Essential Properties(US:EPRT)2021-09-17 23:05Portfolio Highlights - The company has a newly assembled portfolio of single-tenant net lease properties with a weighted average lease term (WALT) of 14.0 years[3] - The portfolio demonstrates solid unit-level rent coverage of 3.2x[3] - The portfolio is heavily weighted towards service and experiential cash ABR, representing 95% of the total[3] - The average investment per property is $2.2 million[3] Investment Strategy & Growth - The company targets growth via sale-leaseback transactions with middle-market companies, with 85% of investments being internally-originated sale-leasebacks[3] - The company's average quarterly investment activity is $175 million[3] - QTD investments of approximately $169 million were completed at a 7.2% cash yield, with another ~$67 million under PSA and ~$210 million under LOI[5] Balance Sheet & Financials - The company maintains a conservative long-term leverage profile, with a net debt-to-adjusted annualized EBITDAre of 4.6x and debt-to-undepreciated gross assets of 33%[3] - The company has strong liquidity of $530 million, including $400 million of capacity on the unsecured credit facility and $130 million of available cash as of 2Q'21[5] - The weighted average debt maturity is 6.7 years, and the weighted average interest rate is 3.11% as of 2Q'21[5]