JERICHO, N.Y.--(BUSINESS WIRE)--Getty Realty Corp. (NYSE:GTY) (the “Company”) today announced the closing of its previously announced acquisition lease-back transaction with Empire Petroleum Partners, LLC (“Empire”). The Company, through a subsidiary, acquired fee simple interests in 49 convenience store and gasoline station properties (the “Properties”) for $123 million and simultaneously leased them to Empire under a unitary lease.
The Properties are located primarily within metropolitan markets in Arizona, Colorado, Florida, Georgia, Louisiana, New Mexico and Texas. The unitary lease provides for an initial term of 15 years, with four five-year renewal options. Rent is scheduled to increase annually during the initial and renewal terms of the lease.
“We are delighted to have closed this accretive transaction and to add 49 high-quality properties to our convenience store and gasoline station net lease portfolio. In addition, we are excited to begin a long-term partnership with Empire, a strong national fuel distributor and convenience store operator. This transaction demonstrates our ability to execute on our strategy of growing our portfolio in targeted markets in the United States,” stated Christopher J. Constant, Getty’s President & Chief Executive Officer.
The Company expects its transaction with Empire to be immediately accretive to net earnings. The Company funded the transaction through a combination of funds from its $104 million follow-on equity offering, which closed in July 2017 and funds available under its Credit Agreement.
About Getty Realty Corp.
Getty Realty Corp. is the leading publicly-traded real estate investment trust in the United States specializing in the ownership, leasing and financing of convenience store and gasoline station properties. As of June 30, 2017, the Company owned 739 properties and leased 86 properties from third-party landlords in 25 states across the United States and Washington, D.C.