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Daniel Donlan

Chief Financial Officer and Treasurer at NETSTREIT
Executive

About Daniel Donlan

Daniel P. Donlan is Chief Financial Officer and Treasurer of NETSTREIT Corp., appointed effective April 10, 2023; age 43 as of March 18, 2025. He holds a B.B.A. in Finance from the University of Notre Dame and oversees corporate finance, accounting, treasury, capital markets, investor relations, HR, and IT functions . Company performance in 2024 featured AFFO per diluted share of $1.26, leverage at 3.75x (better than max target), and cash G&A of $13.0 million (better than max target), which drove a 118.8% STI payout for executives .

Past Roles

OrganizationRoleYearsStrategic Impact
Essential Properties Realty Trust (NYSE: EPRT)SVP, Head of Capital Markets2018–2023Led corporate finance, capital raising, and IR at a net lease REIT
Ladenburg Thalmann & Co.Managing Director; Lead REIT research analyst2013–2018Sell-side leadership covering REITs
Janney Capital MarketsVice President2007–2013REIT research and capital markets experience
BB&T Capital MarketsAssociate research analyst2004–2007REIT research foundation
Thalhimer Cushman & WakefieldSales & leasing associateEarly careerGround-level real estate operations experience

External Roles

None disclosed (no public company board roles mentioned for Donlan) .

Fixed Compensation

Metric202320242025
Base Salary ($)350,000 375,000 400,000
Target STI ($)350,000 425,000
Actual STI Paid ($)489,213 505,006

Performance Compensation

Short-Term Incentive (STI) – 2024 outcome

MetricWeightingTargetActualAchievement (% of Target)Weighted Payout
AFFO/Share35% $1.27 $1.26 87.5% 30.6%
Investment Grade/IG Profile %15% 80% 78.8% 88.0% 13.2%
Leverage (Adj. Net Debt/EBITDA)15% 4.75x 3.75x 200.0% 30.0%
Cash G&A ($mm)15% $14.0 $13.0 200.0% 30.0%
Subjective20% 3 2 75.0% 15.0%
Total Payout100%118.8%

Notes:

  • Donlan’s 2024 STI payout was $505,006 at 118.8% of target; he elected to receive 50% as RSUs under the Alignment of Interest Program, with the remaining 50% in cash .

Long-Term Incentives and Vesting

Award TypeGrant DateUnits (#)Fair Value ($)VestingPerformance Structure
Annual RSU (2024)2/16/2024 16,157280,001Vest annually over 3 years starting 2/16/2025 Time-based
PSU (2024 target)2/16/2024 26,626420,008Vest at end of 3-year period (12/31/2026) based on performance 60% Absolute TSR: 18%/24%/30% for 50/100/200% payout; 40% Relative TSR: 35th/55th/75th percentile for 50/100/200% payout
New Hire RSU (2023)4/10/2023 35,040650,000Vest annually over 3 years starting 4/10/2024 Time-based

Alignment of Interest Program:

  • Executives may elect up to 75% of STI (50% in 2023; 75% cap increased in 2024) to be paid in RSUs, with an additional 0.25x RSU grant (“Alignment Multiplier”); RSUs vest over 3 years, and accelerate in full upon termination without cause or resignation for good reason .

Equity Ownership & Alignment

Ownership MetricAmountNotes
Shares beneficially owned (3/18/2025)27,571Includes 11,681 RSUs vesting within 60 days; excludes 64,618 unvested RSUs; less than 1% of outstanding shares
Shares outstanding (record date)81,698,942As of March 18, 2025
Pledged sharesNoneCompany policy prohibits pledging; proxy states no pledges by executives/directors
HedgingProhibitedInsider Trading Policy forbids hedging and pledging
Stock ownership guidelinesIn complianceAll executives and directors were in compliance as of 12/31/2024; 50% net-share retention until guideline met
Options outstandingNoneNo stock options have been granted under the 2019 Plan

Employment Terms

TermDetail
Start date; titleEffective April 10, 2023; Chief Financial Officer & Treasurer
Agreement term3 years, auto-renewal by successive 1-year periods (non-renewal by Company deemed termination without cause)
Base salary$350,000 at hire; reviews possible; increased to $375,000 in 2024 and $400,000 in 2025 via Compensation Committee (per proxy)
Target bonus100% of base salary; actual 0–200% based on Committee-set metrics
Initial equity grant$650,000 RSUs vesting over 3 years (new hire award)
Severance (non-CIC)1x base salary + 1x target bonus; pro-rated current-year bonus (actual); immediate full vesting of time-based equity; pro-rated PSUs based on actual performance; Company-paid COBRA up to 18 months (subject to law)
Severance (CIC; double trigger)2x base salary + 2x target bonus (lump sum); same treatment for bonus and equity as non-CIC; COBRA up to 18 months
Death/Disability2 months’ base salary; prior-year earned bonus; pro-rated current-year bonus; equity vesting as above; COBRA up to 18 months
Good Reason (definition)Material salary reduction; material diminution of duties; relocation >50 miles; material breach by Company (with notice/cure)
Non-compete / non-solicit1-year post-termination, except waived after Qualifying CIC termination or resignation for Good Reason; scope covers competitive retail net lease real estate in U.S. and markets served
ClawbackBonus and incentive comp subject to clawback policies and applicable rules; Company maintains Dodd-Frank compliant clawback
280G cutbackPayments reduced if it results in higher after-tax outcome to avoid excise tax; no golden parachute tax gross-up
Arbitration; lawAAA arbitration in Dallas County; Delaware law; jury trial waived

Perquisites and other:

  • Relocation reimbursement up to $25,000; company provided a tax gross-up on relocation expenses (reported $42,032 in 2023 proxy) .

Investment Implications

  • Strong pay-for-performance alignment: STI metrics tied to AFFO/share, leverage, portfolio credit quality, and cash G&A, with formulaic weighting (80% financial) and above-target payout for 2024 reflecting operational execution .
  • Equity retention and anti-hedging/pledging policies reduce near-term selling pressure and improve alignment; PSUs include a one-year post-vest holding period requirement for performance awards and executives must retain 50% of net shares until ownership guidelines are met .
  • Double-trigger CIC severance (2x base+bonus) and accelerated vesting ensure continuity while limiting single-trigger windfalls; no Section 280G gross-up—cutback provision applies, which is shareholder-friendly .
  • Ownership is modest (<1% of outstanding), but ongoing RSU/PSU balances and deferral elections under the Alignment Program increase long-term exposure; beneficial ownership shows zero pledging, mitigating financing-related sell risk .
  • Governance signals: 2024 say-on-pay support improved to ~91% after program refinements (peer group recalibration, higher CEO ownership requirement), indicating investor acceptance of compensation design direction .