Getty Realty Corp. Provides 2023 Business Update; Announces Its 2024 AFFO Guidance At A Range Of $2.29-$2.31 Per Diluted Share

- Reports Record Annual Investment Activity -

- Introduces 2024 Annual Earnings Guidance -

Getty Realty Corp. (NYSE:GTY) ("Getty" or the "Company") today provided an update on the Company's fourth quarter and full year 2023 business activities. The Company also provided its initial full year 2024 earnings guidance.

2023 Highlights

• Invested approximately $326 million in convenience and automotive retail assets, a record year of investment activity for the Company, including approximately $61 million in the fourth quarter.
• Committed investment pipeline of approximately $75 million, as of December 31, 2023, for the development and acquisition of 43 convenience stores, express tunnel car washes, and auto service centers.
• Raised $295 million of new equity and debt capital, including $25 million of forward equity through the Company's at-the-market ("ATM") equity program in the fourth quarter, along with a previously announced $150 million unsecured term loan.
• Committed capital totaling more than $107 million, as of December 31, 2023, including $32.5 million of outstanding forward equity and $75 million of proceeds from the delayed draw component of the previously announced unsecured term loan.

"We had very productive year in 2023, achieving record investment volumes and successfully accessing the capital markets to accretively fund our investments," stated Christopher J. Constant, Getty's President and Chief Executive Officer. "We continued to scale and diversify our portfolio through a variety of sale leaseback and development funding transactions, which also provide the foundation for steady earnings and dividend growth. As we move into 2024, we will remain thoughtful and disciplined as we execute on our investment strategy and navigate the evolving transaction and capital markets."

Portfolio Activities

Acquisitions

In 2023, the Company acquired fee simple interests in 66 convenience and automotive retail properties for approximately $247 million (net of previously advanced development funding amounts), including 16 properties for approximately $31 million in the fourth quarter (net of previously advanced development funding amounts).

Acquisitions included 38 express tunnel car washes, 13 auto service centers, 12 convenience stores, and 3 drive-thru quick service restaurants.

Development Funding

In 2023, the Company advanced total funding of approximately $79 million for the development of new-to-industry express tunnel car washes, convenience stores, and auto service centers, including approximately $30 million in the fourth quarter.

Investment Pipeline

As of December 31, 2023, the Company had a committed investment pipeline of approximately $75 million for the acquisition and development of 43 convenience stores, express tunnel car washes, and auto service centers. The Company expects to fund this investment activity over approximately the next 6-9 months. While the Company has fully executed agreements for each transaction, the timing and amount of each investment is ultimately dependent on its counterparties and the schedules under which they are able to complete development projects and certain business acquisitions for which the Company is providing sale leaseback financing.

Redevelopments

In 2023, rent commenced on three redevelopment properties, including one property in the fourth quarter which is located in Brooklyn, NY and leased to AutoZone under a long term, triple net lease.

As of December 31, 2023, the Company had three properties under active redevelopment and others in various stages of feasibility planning for potential recapture from our net lease portfolio.

Dispositions

In 2023, the Company sold nine properties for gross proceeds of approximately $12 million, including four properties for gross proceeds of approximately $7 million in the fourth quarter.

Capital Markets Activities

Common Equity

In 2023, the Company raised approximately $145 million of gross equity proceeds through the sale of 4,513,348 common shares subject to forward sales agreements, including 3,450,000 shares ($112.5 million of gross proceeds) in a follow-on public offering and 1,063,348 shares through its ATM equity program ($32.5 million of gross proceeds), of which 845,787 shares were sold in the fourth quarter ($25 million of gross proceeds).

As of December 31, 2023, the Company had a total of 1,063,348 shares subject to outstanding forward equity agreements under its ATM equity program, which upon settlement are anticipated to raise gross proceeds of $32.5 million.

Delayed Draw Term Loan

As previously announced, in October 2023, the Company entered into a new senior unsecured term loan with a group of existing lenders for an aggregate principal amount of $150 million. An initial principal amount of $75 million was funded at closing, and an additional principal amount of $75 million can be funded at the Company's option any time on or prior to April 14, 2024.

The Term Loan matures October 17, 2025, with one twelve-month extension at the Company's option, and the effective interest rate on the Term Loan was 6.1% as of December 31, 2023.

2024 Guidance

The Company has established its 2024 AFFO guidance at a range of $2.29 to $2.31 per diluted share. The Company's outlook includes completed transaction activity as of December 31, 2023, but does not include assumptions for any prospective acquisitions, dispositions, or capital markets activities (including the settlement of outstanding forward sale agreements or the funding of delayed draw term loan amounts).

The guidance is based on current assumptions and is subject to risks and uncertainties more fully described in this press release and the Company's periodic reports filed with the Securities and Exchange Commission.