2018
Florida	4	2,933		4,718		—		—		2,933		4,718		7,651		(872)		2003-2021	2018-2021
Georgia	5	3,335		3,367		—		—		3,335		3,367		6,702		(353)		1950-2007	2019-2021
Illinois	3	1,475		1,504		—		—		1,475		1,504		2,979		(365)		1976-1995	2019-2019

F-6

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Indiana	6	1,676		5,148		—		—		1,676		5,148		6,824		(872)		1952-2007	2017-2019
Louisiana	1	485		701		—		183		485		884		1,369		(127)		2007	2019
Maryland	1	586		1,881		16		34		602		1,915		2,516		(199)		1988	2020
Missouri	1	537		752		—		—		537		752		1,289		(127)		1986	2019
North Carolina	3	1,561		5,909		—		—		1,561		5,909		7,470		(501)		2014-2014	2019-2021
Nebraska	1	381		332		—		—		381		332		713		(101)		1967	2019
New York	1	327		697		—		—		327		697		1,023		(23)		1999	2023
Oklahoma	1	225		283		—		—		225		283		508		(86)		1993	2019
Oregon	1	192		324		—		—		192		324		516		(46)		1990	2019
South Carolina	2	1,808		1,017		—		—		1,808		1,017		2,825		(163)		1994-1994	2019-2023
Texas	2	2,782		7,093		—		—		2,782		7,093		9,875		(184)		2006-2023	2021-2021
Restaurants - Casual Dining
Alabama	5	$	2,954	$	7,305	$	—	$	—	$	2,954	$	7,305	$	10,259	$	(1,651)	1977-2007	2016-2017
Arkansas	1	1,392		1,929		—		—		1,392		1,929		3,322		(29)		2005	2023
Arizona	2	2,118		3,865		—		—		2,118		3,865		5,983		(73)		2002-2003	2023-2023
Colorado	1	1,593		3,400		—		—		1,593		3,400		4,994		(714)		1993	2016
Florida	8	5,497		11,008		55		29		5,552		11,037		16,589		(2,768)		1988-2003	2016-2017
Georgia	6	5,991		8,193		—		600		5,991		8,793		14,784		(1,689)		1982-2005	2016-2023
Iowa	4	2,078		6,311		—		—		2,078		6,311		8,389		(783)		1950-2005	2018-2022
Illinois	4	4,329		3,456		—		18		4,329		3,473		7,803		(363)		1991-2005	2018-2023
Indiana	2	2,387		1,827		—		—		2,387		1,827		4,214		(29)		1999-2006	2020-2023
Kansas	2	3,045		1,382		—		—		3,045		1,382		4,427		(169)		2005-2005	2021-2022
Kentucky	3	1,798		3,643		—		—		1,798		3,643		5,441		(337)		2001-2010	2019-2022
Louisiana	3	2,156		3,330		—		—		2,156		3,330		5,486		(831)		1988-1994	2016-2017
Massachusetts	10	12,982		14,943		—		—		12,982		14,943		27,926		(1,501)		1985-2008	2021-2021
Maryland	3	4,440		4,991		—		—		4,440		4,991		9,431		(581)		2003-2005	2017-2023
Michigan	11	6,671		15,576		—		—		6,671		15,576		22,247		(2,171)		1906-2003	2019-2022
Minnesota	2	7,921		14,090		—		—		7,921		14,090		22,010		(529)		1905-1947	2022-2022
Missouri	5	9,052		13,838		—		—		9,052		13,838		22,891		(690)		2001-2023	2017-2023
Mississippi	1	926		624		—		—		926		624		1,550		(158)		2004	2017
North Carolina	1	594		2,391		—		—		594		2,391		2,985		(38)		2020	2023
New Hampshire	1	1,978		2,127		—		—		1,978		2,127		4,105		(150)		1974	2021
New Jersey	8	9,625		28,327		—		—		9,625		28,327		37,952		(1,154)		1941-2005	2022-2022
Ohio	6	8,882		15,086		—		—		8,882		15,086		23,968		(878)		1988-2004	2019-2023
Oklahoma	1	2,039		—		—		—		2,039		—		2,039		—		N/A	2023
Pennsylvania	5	6,632		11,046		—		—		6,632		11,046		17,678		(403)		1880-2003	2022-2023
Rhode Island	1	830		1,171		—		—		830		1,171		2,001		(119)		1996	2021
South Carolina	1	447		292		—		29		447		321		768		(107)		2003	2017
South Dakota	1	1,922		2,475		—		—		1,922		2,475		4,397		(192)		2000	2021
Tennessee	1	683		737		—		—		683		737		1,420		(162)		2003	2017
Texas	8	10,874		8,469		—		—		10,874		8,469		19,343		(732)		1999-2018	2016-2023
Virginia	3	4,119		6,014		—		—		4,119		6,014		10,133		(357)		2000-2005	2019-2023

F-7

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
West Virginia	2	953		3,180		—		—		953		3,180		4,134		(200)		1997-2006	2022-2022
Restaurants - Family Dining
Florida	1	$	467	$	421	$	—	$	150	$	467	$	571	$	1,038	$	(357)	1997	2016
Georgia	14	9,832		22,607		—		1,330		9,832		23,937		33,769		(1,434)		1968-2019	2017-2023
Iowa	1	804		563		—		—		804		563		1,367		(171)		1994	2016
Illinois	2	1,372		1,206		—		750		1,372		1,956		3,328		(394)		1978-1979	2016-2016
Michigan	3	2,148		2,847		—		—		2,148		2,847		4,995		(418)		1973-2000	2019-2019
Minnesota	4	2,433		2,451		—		—		2,433		2,451		4,883		(778)		1975-1991	2016-2016
Missouri	2	1,038		1,153		—		—		1,038		1,153		2,191		(346)		1978-1979	2016-2016
New Hampshire	1	131		232		—		—		131		232		364		(364)		1998	2016
Pennsylvania	1	784		756		6		61		790		817		1,607		(234)		1995	2017
South Carolina	2	1,930		2,111		—		—		1,930		2,111		4,041		(306)		1978-2008	2020-2020
Virginia	1	90		192		—		—		90		192		282		(282)		1997	2016
Washington	2	1,787		3,861		—		—		1,787		3,861		5,647		(629)		1982-1999	2019-2019
Wisconsin	2	1,967		2,955		—		—		1,967		2,955		4,922		(599)		1976-2018	2016-2019
Wyoming	1	739		1,569		—		—		739		1,569		2,308		(222)		1982	2019
Restaurants - Quick Service
Alaska	2	$	1,115	$	3,157	$	5	$	527	$	1,120	$	3,684	$	4,804	$	(631)	1972-2006	2018-2018
Alabama	27	7,180		15,222		—		83		7,180		15,305		22,485		(3,032)		1972-2023	2016-2023
Arkansas	13	6,961		11,489		—		15		6,961		11,504		18,465		(2,054)		1977-2019	2016-2019
California	1	467		533		—		—		467		533		1,000		(149)		1993	2016
Colorado	1	698		1,036		—		—		698		1,036		1,733		(207)		1999	2018
Florida	18	12,582		20,086		—		—		12,582		20,086		32,668		(1,875)		1976-2022	2016-2023
Georgia	48	20,672		34,451		—		—		20,672		34,451		55,122		(5,644)		1975-2023	2016-2023
Iowa	7	2,268		6,367		—		75		2,268		6,442		8,711		(1,587)		1950-2004	2016-2019
Illinois	4	2,062		2,892		—		1,100		2,062		3,992		6,054		(541)		1988-2020	2016-2021
Indiana	13	9,014		12,894		—		504		9,014		13,398		22,411		(629)		1987-2023	2019-2023
Kansas	1	194		777		—		—		194		777		971		(160)		1971	2017
Kentucky	13	5,705		9,351		—		402		5,705		9,754		15,459		(1,423)		1969-2020	2016-2022
Louisiana	6	4,808		4,697		—		—		4,808		4,697		9,504		(555)		1983-2023	2019-2023
Massachusetts	9	5,251		5,131		—		—		5,251		5,131		10,382		(808)		1965-1987	2020-2020
Maryland	1	338		624		—		—		338		624		962		(100)		2002	2019
Michigan	11	3,446		7,227		—		—		3,446		7,227		10,673		(1,719)		1969-2015	2016-2018
Minnesota	3	2,605		4,416		—		—		2,605		4,416		7,021		(1,231)		1989-1996	2017-2019
Missouri	5	3,067		4,650		—		—		3,067		4,650		7,717		(320)		1987-2022	2016-2023
Mississippi	35	15,555		23,125		—		390		15,555		23,515		39,070		(3,018)		1968-2023	2016-2023
Montana	1	1,365		1,249		—		—		1,365		1,249		2,614		(21)		2023	2022
North Carolina	6	6,476		4,534		—		411		6,476		4,944		11,420		(189)		1986-2023	2016-2023
Nebraska	2	849		3,206		—		—		849		3,206		4,055		(405)		1998-1998	2016-2023
New Hampshire	1	409		355		—		—		409		355		763		(114)		1993	2016
New York	4	4,677		4,143		—		400		4,677		4,543		9,220		(1,238)		1968-2000	2016-2019

F-8

Description (a)		Initial Cost to Company				Cost Capitalized Subsequent to Acquisition (b)				Gross Amount at December 31, 2023 (c)(d)						Accumulated Depreciation (e)(f)		Year Constructed (Range)	Year Acquired (Range)
Tenant Industry & State	# of Properties	Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Land & Improvements		Building & Improvements		Total
Ohio	9	3,689		10,738		—		—		3,689		10,738		14,426		(1,145)		1964-1993	2016-2022
Oklahoma	11	8,978		9,531		—		—		8,978		9,531		18,509		(886)		1965-2023	2020-2023
Oregon	1	252		131		—		—		252		131		383		(48)		2015	2016
Pennsylvania	3	1,369		1,710		—		—		1,369		1,710		3,079		(470)		1963-1994	2016-2019
South Carolina	5	1,469		2,291		—		30		1,469		2,321		3,791		(503)		1977-2014	2016-2023
South Dakota	1	1,127		1,715		—		—		1,127		1,715		2,842		(78)		2013	2023
Tennessee	20	11,921		16,116		—		354		11,921		16,470		28,391		(2,849)		1974-2023	2016-2023
Texas	38	29,040		31,932		—		1,501		29,043		33,434		62,477		(4,083)		1970-2019	2016-2023
Wisconsin	2	1,197		2,462		—		85		1,197		2,547		3,748		(669)		1983-1998	2016-2017
West Virginia	6	1,293		3,137		—		—		1,293		3,137		4,430		(792)		1976-1994	2016-2016
Vacant Properties
Minnesota	1	$	734	$	309	$	180	$	25	$	914	$	334	$	1,248	$	(174)	1973	2016
Oregon	1	1,046		2,636		—		350		1,046		2,986		4,032		(477)		1980	2018
Grand Total	1728	$	1,537,920	$	2,848,294	$	4,382	$	89,718	$	1,542,302	$	2,938,012	$	4,480,314	$	(321,944)

_____________________________________

(a)As of December 31, 2023, the Company had investments in 1,873 single-tenant real estate property locations including 1,726 owned properties, 11 ground lease interests and 136 properties securing mortgage notes receivable. Three of the Company’s owned properties are subject to leases accounted for as direct financing leases and are excluded from the table above. Additionally, the table above excludes two owned properties which are accounted for as loans receivable, as the leases contain purchase options, and four owned properties which are held for sale as of December 31, 2023. Initial costs exclude intangible lease assets totaling $78.1 million.

(b)Amounts shown as reductions to cost capitalized subsequent to acquisition represent provisions recorded for impairment of real estate or partial land dispositions.

(c)The aggregate cost for federal income tax purposes is $4.3 billion.

(d)The following is a reconciliation of carrying value for land and improvements and building and improvements for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Balance, beginning of period	$	3,669,317	$	3,040,073	$	2,260,919
Additions
Acquisitions	887,407		751,610		831,795
Improvements	51,323		27,609		9,459
Deductions
Provisions for impairment of real estate	(3,548)		(20,164)		(6,120)
Real estate investments held for sale	(7,455)		(4,780)		(15,434)
Cost of real estate sold	(116,029)		(123,081)		(40,546)
Other	(701)		(1,949)		—
Balance, end of period	$	4,480,314	$	3,669,317	$	3,040,073

F-9

(e)The following is a reconciliation of accumulated depreciation for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Balance, beginning of period	$	238,022	$	169,126	$	112,144
Additions
Depreciation expense	95,527		80,647		61,172
Deductions
Accumulated depreciation associated with real estate investments sold and held for sale	(11,605)		(11,751)		(4,190)
Balance, end of period	$	321,944	$	238,022	$	169,126

(f)Depreciation is calculated using the straight-line method over the estimated useful lives of the properties, which is up to 40 years for buildings and improvements and 15 years for land improvements.

See accompanying report of independent registered public accounting firm.

F-10

ESSENTIAL PROPERTIES REALTY TRUST, INC.

Schedule IV - Mortgage Loans on Real Estate

As of December 31, 2023

(Dollar amounts in thousands)

Description	# of Properties	Interest Rate	Final Maturity Date	Periodic Payment Terms	Final Payment Terms	Prior Liens	Face Amount of Mortgages		Carrying Amount of Mortgages		Principal Amount of Loans Subject to Delinquent Principal or Interest
First mortgage loans:
Early Childhood Education Centers located in Florida	2	8.80%	5/9/2039	Interest only	Balloon - $12,000	None	$	12,000	$	11,874	None
Early Childhood Education Centers located in Florida	2	8.53%	7/17/2039	Interest only	Balloon - $7,300	None	7,300		7,220		None
Quick Service Restaurants located in fifteen states	69	7.79%	8/31/2034	Interest only	Balloon - $51,000	None	51,000		50,995		None
Early Childhood Education Center located in Florida	1	8.42%	2/29/2040	Interest only	Balloon - $5,300	None	5,300		5,247		None
Convenience Stores located in Minnesota	2	8.54%	12/31/2024	Interest only	Balloon - $1,785	None	1,785		1,754		None
Family Dining Restaurant located in Georgia	1	7.00%	6/28/2024	Interest only	Balloon - $500	None	500		500		None
Convenience Stores located in Wisconsin and Iowa	2	8.33%	12/31/2024	Interest only	Balloon - $994	None	994		972		None
Casual Dining Restaurants located in Kentucky and Ohio	2	6.87%	5/31/2036	Interest only	Balloon - $2,520	None	2,520		2,520		None
Convenience Stores located in Iowa	2	8.33%	12/31/2024	Interest only	Balloon - $2,389	None	2,389		2,326		None
Entertainment Center located in New Jersey	1	8.96%	9/30/2051	Principal + Interest	Fully amortizing	None	24,100		24,089		None
Car Washes located in Nevada	5	7.30%	12/31/2036	Interest only	Balloon - $25,714	None	25,714		25,711		None
Car Wash located in Florida	1	7.73%	12/29/2036	Interest only	Balloon - $2,470	None	2,470		2,464		None
Casual Dining Restaurant located in Michigan	1	8.00%	1/31/2024	Interest only	Balloon - $1,754	None	1,754		1,709		None
Quick Service Restaurants located in three states	26	7.00%	2/28/2027	Interest only	Balloon - $17,494	None	17,494		17,407		None
Car Wash located in New Jersey	1	7.73%	3/31/2037	Interest only	Balloon - $3,600	None	3,600		3,591		None
Convenience Store located in Minnesota	1	8.30%	4/22/2024	Interest only	Balloon - $760	None	760		739		None
Car Wash located in Nevada	1	7.33%	12/31/2036	Interest only	Balloon - $4,960	None	4,960		4,947		None
Car Wash located in Nevada	1	7.43%	12/31/2036	Interest only	Balloon - $4,800	None	4,800		4,788		None
Car Washes located in three states	4	8.64%	12/31/2037	Interest only	Balloon - $12,250	None	12,250		12,246		None
Car Washes located in five states	9	8.85%	12/31/2037	Interest only	Balloon - $25,993	None	25,993		25,942		None
Entertainment Center located in Missouri	1	8.84%	1/13/2038	Interest only	Balloon - $10,200	None	10,200		10,189		None
Fitness Center located in Florida	1	8.10%	11/30/2025	Interest only	Balloon - $2,891	None	2,891		2,891		None
							$	220,774	$	220,121

F-11

The following table shows changes in carrying amounts of mortgage loans receivable during the years ended December 31, 2023, 2022 and 2021 (in thousands):

	Year ended December 31,
	2023		2022		2021
Balance, beginning of period	$	233,978	$	181,419	$	144,048
Additions:
New mortgage loans	13,091		126,784		137,356
Subsequent funding on existing mortgage loans			17,236		—
Deductions:
Collections of principal	(27,029)		(91,488)		(100,179)
Provision for credit losses	81		27		194
Balance, end of period	$	220,121	$	233,978	$	181,419

See accompanying report of independent registered public accounting firm.

F-12

EX-21.1

Exhibit 21.1

List of Subsidiaries

Name of Subsidiary	State of Incorporation
Essential Properties, L.P.	Delaware
Essential Properties OP G.P., LLC	Delaware
Cadet 23 LLC	Delaware
SCF TRS LLC	Delaware
SCFRC-HW LLC	Delaware
SCFRC-HW-V LLC	Delaware
SCFRC-HW-G LLC	Delaware
SCF RC Funding I LLC	Delaware
SCF RC Funding II LLC	Delaware
SCF RC Funding III LLC	Delaware
SCF RC Funding IV LLC	Delaware
SCF Realty Capital Trust LLC	Delaware
SCF Realty IFH LLC	Delaware
SCF Realty Funding LLC	Delaware
SCF Realty Servicing Company LLC	Delaware
SCFRC-HW-528 South Broadway-Salem LLC	Delaware
SCF RC Funding Canal LLC	Delaware
LB Funding I LLC	Delaware

EX-22

Exhibit 22

List of Guarantors and Subsidiary Issuers of Guaranteed Securities

As of December 31, 2023, Essential Properties Realty Trust, Inc., a Maryland corporation, is the guarantor of the following outstanding guaranteed debt securities issued by its subsidiary Essential Properties, L.P., a Delaware limited partnership:

2.950% Senior Notes due 2031

EX-23.1

Exhibit 23.1

Consent of Independent Registered Public Accounting Firm

We have issued our reports dated February 14, 2024, with respect to the consolidated financial statements and internal control over financial reporting included in the Annual Report of Essential Properties Realty Trust, Inc. on Form 10-K for the year ended December 31, 2023. We consent to the incorporation by reference of said reports in the Registration Statements of Essential Properties Realty Trust, Inc. on Form S-3 (File No. 333-257202) and on Form S-8 (File No. 333-272153).

/s/ GRANT THORNTON LLP

New York, New York

February 14, 2024

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Peter M. Mavoides, certify that:

(1)I have reviewed this Annual Report on Form 10-K of Essential Properties Realty Trust, Inc.;

(2)Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3)Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4)The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

(5)The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:	February 14, 2024	By:	/s/ Peter M. Mavoides
			Peter M. Mavoides
			President and Chief Executive Officer
			(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO

RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934,

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Mark E. Patten, certify that:

(1)I have reviewed this Annual Report on Form 10-K of Essential Properties Realty Trust, Inc.;

(2)Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3)Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4)The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

(5)The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date:	February 14, 2024	By:	/s/ Mark E. Patten
			Mark E. Patten
			Executive Vice President, Chief Financial Officer, Treasurer and Secretary
			(Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report on Form 10-K of Essential Properties Realty Trust, Inc. (the “Company”) for the year ended December 31, 2023 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Peter M. Mavoides, Chief Executive Officer of the Company, hereby certify as of the date hereof, solely for the purposes of Title 18, Chapter 63, Section 1350 of the United States Code, that to the best of my knowledge:

(1)The Report fully complies with the requirements of section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company at the dates and for the periods indicated.

Date:	February 14, 2024	By:	/s/ Peter M. Mavoides
			Peter M. Mavoides
			President and Chief Executive Officer
			(Principal Executive Officer)

The foregoing certification is being furnished with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 pursuant to 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and it is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report on Form 10-K of Essential Properties Realty Trust, Inc. (the “Company”) for the year ended December 31, 2023 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Mark E. Patten, Chief Financial Officer of the Company, hereby certify as of the date hereof, solely for the purposes of Title 18, Chapter 63, Section 1350 of the United States Code, that to the best of my knowledge:

(1)The Report fully complies with the requirements of section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company at the dates and for the periods indicated.

Date:	February 14, 2024	By:	/s/ Mark E. Patten
			Mark E. Patten
			Executive Vice President, Chief Financial Officer, Treasurer and Secretary
			(Principal Financial Officer)

The foregoing certification is being furnished with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 pursuant to 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and it is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-97.1

Exhibit 97.1

ESSENTIAL PROPERTIES REALTY TRUST, INC.

EXECUTIVE OFFICER INCENTIVE-BASED COMPENSATION RECOVERY POLICY

Essential Properties Realty Trust, Inc. (together with its subsidiaries, the “Company” or “EPRT”), is committed to maintaining the highest degree of accountability of its executive officers as described herein in this Executive Officer Incentive-Based Compensation Recovery Policy (the “Compensation Recovery Policy”).

1.Policy Objectives and Rationale. This Compensation Recovery Policy is intended to:

·    Memorialize the Company’s consistent and comprehensive approach to compliance with the provisions contained in the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the New York Stock Exchange listing standards, and the rules adopted by the U.S. Securities and Exchange Commission (the “SEC”) relating to the recovery, under certain circumstances, of incentive-based compensation paid to current or former executive officers.

·    Provide the Company’s executive officers with guidance on the Company’s commitment to its stockholders and to the integrity and compliance of its financial reporting;

·    Support ongoing compliance with applicable securities laws and regulations; and

·    Demonstrate to the Company’s stakeholders that the Company is committed to accountability for its executive officers, current or former.

2.    Policy Statement. In the event that EPRT is required to prepare restated financial results owing to the Company’s material non-compliance with financial reporting requirements under the securities laws or owing to the correction of errors that are not material to previously issued financial statements but would result in a material misstatement if the errors were left uncorrected (collectively a “Restatement”), the Company will seek to recover or cancel any incentive-based compensation paid to an Executive Officer (as defined below) during the three (3)-year period preceding the date as of which the Company is required to prepare the accounting restatement, to the extent that such compensation exceeds the amount that would have been paid to the Executive Officer had it been based on the restated results.

3.    Recovery Mandate. This Compensation Recovery Policy applies to all Executive Officers (as defined below), whether or not an Executive Officer (or any other person) was engaged in the conduct that caused the Restatement to be made or otherwise had no responsibility for the errors in the financial statements that caused the Restatement.

4.    Definitions.

Executive Officer. For purposes of this Policy, “Executive Officer” means a current or former employee of the Company whom the Company’s Board of Directors (the “Board”) determines to

be, or to have been at the time of payment, a “named executive officer” (as such term is defined under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) of the Company or an employee designated as a senior vice president or serving in a similar management position including those in charge of a principal business unit, division or function of the Company or who perform policy-making functions.

Compensation. The incentive-based compensation subject to recovery pursuant to this Compensation Recovery Policy includes any compensation that is granted, earned or vested based, wholly or in part, upon the attainment of any financial reporting measure determined and presented in accordance with the accounting principles used in preparing the Company’s financial statements, and any measure that is derived wholly or in part from such measures, whether or not presented within the Company’s financial statements or included in a filing with the SEC, including the Company’s stock price and performance measures such as total stockholder return.

Compensation that is granted, vests or is earned based solely upon the occurrence of non-financial events, such as base salary, restricted stock or options with time-based vesting, or a bonus awarded solely at the discretion of the Board or Compensation Committee and not based on the attainment of any financial measure, is not subject to this Compensation Recovery Policy.

For incentive-based compensation based on stock price or total stockholder return, where the amount of erroneously awarded compensation is not subject to mathematical recalculation directly from the information in the Restatement, then the Board shall determine the amount to be recovered based on a reasonable estimate of the effect of the Restatement on the stock price or total stockholder return upon which the incentive-based compensation was received and the Company shall document the determination of that estimate and provide it to the NYSE.

5.    Board Determinations. The Board is authorized to administer this Policy consistent with the requirements of Section 10D of the Exchange Act and applicable rules or standards adopted by the Securities and Exchange Commission or the New York Stock Exchange or such other national exchange on which the Company’s shares are listed (“Applicable Law”).

·Authority of the Board. Subject to the foregoing, the Board, considering the best interest of the Company’s stockholders, shall have complete and final discretion to interpret this Compensation Recovery Policy and to make all determinations necessary or appropriate for its administration. The determination of the Board need not be uniform with respect to each of the Executive Officers.

·Conduct of Investigations. If the Board (or its designee) determines that a review or investigation of the matters applicable to this Compensation Recovery Policy would be appropriate under the circumstances, the Board (or its designee) will promptly notify those parties the Board deems appropriate, promptly have such a review or investigation undertaken and authorize the retention (at the Company’s expense) of any third-party consultants and/or advisors it deems appropriate. At the conclusion of such review and/or investigation, the Board will determine by majority vote what, if any, action is appropriate. All officers, directors, employees, and agents of the Company have an obligation to cooperate and comply with any review or investigation initiated by the Board pursuant to this Compensation Recovery Policy.

Essential Properties Realty Trust, Inc.        Page | 2

Policies and Procedures

·Delegation. The Board may delegate the responsibility to oversee, evaluate and investigate matters subject to this Compensation Recovery Policy to a committee of the Board. Such committee will provide a status update of any interim or final reports of findings at the applicable committee’s meetings with the Board (no less frequently than quarterly). The designated committee will consult with and coordinate with the Board as the Board deems appropriate.

·Other Considerations. In exercising its discretion, the Board shall consider such matters as it deems appropriate to prevent the recurrence of the non-compliance that resulted in the required restatement. Any right of recoupment under this Compensation Recovery Policy shall be in addition to, and not in lieu of, any other rights of recoupment that may be available to the Company.

·Notification of Others. At any time during a review and/or investigation of a matter subject to this Compensation Recovery Policy, the Chair of the Board may notify the Company’s Chief Executive Officer, Chief Financial Officer, directors or outside auditors of the receipt of a report and/or the progress or results of any review and/or investigation of the report and will provide such level of detail as may be necessary to allow for appropriate consideration by such parties of the Company’s ongoing reporting and disclosure obligations, including with regard to any required officer certifications.

6.    No Indemnification or Other Loss Mitigation. The Company shall not provide indemnification to any of its Executive Officers against or pay any premiums for an insurance policy to cover losses of incentive-based compensation incurred under this Compensation Recovery Policy.

Essential Properties Realty Trust, Inc.        Page | 3

Policies and Procedures

7.    Limited Exceptions to this Compensation Recovery Policy. Recovery of incentive-based compensation from Executive Officers pursuant to this Compensation Recovery Policy is required except in the following limited circumstances, with such circumstances being determined and approved by the Board:

i.    If the direct costs of enforcing recovery would exceed the recoverable amount(s);

ii.    If recovery would violate the laws of the United States applicable to EPRT that were in effect prior to the publication of this Compensation Recovery Policy; and

iii.    If recovery would violate the rules governing tax-qualified retirement plans.

8.    Disclosure and Distribution of the Compensation Recovery Policy. This Compensation Recovery Policy is required to be filed as an exhibit to the Company’s Annual Report on Form 10-K. In addition, a copy of this Compensation Recovery Policy shall be disclosed on the Company’s website. The Compensation Recovery Policy shall also be distributed to all Executive Officers of the Company annually and shall be given to a new Executive Officer of the Company upon the date of the new Executive Officer’s first workday with the Company.

9.    Effective Date – Compensation Subject to Recovery. This Compensation Recovery Policy will be effective as of the date it is adopted by the Board and will apply to incentive-based compensation that is approved, paid, awarded, or granted to Executive Officers on or after that date. This Policy may be amended or terminated at any time by resolution of the Board and shall be deemed to be amended as necessary to comply with Applicable Law.

* * *

Adopted:     July 27, 2022

Amended:    July 25, 2023

Essential Properties Realty Trust, Inc.        Page | 4

Policies and Procedures

XML

Cover - USD ($) $ in Billions	12 Months Ended
	Dec. 31, 2023	Feb. 14, 2024	Jun. 30, 2023
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2023
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	001-38530
Entity Registrant Name	Essential Properties Realty Trust, Inc.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	82-4005693
Entity Address, Address Line One	902 Carnegie Center Blvd.
Entity Address, Address Line Two	Suite 520
Entity Address, City or Town	Princeton
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	08540
City Area Code	609
Local Phone Number	436-0619
Title of 12(b) Security	Common Stock, $0.01 par value
Trading Symbol	EPRT
Security Exchange Name	NYSE
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Document Financial Statement Error Correction	false
Entity Shell Company	false
Entity Public Float			$ 3.6
Entity Common Stock, Shares Outstanding (in shares)		166,102,747
Documents Incorporated by Reference	Portions of the Definitive Proxy Statement for the registrant's 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this report. The registrant expects to file such proxy statement within 120 days after the end of its fiscal year.
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	FY
Entity Central Index Key	0001728951

XML

Audit Information	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Auditor Information [Abstract]
Auditor Firm ID	248	248	248
Auditor Name	GRANT THORNTON LLP	GRANT THORNTON LLP	GRANT THORNTON LLP
Auditor Location	New York, New York	New York, New York	New York, New York

XML

Consolidated Balance Sheets - USD ($) $ in Thousands		Dec. 31, 2023	Dec. 31, 2022
Real estate investments, at cost:
Land and improvements		$ 1,542,302	$ 1,228,687
Building and improvements		2,938,012	2,440,630
Lease incentives		17,890	18,352
Construction in progress		96,524	34,537
Intangible lease assets		89,209	88,364
Total real estate investments, at cost		4,683,937	3,810,570
Less: accumulated depreciation and amortization		(367,133)	(276,307)
Total real estate investments, net		4,316,804	3,534,263
Loans and direct financing lease receivables, net		223,854	240,035
Real estate investments held for sale, net		7,455	4,780
Net investments		4,548,113	3,779,078
Cash and cash equivalents		39,807	62,345
Restricted cash		9,156	9,155
Straight-line rent receivable, net		107,545	78,587
Derivative assets		30,980	47,877
Rent receivables, prepaid expenses and other assets, net		32,660	22,991
Total assets	[1]	4,768,261	4,000,033
LIABILITIES AND EQUITY
Unsecured term loans, net of deferred financing costs		1,272,772	1,025,492
Senior unsecured notes, net		395,846	395,286
Revolving credit facility		0	0
Intangible lease liabilities, net		11,206	11,551
Dividend payable		47,182	39,398
Derivative liabilities		23,005	2,274
Accrued liabilities and other payables		31,248	29,261
Total liabilities	[1]	1,781,259	1,503,262
Commitments and contingencies (see Note 11)		0	0
Stockholders' equity:
Preferred stock, $0.01 par value; 150,000,000 authorized; none issued and outstanding as of December 31, 2023 and 2022		0	0
Common stock, $0.01 par value; 500,000,000 authorized; 164,635,150 and 142,379,655 issued and outstanding as of December 31, 2023 and 2022, respectively		1,646	1,424
Additional paid-in capital		3,078,459	2,563,305
Distributions in excess of cumulative earnings		(105,545)	(117,187)
Accumulated other comprehensive income		4,019	40,719
Total stockholders' equity		2,978,579	2,488,261
Non-controlling interests		8,423	8,510
Total equity		2,987,002	2,496,771
Total liabilities and equity		$ 4,768,261	$ 4,000,033

[1] The Company's consolidated balance sheets include assets and liabilities of consolidated variable interest entities ("VIEs"). See Note 2—Summary of Significant Accounting Policies. As of December 31, 2023 and 2022, all of the assets and liabilities of the Company were held by its operating partnership, a consolidated VIE, with the exception of $47.0 million and $39.2 million, respectively, of dividends payable.

XML

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Preferred shares, par value per share (in USD per share)	$ 0.01	$ 0.01
Preferred shares, authorized shares (in shares)	150,000,000	150,000,000
Preferred shares, issued shares (in shares)	0	0
Preferred shares, outstanding shares (in shares)	0	0
Common shares, par value per share (in USD per share)	$ 0.01	$ 0.01
Common shares, authorized shares (in shares)	500,000,000	500,000,000
Common shares, issued shares (in shares)	164,635,150	142,379,655
Common shares, outstanding shares (in shares)	164,635,150	142,379,655
Dividend payable	$ 47,182	$ 39,398
Consolidated entity, excluding VIE
Dividend payable	$ 47,000	$ 39,200

XML

Consolidated Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Revenues:
Rental revenue	$ 339,897	$ 269,827	$ 213,327
Interest on loans and direct financing lease receivables	18,128	15,499	15,710
Other revenue, net	1,570	1,180	1,197
Total revenues	359,595	286,506	230,234
Expenses:
General and administrative	30,678	29,464	24,329
Property expenses	4,663	3,452	5,762
Depreciation and amortization	102,219	88,562	69,146
Provision for impairment of real estate	3,548	20,164	6,120
Change in provision for credit losses	(99)	88	(204)
Total expenses	141,009	141,730	105,153
Other operating income:
Gain on dispositions of real estate, net	24,167	30,647	9,338
Income from operations	242,753	175,423	134,419
Other (expense)/income:
Loss on debt extinguishment	(116)	(2,138)	(4,461)
Interest expense	(52,597)	(40,370)	(33,614)
Interest income	2,011	2,825	94
Income before income tax expense	192,051	135,740	96,438
Income tax expense	636	998	227
Net income	191,415	134,742	96,211
Net income attributable to non-controlling interests	(708)	(612)	(486)
Net income attributable to stockholders	$ 190,707	$ 134,130	$ 95,725
Basic weighted average shares outstanding (in shares)	152,140,735	134,941,188	116,358,059
Basic net income per share (in USD per share)	$ 1.25	$ 0.99	$ 0.82
Diluted weighted average shares outstanding (in shares)	153,521,854	135,855,916	117,466,338
Diluted net income per share (in USD per share)	$ 1.24	$ 0.99	$ 0.82

XML

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 191,415	$ 134,742	$ 96,211
Other comprehensive income:
Deferred loss on cash flow hedges	0	0	(4,824)
Unrealized (loss) gain on cash flow hedges	(9,187)	56,736	17,273
Cash flow hedge loss reclassified to interest expense	(27,687)	26	10,059
Total other comprehensive (loss) income	(36,874)	56,762	22,508
Comprehensive income	154,541	191,504	118,719
Net income attributable to non-controlling interests	(708)	(612)	(486)
Adjustment for other comprehensive income (loss) attributable to non-controlling interests	174	(1,257)	(113)
Comprehensive income attributable to stockholders	$ 154,007	$ 189,635	$ 118,120

XML

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Total Stockholders' Equity	Common Stock	Additional Paid-In Capital	Distributions in Excess of Cumulative Earnings	Accumulated Other Comprehensive Income (Loss)	Non- Controlling Interests
Balance at beginning of period (in shares) at Dec. 31, 2020			106,361,524
Balance at beginning of period at Dec. 31, 2020	$ 1,581,948	$ 1,574,758	$ 1,064	$ 1,688,540	$ (77,665)	$ (37,181)	$ 7,190
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issuance (in shares)			18,230,721
Common stock issuance	469,200	469,200	$ 182	469,018			0
Common stock withheld related to net share settlement of equity awards	(353)	(353)			(353)
Costs related to issuance of common stock	(12,153)	(12,153)		(12,153)
Other comprehensive income (loss)	22,508	22,395				22,395	113
Equity based compensation expense (in shares)			56,808
Equity based compensation expense	5,683	5,683	$ 0	5,683
Dividends declared on common stock and OP Units	(119,241)	(118,689)			(118,689)		(552)
Net income	96,211	95,725			95,725		486
Balance at end of period (in shares) at Dec. 31, 2021			124,649,053
Balance at end of period at Dec. 31, 2021	2,043,803	2,036,566	$ 1,246	2,151,088	(100,982)	(14,786)	7,237
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issuance (in shares)			17,576,684
Common stock issuance	413,845	413,845	$ 178	413,667
Common stock withheld related to net share settlement of equity awards	(2,452)	(2,452)			(2,452)
Costs related to issuance of common stock	(10,939)	(10,939)		(10,939)
Other comprehensive income (loss)	56,762	55,505				55,505	1,257
Equity based compensation expense (in shares)			153,918
Equity based compensation expense	9,489	9,489		9,489
Dividends declared on common stock and OP Units	(148,479)	(147,883)			(147,883)		(596)
Net income	$ 134,742	134,130			134,130		612
Balance at end of period (in shares) at Dec. 31, 2022	142,379,655		142,379,655
Balance at end of period at Dec. 31, 2022	$ 2,496,771	2,488,261	$ 1,424	2,563,305	(117,187)	40,719	8,510
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issuance (in shares)			21,971,744
Common stock issuance	507,380	507,380	$ 219	507,161
Common stock withheld related to net share settlement of equity awards	(3,671)	(3,671)			(3,671)
Costs related to issuance of common stock	(1,010)	(1,010)		(1,010)
Other comprehensive income (loss)	(36,874)	(36,700)				(36,700)	(174)
Equity based compensation expense (in shares)			283,751
Equity based compensation expense	9,006	9,006	$ 3	9,003
Dividends declared on common stock and OP Units	(176,015)	(175,394)			(175,394)		(621)
Net income	$ 191,415	190,707			190,707		708
Balance at end of period (in shares) at Dec. 31, 2023	164,635,150		164,635,150
Balance at end of period at Dec. 31, 2023	$ 2,987,002	$ 2,978,579	$ 1,646	$ 3,078,459	$ (105,545)	$ 4,019	$ 8,423

XML

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Cash flows from operating activities:
Net income	$ 191,415	$ 134,742	$ 96,211
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	102,219	88,562	69,146
Amortization of lease incentives	1,782	3,480	3,074
Amortization of above/below market leases and right of use assets, net	(275)	(217)	749
Amortization of deferred financing costs and other non-cash interest expense	3,863	3,099	2,738
Loss on debt extinguishment	116	2,138	4,461
Provision for impairment of real estate	3,548	20,164	6,120
Change in provision for credit losses	(99)	88	(204)
Gain on dispositions of real estate, net	(24,167)	(30,647)	(9,338)
Straight-line rent receivable, net	(28,285)	(20,811)	(20,160)
Equity based compensation expense	9,006	9,489	5,683
Adjustment to rental revenue for tenant credit	640	371	(2,900)
Payments made in settlement of cash flow hedges	0	0	(4,836)
Changes in other assets and liabilities:
Rent receivables, prepaid expenses and other assets, net	(5,956)	4,507	2,216
Accrued liabilities and other payables	767	(3,943)	14,433
Net cash provided by operating activities	254,574	211,022	167,393
Cash flows from investing activities:
Proceeds from sales of investments, net	128,598	126,610	58,381
Principal collections on loans and direct financing lease receivables	27,908	70,439	100,488
Investments in loans receivable	(13,091)	(115,016)	(136,391)
Deposits for prospective real estate investments	189	(26)	(590)
Investment in real estate, including capital expenditures	(894,550)	(728,727)	(840,027)
Investment in construction in progress	(105,075)	(51,870)	(9,348)
Lease incentives paid	(1,104)	(7,488)	(2,197)
Net cash used in investing activities	(857,125)	(706,078)	(829,684)
Cash flows from financing activities:
Repayment of secured borrowings	0	0	(175,781)
Borrowings under term loans	247,972	397,523	0
Borrowings under revolving credit facility	70,000	299,000	393,000
Repayments under revolving credit facility	(70,000)	(443,000)	(267,000)
Proceeds from issuance of senior unsecured notes	0	0	396,600
Proceeds from issuance of common stock, net	507,318	403,884	458,267
Payments for taxes related to net settlement of equity awards	(3,671)	(2,452)	(353)
Payment of debt extinguishment costs	0	(467)	0
Deferred financing costs	(2,426)	(4,991)	(2,120)
Offering costs	(948)	(1,008)	(1,220)
Dividends paid	(168,231)	(141,691)	(112,334)
Net cash provided by financing activities	580,014	506,798	689,059
Net (decrease) increase in cash and cash equivalents and restricted cash	(22,537)	11,742	26,768
Cash and cash equivalents and restricted cash, beginning of period	71,500	59,758	32,990
Cash and cash equivalents and restricted cash, end of period	48,963	71,500	59,758
Reconciliation of cash and cash equivalents and restricted cash:
Cash and cash equivalents	39,807	62,345	59,758
Restricted cash	9,156	9,155	0
Cash and cash equivalents and restricted cash, end of period	48,963	71,500	59,758
Supplemental disclosure of cash flow information:
Cash paid for interest, net of amounts capitalized	49,587	36,832	24,162
Cash paid for income taxes	1,486	1,214	637
Non-cash investing and financing activities:
Reclassification from construction in progress upon project completion	45,518	26,948	4,478
Non-cash repayment of term loan facility	200,000	0	0
Non-cash borrowing under term loan facility	(202,028)	0	0
Non-cash debt issuance costs	2,028	0	0
Net settlement of proceeds on the sale of investments	(4,625)	(28,938)	(960)
Non-cash investments in real estate and loan receivable activity	0	22,679	1,227
Unrealized losses on cash flow hedges	(9,187)	(56,615)	(27,890)
Payable and accrued offering costs	24	30	0
Discounts and fees on capital raised through issuance of common stock	38	9,931	10,933
Discounts and fees on issuance of debt	0	2,477	3,400
Dividends declared and unpaid	$ 47,182	$ 39,398	$ 32,610

XML

Organization

12 Months Ended

Dec. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization

Organization

Description of Business

Essential Properties Realty Trust, Inc. (the “Company”) is an internally managed real estate company that acquires, owns and manages primarily single-tenant properties that are net leased on a long-term basis to middle-market companies operating service-oriented or experience-based businesses. The Company generally invests in and leases freestanding, single-tenant commercial real estate facilities where a tenant services its customers and conducts activities that are essential to the generation of the tenant’s sales and profits.

The Company was organized on January 12, 2018 as a Maryland corporation. It elected to be taxed as a real estate investment trust (“REIT”) for federal income tax purposes beginning with the year ended December 31, 2018, and it believes that its current organizational and operational status and intended distributions will allow it to continue to so qualify. Substantially all of the Company’s business is conducted directly and indirectly through its operating partnership, Essential Properties, L.P. (the “Operating Partnership”).

The common stock of the Company is listed on the New York Stock Exchange under the ticker symbol “EPRT”.

XML

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2023

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

Basis of Accounting

The accompanying consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”).

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and subsidiaries in which the Company has a controlling financial interest. All intercompany accounts and transactions have been eliminated in consolidation. As of December 31, 2023 and 2022, the Company, directly and indirectly, held a 99.7% and 99.6% ownership interest in the Operating Partnership, respectively, and the consolidated financial statements include the financial statements of the Operating Partnership as of these dates. See Note 8—Non-controlling Interests for changes in the ownership interest in the Operating Partnership.

Use of Estimates

The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Reportable Segments

ASC Topic 280, Segment Reporting, establishes standards for the manner in which enterprises report information about operating segments. Substantially all of the Company’s investments, at acquisition, are comprised of real estate owned that is leased to tenants on a long-term basis or real estate that secures the Company's investment in loans and direct financing lease receivables. Therefore, the Company aggregates these investments for reporting purposes and operates in one reportable segment.

Real Estate Investments

Investments in real estate are carried at cost less accumulated depreciation and impairment losses. The cost of investments in real estate reflects their purchase price or development cost. The Company evaluates each acquisition transaction to determine whether the acquired asset meets the definition of a business. Under Accounting Standards Update ("ASU") 2017-1, Business Combinations (Topic 805): Clarifying the Definition of a

Business, an acquisition does not qualify as a business when there is no substantive process acquired or substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets or the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort or delay. Transaction costs related to acquisitions that are asset acquisitions are capitalized as part of the cost basis of the acquired assets, while transaction costs for acquisitions that are deemed to be acquisitions of a business are expensed as incurred. Improvements and replacements are capitalized when they extend the useful life or improve the productive capacity of the asset. Costs of repairs and maintenance are expensed as incurred.

The Company incurs various costs in the leasing and development of its properties. Amounts paid to tenants that incentivize them to extend or otherwise amend an existing lease or to sign a new lease agreement are capitalized to lease incentives on the Company's consolidated balance sheets. Tenant improvements are capitalized to building and improvements within the Company's consolidated balance sheets. Costs incurred which are directly related to properties under development, which include pre-construction costs essential to the development of the property, development costs, construction costs, interest costs and real estate taxes and insurance, are capitalized during the period of development as construction in progress. After the determination is made to capitalize a cost, it is allocated to the specific component of a project that benefited. Determination of when a development project commences, and capitalization begins, and when a development project has reached substantial completion, and is available for occupancy and capitalization must cease, involves a degree of judgment. The Company does not engage in speculative real estate development. The Company does, however, opportunistically agree to reimburse certain of its tenants for development costs at its properties in exchange for contractually-specified rent that generally increases proportionally with its funding.

The Company allocates the purchase price of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics.

The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the "as-if-vacant" value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant's lease. The Company estimates the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors the Company considers in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six to 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and the Company's estimate of the fair market lease rate for the corresponding in-place lease, measured over the remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases.

In making estimates of fair values for purposes of allocating purchase price, the Company uses a number of sources, including real estate valuations prepared by independent valuation firms. The Company also considers information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate (e.g., location, size, demographics, value and comparative rental rates), tenant credit profile and the importance of the location of the real estate to the operations of the tenant's business. Additionally, the Company considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. The Company uses the information obtained as a result of its pre-acquisition due diligence as part of its consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation.

Real estate investments that are intended to be sold are designated as "held for sale" on the consolidated balance sheets at the lesser of carrying amount and fair value less estimated selling costs. Real estate investments are no longer depreciated when they are classified as held for sale. If the disposal, or intended disposal, of certain

real estate investments represents a strategic shift that has had or will have a major effect on the Company's operations and financial results, the operations of such real estate investments would be presented as discontinued operations in the consolidated statements of operations for all applicable periods.

Depreciation and Amortization

Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings and 15 years for site improvements. The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Depreciation on real estate investments	$	95,527	$	80,647	$	61,171

Lease incentives are amortized on a straight-line basis as a reduction of rental income over the remaining non-cancellable terms of the respective leases. If a tenant terminates its lease, the unamortized portion of the lease incentive is charged to rental revenue. Construction in progress is not depreciated until the development has reached substantial completion. Tenant improvements are depreciated over the non-cancellable term of the related lease or their estimated useful life, whichever is shorter.

Capitalized above-market lease intangibles are amortized on a straight-line basis as a reduction of rental revenue over the remaining non-cancellable terms of the respective leases. Capitalized below-market lease intangibles are accreted on a straight-line basis as an increase to rental revenue over the remaining non-cancellable terms of the respective leases including any below-market fixed rate renewal option periods.

Capitalized above-market ground lease values are accreted as a reduction of property expenses over the remaining terms of the respective leases. Capitalized below-market ground lease values are amortized as an increase to property expenses over the remaining terms of the respective leases and any expected below-market renewal option periods where renewal is considered probable.

The value of in-place leases, exclusive of the value of above-market and below-market lease intangibles, is amortized to depreciation and amortization expense on a straight-line basis over the remaining periods of the respective leases.

If a tenant terminates its lease, the unamortized portion of each intangible, including in-place lease values, is charged to depreciation and amortization expense, while above- and below-market lease adjustments are recorded within rental revenue in the consolidated statements of operations.

Loans Receivable

The Company holds its loans receivable for long-term investment. Loans receivable are carried at amortized cost, including related unamortized discounts or premiums, if any, less the Company's estimated allowance for credit losses. The Company recognizes interest income on loans receivable using the effective-interest method applied on a loan-by-loan basis. Direct costs associated with originating loans are offset against any related fees received and the balance, along with any premium or discount, is deferred and amortized as an adjustment to interest income over the term of the related loan receivable using the effective-interest method.

Direct Financing Lease Receivables

Certain of the Company’s real estate investment transactions are accounted for as direct financing leases. The Company records the direct financing lease receivables at their net investment, determined as the aggregate minimum lease payments and the estimated non-guaranteed residual value of the leased property less unearned income. The unearned income is recognized over the term of the related lease so as to produce a constant rate of return on the net investment in the asset. The Company’s investment in direct financing lease receivables is reduced over the applicable lease term to its non-guaranteed residual value by the portion of rent allocated to the direct financing lease receivables.

Allowance for Credit Losses

Under ASC Topic 326, Financial Instruments - Credit Losses, the Company uses a real estate loss estimate model (“RELEM”) which estimates losses on its loans and direct financing lease receivable portfolio, for purposes of calculating allowances for credit losses. The RELEM allows the Company to refine (on an ongoing basis) the expected loss estimate by incorporating asset-specific assumptions as necessary, such as anticipated funding, interest payments, estimated extensions and estimated loan repayment/refinancing at maturity to estimate cash flows over the life of the loan or direct financing lease receivable. The model also incorporates assumptions related to underlying collateral values, various loss scenarios, and predicted losses to estimate expected losses. The Company's specific asset-level inputs include loan-to-stabilized-value (“LTV”), principal balance, property type, location, coupon, origination year, term, subordination, expected repayment date and future funding. The Company categorizes the results by LTV range, which it considers the most significant indicator of credit quality for its loans and direct financing lease receivables. A lower LTV ratio typically indicates a lower credit loss risk.

The Company also evaluates each loan and direct financing lease receivable measured at amortized cost for credit deterioration at least quarterly. Credit deterioration occurs when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan or direct financing lease receivable.

The Company's allowance for credit losses is adjusted to reflect its estimation of the current and future economic conditions that impact the performance of the real estate assets securing its loans. These estimations include various macroeconomic factors impacting the likelihood and magnitude of potential credit losses for the Company's loans and direct financing lease receivables during their anticipated term. Changes in the Company's allowance for credit losses are presented within change in provision for credit losses in it's consolidated statements of operations.

Impairment of Long-Lived Assets

If circumstances indicate that the carrying value of a property may not be recoverable, the Company reviews the property for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. Impairment losses, if any, are recorded directly within the Company's consolidated statements of operations.

The Company recorded the following provisions for impairment of long lived assets during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Provision for impairment of real estate	$	3,548	$	20,164	$	6,120

Cash and Cash Equivalents

Cash and cash equivalents includes cash in the Company’s bank accounts. The Company considers all cash balances and highly liquid investments with original maturities of three months or less to be cash and cash equivalents. The Company deposits cash with high quality financial institutions. These deposits are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to an insurance limit.

As of December 31, 2023 and 2022, the Company had cash and cash equivalents of $39.8 million and $62.3 million, respectively, of which $39.6 million and $62.1 million, respectively, were not insured by the FDIC. Although the Company bears risk with respect to amounts not insured by the FDIC, it has not experienced and does not anticipate any losses as a result due to the high quality of the financial institutions where balances are held.

Restricted Cash

Restricted cash primarily consists of cash proceeds from the sale of assets held by a qualified intermediary to facilitate tax-deferred exchange transactions under Section 1031 of the Internal Revenue Code of 1986, as amended (the "Code").

Forward Equity Sales

The Company has and may continue to enter into forward sale agreements relating to shares of its common stock, either through its 2022 ATM Program (as defined herein) or through underwritten public offerings. These agreements may be physically settled in stock, settled in cash or net share settled at the Company’s election.

The Company evaluated its forward sale agreements and concluded they meet the conditions to be classified within stockholders’ equity. Prior to settlement, a forward sale agreement will be reflected in the diluted earnings per share calculations using the treasury stock method. Under this method, the number of shares of the Company’s common stock used in calculating diluted earnings per share is deemed to be increased by the excess, if any, of the number of shares of the Company’s common stock that would be issued upon full physical settlement of such forward sale agreement over the number of shares of the Company’s common stock that could be purchased by the Company in the market (based on the average market price during the reporting period) using the proceeds receivable upon full physical settlement (based on the adjusted forward sale price at the end of the reporting period). Consequently, prior to settlement of a forward sale agreement, there will be no dilutive effect on the Company’s earnings per share except during periods when the average market price of the Company’s common stock is above the adjusted forward sale price. However, upon settlement of a forward sales agreement, if the Company elects to physically settle or net share settle such forward sale agreement, delivery of the Company’s shares will result in dilution to the Company’s earnings per share.

Deferred Financing Costs

Financing costs related to establishing the Company’s Revolving Credit Facility (as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the facility and are reported as a component of rent receivables, prepaid expenses and other assets, net on the consolidated balance sheets.

Financing costs related to the incurrence of borrowings under the Company's unsecured term loans and the issuance of senior unsecured notes were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the related debt instrument and are reported as a reduction of the related debt balance on the consolidated balance sheets.

Derivative Instruments

In the normal course of business, the Company uses derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows on a portion of the Company’s floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting.

The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designated and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other

comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If the Company elects not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of such derivative instruments would be recognized immediately as a gain or loss on derivative instruments in the consolidated statements of operations.

Fair Value Measurement

The Company estimates the fair value of financial and non-financial assets and liabilities based on the framework established in fair value accounting guidance. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The hierarchy described below prioritizes inputs to the valuation techniques used in measuring the fair value of assets and liabilities. This hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring the most observable inputs to be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows:

Level 1—Quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date.

Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability.

Level 3—Unobservable inputs that reflect the Company's own assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.

Revenue Recognition

The Company’s rental revenue is primarily rent received from tenants. Rent from tenants is recorded in accordance with the terms of each lease on a straight-line basis over the non-cancellable initial term of the lease from the later of the date of the commencement of the lease and the date of acquisition of the property subject to the lease. Rental revenue recognition begins when the tenant controls the space and continues through the term of the related lease. Because substantially all of the leases provide for rental increases at specified intervals, the Company records a straight-line rent receivable and recognizes revenue on a straight-line basis through the expiration of the non-cancelable term of the lease. The Company considers whether the collectability of rents is reasonably assured in determining the amount of straight-line rent to record.

Generally, the Company’s leases provide the tenant with one or more multi-year renewal options, subject to generally the same terms and conditions provided under the initial lease term, including rent increases. If economic incentives make it reasonably certain that an option period to extend the lease will be exercised, the Company will include these options in determining the non-cancelable term of the lease.

The Company defers rental revenue related to lease payments received from tenants in advance of their due dates. These amounts are presented within accrued liabilities and other payables on the Company’s consolidated balance sheets.

Certain properties in the Company’s investment portfolio are subject to leases that provide for contingent rent based on a percentage of the tenant’s gross sales. For these leases, the Company recognizes contingent rental revenue when the threshold upon which the contingent lease payment is based is actually reached.

The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Contingent rent	$	743	$	682	$	721

Adjustment to Rental Revenue for Tenant Credit

The Company continually reviews receivables related to rent and unbilled rent receivables and determines collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located.

If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments that have been collected is recognized as a current period reduction of rental revenue in the consolidated statements of operations.

The Company recorded the following adjustments as increases or decreases to rental revenue for tenant credit during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Adjustment to (decrease) increase rental revenue for tenant credit	$	(640)	$	(371)	$	2,900

Offering Costs

In connection with the completion of equity offerings, the Company incurs legal, accounting and other offering-related costs. Such costs are deducted from the gross proceeds of each equity offering when the offering is completed. As of December 31, 2023 and 2022, the Company capitalized a total of $91.3 million and $90.3 million, respectively, of such costs, which are presented as a reduction of additional paid-in capital in the Company's consolidated balance sheets.

Income Taxes

The Company elected and qualified to be taxed as a REIT under sections 856 through 860 of the Code commencing with its taxable year ended December 31, 2018. REITs are subject to a number of organizational and operational requirements, including a requirement that 90% of ordinary “REIT taxable income” (as determined without regard to the dividends paid deduction or net capital gains) be distributed. As a REIT, the Company will generally not be subject to U.S. federal income tax to the extent that it meets the organizational and operational requirements and its distributions equal or exceed REIT taxable income. For the period subsequent to the effective date of its REIT election, the Company continues to meet the organizational and operational requirements and expects distributions to exceed REIT taxable income. Accordingly, no provision has been made for U.S. federal income taxes. Even though the Company has elected and qualifies for taxation as a REIT, it may be subject to state and local income and franchise taxes, and to federal income and excise tax on its undistributed income. Franchise taxes and federal excise taxes on the Company’s undistributed income, if any, are included in general and administrative expenses on the accompanying consolidated statements of operations. Additionally, taxable income from non-REIT activities managed through the Company's taxable REIT subsidiary is subject to federal, state, and local taxes.

The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in such jurisdictions. The Company follows a two-step process to evaluate uncertain tax positions. Step one, recognition, occurs when an entity concludes that a tax position, based solely on its technical merits, is more-likely-than-not to be sustained upon examination. Step two, measurement, determines the amount of benefit that is more-likely-than-not to be realized upon settlement. Derecognition of a tax position that was previously recognized would occur when the Company subsequently determines that a tax position no longer meets the more-likely-than-not threshold of being sustained. The use of a valuation allowance as a substitute for derecognition of tax positions is prohibited.

As of December 31, 2023 and 2022, the Company had no accruals recorded for uncertain tax positions. The Company’s policy is to classify interest expense and penalties relating to taxes in general and administrative expense in the consolidated statements of operations. During the years ended December 31, 2023, 2022 and 2021, the Company recorded de minimis interest or penalties relating to taxes, and there were no interest or penalties with

respect to taxes accrued as of December 31, 2023 or 2022. The 2022, 2021, and 2020 taxable years remain open to examination by federal and/or state taxing jurisdictions to which the Company is subject.

Equity-Based Compensation

The Company grants shares of restricted common stock ("RSAs") and restricted stock units (“RSUs”) to its directors, executive officers and other employees that vest over specified time periods, subject to the recipient’s continued service. The Company also grants performance-based RSUs to executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient’s continued service. The Company accounts for RSAs and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods.

The Company recognizes compensation expense for equity-based compensation using the straight-line method based on the fair value of the award on the grant date. Forfeitures of equity-based compensation awards, if any, are recognized when they occur.

Variable Interest Entities

The Financial Accounting Standards Board (“FASB”) provides guidance for determining whether an entity is a VIE. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. A VIE is required to be consolidated by its primary beneficiary, which is the party that (i) has the power to control the activities that most significantly impact the VIE’s economic performance and (ii) has the obligation to absorb losses, or the right to receive benefits, of the VIE that could potentially be significant to the VIE.

The Company has concluded that the Operating Partnership is a VIE of which the Company is the primary beneficiary, as the Company has the power to direct the activities that most significantly impact the economic performance of the Operating Partnership. Substantially all of the Company’s assets and liabilities are held by the Operating Partnership. The assets and liabilities of the Operating Partnership are consolidated and reported as assets and liabilities on the Company’s consolidated balance sheets as of December 31, 2023 and 2022.

Additionally, the Company has concluded that certain entities to which it has provided mortgage loans are VIEs because the entities' equity was not sufficient to finance their activities without additional subordinated financial support. The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Number of VIEs	21		21
Aggregate carrying value	$	219,449	$	233,351

The Company was not the primary beneficiary of any of these entities, because the Company did not have the power to direct the activities that most significantly impact the entities’ economic performance as of December 31, 2023 and 2022. The Company’s maximum exposure to loss in these entities is limited to the carrying amount of its investment. The Company had no liabilities associated with these VIEs as of December 31, 2023 and 2022.

Recent Accounting Developments

In July 2021, the FASB issued ASU 2021-05, Lease (Topic 842): Lessors - Certain Leases with Variable Lease Payments ("ASU 2021-05"). The guidance in ASU 2021-05 amends the lease classification requirements for the lessors under certain leases containing variable payments to align with practice under ASC 840. The lessor should classify and account for a lease with variable lease payments that do not depend on a reference index or a rate as an operating lease if both of the following criteria are met: 1) the lease would have been classified as a sales-type lease or a direct financing lease in accordance with the classification criteria in ASC 842-10-25-2 through 25-3; and 2) the lessor would have otherwise recognized a day-one loss. The amendments in ASU 2021-05 are

effective for fiscal years beginning after December 15, 2021, with early adoption permitted. The adoption of ASU 2021-05 did not have a material impact on the Company's consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The guidance in ASU 2023-07 improves reportable segment disclosure requirements through enhanced disclosures about significant segment expenses. ASU 2023-07 includes requirements to disclose the title and position of the Chief Operating Decision Maker ("CODM") along with disclosure of the significant segment expenses regularly provided to the CODM, the extension of certain annual disclosures to interim periods, requirements that entities that have a single reportable segment must apply ASC 280 in its entirety, and requirements that permit more than one measure of segment profit or loss to be reported under certain conditions. The amendments in ASU 2023-07 are effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of the guidance on the Company's consolidated financial statements and related disclosures.

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Investments

12 Months Ended

Dec. 31, 2023

Investments [Abstract]

Investments

Investments

The following table presents information about the number of investments in the Company's real estate investment portfolio as of each date presented:

	December 31,
	2023	2022
Owned properties (1)	1,726	1,489
Properties securing investments in mortgage loans (2)	136	153
Ground lease interests	11	11
Total number of investments	1,873	1,653

_____________________________________

(1)Includes six and eight properties which are subject to leases accounted for as direct financing leases or loans as of December 31, 2023 and 2022, respectively.

(2)Properties secure 20 mortgage loans receivable as of December 31, 2023 and 2022.

The following table presents information about the gross investment value of the Company's real estate investment portfolio as of each date presented:

	December 31,
(in thousands)	2023		2022
Real estate investments, at cost	$	4,683,937	$	3,810,570
Loans and direct financing lease receivables, net	223,854		240,035
Real estate investments held for sale, net	7,455		4,780
Total gross investments	$	4,915,246	$	4,055,385

Investments in 2023 and 2022

The following table presents information about the Company’s investment activity during the years ended December 31, 2023 and 2022:

	Year ended December 31,
(Dollars in thousands)	2023		2022
Ownership type	(1)		(2)
Number of properties	291		224
Purchase price allocation:
Land and improvements	$	354,331	$	270,049
Building and improvements	539,062		481,560
Construction in progress (3)	105,075		51,870
Intangible lease assets	2,553		3,366
Total purchase price	1,001,021		806,845
Intangible lease liabilities	(181)		—
Purchase price (including acquisition costs)	$	1,000,840	$	806,845

_____________________________________

(1)During the year ended December 31, 2023, the Company acquired fee interests in 289 properties and acquired two properties subject to ground leases.

(2)During the year ended December 31, 2022, the Company acquired fee interests in 223 properties and acquired one property subject to a ground lease.

(3)Represents amounts incurred at and subsequent to initial investment and includes $2.4 million and $0.8 million, respectively, of capitalized interest expense during the years ended December 31, 2023 and 2022.

During the years ended December 31, 2023 and 2022, the Company did not make any new investments that individually represented more than 5% of the Company’s total real estate investment portfolio.

Gross Investment Activity

During the years ended December 31, 2023, 2022 and 2021, the Company had the following gross investment activity:

(Dollar amounts in thousands)	Number of Investment Locations	Dollar Amount of Investments
Gross investments, December 31, 2020	1,181	$	2,528,673
Acquisitions of and additions to real estate investments	297	853,798
Sales of investments in real estate	(38)	(57,154)
Provisions for impairment of real estate (1)	—	(6,120)
Investments in loans receivable	49	137,351
Principal collections on and settlements of loans and direct financing lease receivables	(38)	(100,488)
Other	—	(499)
Gross investments, December 31, 2021	1,451	3,355,561
Acquisitions of and additions to real estate investments	224	810,661
Sales of investments in real estate	(54)	(138,515)
Provisions for impairment of real estate (2)	—	(20,164)
Investments in loans receivable	75	143,954
Principal collections on and settlements of loans and direct financing lease receivables	(43)	(93,118)
Other	—	(2,994)
Gross investments, December 31, 2022	1,653	4,055,385
Acquisitions of and additions to real estate investments	291	1,004,075
Sales of investments in real estate	(51)	(120,809)
Relinquishment of properties at end of ground lease term	(2)	(1,543)
Provisions for impairment of real estate (3)	—	(3,548)
Investments in loans receivable	2	13,091
Principal collections on and settlements of loans and direct financing lease receivables	(20)	(27,908)
Other	—	(3,497)
Gross investments, December 31, 2023	1,873	4,915,246
Less: Accumulated depreciation and amortization (4)	—	(367,133)
Net investments, December 31, 2023	1,873	$	4,548,113

_____________________________________________ 

(1)During the year ended December 31, 2021, the Company identified and recorded provisions for impairment at two vacant and 16 tenanted properties.

(2)During the year ended December 31, 2022, the Company identified and recorded provisions for impairment at four vacant and nine tenanted properties.

(3)During the year ended December 31, 2023, the Company identified and recorded provisions for impairment at two vacant and six tenanted properties.

(4)Includes $321.9 million of accumulated depreciation as of December 31, 2023.

Real Estate Investments

The Company's investment properties are leased to tenants under long-term operating leases that typically include one or more renewal options. See Note 4—Leases for more information about the Company's leases.

Loans and Direct Financing Lease Receivables

As of December 31, 2023 and 2022, the Company had 20 and 23 mortgage loans receivable outstanding, respectively. As of December 31, 2023 and 2022, the Company had two and three leases accounted for as loans, respectively, with an aggregate carrying amount of $223.1 million and $238.7 million, respectively. The maximum amount of loss due to credit risk is the Company's current principal balance of $223.1 million as of December 31, 2023.

The Company's loans receivable portfolio as of December 31, 2023 and 2022 is summarized below (dollars in thousands): 

Loan Type	Monthly Payment (1)	Number of Secured Properties	Effective Interest Rate	Stated Interest Rate	Maturity Date	Principal Balance Outstanding
						December 31, 2023		December 31, 2022
Mortgage (2)(3)	I/O	2	8.80%	8.00%	2039	$	12,000	$	12,000
Mortgage (2)	I/O	2	8.53%	7.75%	2039	7,300		7,300
Mortgage (2)	I/O	69	7.79%	7.33%	2034	51,000		51,000
Mortgage (2)	I/O	1	8.42%	7.65%	2040	5,300		5,300
Mortgage (2)	I/O	2	8.54%	8.50%	2024	1,785		2,324
Mortgage (2)	I/O	1	7.00%	7.00%	2024	500		600
Mortgage (2)	I/O	2	8.30%	8.25%	2024	994		3,146
Mortgage (2)	I/O	2	6.87%	6.40%	2036	2,520		2,520
Mortgage (2)	I/O	—	7.51%	7.00%	2036	—		2,673
Mortgage (2)	I/O	2	8.29%	8.25%	2024	2,389		2,389
Mortgage (2)	I/O	1	8.96%	8.06%	2051	24,100		24,100
Mortgage (2)	I/O	—	7.44%	7.10%	2036	—		9,808
Mortgage (2)	I/O	7	7.30%	6.80%	2036	35,474		35,474
Mortgage (2)	I/O	1	7.73%	7.20%	2036	2,470		2,470
Mortgage (2)	I/O	1	8.00%	8.00%	2024	1,754		1,754
Mortgage (2)	I/O	26	7.00%	7.00%	2027	17,494		26,307
Mortgage (2)	I/O	1	7.73%	7.20%	2037	3,600		3,600
Mortgage (2)	I/O	1	8.30%	8.25%	2024	760		760
Mortgage (2)	I/O	4	8.64%	8.05%	2037	12,250		12,250
Mortgage (2)	I/O	9	8.85%	8.25%	2037	25,993		28,938
Mortgage (2)	I/O	1	8.83%	8.25%	2038	10,200		—
Mortgage (2)	I/O	1	8.10%	8.10%	2025	2,891		—
Leasehold interest	P+I	1	2.25%	(4)	2034	929		992
Leasehold interest	P+I	1	2.41%	(4)	2034	1,382		1,473
Leasehold interest	P+I	—	4.97%	(4)	2038	—		1,517
Net investment						$	223,085	$	238,695

________________________________________________

(1)I/O: Interest Only; P+I: Principal and Interest

(2)Loan requires monthly payments of interest only with a balloon payment due at maturity.

(3)Loan allows for prepayments in whole or in part without penalty.

(4)These leasehold interests are accounted for as loans receivable, as the lease for each property contains an option for the lessee to repurchase the leased property in the future.

Scheduled principal payments due to be received under the Company's loans receivable as of December 31, 2023 were as follows:

(in thousands)	Loans Receivable
2024	$	8,346
2025	3,063
2026	181
2027	17,684
2028	199
Thereafter	193,612
Total	$	223,085

As of December 31, 2023 and 2022, the Company had $1.4 million and $2.1 million, respectively, of net investments accounted for as direct financing lease receivables. The components of the investments accounted for as direct financing lease receivables were as follows:

	December 31,
(in thousands)	2023		2022
Minimum lease payments receivable	$	1,709	$	2,812
Estimated unguaranteed residual value of leased assets	251		251
Unearned income from leased assets	(525)		(957)
Net investment	$	1,435	$	2,106

Scheduled future minimum non-cancelable base rental payments due to be received under the direct financing lease receivables as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Payments
2024	$	210
2025	178
2026	167
2027	143
2028	145
Thereafter	866
Total	$	1,709

Allowance for Credit Losses

The Company utilizes a real estate loss estimate model (i.e. a RELEM) which estimates losses on loans and direct financing lease receivables for purposes of calculating an allowance for credit losses. As of December 31, 2023 and 2022, the Company recorded an allowance for credit losses of $0.7 million and $0.8 million, respectively, which is recorded within loans and direct financing receivables on the Company's consolidated balance sheets. Changes in the Company’s allowance for credit losses are presented within change in provision for credit losses in the Company’s consolidated statements of operations.

For the years ended December 31, 2023, 2022 and 2021, the changes to the Company's allowance for credit losses were as follows:

(in thousands)	Loans and Direct Financing Lease Receivables
Balance at December 31, 2020	$	1,018
Current period provision for expected credit losses (1)	(204)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2021	814
Current period provision for expected credit losses (2)	88
Write-offs charged	(137)
Recoveries	—
Balance at December 31, 2022	765
Current period provision for expected credit losses(2)	(99)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2023	$	666

_____________________________________

(1)The decrease in expected credit losses was due to assumptions regarding current macroeconomic factors returning to pre-pandemic values due to the reduction of the adverse impact of the COVID-19 pandemic.

(2)The change in expected credit loss was primarily due to an overall increase or decrease in the size of our loans and direct financing lease receivables portfolio.

The Company considers the ratio of loan to value ("LTV") to be a significant credit quality indicator for its loans and direct financing lease portfolio. The following table presents information about the LTV of the Company's loans and direct financing lease receivables measured at amortized cost as of as of December 31, 2023:

	Amortized Cost Basis by Origination Year										Total Amortized Cost Basis
(in thousands)	2023		2022		2021		2020		Prior to 2020
LTV <60%	$	—	$	23,000	$	—	$	—	$	28,986	$	51,986
LTV 60%-70%	—		—		28,734		—		—		28,734
LTV >70%	13,091		71,611		29,953		8,466		20,679		143,800
	$	13,091	$	94,611	$	58,687	$	8,466	$	49,665	$	224,520

Real Estate Investments Held for Sale

The Company continually evaluates its portfolio of real estate investments and may elect to dispose of investments considering criteria including, but not limited to, tenant concentration, tenant credit quality, tenant operation type (e.g., industry, sector or concept), unit-level financial performance, local market conditions and lease rates, associated indebtedness and asset location. Real estate investments held for sale are expected to be sold within twelve months.

The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the years ended December 31, 2023 and 2022: 

(Dollar amounts in thousands)	Number of Properties	Real Estate Investments		Intangible Lease Liabilities		Net Carrying Value
Held for sale balance, December 31, 2021	9	$	15,434	$	—	$	15,434
Transfers to held for sale classification	11	28,393		—		28,393
Sales	(16)	(39,047)		—		(39,047)
Transfers to held and used classification	—	—		—		—
Held for sale balance, December 31, 2022	4	4,780		—		4,780
Transfers to held for sale classification	10	19,311		—		19,311
Sales	(9)	(16,067)		—		(16,067)
Transfers to held and used classification	(1)	(569)		—		(569)
Held for sale balance, December 31, 2023	4	$	7,455	$	—	$	7,455

Significant Concentrations

The Company did not have any tenants (including for this purpose, all affiliates of such tenants) whose rental revenue for the years ended December 31, 2023, 2022 or 2021 represented 10% or more of total rental revenue in the Company's consolidated statements of operations.

The following table lists the state where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company's consolidated statements of operations:

	Year ended December 31,
State	2023	2022	2021
Texas	13.3%	13.5%	13.1%

Intangible Assets and Liabilities

Intangible assets and liabilities consisted of the following as of the dates presented:

	December 31, 2023						December 31, 2022
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets:
In-place leases	$	78,080	$	35,896	$	42,184	$	77,096	$	30,217	$	46,879
Intangible market lease assets	11,129		5,456		5,673		11,268		4,917		6,351
Total intangible assets	$	89,209	$	41,352	$	47,857	$	88,364	$	35,134	$	53,230
Intangible market lease liabilities	$	15,505	$	4,299	$	11,206	$	15,325	$	3,774	$	11,551

 The remaining weighted average amortization period for the Company's intangible assets and liabilities as of December 31, 2023, by category and in total, were as follows:

	Years Remaining
In-place leases	8.5
Intangible market lease assets	10.4
Total intangible assets	8.7
Intangible market lease liabilities	8.7

The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and

liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Amortization of in-place leases (1)	$	6,408	$	7,575	$	7,544
Amortization (accretion) of market lease intangibles, net (2)	11		(217)		(47)
Amortization (accretion) of above- and below-market ground lease intangibles, net (3)	(286)		(350)		(353)

 ______________________________________________________

(1)Reflected within depreciation and amortization expense.

(2)Reflected within rental revenue.

(3)Reflected within property expenses.

The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter:

(in thousands)	In-Place Lease Assets
2024	$	5,854
2025	4,564
2026	4,260
2027	3,731
2028	3,192
Thereafter	20,583
Total	$	42,184

The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter:

(in thousands)	Above Market Lease Asset		Below Market Lease Liabilities		Net Adjustment to Rental Revenue
2024	$	(667)	$	699	$	32
2025	(659)		701		42
2026	(649)		705		56
2027	(627)		729		102
2028	(385)		684		299
Thereafter	(2,686)		7,688		5,002
Total	$	(5,673)	$	11,206	$	5,533

XML

Leases

12 Months Ended

Dec. 31, 2023

Leases [Abstract]

Leases

Leases

As Lessor

The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more tenant renewal options. The Company’s leases provide for annual base rental payments (generally payable in monthly installments), and generally provide for increases in rent based on fixed contractual terms or as a result of increases in the Consumer Price Index.

Substantially all of the leases are triple-net, which means that the lessees are responsible for paying all property operating expenses, including maintenance, insurance, utilities, property taxes and, if applicable, ground rent expense; therefore, the Company is generally not responsible for repairs or other capital expenditures related to the properties while the triple-net leases are in effect and, at the end of the lease term, the lessees are responsible for returning the property to the Company in a substantially similar condition as when they took possession. Some of the Company’s leases provide that in the event the Company wishes to sell the property subject to that lease, it first must offer the lessee the right to purchase the property on the same terms and conditions as any offer which it intends to accept for the sale of the property.

Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Receipts
2024	$	367,658
2025	372,511
2026	375,862
2027	377,320
2028	378,407
Thereafter	4,031,616
Total	$	5,903,374

Since lease renewal periods are exercisable at the option of the lessee, the preceding table presents future minimum base rental payments to be received during the initial non-cancelable lease term only. In addition, the future minimum lease payments exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and exclude increases in annual rent based on future changes in the Consumer Price Index, among other items.

The fixed and variable components of lease revenues for the years ended December 31, 2023, 2022, and 2021 were as follows:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed lease revenues	$	338,720	$	270,694	$	210,441
Variable lease revenues (1)	3,610		1,632		1,708
Total lease revenues (2)	$	342,330	$	272,326	$	212,149

_____________________________________

(1)Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants.

(2)Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.

As Lessee

The Company has a number of ground leases, office leases and other equipment leases which are classified as operating leases. As of December 31, 2023, the Company's ROU assets and lease liabilities were $8.9 million and $9.8 million, respectively. As of December 31, 2022, the Company's ROU assets and lease liabilities were $7.3 million and $9.0 million, respectively. These amounts are included in rent receivables, prepaid expenses and other assets, net and accrued liabilities and other payables on the Company's consolidated balance sheets.

The discount rate applied to measure each ROU asset and lease liability is based on the Company's incremental borrowing rate ("IBR"). The Company considers the general economic environment and its historical borrowing activity and factors in various financing and asset specific adjustments to ensure the IBR is appropriate to the intended use of the underlying lease. As the Company did not elect to apply hindsight, lease term assumptions determined under ASC 840 were carried forward and applied in calculating the lease liabilities recorded under ASC 842. Certain of the Company's ground leases offer renewal options which it assesses against relevant economic factors to determine whether it is reasonably certain of exercising or not exercising the option. Lease payments associated with renewal periods that the Company is reasonably certain will be exercised, if any, are included in the measurement of the corresponding lease liability and ROU asset.

The following table sets forth information related to the measurement of the Company's lease liabilities as of the dates presented:

	December 31, 2023	December 31, 2022
Weighted average remaining lease term (in years)	22.8	22.9
Weighted average discount rate	6.75%	6.09%

The following table sets forth the details of rent expense for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed rent expense - Ground Rent	$	970	$	981	$	957
Fixed rent expense - Office Rent	606		511		510
Variable rent expense	—		—		—
Total rent expense	$	1,576	$	1,492	$	1,467

As of December 31, 2023, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company's tenants are directly responsible for payment over the next five years and thereafter were as follows:

(in thousands)	Office and Equipment Leases		Ground Leases to be Paid by the Company		Ground Leases to be Paid Directly by the Company’s Tenants		Total Future Minimum Base Rental Payments
2024	$	704	$	28	$	909	$	1,641
2025	733		—		834		1,567
2026	217		—		840		1,057
2027	219		—		854		1,073
2028	224		—		738		962
Thereafter	57		—		18,002		18,059
Total	$	2,154	$	28	$	22,177	24,359
Present value discount							(14,582)
Lease liabilities							$	9,777

The Company has adopted the short-term lease policy election and accordingly, the table above excludes future minimum base cash rental payments by the Company or its tenants on leases that have a term of less than 12 months at lease inception. The total of such future obligations is not material.

Leases

Leases

As Lessor

The Company’s investment properties are leased to tenants under long-term operating leases that typically include one or more tenant renewal options. The Company’s leases provide for annual base rental payments (generally payable in monthly installments), and generally provide for increases in rent based on fixed contractual terms or as a result of increases in the Consumer Price Index.

Substantially all of the leases are triple-net, which means that the lessees are responsible for paying all property operating expenses, including maintenance, insurance, utilities, property taxes and, if applicable, ground rent expense; therefore, the Company is generally not responsible for repairs or other capital expenditures related to the properties while the triple-net leases are in effect and, at the end of the lease term, the lessees are responsible for returning the property to the Company in a substantially similar condition as when they took possession. Some of the Company’s leases provide that in the event the Company wishes to sell the property subject to that lease, it first must offer the lessee the right to purchase the property on the same terms and conditions as any offer which it intends to accept for the sale of the property.

Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Receipts
2024	$	367,658
2025	372,511
2026	375,862
2027	377,320
2028	378,407
Thereafter	4,031,616
Total	$	5,903,374

Since lease renewal periods are exercisable at the option of the lessee, the preceding table presents future minimum base rental payments to be received during the initial non-cancelable lease term only. In addition, the future minimum lease payments exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to performance thresholds and exclude increases in annual rent based on future changes in the Consumer Price Index, among other items.

The fixed and variable components of lease revenues for the years ended December 31, 2023, 2022, and 2021 were as follows:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed lease revenues	$	338,720	$	270,694	$	210,441
Variable lease revenues (1)	3,610		1,632		1,708
Total lease revenues (2)	$	342,330	$	272,326	$	212,149

_____________________________________

(1)Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants.

(2)Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.

As Lessee

The Company has a number of ground leases, office leases and other equipment leases which are classified as operating leases. As of December 31, 2023, the Company's ROU assets and lease liabilities were $8.9 million and $9.8 million, respectively. As of December 31, 2022, the Company's ROU assets and lease liabilities were $7.3 million and $9.0 million, respectively. These amounts are included in rent receivables, prepaid expenses and other assets, net and accrued liabilities and other payables on the Company's consolidated balance sheets.

The discount rate applied to measure each ROU asset and lease liability is based on the Company's incremental borrowing rate ("IBR"). The Company considers the general economic environment and its historical borrowing activity and factors in various financing and asset specific adjustments to ensure the IBR is appropriate to the intended use of the underlying lease. As the Company did not elect to apply hindsight, lease term assumptions determined under ASC 840 were carried forward and applied in calculating the lease liabilities recorded under ASC 842. Certain of the Company's ground leases offer renewal options which it assesses against relevant economic factors to determine whether it is reasonably certain of exercising or not exercising the option. Lease payments associated with renewal periods that the Company is reasonably certain will be exercised, if any, are included in the measurement of the corresponding lease liability and ROU asset.

The following table sets forth information related to the measurement of the Company's lease liabilities as of the dates presented:

	December 31, 2023	December 31, 2022
Weighted average remaining lease term (in years)	22.8	22.9
Weighted average discount rate	6.75%	6.09%

The following table sets forth the details of rent expense for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed rent expense - Ground Rent	$	970	$	981	$	957
Fixed rent expense - Office Rent	606		511		510
Variable rent expense	—		—		—
Total rent expense	$	1,576	$	1,492	$	1,467

As of December 31, 2023, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company's tenants are directly responsible for payment over the next five years and thereafter were as follows:

(in thousands)	Office and Equipment Leases		Ground Leases to be Paid by the Company		Ground Leases to be Paid Directly by the Company’s Tenants		Total Future Minimum Base Rental Payments
2024	$	704	$	28	$	909	$	1,641
2025	733		—		834		1,567
2026	217		—		840		1,057
2027	219		—		854		1,073
2028	224		—		738		962
Thereafter	57		—		18,002		18,059
Total	$	2,154	$	28	$	22,177	24,359
Present value discount							(14,582)
Lease liabilities							$	9,777

The Company has adopted the short-term lease policy election and accordingly, the table above excludes future minimum base cash rental payments by the Company or its tenants on leases that have a term of less than 12 months at lease inception. The total of such future obligations is not material.

XML

Long Term Debt

12 Months Ended

Dec. 31, 2023

Debt Disclosure [Abstract]

Long Term Debt

Long Term Debt

The following table summarizes the Company's outstanding indebtedness as of December 31, 2023 and 2022:

		Principal Outstanding				Weighted Average Interest Rate (1)
(in thousands)	Maturity Date	December 31, 2023		December 31, 2022		December 31, 2023	December 31, 2022
Unsecured term loans:
2024 Term Loan	April 2024	$	—	$	200,000	—%	5.3%
2027 Term Loan	February 2027	430,000		430,000		6.3%	5.3%
2028 Term Loan	January 2028	400,000		400,000		6.3%	5.3%
2029 Term Loan	February 2029 (2)	450,000		—		6.4%	—%
Senior unsecured notes	July 2031	400,000		400,000		3.0%	3.0%
Revolving Credit Facility	February 2026	—		—		—%	—%
Total principal outstanding		$	1,680,000	$	1,430,000	5.5%	4.6%

______________________________________________________

(1)Interest rates are presented as stated in debt agreements and do not reflect the impact of the Company's interest rate swap and lock agreements, where applicable (see Note 6—Derivative and Hedging Activities).

(2)After giving effect to extension options exercisable at the Operating Partnership's election.

The following table summarizes the scheduled principal payments on the Company’s outstanding indebtedness as of December 31, 2023:

(in thousands)	2027 Term Loan		2028 Term Loan		2029 Term Loan(1)		Senior Unsecured Notes		Revolving Credit Facility(2)		Total
2024	$	—	$	—	$	—	$	—	$	—	$	—
2025	—		—		—		—		—		—
2026	—		—		—		—		—		—
2027	430,000		—		—		—		—		430,000
2028	—		400,000		—		—		—		400,000
Thereafter	—		—		450,000		400,000		—		850,000
Total	$	430,000	$	400,000	$	450,000	$	400,000	$	—	$	1,680,000

______________________

(1)    After giving effect to extension options exercisable at the Operating Partnership's election.

(2)    Any amounts drawn will be due in February 2026.

The Company was not in default of any provisions under any of its outstanding indebtedness as of December 31, 2023 or 2022.

Revolving Credit Facility, 2024 Term Loan, 2028 Term Loan and 2029 Term Loan

In April 2019, the Company, through the Operating Partnership, entered into an amended and restated credit agreement (the “Amended Credit Agreement”) with a group of lenders, amending and restating the terms of the Company’s previous $300.0 million revolving credit facility to increase the maximum aggregate initial original principal amount of the revolving loans available thereunder up to $400.0 million (the “Revolving Credit Facility”) and to permit the incurrence of an additional $200.0 million in term loans thereunder (the “2024 Term Loan”). The full amount available under the 2024 Term Loan was borrowed in May 2019.

In February 2022, the Company entered into an amendment to the Amended Credit Agreement (as so amended, the "Credit Agreement") and, pursuant to such amendment, among other things, the availability of extensions of credit under the Revolving Credit Facility was increased to $600.0 million, the accordion feature was increased to $600.0 million, the borrowing base limitation on borrowings thereunder was removed, the leverage-based margin applicable to borrowings under the Revolving Credit Facility was reduced, the LIBOR reference rate was replaced with reference to the Adjusted Term SOFR rate, consistent with market practice, and the composition and extent of lender participation under the Revolving Credit Facility was changed. During the year ended December 31, 2022, in connection with this amendment, the Company recorded a $0.1 million loss on debt extinguishment related to the write-off of certain deferred financing costs on the Revolving Credit Facility.

Prior to the February 2022 amendment, the Revolving Credit Facility had a term of four years beginning on April 12, 2019, with an extension option of up to six months exercisable by the Operating Partnership, subject to certain conditions, and the 2024 Term Loan was set to mature on April 12, 2024. The loans under each of the Revolving Credit Facility and the 2024 Term Loan initially bore interest at an annual rate of applicable LIBOR plus the applicable margin (which applicable margin varied between the Revolving Credit Facility and the 2024 Term Loan). The applicable LIBOR was the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin was initially a spread set according to a leverage-based pricing grid.

The Revolving Credit Facility matures on February 10, 2026, with two extension options of six months each, exercisable by the Operating Partnership subject to the satisfaction of certain conditions. The loans under each of the Revolving Credit Facility and the 2024 Term Loan initially bear interest at an annual rate of applicable Adjusted Term SOFR (as defined in the Credit Agreement) plus an applicable margin (which applicable margin varies between the Revolving Credit Facility and the 2024 Term Loan). The Adjusted Term SOFR is a rate with a term equivalent to the interest period applicable to the relevant borrowing. In addition, the Operating Partnership is required to pay a revolving facility fee throughout the term of the Revolving Credit Facility. The applicable margin and the revolving facility fee rate are initially a spread and rate, as applicable, set according to a leverage-based pricing grid. At the Operating Partnership's election, on and after receipt of an investment grade corporate credit rating from S&P, Moody's or Fitch, the applicable margin and the revolving facility fee rate will be a spread and rate, as applicable, set according to the credit ratings provided by S&P, Moody's and/or Fitch.

In July 2022, the Credit Agreement was further amended to provide for an additional $400.0 million of second tranche term loans (the “2028 Term Loan”). Loans under the 2028 Term Loan in an aggregate principal amount of $250.0 million were drawn in July 2022, concurrently with the closing of such amendment, and the remaining $150 million was drawn in October 2022. Such amendment also amended the applicable margin grid such that the applicable pricing for all borrowings under the Credit Agreement is based on the credit rating of the Company’s long-term senior unsecured non-credit enhanced debt for borrowed money (subject to a single step-down in the applicable pricing if the Company achieves a consolidated leverage ratio that is less than 0.35 to 1:00 while maintaining a credit rating of BBB/Baa2 from S&P, Moody's and/or Fitch), and reset the accordion feature to maintain the $600.0 million availability thereunder.

In August 2023, the Credit Agreement was further amended to provide for an additional $450.0 million of term loans (the "2029 Term Loan"). Concurrently with the closing of such amendment, loans under the 2029 Term Loan in an aggregate principal amount of $250.0 million were drawn, a portion of which was used to pay off the 2024 Term Loan in full. Additional loans under the 2029 Term Loan were drawn in an aggregate principal amount of $125.0 million in September 2023 and $75.0 million in October 2023. The 2029 Term Loan has an original maturity of three years, which may be extended, at the Operating Partnership's election, to February 2029 by exercising two one-year extension options and a six-month extension option. The 2029 Term Loan will initially bear interest at an annual rate of applicable Adjusted Term SOFR plus an applicable margin.

Amounts previously borrowed and repaid under the 2024 Term Loan cannot be reborrowed. The Company accounted for the repayment of the 2024 Term Loan as a debt extinguishment and recorded a $0.1 million loss on debt extinguishment during the year ended December 31, 2023.

Each of the Revolving Credit Facility, the 2028 Term Loan and the 2029 Term Loan is freely pre-payable at any time. Outstanding credit extensions under the Revolving Credit Facility are mandatorily payable if the amount of such credit extensions exceeds the revolving facility limit. The Operating Partnership may re-borrow amounts paid down on the Revolving Credit Facility prior to its maturity. Loans repaid under the 2028 Term Loan and 2029 Term Loan cannot be reborrowed.

The Operating Partnership is the borrower under the Credit Agreement, and the Company and certain of its subsidiaries that own direct or indirect interests in an eligible real property assets are guarantors under the Credit Agreement.

Under the terms of the Credit Agreement, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios.

The Company was in compliance with all financial covenants and was not in default on any provisions under the Credit Agreement as of December 31, 2023 and 2022.

The following table presents information about the Revolving Credit Facility for the periods presented:

(in thousands)	2023		2022		2021
Balance on January 1,	$	—	$	144,000	$	18,000
Borrowings	70,000		299,000		393,000
Repayments	(70,000)		(443,000)		(267,000)
Balance on December 31,	$	—	$	—	$	144,000

The following table presents information about interest expense related to the Revolving Credit Facility for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense and fees	$	1,038	$	2,807	$	1,552
Amortization of deferred financing costs	1,203		1,217		1,165
Total	$	2,241	$	4,024	$	2,717

Total deferred financing costs, net, of $2.5 million and $3.7 million related to the Revolving Credit Facility are included within rent receivables, prepaid expenses and other assets, net on the Company’s consolidated balance sheets as of December 31, 2023 and 2022, respectively.

As of December 31, 2023 and 2022, the Company had $600.0 million of unused borrowing capacity under the Revolving Credit Facility.

2027 Term Loan

On November 26, 2019, the Company, through the Operating Partnership, entered into a $430 million term loan (the “2027 Term Loan”) with a group of lenders. The 2027 Term Loan provides for term loans to be drawn up to an aggregate amount of $430 million with an initial maturity of November 26, 2026. The Company borrowed the entire $430.0 million available under the 2027 Term Loan in separate draws in December 2019 and March 2020.

In February 2022, the Company entered into an amendment to the 2027 Term Loan to, among other things, reduce the leverage-based margin applicable to borrowings, extend the maturity date of the 2027 Term Loan to February 18, 2027, replace the LIBOR reference rate with reference to the Adjusted Term SOFR rate, consistent with market practice, and change the composition and extent of lender participation under the 2027 Term Loan. During the year ended December 31, 2022, in connection with this amendment, the Company recorded a $2.1 million loss on debt extinguishment related to fees and the write-off of certain deferred financing costs on the 2027 Term Loan.

In August 2022, the Company entered into an amendment to the 2027 Term Loan to make certain changes to provisions relating to the rates and other matters to reflect changes in market standards.

Prior to its amendment in February 2022, borrowings under the 2027 Term Loan bore interest at an annual rate of applicable LIBOR plus the applicable margin. Following this amendment, the 2027 Term Loan bears interest at an annual rate of applicable Adjusted Term SOFR plus the applicable margin. The applicable LIBOR/Adjusted Term SOFR is the rate with a term equivalent to the interest period applicable to the relevant borrowing. The applicable margin was initially a spread set according to a leverage-based pricing grid. In May 2022, the Operating Partnership made an irrevocable election to have the applicable margin be a spread set according to the Company’s corporate credit ratings provided by S&P, Moody’s and/or Fitch.

The 2027 Term Loan is pre-payable at any time by the Operating Partnership (as borrower) without penalty. The Operating Partnership may not re-borrow amounts paid down on the 2027 Term Loan. The 2027 Term Loan has an accordion feature to increase, subject to certain conditions, the maximum availability of the facility up to an aggregate of $500 million.

The Operating Partnership is the borrower under the 2027 Term Loan, and the Company and certain of its subsidiaries that own direct or indirect interests in eligible real property assets are guarantors under the facility. Under the terms of the 2027 Term Loan, the Company is subject to various restrictive financial and nonfinancial covenants which, among other things, require the Company to maintain certain leverage ratios, cash flow and debt service coverage ratios and secured borrowing ratios and a minimum level of tangible net worth.

The Company was in compliance with all financial covenants and was not in default of any provisions under the 2027 Term Loan as of December 31, 2023 and 2022.

The following table presents information about aggregate interest expense related to the 2024 Term Loan, 2027 Term Loan, 2028 Term Loan and 2029 Term Loan:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	66,582	$	23,967	$	9,819
Amortization of deferred financing costs	1,617		836		736
Total	$	68,199	$	24,803	$	10,555

As of December 31, 2023 and 2022, total deferred financing costs, net, of $7.2 million and $4.5 million, respectively, related to the term loan facilities are included as a component of unsecured term loans, net of deferred financing costs on the Company’s consolidated balance sheets.

The Company fixed the interest rates on its variable-rate term loan debt through the use of interest rate swap agreements. See Note 6—Derivative and Hedging Activities for additional information.

Senior Unsecured Notes

In June 2021, through its Operating Partnership, the Company completed a public offering of $400.0 million aggregate principal amount of 2.950% Senior Notes due 2031 (the "2031 Notes"), resulting in net proceeds of $396.6 million. The 2031 Notes were issued by the Operating Partnership, and the obligations of the Operating Partnership under the 2031 Notes are fully and unconditionally guaranteed on a senior basis by the Company. The 2031 Notes were issued at 99.8% of their principal amount. In connection with the offering of the 2031 Notes, the Operating Partnership incurred $4.7 million in deferred financing costs and an offering discount of $0.8 million.

The following is a summary of the senior unsecured notes outstanding as of December 31, 2023 and 2022:

(dollars in thousands)	Maturity Date	Interest Payment Dates	Stated Interest Rate		Principal Outstanding
2031 Notes	July 15, 2031	January 15 and July 15	2.95	%	$	400,000

The Company's senior unsecured notes are redeemable in whole at any time or in part from time to time, at the Operating Partnership's option, at a redemption price equal to the sum of:

•100% of the principal amount of the notes to be redeemed plus accrued and unpaid interest, if any, up to, but not including, the redemption date; and

•a make-whole premium calculated in accordance with the indenture governing the notes.

In addition, if any of the 2031 Notes are redeemed on or after April 15, 2031 (three months prior to the stated maturity date of such notes), the redemption price will equal 100% of the principal amount of the notes to be redeemed plus accrued and unpaid interest, if any, up to, but not including, the redemption date, without any make-whole premium.

The following table presents information about interest expense related to the Company's senior unsecured notes for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	11,713	$	11,711	$	5,952
Amortization of deferred financing costs and original issue discount	560		562		295
Total	$	12,273	$	12,273	$	6,247

Total deferred financing costs, net, of $3.6 million and $4.0 million related to the Company's senior unsecured notes were included within senior unsecured notes, net on the Company's consolidated balance sheets as of December 31, 2023 and 2022, respectively.

The Company was in compliance with all financial covenants and was not in default of any provisions under the 2031 Notes as of December 31, 2023 and 2022.

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Derivative and Hedging Activities

12 Months Ended

Dec. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative and Hedging Activities

Derivative and Hedging Activities

The Company does not enter into derivative financial instruments for speculative or trading purposes. The Company's objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount.

These derivatives are considered cash flow hedges and are recorded on a gross basis at fair value. Subsequent to the adoption of ASU 2017-12, assessments of hedge effectiveness are performed quarterly using either a qualitative or quantitative approach. The Company recognizes the entire change in the fair value in accumulated other comprehensive income (loss) and the change is reflected as derivative changes in fair value in the supplemental disclosures of non-cash financing activities in the consolidated statements of cash flows. The amounts recorded in accumulated other comprehensive income (loss) will subsequently be reclassified to interest expense as interest payments are made on the Company's borrowings under its variable-rate term loan facilities. During the next twelve months, the Company estimates that $22.4 million will be reclassified from accumulated other comprehensive income as a decrease to interest expense. The Company does not have netting arrangements related to its derivatives.

The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, the Company only enters into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which the Company and its affiliates may also have other financial relationships. The Company does not anticipate that any of the counterparties will fail to meet their obligations. As of December 31, 2023 and 2022, there were no events of default related to the Company's derivative financial instruments.

The following table summarizes the notional amount at inception and fair value of these instruments on the Company's balance sheets as of December 31, 2023 and 2022 (dollar amounts in thousands):

						Fair Value of Asset/(Liability)(2)
Derivatives Designated as Hedging Instruments	Fixed Rate Paid by Company	Effective Date	Maturity Date	Notional Value (1)		December 31, 2023		December 31, 2022
Interest Rate Swap (3)	1.96%	5/14/2019	4/12/2024	$	100,000	$	981	$	3,545
Interest Rate Swap (3)	1.95%	5/14/2019	4/12/2024	50,000		492		1,781
Interest Rate Swap (3)	1.94%	5/14/2019	4/12/2024	50,000		492		1,777
Interest Rate Swap (3)	1.52%	12/9/2019	11/26/2026	175,000		10,654		14,685
Interest Rate Swap (3)	1.51%	12/9/2019	11/26/2026	50,000		3,077		4,248
Interest Rate Swap (3)	1.49%	12/9/2019	11/26/2026	25,000		1,542		2,120
Interest Rate Swap (3)	1.26%	7/9/2020	11/26/2026	100,000		6,810		9,324
Interest Rate Swap (3)	1.28%	7/9/2020	11/26/2026	80,000		5,406		7,418
Interest Rate Swap	3.19%	9/26/2022	1/25/2028	50,000		688		1,166
Interest Rate Swap	3.35%	9/26/2022	1/25/2028	50,000		383		804
Interest Rate Swap	3.36%	9/26/2022	1/25/2028	25,000		180		387
Interest Rate Swap	3.43%	9/26/2022	1/25/2028	50,000		226		612
Interest Rate Swap	3.71%	9/26/2022	1/25/2028	50,000		(290)		(12)
Interest Rate Swap	3.70%	9/26/2022	1/25/2028	25,000		(144)		(15)
Interest Rate Swap	4.00%	10/26/2022	1/25/2028	50,000		(851)		(693)
Interest Rate Swap	3.95%	11/28/2022	1/25/2028	25,000		(378)		(293)
Interest Rate Swap	4.03%	11/28/2022	1/25/2028	25,000		(459)		(396)
Interest Rate Swap	4.06%	11/28/2022	1/25/2028	25,000		(485)		(427)
Interest Rate Swap	4.07%	11/28/2022	1/25/2028	25,000		(492)		(428)
Interest Rate Swap	4.15%	8/24/2023	2/28/2029	50,000		(1,550)		—
Interest Rate Swap	4.38%	9/29/2023	2/28/2029	75,000		(3,193)		—
Interest Rate Swap	4.39%	9/29/2023	2/28/2029	50,000		(2,114)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(981)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(980)		—
Interest Rate Swap	4.51%	10/31/2023	2/28/2029	25,000		(1,207)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,919)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,913)		—
				$	1,480,000	$	7,975	$	45,603

 _____________________________________

(1)Notional value indicates the extent of the Company’s involvement in these instruments, but does not represent exposure to credit, interest rate or market risks.

(2)Derivatives in an asset position are included within derivative assets and derivatives in a liability position are included within derivative liabilities in the Company's consolidated balance sheets.

(3)In June 2022, the Company converted the reference rate used in these interest rate swaps from 1-month LIBOR to 1-month Adjusted Term SOFR.

(4)The Company entered into two forward swap contracts during the year ended December 31, 2023.

The Company has agreements with each of its derivative counterparties that contain a provision where if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations.

The following table presents amounts recorded to accumulated other comprehensive income related to derivative and hedging activities for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Other comprehensive (loss) income	$	(36,874)	$	56,762	$	22,508

As of December 31, 2023, the fair value of derivatives in a net asset position including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $31.1 million and the fair value of derivatives in a net liability position, including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was $23.4 million. 

As of December 31, 2022, the fair value of derivatives in a net asset position, including accrued interest but excluding any adjustment for nonperformance risk related to these agreements, was $48.2 million and the fair value of derivatives in a net liability position, including accrued interest but excluding an adjustment for nonperformance risk related to these agreements, was $2.4 million.

During the year ended December 31, 2023, the Company realized a gain on the change in fair value of its interest rate swaps of $27.7 million, which was included as a reduction of interest expense in the Company's consolidated statements of operations. During the years ended December 31, 2022 and 2021, the Company realized a loss on the change in fair value of its interest rate swaps of approximately $26,000 and $10.1 million, respectively, which are included in interest expense in the Company's consolidated statements of operations.

As of December 31, 2023 and December 31, 2022, the Company had not posted any collateral related to these agreements and was not in breach of any provisions of such agreements. If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreements at their aggregate termination value, which were a $7.7 million net asset and a $45.9 million net asset as of December 31, 2023 and 2022, respectively.

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Equity

12 Months Ended

Dec. 31, 2023

Equity [Abstract]

Equity

Equity

Stockholders' Equity

In April 2021, the Company completed a follow-on primary offering of 8,222,500 shares of its common stock, including 1,072,500 shares of common stock purchased by the underwriters pursuant to an option to purchase additional shares, at a public offering price of $23.50 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $185.1 million.

In August 2022, the Company completed a follow-on primary offering of 8,740,000 shares of its common stock, including the full exercise of the underwriters' option to purchase 1,140,000 additional shares of common stock, at a public offering price of $23.00 per share. Net proceeds from this follow-on offering, after deducting underwriting discounts and commissions and other expenses, were $192.6 million.

In February 2023, the Company completed a follow-on primary offering of 8,855,000 shares of its common stock, including the full exercise of the underwriters' option to purchase 1,155,000 additional shares of common stock, at a public offering price of $24.60 per share, and entered into forward sale agreements relating to all such shares. All shares were physically settled as of May 2023 and the Company realized net proceeds from this offering, after deducting underwriting discounts and commissions and other expenses, of $209.3 million.

In September 2023, the Company completed a follow-on primary offering of 12,006,000 shares of its common stock, including the full exercise of the underwriters' option to purchase up to 1,566,000 additional shares of common stock, at a public offering price of $23.00 per share, and entered into forward sale agreements relating to all such shares. Through December 31, 2023, the Company physically settled 8,165,087 shares under the forward sale agreements relating to this offering, realizing net proceeds of $180.0 million. Assuming full physical settlement of the remaining forward sale agreements, net proceeds from this offering, after deducting underwriting discounts and commissions and other expenses and making certain other adjustments as provided in the forward sale agreements, are expected to be $263.4 million. The Company is required to settle the balance of the forward sale agreements by September 2024.

At the Market Program

In May 2022, the Company established a new at the market common equity offering program, pursuant to which it can publicly offer and sell, from time to time, shares of its common stock with an aggregate gross sales price of up to $500 million (the "2022 ATM Program") through the identified sales agents, as its sales agents or, if applicable, as forward sellers, or directly to such agents as principals. In addition to the issuance and sale by the Company of shares to or through the agents, the 2022 ATM Program also permits the Company to enter into

separate forward sale agreements with the identified forward purchasers. References to the Company's "ATM Program" are to the 2022 ATM Program or the 2022 ATM Program and its prior ATM programs as the context requires.

The following table presents information about the 2022 ATM Program and the Company's prior ATM Programs:

Program Name	Date Established	Date Terminated	Maximum Sales Authorization		Gross Sales through December 31, 2023
2019 ATM Program	August 2019	June 2020	$	200,000	$	184,400
2020 ATM Program	June 2020	July 2021	$	250,000	$	166,800
2021 ATM Program	July 2021	May 2022	$	350,000	$	348,140
2022 ATM Program (1)	May 2022		$	500,000	$	220,643

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

The following table details information related to activity under the ATM Program for each period presented:

	Year ended December 31,
(in thousands, except share and per share data)	2023		2022		2021
Shares of common stock sold (1)(2)	5,931,654		9,794,137		10,005,890
Weighted average sale price per share	$	24.48	$	24.00	$	27.58
Gross proceeds	$	145,224	$	235,060	$	275,972
Net proceeds	$	142,922	$	232,478	$	271,949

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

(2)During the year ended December 31, 2023, the Company issued an additional 957,453 shares of common stock which were previously sold on a forward basis under the ATM Program and were unsettled as of December 31, 2022.

Dividends on Common Stock

During the years ended December 31, 2023, 2022 and 2021, the Company's board of directors declared the following quarterly cash dividends on common stock: 

Date Declared	Record Date	Date Paid	Dividend per Share of Common Stock		Total Dividend (dollars in thousands)
December 1, 2023	December 29, 2023	January 12, 2024	$	0.285	$	47,024
September 7, 2023	September 29, 2023	October 13, 2023	$	0.28	$	43,788
June 9, 2023	June 30, 2023	July 14, 2023	$	0.28	$	43,551
March 7, 2023	March 31, 2023	April 14, 2023	$	0.275	$	41,031
November 30, 2022	December 30, 2022	January 13, 2023	$	0.275	$	39,246
September 2, 2022	September 30, 2022	October 14, 2022	$	0.27	$	38,533
June 2, 2022	June 30, 2022	July 14, 2022	$	0.27	$	35,916
March 14, 2022	March 31, 2022	April 13, 2022	$	0.26	$	34,188
December 3, 2021	December 31, 2021	January 13, 2022	$	0.26	$	32,466
September 2, 2021	September 30, 2021	October 14, 2021	$	0.25	$	30,397
May 27, 2021	June 30, 2021	July 15, 2021	$	0.25	$	29,559
March 5, 2021	March 31, 2021	April 15, 2021	$	0.24	$	26,265

The Company has determined that, during the years ended December 31, 2023, 2022 and 2021, approximately 86.0%, 79.7% and 69.4%, respectively, of the distributions it paid represented taxable income and 14.0%, 20.3% and 30.6%, respectively, of the distributions it paid represented return of capital for federal income tax purposes.

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Non-controlling Interests

12 Months Ended

Dec. 31, 2023

Noncontrolling Interest [Abstract]

Non-controlling Interests

Non-controlling Interests

Essential Properties OP G.P., LLC, a wholly owned subsidiary of the Company, is the sole general partner of the Operating Partnership and holds a 1.0% general partner interest in the Operating Partnership. The Company contributes the net proceeds from issuing shares of common stock to the Operating Partnership in exchange for a number of OP Units equal to the number of shares of common stock issued. OP Units ("OP Units") are limited partnership interests in the Operating Partnership.

As of December 31, 2023, the Company held 164,635,150 OP Units, representing a 99.7% limited partner interest in the Operating Partnership. As of the same date, certain members of management and external parties (the "Non-controlling OP Unit Holders") held 553,847 OP Units in the aggregate, representing a 0.3% limited partner interest in the Operating Partnership. As of December 31, 2022, the Company held 142,379,655 OP Units, representing a 99.6% limited partner interest in the Operating Partnership and the Non-controlling OP Unit Holders held 553,847 OP Units in the aggregate, representing a 0.4% limited partner interest in the Operating Partnership. The OP Units held by the Non-controlling OP Unit Holders are presented as non-controlling interests in the Company's consolidated financial statements.

A holder of OP Units has the right to distributions per unit equal to dividends per share paid on the Company's common stock and has the right to redeem OP Units for cash or, at the Company's election, shares of the Company's common stock on a one-for-one basis, provided, however, that such OP Units must have been outstanding for at least one year. Distributions to OP Unit holders are declared and paid concurrently with the Company's cash dividends to common stockholders. See Note 7—Equity for details.

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Equity Based Compensation

12 Months Ended

Dec. 31, 2023

Share-Based Payment Arrangement [Abstract]

Equity Based Compensation

Equity Based Compensation

Equity Incentive Plan

In May 2023, the Company’s stockholders approved the Essential Properties Realty Trust, Inc. 2023 Incentive Plan (the “2023 Equity Incentive Plan”), which replaced the Essential Properties Realty Trust, Inc. 2018 Incentive Plan (the “2018 Equity Incentive Plan” and, collectively with the 2023 Equity Incentive Plan, the “Equity Incentive Plans”). The 2023 Equity Incentive Plan provides for the grant of incentive stock options, nonqualified stock options, stock appreciation rights, RSAs, RSUs, other stock awards, performance awards and LTIP units up to an aggregate of 4,300,808 shares of the Company’s common stock, subject to certain conditions. Officers, employees, non-employee directors, consultants, independent contractors and agents who provide services to the Company or to any subsidiary of the Company are eligible to receive such awards. All subsequent awards of equity will be granted under the 2023 Equity Incentive Plan, and no further awards will be made under the 2018 Equity Incentive Plan.

The following table presents information about the Company's RSAs and RSUs during the years ended December 31, 2023, 2022 and 2021:

	Restricted Stock Awards			Restricted Stock Units
	Shares	Wtd. Avg. Grant Date Fair Value		Units	Wtd. Avg. Grant Date Fair Value
Unvested, January 1, 2021	240,598	$	13.73	321,602	$	25.27
Granted	—	—		213,686	31.78
Vested	(221,694)	13.70		(72,879)	18.83
Forfeited	—	—		(7,717)	23.52
Unvested, December 31, 2021	18,904	$	14.12	454,692	$	29.39
Unvested, January 1, 2022	18,904	$	14.12	454,692	$	29.39
Granted	—	—		607,347	29.08
Vested	(9,865)	14.12		(243,640)	25.70
Forfeited	—	—		(1,019)	27.25
Unvested, December 31, 2022	9,039	$	14.12	817,380	$	30.26
Unvested, January 1, 2023	9,039	$	14.12	817,380	$	30.26
Granted	—	—		457,859	31.39
Vested	(9,039)	14.12		(436,967)	26.98
Forfeited	—	—		(94,419)	32.79
Unvested, December 31, 2023	—	$	14.12	743,853	$	32.56

Restricted Stock Awards

In June 2018, an aggregate of 691,290 shares of RSAs were issued to the Company's directors, executive officers and other employees under the Equity Incentive Plans. These RSAs vested over periods ranging from one year to three years from the date of grant, subject to the individual recipient's continued provision of service to the Company through the applicable vesting dates.

In January 2019, RSAs relating to an aggregate of 46,368 shares of unvested restricted common stock were granted to the Company's executive officers, other employees and an external consultant under the Equity Incentive Plans. These RSAs vested over periods ranging from one year to four years from the date of grant, subject to the individual recipient's continued provision of service to the Company through the applicable vesting dates. The Company estimates the grant date fair value of RSAs granted under the Equity Incentive Plans using the average market price of the Company's common stock on the date of grant.

The following table presents information about the Company's RSAs for the periods presented: 

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	2	$	128	$	1,548
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	—		8		70
Fair value of shares vested during the period	128		139		3,037

The following table presents information about the Company's RSAs as of the dates presented: 

	December 31,
(Dollars in thousands)	2023		2022		2021
Total unrecognized compensation cost	$	—	$	2	$	130
Weighted average period over which compensation cost will be recognized (in years)	—		0.1		1.0

Restricted Stock Units

In 2019, 2020, 2021, 2022 and 2023 the Company issued target grants of 119,085, 84,684, 126,353, 149,699 and 147,587 performance-based RSUs, respectively, to the Company's senior management team under the Equity Incentive Plans. Of these awards, 75% are non-vested RSUs for which vesting percentages and the ultimate number of units vesting is calculated based on the total stockholder return ("TSR") of the Company's common stock as compared to the TSR of peer companies identified in the grant agreements. The payout schedule can produce vesting percentages ranging from 0% to 250% of target. TSR is calculated over the performance period for each award based upon the average closing price for the 20-trading day period ending December 31st of the year prior to grant divided by the average closing price for the 20-trading day period ending December 31st of the third year following the grant. The target number of units is based on achieving a TSR equal to the 50th percentile of the peer group. The Company records expense on these TSR RSUs based on achieving the target.

The grant date fair value of the TSR RSUs was measured using a Monte Carlo simulation model based on the following assumptions:

	Grant Year
	2023	2022	2021
Volatility	37%	54%	55%
Risk free rate	4.36%	1.68%	0.20%

The remaining 25% of these performance-based RSUs vest based on the Compensation Committee's subjective evaluation of the individual recipient's achievement of certain strategic objectives over the performance period of the award. In January 2022 and February 2023, the Compensation Committee identified specific performance targets and completed its subjective evaluation in relation to the performance-based RSUs granted in 2019 and 2020 and concluded that 78,801 and 50,598 RSUs, respectively, should be awarded. 50% of these RSUs vested immediately upon the Compensation Committee's certification and the remaining 50% vested on December 31, 2022 and December 31, 2023. The Company began recording compensation expense with respect to these subjective performance-based RSUs granted in 2019 and 2020 after the completion of the Compensation Committee's subjective evaluation.

In April 2023, the Compensation Committee evaluated and awarded 11,334 subjective performance-based RSUs to a former member of the Company's senior management team, which vested immediately. During the year ended December 31, 2023, the Company recorded $0.3 million of compensation expense related to the subjective RSUs awarded to this former employee. As of December 31, 2023, the Compensation Committee had not identified specific performance targets relating to the individual recipients' achievement of strategic objectives for the remainder of the subjective awards granted in 2021, 2022 and 2023. As such, these awards do not have either a service inception or a grant date for GAAP accounting purposes and the Company recorded no compensation expense with respect to this portion of the performance-based RSUs during the years ended December 31, 2023, 2022 and 2021.

In 2020, 2021, 2022 and 2023, the Company issued an aggregate of 184,760, 135,686, 199,793 and 210,406 RSUs, respectively, to the Company’s executive officers, other employees and directors under the Equity Incentive Plan. These awards vest over a period of up to five years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates.

In January 2022, the Company issued 69,372 performance-based RSUs (at target) to an executive officer under the Equity Incentive Plans. These RSUs vest based on the compound annual growth rate of the Company's adjusted funds from operations ("AFFO CAGR") over a five year performance period, and the payout schedule can produce vesting percentages ranging from 0% to 200% of target. To the extent the performance goal is achieved, these performance-based RSUs will vest in 50% increments on each of the four-year and five-year anniversary of

the grant date, subject to the recipient's continued provision of service to the Company through the applicable vesting dates. As of December 31, 2023 and 2022, based on its AFFO CAGR forecasts, the Company believes it is probable that the maximum performance level will be achieved and recorded compensation expense based off of this estimate during the years ended December 31, 2023 and 2022.

A portion of the RSUs that vested in 2023, 2022, and 2021 were net share settled such that the Company withheld shares with a value equal to the relevant employee's income and employment tax obligations with respect to the vesting and remitted a cash payment to the appropriate taxing authority.

The following table presents information about the Company's RSUs for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	9,002	$	9,361	$	4,135
Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings	407		366		241
Fair value of units vested during the period	11,791		6,262		1,372

The following table presents information about the Company's RSUs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Total unrecognized compensation cost	$	13,131	$	13,761
Weighted average period over which compensation cost will be recognized (in years)	2.2		2.8

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Net Income Per Share

12 Months Ended

Dec. 31, 2023

Earnings Per Share [Abstract]

Net Income Per Share

Net Income Per Share

The Company computes net income per share pursuant to the guidance in FASB ASC Topic 260, Earnings Per Share. The guidance requires the classification of the Company’s unvested restricted common stock and units, which contain rights to receive non-forfeitable dividends or dividend equivalents, as participating securities requiring the two-class method of computing net income per share. Diluted net income per share of common stock further considers the effect of potentially dilutive shares of common stock outstanding during the period, including the assumed vesting of RSUs with market-, performance- or service-based vesting conditions, where dilutive. The OP Units held by non-controlling interests represent potentially dilutive securities as the OP Units may be redeemed for cash or, at the Company’s election, exchanged for shares of the Company’s common stock on a one-for-one basis.

The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net income per share (dollars in thousands):

	Year ended December 31,
(dollar amounts in thousands)	2023		2022		2021
Numerator for basic and diluted earnings per share:
Net income	$	191,415	$	134,742	$	96,211
Less: net income attributable to non-controlling interests	(708)		(612)		(486)
Less: net income allocated to unvested RSAs and RSUs	(407)		(374)		(311)
Net income available for common stockholders: basic	190,300		133,756		95,414
Net income attributable to non-controlling interests	708		612		486
Net income available for common stockholders: diluted	$	191,008	$	134,368	$	95,900
Denominator for basic and diluted earnings per share:
Weighted average common shares outstanding	152,140,896		134,950,418		116,479,322
Less: weighted average number of shares of unvested RSAs	(161)		(9,230)		(121,263)
Weighted average shares outstanding used in basic net income per share	152,140,735		134,941,188		116,358,059
Effects of dilutive securities: (1)
OP Units	553,847		553,847		553,847
Unvested RSAs and RSUs	421,292		356,044		554,432
Forward sales	405,980		4,837		—
Weighted average shares outstanding used in diluted net income per share	153,521,854		135,855,916		117,466,338

_____________________________________

(1)Excludes the impact of 179,807 and 171,059 unvested RSUs and unsettled forward equity sales for the years ended December 31, 2023 and 2022, respectively, as the effect would have been antidilutive.

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Commitments and Contingencies

12 Months Ended

Dec. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

As of December 31, 2023, the Company had remaining future commitments, under mortgage notes, reimbursement obligations or similar arrangements, to fund $180.6 million to its tenants for development, construction and renovation costs related to properties leased from the Company.

Litigation and Regulatory Matters

In the ordinary course of business, the Company may become subject to litigation, claims and regulatory matters. As of December 31, 2023, there are no material legal or regulatory proceedings pending or known to be contemplated against the Company or its properties.

Environmental Matters

In connection with the ownership of real estate, the Company may be liable for costs and damages related to environmental matters. As of December 31, 2023, the Company had not been notified by any governmental authority of any non-compliance, liability or other claim, and is not aware of any other environmental condition that it believes will have a material adverse effect on the Company's business, financial condition, results of operations or liquidity.

Defined Contribution Retirement Plan

The Company has a defined contribution retirement savings plan qualified under Section 401(a) of the Code (the "401(k) Plan"). The 401(k) Plan is available to all of the Company's full-time employees. The Company provides a matching contribution in cash equal to 100% of the first 6% of eligible compensation contributed by participants, which vests immediately.

The following table presents the matching contributions made by the Company for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
401(k) matching contributions	$	331	$	318	$	205

Employment Agreements

The Company has employment agreements with certain of its executive officers. These employment agreements have an initial term of four years, with automatic one year extensions unless notice of non-renewal is provided by either party. These agreements provide for initial annual base salaries and an annual performance bonus. If an executive officer's employment terminates under certain circumstances, the Company would be liable for any annual performance bonus awarded for the year prior to termination, to the extent unpaid, continued payments equal to 12 months of base salary, monthly reimbursement for 12 months of COBRA premiums, and under certain situations, a pro rata bonus for the year of termination.

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Fair Value Measurements

12 Months Ended

Dec. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

GAAP establishes a hierarchy of valuation techniques based on the observability of inputs used in measuring financial instruments at fair value. GAAP establishes market-based or observable inputs as the preferred source of values, followed by valuation models using management assumptions in the absence of market inputs.

The determination of where an asset or liability falls in the hierarchy requires significant judgment and considers factors specific to the asset or liability. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company evaluates its hierarchy disclosures regularly and, depending on various factors, it is possible that an asset or liability may be classified differently from period to period. However, the Company expects that changes in classifications between levels will be rare.

In addition to the disclosures for assets and liabilities required to be measured at fair value at the balance sheet date, companies are required to disclose the estimated fair values of all financial instruments, even if they are not presented at their fair value on the consolidated balance sheet.The fair values of financial instruments are estimates based upon market conditions and perceived risks at December 31, 2023 and 2022. These estimates require management's judgment and may not be indicative of the future fair values of the assets and liabilities.

Financial assets and liabilities for which the carrying values approximate their fair values include cash and cash equivalents, restricted cash, accounts receivable included within rent receivables, prepaid expenses and other assets, net, dividends payable and accrued liabilities and other payables. Generally, these assets and liabilities are short term in duration and their carrying value approximates fair value on the consolidated balance sheets.

The estimated fair values of the Company’s fixed-rate loans receivable have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its fixed-rate loans receivable approximates fair value as of December 31, 2023 and 2022.

The estimated fair values of the Company’s borrowings under the Revolving Credit Facility, the 2024 Term Loan, the 2027 Term Loan, the 2028 Term Loan and the 2029 Term Loan have been derived based on primarily unobservable market inputs such as interest rates and discounted cash flow analyses using estimates of the amount and timing of future cash flows, market rates and credit spreads. These measurements are classified as Level 3 within the fair value hierarchy. The Company believes the carrying value of its borrowings under the Revolving Credit Facility, the 2024 Term Loan, the 2027 Term Loan, the 2028 Term Loan, and the 2029 Term Loan as of December 31, 2023 and 2022 approximate fair value.

The Company measures the fair value of its senior unsecured notes and derivative financial instruments on a recurring basis. The fair values of these financial assets and liabilities were determined using the following input levels as of the dates presented: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Financial assets:
Senior unsecured notes (1)	$	395,846	$	315,336	$	315,336	$	—	$	—
Interest rate swaps	7,975		7,975		—		7,975		—
December 31, 2022
Financial assets:
Senior unsecured notes (1)	$	395,286	$	292,120	$	292,120	$	—	$	—
Interest rate swaps	45,603		45,603		—		45,603		—

_____________________________________

(1)Carrying value is net of $3.6 million and $4.0 million of net deferred financing costs and $0.6 million and $0.7 million of net discount as of December 31, 2023 and 2022, respectively.

The Company measures its real estate investments at fair value on a nonrecurring basis. The fair values of real estate investments that were impaired as of the dates presented were determined using the following input levels: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Non-financial assets:
Long-lived assets	$	4,510	$	4,510	$	—	$	—	$	4,510
December 31, 2022
Non-financial assets:
Long-lived assets	$	12,144	$	12,144	$	—	$	—	$	12,144

Long-Lived Assets

The Company reviews its investments in real estate when events or circumstances change indicating that the carrying amount of an asset may not be recoverable. In the evaluation of an investment in real estate for impairment, many factors are considered, including estimated current and expected operating cash flows from the asset during the projected holding period, costs necessary to extend the life or improve the asset, expected capitalization rates, projected stabilized net operating income, selling costs, and the ability to hold and dispose of the asset in the ordinary course of business.

Quantitative information about Level 3 fair value measurements as of December 31, 2023 is as follows:

(dollar amounts in thousands)	Fair Value		Valuation Techniques	Significant Unobservable Inputs
Non-financial assets:
Long-lived assets
Convenience store	$	1,500	Sales comparison approach	Non-binding sales agreement	$	1,500
Pet care services	2,139		Sales comparison approach	Binding sales agreement	2,139
Quick service restaurant	871		Discounted cash flow approach	Terminal value: 8.0% Discount rate: 8.5%	871

The fair values of impaired real estate were determined by using the following information, depending on availability, in order of preference: (i) signed purchase and sale agreements or letters of intent; (ii) recently quoted

bid or ask prices; (iii) estimates of future cash flows, which consider, among other things, contractual and forecasted rental revenues, leasing assumptions, terminal capitalization rates, discount rates and expenses based upon market conditions; or (iv) expectations for the use of the real estate. Based on these inputs, the Company determined that its valuation of the impaired real estate falls within Level 3 of the fair value hierarchy.

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Subsequent Events

12 Months Ended

Dec. 31, 2023

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

The Company has evaluated all events and transactions that occurred after December 31, 2023 through the filing of this Annual Report on Form 10-K and determined that there have been no events that have occurred that would require adjustment to disclosures in the consolidated financial statements except as disclosed below.

Equity Awards

In January 2024, the Company issued an aggregate of 51,158 shares of unvested RSUs to certain of the Company’s employees under the Equity Incentive Plan. These awards vest over a period of up to four years from the date of grant, subject to the individual recipient’s continued provision of service to the Company through the applicable vesting dates.

Subsequent Acquisition and Disposition Activity

Subsequent to December 31, 2023, the Company invested in 12 real estate properties for an aggregate investment amount (including acquisition-related costs) of $16.8 million and invested $10.1 million in new and ongoing construction in progress and reimbursements to tenants for development, construction and renovation costs related to properties leased from the Company. In addition, the Company invested $14.0 million in mortgage loans receivable subsequent to December 31, 2023.

Subsequent to December 31, 2023, the Company sold its investment in four real estate properties for an aggregate gross sales price of $9.1 million and incurred $0.3 million of disposition costs related to these transactions.

2022 ATM Program Activity

In January 2024, the Company sold 34,000 shares of its common stock on a forward basis under the 2022 ATM Program for gross proceeds of $0.9 million.

Forward Equity Settlement

In January 2024, the Company physically settled 1,374,363 shares of its common stock sold on a forward basis under the September 2023 follow-on primary offering for net proceeds of $30.0 million. All settled shares were sold on a forward basis during the year ended December 31, 2023.

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Schedule III - Real Estate and Accumulated Depreciation

12 Months Ended

Dec. 31, 2023

SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract]

Schedule III - Real Estate and Accumulated Depreciation

ESSENTIAL PROPERTIES REALTY TRUST, INC.

(a)As of December 31, 2023, the Company had investments in 1,873 single-tenant real estate property locations including 1,726 owned properties, 11 ground lease interests and 136 properties securing mortgage notes receivable. Three of the Company’s owned properties are subject to leases accounted for as direct financing leases and are excluded from the table above. Additionally, the table above excludes two owned properties which are accounted for as loans receivable, as the leases contain purchase options, and four owned properties which are held for sale as of December 31, 2023. Initial costs exclude intangible lease assets totaling $78.1 million.

(b)Amounts shown as reductions to cost capitalized subsequent to acquisition represent provisions recorded for impairment of real estate or partial land dispositions.

(c)The aggregate cost for federal income tax purposes is $4.3 billion.

(d)The following is a reconciliation of carrying value for land and improvements and building and improvements for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Balance, beginning of period	$	3,669,317	$	3,040,073	$	2,260,919
Additions
Acquisitions	887,407		751,610		831,795
Improvements	51,323		27,609		9,459
Deductions
Provisions for impairment of real estate	(3,548)		(20,164)		(6,120)
Real estate investments held for sale	(7,455)		(4,780)		(15,434)
Cost of real estate sold	(116,029)		(123,081)		(40,546)
Other	(701)		(1,949)		—
Balance, end of period	$	4,480,314	$	3,669,317	$	3,040,073

(e)The following is a reconciliation of accumulated depreciation for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Balance, beginning of period	$	238,022	$	169,126	$	112,144
Additions
Depreciation expense	95,527		80,647		61,172
Deductions
Accumulated depreciation associated with real estate investments sold and held for sale	(11,605)		(11,751)		(4,190)
Balance, end of period	$	321,944	$	238,022	$	169,126

(f)Depreciation is calculated using the straight-line method over the estimated useful lives of the properties, which is up to 40 years for buildings and improvements and 15 years for land improvements.

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Schedule IV - Mortgage Loans on Real Estate

12 Months Ended

Dec. 31, 2023

SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]

Schedule IV - Mortgage Loans on Real Estate

ESSENTIAL PROPERTIES REALTY TRUST, INC.

Schedule IV - Mortgage Loans on Real Estate

As of December 31, 2023

(Dollar amounts in thousands)

Description	# of Properties	Interest Rate	Final Maturity Date	Periodic Payment Terms	Final Payment Terms	Prior Liens	Face Amount of Mortgages		Carrying Amount of Mortgages		Principal Amount of Loans Subject to Delinquent Principal or Interest
First mortgage loans:
Early Childhood Education Centers located in Florida	2	8.80%	5/9/2039	Interest only	Balloon - $12,000	None	$	12,000	$	11,874	None
Early Childhood Education Centers located in Florida	2	8.53%	7/17/2039	Interest only	Balloon - $7,300	None	7,300		7,220		None
Quick Service Restaurants located in fifteen states	69	7.79%	8/31/2034	Interest only	Balloon - $51,000	None	51,000		50,995		None
Early Childhood Education Center located in Florida	1	8.42%	2/29/2040	Interest only	Balloon - $5,300	None	5,300		5,247		None
Convenience Stores located in Minnesota	2	8.54%	12/31/2024	Interest only	Balloon - $1,785	None	1,785		1,754		None
Family Dining Restaurant located in Georgia	1	7.00%	6/28/2024	Interest only	Balloon - $500	None	500		500		None
Convenience Stores located in Wisconsin and Iowa	2	8.33%	12/31/2024	Interest only	Balloon - $994	None	994		972		None
Casual Dining Restaurants located in Kentucky and Ohio	2	6.87%	5/31/2036	Interest only	Balloon - $2,520	None	2,520		2,520		None
Convenience Stores located in Iowa	2	8.33%	12/31/2024	Interest only	Balloon - $2,389	None	2,389		2,326		None
Entertainment Center located in New Jersey	1	8.96%	9/30/2051	Principal + Interest	Fully amortizing	None	24,100		24,089		None
Car Washes located in Nevada	5	7.30%	12/31/2036	Interest only	Balloon - $25,714	None	25,714		25,711		None
Car Wash located in Florida	1	7.73%	12/29/2036	Interest only	Balloon - $2,470	None	2,470		2,464		None
Casual Dining Restaurant located in Michigan	1	8.00%	1/31/2024	Interest only	Balloon - $1,754	None	1,754		1,709		None
Quick Service Restaurants located in three states	26	7.00%	2/28/2027	Interest only	Balloon - $17,494	None	17,494		17,407		None
Car Wash located in New Jersey	1	7.73%	3/31/2037	Interest only	Balloon - $3,600	None	3,600		3,591		None
Convenience Store located in Minnesota	1	8.30%	4/22/2024	Interest only	Balloon - $760	None	760		739		None
Car Wash located in Nevada	1	7.33%	12/31/2036	Interest only	Balloon - $4,960	None	4,960		4,947		None
Car Wash located in Nevada	1	7.43%	12/31/2036	Interest only	Balloon - $4,800	None	4,800		4,788		None
Car Washes located in three states	4	8.64%	12/31/2037	Interest only	Balloon - $12,250	None	12,250		12,246		None
Car Washes located in five states	9	8.85%	12/31/2037	Interest only	Balloon - $25,993	None	25,993		25,942		None
Entertainment Center located in Missouri	1	8.84%	1/13/2038	Interest only	Balloon - $10,200	None	10,200		10,189		None
Fitness Center located in Florida	1	8.10%	11/30/2025	Interest only	Balloon - $2,891	None	2,891		2,891		None
							$	220,774	$	220,121

The following table shows changes in carrying amounts of mortgage loans receivable during the years ended December 31, 2023, 2022 and 2021 (in thousands):

	Year ended December 31,
	2023		2022		2021
Balance, beginning of period	$	233,978	$	181,419	$	144,048
Additions:
New mortgage loans	13,091		126,784		137,356
Subsequent funding on existing mortgage loans			17,236		—
Deductions:
Collections of principal	(27,029)		(91,488)		(100,179)
Provision for credit losses	81		27		194
Balance, end of period	$	220,121	$	233,978	$	181,419

See accompanying report of independent registered public accounting firm.

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Pay vs Performance Disclosure - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Pay vs Performance Disclosure
Net Income (Loss) Attributable to Parent	$ 190,707	$ 134,130	$ 95,725

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Insider Trading Arrangements	3 Months Ended
	Dec. 31, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

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Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2023

Accounting Policies [Abstract]

Basis of Accounting

Basis of Accounting

The accompanying consolidated financial statements of the Company are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and with the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”).

Principles of Consolidation

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and subsidiaries in which the Company has a controlling financial interest. All intercompany accounts and transactions have been eliminated in consolidation.

Use of Estimates

Use of Estimates

The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Reportable Segments

Reportable Segments

ASC Topic 280, Segment Reporting, establishes standards for the manner in which enterprises report information about operating segments. Substantially all of the Company’s investments, at acquisition, are comprised of real estate owned that is leased to tenants on a long-term basis or real estate that secures the Company's investment in loans and direct financing lease receivables.

Real Estate Investments

Real Estate Investments

Investments in real estate are carried at cost less accumulated depreciation and impairment losses. The cost of investments in real estate reflects their purchase price or development cost. The Company evaluates each acquisition transaction to determine whether the acquired asset meets the definition of a business. Under Accounting Standards Update ("ASU") 2017-1, Business Combinations (Topic 805): Clarifying the Definition of a

Business, an acquisition does not qualify as a business when there is no substantive process acquired or substantially all of the fair value is concentrated in a single identifiable asset or group of similar identifiable assets or the acquisition does not include a substantive process in the form of an acquired workforce or an acquired contract that cannot be replaced without significant cost, effort or delay. Transaction costs related to acquisitions that are asset acquisitions are capitalized as part of the cost basis of the acquired assets, while transaction costs for acquisitions that are deemed to be acquisitions of a business are expensed as incurred. Improvements and replacements are capitalized when they extend the useful life or improve the productive capacity of the asset. Costs of repairs and maintenance are expensed as incurred.

The Company incurs various costs in the leasing and development of its properties. Amounts paid to tenants that incentivize them to extend or otherwise amend an existing lease or to sign a new lease agreement are capitalized to lease incentives on the Company's consolidated balance sheets. Tenant improvements are capitalized to building and improvements within the Company's consolidated balance sheets. Costs incurred which are directly related to properties under development, which include pre-construction costs essential to the development of the property, development costs, construction costs, interest costs and real estate taxes and insurance, are capitalized during the period of development as construction in progress. After the determination is made to capitalize a cost, it is allocated to the specific component of a project that benefited. Determination of when a development project commences, and capitalization begins, and when a development project has reached substantial completion, and is available for occupancy and capitalization must cease, involves a degree of judgment. The Company does not engage in speculative real estate development. The Company does, however, opportunistically agree to reimburse certain of its tenants for development costs at its properties in exchange for contractually-specified rent that generally increases proportionally with its funding.

The Company allocates the purchase price of acquired properties accounted for as asset acquisitions to tangible and identifiable intangible assets or liabilities based on their relative fair values. Tangible assets may include land, site improvements and buildings. Intangible assets may include the value of in-place leases and above- and below-market leases and other identifiable intangible assets or liabilities based on lease or property specific characteristics.

The fair value of the tangible assets of an acquired property with an in-place operating lease is determined by valuing the property as if it were vacant, and the "as-if-vacant" value is then allocated to the tangible assets based on the fair value of the tangible assets. The fair value of in-place leases is determined by considering estimates of carrying costs during the expected lease-up periods, current market conditions, as well as costs to execute similar leases based on the specific characteristics of each tenant's lease. The Company estimates the cost to execute leases with terms similar to the remaining lease terms of the in-place leases, including leasing commissions, legal and other related expenses. Factors the Company considers in this analysis include an estimate of the carrying costs during the expected lease-up periods considering current market conditions and costs to execute similar leases. In estimating carrying costs, the Company includes real estate taxes, insurance and other operating expenses, and estimates of lost rentals at market rates during the expected lease-up periods, which primarily range from six to 12 months. The fair value of above- or below-market leases is recorded based on the net present value (using a discount rate that reflects the risks associated with the leases acquired) of the difference between the contractual amount to be paid pursuant to the in-place lease and the Company's estimate of the fair market lease rate for the corresponding in-place lease, measured over the remaining non-cancelable term of the lease including any below-market fixed rate renewal options for below-market leases.

In making estimates of fair values for purposes of allocating purchase price, the Company uses a number of sources, including real estate valuations prepared by independent valuation firms. The Company also considers information and other factors including market conditions, the industry that the tenant operates in, characteristics of the real estate (e.g., location, size, demographics, value and comparative rental rates), tenant credit profile and the importance of the location of the real estate to the operations of the tenant's business. Additionally, the Company considers information obtained about each property as a result of its pre-acquisition due diligence, marketing and leasing activities in estimating the fair value of the tangible and intangible assets acquired. The Company uses the information obtained as a result of its pre-acquisition due diligence as part of its consideration of the accounting standard governing asset retirement obligations and, when necessary, will record an asset retirement obligation as part of the purchase price allocation.

Real estate investments that are intended to be sold are designated as "held for sale" on the consolidated balance sheets at the lesser of carrying amount and fair value less estimated selling costs. Real estate investments are no longer depreciated when they are classified as held for sale. If the disposal, or intended disposal, of certain

real estate investments represents a strategic shift that has had or will have a major effect on the Company's operations and financial results, the operations of such real estate investments would be presented as discontinued operations in the consolidated statements of operations for all applicable periods.

Depreciation and Amortization

Depreciation and Amortization

Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings and 15 years for site improvements. The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Depreciation on real estate investments	$	95,527	$	80,647	$	61,171

Lease incentives are amortized on a straight-line basis as a reduction of rental income over the remaining non-cancellable terms of the respective leases. If a tenant terminates its lease, the unamortized portion of the lease incentive is charged to rental revenue. Construction in progress is not depreciated until the development has reached substantial completion. Tenant improvements are depreciated over the non-cancellable term of the related lease or their estimated useful life, whichever is shorter.

Capitalized above-market lease intangibles are amortized on a straight-line basis as a reduction of rental revenue over the remaining non-cancellable terms of the respective leases. Capitalized below-market lease intangibles are accreted on a straight-line basis as an increase to rental revenue over the remaining non-cancellable terms of the respective leases including any below-market fixed rate renewal option periods.

Capitalized above-market ground lease values are accreted as a reduction of property expenses over the remaining terms of the respective leases. Capitalized below-market ground lease values are amortized as an increase to property expenses over the remaining terms of the respective leases and any expected below-market renewal option periods where renewal is considered probable.

The value of in-place leases, exclusive of the value of above-market and below-market lease intangibles, is amortized to depreciation and amortization expense on a straight-line basis over the remaining periods of the respective leases.

If a tenant terminates its lease, the unamortized portion of each intangible, including in-place lease values, is charged to depreciation and amortization expense, while above- and below-market lease adjustments are recorded within rental revenue in the consolidated statements of operations.

Loans Receivable

Loans Receivable

The Company holds its loans receivable for long-term investment. Loans receivable are carried at amortized cost, including related unamortized discounts or premiums, if any, less the Company's estimated allowance for credit losses. The Company recognizes interest income on loans receivable using the effective-interest method applied on a loan-by-loan basis. Direct costs associated with originating loans are offset against any related fees received and the balance, along with any premium or discount, is deferred and amortized as an adjustment to interest income over the term of the related loan receivable using the effective-interest method.

Direct Financing Lease Receivables and Adjustment to Rental Revenue for Tenant Credit

Direct Financing Lease Receivables

Certain of the Company’s real estate investment transactions are accounted for as direct financing leases. The Company records the direct financing lease receivables at their net investment, determined as the aggregate minimum lease payments and the estimated non-guaranteed residual value of the leased property less unearned income. The unearned income is recognized over the term of the related lease so as to produce a constant rate of return on the net investment in the asset. The Company’s investment in direct financing lease receivables is reduced over the applicable lease term to its non-guaranteed residual value by the portion of rent allocated to the direct financing lease receivables.

Adjustment to Rental Revenue for Tenant Credit

The Company continually reviews receivables related to rent and unbilled rent receivables and determines collectability by taking into consideration the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located.

If the assessment of the collectability of substantially all payments due under a lease changes from probable to not probable, any difference between the rental revenue recognized to date and the lease payments that have been collected is recognized as a current period reduction of rental revenue in the consolidated statements of operations.

Allowance for Credit Losses

Allowance for Credit Losses

Under ASC Topic 326, Financial Instruments - Credit Losses, the Company uses a real estate loss estimate model (“RELEM”) which estimates losses on its loans and direct financing lease receivable portfolio, for purposes of calculating allowances for credit losses. The RELEM allows the Company to refine (on an ongoing basis) the expected loss estimate by incorporating asset-specific assumptions as necessary, such as anticipated funding, interest payments, estimated extensions and estimated loan repayment/refinancing at maturity to estimate cash flows over the life of the loan or direct financing lease receivable. The model also incorporates assumptions related to underlying collateral values, various loss scenarios, and predicted losses to estimate expected losses. The Company's specific asset-level inputs include loan-to-stabilized-value (“LTV”), principal balance, property type, location, coupon, origination year, term, subordination, expected repayment date and future funding. The Company categorizes the results by LTV range, which it considers the most significant indicator of credit quality for its loans and direct financing lease receivables. A lower LTV ratio typically indicates a lower credit loss risk.

The Company also evaluates each loan and direct financing lease receivable measured at amortized cost for credit deterioration at least quarterly. Credit deterioration occurs when it is deemed probable that the Company will not be able to collect all amounts due according to the contractual terms of the loan or direct financing lease receivable.

The Company's allowance for credit losses is adjusted to reflect its estimation of the current and future economic conditions that impact the performance of the real estate assets securing its loans. These estimations include various macroeconomic factors impacting the likelihood and magnitude of potential credit losses for the Company's loans and direct financing lease receivables during their anticipated term. Changes in the Company's allowance for credit losses are presented within change in provision for credit losses in it's consolidated statements of operations.

Impairment of Long-Lived Assets

Impairment of Long-Lived Assets

If circumstances indicate that the carrying value of a property may not be recoverable, the Company reviews the property for impairment. This review is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property’s use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property for properties to be held and used. For properties held for sale, the impairment loss is the adjustment to fair value less estimated cost to dispose of the asset. Impairment losses, if any, are recorded directly within the Company's consolidated statements of operations.

Cash and Cash Equivalents

Cash and Cash Equivalents

Cash and cash equivalents includes cash in the Company’s bank accounts. The Company considers all cash balances and highly liquid investments with original maturities of three months or less to be cash and cash equivalents. The Company deposits cash with high quality financial institutions. These deposits are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to an insurance limit.

Restricted Cash

Restricted Cash

Restricted cash primarily consists of cash proceeds from the sale of assets held by a qualified intermediary to facilitate tax-deferred exchange transactions under Section 1031 of the Internal Revenue Code of 1986, as amended (the "Code").

Forward Equity Sales

Forward Equity Sales

The Company has and may continue to enter into forward sale agreements relating to shares of its common stock, either through its 2022 ATM Program (as defined herein) or through underwritten public offerings. These agreements may be physically settled in stock, settled in cash or net share settled at the Company’s election.

The Company evaluated its forward sale agreements and concluded they meet the conditions to be classified within stockholders’ equity. Prior to settlement, a forward sale agreement will be reflected in the diluted earnings per share calculations using the treasury stock method. Under this method, the number of shares of the Company’s common stock used in calculating diluted earnings per share is deemed to be increased by the excess, if any, of the number of shares of the Company’s common stock that would be issued upon full physical settlement of such forward sale agreement over the number of shares of the Company’s common stock that could be purchased by the Company in the market (based on the average market price during the reporting period) using the proceeds receivable upon full physical settlement (based on the adjusted forward sale price at the end of the reporting period). Consequently, prior to settlement of a forward sale agreement, there will be no dilutive effect on the Company’s earnings per share except during periods when the average market price of the Company’s common stock is above the adjusted forward sale price. However, upon settlement of a forward sales agreement, if the Company elects to physically settle or net share settle such forward sale agreement, delivery of the Company’s shares will result in dilution to the Company’s earnings per share.

Deferred Financing Costs

Deferred Financing Costs

Financing costs related to establishing the Company’s Revolving Credit Facility (as defined below) were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the facility and are reported as a component of rent receivables, prepaid expenses and other assets, net on the consolidated balance sheets.

Financing costs related to the incurrence of borrowings under the Company's unsecured term loans and the issuance of senior unsecured notes were deferred and are being amortized as an increase to interest expense in the consolidated statements of operations over the term of the related debt instrument and are reported as a reduction of the related debt balance on the consolidated balance sheets.

Derivative Instruments

Derivative Instruments

In the normal course of business, the Company uses derivative financial instruments, which may include interest rate swaps, caps, options, floors and other interest rate derivative contracts, to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability in cash flows on a portion of the Company’s floating-rate debt. Instruments that meet these hedging criteria are formally designated as hedges at the inception of the derivative contract. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may also enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or the Company elects not to apply hedge accounting.

The accounting for subsequent changes in the fair value of these derivatives depends on whether each has been designated and qualifies for hedge accounting treatment. If a derivative is designated and qualifies for cash flow hedge accounting treatment, the change in the estimated fair value of the derivative is recorded in other

comprehensive income (loss) in the consolidated statements of comprehensive income to the extent that it is effective. Any ineffective portion of a change in derivative fair value is immediately recorded in earnings. If the Company elects not to apply hedge accounting treatment (or for derivatives that do not qualify as hedges), any change in the fair value of such derivative instruments would be recognized immediately as a gain or loss on derivative instruments in the consolidated statements of operations.

Fair Value Measurement

Fair Value Measurement

The Company estimates the fair value of financial and non-financial assets and liabilities based on the framework established in fair value accounting guidance. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). The hierarchy described below prioritizes inputs to the valuation techniques used in measuring the fair value of assets and liabilities. This hierarchy maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring the most observable inputs to be used when available. The hierarchy is broken down into three levels based on the reliability of inputs as follows:

Level 1—Quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date.

Level 2—Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability.

Level 3—Unobservable inputs that reflect the Company's own assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.

Revenue Recognition

Revenue Recognition

The Company’s rental revenue is primarily rent received from tenants. Rent from tenants is recorded in accordance with the terms of each lease on a straight-line basis over the non-cancellable initial term of the lease from the later of the date of the commencement of the lease and the date of acquisition of the property subject to the lease. Rental revenue recognition begins when the tenant controls the space and continues through the term of the related lease. Because substantially all of the leases provide for rental increases at specified intervals, the Company records a straight-line rent receivable and recognizes revenue on a straight-line basis through the expiration of the non-cancelable term of the lease. The Company considers whether the collectability of rents is reasonably assured in determining the amount of straight-line rent to record.

Generally, the Company’s leases provide the tenant with one or more multi-year renewal options, subject to generally the same terms and conditions provided under the initial lease term, including rent increases. If economic incentives make it reasonably certain that an option period to extend the lease will be exercised, the Company will include these options in determining the non-cancelable term of the lease.

The Company defers rental revenue related to lease payments received from tenants in advance of their due dates. These amounts are presented within accrued liabilities and other payables on the Company’s consolidated balance sheets.

Certain properties in the Company’s investment portfolio are subject to leases that provide for contingent rent based on a percentage of the tenant’s gross sales. For these leases, the Company recognizes contingent rental revenue when the threshold upon which the contingent lease payment is based is actually reached.

Offering Costs

Offering Costs

In connection with the completion of equity offerings, the Company incurs legal, accounting and other offering-related costs. Such costs are deducted from the gross proceeds of each equity offering when the offering is completed.

Income Taxes

Income Taxes

The Company elected and qualified to be taxed as a REIT under sections 856 through 860 of the Code commencing with its taxable year ended December 31, 2018. REITs are subject to a number of organizational and operational requirements, including a requirement that 90% of ordinary “REIT taxable income” (as determined without regard to the dividends paid deduction or net capital gains) be distributed. As a REIT, the Company will generally not be subject to U.S. federal income tax to the extent that it meets the organizational and operational requirements and its distributions equal or exceed REIT taxable income. For the period subsequent to the effective date of its REIT election, the Company continues to meet the organizational and operational requirements and expects distributions to exceed REIT taxable income. Accordingly, no provision has been made for U.S. federal income taxes. Even though the Company has elected and qualifies for taxation as a REIT, it may be subject to state and local income and franchise taxes, and to federal income and excise tax on its undistributed income. Franchise taxes and federal excise taxes on the Company’s undistributed income, if any, are included in general and administrative expenses on the accompanying consolidated statements of operations. Additionally, taxable income from non-REIT activities managed through the Company's taxable REIT subsidiary is subject to federal, state, and local taxes.

The Company analyzes its tax filing positions in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in such jurisdictions. The Company follows a two-step process to evaluate uncertain tax positions. Step one, recognition, occurs when an entity concludes that a tax position, based solely on its technical merits, is more-likely-than-not to be sustained upon examination. Step two, measurement, determines the amount of benefit that is more-likely-than-not to be realized upon settlement. Derecognition of a tax position that was previously recognized would occur when the Company subsequently determines that a tax position no longer meets the more-likely-than-not threshold of being sustained. The use of a valuation allowance as a substitute for derecognition of tax positions is prohibited.

Equity-Based Compensation

Equity-Based Compensation

The Company grants shares of restricted common stock ("RSAs") and restricted stock units (“RSUs”) to its directors, executive officers and other employees that vest over specified time periods, subject to the recipient’s continued service. The Company also grants performance-based RSUs to executive officers, the final number of which is determined based on objective and subjective performance conditions and which vest over a multi-year period, subject to the recipient’s continued service. The Company accounts for RSAs and RSUs in accordance with ASC 718, Compensation – Stock Compensation, which requires that such compensation be recognized in the financial statements based on its estimated grant-date fair value. The value of such awards is recognized as compensation expense in general and administrative expenses in the accompanying consolidated statements of operations over the applicable service periods.

The Company recognizes compensation expense for equity-based compensation using the straight-line method based on the fair value of the award on the grant date. Forfeitures of equity-based compensation awards, if any, are recognized when they occur.

Variable Interest Entities

Variable Interest Entities

The Financial Accounting Standards Board (“FASB”) provides guidance for determining whether an entity is a VIE. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. A VIE is required to be consolidated by its primary beneficiary, which is the party that (i) has the power to control the activities that most significantly impact the VIE’s economic performance and (ii) has the obligation to absorb losses, or the right to receive benefits, of the VIE that could potentially be significant to the VIE.

The Company has concluded that the Operating Partnership is a VIE of which the Company is the primary beneficiary, as the Company has the power to direct the activities that most significantly impact the economic performance of the Operating Partnership. Substantially all of the Company’s assets and liabilities are held by the Operating Partnership. The assets and liabilities of the Operating Partnership are consolidated and reported as assets and liabilities on the Company’s consolidated balance sheets as of December 31, 2023 and 2022.

Additionally, the Company has concluded that certain entities to which it has provided mortgage loans are VIEs because the entities' equity was not sufficient to finance their activities without additional subordinated financial support.

Recent Accounting Developments

Recent Accounting Developments

In July 2021, the FASB issued ASU 2021-05, Lease (Topic 842): Lessors - Certain Leases with Variable Lease Payments ("ASU 2021-05"). The guidance in ASU 2021-05 amends the lease classification requirements for the lessors under certain leases containing variable payments to align with practice under ASC 840. The lessor should classify and account for a lease with variable lease payments that do not depend on a reference index or a rate as an operating lease if both of the following criteria are met: 1) the lease would have been classified as a sales-type lease or a direct financing lease in accordance with the classification criteria in ASC 842-10-25-2 through 25-3; and 2) the lessor would have otherwise recognized a day-one loss. The amendments in ASU 2021-05 are

effective for fiscal years beginning after December 15, 2021, with early adoption permitted. The adoption of ASU 2021-05 did not have a material impact on the Company's consolidated financial statements.

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The guidance in ASU 2023-07 improves reportable segment disclosure requirements through enhanced disclosures about significant segment expenses. ASU 2023-07 includes requirements to disclose the title and position of the Chief Operating Decision Maker ("CODM") along with disclosure of the significant segment expenses regularly provided to the CODM, the extension of certain annual disclosures to interim periods, requirements that entities that have a single reportable segment must apply ASC 280 in its entirety, and requirements that permit more than one measure of segment profit or loss to be reported under certain conditions. The amendments in ASU 2023-07 are effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of the guidance on the Company's consolidated financial statements and related disclosures.

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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2023

Accounting Policies [Abstract]

Schedule of Depreciation Expense and Impairment on Real Estate Investments

The Company recorded the following amounts of depreciation expense on its real estate investments during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Depreciation on real estate investments	$	95,527	$	80,647	$	61,171

Schedule of Details of Impairment of Long-Lived Assets

The Company recorded the following provisions for impairment of long lived assets during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Provision for impairment of real estate	$	3,548	$	20,164	$	6,120

Schedule of Adjustments to Rental Revenue and Contingent Rent

The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Contingent rent	$	743	$	682	$	721

The Company recorded the following adjustments as increases or decreases to rental revenue for tenant credit during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Adjustment to (decrease) increase rental revenue for tenant credit	$	(640)	$	(371)	$	2,900

The fixed and variable components of lease revenues for the years ended December 31, 2023, 2022, and 2021 were as follows:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed lease revenues	$	338,720	$	270,694	$	210,441
Variable lease revenues (1)	3,610		1,632		1,708
Total lease revenues (2)	$	342,330	$	272,326	$	212,149

_____________________________________

(1)Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants.

(2)Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.

Schedule of Mortgage Loan-Related VIEs

The following table presents information about the Company’s mortgage loan-related VIEs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Number of VIEs	21		21
Aggregate carrying value	$	219,449	$	233,351

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Investments (Tables)

12 Months Ended

Dec. 31, 2023

Investments [Abstract]

Schedule of Real Estate Investment Portfolio

The following table presents information about the number of investments in the Company's real estate investment portfolio as of each date presented:

	December 31,
	2023	2022
Owned properties (1)	1,726	1,489
Properties securing investments in mortgage loans (2)	136	153
Ground lease interests	11	11
Total number of investments	1,873	1,653

_____________________________________

(1)Includes six and eight properties which are subject to leases accounted for as direct financing leases or loans as of December 31, 2023 and 2022, respectively.

(2)Properties secure 20 mortgage loans receivable as of December 31, 2023 and 2022.

Schedule of Real Estate Investment Property, at Cost

The following table presents information about the gross investment value of the Company's real estate investment portfolio as of each date presented:

	December 31,
(in thousands)	2023		2022
Real estate investments, at cost	$	4,683,937	$	3,810,570
Loans and direct financing lease receivables, net	223,854		240,035
Real estate investments held for sale, net	7,455		4,780
Total gross investments	$	4,915,246	$	4,055,385

Schedule of Information about Investment Activity

The following table presents information about the Company’s investment activity during the years ended December 31, 2023 and 2022:

	Year ended December 31,
(Dollars in thousands)	2023		2022
Ownership type	(1)		(2)
Number of properties	291		224
Purchase price allocation:
Land and improvements	$	354,331	$	270,049
Building and improvements	539,062		481,560
Construction in progress (3)	105,075		51,870
Intangible lease assets	2,553		3,366
Total purchase price	1,001,021		806,845
Intangible lease liabilities	(181)		—
Purchase price (including acquisition costs)	$	1,000,840	$	806,845

_____________________________________

(1)During the year ended December 31, 2023, the Company acquired fee interests in 289 properties and acquired two properties subject to ground leases.

(2)During the year ended December 31, 2022, the Company acquired fee interests in 223 properties and acquired one property subject to a ground lease.

(3)Represents amounts incurred at and subsequent to initial investment and includes $2.4 million and $0.8 million, respectively, of capitalized interest expense during the years ended December 31, 2023 and 2022.

Schedule of Gross Investment Activity

During the years ended December 31, 2023, 2022 and 2021, the Company had the following gross investment activity:

(Dollar amounts in thousands)	Number of Investment Locations	Dollar Amount of Investments
Gross investments, December 31, 2020	1,181	$	2,528,673
Acquisitions of and additions to real estate investments	297	853,798
Sales of investments in real estate	(38)	(57,154)
Provisions for impairment of real estate (1)	—	(6,120)
Investments in loans receivable	49	137,351
Principal collections on and settlements of loans and direct financing lease receivables	(38)	(100,488)
Other	—	(499)
Gross investments, December 31, 2021	1,451	3,355,561
Acquisitions of and additions to real estate investments	224	810,661
Sales of investments in real estate	(54)	(138,515)
Provisions for impairment of real estate (2)	—	(20,164)
Investments in loans receivable	75	143,954
Principal collections on and settlements of loans and direct financing lease receivables	(43)	(93,118)
Other	—	(2,994)
Gross investments, December 31, 2022	1,653	4,055,385
Acquisitions of and additions to real estate investments	291	1,004,075
Sales of investments in real estate	(51)	(120,809)
Relinquishment of properties at end of ground lease term	(2)	(1,543)
Provisions for impairment of real estate (3)	—	(3,548)
Investments in loans receivable	2	13,091
Principal collections on and settlements of loans and direct financing lease receivables	(20)	(27,908)
Other	—	(3,497)
Gross investments, December 31, 2023	1,873	4,915,246
Less: Accumulated depreciation and amortization (4)	—	(367,133)
Net investments, December 31, 2023	1,873	$	4,548,113

_____________________________________________ 

(1)During the year ended December 31, 2021, the Company identified and recorded provisions for impairment at two vacant and 16 tenanted properties.

(2)During the year ended December 31, 2022, the Company identified and recorded provisions for impairment at four vacant and nine tenanted properties.

(3)During the year ended December 31, 2023, the Company identified and recorded provisions for impairment at two vacant and six tenanted properties.

(4)Includes $321.9 million of accumulated depreciation as of December 31, 2023.

Schedule of Loans Receivable

The Company's loans receivable portfolio as of December 31, 2023 and 2022 is summarized below (dollars in thousands): 

Loan Type	Monthly Payment (1)	Number of Secured Properties	Effective Interest Rate	Stated Interest Rate	Maturity Date	Principal Balance Outstanding
						December 31, 2023		December 31, 2022
Mortgage (2)(3)	I/O	2	8.80%	8.00%	2039	$	12,000	$	12,000
Mortgage (2)	I/O	2	8.53%	7.75%	2039	7,300		7,300
Mortgage (2)	I/O	69	7.79%	7.33%	2034	51,000		51,000
Mortgage (2)	I/O	1	8.42%	7.65%	2040	5,300		5,300
Mortgage (2)	I/O	2	8.54%	8.50%	2024	1,785		2,324
Mortgage (2)	I/O	1	7.00%	7.00%	2024	500		600
Mortgage (2)	I/O	2	8.30%	8.25%	2024	994		3,146
Mortgage (2)	I/O	2	6.87%	6.40%	2036	2,520		2,520
Mortgage (2)	I/O	—	7.51%	7.00%	2036	—		2,673
Mortgage (2)	I/O	2	8.29%	8.25%	2024	2,389		2,389
Mortgage (2)	I/O	1	8.96%	8.06%	2051	24,100		24,100
Mortgage (2)	I/O	—	7.44%	7.10%	2036	—		9,808
Mortgage (2)	I/O	7	7.30%	6.80%	2036	35,474		35,474
Mortgage (2)	I/O	1	7.73%	7.20%	2036	2,470		2,470
Mortgage (2)	I/O	1	8.00%	8.00%	2024	1,754		1,754
Mortgage (2)	I/O	26	7.00%	7.00%	2027	17,494		26,307
Mortgage (2)	I/O	1	7.73%	7.20%	2037	3,600		3,600
Mortgage (2)	I/O	1	8.30%	8.25%	2024	760		760
Mortgage (2)	I/O	4	8.64%	8.05%	2037	12,250		12,250
Mortgage (2)	I/O	9	8.85%	8.25%	2037	25,993		28,938
Mortgage (2)	I/O	1	8.83%	8.25%	2038	10,200		—
Mortgage (2)	I/O	1	8.10%	8.10%	2025	2,891		—
Leasehold interest	P+I	1	2.25%	(4)	2034	929		992
Leasehold interest	P+I	1	2.41%	(4)	2034	1,382		1,473
Leasehold interest	P+I	—	4.97%	(4)	2038	—		1,517
Net investment						$	223,085	$	238,695

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(1)I/O: Interest Only; P+I: Principal and Interest

(2)Loan requires monthly payments of interest only with a balloon payment due at maturity.

(3)Loan allows for prepayments in whole or in part without penalty.

(4)These leasehold interests are accounted for as loans receivable, as the lease for each property contains an option for the lessee to repurchase the leased property in the future.

Scheduled Principal Payments Due under Loans Receivable

Scheduled principal payments due to be received under the Company's loans receivable as of December 31, 2023 were as follows:

(in thousands)	Loans Receivable
2024	$	8,346
2025	3,063
2026	181
2027	17,684
2028	199
Thereafter	193,612
Total	$	223,085

Schedule of Direct Financing Lease Receivables

The components of the investments accounted for as direct financing lease receivables were as follows:

	December 31,
(in thousands)	2023		2022
Minimum lease payments receivable	$	1,709	$	2,812
Estimated unguaranteed residual value of leased assets	251		251
Unearned income from leased assets	(525)		(957)
Net investment	$	1,435	$	2,106

Scheduled Future Minimum Non-cancelable Base Rental Payments Under Direct Financing Lease Receivables

Scheduled future minimum non-cancelable base rental payments due to be received under the direct financing lease receivables as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Payments
2024	$	210
2025	178
2026	167
2027	143
2028	145
Thereafter	866
Total	$	1,709

Schedule of Changes to Allowance for Loan Losses

For the years ended December 31, 2023, 2022 and 2021, the changes to the Company's allowance for credit losses were as follows:

(in thousands)	Loans and Direct Financing Lease Receivables
Balance at December 31, 2020	$	1,018
Current period provision for expected credit losses (1)	(204)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2021	814
Current period provision for expected credit losses (2)	88
Write-offs charged	(137)
Recoveries	—
Balance at December 31, 2022	765
Current period provision for expected credit losses(2)	(99)
Write-offs charged	—
Recoveries	—
Balance at December 31, 2023	$	666

_____________________________________

(1)The decrease in expected credit losses was due to assumptions regarding current macroeconomic factors returning to pre-pandemic values due to the reduction of the adverse impact of the COVID-19 pandemic.

(2)The change in expected credit loss was primarily due to an overall increase or decrease in the size of our loans and direct financing lease receivables portfolio.

Schedule of Significant Credit Quality Indicators Measured at Amortized Cost

The Company considers the ratio of loan to value ("LTV") to be a significant credit quality indicator for its loans and direct financing lease portfolio. The following table presents information about the LTV of the Company's loans and direct financing lease receivables measured at amortized cost as of as of December 31, 2023:

	Amortized Cost Basis by Origination Year										Total Amortized Cost Basis
(in thousands)	2023		2022		2021		2020		Prior to 2020
LTV <60%	$	—	$	23,000	$	—	$	—	$	28,986	$	51,986
LTV 60%-70%	—		—		28,734		—		—		28,734
LTV >70%	13,091		71,611		29,953		8,466		20,679		143,800
	$	13,091	$	94,611	$	58,687	$	8,466	$	49,665	$	224,520

Schedule of Activity in Real Estate Investments and Intangible Lease Liabilities Held for Sale

The following table shows the activity in real estate investments held for sale and intangible lease liabilities held for sale during the years ended December 31, 2023 and 2022: 

(Dollar amounts in thousands)	Number of Properties	Real Estate Investments		Intangible Lease Liabilities		Net Carrying Value
Held for sale balance, December 31, 2021	9	$	15,434	$	—	$	15,434
Transfers to held for sale classification	11	28,393		—		28,393
Sales	(16)	(39,047)		—		(39,047)
Transfers to held and used classification	—	—		—		—
Held for sale balance, December 31, 2022	4	4,780		—		4,780
Transfers to held for sale classification	10	19,311		—		19,311
Sales	(9)	(16,067)		—		(16,067)
Transfers to held and used classification	(1)	(569)		—		(569)
Held for sale balance, December 31, 2023	4	$	7,455	$	—	$	7,455

Schedule of External Customers by Geographic Areas

The following table lists the state where the rental revenue from the properties in that state during the periods presented represented 10% or more of total rental revenue in the Company's consolidated statements of operations:

	Year ended December 31,
State	2023	2022	2021
Texas	13.3%	13.5%	13.1%

Schedule of Intangible Assets and Liabilities

Intangible assets and liabilities consisted of the following as of the dates presented:

	December 31, 2023						December 31, 2022
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets:
In-place leases	$	78,080	$	35,896	$	42,184	$	77,096	$	30,217	$	46,879
Intangible market lease assets	11,129		5,456		5,673		11,268		4,917		6,351
Total intangible assets	$	89,209	$	41,352	$	47,857	$	88,364	$	35,134	$	53,230
Intangible market lease liabilities	$	15,505	$	4,299	$	11,206	$	15,325	$	3,774	$	11,551

Schedule of Remaining Weighted Average Amortization Periods for Intangible Assets and Liabilities

The remaining weighted average amortization period for the Company's intangible assets and liabilities as of December 31, 2023, by category and in total, were as follows:

	Years Remaining
In-place leases	8.5
Intangible market lease assets	10.4
Total intangible assets	8.7
Intangible market lease liabilities	8.7

Schedule of Amortization and Accretion Recognized

The following table discloses amounts recognized within the consolidated statements of operations related to amortization of in-place leases, amortization and accretion of above- and below-market lease assets and

liabilities, net and the amortization and accretion of above- and below-market ground leases for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Amortization of in-place leases (1)	$	6,408	$	7,575	$	7,544
Amortization (accretion) of market lease intangibles, net (2)	11		(217)		(47)
Amortization (accretion) of above- and below-market ground lease intangibles, net (3)	(286)		(350)		(353)

 ______________________________________________________

(1)Reflected within depreciation and amortization expense.

(2)Reflected within rental revenue.

(3)Reflected within property expenses.

Schedule of Projected Amortization Expenses for Next Five Years

The following table provides the estimated amortization of in-place lease assets to be recognized as a component of depreciation and amortization expense for the next five years and thereafter:

(in thousands)	In-Place Lease Assets
2024	$	5,854
2025	4,564
2026	4,260
2027	3,731
2028	3,192
Thereafter	20,583
Total	$	42,184

The following table provides the estimated net amortization of above- and below-market lease intangibles to be recognized as a component of rental revenue for the next five years and thereafter:

(in thousands)	Above Market Lease Asset		Below Market Lease Liabilities		Net Adjustment to Rental Revenue
2024	$	(667)	$	699	$	32
2025	(659)		701		42
2026	(649)		705		56
2027	(627)		729		102
2028	(385)		684		299
Thereafter	(2,686)		7,688		5,002
Total	$	(5,673)	$	11,206	$	5,533

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Leases (Tables)

12 Months Ended

Dec. 31, 2023

Leases [Abstract]

Schedule of Future Minimum Base Rental Payments due to be Received Under Remaining Non-Cancelable Term of Operating Leases

Scheduled future minimum base rental payments due to be received under the remaining non-cancelable term of the operating leases in place as of December 31, 2023 were as follows:

(in thousands)	Future Minimum Base Rental Receipts
2024	$	367,658
2025	372,511
2026	375,862
2027	377,320
2028	378,407
Thereafter	4,031,616
Total	$	5,903,374

Schedule of Components of Fixed and Variable Lease Revenues

The Company recorded the following amounts as contingent rent, which are included as a component of rental revenue in the Company's consolidated statements of operations, during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Contingent rent	$	743	$	682	$	721

The Company recorded the following adjustments as increases or decreases to rental revenue for tenant credit during the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Adjustment to (decrease) increase rental revenue for tenant credit	$	(640)	$	(371)	$	2,900

The fixed and variable components of lease revenues for the years ended December 31, 2023, 2022, and 2021 were as follows:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed lease revenues	$	338,720	$	270,694	$	210,441
Variable lease revenues (1)	3,610		1,632		1,708
Total lease revenues (2)	$	342,330	$	272,326	$	212,149

_____________________________________

(1)Includes contingent rent based on a percentage of the tenant’s gross sales and costs paid by the Company for which it is reimbursed by its tenants.

(2)Excludes the amortization and accretion of above- and below-market lease intangible assets and liabilities and lease incentives and the adjustment to rental revenue for tenant credit.

Schedule of Information Related to Measurement of Lease Liabilities

The following table sets forth information related to the measurement of the Company's lease liabilities as of the dates presented:

	December 31, 2023	December 31, 2022
Weighted average remaining lease term (in years)	22.8	22.9
Weighted average discount rate	6.75%	6.09%

Schedule of Rent Expense

The following table sets forth the details of rent expense for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
Fixed rent expense - Ground Rent	$	970	$	981	$	957
Fixed rent expense - Office Rent	606		511		510
Variable rent expense	—		—		—
Total rent expense	$	1,576	$	1,492	$	1,467

Schedule of Future Lease Payments Due from Company Under Ground, Office and Equipment Operating Leases (ASC 842)

As of December 31, 2023, future lease payments due from the Company under the ground, office and equipment operating leases where the Company is directly responsible for payment and the future lease payments due under the ground operating leases where the Company's tenants are directly responsible for payment over the next five years and thereafter were as follows:

(in thousands)	Office and Equipment Leases		Ground Leases to be Paid by the Company		Ground Leases to be Paid Directly by the Company’s Tenants		Total Future Minimum Base Rental Payments
2024	$	704	$	28	$	909	$	1,641
2025	733		—		834		1,567
2026	217		—		840		1,057
2027	219		—		854		1,073
2028	224		—		738		962
Thereafter	57		—		18,002		18,059
Total	$	2,154	$	28	$	22,177	24,359
Present value discount							(14,582)
Lease liabilities							$	9,777

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Long Term Debt (Tables)

12 Months Ended

Dec. 31, 2023

Debt Disclosure [Abstract]

Schedule of Outstanding Indebtedness

The following table summarizes the Company's outstanding indebtedness as of December 31, 2023 and 2022:

		Principal Outstanding				Weighted Average Interest Rate (1)
(in thousands)	Maturity Date	December 31, 2023		December 31, 2022		December 31, 2023	December 31, 2022
Unsecured term loans:
2024 Term Loan	April 2024	$	—	$	200,000	—%	5.3%
2027 Term Loan	February 2027	430,000		430,000		6.3%	5.3%
2028 Term Loan	January 2028	400,000		400,000		6.3%	5.3%
2029 Term Loan	February 2029 (2)	450,000		—		6.4%	—%
Senior unsecured notes	July 2031	400,000		400,000		3.0%	3.0%
Revolving Credit Facility	February 2026	—		—		—%	—%
Total principal outstanding		$	1,680,000	$	1,430,000	5.5%	4.6%

______________________________________________________

(1)Interest rates are presented as stated in debt agreements and do not reflect the impact of the Company's interest rate swap and lock agreements, where applicable (see Note 6—Derivative and Hedging Activities).

(2)After giving effect to extension options exercisable at the Operating Partnership's election.

The following table presents information about the Revolving Credit Facility for the periods presented:

(in thousands)	2023		2022		2021
Balance on January 1,	$	—	$	144,000	$	18,000
Borrowings	70,000		299,000		393,000
Repayments	(70,000)		(443,000)		(267,000)
Balance on December 31,	$	—	$	—	$	144,000

The following table presents information about interest expense related to the Revolving Credit Facility for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense and fees	$	1,038	$	2,807	$	1,552
Amortization of deferred financing costs	1,203		1,217		1,165
Total	$	2,241	$	4,024	$	2,717

The following table presents information about aggregate interest expense related to the 2024 Term Loan, 2027 Term Loan, 2028 Term Loan and 2029 Term Loan:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	66,582	$	23,967	$	9,819
Amortization of deferred financing costs	1,617		836		736
Total	$	68,199	$	24,803	$	10,555

The following is a summary of the senior unsecured notes outstanding as of December 31, 2023 and 2022:

(dollars in thousands)	Maturity Date	Interest Payment Dates	Stated Interest Rate		Principal Outstanding
2031 Notes	July 15, 2031	January 15 and July 15	2.95	%	$	400,000

The following table presents information about interest expense related to the Company's senior unsecured notes for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Interest expense	$	11,713	$	11,711	$	5,952
Amortization of deferred financing costs and original issue discount	560		562		295
Total	$	12,273	$	12,273	$	6,247

Schedule of Scheduled Principal Payments

The following table summarizes the scheduled principal payments on the Company’s outstanding indebtedness as of December 31, 2023:

(in thousands)	2027 Term Loan		2028 Term Loan		2029 Term Loan(1)		Senior Unsecured Notes		Revolving Credit Facility(2)		Total
2024	$	—	$	—	$	—	$	—	$	—	$	—
2025	—		—		—		—		—		—
2026	—		—		—		—		—		—
2027	430,000		—		—		—		—		430,000
2028	—		400,000		—		—		—		400,000
Thereafter	—		—		450,000		400,000		—		850,000
Total	$	430,000	$	400,000	$	450,000	$	400,000	$	—	$	1,680,000

______________________

(1)    After giving effect to extension options exercisable at the Operating Partnership's election.

(2)    Any amounts drawn will be due in February 2026.

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Derivative and Hedging Activities (Tables)

12 Months Ended

Dec. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amount and Fair Value of Instruments

The following table summarizes the notional amount at inception and fair value of these instruments on the Company's balance sheets as of December 31, 2023 and 2022 (dollar amounts in thousands):

						Fair Value of Asset/(Liability)(2)
Derivatives Designated as Hedging Instruments	Fixed Rate Paid by Company	Effective Date	Maturity Date	Notional Value (1)		December 31, 2023		December 31, 2022
Interest Rate Swap (3)	1.96%	5/14/2019	4/12/2024	$	100,000	$	981	$	3,545
Interest Rate Swap (3)	1.95%	5/14/2019	4/12/2024	50,000		492		1,781
Interest Rate Swap (3)	1.94%	5/14/2019	4/12/2024	50,000		492		1,777
Interest Rate Swap (3)	1.52%	12/9/2019	11/26/2026	175,000		10,654		14,685
Interest Rate Swap (3)	1.51%	12/9/2019	11/26/2026	50,000		3,077		4,248
Interest Rate Swap (3)	1.49%	12/9/2019	11/26/2026	25,000		1,542		2,120
Interest Rate Swap (3)	1.26%	7/9/2020	11/26/2026	100,000		6,810		9,324
Interest Rate Swap (3)	1.28%	7/9/2020	11/26/2026	80,000		5,406		7,418
Interest Rate Swap	3.19%	9/26/2022	1/25/2028	50,000		688		1,166
Interest Rate Swap	3.35%	9/26/2022	1/25/2028	50,000		383		804
Interest Rate Swap	3.36%	9/26/2022	1/25/2028	25,000		180		387
Interest Rate Swap	3.43%	9/26/2022	1/25/2028	50,000		226		612
Interest Rate Swap	3.71%	9/26/2022	1/25/2028	50,000		(290)		(12)
Interest Rate Swap	3.70%	9/26/2022	1/25/2028	25,000		(144)		(15)
Interest Rate Swap	4.00%	10/26/2022	1/25/2028	50,000		(851)		(693)
Interest Rate Swap	3.95%	11/28/2022	1/25/2028	25,000		(378)		(293)
Interest Rate Swap	4.03%	11/28/2022	1/25/2028	25,000		(459)		(396)
Interest Rate Swap	4.06%	11/28/2022	1/25/2028	25,000		(485)		(427)
Interest Rate Swap	4.07%	11/28/2022	1/25/2028	25,000		(492)		(428)
Interest Rate Swap	4.15%	8/24/2023	2/28/2029	50,000		(1,550)		—
Interest Rate Swap	4.38%	9/29/2023	2/28/2029	75,000		(3,193)		—
Interest Rate Swap	4.39%	9/29/2023	2/28/2029	50,000		(2,114)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(981)		—
Interest Rate Swap	4.32%	10/11/2023	2/28/2029	25,000		(980)		—
Interest Rate Swap	4.51%	10/31/2023	2/28/2029	25,000		(1,207)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,919)		—
Interest Rate Swap(4)	4.48%	4/12/2024	2/28/2029	100,000		(4,913)		—
				$	1,480,000	$	7,975	$	45,603

 _____________________________________

(1)Notional value indicates the extent of the Company’s involvement in these instruments, but does not represent exposure to credit, interest rate or market risks.

(2)Derivatives in an asset position are included within derivative assets and derivatives in a liability position are included within derivative liabilities in the Company's consolidated balance sheets.

(3)In June 2022, the Company converted the reference rate used in these interest rate swaps from 1-month LIBOR to 1-month Adjusted Term SOFR.

(4)The Company entered into two forward swap contracts during the year ended December 31, 2023.

Schedule of Accumulated Other Comprehensive Income (Loss)

The following table presents amounts recorded to accumulated other comprehensive income related to derivative and hedging activities for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Other comprehensive (loss) income	$	(36,874)	$	56,762	$	22,508

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Equity (Tables)

12 Months Ended

Dec. 31, 2023

Equity [Abstract]

Schedule of At the Market Program

The following table presents information about the 2022 ATM Program and the Company's prior ATM Programs:

Program Name	Date Established	Date Terminated	Maximum Sales Authorization		Gross Sales through December 31, 2023
2019 ATM Program	August 2019	June 2020	$	200,000	$	184,400
2020 ATM Program	June 2020	July 2021	$	250,000	$	166,800
2021 ATM Program	July 2021	May 2022	$	350,000	$	348,140
2022 ATM Program (1)	May 2022		$	500,000	$	220,643

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

The following table details information related to activity under the ATM Program for each period presented:

	Year ended December 31,
(in thousands, except share and per share data)	2023		2022		2021
Shares of common stock sold (1)(2)	5,931,654		9,794,137		10,005,890
Weighted average sale price per share	$	24.48	$	24.00	$	27.58
Gross proceeds	$	145,224	$	235,060	$	275,972
Net proceeds	$	142,922	$	232,478	$	271,949

_____________________________________

(1)Includes 1,937,450 shares that the Company sold on a forward basis and were not physically settled as of December 31, 2023.

(2)During the year ended December 31, 2023, the Company issued an additional 957,453 shares of common stock which were previously sold on a forward basis under the ATM Program and were unsettled as of December 31, 2022.

Schedule of Quarterly Cash Dividends

During the years ended December 31, 2023, 2022 and 2021, the Company's board of directors declared the following quarterly cash dividends on common stock: 

Date Declared	Record Date	Date Paid	Dividend per Share of Common Stock		Total Dividend (dollars in thousands)
December 1, 2023	December 29, 2023	January 12, 2024	$	0.285	$	47,024
September 7, 2023	September 29, 2023	October 13, 2023	$	0.28	$	43,788
June 9, 2023	June 30, 2023	July 14, 2023	$	0.28	$	43,551
March 7, 2023	March 31, 2023	April 14, 2023	$	0.275	$	41,031
November 30, 2022	December 30, 2022	January 13, 2023	$	0.275	$	39,246
September 2, 2022	September 30, 2022	October 14, 2022	$	0.27	$	38,533
June 2, 2022	June 30, 2022	July 14, 2022	$	0.27	$	35,916
March 14, 2022	March 31, 2022	April 13, 2022	$	0.26	$	34,188
December 3, 2021	December 31, 2021	January 13, 2022	$	0.26	$	32,466
September 2, 2021	September 30, 2021	October 14, 2021	$	0.25	$	30,397
May 27, 2021	June 30, 2021	July 15, 2021	$	0.25	$	29,559
March 5, 2021	March 31, 2021	April 15, 2021	$	0.24	$	26,265

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Equity Based Compensation (Tables)

12 Months Ended

Dec. 31, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Information about RSAs and RSUs Units

The following table presents information about the Company's RSAs and RSUs during the years ended December 31, 2023, 2022 and 2021:

	Restricted Stock Awards			Restricted Stock Units
	Shares	Wtd. Avg. Grant Date Fair Value		Units	Wtd. Avg. Grant Date Fair Value
Unvested, January 1, 2021	240,598	$	13.73	321,602	$	25.27
Granted	—	—		213,686	31.78
Vested	(221,694)	13.70		(72,879)	18.83
Forfeited	—	—		(7,717)	23.52
Unvested, December 31, 2021	18,904	$	14.12	454,692	$	29.39
Unvested, January 1, 2022	18,904	$	14.12	454,692	$	29.39
Granted	—	—		607,347	29.08
Vested	(9,865)	14.12		(243,640)	25.70
Forfeited	—	—		(1,019)	27.25
Unvested, December 31, 2022	9,039	$	14.12	817,380	$	30.26
Unvested, January 1, 2023	9,039	$	14.12	817,380	$	30.26
Granted	—	—		457,859	31.39
Vested	(9,039)	14.12		(436,967)	26.98
Forfeited	—	—		(94,419)	32.79
Unvested, December 31, 2023	—	$	14.12	743,853	$	32.56

The following table presents information about the Company's RSAs for the periods presented: 

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	2	$	128	$	1,548
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	—		8		70
Fair value of shares vested during the period	128		139		3,037

The following table presents information about the Company's RSUs for the periods presented:

	Year ended December 31,
(in thousands)	2023		2022		2021
Compensation cost recognized in general and administrative expense	$	9,002	$	9,361	$	4,135
Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings	407		366		241
Fair value of units vested during the period	11,791		6,262		1,372

Schedule of Unrecognized Compensation Cost

The following table presents information about the Company's RSAs as of the dates presented: 

	December 31,
(Dollars in thousands)	2023		2022		2021
Total unrecognized compensation cost	$	—	$	2	$	130
Weighted average period over which compensation cost will be recognized (in years)	—		0.1		1.0

The following table presents information about the Company's RSUs as of the dates presented:

	December 31,
(Dollars in thousands)	2023		2022
Total unrecognized compensation cost	$	13,131	$	13,761
Weighted average period over which compensation cost will be recognized (in years)	2.2		2.8

Schedule of Assumptions Used in Measurement of Grant Date Fair Value of Total Shareholder Return RSUs Using Monte Carlo Simulation Model

The grant date fair value of the TSR RSUs was measured using a Monte Carlo simulation model based on the following assumptions:

	Grant Year
	2023	2022	2021
Volatility	37%	54%	55%
Risk free rate	4.36%	1.68%	0.20%

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Net Income Per Share (Tables)

12 Months Ended

Dec. 31, 2023

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following is a reconciliation of the numerator and denominator used in the computation of basic and diluted net income per share (dollars in thousands):

	Year ended December 31,
(dollar amounts in thousands)	2023		2022		2021
Numerator for basic and diluted earnings per share:
Net income	$	191,415	$	134,742	$	96,211
Less: net income attributable to non-controlling interests	(708)		(612)		(486)
Less: net income allocated to unvested RSAs and RSUs	(407)		(374)		(311)
Net income available for common stockholders: basic	190,300		133,756		95,414
Net income attributable to non-controlling interests	708		612		486
Net income available for common stockholders: diluted	$	191,008	$	134,368	$	95,900
Denominator for basic and diluted earnings per share:
Weighted average common shares outstanding	152,140,896		134,950,418		116,479,322
Less: weighted average number of shares of unvested RSAs	(161)		(9,230)		(121,263)
Weighted average shares outstanding used in basic net income per share	152,140,735		134,941,188		116,358,059
Effects of dilutive securities: (1)
OP Units	553,847		553,847		553,847
Unvested RSAs and RSUs	421,292		356,044		554,432
Forward sales	405,980		4,837		—
Weighted average shares outstanding used in diluted net income per share	153,521,854		135,855,916		117,466,338

_____________________________________

(1)Excludes the impact of 179,807 and 171,059 unvested RSUs and unsettled forward equity sales for the years ended December 31, 2023 and 2022, respectively, as the effect would have been antidilutive.

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Commitment and Contingencies (Tables)

12 Months Ended

Dec. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Schedule of Matching Contributions for Defined Contribution Retirement Savings Plan

The following table presents the matching contributions made by the Company for the years ended December 31, 2023, 2022 and 2021:

	Year ended December 31,
(in thousands)	2023		2022		2021
401(k) matching contributions	$	331	$	318	$	205

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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2023

Fair Value Disclosures [Abstract]

Schedule of Fair Values of Financial Assets Measured at Recurring Basis

The fair values of these financial assets and liabilities were determined using the following input levels as of the dates presented: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Financial assets:
Senior unsecured notes (1)	$	395,846	$	315,336	$	315,336	$	—	$	—
Interest rate swaps	7,975		7,975		—		7,975		—
December 31, 2022
Financial assets:
Senior unsecured notes (1)	$	395,286	$	292,120	$	292,120	$	—	$	—
Interest rate swaps	45,603		45,603		—		45,603		—

_____________________________________

(1)Carrying value is net of $3.6 million and $4.0 million of net deferred financing costs and $0.6 million and $0.7 million of net discount as of December 31, 2023 and 2022, respectively.

Schedule of Fair Values of Real Estate Investments Measured at Nonrecurring Basis

The fair values of real estate investments that were impaired as of the dates presented were determined using the following input levels: 

	Net Carrying Value				Fair Value Measurements Using Fair Value Hierarchy
(in thousands)			Fair Value		Level 1		Level 2		Level 3
December 31, 2023
Non-financial assets:
Long-lived assets	$	4,510	$	4,510	$	—	$	—	$	4,510
December 31, 2022
Non-financial assets:
Long-lived assets	$	12,144	$	12,144	$	—	$	—	$	12,144

Schedule of Quantitative Information about Level 3 Fair Value Measurements

Quantitative information about Level 3 fair value measurements as of December 31, 2023 is as follows:

(dollar amounts in thousands)	Fair Value		Valuation Techniques	Significant Unobservable Inputs
Non-financial assets:
Long-lived assets
Convenience store	$	1,500	Sales comparison approach	Non-binding sales agreement	$	1,500
Pet care services	2,139		Sales comparison approach	Binding sales agreement	2,139
Quick service restaurant	871		Discounted cash flow approach	Terminal value: 8.0% Discount rate: 8.5%	871

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Summary of Significant Accounting Policies - Additional Information (Details)		12 Months Ended
		Dec. 31, 2023 USD ($) segment option	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Number of reportable segments | segment		1
Cash and cash equivalents		$ 39,807,000	$ 62,345,000	$ 59,758,000
Cash and cash equivalents in excess of amount insured by FDIC		39,600,000	62,100,000
Capitalized offering costs		91,300,000	90,300,000
Unrecognized tax positions		0	0
Unrecognized tax positions, interest and penalties		0	0
Liabilities	[1]	$ 1,781,259,000	$ 1,503,262,000
Operating Lease, Lease Income, Statement of Income or Comprehensive Income [Extensible Enumeration]		Rental revenue	Rental revenue	Rental revenue
Variable Interest Entity Not Primary Beneficiary | Mortgage Receivable
Summary Of Significant Accounting Policies [Line Items]
Liabilities		$ 0	$ 0
Buildings
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life		40 years
Site improvements
Summary Of Significant Accounting Policies [Line Items]
Estimated useful life		15 years
Minimum
Summary Of Significant Accounting Policies [Line Items]
Lease-up period		6 months
Number of multi-year renewal options | option		1
Maximum
Summary Of Significant Accounting Policies [Line Items]
Lease-up period		12 months
Operating Partnership Unit
Summary Of Significant Accounting Policies [Line Items]
Percentage of ownership interests in operating partnership (as a percent)		99.70%	99.60%

[1] The Company's consolidated balance sheets include assets and liabilities of consolidated variable interest entities ("VIEs"). See Note 2—Summary of Significant Accounting Policies. As of December 31, 2023 and 2022, all of the assets and liabilities of the Company were held by its operating partnership, a consolidated VIE, with the exception of $47.0 million and $39.2 million, respectively, of dividends payable.

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Summary of Significant Accounting Policies - Schedule of Depreciation on Real Estate Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Depreciation on real estate investments	$ 95,527	$ 80,647	$ 61,171

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Summary of Significant Accounting Policies - Schedule of Provisions for Impairment of Long Lived Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Provision for impairment of real estate	$ 3,548	$ 20,164	$ 6,120

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Summary of Significant Accounting Policies - Schedule of Contingent Rent (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Contingent rent	$ 743	$ 682	$ 721

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Summary of Significant Accounting Policies - Schedule of Adjustment to Rental Revenue for Tenant Credit (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Adjustment to (decrease) increase rental revenue for tenant credit	$ (640)	$ (371)	$ 2,900

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Summary of Significant Accounting Policies - Schedule of Mortgage Loan-Related VIEs (Details) $ in Thousands	Dec. 31, 2023 USD ($) entity	Dec. 31, 2022 USD ($) entity
Variable Interest Entity [Line Items]
Aggregate carrying value	$ 223,854	$ 240,035
Mortgage Receivable | Variable Interest Entity Not Primary Beneficiary
Variable Interest Entity [Line Items]
Number of VIEs | entity	21	21
Aggregate carrying value	$ 219,449	$ 233,351

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Investments - Schedule of Real Estate Investment Portfolio (Details) - property	Dec. 31, 2023	Dec. 31, 2022
Investments [Abstract]
Owned properties	1,726	1,489
Properties securing investments in mortgage loans	136	153
Ground lease interests	11	11
Total number of investments	1,873	1,653

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Investments - Schedule of Real Estate Investment Portfolio, Footnotes (Details)	Dec. 31, 2023 loan property	Dec. 31, 2022 loan property
Investments [Abstract]
Number of properties owned as direct financing receivables | property	6	8
Number of mortgage loans receivable | loan	20	20

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Investments - Schedule of Gross Investments (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Investments [Abstract]
Real estate investments, at cost	$ 4,683,937	$ 3,810,570
Loans and direct financing lease receivables, net	223,854	240,035
Real estate investments held for sale, net	7,455	4,780	$ 15,434
Total gross investments	$ 4,915,246	$ 4,055,385	$ 3,355,561	$ 2,528,673

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Investments - Schedule of Information about Investment Activity (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 USD ($) property
Investments [Abstract]
Number of properties | property	291	224
Purchase price allocation:
Land and improvements	$ 354,331	$ 270,049
Building and improvements	539,062	481,560
Construction in progress	105,075	51,870
Intangible lease assets	2,553	3,366
Total purchase price	1,001,021	806,845
Intangible lease liabilities	(181)	0
Purchase price (including acquisition costs)	$ 1,000,840	$ 806,845

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Investments - Schedule of Information about Investment Activity, Footnotes (Details) $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 USD ($) property
Investments [Abstract]
Number of properties acquired, fee interest	289	223
Number of properties acquired, subject to ground lease	2	1
Capitalized interest expense | $	$ 2.4	$ 0.8

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Investments - Additional Information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) investment loan option	Dec. 31, 2022 USD ($) loan investment	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Schedule of Investments [Line Items]
Number of acquisitions individually represented more than five percentage of total investment activity | investment	0	0
Number of loan receivable agreements secured | loan	20	23
Number of loan receivable agreements secured by lease | loan	2	3
Aggregate carrying value of loans	$ 223,100	$ 238,700
Credit risk, maximum exposure	223,100
Net investments accounted for as direct financing lease receivables	1,435	2,106
Allowance for loan losses	$ 666	$ 765	$ 814	$ 1,018
Minimum
Schedule of Investments [Line Items]
Number of renewal options | option	1

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Investments - Summary of Gross Investment Activity (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) investmentLocation	Dec. 31, 2022 USD ($) investmentLocation	Dec. 31, 2021 USD ($) investmentLocation
Number of Investment Locations
Beginning balance | investmentLocation	1,653	1,451	1,181
Acquisitions of and additions to real estate investments | investmentLocation	291	224	297
Sales of investments in real estate | investmentLocation	(51)	(54)	(38)
Relinquishment of properties at end of ground lease term | investmentLocation	(2)
Investments in loans receivable | investmentLocation	2	75	49
Principal collections on and settlements of loans and direct financing lease receivables | investmentLocation	(20)	(43)	(38)
Ending balance | investmentLocation	1,873	1,653	1,451
Dollar Amount of Investments
Beginning balance	$ 4,055,385	$ 3,355,561	$ 2,528,673
Acquisitions of and additions to real estate investments	1,004,075	810,661	853,798
Sales of investments in real estate	(120,809)	(138,515)	(57,154)
Relinquishment of properties at end of ground lease term	(1,543)
Provisions for impairment of real estate	(3,548)	(20,164)	(6,120)
Investments in loans receivable	13,091	143,954	137,351
Principal collections on and settlements of loans and direct financing lease receivables	(27,908)	(93,118)	(100,488)
Other	(3,497)	(2,994)	(499)
Ending balance	4,915,246	4,055,385	$ 3,355,561
Less: accumulated depreciation and amortization	(367,133)	(276,307)
Net investments	$ 4,548,113	$ 3,779,078

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Investments - Summary of Gross Investment Activity, Footnotes (Details) $ in Millions	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 property	Dec. 31, 2021 property
Real Estate Properties [Line Items]
Number of property locations of investments	1,873	1,653
Accumulated depreciation | $	$ 321.9
Vacant Properties
Real Estate Properties [Line Items]
Number of property locations of investments	2	4	2
Tenanted Properties
Real Estate Properties [Line Items]
Number of property locations of investments	6	9	16

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Investments - Schedule of Loans Receivable (Details) $ in Thousands	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Principal balance outstanding	$ 223,085	$ 238,695
Mortgage Receivables 8.00% Due 2039
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.80%
Stated Interest Rate	8.00%
Principal balance outstanding	$ 12,000	12,000
Mortgage Receivables 7.75% Due 2039
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.53%
Stated Interest Rate	7.75%
Principal balance outstanding	$ 7,300	7,300
Mortgage Receivables 7.33% Due 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	69
Effective Interest Rate	7.79%
Stated Interest Rate	7.33%
Principal balance outstanding	$ 51,000	51,000
Mortgage Receivables 7.65% Due 2040
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.42%
Stated Interest Rate	7.65%
Principal balance outstanding	$ 5,300	5,300
Mortgage Receivables 8.50% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.54%
Stated Interest Rate	8.50%
Principal balance outstanding	$ 1,785	2,324
Mortgage Receivables 7.00% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.00%
Stated Interest Rate	7.00%
Principal balance outstanding	$ 500	600
Mortgage Receivables 8.25% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.30%
Stated Interest Rate	8.25%
Principal balance outstanding	$ 994	3,146
Mortgage Receivables 6.40% Due 2036
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	6.87%
Stated Interest Rate	6.40%
Principal balance outstanding	$ 2,520	2,520
Mortgage Receivables 7.00% Due 2036
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	0
Effective Interest Rate	7.51%
Stated Interest Rate	7.00%
Principal balance outstanding	$ 0	2,673
Mortgage Receivables 8.25% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	2
Effective Interest Rate	8.29%
Stated Interest Rate	8.25%
Principal balance outstanding	$ 2,389	2,389
Mortgage Receivables 8.06% Due 2051
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.96%
Stated Interest Rate	8.06%
Principal balance outstanding	$ 24,100	24,100
Mortgage Receivables 7.10% Due 2036
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	0
Effective Interest Rate	7.44%
Stated Interest Rate	7.10%
Principal balance outstanding	$ 0	9,808
Mortgage Receivables 6.80% Due 2036
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	7
Effective Interest Rate	7.30%
Stated Interest Rate	6.80%
Principal balance outstanding	$ 35,474	35,474
Mortgage Receivables 7.20% Due 2036
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.73%
Stated Interest Rate	7.20%
Principal balance outstanding	$ 2,470	2,470
Mortgage Receivables 8.00% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.00%
Stated Interest Rate	8.00%
Principal balance outstanding	$ 1,754	1,754
Mortgage Receivables 7.00% Due 2027
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	26
Effective Interest Rate	7.00%
Stated Interest Rate	7.00%
Principal balance outstanding	$ 17,494	26,307
Mortgage Receivables 7.20% Due 2037
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	7.73%
Stated Interest Rate	7.20%
Principal balance outstanding	$ 3,600	3,600
Mortgage Receivables 8.25% Due 2024
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.30%
Stated Interest Rate	8.25%
Principal balance outstanding	$ 760	760
Mortgage Receivables 8.05% Due 2037
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	4
Effective Interest Rate	8.64%
Stated Interest Rate	8.05%
Principal balance outstanding	$ 12,250	12,250
Mortgage Receivables 8.25% Due 2037
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	9
Effective Interest Rate	8.85%
Stated Interest Rate	8.25%
Principal balance outstanding	$ 25,993	28,938
Mortgage Receivables 8.25% Due 2038
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.83%
Stated Interest Rate	8.25%
Principal balance outstanding	$ 10,200	0
Mortgage Receivables 8.10% Due 2025
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	8.10%
Stated Interest Rate	8.10%
Principal balance outstanding	$ 2,891	0
Leasehold Interest 2.25% Due 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	2.25%
Principal balance outstanding	$ 929	992
Leasehold Interest 2.41% Due 2034
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	1
Effective Interest Rate	2.41%
Principal balance outstanding	$ 1,382	1,473
Leasehold Interest 4.97% Due 2038
Accounts, Notes, Loans and Financing Receivable [Line Items]
Number of Secured Properties | property	0
Effective Interest Rate	4.97%
Principal balance outstanding	$ 0	$ 1,517

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Investments - Scheduled of Principal Payments Due under Loans Receivable (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Investments [Abstract]
2024	$ 8,346
2025	3,063
2026	181
2027	17,684
2028	199
Thereafter	193,612
Total	$ 223,085	$ 238,695

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Investments - Schedule of Direct Financing Lease Receivables (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Investments [Abstract]
Minimum lease payments receivable	$ 1,709	$ 2,812
Estimated unguaranteed residual value of leased assets	251	251
Unearned income from leased assets	(525)	(957)
Net investment	$ 1,435	$ 2,106

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Investments - Scheduled Future Minimum Non-Cancelable Base Rental Payments Under Direct Financing Lease Receivables (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Investments [Abstract]
2024	$ 210
2025	178
2026	167
2027	143
2028	145
Thereafter	866
Total	$ 1,709

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Investments - Summary of Changes to Allowance for Credit Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance at beginning of period	$ 765	$ 814	$ 1,018
Current period provision for expected credit losses	(99)	88	(204)
Write-offs charged	0	(137)	0
Recoveries	0	0	0
Balance at end of period	$ 666	$ 765	$ 814

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Investments - Summary of Significant Credit Quality Indicators Measured at Amortized Cost (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Financing Receivable, Credit Quality Indicator [Line Items]
2023	$ 13,091
2022	94,611
2021	58,687
2020	8,466
Prior to 2020	49,665
Total Amortized Cost Basis	224,520
LTV less than 60%
Financing Receivable, Credit Quality Indicator [Line Items]
2023	0
2022	23,000
2021	0
2020	0
Prior to 2020	28,986
Total Amortized Cost Basis	51,986
LTV 60%-70%
Financing Receivable, Credit Quality Indicator [Line Items]
2023	0
2022	0
2021	28,734
2020	0
Prior to 2020	0
Total Amortized Cost Basis	28,734
LTV greater than 70%
Financing Receivable, Credit Quality Indicator [Line Items]
2023	13,091
2022	71,611
2021	29,953
2020	8,466
Prior to 2020	20,679
Total Amortized Cost Basis	$ 143,800

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Investments - Activity in Real Estate Investments and Intangible Lease Liabilities Held for Sale (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 USD ($) property
Number of Properties
Beginning balance | property	4	9
Transfers to held for sale classification | property	10	11
Sales | property	(9)	(16)
Transfers to held and used classification | property	(1)	0
Ending balance | property	4	4
Real Estate Investments
Beginning balance	$ 4,780	$ 15,434
Transfers to held for sale classification	19,311	28,393
Sales	(16,067)	(39,047)
Transfers to held and used classification	(569)	0
Ending balance	7,455	4,780
Intangible Lease Liabilities
Beginning balance	0	0
Transfers to held for sale classification	0	0
Sales	0	0
Transfers to held and used classification	0	0
Ending balance	0	0
Net Carrying Value
Beginning balance	4,780	15,434
Transfers to held for sale classification	19,311	28,393
Sales	(16,067)	(39,047)
Transfers to held and used classification	(569)	0
Ending balance	$ 7,455	$ 4,780

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Investments - Schedule of External Customers by Geographic Areas (Details)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Rental Revenue | Texas | Geographic Concentration Risk
Concentration Risk [Line Items]
Concentration risk percentage (as a percent)	13.30%	13.50%	13.10%

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Investments - Schedule of Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross carrying amount	$ 89,209	$ 88,364
Intangible assets, accumulated amortization	41,352	35,134
Intangible assets, net carrying amount	47,857	53,230
Intangible market lease liabilities, gross carrying amount	15,505	15,325
Intangible market lease liabilities, accumulated amortization	4,299	3,774
Intangible market lease liabilities, net carrying amount	11,206	11,551
In-place leases
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross carrying amount	78,080	77,096
Intangible assets, accumulated amortization	35,896	30,217
Intangible assets, net carrying amount	42,184	46,879
Intangible market lease assets
Finite-Lived Intangible Assets [Line Items]
Intangible assets, gross carrying amount	11,129	11,268
Intangible assets, accumulated amortization	5,456	4,917
Intangible assets, net carrying amount	$ 5,673	$ 6,351

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Investments - Summary of Remaining Weighted Average Amortization Periods for Intangible Assets and Liabilities (Details)	12 Months Ended
	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Years remaining, intangible assets	8 years 8 months 12 days
Years remaining, intangible market lease liabilities	8 years 8 months 12 days
In-place leases
Finite-Lived Intangible Assets [Line Items]
Years remaining, in-place leases	8 years 6 months
Intangible market lease assets
Finite-Lived Intangible Assets [Line Items]
Years remaining, intangible assets	10 years 4 months 24 days

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Investments - Summary of Amortization and Accretion Recognized (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization of in-place leases	$ 6,408	$ 7,575	$ 7,544
Market Lease Intangibles | Rental Revenue
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization (accretion) of market lease intangibles, net	11	(217)	(47)
Above and Below Market Ground Lease Intangibles | Property Expenses
Amortization of In-Place Leases, Amortization and Accretion of Above- and Below-Market Lease Assets and Liabilities [Line Items]
Amortization (accretion) of above- and below-market ground lease intangibles, net	$ (286)	$ (350)	$ (353)

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Investments - Summary of Projected Amortization Expenses for Next Five Years (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Below Market Lease Liabilities
2024	$ 699
2025	701
2026	705
2027	729
2028	684
Thereafter	7,688
Total	11,206
Net Adjustment to Rental Revenue
2024	32
2025	42
2026	56
2027	102
2028	299
Thereafter	5,002
Total	5,533
In-place leases
Intangible Assets
2024	5,854
2025	4,564
2026	4,260
2027	3,731
2028	3,192
Thereafter	20,583
Total	42,184
Above Market Lease Asset
Intangible Assets
2024	667
2025	659
2026	649
2027	627
2028	385
Thereafter	2,686
Total	$ 5,673

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Leases - Additional Information (Details) $ in Thousands	Dec. 31, 2023 USD ($) option	Dec. 31, 2022 USD ($)
Lessor, Lease, Description [Line Items]
ROU assets	$ 8,900	$ 7,300
Lease liabilities	$ 9,777	$ 9,000
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Rent receivables, prepaid expenses and other assets, net	Rent receivables, prepaid expenses and other assets, net
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration]	Accrued liabilities and other payables	Accrued liabilities and other payables
Minimum
Lessor, Lease, Description [Line Items]
Number of renewal options | option	1

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Leases - Scheduled Future Minimum Base Rental Payments due to be Received Under Remaining Non-Cancelable Term of Operating Leases (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Leases [Abstract]
2024	$ 367,658
2025	372,511
2026	375,862
2027	377,320
2028	378,407
Thereafter	4,031,616
Total	$ 5,903,374

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Leases - Components of Fixed and Variable Lease Revenues (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Leases [Abstract]
Fixed lease revenues	$ 338,720	$ 270,694	$ 210,441
Variable lease revenues	3,610	1,632	1,708
Total lease revenues	$ 342,330	$ 272,326	$ 212,149
Operating Lease, Lease Income, Statement of Income or Comprehensive Income [Extensible Enumeration]	Rental revenue	Rental revenue	Rental revenue

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Leases - Information Related to Measurement of Lease Liabilities (Details)	Dec. 31, 2023	Dec. 31, 2022
Leases [Abstract]
Weighted average remaining lease term (in years)	22 years 9 months 18 days	22 years 10 months 24 days
Weighted average discount rate	6.75%	6.09%

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Leases - Details of Rent Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Lessee, Lease, Description [Line Items]
Variable rent expense	$ 0	$ 0	$ 0
Total rent expense	1,576	1,492	1,467
Ground Rent
Lessee, Lease, Description [Line Items]
Fixed rent expense	970	981	957
Office Rent
Lessee, Lease, Description [Line Items]
Fixed rent expense	$ 606	$ 511	$ 510

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Leases - Summary of Future Lease Payments due from Company Under Ground, Office and Equipment Operating Leases (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Lessee, Lease, Description [Line Items]
2024	$ 1,641
2025	1,567
2026	1,057
2027	1,073
2028	962
Thereafter	18,059
Total	24,359
Present value discount	(14,582)
Lease liabilities	9,777	$ 9,000
Office and Equipment Leases
Lessee, Lease, Description [Line Items]
2024	704
2025	733
2026	217
2027	219
2028	224
Thereafter	57
Total	2,154
Ground Leases to be Paid by the Company
Lessee, Lease, Description [Line Items]
2024	28
2025	0
2026	0
2027	0
2028	0
Thereafter	0
Total	28
Ground Leases to be Paid Directly by the Company’s Tenants
Lessee, Lease, Description [Line Items]
2024	909
2025	834
2026	840
2027	854
2028	738
Thereafter	18,002
Total	$ 22,177

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Long Term Debt - Schedule of Long Term Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Principal Outstanding	$ 1,680,000	$ 1,430,000
Weighted-average interest rate (as a percent)	5.50%	4.60%
July 2031 Senior Notes | Senior Unsecured Notes
Debt Instrument [Line Items]
Principal Outstanding	$ 400,000	$ 400,000
Weighted-average interest rate (as a percent)	3.00%	3.00%
Unsecured term loans | 2024 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal Outstanding	$ 0	$ 200,000
Weighted-average interest rate (as a percent)	0.00%	5.30%
Unsecured term loans | 2027 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal Outstanding	$ 430,000	$ 430,000
Weighted-average interest rate (as a percent)	6.30%	5.30%
Unsecured term loans | 2028 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal Outstanding	$ 400,000	$ 400,000
Weighted-average interest rate (as a percent)	6.30%	5.30%
Unsecured term loans | 2029 Term Loan | Line of Credit
Debt Instrument [Line Items]
Principal Outstanding	$ 450,000	$ 0
Weighted-average interest rate (as a percent)	6.40%	0.00%
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
Principal Outstanding	$ 0	$ 0
Weighted-average interest rate (as a percent)	0.00%	0.00%

XML

Long Term Debt - Summary of Scheduled Principal Payments (Details) $ in Thousands	Dec. 31, 2023 USD ($)
Debt Instrument [Line Items]
2024	$ 0
2025	0
2026	0
2027	430,000
2028	400,000
Thereafter	850,000
Total	1,680,000
Senior Unsecured Notes
Debt Instrument [Line Items]
2024	0
2025	0
2026	0
2027	0
2028	0
Thereafter	400,000
Total	400,000
Unsecured term loans | 2027 Term Loan | Line of Credit
Debt Instrument [Line Items]
2024	0
2025	0
2026	0
2027	430,000
2028	0
Thereafter	0
Total	430,000
Unsecured term loans | 2028 Term Loan | Line of Credit
Debt Instrument [Line Items]
2024	0
2025	0
2026	0
2027	0
2028	400,000
Thereafter	0
Total	400,000
Unsecured term loans | 2029 Term Loan | Line of Credit
Debt Instrument [Line Items]
2024	0
2025	0
2026	0
2027	0
2028	0
Thereafter	450,000
Total	450,000
Revolving Credit Facility | Line of Credit
Debt Instrument [Line Items]
2024	0
2025	0
2026	0
2027	0
2028	0
Thereafter	0
Total	$ 0

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Long Term Debt - Revolving Credit Facility, 2024 Term Loan, 2028 Term Loan And 2029 Term Loan - Additional Information (Details)		1 Months Ended						12 Months Ended
	Apr. 12, 2019	Oct. 31, 2023 USD ($)	Sep. 30, 2023 USD ($)	Aug. 31, 2023 USD ($) option	Oct. 31, 2022 USD ($)	Jul. 31, 2022 USD ($)	Feb. 28, 2022 USD ($) option	Dec. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Apr. 30, 2019 USD ($)
Line of Credit Facility [Line Items]
Loss on debt extinguishment								$ 116,000	$ 2,138,000	$ 4,461,000
Revolving Credit Facility | Line of Credit
Line of Credit Facility [Line Items]
Total deferred finance costs, net								2,500,000	3,700,000
Line of credit facility, unused borrowing capacity								600,000,000	600,000,000
Revolving Credit Facility | Line of Credit | 2018 Credit Facility
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments											$ 300,000,000
Revolving Credit Facility | Line of Credit | Amended Credit Agreement
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments											400,000,000
Credit facility term	4 years
Extension term	6 months
Revolving Credit Facility | Line of Credit | Credit Agreement
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments							$ 600,000,000
Accordion feature to revolving credit commitment							$ 600,000,000
Loss on debt extinguishment									$ 100,000
Extension term							6 months
Number of extension options | option							2
Unsecured term loans | Line of Credit | 2024 Term Loan
Line of Credit Facility [Line Items]
Maximum additional availability of the facility											$ 200,000,000
Loss on debt extinguishment								$ 100,000
Unsecured term loans | Line of Credit | 2028 Term Loan
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments						$ 600,000,000
Proceeds from debt					$ 150,000,000	$ 250,000,000
Consolidated leverage ratio, maximum						0.35
Unsecured term loans | Line of Credit | 2028 Term Loan, Second Tranche
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments						$ 400,000,000
Unsecured term loans | Line of Credit | 2029 Term Loan
Line of Credit Facility [Line Items]
Aggregate revolving credit commitments				$ 450,000,000
Number of extension options | option				2
Proceeds from debt		$ 75,000,000	$ 125,000,000	$ 250,000,000
Unsecured term loans | Line of Credit | 2029 Term Loan | Line Of Credit, Extension Option One
Line of Credit Facility [Line Items]
Extension term				1 year
Unsecured term loans | Line of Credit | 2029 Term Loan | Line Of Credit, Extension Option Two
Line of Credit Facility [Line Items]
Extension term				6 months

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Long Term Debt - Summary of Information about Revolving Credit Facility (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Line of Credit Facility, Roll Forward [Roll Forward]
Beginning balance	$ 0
Borrowings	70,000	$ 299,000	$ 393,000
Repayments	(70,000)	(443,000)	(267,000)
Ending balance	0	0
Revolving Credit Facility | Line of Credit
Line of Credit Facility, Roll Forward [Roll Forward]
Beginning balance	0	144,000	18,000
Borrowings	70,000	299,000	393,000
Repayments	(70,000)	(443,000)	(267,000)
Ending balance	$ 0	$ 0	$ 144,000

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Long Term Debt - Information About Interest Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Senior Unsecured Notes | July 2031 Senior Notes
Line of Credit Facility [Line Items]
Interest expense and fees	$ 11,713	$ 11,711	$ 5,952
Amortization of deferred financing costs and original issue discount	560	562	295
Total	12,273	12,273	6,247
Revolving Credit Facility | Line of Credit
Line of Credit Facility [Line Items]
Interest expense and fees	1,038	2,807	1,552
Amortization of deferred financing costs	1,203	1,217	1,165
Total	2,241	4,024	2,717
Unsecured term loans | Line of Credit | 2024 Term Loan, 2027 Term Loan, 2028 Term Loan and 2029 Term Loan
Line of Credit Facility [Line Items]
Interest expense and fees	66,582	23,967	9,819
Amortization of deferred financing costs	1,617	836	736
Total	$ 68,199	$ 24,803	$ 10,555

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Long Term Debt - 2027 Term Loan - Additional Information (Details) - USD ($)	4 Months Ended	12 Months Ended
	Mar. 31, 2020	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Nov. 26, 2019
Line of Credit Facility [Line Items]
Loss on debt extinguishment		$ 116,000	$ 2,138,000	$ 4,461,000
Unsecured term loans | Line of Credit | 2027 Term Loan
Line of Credit Facility [Line Items]
Notes issued					$ 430,000,000
Aggregate revolving credit commitments					430,000,000
Proceeds from debt	$ 430,000,000
Loss on debt extinguishment			2,100,000
Maximum additional availability of the facility					$ 500,000,000
Total deferred finance costs, net		$ 7,200,000	$ 4,500,000

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Long Term Debt - Senior Unsecured Note - Additional Information (Details) - USD ($)	1 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Proceeds from issuance of senior unsecured notes		$ 0	$ 0	$ 396,600,000
2031 Senior Notes | Senior Unsecured Notes
Debt Instrument [Line Items]
Notes issued	$ 400,000,000	$ 400,000,000	$ 400,000,000
Stated Interest Rate	2.95%	2.95%	2.95%
Proceeds from issuance of senior unsecured notes	$ 396,600,000
Percent of principal note amount issued	99.80%
Deferred finance costs	$ 4,700,000
Offering discount	$ 800,000	$ 600,000	$ 700,000
Debt instrument, redemption price, percentage (as a percent)		100.00%
Total deferred finance costs, net		$ 3,600,000	$ 4,000,000

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Long Term Debt - Senior Unsecured Note - Schedule of Interest Expense and Amounts Outstanding (Details) - 2031 Senior Notes - Senior Unsecured Notes - USD ($)	Dec. 31, 2023	Dec. 31, 2022	Jun. 30, 2021
Debt Instrument [Line Items]
Stated Interest Rate	2.95%	2.95%	2.95%
Principal Outstanding	$ 400,000,000	$ 400,000,000	$ 400,000,000

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Derivative and Hedging Activities - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Derivative [Line Items]
Derivatives reclassified from other comprehensive income	$ 22,400
Derivative asset, including accrued interest	31,100	$ 48,200
Derivative liability, including accrued interest	23,400	2,400
Derivative asset, termination value	7,700	45,900
Cash Flow Hedging | Derivatives Designated as Hedging Instruments
Derivative [Line Items]
Gain (loss) on change in fair value	$ 27,700	$ (26)	$ (10,100)

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Derivative and Hedging Activities - Summary of Notional Amount and Fair Value of Instruments (Details) - Derivatives Designated as Hedging Instruments $ in Thousands	Dec. 31, 2023 USD ($) contract	Dec. 31, 2022 USD ($)
Derivatives, Fair Value [Line Items]
Notional value	$ 1,480,000
Fair Value of Asset/(Liability)	$ 7,975	$ 45,603
Interest Rate Swap
Derivatives, Fair Value [Line Items]
Contracts entered into | contract	2
Interest Rate Swap One
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.96%
Notional value	$ 100,000
Fair Value of Asset/(Liability)	$ 981	3,545
Interest Rate Swap Two
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.95%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 492	1,781
Interest Rate Swap Three
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.94%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 492	1,777
Interest Rate Swap Four
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.52%
Notional value	$ 175,000
Fair Value of Asset/(Liability)	$ 10,654	14,685
Interest Rate Swap Five
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.51%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 3,077	4,248
Interest Rate Swap Six
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.49%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ 1,542	2,120
Interest Rate Swap Seven
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.26%
Notional value	$ 100,000
Fair Value of Asset/(Liability)	$ 6,810	9,324
Interest Rate Swap Eight
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	1.28%
Notional value	$ 80,000
Fair Value of Asset/(Liability)	$ 5,406	7,418
Interest Rate Swap Nine
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.19%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 688	1,166
Interest Rate Swap Ten
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.35%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 383	804
Interest Rate Swap Eleven
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.36%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ 180	387
Interest Rate Swap Twelve
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.43%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ 226	612
Interest Rate Swap Thirteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.71%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ (290)	(12)
Interest Rate Swap Fourteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.70%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (144)	(15)
Interest Rate Swap Fifteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.00%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ (851)	(693)
Interest Rate Swap Sixteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	3.95%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (378)	(293)
Interest Rate Swap Seventeen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.03%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (459)	(396)
Interest Rate Swap Eighteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.06%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (485)	(427)
Interest Rate Swap Nineteen
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.07%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (492)	(428)
Interest Rate Swap Twenty
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.15%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ (1,550)	0
Interest Rate Swap tewnty one
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.38%
Notional value	$ 75,000
Fair Value of Asset/(Liability)	$ (3,193)	0
Interest Rate Swap Twenty Two
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.39%
Notional value	$ 50,000
Fair Value of Asset/(Liability)	$ (2,114)	0
Interest Rate Swap Twenty Three
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.32%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (981)	0
Interest Rate Swap Twenty Four
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.32%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (980)	0
Interest Rate Swap Twenty Five
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.51%
Notional value	$ 25,000
Fair Value of Asset/(Liability)	$ (1,207)	0
Interest Rate Swap Twenty Six
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.48%
Notional value	$ 100,000
Fair Value of Asset/(Liability)	$ (4,919)	0
Interest Rate Swap Twenty Seven
Derivatives, Fair Value [Line Items]
Fixed Rate Paid by Company	4.48%
Notional value	$ 100,000
Fair Value of Asset/(Liability)	$ (4,913)	$ 0

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Derivative and Hedging Activities - Summary of Changes in Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other comprehensive (loss) income	$ (36,874)	$ 56,762	$ 22,508
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other comprehensive (loss) income	$ (36,874)	$ 56,762	$ 22,508

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Equity - Additional Information (Details) - USD ($)	1 Months Ended				4 Months Ended		12 Months Ended
	Sep. 30, 2023	Feb. 28, 2023	Aug. 31, 2022	Apr. 30, 2021	Dec. 31, 2023	May 31, 2023	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	May 31, 2022
Class of Stock [Line Items]
Proceeds from issuance of common stock, net							$ 507,318,000	$ 403,884,000	$ 458,267,000
Percentage of cash distributions paid to stockholders that were considered taxable income (as a percent)							86.00%	79.70%	69.40%
Percentage of cash distributions paid to stockholders that were considered a return of capital (as a percent)							14.00%	20.30%	30.60%
2022 ATM Program
Class of Stock [Line Items]
Authorized equity distribution program					$ 500,000,000		$ 500,000,000			$ 500,000,000
Common Stock
Class of Stock [Line Items]
Shares of common stock sold (in shares)							21,971,744	17,576,684	18,230,721
Common Stock | Follow-On Offering
Class of Stock [Line Items]
Shares of common stock sold (in shares)	12,006,000	8,855,000	8,740,000	8,222,500
Number of shares sold pursuant to underwriter's option (in shares)	1,566,000	1,155,000	1,140,000	1,072,500
Price of shares sold (in USD per share)	$ 23.00	$ 24.60	$ 23.00	$ 23.50
Proceeds from shares sold			$ 192,600,000	$ 185,100,000	$ 263,400,000	$ 209,300,000
Shares settled (in shares)					8,165,087
Proceeds from issuance of common stock, net					$ 180,000,000

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Equity - Schedule of Information about 2022 ATM and Prior Programs (Details) - USD ($)	12 Months Ended
	Dec. 31, 2023	May 31, 2022
2019 ATM Program
Subsidiary, Sale of Stock [Line Items]
Maximum Sales Authorization	$ 200,000,000
Gross proceeds	184,400,000
2020 ATM Program
Subsidiary, Sale of Stock [Line Items]
Maximum Sales Authorization	250,000,000
Gross proceeds	166,800,000
2021 ATM Program
Subsidiary, Sale of Stock [Line Items]
Maximum Sales Authorization	350,000,000
Gross proceeds	348,140,000
2022 ATM Program
Subsidiary, Sale of Stock [Line Items]
Maximum Sales Authorization	500,000,000	$ 500,000,000
Gross proceeds	$ 220,643,000
Shares sold on a forward basis, not yet settled (in shares)	1,937,450

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Equity - Schedule of At the Market Program (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Subsidiary, Sale of Stock [Line Items]
Net proceeds	$ 507,318	$ 403,884	$ 458,267
ATM Program
Subsidiary, Sale of Stock [Line Items]
Shares of common stock sold (in shares)	5,931,654	9,794,137	10,005,890
Weighted average sale price per share (in USD per share)	$ 24.48	$ 24.00	$ 27.58
Gross proceeds	$ 145,224	$ 235,060	$ 275,972
Net proceeds	$ 142,922	$ 232,478	$ 271,949
Shares sold on a forward basis, not yet settled (in shares)	1,937,450
Additional shares sold on a forward basis, not yet settled (in shares)	957,453

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Equity - Summary of Quarterly Cash Dividends (Details) - Common Stock - USD ($) $ / shares in Units, $ in Thousands	Dec. 01, 2023	Sep. 07, 2023	Jun. 09, 2023	Mar. 07, 2023	Nov. 30, 2022	Sep. 02, 2022	Jun. 02, 2022	Mar. 14, 2022	Dec. 03, 2021	Sep. 02, 2021	May 27, 2021	Mar. 05, 2021
Dividends Payable [Line Items]
Dividend per Share of Common Stock (in USD per share)	$ 0.285	$ 0.28	$ 0.28	$ 0.275	$ 0.275	$ 0.27	$ 0.27	$ 0.26	$ 0.26	$ 0.25	$ 0.25	$ 0.24
Total Dividend (dollars in thousands)	$ 47,024	$ 43,788	$ 43,551	$ 41,031	$ 39,246	$ 38,533	$ 35,916	$ 34,188	$ 32,466	$ 30,397	$ 29,559	$ 26,265

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Non-controlling Interests (Details) - shares	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Noncontrolling Interest [Line Items]
Outstanding period for distribution	1 year
Operating Partnership Unit
Noncontrolling Interest [Line Items]
Percentage of ownership interests in operating partnership (as a percent)	99.70%	99.60%
Award exchange ratio	1
Operating Partnership Unit | EPRT Holdings LLC
Noncontrolling Interest [Line Items]
Percentage of ownership interests in operating partnership (as a percent)	0.30%	0.40%
Interest held in operating partnership (in shares)	553,847	553,847
Eldridge Industries, LLC | Operating Partnership Unit
Noncontrolling Interest [Line Items]
Operating partnership units held (in shares)	164,635,150	142,379,655
Essential Properties OP GP LLC
Noncontrolling Interest [Line Items]
Percentage of general partner partnership interest owned (as a percent)	1.00%

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Equity Based Compensation - Equity Incentive Plan - Additional Information (Details)	Dec. 31, 2023 shares
Share-Based Payment Arrangement [Abstract]
Maximum number of shares issuable under plan (in shares)	4,300,808

XML

Equity Based Compensation - Schedule of Information about RSAs and RSUs Units (Details) - $ / shares	1 Months Ended		12 Months Ended
	Jan. 31, 2019	Jun. 30, 2018	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Restricted Stock Awards
Restricted Stock Awards
Beginning balance (in shares)			9,039	18,904	240,598
Granted (in shares)	46,368	691,290	0	0	0
Vested (in shares)			(9,039)	(9,865)	(221,694)
Forfeited (in shares)			0	0	0
Ending balance (in shares)			0	9,039	18,904
Restricted Stock Units
Beginning balance (in USD per share)			$ 14.12	$ 14.12	$ 13.73
Granted (in USD per share)			0	0	0
Vested (in USD per share)			14.12	14.12	13.70
Forfeited (in USD per share)			0	0	0
Ending balance (in USD per share)			$ 14.12	$ 14.12	$ 14.12
Restricted Stock Units
Restricted Stock Awards
Beginning balance (in shares)			817,380	454,692	321,602
Granted (in shares)			457,859	607,347	213,686
Vested (in shares)			(436,967)	(243,640)	(72,879)
Forfeited (in shares)			(94,419)	(1,019)	(7,717)
Ending balance (in shares)			743,853	817,380	454,692
Restricted Stock Units
Beginning balance (in USD per share)			$ 30.26	$ 29.39	$ 25.27
Granted (in USD per share)			31.39	29.08	31.78
Vested (in USD per share)			26.98	25.70	18.83
Forfeited (in USD per share)			32.79	27.25	23.52
Ending balance (in USD per share)			$ 32.56	$ 30.26	$ 29.39

XML

Equity Based Compensation - Restricted Stock Awards - Additional Information (Details) - Restricted Stock Awards - shares	1 Months Ended		12 Months Ended
	Jan. 31, 2019	Jun. 30, 2018	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares)	46,368	691,290	0	0	0
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	1 year	1 year
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	4 years	3 years

XML

Equity Based Compensation - Schedule of Information about RSAs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 9,006	$ 9,489	$ 5,683
Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividends declared on unvested RSAs and charged directly to distributions in excess of cumulative earnings	0	8	70
Fair value of shares vested during the period	128	139	3,037
Restricted Stock Awards | General and administrative expense
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 2	$ 128	$ 1,548

XML

Equity Based Compensation - Schedule of Information about Unrecognized Compensation Cost RSAs (Details) - Restricted Stock Awards - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation cost	$ 0	$ 2	$ 130
Weighted average period over which compensation cost will be recognized (in years)	0 years	1 month 6 days	1 year

XML

Equity Based Compensation - Restricted Stock Units - Additional Information (Details)	1 Months Ended			12 Months Ended					14 Months Ended
	Apr. 30, 2023 shares	Feb. 28, 2023 shares	Jan. 31, 2022 shares	Dec. 31, 2023 USD ($) shares	Dec. 31, 2022 USD ($) shares	Dec. 31, 2021 USD ($) shares	Dec. 31, 2020 shares	Dec. 31, 2019 shares	Feb. 28, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity based compensation expense | $				$ 9,006,000	$ 9,489,000	$ 5,683,000
Performance Based Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares) | shares		50,598	78,801	147,587	149,699	126,353	84,684	119,085
Nonvested share awards percentage (as a percent)				75.00%
Performance period				20 days
TSR as percentage of peer group				50.00%
Nonvested share awards remaining percentage issued (as a percent)				25.00%
Equity based compensation expense | $				$ 0	$ 0	$ 0
Performance Based Restricted Stock Units (RSUs) | Share-based Payment Arrangement, Tranche One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout (as a percent)									50.00%
Performance Based Restricted Stock Units (RSUs) | Share-based Payment Arrangement, Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout (as a percent)									50.00%
Performance Based Restricted Stock Units (RSUs) | Executive officers
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares) | shares	11,334		69,372
Vesting performance period			5 years
Performance Based Restricted Stock Units (RSUs) | Executive officers | Share-based Payment Arrangement, Tranche One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			4 years
Vesting percentage payout (as a percent)			50.00%
Performance Based Restricted Stock Units (RSUs) | Executive officers | Share-based Payment Arrangement, Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			5 years
Vesting percentage payout (as a percent)			50.00%
Performance Based Restricted Stock Units (RSUs) | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout (as a percent)				0.00%
Performance Based Restricted Stock Units (RSUs) | Minimum | Executive officers
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of award payout based on adjusted funds from operations performance (as a percent)			0
Performance Based Restricted Stock Units (RSUs) | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage payout (as a percent)				250.00%
Performance Based Restricted Stock Units (RSUs) | Maximum | Executive officers
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of award payout based on adjusted funds from operations performance (as a percent)			2
Performance Based Restricted Stock Units (RSUs) Granted To Former Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity based compensation expense | $				$ 300,000
Time Based Restricted Stock Based Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of unvested shares issued (in shares) | shares				210,406	199,793	135,686	184,760
Vesting period				5 years	5 years	5 years

XML

Equity Based Compensation - Schedule of Assumptions Used in Measurement of Grant Date Fair Value of Total Shareholder Return RSUs Using Monte Carlo Simulation Model (Details) - Performance Based Restricted Stock Units (RSUs)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	37.00%	54.00%	55.00%
Risk free rate	4.36%	1.68%	0.20%

XML

Equity Based Compensation - Schedule of Information about RSUs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 9,006	$ 9,489	$ 5,683
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend equivalents declared and charged directly to distributions in excess of cumulative earnings	407	366	241
Fair value of units vested during the period	11,791	6,262	1,372
Restricted Stock Units | General and administrative expense
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost recognized in general and administrative expense	$ 9,002	$ 9,361	$ 4,135

XML

Equity Based Compensation - Schedule of Information about Unrecognized Compensation Cost Restricted Stock Units (Details) - Restricted Stock Units - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation cost	$ 13,131	$ 13,761
Weighted average period over which compensation cost will be recognized (in years)	2 years 2 months 12 days	2 years 9 months 18 days

XML

Net Income Per Share - Additional Information (Details)	Dec. 31, 2023
Operating Partnership Unit
Earnings Per Share [Line Items]
Award exchange ratio	1

XML

Net Income Per Share - Reconciliation of Numerator and Denominator used in Computation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Numerator for basic and diluted earnings per share:
Net income	$ 191,415	$ 134,742	$ 96,211
Less: net income attributable to non-controlling interests	(708)	(612)	(486)
Less: net income allocated to unvested RSAs and RSUs	(407)	(374)	(311)
Net income available for common stockholders: basic	190,300	133,756	95,414
Net income attributable to non-controlling interests	708	612	486
Net income available for common stockholders: diluted	$ 191,008	$ 134,368	$ 95,900
Denominator for basic and diluted earnings per share:
Weighted average common shares outstanding (in shares)	152,140,896	134,950,418	116,479,322
Less: weighted average number of shares of unvested RSAs (in shares)	(161)	(9,230)	(121,263)
Weighted average shares outstanding used in basic net income per share (in shares)	152,140,735	134,941,188	116,358,059
Effects of dilutive securities:
Forward sales (in shares)	405,980	4,837	0
Weighted average shares outstanding used in diluted net income per share (in shares)	153,521,854	135,855,916	117,466,338
Unvested RSAs and RSUs
Effects of dilutive securities:
Antidilutive securities excluded from computation of earnings per share (in shares)	179,807	171,059
Unvested RSAs and RSUs
Effects of dilutive securities:
Dilutive securities (in shares)	421,292	356,044	554,432
Operating Partnership Unit
Effects of dilutive securities:
Dilutive securities (in shares)	553,847	553,847	553,847

XML

Commitments and Contingencies - Additional Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($)
Commitments and Contingencies [Line Items]
Reimbursement to tenants	$ 180.6
Employer matching contribution, percent of match (as a percent)	100.00%
Employer matching contribution, percent of eligible compensation (as a percent)	6.00%
Executive officers
Commitments and Contingencies [Line Items]
Employment agreement initial term	4 years
Employment agreement, automatic extension period upon non-renewal notice not provided	1 year
Employment agreement, base salary term after termination	12 months
Employment agreement, COBRA term after termination	12 months

XML

Commitment and Contingencies - Schedule of Matching Contributions for Defined Contribution Retirement Savings Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
401(k) matching contributions	$ 331	$ 318	$ 205

XML

Fair Value Measurements - Summary of Fair Values of Financial Assets Measured at Recurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022	Jun. 30, 2021
Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total deferred finance costs, net	$ 3,600	$ 4,000
Offering discount	600	700	$ 800
Fair Value Measurements, Recurring | Net Carrying Value | Interest rate swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	7,975	45,603
Fair Value Measurements, Recurring | Net Carrying Value | Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Senior unsecured notes	395,846	395,286
Fair Value Measurements, Recurring | Fair Value | Interest rate swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	7,975	45,603
Fair Value Measurements, Recurring | Fair Value | Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Senior unsecured notes	315,336	292,120
Fair Value Measurements, Recurring | Fair Value | Level 1 | Interest rate swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	0	0
Fair Value Measurements, Recurring | Fair Value | Level 1 | Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Senior unsecured notes	315,336	292,120
Fair Value Measurements, Recurring | Fair Value | Level 2 | Interest rate swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	7,975	45,603
Fair Value Measurements, Recurring | Fair Value | Level 2 | Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Senior unsecured notes	0	0
Fair Value Measurements, Recurring | Fair Value | Level 3 | Interest rate swaps
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps	0	0
Fair Value Measurements, Recurring | Fair Value | Level 3 | Senior Unsecured Notes | July 2031 Senior Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Senior unsecured notes	$ 0	$ 0

XML

Fair Value Measurements - Summary of Fair Values of Real Estate Investments Measured at Nonrecurring Basis (Details) - Fair Value Measurements, Nonrecurring - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Net Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 4,510	$ 12,144
Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	4,510	12,144
Fair Value | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	0	0
Fair Value | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	0	0
Fair Value | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 4,510	$ 12,144

XML

Fair Value Measurements - Summary of Quantitative Information About Level 3 Fair Value Measurements (Details) - Level 3 $ in Thousands	Dec. 31, 2023 USD ($)
Convenience store
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 1,500
Convenience store | Sales comparison approach
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	1,500
Pet Care Services
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 2,139
Pet Care Services | Sales comparison approach
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	2,139
Restaurants - Quick Service
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-lived assets	$ 871
Restaurants - Quick Service | Discounted cash flow approach
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	871
Restaurants - Quick Service | Discounted cash flow approach | Terminal value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.080
Restaurants - Quick Service | Discounted cash flow approach | Discount rate
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant Unobservable Inputs	0.085

XML

Subsequent Events (Details) $ in Thousands	1 Months Ended	2 Months Ended	12 Months Ended
	Jan. 31, 2024 USD ($) shares	Feb. 14, 2024 USD ($) property	Dec. 31, 2023 USD ($) shares	Dec. 31, 2022 USD ($) shares	Dec. 31, 2021 USD ($) shares	Dec. 31, 2020 shares
Subsequent Event
Investment in mortgage loans receivable			$ 13,091	$ 115,016	$ 136,391
Proceeds from issuance of common stock, net			507,318	$ 403,884	$ 458,267
2022 ATM Program
Subsequent Event
Gross sales (in shares)			$ 220,643
Time Based Restricted Stock Based Units (RSUs)
Subsequent Event
Number of unvested shares issued (in shares) | shares			210,406	199,793	135,686	184,760
Vesting period			5 years	5 years	5 years
Subsequent Event
Subsequent Event
Number of real estate investment properties acquired | property		12
Aggregate investment (including acquisition-related costs)		$ 16,800
Investment in new and ongoing construction in progress		10,100
Investment in mortgage loans receivable		$ 14,000
Number of investment properties sold or transferred | property		4
Investment, aggregate gross sales price		$ 9,100
Investment, disposition costs		$ 300
Subsequent Event | 2022 ATM Program
Subsequent Event
Common stock issuance (in shares) | shares	34,000
Gross sales (in shares)	$ 900
Shares settled (in shares) | shares	1,374,363
Proceeds from issuance of common stock, net	$ 30,000
Subsequent Event | Time Based Restricted Stock Based Units (RSUs) | Employees
Subsequent Event
Number of unvested shares issued (in shares) | shares	51,158
Vesting period	4 years

XML

Schedule III - Real Estate and Accumulated Depreciation (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) property	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1,728
Initial cost to company, land & improvements	$ 1,537,920
Initial cost to company, building & improvements	2,848,294
Cost capitalized subsequent to acquisition, land & improvements	4,382
Cost capitalized subsequent to acquisition, building & improvements	89,718
Gross amount, land & improvements	1,542,302
Gross amount, building & improvements	2,938,012
Gross amount, total	4,480,314	$ 3,669,317	$ 3,040,073	$ 2,260,919
Accumulated depreciation	$ (321,944)	$ (238,022)	$ (169,126)	$ (112,144)
Automotive Service | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 770
Initial cost to company, building & improvements	882
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	770
Gross amount, building & improvements	882
Gross amount, total	1,652
Accumulated depreciation	$ (123)
Automotive Service | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 10,587
Initial cost to company, building & improvements	19,611
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,587
Gross amount, building & improvements	19,611
Gross amount, total	30,198
Accumulated depreciation	$ (1,738)
Automotive Service | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 4,502
Initial cost to company, building & improvements	8,499
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,502
Gross amount, building & improvements	8,499
Gross amount, total	13,001
Accumulated depreciation	$ (627)
Automotive Service | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 6,027
Initial cost to company, building & improvements	11,544
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	170
Gross amount, land & improvements	6,027
Gross amount, building & improvements	11,714
Gross amount, total	17,741
Accumulated depreciation	$ (901)
Automotive Service | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 3,504
Initial cost to company, building & improvements	6,262
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,504
Gross amount, building & improvements	6,262
Gross amount, total	9,766
Accumulated depreciation	$ (58)
Automotive Service | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,862
Initial cost to company, building & improvements	2,642
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	580
Gross amount, land & improvements	1,862
Gross amount, building & improvements	3,223
Gross amount, total	5,084
Accumulated depreciation	$ (683)
Automotive Service | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	23
Initial cost to company, land & improvements	$ 11,517
Initial cost to company, building & improvements	25,952
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	11,517
Gross amount, building & improvements	25,952
Gross amount, total	37,468
Accumulated depreciation	$ (1,551)
Automotive Service | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 4,032
Initial cost to company, building & improvements	9,513
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	54
Gross amount, land & improvements	4,032
Gross amount, building & improvements	9,567
Gross amount, total	13,599
Accumulated depreciation	$ (646)
Automotive Service | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 1,509
Initial cost to company, building & improvements	4,617
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	302
Gross amount, land & improvements	1,509
Gross amount, building & improvements	4,919
Gross amount, total	6,427
Accumulated depreciation	$ (327)
Automotive Service | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 747
Initial cost to company, building & improvements	1,462
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	245
Gross amount, land & improvements	747
Gross amount, building & improvements	1,707
Gross amount, total	2,454
Accumulated depreciation	$ (19)
Automotive Service | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 3,009
Initial cost to company, building & improvements	4,366
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,009
Gross amount, building & improvements	4,366
Gross amount, total	7,375
Accumulated depreciation	$ (346)
Automotive Service | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 264
Initial cost to company, building & improvements	1,131
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	264
Gross amount, building & improvements	1,131
Gross amount, total	1,395
Accumulated depreciation	$ (3)
Automotive Service | Maine
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,463
Initial cost to company, building & improvements	3,467
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,463
Gross amount, building & improvements	3,467
Gross amount, total	4,930
Accumulated depreciation	$ (45)
Automotive Service | Maryland
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 3,973
Initial cost to company, building & improvements	12,825
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,973
Gross amount, building & improvements	12,825
Gross amount, total	16,798
Accumulated depreciation	$ (2,376)
Automotive Service | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 512
Initial cost to company, building & improvements	1,804
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	512
Gross amount, building & improvements	1,804
Gross amount, total	2,316
Accumulated depreciation	$ (17)
Automotive Service | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	12
Initial cost to company, land & improvements	$ 5,277
Initial cost to company, building & improvements	10,807
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,277
Gross amount, building & improvements	10,807
Gross amount, total	16,084
Accumulated depreciation	$ (1,437)
Automotive Service | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,442
Initial cost to company, building & improvements	7,602
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,442
Gross amount, building & improvements	7,602
Gross amount, total	11,044
Accumulated depreciation	$ (1,198)
Automotive Service | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,948
Initial cost to company, building & improvements	3,114
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,948
Gross amount, building & improvements	3,114
Gross amount, total	5,062
Accumulated depreciation	$ (344)
Automotive Service | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 3,525
Initial cost to company, building & improvements	9,103
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	200
Gross amount, land & improvements	3,525
Gross amount, building & improvements	9,303
Gross amount, total	12,828
Accumulated depreciation	$ (557)
Automotive Service | Nebraska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,177
Initial cost to company, building & improvements	479
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,177
Gross amount, building & improvements	479
Gross amount, total	1,656
Accumulated depreciation	$ (58)
Automotive Service | New Jersey
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	16
Initial cost to company, land & improvements	$ 18,996
Initial cost to company, building & improvements	22,047
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	18,996
Gross amount, building & improvements	22,047
Gross amount, total	41,043
Accumulated depreciation	$ (2,522)
Automotive Service | New Mexico
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 800
Initial cost to company, building & improvements	3,016
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	50
Gross amount, land & improvements	800
Gross amount, building & improvements	3,066
Gross amount, total	3,866
Accumulated depreciation	$ (212)
Automotive Service | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 3,735
Initial cost to company, building & improvements	8,978
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,735
Gross amount, building & improvements	8,978
Gross amount, total	12,713
Accumulated depreciation	$ (1,257)
Automotive Service | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 3,249
Initial cost to company, building & improvements	3,366
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,249
Gross amount, building & improvements	3,366
Gross amount, total	6,614
Accumulated depreciation	$ (651)
Automotive Service | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 2,764
Initial cost to company, building & improvements	5,063
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,764
Gross amount, building & improvements	5,063
Gross amount, total	7,827
Accumulated depreciation	$ (444)
Automotive Service | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	20
Initial cost to company, land & improvements	$ 9,013
Initial cost to company, building & improvements	27,923
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,013
Gross amount, building & improvements	27,923
Gross amount, total	36,936
Accumulated depreciation	$ (2,965)
Automotive Service | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,076
Initial cost to company, building & improvements	1,104
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,076
Gross amount, building & improvements	1,104
Gross amount, total	2,180
Accumulated depreciation	$ (85)
Automotive Service | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 4,920
Initial cost to company, building & improvements	8,651
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,920
Gross amount, building & improvements	8,651
Gross amount, total	13,571
Accumulated depreciation	$ (822)
Automotive Service | Rhode Island
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,834
Initial cost to company, building & improvements	2,178
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,834
Gross amount, building & improvements	2,178
Gross amount, total	4,012
Accumulated depreciation	$ (28)
Automotive Service | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,409
Initial cost to company, building & improvements	2,574
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	580
Gross amount, land & improvements	1,409
Gross amount, building & improvements	3,154
Gross amount, total	4,563
Accumulated depreciation	$ (121)
Automotive Service | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,584
Initial cost to company, building & improvements	3,368
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,584
Gross amount, building & improvements	3,368
Gross amount, total	5,952
Accumulated depreciation	$ (515)
Automotive Service | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	15
Initial cost to company, land & improvements	$ 10,949
Initial cost to company, building & improvements	23,030
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	300
Gross amount, land & improvements	10,949
Gross amount, building & improvements	23,330
Gross amount, total	34,279
Accumulated depreciation	$ (3,328)
Automotive Service | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 224
Initial cost to company, building & improvements	734
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	224
Gross amount, building & improvements	734
Gross amount, total	959
Accumulated depreciation	$ (96)
Automotive Service | West Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 1,985
Initial cost to company, building & improvements	4,519
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,985
Gross amount, building & improvements	4,519
Gross amount, total	6,504
Accumulated depreciation	$ (413)
Automotive Service | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 3,175
Initial cost to company, building & improvements	7,554
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	74
Gross amount, land & improvements	3,175
Gross amount, building & improvements	7,627
Gross amount, total	10,802
Accumulated depreciation	$ (503)
Building Materials | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,060
Initial cost to company, building & improvements	3,640
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,060
Gross amount, building & improvements	3,640
Gross amount, total	5,700
Accumulated depreciation	$ (848)
Building Materials | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 760
Initial cost to company, building & improvements	403
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	760
Gross amount, building & improvements	403
Gross amount, total	1,163
Accumulated depreciation	$ (94)
Building Materials | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 934
Initial cost to company, building & improvements	638
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	934
Gross amount, building & improvements	638
Gross amount, total	1,572
Accumulated depreciation	$ (149)
Building Materials | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,338
Initial cost to company, building & improvements	4,165
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,338
Gross amount, building & improvements	4,165
Gross amount, total	6,503
Accumulated depreciation	$ (971)
Building Materials | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,072
Initial cost to company, building & improvements	1,619
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,072
Gross amount, building & improvements	1,619
Gross amount, total	2,691
Accumulated depreciation	$ (267)
Building Materials | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 414
Initial cost to company, building & improvements	200
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	414
Gross amount, building & improvements	200
Gross amount, total	614
Accumulated depreciation	$ (47)
Building Materials | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 4,438
Initial cost to company, building & improvements	8,425
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,438
Gross amount, building & improvements	8,425
Gross amount, total	12,863
Accumulated depreciation	$ (1,244)
Building Materials | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 3,011
Initial cost to company, building & improvements	4,573
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,011
Gross amount, building & improvements	4,573
Gross amount, total	7,584
Accumulated depreciation	$ (1,066)
Building Materials | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,097
Initial cost to company, building & improvements	172
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,097
Gross amount, building & improvements	172
Gross amount, total	1,268
Accumulated depreciation	$ (40)
Building Materials | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 5,228
Initial cost to company, building & improvements	3,746
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,228
Gross amount, building & improvements	3,746
Gross amount, total	8,974
Accumulated depreciation	$ (873)
Car Washes | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 6,867
Initial cost to company, building & improvements	10,141
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,867
Gross amount, building & improvements	10,141
Gross amount, total	17,008
Accumulated depreciation	$ (394)
Car Washes | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	12
Initial cost to company, land & improvements	$ 18,697
Initial cost to company, building & improvements	31,746
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	18,697
Gross amount, building & improvements	31,746
Gross amount, total	50,443
Accumulated depreciation	$ (2,628)
Car Washes | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,757
Initial cost to company, building & improvements	11,016
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,757
Gross amount, building & improvements	11,016
Gross amount, total	13,773
Accumulated depreciation	$ (1,033)
Car Washes | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 14,218
Initial cost to company, building & improvements	8,388
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	14,218
Gross amount, building & improvements	8,388
Gross amount, total	22,606
Accumulated depreciation	$ (202)
Car Washes | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 10,679
Initial cost to company, building & improvements	14,064
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,679
Gross amount, building & improvements	14,064
Gross amount, total	24,743
Accumulated depreciation	$ (2,319)
Car Washes | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 12,009
Initial cost to company, building & improvements	27,468
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	283
Gross amount, land & improvements	12,009
Gross amount, building & improvements	27,752
Gross amount, total	39,760
Accumulated depreciation	$ (1,872)
Car Washes | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	21
Initial cost to company, land & improvements	$ 27,953
Initial cost to company, building & improvements	57,475
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,055
Gross amount, land & improvements	27,953
Gross amount, building & improvements	59,530
Gross amount, total	87,483
Accumulated depreciation	$ (8,063)
Car Washes | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,674
Initial cost to company, building & improvements	3,227
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,674
Gross amount, building & improvements	3,227
Gross amount, total	4,901
Accumulated depreciation	$ (375)
Car Washes | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,249
Initial cost to company, building & improvements	11,175
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,249
Gross amount, building & improvements	11,175
Gross amount, total	13,424
Accumulated depreciation	$ (352)
Car Washes | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,923
Initial cost to company, building & improvements	4,490
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,923
Gross amount, building & improvements	4,490
Gross amount, total	10,413
Accumulated depreciation	$ (324)
Car Washes | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 4,596
Initial cost to company, building & improvements	12,695
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	425
Gross amount, land & improvements	4,596
Gross amount, building & improvements	13,120
Gross amount, total	17,716
Accumulated depreciation	$ (1,080)
Car Washes | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,268
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,268
Gross amount, building & improvements	0
Gross amount, total	1,268
Accumulated depreciation	$ 0
Car Washes | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,430
Initial cost to company, building & improvements	3,253
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,430
Gross amount, building & improvements	3,253
Gross amount, total	4,683
Accumulated depreciation	$ (12)
Car Washes | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,923
Initial cost to company, building & improvements	13,810
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	567
Gross amount, land & improvements	3,923
Gross amount, building & improvements	14,376
Gross amount, total	18,299
Accumulated depreciation	$ (524)
Car Washes | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,928
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,928
Gross amount, building & improvements	0
Gross amount, total	2,928
Accumulated depreciation	$ 0
Car Washes | Nebraska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 597
Initial cost to company, building & improvements	2,569
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	597
Gross amount, building & improvements	2,569
Gross amount, total	3,166
Accumulated depreciation	$ (258)
Car Washes | Nevada
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 6,269
Initial cost to company, building & improvements	10,385
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,269
Gross amount, building & improvements	10,385
Gross amount, total	16,654
Accumulated depreciation	$ (96)
Car Washes | New Mexico
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,461
Initial cost to company, building & improvements	12,216
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,461
Gross amount, building & improvements	12,216
Gross amount, total	14,676
Accumulated depreciation	$ (2,504)
Car Washes | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 6,538
Initial cost to company, building & improvements	24,076
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,538
Gross amount, building & improvements	24,076
Gross amount, total	30,614
Accumulated depreciation	$ (1,097)
Car Washes | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 3,159
Initial cost to company, building & improvements	6,813
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,159
Gross amount, building & improvements	6,813
Gross amount, total	9,972
Accumulated depreciation	$ (693)
Car Washes | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 6,911
Initial cost to company, building & improvements	18,490
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,911
Gross amount, building & improvements	18,490
Gross amount, total	25,401
Accumulated depreciation	$ (1,476)
Car Washes | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,536
Initial cost to company, building & improvements	2,077
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,536
Gross amount, building & improvements	2,077
Gross amount, total	4,613
Accumulated depreciation	$ (240)
Car Washes | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 793
Initial cost to company, building & improvements	4,031
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	793
Gross amount, building & improvements	4,031
Gross amount, total	4,824
Accumulated depreciation	$ (741)
Car Washes | South Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 5,890
Initial cost to company, building & improvements	14,859
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,225
Gross amount, land & improvements	5,890
Gross amount, building & improvements	16,084
Gross amount, total	21,973
Accumulated depreciation	$ (2,038)
Car Washes | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,618
Initial cost to company, building & improvements	2,724
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,618
Gross amount, building & improvements	2,724
Gross amount, total	5,343
Accumulated depreciation	$ (12)
Car Washes | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	19
Initial cost to company, land & improvements	$ 31,500
Initial cost to company, building & improvements	54,385
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	775
Gross amount, land & improvements	31,500
Gross amount, building & improvements	55,160
Gross amount, total	86,660
Accumulated depreciation	$ (3,207)
Car Washes | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	15
Initial cost to company, land & improvements	$ 20,563
Initial cost to company, building & improvements	38,700
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	20,563
Gross amount, building & improvements	38,700
Gross amount, total	59,263
Accumulated depreciation	$ (1,281)
Car Washes | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 7,000
Initial cost to company, building & improvements	9,976
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	7,000
Gross amount, building & improvements	9,976
Gross amount, total	16,976
Accumulated depreciation	$ (91)
Convenience Stores | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,085
Initial cost to company, building & improvements	2,791
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	34
Gross amount, land & improvements	2,085
Gross amount, building & improvements	2,825
Gross amount, total	4,910
Accumulated depreciation	$ (750)
Convenience Stores | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	10
Initial cost to company, land & improvements	$ 6,845
Initial cost to company, building & improvements	8,337
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	50
Gross amount, land & improvements	6,845
Gross amount, building & improvements	8,387
Gross amount, total	15,232
Accumulated depreciation	$ (2,311)
Convenience Stores | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 272
Initial cost to company, building & improvements	1,047
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	272
Gross amount, building & improvements	1,047
Gross amount, total	1,319
Accumulated depreciation	$ (223)
Convenience Stores | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 656
Initial cost to company, building & improvements	832
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	656
Gross amount, building & improvements	832
Gross amount, total	1,488
Accumulated depreciation	$ (197)
Convenience Stores | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 840
Initial cost to company, building & improvements	838
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	840
Gross amount, building & improvements	838
Gross amount, total	1,678
Accumulated depreciation	$ (265)
Convenience Stores | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,362
Initial cost to company, building & improvements	2,380
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,362
Gross amount, building & improvements	2,380
Gross amount, total	3,742
Accumulated depreciation	$ (162)
Convenience Stores | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 9,442
Initial cost to company, building & improvements	5,630
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,442
Gross amount, building & improvements	5,630
Gross amount, total	15,072
Accumulated depreciation	$ (1,828)
Convenience Stores | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,325
Initial cost to company, building & improvements	5,396
Cost capitalized subsequent to acquisition, land & improvements	14
Cost capitalized subsequent to acquisition, building & improvements	104
Gross amount, land & improvements	3,339
Gross amount, building & improvements	5,500
Gross amount, total	8,839
Accumulated depreciation	$ (1,534)
Convenience Stores | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,931
Initial cost to company, building & improvements	2,396
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,931
Gross amount, building & improvements	2,396
Gross amount, total	4,327
Accumulated depreciation	$ (696)
Convenience Stores | New Mexico
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	12
Initial cost to company, land & improvements	$ 4,781
Initial cost to company, building & improvements	8,998
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,781
Gross amount, building & improvements	8,998
Gross amount, total	13,780
Accumulated depreciation	$ (2,172)
Convenience Stores | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	16
Initial cost to company, land & improvements	$ 5,881
Initial cost to company, building & improvements	20,342
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,881
Gross amount, building & improvements	20,342
Gross amount, total	26,222
Accumulated depreciation	$ (5,931)
Convenience Stores | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 758
Initial cost to company, building & improvements	873
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	758
Gross amount, building & improvements	873
Gross amount, total	1,631
Accumulated depreciation	$ (5)
Convenience Stores | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	21
Initial cost to company, land & improvements	$ 15,191
Initial cost to company, building & improvements	13,382
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	15,191
Gross amount, building & improvements	13,382
Gross amount, total	28,573
Accumulated depreciation	$ (4,122)
Convenience Stores | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 467
Initial cost to company, building & improvements	383
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	467
Gross amount, building & improvements	383
Gross amount, total	850
Accumulated depreciation	$ (141)
Convenience Stores | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 3,408
Initial cost to company, building & improvements	7,038
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,408
Gross amount, building & improvements	7,038
Gross amount, total	10,446
Accumulated depreciation	$ (28)
Convenience Stores | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 1,827
Initial cost to company, building & improvements	5,161
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	975
Gross amount, land & improvements	1,827
Gross amount, building & improvements	6,137
Gross amount, total	7,964
Accumulated depreciation	$ (1,205)
Convenience Stores | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 568
Initial cost to company, building & improvements	508
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	568
Gross amount, building & improvements	508
Gross amount, total	1,077
Accumulated depreciation	$ (148)
Convenience Stores | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	32
Initial cost to company, land & improvements	$ 36,034
Initial cost to company, building & improvements	37,234
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	36,034
Gross amount, building & improvements	37,234
Gross amount, total	73,268
Accumulated depreciation	$ (7,007)
Early Childhood Education | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	16
Initial cost to company, land & improvements	$ 10,474
Initial cost to company, building & improvements	14,986
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	21
Gross amount, land & improvements	10,474
Gross amount, building & improvements	15,007
Gross amount, total	25,481
Accumulated depreciation	$ (2,014)
Early Childhood Education | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,867
Initial cost to company, building & improvements	5,617
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	98
Gross amount, land & improvements	2,867
Gross amount, building & improvements	5,714
Gross amount, total	8,581
Accumulated depreciation	$ (239)
Early Childhood Education | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,423
Initial cost to company, building & improvements	7,360
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,404
Gross amount, land & improvements	3,423
Gross amount, building & improvements	9,764
Gross amount, total	13,187
Accumulated depreciation	$ (1,943)
Early Childhood Education | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 8,790
Initial cost to company, building & improvements	21,022
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	8,790
Gross amount, building & improvements	21,022
Gross amount, total	29,812
Accumulated depreciation	$ (3,385)
Early Childhood Education | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 9,348
Initial cost to company, building & improvements	21,292
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,348
Gross amount, building & improvements	21,292
Gross amount, total	30,640
Accumulated depreciation	$ (3,323)
Early Childhood Education | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	12
Initial cost to company, land & improvements	$ 8,342
Initial cost to company, building & improvements	29,548
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	391
Gross amount, land & improvements	8,342
Gross amount, building & improvements	29,939
Gross amount, total	38,281
Accumulated depreciation	$ (2,075)
Early Childhood Education | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 636
Initial cost to company, building & improvements	2,199
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	636
Gross amount, building & improvements	2,199
Gross amount, total	2,835
Accumulated depreciation	$ (179)
Early Childhood Education | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,056
Initial cost to company, building & improvements	4,914
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,056
Gross amount, building & improvements	4,914
Gross amount, total	6,970
Accumulated depreciation	$ (933)
Early Childhood Education | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 716
Initial cost to company, building & improvements	2,500
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	716
Gross amount, building & improvements	2,500
Gross amount, total	3,216
Accumulated depreciation	$ (292)
Early Childhood Education | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 3,200
Initial cost to company, building & improvements	2,423
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,200
Gross amount, building & improvements	2,423
Gross amount, total	5,623
Accumulated depreciation	$ (316)
Early Childhood Education | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,850
Initial cost to company, building & improvements	5,450
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,850
Gross amount, building & improvements	5,450
Gross amount, total	7,301
Accumulated depreciation	$ (657)
Early Childhood Education | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 5,157
Initial cost to company, building & improvements	7,591
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,157
Gross amount, building & improvements	7,591
Gross amount, total	12,748
Accumulated depreciation	$ (272)
Early Childhood Education | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,085
Initial cost to company, building & improvements	2,547
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	124
Gross amount, land & improvements	2,085
Gross amount, building & improvements	2,671
Gross amount, total	4,756
Accumulated depreciation	$ (599)
Early Childhood Education | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 4,239
Initial cost to company, building & improvements	14,583
Cost capitalized subsequent to acquisition, land & improvements	19
Cost capitalized subsequent to acquisition, building & improvements	81
Gross amount, land & improvements	4,258
Gross amount, building & improvements	14,664
Gross amount, total	18,922
Accumulated depreciation	$ (852)
Early Childhood Education | Nebraska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 224
Initial cost to company, building & improvements	813
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	224
Gross amount, building & improvements	813
Gross amount, total	1,037
Accumulated depreciation	$ (31)
Early Childhood Education | Nevada
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,480
Initial cost to company, building & improvements	3,451
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,480
Gross amount, building & improvements	3,451
Gross amount, total	5,930
Accumulated depreciation	$ (338)
Early Childhood Education | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 711
Initial cost to company, building & improvements	1,733
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	711
Gross amount, building & improvements	1,733
Gross amount, total	2,444
Accumulated depreciation	$ (9)
Early Childhood Education | New Jersey
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,249
Initial cost to company, building & improvements	3,439
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,249
Gross amount, building & improvements	3,439
Gross amount, total	4,687
Accumulated depreciation	$ (607)
Early Childhood Education | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 2,087
Initial cost to company, building & improvements	6,664
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,087
Gross amount, building & improvements	6,664
Gross amount, total	8,751
Accumulated depreciation	$ (77)
Early Childhood Education | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	22
Initial cost to company, land & improvements	$ 20,463
Initial cost to company, building & improvements	35,245
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	100
Gross amount, land & improvements	20,463
Gross amount, building & improvements	35,345
Gross amount, total	55,809
Accumulated depreciation	$ (2,789)
Early Childhood Education | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	30
Initial cost to company, land & improvements	$ 23,197
Initial cost to company, building & improvements	61,829
Cost capitalized subsequent to acquisition, land & improvements	31
Cost capitalized subsequent to acquisition, building & improvements	9,321
Gross amount, land & improvements	23,228
Gross amount, building & improvements	71,150
Gross amount, total	94,378
Accumulated depreciation	$ (5,888)
Early Childhood Education | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,327
Initial cost to company, building & improvements	3,860
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,327
Gross amount, building & improvements	3,860
Gross amount, total	5,186
Accumulated depreciation	$ (192)
Early Childhood Education | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	12
Initial cost to company, land & improvements	$ 10,670
Initial cost to company, building & improvements	28,267
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,670
Gross amount, building & improvements	28,267
Gross amount, total	38,937
Accumulated depreciation	$ (5,024)
Early Childhood Education | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,323
Initial cost to company, building & improvements	5,218
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,323
Gross amount, building & improvements	5,218
Gross amount, total	6,541
Accumulated depreciation	$ (14)
Early Childhood Education | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,943
Initial cost to company, building & improvements	2,970
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,943
Gross amount, building & improvements	2,970
Gross amount, total	4,913
Accumulated depreciation	$ (534)
Early Childhood Education | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 9,256
Initial cost to company, building & improvements	18,436
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	529
Gross amount, land & improvements	9,256
Gross amount, building & improvements	18,965
Gross amount, total	28,221
Accumulated depreciation	$ (2,517)
Early Childhood Education | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,799
Initial cost to company, building & improvements	6,385
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,799
Gross amount, building & improvements	6,385
Gross amount, total	10,184
Accumulated depreciation	$ (798)
Early Childhood Education | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 2,235
Initial cost to company, building & improvements	5,154
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,235
Gross amount, building & improvements	5,154
Gross amount, total	7,389
Accumulated depreciation	$ (751)
Early Childhood Education | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 6,716
Initial cost to company, building & improvements	25,474
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,716
Gross amount, building & improvements	25,474
Gross amount, total	32,190
Accumulated depreciation	$ (2,523)
Entertainment | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,806
Initial cost to company, building & improvements	8,631
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,806
Gross amount, building & improvements	8,631
Gross amount, total	14,438
Accumulated depreciation	$ (1,465)
Entertainment | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 4,903
Initial cost to company, building & improvements	21,304
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,903
Gross amount, building & improvements	21,304
Gross amount, total	26,206
Accumulated depreciation	$ (369)
Entertainment | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,320
Initial cost to company, building & improvements	2,320
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,320
Gross amount, building & improvements	2,320
Gross amount, total	3,640
Accumulated depreciation	$ (525)
Entertainment | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 4,681
Initial cost to company, building & improvements	15,584
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,681
Gross amount, building & improvements	15,584
Gross amount, total	20,265
Accumulated depreciation	$ (1,025)
Entertainment | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 6,456
Initial cost to company, building & improvements	6,815
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	4,500
Gross amount, land & improvements	6,456
Gross amount, building & improvements	11,315
Gross amount, total	17,771
Accumulated depreciation	$ (1,581)
Entertainment | Idaho
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 886
Initial cost to company, building & improvements	2,768
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	886
Gross amount, building & improvements	2,768
Gross amount, total	3,654
Accumulated depreciation	$ (402)
Entertainment | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,560
Initial cost to company, building & improvements	6,120
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,560
Gross amount, building & improvements	6,120
Gross amount, total	8,680
Accumulated depreciation	$ (468)
Entertainment | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,886
Initial cost to company, building & improvements	21,128
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,886
Gross amount, building & improvements	21,128
Gross amount, total	27,014
Accumulated depreciation	$ (1,073)
Entertainment | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,403
Initial cost to company, building & improvements	3,115
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,403
Gross amount, building & improvements	3,115
Gross amount, total	6,518
Accumulated depreciation	$ (628)
Entertainment | Maine
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,052
Initial cost to company, building & improvements	4,924
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,052
Gross amount, building & improvements	4,924
Gross amount, total	6,975
Accumulated depreciation	$ (352)
Entertainment | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 693
Initial cost to company, building & improvements	4,593
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,362
Gross amount, land & improvements	693
Gross amount, building & improvements	6,954
Gross amount, total	7,648
Accumulated depreciation	$ (1,295)
Entertainment | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	10
Initial cost to company, land & improvements	$ 10,877
Initial cost to company, building & improvements	20,806
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,877
Gross amount, building & improvements	20,806
Gross amount, total	31,683
Accumulated depreciation	$ (3,386)
Entertainment | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 20,925
Initial cost to company, building & improvements	13,731
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	20,925
Gross amount, building & improvements	13,731
Gross amount, total	34,655
Accumulated depreciation	$ (2,199)
Entertainment | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 11,099
Initial cost to company, building & improvements	21,176
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	11,099
Gross amount, building & improvements	21,176
Gross amount, total	32,275
Accumulated depreciation	$ (3,123)
Entertainment | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 3,073
Initial cost to company, building & improvements	9,673
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,073
Gross amount, building & improvements	9,673
Gross amount, total	12,747
Accumulated depreciation	$ (530)
Entertainment | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 823
Initial cost to company, building & improvements	2,028
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	823
Gross amount, building & improvements	2,028
Gross amount, total	2,850
Accumulated depreciation	$ (378)
Entertainment | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,156
Initial cost to company, building & improvements	1,476
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,156
Gross amount, building & improvements	1,476
Gross amount, total	3,631
Accumulated depreciation	$ (3)
Entertainment | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 18,026
Initial cost to company, building & improvements	1,873
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	18,026
Gross amount, building & improvements	1,873
Gross amount, total	19,898
Accumulated depreciation	$ (462)
Entertainment | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 19,439
Initial cost to company, building & improvements	44,160
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	19,439
Gross amount, building & improvements	44,160
Gross amount, total	63,599
Accumulated depreciation	$ (1,625)
Entertainment | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 4,821
Initial cost to company, building & improvements	7,264
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,821
Gross amount, building & improvements	7,264
Gross amount, total	12,085
Accumulated depreciation	$ (205)
Equipment Rental and Sales | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 5,499
Initial cost to company, building & improvements	6,985
Cost capitalized subsequent to acquisition, land & improvements	12
Cost capitalized subsequent to acquisition, building & improvements	864
Gross amount, land & improvements	5,510
Gross amount, building & improvements	7,849
Gross amount, total	13,360
Accumulated depreciation	$ (442)
Equipment Rental and Sales | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,734
Initial cost to company, building & improvements	544
Cost capitalized subsequent to acquisition, land & improvements	246
Cost capitalized subsequent to acquisition, building & improvements	1,245
Gross amount, land & improvements	2,980
Gross amount, building & improvements	1,788
Gross amount, total	4,769
Accumulated depreciation	$ (169)
Equipment Rental and Sales | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,467
Initial cost to company, building & improvements	2,429
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,467
Gross amount, building & improvements	2,429
Gross amount, total	4,896
Accumulated depreciation	$ (50)
Equipment Rental and Sales | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 6,120
Initial cost to company, building & improvements	3,825
Cost capitalized subsequent to acquisition, land & improvements	5
Cost capitalized subsequent to acquisition, building & improvements	1,021
Gross amount, land & improvements	6,124
Gross amount, building & improvements	4,846
Gross amount, total	10,970
Accumulated depreciation	$ (753)
Equipment Rental and Sales | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,891
Initial cost to company, building & improvements	4,222
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,891
Gross amount, building & improvements	4,222
Gross amount, total	7,113
Accumulated depreciation	$ (181)
Equipment Rental and Sales | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 9,972
Initial cost to company, building & improvements	5,557
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	3,526
Gross amount, land & improvements	9,972
Gross amount, building & improvements	9,083
Gross amount, total	19,055
Accumulated depreciation	$ (794)
Equipment Rental and Sales | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 6,704
Initial cost to company, building & improvements	4,891
Cost capitalized subsequent to acquisition, land & improvements	236
Cost capitalized subsequent to acquisition, building & improvements	3,176
Gross amount, land & improvements	6,940
Gross amount, building & improvements	8,067
Gross amount, total	15,007
Accumulated depreciation	$ (948)
Equipment Rental and Sales | Idaho
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,796
Initial cost to company, building & improvements	1,265
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,796
Gross amount, building & improvements	1,265
Gross amount, total	3,061
Accumulated depreciation	$ (53)
Equipment Rental and Sales | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,006
Initial cost to company, building & improvements	227
Cost capitalized subsequent to acquisition, land & improvements	16
Cost capitalized subsequent to acquisition, building & improvements	1,164
Gross amount, land & improvements	1,022
Gross amount, building & improvements	1,390
Gross amount, total	2,412
Accumulated depreciation	$ (235)
Equipment Rental and Sales | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,756
Initial cost to company, building & improvements	2,904
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,756
Gross amount, building & improvements	2,904
Gross amount, total	4,661
Accumulated depreciation	$ (322)
Equipment Rental and Sales | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 6,086
Initial cost to company, building & improvements	9,037
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,331
Gross amount, land & improvements	6,086
Gross amount, building & improvements	10,368
Gross amount, total	16,454
Accumulated depreciation	$ (1,276)
Equipment Rental and Sales | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 5,538
Initial cost to company, building & improvements	6,703
Cost capitalized subsequent to acquisition, land & improvements	21
Cost capitalized subsequent to acquisition, building & improvements	1,536
Gross amount, land & improvements	5,558
Gross amount, building & improvements	8,238
Gross amount, total	13,797
Accumulated depreciation	$ (870)
Equipment Rental and Sales | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 4,991
Initial cost to company, building & improvements	1,859
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	982
Gross amount, land & improvements	4,991
Gross amount, building & improvements	2,841
Gross amount, total	7,832
Accumulated depreciation	$ (215)
Equipment Rental and Sales | New Mexico
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,686
Initial cost to company, building & improvements	286
Cost capitalized subsequent to acquisition, land & improvements	25
Cost capitalized subsequent to acquisition, building & improvements	1,862
Gross amount, land & improvements	1,711
Gross amount, building & improvements	2,148
Gross amount, total	3,859
Accumulated depreciation	$ (313)
Equipment Rental and Sales | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 7,131
Initial cost to company, building & improvements	3,366
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	7,131
Gross amount, building & improvements	3,366
Gross amount, total	10,497
Accumulated depreciation	$ (495)
Equipment Rental and Sales | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,488
Initial cost to company, building & improvements	649
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,451
Gross amount, land & improvements	1,488
Gross amount, building & improvements	2,100
Gross amount, total	3,589
Accumulated depreciation	$ (6)
Equipment Rental and Sales | North Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 851
Initial cost to company, building & improvements	1,567
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	330
Gross amount, land & improvements	851
Gross amount, building & improvements	1,897
Gross amount, total	2,748
Accumulated depreciation	$ (100)
Equipment Rental and Sales | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,268
Initial cost to company, building & improvements	2,257
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,268
Gross amount, building & improvements	2,257
Gross amount, total	4,525
Accumulated depreciation	$ (237)
Equipment Rental and Sales | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 751
Initial cost to company, building & improvements	1,678
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	751
Gross amount, building & improvements	1,678
Gross amount, total	2,429
Accumulated depreciation	$ (284)
Equipment Rental and Sales | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,777
Initial cost to company, building & improvements	582
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	616
Gross amount, land & improvements	1,777
Gross amount, building & improvements	1,198
Gross amount, total	2,975
Accumulated depreciation	$ (8)
Equipment Rental and Sales | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,519
Initial cost to company, building & improvements	3,713
Cost capitalized subsequent to acquisition, land & improvements	816
Cost capitalized subsequent to acquisition, building & improvements	1,734
Gross amount, land & improvements	4,335
Gross amount, building & improvements	5,448
Gross amount, total	9,783
Accumulated depreciation	$ (657)
Equipment Rental and Sales | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	15
Initial cost to company, land & improvements	$ 19,681
Initial cost to company, building & improvements	23,217
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,937
Gross amount, land & improvements	19,681
Gross amount, building & improvements	26,154
Gross amount, total	45,835
Accumulated depreciation	$ (1,333)
Equipment Rental and Sales | Utah
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,731
Initial cost to company, building & improvements	2,196
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,346
Gross amount, land & improvements	1,731
Gross amount, building & improvements	3,542
Gross amount, total	5,273
Accumulated depreciation	$ (472)
Equipment Rental and Sales | Vermont
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,809
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,809
Gross amount, building & improvements	0
Gross amount, total	1,809
Accumulated depreciation	$ 0
Equipment Rental and Sales | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,076
Initial cost to company, building & improvements	199
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	581
Gross amount, land & improvements	2,076
Gross amount, building & improvements	780
Gross amount, total	2,856
Accumulated depreciation	$ (6)
Equipment Rental and Sales | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,946
Initial cost to company, building & improvements	2,727
Cost capitalized subsequent to acquisition, land & improvements	492
Cost capitalized subsequent to acquisition, building & improvements	1,563
Gross amount, land & improvements	6,438
Gross amount, building & improvements	4,289
Gross amount, total	10,727
Accumulated depreciation	$ (460)
Grocery | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 5,704
Initial cost to company, building & improvements	12,942
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,425
Gross amount, land & improvements	5,704
Gross amount, building & improvements	14,367
Gross amount, total	20,071
Accumulated depreciation	$ (1,516)
Grocery | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,524
Initial cost to company, building & improvements	8,059
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,524
Gross amount, building & improvements	8,059
Gross amount, total	9,583
Accumulated depreciation	$ (161)
Grocery | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,224
Initial cost to company, building & improvements	6,189
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,224
Gross amount, building & improvements	6,189
Gross amount, total	7,412
Accumulated depreciation	$ (557)
Grocery | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	10
Initial cost to company, land & improvements	$ 5,661
Initial cost to company, building & improvements	16,938
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,661
Gross amount, building & improvements	16,938
Gross amount, total	22,599
Accumulated depreciation	$ (2,181)
Grocery | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 762
Initial cost to company, building & improvements	1,300
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	762
Gross amount, building & improvements	1,300
Gross amount, total	2,062
Accumulated depreciation	$ (264)
Grocery | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,606
Initial cost to company, building & improvements	8,726
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,606
Gross amount, building & improvements	8,726
Gross amount, total	10,332
Accumulated depreciation	$ (1,141)
Grocery | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 20,724
Initial cost to company, building & improvements	80,848
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	20,724
Gross amount, building & improvements	80,848
Gross amount, total	101,573
Accumulated depreciation	$ (4,969)
Health and Fitness | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,102
Initial cost to company, building & improvements	2,412
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,102
Gross amount, building & improvements	2,412
Gross amount, total	3,515
Accumulated depreciation	$ (517)
Health and Fitness | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 4,367
Initial cost to company, building & improvements	4,264
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,367
Gross amount, building & improvements	4,264
Gross amount, total	8,632
Accumulated depreciation	$ (471)
Health and Fitness | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,484
Initial cost to company, building & improvements	4,491
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,484
Gross amount, building & improvements	4,491
Gross amount, total	5,975
Accumulated depreciation	$ (832)
Health and Fitness | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,291
Initial cost to company, building & improvements	5,975
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,572
Gross amount, land & improvements	5,291
Gross amount, building & improvements	8,546
Gross amount, total	13,837
Accumulated depreciation	$ (715)
Health and Fitness | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 5,751
Initial cost to company, building & improvements	6,242
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,751
Gross amount, building & improvements	6,242
Gross amount, total	11,993
Accumulated depreciation	$ (631)
Health and Fitness | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,133
Initial cost to company, building & improvements	2,226
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	2,150
Gross amount, land & improvements	1,133
Gross amount, building & improvements	4,376
Gross amount, total	5,510
Accumulated depreciation	$ (546)
Health and Fitness | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,668
Initial cost to company, building & improvements	3,268
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,668
Gross amount, building & improvements	3,268
Gross amount, total	4,936
Accumulated depreciation	$ (61)
Health and Fitness | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,013
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,013
Gross amount, building & improvements	0
Gross amount, total	2,013
Accumulated depreciation	$ 0
Health and Fitness | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 954
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	954
Gross amount, building & improvements	0
Gross amount, total	954
Accumulated depreciation	$ 0
Health and Fitness | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 868
Initial cost to company, building & improvements	2,186
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	868
Gross amount, building & improvements	2,186
Gross amount, total	3,053
Accumulated depreciation	$ (437)
Health and Fitness | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 10,541
Initial cost to company, building & improvements	29,129
Cost capitalized subsequent to acquisition, land & improvements	282
Cost capitalized subsequent to acquisition, building & improvements	3,605
Gross amount, land & improvements	10,822
Gross amount, building & improvements	32,735
Gross amount, total	43,557
Accumulated depreciation	$ (4,353)
Health and Fitness | Nevada
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 491
Initial cost to company, building & improvements	2,543
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	491
Gross amount, building & improvements	2,543
Gross amount, total	3,034
Accumulated depreciation	$ (355)
Health and Fitness | New Mexico
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 938
Initial cost to company, building & improvements	1,503
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	938
Gross amount, building & improvements	1,503
Gross amount, total	2,441
Accumulated depreciation	$ (346)
Health and Fitness | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 912
Initial cost to company, building & improvements	883
Cost capitalized subsequent to acquisition, land & improvements	761
Cost capitalized subsequent to acquisition, building & improvements	1,875
Gross amount, land & improvements	1,674
Gross amount, building & improvements	2,759
Gross amount, total	4,432
Accumulated depreciation	$ (276)
Health and Fitness | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 8,211
Initial cost to company, building & improvements	12,420
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	559
Gross amount, land & improvements	8,211
Gross amount, building & improvements	12,980
Gross amount, total	21,191
Accumulated depreciation	$ (1,328)
Health and Fitness | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,024
Initial cost to company, building & improvements	2,468
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,024
Gross amount, building & improvements	2,468
Gross amount, total	4,492
Accumulated depreciation	$ (529)
Health and Fitness | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 4,516
Initial cost to company, building & improvements	9,463
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	330
Gross amount, land & improvements	4,516
Gross amount, building & improvements	9,793
Gross amount, total	14,309
Accumulated depreciation	$ (1,554)
Health and Fitness | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 13,269
Initial cost to company, building & improvements	20,039
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	144
Gross amount, land & improvements	13,269
Gross amount, building & improvements	20,183
Gross amount, total	33,452
Accumulated depreciation	$ (943)
Health and Fitness | Utah
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,937
Initial cost to company, building & improvements	4,209
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,937
Gross amount, building & improvements	4,209
Gross amount, total	6,146
Accumulated depreciation	$ (844)
Home Furnishings | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,369
Initial cost to company, building & improvements	24,427
Cost capitalized subsequent to acquisition, land & improvements	69
Cost capitalized subsequent to acquisition, building & improvements	3,034
Gross amount, land & improvements	3,438
Gross amount, building & improvements	27,461
Gross amount, total	30,899
Accumulated depreciation	$ (5,129)
Home Furnishings | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 273
Initial cost to company, building & improvements	4,683
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	273
Gross amount, building & improvements	4,683
Gross amount, total	4,956
Accumulated depreciation	$ (640)
Industrial | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 6,173
Initial cost to company, building & improvements	19,694
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,173
Gross amount, building & improvements	19,694
Gross amount, total	25,867
Accumulated depreciation	$ (633)
Industrial | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 9,388
Initial cost to company, building & improvements	1,955
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,388
Gross amount, building & improvements	1,955
Gross amount, total	11,344
Accumulated depreciation	$ (62)
Industrial | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,958
Initial cost to company, building & improvements	1,744
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,958
Gross amount, building & improvements	1,744
Gross amount, total	5,702
Accumulated depreciation	$ (114)
Industrial | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,789
Initial cost to company, building & improvements	6,261
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,789
Gross amount, building & improvements	6,261
Gross amount, total	8,050
Accumulated depreciation	$ (247)
Industrial | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 734
Initial cost to company, building & improvements	3,261
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	734
Gross amount, building & improvements	3,261
Gross amount, total	3,995
Accumulated depreciation	$ (121)
Industrial | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 490
Initial cost to company, building & improvements	761
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,783
Gross amount, land & improvements	490
Gross amount, building & improvements	2,544
Gross amount, total	3,034
Accumulated depreciation	$ (83)
Industrial | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 272
Initial cost to company, building & improvements	998
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	272
Gross amount, building & improvements	998
Gross amount, total	1,270
Accumulated depreciation	$ (28)
Industrial | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,198
Initial cost to company, building & improvements	3,351
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,198
Gross amount, building & improvements	3,351
Gross amount, total	5,549
Accumulated depreciation	$ (201)
Industrial | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 909
Initial cost to company, building & improvements	746
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	909
Gross amount, building & improvements	746
Gross amount, total	1,655
Accumulated depreciation	$ (107)
Industrial | North Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,354
Initial cost to company, building & improvements	2,860
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,354
Gross amount, building & improvements	2,860
Gross amount, total	4,214
Accumulated depreciation	$ (52)
Industrial | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 902
Initial cost to company, building & improvements	2,330
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	902
Gross amount, building & improvements	2,330
Gross amount, total	3,231
Accumulated depreciation	$ (102)
Industrial | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 922
Initial cost to company, building & improvements	5,548
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	922
Gross amount, building & improvements	5,548
Gross amount, total	6,471
Accumulated depreciation	$ (102)
Industrial | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 678
Initial cost to company, building & improvements	2,922
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	678
Gross amount, building & improvements	2,922
Gross amount, total	3,600
Accumulated depreciation	$ (167)
Industrial | South Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,250
Initial cost to company, building & improvements	2,950
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,250
Gross amount, building & improvements	2,950
Gross amount, total	4,200
Accumulated depreciation	$ (202)
Industrial | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 861
Initial cost to company, building & improvements	2,139
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	861
Gross amount, building & improvements	2,139
Gross amount, total	3,001
Accumulated depreciation	$ (69)
Industrial | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 5,350
Initial cost to company, building & improvements	6,679
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,350
Gross amount, building & improvements	6,679
Gross amount, total	12,029
Accumulated depreciation	$ (1,013)
Industrial | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 679
Initial cost to company, building & improvements	3,839
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	679
Gross amount, building & improvements	3,839
Gross amount, total	4,518
Accumulated depreciation	$ (287)
Industrial | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 4,383
Initial cost to company, building & improvements	110
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,383
Gross amount, building & improvements	110
Gross amount, total	4,493
Accumulated depreciation	$ (6)
Medical / Dental | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,623
Initial cost to company, building & improvements	7,508
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,623
Gross amount, building & improvements	7,508
Gross amount, total	9,131
Accumulated depreciation	$ (1,270)
Medical / Dental | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,770
Initial cost to company, building & improvements	2,635
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,913
Gross amount, land & improvements	1,770
Gross amount, building & improvements	4,549
Gross amount, total	6,319
Accumulated depreciation	$ (369)
Medical / Dental | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	16
Initial cost to company, land & improvements	$ 4,013
Initial cost to company, building & improvements	12,692
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	497
Gross amount, land & improvements	4,013
Gross amount, building & improvements	13,189
Gross amount, total	17,202
Accumulated depreciation	$ (1,955)
Medical / Dental | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,867
Initial cost to company, building & improvements	4,276
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,867
Gross amount, building & improvements	4,276
Gross amount, total	6,142
Accumulated depreciation	$ (430)
Medical / Dental | Connecticut
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,889
Initial cost to company, building & improvements	1,675
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,889
Gross amount, building & improvements	1,675
Gross amount, total	3,564
Accumulated depreciation	$ (241)
Medical / Dental | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	13
Initial cost to company, land & improvements	$ 10,524
Initial cost to company, building & improvements	33,494
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	200
Gross amount, land & improvements	10,524
Gross amount, building & improvements	33,694
Gross amount, total	44,218
Accumulated depreciation	$ (2,542)
Medical / Dental | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 9,437
Initial cost to company, building & improvements	17,853
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,437
Gross amount, building & improvements	17,853
Gross amount, total	27,290
Accumulated depreciation	$ (1,138)
Medical / Dental | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 4,816
Initial cost to company, building & improvements	14,474
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,816
Gross amount, building & improvements	14,474
Gross amount, total	19,290
Accumulated depreciation	$ (1,321)
Medical / Dental | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 5,985
Initial cost to company, building & improvements	7,951
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,985
Gross amount, building & improvements	7,951
Gross amount, total	13,936
Accumulated depreciation	$ (1,197)
Medical / Dental | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,252
Initial cost to company, building & improvements	2,085
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,252
Gross amount, building & improvements	2,085
Gross amount, total	3,337
Accumulated depreciation	$ (79)
Medical / Dental | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 199
Initial cost to company, building & improvements	474
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	199
Gross amount, building & improvements	474
Gross amount, total	673
Accumulated depreciation	$ (111)
Medical / Dental | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 853
Initial cost to company, building & improvements	2,784
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	853
Gross amount, building & improvements	2,784
Gross amount, total	3,637
Accumulated depreciation	$ (329)
Medical / Dental | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,401
Initial cost to company, building & improvements	9,443
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,401
Gross amount, building & improvements	9,443
Gross amount, total	11,844
Accumulated depreciation	$ (646)
Medical / Dental | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 1,302
Initial cost to company, building & improvements	13,437
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,302
Gross amount, building & improvements	13,437
Gross amount, total	14,739
Accumulated depreciation	$ (1,437)
Medical / Dental | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 3,543
Initial cost to company, building & improvements	9,169
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	775
Gross amount, land & improvements	3,543
Gross amount, building & improvements	9,944
Gross amount, total	13,487
Accumulated depreciation	$ (987)
Medical / Dental | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 5,304
Initial cost to company, building & improvements	18,868
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,304
Gross amount, building & improvements	18,868
Gross amount, total	24,172
Accumulated depreciation	$ (815)
Medical / Dental | New Jersey
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,731
Initial cost to company, building & improvements	6,560
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,731
Gross amount, building & improvements	6,560
Gross amount, total	8,291
Accumulated depreciation	$ (32)
Medical / Dental | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 1,032
Initial cost to company, building & improvements	3,736
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,032
Gross amount, building & improvements	3,736
Gross amount, total	4,768
Accumulated depreciation	$ (371)
Medical / Dental | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 2,527
Initial cost to company, building & improvements	6,920
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,527
Gross amount, building & improvements	6,920
Gross amount, total	9,446
Accumulated depreciation	$ (591)
Medical / Dental | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	21
Initial cost to company, land & improvements	$ 10,332
Initial cost to company, building & improvements	28,725
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,332
Gross amount, building & improvements	28,725
Gross amount, total	39,057
Accumulated depreciation	$ (2,526)
Medical / Dental | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 1,472
Initial cost to company, building & improvements	6,767
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,472
Gross amount, building & improvements	6,767
Gross amount, total	8,239
Accumulated depreciation	$ (554)
Medical / Dental | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,457
Initial cost to company, building & improvements	1,230
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,457
Gross amount, building & improvements	1,230
Gross amount, total	2,687
Accumulated depreciation	$ (177)
Medical / Dental | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 505
Initial cost to company, building & improvements	3,641
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	505
Gross amount, building & improvements	3,641
Gross amount, total	4,146
Accumulated depreciation	$ (212)
Medical / Dental | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 4,836
Initial cost to company, building & improvements	10,564
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,836
Gross amount, building & improvements	10,564
Gross amount, total	15,400
Accumulated depreciation	$ (1,190)
Medical / Dental | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	49
Initial cost to company, land & improvements	$ 31,618
Initial cost to company, building & improvements	111,148
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,601
Gross amount, land & improvements	31,618
Gross amount, building & improvements	112,750
Gross amount, total	144,368
Accumulated depreciation	$ (14,878)
Medical / Dental | Vermont
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 357
Initial cost to company, building & improvements	916
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	357
Gross amount, building & improvements	916
Gross amount, total	1,273
Accumulated depreciation	$ (69)
Medical / Dental | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,493
Initial cost to company, building & improvements	2,800
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,493
Gross amount, building & improvements	2,800
Gross amount, total	4,293
Accumulated depreciation	$ (266)
Medical / Dental | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 627
Initial cost to company, building & improvements	868
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	627
Gross amount, building & improvements	868
Gross amount, total	1,496
Accumulated depreciation	$ (155)
Medical / Dental | Wyoming
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 620
Initial cost to company, building & improvements	2,550
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	620
Gross amount, building & improvements	2,550
Gross amount, total	3,170
Accumulated depreciation	$ (528)
Movie Theatres | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,011
Initial cost to company, building & improvements	10,643
Cost capitalized subsequent to acquisition, land & improvements	169
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,180
Gross amount, building & improvements	10,643
Gross amount, total	13,823
Accumulated depreciation	$ (2,340)
Movie Theatres | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,826
Initial cost to company, building & improvements	2,798
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,826
Gross amount, building & improvements	2,798
Gross amount, total	4,624
Accumulated depreciation	$ (573)
Movie Theatres | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,126
Initial cost to company, building & improvements	10,097
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,126
Gross amount, building & improvements	10,097
Gross amount, total	12,223
Accumulated depreciation	$ (1,740)
Movie Theatres | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,465
Initial cost to company, building & improvements	7,081
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,465
Gross amount, building & improvements	7,081
Gross amount, total	8,546
Accumulated depreciation	$ (1,295)
Movie Theatres | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 3,049
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,049
Gross amount, building & improvements	0
Gross amount, total	3,049
Accumulated depreciation	$ 0
Movie Theatres | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 3,159
Initial cost to company, building & improvements	3,755
Cost capitalized subsequent to acquisition, land & improvements	164
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,323
Gross amount, building & improvements	3,755
Gross amount, total	7,078
Accumulated depreciation	$ (937)
Other Services | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 312
Initial cost to company, building & improvements	176
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	312
Gross amount, building & improvements	176
Gross amount, total	488
Accumulated depreciation	$ (75)
Other Services | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 370
Initial cost to company, building & improvements	434
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	370
Gross amount, building & improvements	434
Gross amount, total	804
Accumulated depreciation	$ (120)
Other Services | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,187
Initial cost to company, building & improvements	3,344
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,187
Gross amount, building & improvements	3,344
Gross amount, total	4,531
Accumulated depreciation	$ (303)
Other Services | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 2,293
Initial cost to company, building & improvements	7,204
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,293
Gross amount, building & improvements	7,204
Gross amount, total	9,497
Accumulated depreciation	$ (922)
Other Services | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,503
Initial cost to company, building & improvements	4,613
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,503
Gross amount, building & improvements	4,613
Gross amount, total	6,115
Accumulated depreciation	$ (549)
Other Services | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 714
Initial cost to company, building & improvements	553
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	714
Gross amount, building & improvements	553
Gross amount, total	1,268
Accumulated depreciation	$ (27)
Other Services | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 713
Initial cost to company, building & improvements	1,942
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	713
Gross amount, building & improvements	1,942
Gross amount, total	2,655
Accumulated depreciation	$ (391)
Other Services | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 246
Initial cost to company, building & improvements	1,056
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	246
Gross amount, building & improvements	1,056
Gross amount, total	1,301
Accumulated depreciation	$ (11)
Other Services | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,257
Initial cost to company, building & improvements	2,073
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,257
Gross amount, building & improvements	2,073
Gross amount, total	4,330
Accumulated depreciation	$ (268)
Other Services | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,014
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,014
Gross amount, building & improvements	0
Gross amount, total	2,014
Accumulated depreciation	$ 0
Other Services | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,056
Initial cost to company, building & improvements	5,810
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,056
Gross amount, building & improvements	5,810
Gross amount, total	8,866
Accumulated depreciation	$ (234)
Other Services | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	14
Initial cost to company, land & improvements	$ 10,757
Initial cost to company, building & improvements	19,485
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,757
Gross amount, building & improvements	19,485
Gross amount, total	30,242
Accumulated depreciation	$ (2,317)
Other Services | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 15,090
Initial cost to company, building & improvements	17,940
Cost capitalized subsequent to acquisition, land & improvements	729
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	15,819
Gross amount, building & improvements	17,940
Gross amount, total	33,759
Accumulated depreciation	$ (1,883)
Other Services | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,259
Initial cost to company, building & improvements	1,786
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,259
Gross amount, building & improvements	1,786
Gross amount, total	3,045
Accumulated depreciation	$ (391)
Other Services | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,010
Initial cost to company, building & improvements	1,781
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,010
Gross amount, building & improvements	1,781
Gross amount, total	2,792
Accumulated depreciation	$ (5)
Pet Care Services | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,359
Initial cost to company, building & improvements	4,730
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,359
Gross amount, building & improvements	4,730
Gross amount, total	7,089
Accumulated depreciation	$ (92)
Pet Care Services | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,386
Initial cost to company, building & improvements	2,589
Cost capitalized subsequent to acquisition, land & improvements	13
Cost capitalized subsequent to acquisition, building & improvements	1,575
Gross amount, land & improvements	2,399
Gross amount, building & improvements	4,164
Gross amount, total	6,563
Accumulated depreciation	$ (565)
Pet Care Services | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,741
Initial cost to company, building & improvements	10,657
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,741
Gross amount, building & improvements	10,657
Gross amount, total	13,398
Accumulated depreciation	$ (467)
Pet Care Services | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,933
Initial cost to company, building & improvements	4,718
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,933
Gross amount, building & improvements	4,718
Gross amount, total	7,651
Accumulated depreciation	$ (872)
Pet Care Services | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,335
Initial cost to company, building & improvements	3,367
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,335
Gross amount, building & improvements	3,367
Gross amount, total	6,702
Accumulated depreciation	$ (353)
Pet Care Services | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,475
Initial cost to company, building & improvements	1,504
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,475
Gross amount, building & improvements	1,504
Gross amount, total	2,979
Accumulated depreciation	$ (365)
Pet Care Services | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 1,676
Initial cost to company, building & improvements	5,148
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,676
Gross amount, building & improvements	5,148
Gross amount, total	6,824
Accumulated depreciation	$ (872)
Pet Care Services | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 485
Initial cost to company, building & improvements	701
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	183
Gross amount, land & improvements	485
Gross amount, building & improvements	884
Gross amount, total	1,369
Accumulated depreciation	$ (127)
Pet Care Services | Maryland
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 586
Initial cost to company, building & improvements	1,881
Cost capitalized subsequent to acquisition, land & improvements	16
Cost capitalized subsequent to acquisition, building & improvements	34
Gross amount, land & improvements	602
Gross amount, building & improvements	1,915
Gross amount, total	2,516
Accumulated depreciation	$ (199)
Pet Care Services | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 537
Initial cost to company, building & improvements	752
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	537
Gross amount, building & improvements	752
Gross amount, total	1,289
Accumulated depreciation	$ (127)
Pet Care Services | Nebraska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 381
Initial cost to company, building & improvements	332
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	381
Gross amount, building & improvements	332
Gross amount, total	713
Accumulated depreciation	$ (101)
Pet Care Services | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 327
Initial cost to company, building & improvements	697
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	327
Gross amount, building & improvements	697
Gross amount, total	1,023
Accumulated depreciation	$ (23)
Pet Care Services | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,561
Initial cost to company, building & improvements	5,909
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,561
Gross amount, building & improvements	5,909
Gross amount, total	7,470
Accumulated depreciation	$ (501)
Pet Care Services | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 225
Initial cost to company, building & improvements	283
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	225
Gross amount, building & improvements	283
Gross amount, total	508
Accumulated depreciation	$ (86)
Pet Care Services | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 192
Initial cost to company, building & improvements	324
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	192
Gross amount, building & improvements	324
Gross amount, total	516
Accumulated depreciation	$ (46)
Pet Care Services | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,808
Initial cost to company, building & improvements	1,017
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,808
Gross amount, building & improvements	1,017
Gross amount, total	2,825
Accumulated depreciation	$ (163)
Pet Care Services | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,782
Initial cost to company, building & improvements	7,093
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,782
Gross amount, building & improvements	7,093
Gross amount, total	9,875
Accumulated depreciation	$ (184)
Restaurants - Casual Dining | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 2,954
Initial cost to company, building & improvements	7,305
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,954
Gross amount, building & improvements	7,305
Gross amount, total	10,259
Accumulated depreciation	$ (1,651)
Restaurants - Casual Dining | Arizona
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,118
Initial cost to company, building & improvements	3,865
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,118
Gross amount, building & improvements	3,865
Gross amount, total	5,983
Accumulated depreciation	$ (73)
Restaurants - Casual Dining | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,392
Initial cost to company, building & improvements	1,929
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,392
Gross amount, building & improvements	1,929
Gross amount, total	3,322
Accumulated depreciation	$ (29)
Restaurants - Casual Dining | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,593
Initial cost to company, building & improvements	3,400
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,593
Gross amount, building & improvements	3,400
Gross amount, total	4,994
Accumulated depreciation	$ (714)
Restaurants - Casual Dining | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 5,497
Initial cost to company, building & improvements	11,008
Cost capitalized subsequent to acquisition, land & improvements	55
Cost capitalized subsequent to acquisition, building & improvements	29
Gross amount, land & improvements	5,552
Gross amount, building & improvements	11,037
Gross amount, total	16,589
Accumulated depreciation	$ (2,768)
Restaurants - Casual Dining | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 5,991
Initial cost to company, building & improvements	8,193
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	600
Gross amount, land & improvements	5,991
Gross amount, building & improvements	8,793
Gross amount, total	14,784
Accumulated depreciation	$ (1,689)
Restaurants - Casual Dining | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 4,329
Initial cost to company, building & improvements	3,456
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	18
Gross amount, land & improvements	4,329
Gross amount, building & improvements	3,473
Gross amount, total	7,803
Accumulated depreciation	$ (363)
Restaurants - Casual Dining | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 2,387
Initial cost to company, building & improvements	1,827
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,387
Gross amount, building & improvements	1,827
Gross amount, total	4,214
Accumulated depreciation	$ (29)
Restaurants - Casual Dining | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,078
Initial cost to company, building & improvements	6,311
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,078
Gross amount, building & improvements	6,311
Gross amount, total	8,389
Accumulated depreciation	$ (783)
Restaurants - Casual Dining | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 3,045
Initial cost to company, building & improvements	1,382
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,045
Gross amount, building & improvements	1,382
Gross amount, total	4,427
Accumulated depreciation	$ (169)
Restaurants - Casual Dining | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,798
Initial cost to company, building & improvements	3,643
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,798
Gross amount, building & improvements	3,643
Gross amount, total	5,441
Accumulated depreciation	$ (337)
Restaurants - Casual Dining | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,156
Initial cost to company, building & improvements	3,330
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,156
Gross amount, building & improvements	3,330
Gross amount, total	5,486
Accumulated depreciation	$ (831)
Restaurants - Casual Dining | Maryland
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 4,440
Initial cost to company, building & improvements	4,991
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,440
Gross amount, building & improvements	4,991
Gross amount, total	9,431
Accumulated depreciation	$ (581)
Restaurants - Casual Dining | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	10
Initial cost to company, land & improvements	$ 12,982
Initial cost to company, building & improvements	14,943
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	12,982
Gross amount, building & improvements	14,943
Gross amount, total	27,926
Accumulated depreciation	$ (1,501)
Restaurants - Casual Dining | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 6,671
Initial cost to company, building & improvements	15,576
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,671
Gross amount, building & improvements	15,576
Gross amount, total	22,247
Accumulated depreciation	$ (2,171)
Restaurants - Casual Dining | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 7,921
Initial cost to company, building & improvements	14,090
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	7,921
Gross amount, building & improvements	14,090
Gross amount, total	22,010
Accumulated depreciation	$ (529)
Restaurants - Casual Dining | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 926
Initial cost to company, building & improvements	624
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	926
Gross amount, building & improvements	624
Gross amount, total	1,550
Accumulated depreciation	$ (158)
Restaurants - Casual Dining | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 9,052
Initial cost to company, building & improvements	13,838
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,052
Gross amount, building & improvements	13,838
Gross amount, total	22,891
Accumulated depreciation	$ (690)
Restaurants - Casual Dining | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,978
Initial cost to company, building & improvements	2,127
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,978
Gross amount, building & improvements	2,127
Gross amount, total	4,105
Accumulated depreciation	$ (150)
Restaurants - Casual Dining | New Jersey
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 9,625
Initial cost to company, building & improvements	28,327
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	9,625
Gross amount, building & improvements	28,327
Gross amount, total	37,952
Accumulated depreciation	$ (1,154)
Restaurants - Casual Dining | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 594
Initial cost to company, building & improvements	2,391
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	594
Gross amount, building & improvements	2,391
Gross amount, total	2,985
Accumulated depreciation	$ (38)
Restaurants - Casual Dining | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 8,882
Initial cost to company, building & improvements	15,086
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	8,882
Gross amount, building & improvements	15,086
Gross amount, total	23,968
Accumulated depreciation	$ (878)
Restaurants - Casual Dining | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 2,039
Initial cost to company, building & improvements	0
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,039
Gross amount, building & improvements	0
Gross amount, total	2,039
Accumulated depreciation	$ 0
Restaurants - Casual Dining | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 6,632
Initial cost to company, building & improvements	11,046
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	6,632
Gross amount, building & improvements	11,046
Gross amount, total	17,678
Accumulated depreciation	$ (403)
Restaurants - Casual Dining | Rhode Island
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 830
Initial cost to company, building & improvements	1,171
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	830
Gross amount, building & improvements	1,171
Gross amount, total	2,001
Accumulated depreciation	$ (119)
Restaurants - Casual Dining | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 447
Initial cost to company, building & improvements	292
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	29
Gross amount, land & improvements	447
Gross amount, building & improvements	321
Gross amount, total	768
Accumulated depreciation	$ (107)
Restaurants - Casual Dining | South Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,922
Initial cost to company, building & improvements	2,475
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,922
Gross amount, building & improvements	2,475
Gross amount, total	4,397
Accumulated depreciation	$ (192)
Restaurants - Casual Dining | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 683
Initial cost to company, building & improvements	737
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	683
Gross amount, building & improvements	737
Gross amount, total	1,420
Accumulated depreciation	$ (162)
Restaurants - Casual Dining | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	8
Initial cost to company, land & improvements	$ 10,874
Initial cost to company, building & improvements	8,469
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	10,874
Gross amount, building & improvements	8,469
Gross amount, total	19,343
Accumulated depreciation	$ (732)
Restaurants - Casual Dining | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 4,119
Initial cost to company, building & improvements	6,014
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,119
Gross amount, building & improvements	6,014
Gross amount, total	10,133
Accumulated depreciation	$ (357)
Restaurants - Casual Dining | West Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 953
Initial cost to company, building & improvements	3,180
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	953
Gross amount, building & improvements	3,180
Gross amount, total	4,134
Accumulated depreciation	$ (200)
Restaurants - Family Dining | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 467
Initial cost to company, building & improvements	421
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	150
Gross amount, land & improvements	467
Gross amount, building & improvements	571
Gross amount, total	1,038
Accumulated depreciation	$ (357)
Restaurants - Family Dining | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	14
Initial cost to company, land & improvements	$ 9,832
Initial cost to company, building & improvements	22,607
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,330
Gross amount, land & improvements	9,832
Gross amount, building & improvements	23,937
Gross amount, total	33,769
Accumulated depreciation	$ (1,434)
Restaurants - Family Dining | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,372
Initial cost to company, building & improvements	1,206
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	750
Gross amount, land & improvements	1,372
Gross amount, building & improvements	1,956
Gross amount, total	3,328
Accumulated depreciation	$ (394)
Restaurants - Family Dining | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 804
Initial cost to company, building & improvements	563
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	804
Gross amount, building & improvements	563
Gross amount, total	1,367
Accumulated depreciation	$ (171)
Restaurants - Family Dining | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,148
Initial cost to company, building & improvements	2,847
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,148
Gross amount, building & improvements	2,847
Gross amount, total	4,995
Accumulated depreciation	$ (418)
Restaurants - Family Dining | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,433
Initial cost to company, building & improvements	2,451
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,433
Gross amount, building & improvements	2,451
Gross amount, total	4,883
Accumulated depreciation	$ (778)
Restaurants - Family Dining | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,038
Initial cost to company, building & improvements	1,153
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,038
Gross amount, building & improvements	1,153
Gross amount, total	2,191
Accumulated depreciation	$ (346)
Restaurants - Family Dining | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 131
Initial cost to company, building & improvements	232
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	131
Gross amount, building & improvements	232
Gross amount, total	364
Accumulated depreciation	$ (364)
Restaurants - Family Dining | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 784
Initial cost to company, building & improvements	756
Cost capitalized subsequent to acquisition, land & improvements	6
Cost capitalized subsequent to acquisition, building & improvements	61
Gross amount, land & improvements	790
Gross amount, building & improvements	817
Gross amount, total	1,607
Accumulated depreciation	$ (234)
Restaurants - Family Dining | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,930
Initial cost to company, building & improvements	2,111
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,930
Gross amount, building & improvements	2,111
Gross amount, total	4,041
Accumulated depreciation	$ (306)
Restaurants - Family Dining | Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 90
Initial cost to company, building & improvements	192
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	90
Gross amount, building & improvements	192
Gross amount, total	282
Accumulated depreciation	$ (282)
Restaurants - Family Dining | Washington
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,787
Initial cost to company, building & improvements	3,861
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,787
Gross amount, building & improvements	3,861
Gross amount, total	5,647
Accumulated depreciation	$ (629)
Restaurants - Family Dining | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,967
Initial cost to company, building & improvements	2,955
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,967
Gross amount, building & improvements	2,955
Gross amount, total	4,922
Accumulated depreciation	$ (599)
Restaurants - Family Dining | Wyoming
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 739
Initial cost to company, building & improvements	1,569
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	739
Gross amount, building & improvements	1,569
Gross amount, total	2,308
Accumulated depreciation	$ (222)
Restaurants - Quick Service | Alabama
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	27
Initial cost to company, land & improvements	$ 7,180
Initial cost to company, building & improvements	15,222
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	83
Gross amount, land & improvements	7,180
Gross amount, building & improvements	15,305
Gross amount, total	22,485
Accumulated depreciation	$ (3,032)
Restaurants - Quick Service | Alaska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,115
Initial cost to company, building & improvements	3,157
Cost capitalized subsequent to acquisition, land & improvements	5
Cost capitalized subsequent to acquisition, building & improvements	527
Gross amount, land & improvements	1,120
Gross amount, building & improvements	3,684
Gross amount, total	4,804
Accumulated depreciation	$ (631)
Restaurants - Quick Service | Arkansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	13
Initial cost to company, land & improvements	$ 6,961
Initial cost to company, building & improvements	11,489
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	15
Gross amount, land & improvements	6,961
Gross amount, building & improvements	11,504
Gross amount, total	18,465
Accumulated depreciation	$ (2,054)
Restaurants - Quick Service | California
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 467
Initial cost to company, building & improvements	533
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	467
Gross amount, building & improvements	533
Gross amount, total	1,000
Accumulated depreciation	$ (149)
Restaurants - Quick Service | Colorado
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 698
Initial cost to company, building & improvements	1,036
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	698
Gross amount, building & improvements	1,036
Gross amount, total	1,733
Accumulated depreciation	$ (207)
Restaurants - Quick Service | Florida
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	18
Initial cost to company, land & improvements	$ 12,582
Initial cost to company, building & improvements	20,086
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	12,582
Gross amount, building & improvements	20,086
Gross amount, total	32,668
Accumulated depreciation	$ (1,875)
Restaurants - Quick Service | Georgia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	48
Initial cost to company, land & improvements	$ 20,672
Initial cost to company, building & improvements	34,451
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	20,672
Gross amount, building & improvements	34,451
Gross amount, total	55,122
Accumulated depreciation	$ (5,644)
Restaurants - Quick Service | Illinois
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 2,062
Initial cost to company, building & improvements	2,892
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,100
Gross amount, land & improvements	2,062
Gross amount, building & improvements	3,992
Gross amount, total	6,054
Accumulated depreciation	$ (541)
Restaurants - Quick Service | Indiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	13
Initial cost to company, land & improvements	$ 9,014
Initial cost to company, building & improvements	12,894
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	504
Gross amount, land & improvements	9,014
Gross amount, building & improvements	13,398
Gross amount, total	22,411
Accumulated depreciation	$ (629)
Restaurants - Quick Service | Iowa
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	7
Initial cost to company, land & improvements	$ 2,268
Initial cost to company, building & improvements	6,367
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	75
Gross amount, land & improvements	2,268
Gross amount, building & improvements	6,442
Gross amount, total	8,711
Accumulated depreciation	$ (1,587)
Restaurants - Quick Service | Kansas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 194
Initial cost to company, building & improvements	777
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	194
Gross amount, building & improvements	777
Gross amount, total	971
Accumulated depreciation	$ (160)
Restaurants - Quick Service | Kentucky
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	13
Initial cost to company, land & improvements	$ 5,705
Initial cost to company, building & improvements	9,351
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	402
Gross amount, land & improvements	5,705
Gross amount, building & improvements	9,754
Gross amount, total	15,459
Accumulated depreciation	$ (1,423)
Restaurants - Quick Service | Louisiana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 4,808
Initial cost to company, building & improvements	4,697
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	4,808
Gross amount, building & improvements	4,697
Gross amount, total	9,504
Accumulated depreciation	$ (555)
Restaurants - Quick Service | Maryland
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 338
Initial cost to company, building & improvements	624
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	338
Gross amount, building & improvements	624
Gross amount, total	962
Accumulated depreciation	$ (100)
Restaurants - Quick Service | Massachusetts
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 5,251
Initial cost to company, building & improvements	5,131
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	5,251
Gross amount, building & improvements	5,131
Gross amount, total	10,382
Accumulated depreciation	$ (808)
Restaurants - Quick Service | Michigan
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 3,446
Initial cost to company, building & improvements	7,227
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,446
Gross amount, building & improvements	7,227
Gross amount, total	10,673
Accumulated depreciation	$ (1,719)
Restaurants - Quick Service | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 2,605
Initial cost to company, building & improvements	4,416
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	2,605
Gross amount, building & improvements	4,416
Gross amount, total	7,021
Accumulated depreciation	$ (1,231)
Restaurants - Quick Service | Mississippi
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	35
Initial cost to company, land & improvements	$ 15,555
Initial cost to company, building & improvements	23,125
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	390
Gross amount, land & improvements	15,555
Gross amount, building & improvements	23,515
Gross amount, total	39,070
Accumulated depreciation	$ (3,018)
Restaurants - Quick Service | Missouri
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 3,067
Initial cost to company, building & improvements	4,650
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,067
Gross amount, building & improvements	4,650
Gross amount, total	7,717
Accumulated depreciation	$ (320)
Restaurants - Quick Service | Montana
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,365
Initial cost to company, building & improvements	1,249
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,365
Gross amount, building & improvements	1,249
Gross amount, total	2,614
Accumulated depreciation	$ (21)
Restaurants - Quick Service | Nebraska
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 849
Initial cost to company, building & improvements	3,206
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	849
Gross amount, building & improvements	3,206
Gross amount, total	4,055
Accumulated depreciation	$ (405)
Restaurants - Quick Service | New Hampshire
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 409
Initial cost to company, building & improvements	355
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	409
Gross amount, building & improvements	355
Gross amount, total	763
Accumulated depreciation	$ (114)
Restaurants - Quick Service | New York
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	4
Initial cost to company, land & improvements	$ 4,677
Initial cost to company, building & improvements	4,143
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	400
Gross amount, land & improvements	4,677
Gross amount, building & improvements	4,543
Gross amount, total	9,220
Accumulated depreciation	$ (1,238)
Restaurants - Quick Service | North Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 6,476
Initial cost to company, building & improvements	4,534
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	411
Gross amount, land & improvements	6,476
Gross amount, building & improvements	4,944
Gross amount, total	11,420
Accumulated depreciation	$ (189)
Restaurants - Quick Service | Ohio
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	9
Initial cost to company, land & improvements	$ 3,689
Initial cost to company, building & improvements	10,738
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	3,689
Gross amount, building & improvements	10,738
Gross amount, total	14,426
Accumulated depreciation	$ (1,145)
Restaurants - Quick Service | Oklahoma
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	11
Initial cost to company, land & improvements	$ 8,978
Initial cost to company, building & improvements	9,531
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	8,978
Gross amount, building & improvements	9,531
Gross amount, total	18,509
Accumulated depreciation	$ (886)
Restaurants - Quick Service | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 252
Initial cost to company, building & improvements	131
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	252
Gross amount, building & improvements	131
Gross amount, total	383
Accumulated depreciation	$ (48)
Restaurants - Quick Service | Pennsylvania
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	3
Initial cost to company, land & improvements	$ 1,369
Initial cost to company, building & improvements	1,710
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,369
Gross amount, building & improvements	1,710
Gross amount, total	3,079
Accumulated depreciation	$ (470)
Restaurants - Quick Service | South Carolina
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	5
Initial cost to company, land & improvements	$ 1,469
Initial cost to company, building & improvements	2,291
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	30
Gross amount, land & improvements	1,469
Gross amount, building & improvements	2,321
Gross amount, total	3,791
Accumulated depreciation	$ (503)
Restaurants - Quick Service | South Dakota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,127
Initial cost to company, building & improvements	1,715
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,127
Gross amount, building & improvements	1,715
Gross amount, total	2,842
Accumulated depreciation	$ (78)
Restaurants - Quick Service | Tennessee
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	20
Initial cost to company, land & improvements	$ 11,921
Initial cost to company, building & improvements	16,116
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	354
Gross amount, land & improvements	11,921
Gross amount, building & improvements	16,470
Gross amount, total	28,391
Accumulated depreciation	$ (2,849)
Restaurants - Quick Service | Texas
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	38
Initial cost to company, land & improvements	$ 29,040
Initial cost to company, building & improvements	31,932
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	1,501
Gross amount, land & improvements	29,043
Gross amount, building & improvements	33,434
Gross amount, total	62,477
Accumulated depreciation	$ (4,083)
Restaurants - Quick Service | West Virginia
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	6
Initial cost to company, land & improvements	$ 1,293
Initial cost to company, building & improvements	3,137
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	0
Gross amount, land & improvements	1,293
Gross amount, building & improvements	3,137
Gross amount, total	4,430
Accumulated depreciation	$ (792)
Restaurants - Quick Service | Wisconsin
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	2
Initial cost to company, land & improvements	$ 1,197
Initial cost to company, building & improvements	2,462
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	85
Gross amount, land & improvements	1,197
Gross amount, building & improvements	2,547
Gross amount, total	3,748
Accumulated depreciation	$ (669)
Vacant Properties | Minnesota
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 734
Initial cost to company, building & improvements	309
Cost capitalized subsequent to acquisition, land & improvements	180
Cost capitalized subsequent to acquisition, building & improvements	25
Gross amount, land & improvements	914
Gross amount, building & improvements	334
Gross amount, total	1,248
Accumulated depreciation	$ (174)
Vacant Properties | Oregon
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
# of Properties | property	1
Initial cost to company, land & improvements	$ 1,046
Initial cost to company, building & improvements	2,636
Cost capitalized subsequent to acquisition, land & improvements	0
Cost capitalized subsequent to acquisition, building & improvements	350
Gross amount, land & improvements	1,046
Gross amount, building & improvements	2,986
Gross amount, total	4,032
Accumulated depreciation	$ (477)

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Schedule III - Real Estate and Accumulated Depreciation - Footnotes (Details) $ in Millions	Dec. 31, 2023 USD ($) property lease	Dec. 31, 2022 property	Dec. 31, 2021 property
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Number of property locations of investments	1,873	1,653
Owned properties	1,726	1,489
Number of ground lease interests	11
Properties securing investments in mortgage loans	136	153
Number of real estate subject to ground lease	3
Number of leases accounted for as loans receivable | lease	2
Number of real estate properties held for sale	4	4	9
Intangible lease assets | $	$ 78.1
Aggregate cost for federal income tax | $	$ 4,300.0
Buildings and improvements | Maximum
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Estimated useful life	40 years
Site improvements
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Estimated useful life	15 years

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Schedule III - Real Estate and Accumulated Depreciation - Schedule of Reconciliation of Carrying Value (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate [Roll Forward]
Balance, beginning of period	$ 3,669,317	$ 3,040,073	$ 2,260,919
Acquisitions	887,407	751,610	831,795
Improvements	51,323	27,609	9,459
Provisions for impairment of real estate	(3,548)	(20,164)	(6,120)
Real estate investments held for sale	(7,455)	(4,780)	(15,434)
Cost of real estate sold	(116,029)	(123,081)	(40,546)
Other	(701)	(1,949)	0
Balance, end of period	$ 4,480,314	$ 3,669,317	$ 3,040,073

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Schedule III - Real Estate and Accumulated Depreciation - Accumulated Depreciation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward]
Balance, beginning of period	$ 238,022	$ 169,126	$ 112,144
Depreciation expense	95,527	80,647	61,172
Accumulated depreciation associated with real estate investments sold and held for sale	(11,605)	(11,751)	(4,190)
Balance, end of period	$ 321,944	$ 238,022	$ 169,126

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Schedule IV - Mortgage Loans on Real Estate - Summary of Mortgage Loans on Real Estate (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2023 USD ($) property state	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Face Amount of Mortgages	$ 220,774
Carrying Amount of Mortgages	$ 220,121	$ 233,978	$ 181,419	$ 144,048
First Mortgage Loans | Early Childhood Education Centers located in Florida
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	8.80%
Final Payment Terms	$ 12,000
Face Amount of Mortgages	12,000
Carrying Amount of Mortgages	$ 11,874
First Mortgage Loans | Early Childhood Education Centers located in Florida
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	8.53%
Final Payment Terms	$ 7,300
Face Amount of Mortgages	7,300
Carrying Amount of Mortgages	$ 7,220
First Mortgage Loans | Quick Service Restaurants located in fifteen states
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of states | state	15
# of Properties | property	69
Interest Rate	7.79%
Final Payment Terms	$ 51,000
Face Amount of Mortgages	51,000
Carrying Amount of Mortgages	$ 50,995
First Mortgage Loans | Early Childhood Education Center located in Florida
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.42%
Final Payment Terms	$ 5,300
Face Amount of Mortgages	5,300
Carrying Amount of Mortgages	$ 5,247
First Mortgage Loans | Convenience Stores located in Minnesota
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	8.54%
Final Payment Terms	$ 1,785
Face Amount of Mortgages	1,785
Carrying Amount of Mortgages	$ 1,754
First Mortgage Loans | Family Dining Restaurant located in Georgia
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	7.00%
Final Payment Terms	$ 500
Face Amount of Mortgages	500
Carrying Amount of Mortgages	$ 500
First Mortgage Loans | Convenience Stores located in Wisconsin and Iowa
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	8.33%
Final Payment Terms	$ 994
Face Amount of Mortgages	994
Carrying Amount of Mortgages	$ 972
First Mortgage Loans | Casual Dining Restaurants located in Kentucky and Ohio
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	6.87%
Final Payment Terms	$ 2,520
Face Amount of Mortgages	2,520
Carrying Amount of Mortgages	$ 2,520
First Mortgage Loans | Convenience Stores located in Iowa
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	2
Interest Rate	8.33%
Final Payment Terms	$ 2,389
Face Amount of Mortgages	2,389
Carrying Amount of Mortgages	$ 2,326
First Mortgage Loans | Entertainment Center located in New Jersey
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.96%
Face Amount of Mortgages	$ 24,100
Carrying Amount of Mortgages	$ 24,089
First Mortgage Loans | Car Washes located in Nevada
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	5
Interest Rate	7.30%
Final Payment Terms	$ 25,714
Face Amount of Mortgages	25,714
Carrying Amount of Mortgages	$ 25,711
First Mortgage Loans | Car Wash located in Florida
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	7.73%
Final Payment Terms	$ 2,470
Face Amount of Mortgages	2,470
Carrying Amount of Mortgages	$ 2,464
First Mortgage Loans | Casual Dining Restaurant located in Michigan
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.00%
Final Payment Terms	$ 1,754
Face Amount of Mortgages	1,754
Carrying Amount of Mortgages	$ 1,709
First Mortgage Loans | Quick Service Restaurants located in three states
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of states | state	3
# of Properties | property	26
Interest Rate	7.00%
Final Payment Terms	$ 17,494
Face Amount of Mortgages	17,494
Carrying Amount of Mortgages	$ 17,407
First Mortgage Loans | Car Wash located in New Jersey
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	7.73%
Final Payment Terms	$ 3,600
Face Amount of Mortgages	3,600
Carrying Amount of Mortgages	$ 3,591
First Mortgage Loans | Convenience Store located in Minnesota
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.30%
Final Payment Terms	$ 760
Face Amount of Mortgages	760
Carrying Amount of Mortgages	$ 739
First Mortgage Loans | Car Wash located in Nevada
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	7.33%
Final Payment Terms	$ 4,960
Face Amount of Mortgages	4,960
Carrying Amount of Mortgages	$ 4,947
First Mortgage Loans | Car Wash located in Nevada
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	7.43%
Final Payment Terms	$ 4,800
Face Amount of Mortgages	4,800
Carrying Amount of Mortgages	$ 4,788
First Mortgage Loans | Car Washes located in three states
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of states | state	3
# of Properties | property	4
Interest Rate	8.64%
Final Payment Terms	$ 12,250
Face Amount of Mortgages	12,250
Carrying Amount of Mortgages	$ 12,246
First Mortgage Loans | Car Washes located in five states
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
Number of states | state	5
# of Properties | property	9
Interest Rate	8.85%
Final Payment Terms	$ 25,993
Face Amount of Mortgages	25,993
Carrying Amount of Mortgages	$ 25,942
First Mortgage Loans | Entertainment Center located in Missouri
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.84%
Final Payment Terms	$ 10,200
Face Amount of Mortgages	10,200
Carrying Amount of Mortgages	$ 10,189
First Mortgage Loans | Fitness Center located in Florida
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items]
# of Properties | property	1
Interest Rate	8.10%
Final Payment Terms	$ 2,891
Face Amount of Mortgages	2,891
Carrying Amount of Mortgages	$ 2,891

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Schedule IV - Mortgage Loans on Real Estate - Summary of Changes in Carrying Amounts of Mortgage Loans Receivable (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
SEC Schedule, 12-29, Real Estate Companies, Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Balance, beginning of period	$ 233,978	$ 181,419	$ 144,048
Additions:
New mortgage loans	13,091	126,784	137,356
Subsequent funding on existing mortgage loans		17,236	0
Deductions:
Collections of principal	(27,029)	(91,488)	(100,179)
Provision for credit losses	81	27	194
Balance, end of period	$ 220,121	$ 233,978	$ 181,419