Financial Data and Key Metrics Changes - The company reported core FFO per share for Q3 of $1.09, an increase of 8.4% year-over-year [15] - AFFO per share for Q3 increased 7.2% year-over-year to $1.10, which is $0.02 above consensus [15] - The company raised its AFFO per share guidance for the year to a new range of $4.31 to $4.33, implying approximately 4.4% year-over-year growth at the midpoint [15][8] Business Line Data and Key Metrics Changes - In Q3, the company invested over $450 million in 110 high-quality retail net lease properties across three platforms, including the acquisition of 90 assets for over $400 million [9][10] - The weighted average cap rate for acquisitions was 7.2% with a weighted average lease term of 10.7 years [9] - Investment-grade retailers accounted for 70% of the annualized base rent acquired, the highest mark so far this year [9] Market Data and Key Metrics Changes - The company has invested nearly $1.2 billion across 257 retail net lease properties spanning 40 states and 29 retail sectors in the first nine months of the year [9] - The occupancy rate for the quarter remained strong at 99.7%, with investment-grade exposure at 67% [14] Company Strategy and Development Direction - The company is increasing its full-year 2025 investment guidance to a new range of $1.5 to $1.65 billion, representing a 65% increase from last year's investment volume [6] - The company aims to achieve a medium-term goal of $250 million in commenced development projects annually [10] - The company is focused on maintaining a disciplined capital allocation strategy while expanding its retail portfolio [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current investment pace and does not foresee any slowdown in 2025 [24] - The company has a fortress balance sheet with over $1.9 billion of liquidity and no material debt maturities until 2028 [7] - Management noted that the trade-down effect is benefiting their tenant base, as middle-class customers are shifting to more value-oriented retailers [85] Other Important Information - The company received an A-minus issuer rating from Fitch Ratings, making it one of only 13 publicly listed U.S. REITs with an A-minus credit rating or better [7] - The company executed new leases, extensions, or options on approximately 860,000 square feet of gross leasable area during the quarter [12] Q&A Session Summary Question: Can you walk through the timing and settlement of the forward equity? - The company has about 14 million shares of forward equity outstanding, with roughly 6 million shares maturing in the fourth quarter [23] Question: Is there anything on the horizon that could slow the acquisition pace? - Management does not see any factors that would slow down the acquisition pace in 2025 [24] Question: Are you seeing increased competition affecting cap rates? - Management has not seen any material change in cap rates year-to-date and believes their differentiated approach helps navigate competition [28] Question: What is the anticipated credit loss for the year? - The company experienced about 21 basis points of credit loss in Q3 and anticipates approximately 25 basis points for the year [37] Question: How do you view the current consumer environment? - The company is seeing positive flow-through for most categories, benefiting from the trade-down effect among middle-class consumers [85]

Financial Data and Key Metrics Changes - The company reported core FFO per share for Q3 at $1.09, an increase of 8.4% year-over-year, while AFFO per share rose 7.2% to $1.10, exceeding consensus by $0.02 [15][17] - The company raised its AFFO per share guidance for the year to a range of $4.31-$4.33, implying approximately 4.4% year-over-year growth at the midpoint [8][15] - The company achieved an A-minus issuer rating from Fitch Ratings, which is a significant milestone and reflects the strength of its balance sheet [7][18] Business Line Data and Key Metrics Changes - In Q3, the company invested over $450 million in 110 high-quality retail net lease properties, including the acquisition of 90 assets for over $400 million [9][10] - The weighted average cap rate for acquisitions was 7.2%, with a weighted average lease term of 10.7 years, and investment-grade retailers accounted for 70% of the annualized base rent acquired [9][10] - The company commenced five development or developer funding projects with total anticipated costs of approximately $51 million during the quarter [10][11] Market Data and Key Metrics Changes - The company has invested nearly $1.2 billion across 257 retail net lease properties spanning 40 states and 29 retail sectors in the first nine months of the year [9][10] - Occupancy for the quarter remained strong at 99.7%, with investment-grade exposure at 67% [14] Company Strategy and Development Direction - The company is increasing its full-year 2025 investment guidance to a new range of $1.5-$1.65 billion, representing a 65% increase from last year's investment volume [6][8] - The company aims to achieve a medium-term goal of $250 million in commenced development projects annually [10][11] - The company is focused on maintaining a disciplined capital allocation strategy while expanding its retail portfolio [5][7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current investment pace and does not foresee any slowdown in 2025 [24] - The company is benefiting from a trade-down effect, with consumers shifting to its tenant base, which includes discount retailers [85] - Management noted that the store remains a critical hub for successful omnichannel operations, indicating a positive outlook for retail growth [75][78] Other Important Information - The company executed new leases, extensions, or options on approximately 860,000 square feet of gross leasable area during the quarter, with a recapture rate of approximately 104% [12][43] - The company has a fortress balance sheet with over $1.9 billion of liquidity and no material debt maturities until 2028 [7][18] Q&A Session Summary Question: Can you walk through the timing and settlement of the forward equity? - The company has about 14 million shares of forward equity outstanding, with roughly 6 million shares maturing in Q4, anticipated to be settled during that time [23] Question: Is there anything on the horizon that could slow the acquisition pace? - Management indicated no foreseeable factors that would slow down the acquisition pace in 2025 [24] Question: Are you seeing increased competition affecting cap rates? - Management stated that they have not seen any material change in cap rates year-to-date and continue to navigate the market effectively [28][29] Question: Can you provide an update on credit loss assumptions? - The company experienced about 21 basis points of credit loss in Q3 and anticipates approximately 25 basis points for the year [36][38] Question: What is the outlook for development projects? - Management expressed confidence in the growth of development projects, with a strong pipeline and ongoing partnerships with major retailers [57][78]

Financial Data and Key Metrics Changes - The company reported a core FFO per share of $1.09 for the third quarter, an increase of 8.4% year over year [13] - AFFO per share for the third quarter increased 7.2% year over year to $1.10, which is $0.02 above consensus [13] - The company raised its AFFO per share guidance for the year to a new range of $4.31 to $4.33, implying approximately 4.4% year-over-year growth at the midpoint [15][6] Business Line Data and Key Metrics Changes - During the third quarter, the company invested over $450 million in 110 high-quality retail net lease properties across three platforms [7] - The acquisitions had a weighted average cap rate of 7.2% and a weighted average lease term of 10.7 years [8] - The company executed new leases, extensions, or options on approximately 860,000 square feet of gross leasable area during the quarter, with a recapture rate of approximately 104% [11][43] Market Data and Key Metrics Changes - The company received an A- issuer rating from Fitch Ratings, making it one of only 13 publicly listed U.S. REITs with an A- credit rating or better [6] - The total debt to enterprise value was approximately 29%, while the fixed charge coverage ratio remained healthy at 4.2 times [18] Company Strategy and Development Direction - The company is increasing its full-year 2025 investment guidance to a new range of $1.5 billion to $1.65 billion, representing an increase of over 65% from last year's investment volume [4] - The company aims to achieve its medium-term goal of commencing $250 million annually in development projects [9] - The company is focused on maintaining stringent real estate quality underwriting standards while being disciplined capital allocators [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current investment pace and does not foresee any slowdown in 2025 [25] - The company noted that the trade-down effect is benefiting its tenant base, particularly in sectors like auto parts and retail [87] - Management highlighted that retailers are increasingly viewing stores as essential to successful omnichannel operations, indicating a strong growth appetite [75] Other Important Information - The company has approximately $1.9 billion of liquidity, including cash on hand and availability on its revolving credit facility [18] - The company declared monthly cash dividends of $0.0256 per share for July, August, and September, representing a 2.4% year-over-year increase [16] Q&A Session Summary Question: Can you walk through the timing and settlement of the forward equity? - Management indicated that approximately 6 million shares of forward equity contracts will mature in the fourth quarter, and they anticipate settling those shares at that time [24] Question: Is there anything on the horizon that could slow the acquisition pace? - Management stated that they do not see any factors that would slow down the acquisition pace in 2025, despite the current interest rate environment [25] Question: How have you navigated increased competition in the market? - Management noted that they have not seen any material change in cap rates year to date and emphasized their differentiated approach to transactions [29] Question: What is the anticipated impact of credit loss on guidance? - Management reported experiencing just under 21 basis points of credit loss in the third quarter and anticipates approximately 25 basis points for the year [37] Question: How do you view the current consumer environment? - Management indicated that the majority of categories they invest in are seeing positive flow-through, particularly benefiting from the trade-down effect among consumers [86]

Financial Data and Key Metrics Changes - The company reported a core FFO per share of $1.09 for Q3, an increase of 8.4% year-over-year, while AFFO per share rose 7.2% to $1.10, exceeding consensus by $0.02 [13][16] - The full-year AFFO per share guidance was raised to a range of $4.31 to $4.33, indicating a year-over-year growth of approximately 4.4% at the midpoint [13][16] - The company maintained a conservative payout ratio of 70% for both core FFO and AFFO per share [16] Business Line Data and Key Metrics Changes - In Q3, the company invested over $450 million in 110 high-quality retail net lease properties, including the acquisition of 90 assets for over $400 million [6][8] - The weighted average cap rate for acquisitions was 7.2%, with a weighted average lease term of 10.7 years [8] - Investment-grade retailers accounted for 70% of the annualized base rent acquired, marking the highest percentage this year [8] Market Data and Key Metrics Changes - The company has invested nearly $1.2 billion across 257 retail net lease properties in 40 states and 29 retail sectors during the first nine months of the year [8][9] - The occupancy rate remained strong at 99.7%, with investment-grade exposure at 67% [12] Company Strategy and Development Direction - The company is increasing its full-year 2025 investment guidance to a range of $1.5 to $1.65 billion, representing a 65% increase from last year's investment volume [4][6] - The company aims to achieve a medium-term goal of $250 million in annual commenced projects, with a significant increase in development and developer funding spend compared to prior years [9][10] - The company is focused on partnering with best-in-class retailers and private developers to add high-quality real estate to its portfolio [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current investment pace and does not foresee any slowdown in 2025 [22] - The company noted that the middle-class consumer is trading down to its tenant base, benefiting from the current economic environment [66] - Management highlighted a strong pipeline for acquisitions and development projects, indicating robust growth potential [32][60] Other Important Information - The company received an A-minus issuer rating from Fitch Ratings, which is expected to reduce the interest rate on its 2029 term loan by five basis points [5][16] - Total liquidity stood at $1.9 billion, with no material debt maturities until 2028 [5][17] Q&A Session Summary Question: Can you walk through the timing and settlement of the forward equity? - Management indicated that approximately 6 million shares of forward equity contracts mature in Q4, with plans to settle those shares during that period [22] Question: Are you seeing any factors that could slow the acquisition pace? - Management stated that there are no visible factors that would slow down the acquisition pace in 2025, despite fluctuations in the 10-year Treasury yield [22] Question: How do you view the current cap rates and competition? - Management noted that they have not seen a material change in cap rates year-to-date and emphasized their differentiated approach to transactions [26] Question: What is the anticipated impact of credit loss on guidance? - Management reported a credit loss of about 21 basis points in Q3 and anticipates approximately 25 basis points for the year [33] Question: How do you view the current consumer environment? - Management indicated that the majority of categories they invest in are experiencing positive flow-through, particularly benefiting from consumers trading down [66]

OCTOBER 202 5 Agree Realty Overview (NYSE: ADC) NET LEASE REIT FOCUSED ON THE ACQUISITION & DEVELOPMENT OF HIGH-QUALITY RETAIL PROPERTIES OUR COMPANY Founded in 1971 by Executive Chairman, Richard Agree Public on the NYSE since 1994 $12.2 billion(1) retail net lease REIT headquartered in Royal Oak, Michigan 2,603 retail properties totaling approximately 53.7 million square feet in all 50 states Investment grade issuer ratings of A- from Fitch, Baa1 from Moody's, and BBB+ from S&P RETHINK RETAIL Capitalize o ...

Portfolio Overview - The company has 129 properties with an enterprise value of $570 million, equating to $145 per square foot[3] - The total portfolio square footage is 3.9 million with a 96% retail net lease portfolio[3] - The implied cap rate is 8.8% with 51% of annualized base rent (ABR) coming from investment-grade rated tenants[3] - The annualized dividend yield is 7.7% and the equity market capitalization is $226 million[3] - The weighted average lease term is 8.9 years[3] Financial Highlights - Year-to-date, the company repurchased 546,390 common shares for a net cost of $8.8 million[10] - The company's dividend has increased by 42.5% since the beginning of 2020[10] - The company's net debt to total enterprise value is 60.3%[57] - The company's net debt to pro forma adjusted EBITDA is 8.1x[57] Tenant and Sector Diversification - Top tenants by ABR include Dick's Sporting Goods (10%), Lowe's (10%), and Dollar General (8%)[13] - Top sectors by ABR are Sporting Goods (17%), Home Improvement (13%), and Dollar Stores (12%)[20] - Top states by ABR are Florida (13%), New Jersey (9%), and New York (7%)[21] Debt and Loan Portfolio - Total debt is $353 million with a weighted-average interest rate of 4.51%[56] - The company has commercial loans and investments with a current face amount of $78.746 million and a weighted average coupon rate of 9.86% as of June 30, 2025[65] - Pro forma for subsequent activity, the total loans are $51.240 million with a weighted average coupon rate of 9.79%[65]