#USA #Orlando #Credit Facility #Term Loan #NNN REIT

NNN REIT, Inc. Secures $200 Million Incremental Term Loan

NNN REIT, Inc. (NYSE: NNN), a prominent real estate investment trust based in Orlando, has announced the successful exercise of a $200 million incremental term loan option. This development amplifies the company's existing term loan facility, increasing the total size to a noteworthy $500 million. The initiative illustrates NNN's proactive approach to enhancing its financial capabilities and supporting its future operational strategies.

Financial Details and Implications

The newly acquired funds are expected to be allocated for general corporate purposes, a move that signals the company's commitment to fortifying its financial foundation. This term loan maintains the same favorable terms as the earlier $300 million loan established under the unsecured senior term loan facility, which is set to mature on February 15, 2029, with two additional one-year extensions available. NNN has strategically entered into a $100 million forward starting swap contract, which secures the Secured Overnight Financing Rate (SOFR) at 3.43% until the loan's maturity, thus mitigating potential interest rate fluctuations.

Vincent H. Chao, the Chief Financial Officer of NNN, expressed satisfaction with the transaction, stating, “We are pleased with today’s transactions, which enhance our financial flexibility, provide capital to fund our business plans, and lower our cost of capital.” This statement not only reflects the positive perspective on current market conditions but also underscores the deep-rooted relationship the company has established with its bank partners.

Amendments to Loan Pricing

In conjunction with the loan announcement, NNN has amended the pricing grids of both the Term Loan and its senior unsecured revolving credit facility. As a result of NNN's current credit ratings, the margin for SOFR-based borrowings has been reduced to 0.800% for the Term Loan from the previous 0.850%, and to 0.725% from 0.775% for the Revolving Credit Facility. This adjustment signals an enhanced credit profile and marks a significant improvement in borrowing costs for the firm.

Collaboration With Financial Partners

Leading the structuring of this financial arrangement were Wells Fargo Securities, LLC and BofA Securities, Inc., serving as Joint Lead Arrangers and Bookrunners. Wells Fargo Bank, National Association, assumed the role of Administrative Agent, while Bank of America, N.A. acted as the Syndication Agent. Additionally, Truist Securities, Inc., PNC Capital Markets LLC, U.S. Bank National Association, Royal Bank of Canada, and TD Bank, N.A. contributed as Joint Lead Arrangers, highlighting the collaborative efforts among the leading financial institutions involved in facilitating this substantial transaction.

About NNN REIT, Inc.

NNN REIT specializes in investing in high-quality properties that are primarily secured by long-term net leases, which tend to require minimal ongoing capital expenditure. As of March 31, 2026, the firm takes pride in owning 3,711 properties across all 50 states, the District of Columbia, and Puerto Rico, summing up to approximately 39.6 million square feet in gross leasable area. The weighted average remaining lease term spans over 10.1 years, a factor that cement NNN's stability in the real estate investment sector.

For further details on NNN REIT and its investments, please visit www.nnnreit.com.