Realty Income Corporation (O): Business Model Canvas [Dec-2025 Updated]

You're looking to truly understand how the real estate giant, Realty Income Corporation, keeps its machine humming, especially now that they're pushing into new areas like data centers and gaming. Honestly, after two decades analyzing these structures, I can tell you their model is built on rock-solid, long-term contracts, which is why they just hit their 112th consecutive quarterly dividend increase. We're talking about a portfolio spanning over 15,500 properties and a massive $6.0 billion investment pipeline for 2025, all funded by that top-tier A- / A3 credit rating. Dive into the Business Model Canvas below to see the precise mechanics behind their consistent monthly payout and strategic diversification.

Realty Income Corporation (O) - Canvas Business Model: Key Partnerships

Realty Income Corporation (O) relies on a network of sophisticated financial partners and major corporate operators to execute its investment strategy and maintain its capital structure. These relationships are crucial for deploying capital at scale, as evidenced by the recent $800 million perpetual preferred equity investment in CityCenter Las Vegas real estate, which increased Realty Income's 2025 investment volume guidance to over $6.0 billion as of December 2025.

Blackstone Real Estate for Preferred Equity Deals

The partnership with Blackstone Real Estate is a significant component, focusing on large-scale, non-core real estate opportunities. The December 2025 agreement involved Realty Income making a $800 million perpetual preferred equity investment in the real estate assets of CityCenter, specifically the ARIA Resort & Casino and Vdara Hotel & Spa.

This transaction is structured to provide Realty Income with a defined return profile, which is key for a capital provider role. The initial unlevered rate of return is set at 7.4%, with annual, capped escalators beginning on the fifth anniversary of closing.

The terms also include specific exit provisions:

• Early redemption premium of 3% if redeemed before the first anniversary.
• Early redemption premium of 2% if redeemed after the first anniversary but before the fourth.
• A make-whole payment to ensure an 8.325% unlevered IRR upon early redemption.

This preferred equity investment deepens a relationship that previously included the Bellagio Las Vegas joint venture completed in 2023.

Corporate Tenants like MGM Resorts International for Property Operation

While Realty Income provides the capital structure, the operational expertise of established brands is essential, particularly in specialized sectors like gaming and hospitality. Blackstone Real Estate retains 100% of the common equity ownership in the CityCenter assets, which will continue to be operated by MGM Resorts International.

The underlying real estate assets managed by MGM Resorts International include approximately 5,500 rooms and 500,000 square feet of convention space. The triple net lease agreement for this portfolio has approximately 26 years remaining on the initial term, with three 10-year extension options.

Realty Income Corporation's broader portfolio, as of March 31, 2025, was leased to 1,598 different clients across 91 industries, with an occupancy rate of 98.5%.

Global Financial Institutions for Debt and Equity Capital Raising

Maintaining an active presence in public debt and equity markets is a core partnership function for Realty Income to fund its investment pipeline. In the third quarter of 2025, the company had approximately $1 billion of unsettled forward equity.

In September 2025, Realty Income priced a dual-tranche offering of senior unsecured notes totaling $800 million to fund general corporate purposes, including debt repayment.

Note Series	Principal Amount	Coupon Rate	Maturity Date	Effective Yield to Maturity
2029 notes	$400 million	3.950%	February 1, 2029	4.143%
2033 notes	$400 million	4.500%	February 1, 2033	4.685%

The combined offering had a weighted average tenor of approximately 5.3 years and a weighted average yield to maturity of 4.414%. Proceeds were earmarked, in part, for repaying approximately $550.0 million of outstanding 4.625% notes due November 1, 2025.

Furthermore, a consortium of major banks, led by JPMorgan Chase, was involved in refinancing a $3.15 billion commercial mortgage-backed securities loan related to the CityCenter properties.

Investment Banks for Underwriting Senior Unsecured Notes

The execution of large debt offerings requires established relationships with top-tier investment banks acting as book-running managers or financial advisors. For the September 2025 senior unsecured notes offering, the active joint book-running managers were:

• Wells Fargo Securities, LLC
• Barclays
• BofA Securities
• Mizuho
• TD Securities

For the Blackstone Real Estate CityCenter transaction, financial advisors to Blackstone included J.P. Morgan, Citi, Deutsche Bank, Goldman Sachs, and Evercore. Latham & Watkins LLP acted as legal counsel to Realty Income on that deal.

Finance: draft 13-week cash view by Friday.

Realty Income Corporation (O) - Canvas Business Model: Key Activities

You're looking at the core engine of Realty Income Corporation (O), the day-to-day work that keeps the monthly dividends flowing. It's all about disciplined acquisition, smart capital management, and keeping the existing portfolio humming. Here's the quick math on what they've been actively doing through late 2025.

Acquiring and managing single-client, triple net lease properties.

Realty Income Corporation (O) is constantly executing on its core strategy: buying and holding single-tenant, triple-net lease properties. This structure means the tenant handles most property expenses, which helps keep Realty Income Corporation (O)'s operational burden low. As of June 30, 2025, the portfolio spanned over 15,600 properties across all 50 U.S. states, the U.K., and seven other European countries. The operational discipline is clear in the occupancy figures; the portfolio maintained a robust 98.7% occupancy rate as of the third quarter of 2025. Furthermore, when properties are re-leased, the company is seeing strong pricing power, evidenced by a rent recapture rate of 103.5% across 284 leases in Q3 2025.

Global capital deployment, targeting over $6.0 billion in 2025 investments.

Realty Income Corporation (O) has been deploying significant capital globally. While the initial prompt mentioned a target over $6.0 billion, the latest updated guidance for 2025 investment volume was increased to approximately $5.5 billion following the third quarter results. Year-to-date investment volume through Q3 2025 surpassed $3.9 billion. The focus has heavily shifted internationally, with 72% of Q3 2025 investment volume directed to Europe.

You can see the deployment pace and yield profile here:

Metric	Value/Rate	Period/Context
Total Investment Volume Guidance (2025)	$5.5 billion	Updated for 2025
Investment Volume Year-to-Date	Over $3.9 billion	Through Q3 2025
Q3 2025 Investment Amount	$1.4 billion	Global Deployment
Q3 2025 Weighted Average Cash Yield	7.7%	Global Deployment
Q3 2025 European Investment Allocation	72%	Of Q3 Investment Volume
Q3 2025 European Weighted Average Yield	8.0%
Q3 2025 U.S. Weighted Average Yield	7.0%

Raising debt and equity capital via ATM program and bond issuance.

To fund this global expansion, Realty Income Corporation (O) actively manages its balance sheet by issuing debt and utilizing its At-The-Market (ATM) equity program. In the first nine months of 2025, the company executed several significant debt raises. For instance, in September 2025, they priced an offering of $800 million in senior unsecured notes split between two tranches. Earlier in the year, in April 2025, they issued $600.0 million of 5.125% senior unsecured notes due 2035. They also tapped the European market in June 2025, issuing a combined €1.3 billion in senior unsecured notes. On the equity side, in the second quarter of 2025, Realty Income Corporation (O) settled 11.2 million shares through its ATM program for gross proceeds of $628.7 million.

Data-driven asset management to maintain 98.7% portfolio occupancy.

The operational success hinges on data-driven asset management. Realty Income Corporation (O) uses proprietary predictive analytics tools, developed over the past 6 years, to inform decisions across sourcing, underwriting, and lease negotiations. This focus on data and selectivity helps maintain the high occupancy rate of 98.7% as of Q3 2025. The company also actively recycles capital by selling assets when appropriate; they sold 140 properties for net proceeds of $215 million in Q3 2025.

Strategic diversification into industrial, gaming, and data center assets.

While historically focused on retail, Realty Income Corporation (O) is actively diversifying its revenue base. The portfolio composition as of Q1 2025 showed a clear mix beyond traditional retail, which accounted for 79.9% of annualized base rent. The company has been strategically adding other sectors, with industrial and gaming already contributing to the portfolio.

The portfolio breakdown by sector (based on Q1 2025 annualized base rent) includes:

• Retail: 79.9%
• Industrial: 14.4%
• Gaming: 3.2%
• Other sectors: 2.5%

Management commentary confirms the ongoing diversification into industrial, gaming, and data center assets, which now contribute roughly 20% of revenue.

Finance: draft 13-week cash view by Friday.

Realty Income Corporation (O) - Canvas Business Model: Key Resources

You're looking at the core assets that let Realty Income Corporation operate its net lease business reliably. These aren't just line items on a balance sheet; they are the engines for their consistent monthly payouts.

The sheer scale and quality of the physical assets are paramount. As of late 2025, the portfolio is substantial and geographically broad, which is key for risk mitigation. This scale supports their low-cost capital advantage, too.

Here's a quick look at the portfolio size and key financial health indicators as of the third quarter of 2025:

Key Metric	Value (as of Q3 2025)	Source Data Detail
Portfolio Size	Over 15,500 properties	Spanning 92 industries and more than 1,600 clients.
Portfolio Occupancy	98.7%	Approximately 10 basis points ahead of the prior quarter.
Total Liquidity	$3.5 billion	Comprising cash, unsettled ATM forwards, and revolver availability.
Net Debt to EBITDAre	5.4x	Annualized pro forma figure.
Fixed Charge Coverage Ratio	4.6x	Indicates strong ability to cover interest and other fixed obligations.

Access to cheap capital is a direct result of their financial discipline. Realty Income Corporation maintains investment-grade credit ratings, which is a huge resource for a real estate company that relies on debt for growth. You want to see these ratings stay high because they directly impact the cost of every dollar they borrow.

The ratings as of mid-2025 were:

• Moody's Investors Service: A3 with a "stable" outlook.
• Standard & Poor's Ratings Group: A- with a "stable" outlook.

This strong credit profile means they can borrow at favorable rates, helping to widen the spread between their cost of capital and their acquisition yields. For instance, in Q3 2025, they invested $1.4 billion globally at a 7.7% weighted average initial cash yield.

The firm relies on its internal technology to maintain asset quality. While the specific platform name isn't always front-and-center, the focus on proprietary underwriting and predictive analytics is a stated part of their consistency by design. This system helps them be highly selective, evidenced by sourcing $97 billion in volume year-to-date 2025 but only acquiring a small fraction of that. They are definitely using data to pick the best deals.

Finally, the brand equity is a resource in itself. Realty Income Corporation is known as The Monthly Dividend Company®. This isn't just marketing fluff; it translates into investor trust and a stable equity base. As an S&P 500 member, their track record supports this trust:

• 664 consecutive monthly dividends declared for 56 years (as of November 2025).
• 132 dividend increases since its 1994 NYSE listing.
• Member of the S&P 500 Dividend Aristocrats® index.

Finance: draft the Q4 2025 capital deployment plan based on the $5.5 billion full-year guidance by next Wednesday.

Realty Income Corporation (O) - Canvas Business Model: Value Propositions

You're looking at the core benefits Realty Income Corporation (O) delivers to its key partners-investors and corporate tenants. Honestly, their value proposition is built on consistency and scale, which is what you expect from a company with such a long track record.

For Investors: Dependable, Increasing Monthly Dividends

The primary draw for many is the income stream. Realty Income Corporation has achieved a significant milestone, announcing its 112th consecutive quarterly dividend increase in September 2025. This relentless consistency is a major differentiator in the REIT space. The annualized dividend amount as of September 30, 2025, stood at $3.234 per share, based on the new monthly dividend of $0.2695 per share declared that month. This commitment to growing that monthly payout is central to their investor value.

For Corporations: Full-Service Real Estate Capital for Asset-Light Strategies

For corporations looking to free up capital tied up in real estate, Realty Income Corporation offers a solution through large portfolio acquisitions or sale-leaseback transactions. They position themselves as a real estate partner that can provide long-term funding solutions at scale, which is exactly what a company pursuing an asset-light strategy needs. Their platform is designed to lean into this trend, offering a menu of capital options.

The strength of their platform, which allows them to execute these large deals, is supported by their scale and investment activity. For instance, in the third quarter of 2025, Realty Income Corporation invested $1.4 billion globally at a weighted average initial cash yield of 7.7%. This ability to deploy significant capital efficiently is the backbone of their corporate value proposition.

The stability of the underlying assets also reinforces this value proposition. Here are some key operational metrics that underpin the reliability of the cash flow you are buying into:

• Portfolio occupancy rate as of Q3 2025: 98.7%.
• Total properties owned or held interests in as of Q3 2025: 15,542.
• Diversification across industries: 92.
• Lease termination income recognized in Q3 2025: $27.3 million (or approximately $0.03 per share).

Stable Cash Flow from Long-Term Leases

The structure of their leases is designed for predictable income. Realty Income Corporation utilizes a triple-net lease structure, meaning the tenant handles property taxes, insurance, and maintenance, which slashes the company's exposure to rising operating expenses. This structural advantage supports the long-term nature of their contracts. As of September 30, 2025, the portfolio had a weighted average remaining lease term of approximately 8.9 years. This long duration provides a high degree of visibility into future rental revenue.

High Rent Recapture Rate

When leases do turn over, Realty Income Corporation demonstrates its asset management prowess. In Q3 2025, the company achieved a 103.5% rent recapture rate on re-leased properties. This means they increased the rent on those spaces compared to the prior lease. Specifically, the new annualized base rent on the 284 units re-leased was $70.65 million, up from the previous $68.29 million. That is a tangible demonstration of value creation through active management.

Let's put the core financial stability points into a quick comparison table for clarity:

Metric	Value (Late 2025 Data)	Source Context
Consecutive Quarterly Dividend Increases	112	Announced September 2025
Weighted Average Remaining Lease Term	8.9 years	As of September 30, 2025
Q3 2025 Rent Recapture Rate	103.5%	On 284 re-leased properties
Q3 2025 Net Cash Rents Recaptured	$71 million	From re-leased properties
Portfolio Occupancy (Q3 2025)	98.7%	Up 10 basis points sequentially

You see the story here: predictable income, strong lease duration, and the ability to grow rents upon renewal. Finance: draft 13-week cash view by Friday.

Realty Income Corporation (O) - Canvas Business Model: Customer Relationships

Realty Income Corporation (O) builds its customer relationships on the foundation of long-term, highly predictable contractual agreements with a diversified base of creditworthy operators.

Long-term, contractual relationships with tenants via NNN leases.

The core of the relationship is the triple-net lease (NNN), where the tenant is contractually responsible for nearly all property operating expenses, including taxes, insurance, and maintenance. As of second-quarter 2025, about 98% of Realty Income Corporation (O)'s assets were structured as single-tenant, triple-net-lease properties, which helps drive a near-100% gross margin across the portfolio. This structure creates highly predictable cash flows for Realty Income Corporation (O). The leases themselves are designed for longevity, with leases averaging 15-20 years and often including annual rent escalators ranging from 1.9% to 3.9%. For instance, a major preferred equity investment announced in December 2025 involved a property subject to an existing triple net lease with approximately 26 years of remaining initial term, plus three 10-year extension options. Portfolio occupancy remained exceptionally high, standing at 98.7% as of the third quarter of 2025.

The scale and diversification of the tenant base further solidify these relationships. As of the third quarter of 2025, Realty Income Corporation (O) owned a portfolio of over 15,500 properties across the U.S., the U.K., and seven other countries in Europe. This portfolio is leased to 1,630 clients across 91 industries.

Metric	Value (As of Late 2025 Data)	Context
Total Properties Owned	Over 15,500	Across U.S., U.K., and Europe.
Total Clients	1,630	As of Q3 2025.
Industry Diversification	91 Industries	As of Q2 2025.
NNN Lease Percentage	Approximately 90% to 98%	Net leases covering operating expenses.
Portfolio Occupancy (Q3 2025)	98.7%	Reflects stable tenant demand.
Weighted Average Remaining Lease Term	Nine years	As of Q2 2025.

Investor relations focused on transparency and dividend consistency.

Realty Income Corporation (O) cultivates investor trust through a commitment to monthly payouts and a long history of increases. The company has declared 664 consecutive monthly dividends as of September 30, 2025, and is a member of the S&P 500 Dividend Aristocrats, having increased its dividend for over 30 consecutive years. The company has paid out over $14.1 billion in dividends since its 1994 listing. For the dividend declared in April 2025, the monthly amount was $0.2685 per share, equating to an annualized amount of $3.222 per share. By December 2025, the monthly dividend per share was reported at $0.27. Investors must note that the reported payout ratio was as high as 298.20% at one point, though management relies on consistent acquisition growth to support the payout. The full-year 2025 Adjusted Funds From Operations (AFFO) per share guidance was tightened to a range of $4.25-$4.27.

Strategic, repeat partnerships with large institutional real estate firms.

Realty Income Corporation (O) engages in significant, repeat transactions with major institutional players. A prime example is the definitive agreement announced in December 2025 for an $800 million perpetual preferred equity investment in the CityCenter real estate from funds affiliated with Blackstone Real Estate. This marked the second investment with Blackstone Real Estate, following a successful joint venture at Bellagio Las Vegas in 2023. The initial unlevered rate of return expected on this preferred equity investment is 7.4%, with annual escalators beginning on the fifth anniversary.

Dedicated asset management for proactive tenant engagement.

Asset management actively works to ensure lease economics remain favorable, which is evident in leasing activity metrics. During the third quarter of 2025, Realty Income Corporation (O) achieved a rent recapture rate of 103.5% on re-leased properties. Specifically, for the 284 re-leases in that quarter, the new annualized base rent was $70.65 million, up from the previous annual rent of $68.29 million on those same units. The company also proactively monetized lease termination income of $27.3 million in Q3 2025, which management suggested might trend closer to ~$20 million annually going forward. This proactive management supports significant investment deployment; the company invested $1.4 billion in Q3 2025 at an initial weighted average cash yield of 7.7%, leading to an increased full-year 2025 investment volume outlook to over $6.0 billion.

• Rent recapture rate on re-leased properties (Q3 2025): 103.5%.
• Lease termination income monetized (Q3 2025): $27.3 million.
• Investment deployment in Q3 2025: $1.4 billion.
• Initial weighted average cash yield on Q3 2025 investments: 7.7%.
• Raised 2025 investment volume guidance to over $6.0 billion.

Realty Income Corporation (O) - Canvas Business Model: Channels

You're looking at how Realty Income Corporation (Realty Income) gets its properties and capital to the table, which is key to understanding its distribution model. It's not just one path; it's a multi-pronged approach using public markets, private relationships, and direct corporate engagement.

Direct investment team for sourcing sale-leaseback opportunities

Realty Income Corporation relies on its internal team to find and secure deals, particularly sale-leaseback opportunities where they act as a source of capital for commercial clients. This relationship-driven approach is highly effective.

• Over 94 % of Investment Volume since 2010 is relationship-driven.
• Year-to-date (through Q3 2025) sourcing volume reached $97 billion.
• The company increased its 2025 investment volume guidance to over $6.0 billion as of December 1, 2025.
• For the three months ended September 30, 2025, Realty Income Corporation invested $1.4 billion globally at an initial weighted average cash yield of 7.7%.
• The total property level investment volume since 2010 stands at $53.4 billion.

Public equity markets (NYSE: O) for common stock investors

The New York Stock Exchange (NYSE: O) is a primary channel for raising equity capital to fund acquisitions without excessive reliance on debt. Realty Income Corporation uses its At-The-Market (ATM) program to issue shares strategically.

The commitment to shareholders is evident in the dividend history, which is a major draw for this channel.

• The June 2025 dividend marked the 131st consecutive quarterly increase, with the payout set at $0.2690 per share.
• For the three months ended March 31, 2025, Realty Income Corporation raised $635.1 million from the sale of common stock at a weighted average price of $56.26 per share.
• For the three months ended June 30, 2025, $632 million of equity was raised through the ATM program at a weighted average stock price of $56.39 per share.
• As of December 1, 2025, Realty Income Corporation had approximately $1.3 billion of unsettled forward equity.

Debt capital markets for senior unsecured note offerings

Realty Income Corporation actively taps the debt capital markets to secure long-term, fixed-rate financing, which helps extend debt maturities and fund growth. This is a crucial, non-dilutive source of capital.

Offering Date/Period	Amount	Coupon/Yield	Maturity
Mid-2025 (Euro Notes)	€1.3 billion total (split €650M each)	3.375% (2031 tranche) and 3.875% (2035 tranche)	2031 and 2035
April 2025	$600.0 million	5.125% (Effective yield to maturity of 5.337%)	2035
October 2025	$800.0 million total (split $400M each)	3.950% (2029 tranche) and 4.500% (2033 tranche)	2029 and 2033

Direct engagement with corporate real estate decision-makers

This channel is the operational core, where Realty Income Corporation directly acquires and manages the underlying real estate assets through long-term net lease agreements with tenants. The engagement is focused on high-quality, operationally essential businesses.

• The portfolio, as of Q3 2025, comprised over 15,500 properties.
• These properties are leased to over 1,600 different clients across 91 industries.
• Realty Income Corporation has expanded its physical footprint to nine countries.
• The company is also developing an additive channel by launching its inaugural U.S. private fund business, aiming to tap into the estimated $18.8 trillion U.S. private real estate market.

Finance: finalize the Q4 2025 debt maturity schedule by end of next week.

Realty Income Corporation (O) - Canvas Business Model: Customer Segments

You're looking at the core groups Realty Income Corporation (O) serves to generate its dependable monthly income stream. This isn't just about collecting rent; it's about being a strategic capital partner for large, established businesses and a reliable yield vehicle for investors.

Corporate tenants seeking capital via sale-leaseback transactions.

This segment is crucial because it fuels Realty Income Corporation's growth engine. They act as a source of capital by acquiring real estate and leasing it back to the operator under long-term, net lease agreements. This relationship-driven approach is highly effective; as of late 2025, over 94% of their investment volume is relationship-driven. They are actively looking to deploy capital, with their 2025 investment volume guidance updated to approximately $5.5 billion. For instance, in Q3 2025 alone, they invested $1.4 billion. The goal here is to provide liquidity to industry-leading domestic and international commercial clients who want to monetize their real estate assets to fund strategic business objectives.

Income-oriented retail and institutional investors (public and private).

For investors, Realty Income Corporation is a cornerstone because of its long history of consistent payouts. They are a member of the S&P 500 Dividend Aristocrats® index, having increased their dividend for over 30 consecutive years. As of late 2025, the stock offered a yield close to 5.7%, which is definitely attractive for those prioritizing monthly income. Furthermore, Realty Income Corporation is expanding its reach into the institutional space by launching its inaugural U.S. private fund business, aiming to tap into the massive $18.8 trillion U.S. private real estate market. This dual appeal-monthly dividends for retail and new fund structures for institutions-broadens their capital base.

Large, multi-national companies across 91 industries.

Realty Income Corporation's portfolio is incredibly broad, which insulates it from single-sector risk. As of the third quarter of 2025, their portfolio comprised over 15,500 properties spanning 92 industries. While the outline mentions 91 industries, the latest data shows 92, reflecting their active diversification. They serve 1,647 clients globally. This scale, with an enterprise value around $85 billion as of Q3 2025, makes them a credible partner for large, multi-national entities needing real estate solutions across their footprint. They have properties in all 50 U.S. states and seven other countries in Europe, including the U.K.

Here's a quick look at the scale of the tenant base as of September 30, 2025:

Metric	Value
Total Properties	Over 15,500
Total Clients	1,647
Industries Represented	92
Leasable Square Feet	92 million
Portfolio Occupancy (Q2 2025)	98.7%

Investment-grade and non-investment-grade tenants (e.g., retail, industrial, gaming).

Realty Income Corporation segments its tenant quality carefully. They target retail clients whose businesses are service, non-discretionary, and/or low price point oriented-think grocery and convenience stores. For their non-retail focus, they target industrial and distribution properties leased to Fortune 1000, investment-grade rated companies. As of Q3 2025, approximately 32% of their Annualized Base Rent came from investment-grade clients (rated Baa3/BBB- or higher by one of the three major rating agencies). To be fair, they also have exposure to non-investment-grade tenants, but they manage this risk actively; their credit watch list stood at 4.6% of annualized base rent at the end of Q3 2025. They also actively add property types like gaming and are exploring experiential real estate.

You should check the latest credit ratings for their senior unsecured notes, which stood at A3 from Moody's and A- from S&P as of June 30, 2025. This strong rating helps keep their cost of capital low, which benefits all their tenants.

The key action here is monitoring the 4.6% credit watch list against the 32% investment-grade exposure. Finance: draft the Q4 2025 tenant credit exposure report by next Wednesday.

Realty Income Corporation (O) - Canvas Business Model: Cost Structure

You're looking at the hard numbers that drive the operational spend for Realty Income Corporation as of late 2025. This is where the cash goes to keep the monthly dividend flowing and the portfolio growing.

Interest Expense on Debt is a major component, especially following recent capital market activity. Realty Income Corporation closed an $800 million dual-tranche unsecured offering in October 2025. This involved:

• $400 million of 3.950% senior unsecured notes due February 2029.
• $400 million of 4.500% senior unsecured notes due February 2033.

The combined debt issuance carried a weighted average yield to maturity of 4.414%. This capital was partly used to repay approximately $550.0 million of 4.625% notes that matured on November 1, 2025. As of the third quarter of 2025, the company finished with net debt to annualized pro forma EBITDAre at 5.4x.

Dividend Payments represent the core commitment to shareholders. As of September 30, 2025, the annualized dividend amount was $3.234 per share. This followed the 112th consecutive quarterly dividend increase announced in September 2025. For context on the payout relative to cash flow:

Metric	Value (3 Months Ended Sept 30, 2025)
Monthly Dividends Paid Per Share	$0.807
AFFO Per Share (Diluted)	$1.08
Dividend as Percentage of AFFO Per Share	Approximately 74.7%

General and Administrative (G&A) Expenses are managed tightly relative to revenue. For the third quarter of 2025, Realty Income Corporation expected Cash G&A expenses as a percentage of total revenue to be in the range of 3.1% - 3.3%. Looking at the full 2025 fiscal year guidance, G&A expenses inclusive of stock-based compensation expense, as a percentage of rental revenue (excluding reimbursements), were expected to be approximately 3.5% - 3.8%.

Acquisition and Transaction Costs scale with investment activity, which is a key driver of the business. Realty Income Corporation increased its 2025 investment volume guidance to approximately $5.5 billion following the third quarter results. For the nine months ended September 30, 2025, total investment volume was north of $3.9 billion, with the third quarter alone seeing $1.4 billion invested globally. While specific transaction costs are netted out of Adjusted Funds From Operations (AFFO), the scale of deployment dictates the magnitude of these associated costs.

Property Impairment and Merger Costs are non-recurring items that impact reported net income. For the three months ended March 31, 2025 (Q1 2025), the company reported provisions for impairment of $143.4 million. Merger, transaction, and other costs, net, are specifically excluded when calculating AFFO per share to show recurring operational performance. For instance, in Q1 2025, the 'Other adjustments per share' guidance figure was $0.12, which captures these types of non-recurring items.

Finance: draft 13-week cash view by Friday.

Realty Income Corporation (O) - Canvas Business Model: Revenue Streams

You're looking at the hard numbers that drive Realty Income Corporation's income engine as of late 2025. The core of the business is rental income from triple net leases, which provides the bedrock stability you expect from a monthly dividend payer.

For the third quarter ended September 30, 2025, Realty Income Corporation reported total revenue of $1.47 billion, or $1,470.6 million. This represented a year-over-year increase of 10.5%.

The revenue breakdown shows the steady nature of the core business, supplemented by transactional income:

Revenue Component	Q3 2025 Amount	Context/Detail
Total Revenue	$1.47 billion	For the three months ended September 30, 2025.
Same Store Rental Revenues	$1.16 billion	From 14,482 properties under lease for Q3 2025.
Lease Termination Income	$27.3 million	Reported for Q3 2025.
Q3 2025 Investments Deployed	$1.4 billion	At a 7.7% weighted average initial cash yield.

The company also monetizes portfolio optimization through lease termination income, which was $27.3 million in Q3 2025. Management suggested this might normalize closer to ~$20 million annually going forward, but it certainly provided a boost in the quarter.

Organic growth is baked into the agreements themselves, which is key for predictable revenue scaling. You see this in the contractual rent escalators built into long-term leases. This is further supported by strong leasing performance, evidenced by the rent recapture rate across 284 re-leases in Q3 2025, which hit 103.5%.

Realty Income Corporation is also generating yield from investments outside of direct property ownership, specifically through preferred equity. This is a clear diversification of the revenue stream, moving up the capital stack.

• Yield from preferred equity investments includes the recent $800 million perpetual preferred equity investment in CityCenter.
• This specific investment is expected to carry an initial unlevered rate of return of 7.4%.
• The CityCenter assets are subject to an existing triple net lease with annual rent escalators.
• The 2025 investment volume guidance was increased to over $6.0 billion following this deal.

The core revenue stream is rental income, but the ability to generate significant, high-yield, non-core income streams like the CityCenter preferred equity deal shows the platform's flexibility. Finance: draft 13-week cash view by Friday.