Global Net Lease, Inc. (NYSE: GNL) has made significant progress on its strategic disposition plan, with over $462 million in transactions either closed or under agreement as of April 15, 2024. The company expects to achieve a 7.2% cash cap rate on occupied dispositions with a weighted average remaining lease term of 3.8 years.
The status of dispositions as of the current year-to-date shows that 21 properties have been closed, totaling $47.9 million at a 6.7% cash cap rate with a 6.6-year weighted average remaining lease term. Additionally, 17 properties are under agreement with a non-refundable deposit, amounting to $90.4 million at a 6.7% cash cap rate with a 4.7-year weighted average remaining lease term. Furthermore, 21 properties are under agreement and in due diligence, totaling $323.3 million at a 7.3% cash cap rate with a 3.6-year weighted average remaining lease term.
These figures reflect a significant shift in the company's portfolio composition and financial outlook, as it aims to use the net proceeds from these dispositions to pay down existing debt and reduce net debt to adjusted EBITDA.
Global Net Lease, Inc. is focused on acquiring and managing a global portfolio of income-producing net lease assets across the United States, as well as Western and Northern Europe. The company's CEO, Michael Weil, expressed confidence in the value of their primarily investment-grade portfolio, citing the 7.2% cash cap rate on occupied dispositions as evidence of its worth. Following these announcements, the company's shares moved -0.2%, and are now trading at a price of $6.55. For more information, read the company's full 8-K submission here.
