Realty Income Secures £900 Million Term Loan to Enhance Financial Flexibility and Liquidity

Realty Income Enhances Financial Flexibility with £900 Million Term Loan

Realty Income Corporation, renowned as The Monthly Dividend Company®, secures a significant £900 million Sterling-denominated unsecured term loan, which is set to mature in January 2028. This strategic financial maneuver, announced on November 18, 2025, aims to bolster the company's liquidity and financial flexibility. The loan provides Realty Income with the means to repay existing Sterling borrowings from its extensive $4.0 billion multicurrency revolving credit facility. This proactive measure effectively pre-funds the refinancing of an impending multi-currency term loan that is due in January 2026, which includes a notable £705 million Sterling tranche.

The strength of Realty Income's financial position is underscored by its robust A3/A- credit ratings, allowing the company to secure borrowing at a competitive rate of 80 basis points above the Sterling Overnight Index Average (SONIA). In a bid to mitigate interest expenses, Realty Income has strategically opted for two-year variable-to-fixed interest rate swaps, thereby locking in a weighted average interest rate of 4.3% for the duration of the loan's initial term. This approach not only aims to stabilize costs but also reflects the company’s commitment to prudent financial management in a fluctuating economic environment.

Jonathan Pong, the Executive Vice President and CFO of Realty Income, expresses appreciation for the support received from their lending partners, highlighting the significance of this term loan in addressing upcoming loan maturities. The financing arrangement is facilitated by Toronto Dominion (Texas) LLC as the administrative agent, with a consortium of banks including TD Securities (USA) LLC, The Bank of Nova Scotia, and JPMorgan Chase acting as joint bookrunners and lead arrangers among ten participating lenders. This collaboration showcases the confidence that financial institutions have in Realty Income’s business model and growth strategy.

In addition to its recent financial developments, Realty Income continues to maintain an impressive portfolio of over 15,500 properties across the U.S., U.K., and seven other European countries. The company has established a solid reputation for delivering consistent monthly dividends, having declared 665 consecutive dividends since its inception in 1969. This commitment to returning value to shareholders underlines Realty Income's operational stability and its long-term vision for sustainable growth.

As Realty Income navigates the competitive landscape of real estate investment trusts (REITs), its latest financial moves signal a strategic focus on enhancing liquidity and financial resilience, positioning the company favorably for future opportunities and market fluctuations.