Realty Income Corporation priced a new $800 million senior unsecured note issue due April 15, 2033, with a 4.750% coupon and a pricing of 98.261 % of par, resulting in an effective yield to maturity of 5.047 %. The pricing announcement was made on March 30, 2026, and the transaction is expected to close on April 7, 2026.
In addition to the note issuance, Realty Income entered into a $500 million U.S. dollar‑to‑Euro cross‑currency swap. The swap delivers a blended Euro‑denominated yield of approximately 4.44 % and a blended coupon rate of 4.16 %, providing a more favorable borrowing cost in euros than the U.S. dollar‑denominated notes alone. The hedge aligns the company’s debt profile with its European portfolio, which includes more than 15,500 properties across the United States, the United Kingdom, and eight other European countries.
The $800 million proceeds will be used for general corporate purposes, including potential repayment or repurchase of existing debt, additional foreign‑currency swaps, and the development, redevelopment, and acquisition of new properties. This financing supports Realty Income’s strategy of expanding its net‑lease portfolio while maintaining a strong credit profile—its S&P rating is A‑, and it has a long history of dividend growth, having increased its dividend for 669 consecutive months and being a member of the S&P 500 Dividend Aristocrats.
The issuance comes after a series of capital‑raising activities, including a $862.5 million convertible senior note issue in January 2026 and a $694 million term loan closed in March 2026. By securing long‑term, fixed‑rate debt at a competitive coupon, Realty Income preserves capital‑structure flexibility and protects against rising interest rates, while the euro swap mitigates currency risk for its European operations.
Management emphasized that the new debt and the currency hedge are part of a broader plan to fund growth and maintain financial resilience. The company’s strong credit rating and dividend track record provide confidence that it can service the new debt while continuing to invest in high‑quality, triple‑net lease properties that generate stable cash flows.
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