NNN REIT, INC. PP&E Disclosure
Real Estate Portfolio. NNN's real estate consisted of the following at December 31 (dollars in thousands):
|
|
2025 |
|
|
2024 |
|
||
Land and improvements (1) |
|
$ |
3,100,444 |
|
|
$ |
2,919,976 |
|
Buildings and improvements |
|
|
8,323,201 |
|
|
|
7,805,939 |
|
Leasehold interests |
|
|
355 |
|
|
|
355 |
|
|
|
|
11,424,000 |
|
|
|
10,726,270 |
|
Less accumulated depreciation and amortization |
|
|
(2,248,856 |
) |
|
|
(2,065,316 |
) |
|
|
|
9,175,144 |
|
|
|
8,660,954 |
|
Work in progress and improvements |
|
|
42,019 |
|
|
|
82,411 |
|
Accounted for using the operating method |
|
|
9,217,163 |
|
|
|
8,743,365 |
|
Accounted for using the direct financing method |
|
|
1,181 |
|
|
|
2,520 |
|
Classified as held for sale(2) |
|
|
21,198 |
|
|
|
283 |
|
|
|
$ |
9,239,542 |
|
|
$ |
8,746,168 |
|
(1) |
Includes $24,523 and $34,356 in land for Properties under construction as of December 31, 2025 and 2024, respectively. |
(2) |
As of December 31, 2025, 10 Properties were classified as held for sale. The two properties classified as held for sale as of December 31, 2024 were sold during the year ended December 31, 2025. |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 11, 2026 | Showing above |
| 2024 | Feb 11, 2025 | |
| 2023 | Feb 8, 2024 | |
| 2022 | Feb 9, 2023 | |
| 2021 | Feb 9, 2022 | |
| 2020 | Feb 11, 2021 | |
About PP&E Disclosures
The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.
Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.