You might also like
Essential Properties Realty Trust, Inc. (EPRT) is an internally managed real estate investment trust (REIT) that specializes in acquiring, owning, and managing single-tenant properties. These properties are primarily net leased on a long-term basis to middle-market companies in service-oriented or experience-based industries. EPRT's business model focuses on generating stable revenue through long-term leases and sale-leaseback transactions.
- Rental Revenue - Generates income from leasing single-tenant properties to middle-market companies, focusing on long-term net leases to ensure stable cash flows.
- Interest on Loans and Direct Financing Lease Receivables - Provides income from loans and leases, contributing to the company's diversified revenue streams.
- Other Revenue, Net - Includes miscellaneous income sources that complement the primary revenue streams.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Peter M. Mavoides ExecutiveBoard | President and Chief Executive Officer | Peter M. Mavoides has served as the CEO of Essential Properties Realty Trust, Inc. since 2018. He has also been a director at the company since 2018 and previously held a similar leadership role at EPRT LLC starting in March 2016. | View Report → | |
A Joseph Peil Executive | Executive Vice President and Chief Investment Officer | A Joseph Peil serves as the Executive Vice President and Chief Investment Officer at EPRT since March 2025, having held increasing responsibilities since May 2017. | ||
Mark E. Patten Executive | Executive Vice President, Chief Financial Officer, and Treasurer | Mark E. Patten has served as the Executive Vice President, Chief Financial Officer, and Treasurer at EPRT since August 10, 2020. He was elected Corporate Secretary on March 30, 2022 and brings extensive experience from his prior senior roles at other companies. | ||
R. Max Jenkins Executive | Executive Vice President and Chief Operating Officer | R. Max Jenkins is the Executive Vice President and Chief Operating Officer at EPRT since March 2025, having progressed through increasing roles since March 2018. There is no indication that he serves on the board or holds any external roles. | ||
Heather L. Neary Board | director | President and CEO of Taco John’s; Board of Directors for the National Restaurant Association; Board of Directors for Women’s Foodservice Forum; Board of Advisors for Penn State Harrisburg; Advisory Board for Alex’s Lemonade Stand Foundation | Heather L. Neary has served as a director at Essential Properties Realty Trust since 2020. She is also the President and CEO of Taco John’s since March 2024 and holds board memberships for the National Restaurant Association, Women’s Foodservice Forum, Penn State Harrisburg Advisory Board, and the Advisory Board for Alex’s Lemonade Stand Foundation. | |
Janaki Sivanesan Board | Director | Board Member at Hurco Companies, Inc. | Janaki Sivanesan has served as a Director at Essential Properties Realty Trust, Inc. since January 2020 and is the Chair of the Audit Committee, also serving on the Nominating and Corporate Governance Committee and the Investment Committee. She brings extensive legal, private equity, and board leadership experience, including an active board role at Hurco Companies, Inc. since 2008. | |
Joyce DeLucca Board | Director | Partner at BD Capital Management LLC | Joyce DeLucca has served as a Director at EPRT since 2018 and is the Chair of the Compensation Committee as well as a member of the Investment Committee. | |
Lawrence J. Minich Board | Director | Lawrence J. Minich has served as a Director at Essential Properties Realty Trust, Inc. (EPRT) since 2020 and actively participates in the Audit, Nominating & Corporate Governance, and Investment Committees. He brings extensive financial expertise from prior leadership roles, including CFO and Special Advisor positions at Mister Car Wash. | ||
Scott A. Estes Board | Chairman of the Board | Scott A. Estes has served as Chairman of the Board at Essential Properties Realty Trust (EPRT) since December 31, 2023. He has been a director at EPRT since 2018 and brings over 30 years of REIT experience, including his tenure as Executive Vice President and CFO at Welltower, Inc. from January 2009 to October 2017. | ||
Stephen D. Sautel Board | Director | Stephen D. Sautel has served as Director at EPRT since 2018 and is the Chair of the Nominating and Corporate Governance Committee. He has extensive board and investment experience gained from previous roles. |
-
Given the recent Chapter 11 bankruptcy filing of Zips Car Wash and your remaining exposure of approximately 20 basis points of ABR across three locations, how confident are you in your current 14.2% ABR exposure to the carwash industry, and are there plans to further reduce this concentration to mitigate potential risks?
-
With increased competition leading to modest cap rate compression, as you expect to transact in the mid- to high 7s compared to previous 8% cap rates, how do you plan to sustain investment yields and maintain your growth trajectory under these market conditions?
-
The proportion of tenants with implied credit ratings of CCC+ has doubled to around 4% this quarter; what is driving this increase in lower-rated tenants, and what measures are you implementing to address the potential rise in credit risk within your tenant base?
-
Considering the modest increase in your 2025 AFFO per share guidance and the expectation of minimal equity issuance, how will you balance your capital sources while managing leverage, especially in light of potential cap rate compression and increased competition impacting acquisition opportunities?
-
Despite industry headwinds in sectors like casual dining, your exposure increased by 80 basis points to 7.5% of ABR; what is your rationale for expanding investments in these sectors, and how are you assessing and mitigating the associated risks?
Recent press releases and 8-K filings for EPRT.
- The presentation provides a comprehensive business update for Q1 2025, including detailed review of the portfolio, investment highlights, and strategic initiatives, while noting forward-looking statements and related risks.
- It outlines strong financial and operational metrics, highlighting robust rental revenue, net income, and liquidity details such as a $1.5bn available liquidity and a 3.4x net debt to EBITDA ratio.
- The document emphasizes EPRT’s focus on capital structure optimization, including recent equity raising efforts and strategic debt management with a revolving credit facility, supporting its growth and stability objectives.
- Robust investment activity with $308 million deployed in 21 transactions at a weighted average cash yield of 7.8%, underpinning a strong acquisition narrative. [doc 0][doc 1]
- Improved financial performance with AFFO per share at $0.45 (a 7% increase year-over-year) and total AFFO of $85.7 million, complemented by a declared cash dividend of $0.295. [doc 3]
- Solid balance sheet metrics were maintained, reporting pro forma leverage of 3.4x and liquidity of $1.5 billion along with strategic equity issuances and credit facility enhancements. [doc 0][doc 3]
- Guidance reaffirmed for 2025 with an AFFO per share range of $1.85 to $1.89 and a strong investment pipeline focused on diversified, middle-market sale-leaseback opportunities. [doc 0]
- The company reported Q1 net income per share of $0.29 and AFFO per share of $0.45, marking a 4% increase in net income and FFO compared to Q1 2024.
- It executed $307.7 million in investments at a 7.8% weighted average cash cap rate and generated $24.3 million in net proceeds from the disposition of 11 properties.
- Strong liquidity was maintained with forward equity sales leaving $410.4 million in net proceeds and a pro forma net debt to annualized adjusted EBITDA ratio of 3.4x.
- The presentation highlights a stable net lease portfolio with 99.7% leased properties and 3.5x unit-level rent coverage, supporting steady same-store rent growth of 1.4% over the last four quarters.
- The company reports a strong balance sheet and liquidity, having raised approximately $309mm in equity and closed an upsized $1.0B revolving credit facility, with additional liquidity available from forward equity.
- It emphasizes consistent AFFO growth (~9% per share) and disciplined capital recycling through selective disposition activities, supporting its low leverage position at 3.1x net debt to adjusted EBITDAre.
- Transaction Details: The company entered into an underwriting agreement with Wells Fargo Securities and BofA Securities for the forward sale of 9,430,000 shares of common stock, with the offering closing on March 20, 2025.
- Use of Proceeds: Net proceeds from the settlement will be contributed to the operating partnership for general corporate purposes and potential future investments.
- Regulatory Framework: The offering was executed under the company’s effective shelf registration statement on Form S-3, filed on June 17, 2024.
- Strong net lease portfolio: The presentation highlights a portfolio that is 99.7% leased with robust unit-level rent coverage of 3.5x and steady same-store rent growth averaging 1.4% over recent quarters.
- Enhanced liquidity and conservative leverage: The company raised $79 million in forward equity and secured an upsized $1.0 billion revolving credit facility, achieving a PF Net Debt/Adjusted EBITDAre of 3.8x.
- Disciplined investment activity: Ongoing investments in 2025 include close to $183 million in new acquisitions and capital recycling through targeted dispositions, with attractive initial cash yields around 7.7%.
- Guidance & Liquidity: Updated 2025 AFFO per share guidance to $1.85–$1.89; maintained a pro forma net debt/EBITDA of 3.8x with robust liquidity – raised $79 million in forward common equity, closed a $1.0bn revolving credit facility (maturing February 2030), and bolstered by a new $2.3bn credit facility plus an upsized $1bn revolver for total liquidity of $1.4 billion.
- AFFO Performance: Reported Q4 AFFO per share of approximately $0.45–$0.46 with total AFFO/Funds from Operations ranging from $81.8 million to $86.35 million, marking a 7% increase over Q4 2023.
- Stable Portfolio: Achieved 99.7% leased properties with same-store rent growth of 1.4% over the past four quarters.
- Investment Activity: Deployed $333 million through 37 transactions at an approximate 8% cash cap yield, demonstrating strong capital utilization.
- Asset Dispositions: Disposed of 24 properties for $60.4 million in net proceeds, emphasizing risk management and reduced carwash exposure.
- The presentation details Q4 2024 operating results, including a net income per share of $0.30 and AFFO per share of $0.45.
- It highlights extensive investment activity, updated debt and liquidity metrics—including a revolving credit facility adjustment to $1.0 billion—and dispositions of properties.
- The document confirms an updated 2025 AFFO guidance range of $1.85 to $1.89 per share, reinforcing the company’s strong investment strategy.