Essential Properties Realty Trust, Inc. (EPRT) has released its 2024 Corporate Responsibility Report, outlining its environmental, social, and governance (ESG) performance for the year ended December 31, 2024. The report presents key metrics and initiatives aimed at achieving its ESG goals.
Financial Highlights: In 2024, EPRT completed $1.2 billion of gross investments in 297 properties in 145 transactions at a weighted average cash cap rate of 8.0%, marking the highest level of annual gross investments in the company's history. As of December 31, 2024, EPRT's portfolio consisted of 2,104 properties, demonstrating significant growth since commencing its operations and investment activities in June 2016.
Tenant Industry Diversification: Approximately 93.2% of EPRT's annualized base rent (ABR) was attributable to properties operated by tenants in service-oriented and experience-based businesses. The portfolio includes 413 diverse tenants operating in 592 different concepts across 16 industries and in 49 states, with a focus on businesses that are e-commerce resistant and have performed well in varying economic environments.
Geographic Exposure: * Approximately 77% of EPRT's total cash ABR comes from the top 20 states, with approximately 51% coming from sunbelt states, reflecting tenants' increasing focus on expanding their businesses in higher-growth markets.
Stockholder Engagement: EPRT held 301 one-on-one meetings with stockholders and participated in 8 industry conferences as part of a comprehensive stockholder outreach initiative. The company met with 31 of its top 50 stockholders during the year, representing 54% of its shares outstanding, reflecting a commitment to accountability and responsible corporate citizenship.
Environmental Initiatives: * EPRT is pursuing initiatives to expand the use of energy-efficient equipment at its properties, aiming to promote tenant relationships, potential operating cost efficiencies, and enhanced customer attraction opportunities.
Social Responsibility: The company emphasizes a diverse and inclusive work environment, encouraging innovative thinking and providing equitable opportunities for employees to reach their full potential. EPRT's annual compensation for all employees includes the opportunity to receive equity grants pursuant to its equity incentive program, aligning employees with the company's stockholders.
Through its 2024 Corporate Responsibility Report, EPRT aims to provide stakeholders with a comprehensive review of its ESG efforts and progress while emphasizing its commitment to transparency and accountability in achieving its ESG goals. The market has reacted to these announcements by moving the company's shares 1.07% to a price of $30.24. If you want to know more, read the company's complete 8-K report here.
