Portfolio

Portfolio

Overview

Getty Realty’s property portfolio consists of 823 properties located in 24 states across the United States and Washington, D.C. We own 736 properties and lease 87 properties from third-party landlords.

Our typical property is used as a convenience store and gasoline station, and is located on between one-half and three quarters of an acre of land in a metropolitan area. Convenience store and gasoline station properties are an integral component of the transportation infrastructure supported by highly inelastic demand for petroleum products, day-to-day consumer goods and convenience foods.

Unique Portfolio Attributes

High Barriers to Entry

  • High replacement costs
  • Limited new convenience store and gas station development
  • Time consuming zoning restrictions
  • “Grandfathered” use advantage

Prime Locations and Corners

  • Sizable lots in urban areas
  • Mature transportation grid
  • High daily traffic counts
  • Optimal corners with traffic lights, high visibility and easy access
  • Close proximity to freeway entrances or exit ramps

Alternative Use Opportunities

  • Retail, banking, service, restaurant
  • Assemblage, redevelopment, repositioning

National Presence

We enjoy a significant presence in many of the key real estate markets in the United States.

 

Favorable Lease Attributes

  • Risk-mitigating lease provisions which enhance the credit quality of our portfolio
  • Long-term, triple-net leases with experienced gas station and convenience store operators
  • Leases typically have 15-20 year initial terms with successive renewal terms of up to 20 years
  • Weighted average remaining lease term, excluding renewals, of approximately 11 years
  • 59% of leases mature in 2027 or beyond
  • Contractual rent increases during initial and renewal terms of 1% to 2%
  • Additional rent based on volume of fuel sold under certain leases
  • Leases underwritten with conservative rent coverage ratios
  • Credit visibility via station and tenant financial reporting requirements
  • 89% of our net lease portfolio is under unitary leases which reduces credit exposure from individual sites
  • In many cases, personal and corporate guarantees are obtained to enhance credit profile

Quality Tenants

Substantially all of our properties are leased on a triple-net basis primarily to petroleum distributors and, to a lesser extent, individual operators. Generally our tenants supply fuel and either operate our properties directly or sublet our properties to operators who operate their convenience stores, gasoline stations, automotive repair service facilities or other businesses at our properties.

BP exxon   76 mobil Gulf

Conoco  Valero ChevronGlobalG fastMArtG

Aloha unitedOil  Sunoco Citgo

Attractive Industry Fundamentals

Convenience store revenue has shown consistent growth, while the number of units in service has remained largely constant over the last ten years. Convenience stores are expanding their offerings to become part supermarket, restaurant, bank and drug store. Growth in foodservice is more than offsetting declines in tobacco sales and modest decreases in fuel volumes. According to the Future of Fuels Report (2014), the average convenience store with fuel has around 1,100 customer visits per day.