Global Net Lease (NYSE:GNL) reported closing $74 million of asset dispositions since the first quarter of 2026, including $66 million of occupied properties at a 7.2% cash cap rate and $8 million of vacant assets.
Year-to-date, GNL has completed about $145 million of dispositions and expects its pending $535 million Modiv Industrial acquisition to be 4% accretive to AFFO per share and leverage neutral, while reducing office exposure from roughly 26% to about 21% of portfolio straight-line rent.
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Positive
$74 million of dispositions since Q1 2026, including $66 million occupied assets
Year-to-date dispositions of approximately $145 million at 7.5% cash cap rate on occupied assets
$61 million of office assets sold at a 7.2% cash cap rate, reducing office exposure
$8 million of vacant assets sold, eliminating negative NOI drag and raising occupancy
Pending $535 million Modiv Industrial acquisition expected to be 4% accretive to AFFO per share
Modiv portfolio’s 15.0-year WALT expected to extend GNL WALT from 5.9 to 6.7 years
Negative
None.
News Market Reaction – GNL
-0.67%
-0.67%Session close to close
In the Jun 29 session, GNL declined 0.67%, reflecting a mild negative market reaction.
This announcement highlights GNL’s asset sales and redeployment at 7.2–8.2% cash cap rates and the p...
Analysis
This announcement highlights GNL’s asset sales and redeployment at 7.2–8.2% cash cap rates and the pending $535M Modiv acquisition, reducing office exposure but leaving execution risk around portfolio integration and future disposition progress as key watch points.
Key Figures
Recent dispositions:$74MOccupied asset sales:$66M at 7.2% cash cap rateOffice asset sales:$61M (93% of occupied sales)+5 more
8 metrics
Recent dispositions$74MAssets sold since the first quarter of 2026
Occupied asset sales$66M at 7.2% cash cap rateOccupied dispositions since the first quarter of 2026
Office asset sales$61M (93% of occupied sales)Office portion of occupied dispositions since the first quarter of 2026
Vacant asset sales$8MVacant assets sold, eliminating negative NOI drag
YTD dispositions$145M at 7.5% cash cap rateYear-to-date 2026, occupied assets only
Industrial acquisition$14M at 8.2% cash cap rate100,000-square-foot single-tenant industrial property under contract
Modiv acquisition value$535MPending acquisition of Modiv Industrial, expected Q3 2026 close
AFFO accretion4%Expected immediate accretion to AFFO per share from Modiv acquisition
Announced retirement of two long-tenured directors following the 2026 annual meeting.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Pattern Detected
Recent history shows mixed reactions, with shares sometimes declining on otherwise positive earnings and acquisition announcements.
Key Terms
cash cap rate, noi, affo, weighted average lease term
4 terms
cash cap ratefinancial
"sold $66 million of occupied assets at a 7.2% cash cap rate"
Cash cap rate is the annual cash income an asset produces divided by its purchase price or current market value, expressed as a percentage. It shows the immediate cash yield an investor gets (excluding non‑cash accounting items like depreciation), so it helps compare how much cash return one investment gives versus another — similar to comparing the rent you’d collect against the price you paid.
noifinancial
"sold $8 million of vacant assets, eliminating negative NOI drag"
Net operating income (NOI) is the total profit a business makes from its core operations, after subtracting expenses directly related to running the business but before accounting for taxes, interest, or investments. It shows how well the company’s main activities generate earnings and helps investors assess its financial health and profitability without the influence of external factors. Think of it as the money a store earns from sales minus the costs to keep it open.
affofinancial
"The acquisition is expected to be immediately 4% accretive to AFFO per share"
AFFO (Adjusted Funds from Operations) is a measure of how much cash a real estate company or investment trust generates from its core operations after subtracting routine upkeep, leasing costs and other recurring expenses. Investors use it as a rough proxy for the cash available to pay dividends or reinvest, like checking how much money remains in your household budget after paying regular bills to see what you can spend or save.
weighted average lease termfinancial
"portfolio with a 15.0 year weighted average lease term and 2.4% average annual"
Weighted average lease term is the average remaining length of all leases in a property or group of properties, calculated so leases that pay more rent count more than small ones. It matters to investors because a longer weighted average lease term means steadier, more predictable rental income and less near-term risk of vacancies or renegotiations—think of it like the average remaining time on a group of paid subscriptions, weighted by subscription size.
Sold $66 Million of Occupied Properties, Including $61 Million of Office Assets at a 7.2% Cash Cap Rate
Office Assets Accounted for 93% of Occupied Sales
Disposition Activity Reduces Office Exposure and Supports Continued Focus on Leverage Reduction
Pending Acquisition of Modiv Industrial Remains on Track for Anticipated Third Quarter 2026 Closing
NEW YORK, June 29, 2026 (GLOBE NEWSWIRE) -- Global Net Lease, Inc. (NYSE: GNL) ("GNL" or the "Company") today announced that, since the first quarter 20261, it sold $74 million of assets, including $66 million of occupied assets at a 7.2% cash cap rate, with office assets representing $61 million, or 93%, of occupied dispositions. GNL also sold $8 million of vacant assets, eliminating negative NOI drag, increasing portfolio occupancy and enhancing overall portfolio quality. Year-to-date, GNL has now closed approximately $145 million of dispositions at a 7.5% cash cap rate on occupied assets.
Since the first quarter 20261, GNL sold two occupied office assets at a 7.2% cash cap rate: a 33,000-square-foot building leased to the U.S. General Services Administration ("GSA") for $13 million and a 369,000-square-foot office building leased to GE Aviation for $48 million. Prior to the sales, GNL executed 20-year and 10-year lease extensions at the GSA and GE Aviation properties, respectively, increasing the assets' marketability and positioning them for dispositions at enhanced values. In addition, GNL has a 133,000-square-foot office asset in the Netherlands, currently leased to Koninklijke KPN N.V. ("KPN"), under contract for sale for approximately $18 million2, upon the expiration of KPN's lease in December 2026. These transactions reflect the Company's continued execution of its strategy to reduce office exposure, proactively address lease rollover risk, and improve the long-term quality of the portfolio. GNL is continuing its efforts to further reduce its office exposure and looks forward to providing additional details for any potential transaction entered into. Upon completion of these transactions, GNL expects office exposure to be reduced to approximately 21% of portfolio straight-line rent.
On the acquisition front, GNL is currently under contract to acquire a 100,000-square-foot single-tenant industrial property occupied by a Fortune 50 investment-grade tenant for $14 million at an 8.2% cash cap rate. The Company anticipates that this acquisition will provide an opportunity to redeploy disposition proceeds into a high-quality industrial asset at an attractive yield.
Together with the pending $535 million acquisition of Modiv Industrial, Inc. (NYSE: MDV), expected to close in the third quarter of 2026, these initiatives reflect GNL's continued focus on increasing exposure to single-tenant industrial and retail assets while strategically reducing office concentration. The acquisition is expected to be immediately 4% accretive to AFFO per share and is structured to be leverage neutral, complementing GNL's broader, continued focus on reducing leverage over the long-term and preserving GNL's balance sheet strength and financial flexibility. Through the transaction, GNL will be acquiring a high-quality industrial net lease portfolio with a 15.0 year weighted average lease term and 2.4% average annual rent escalations, which is expected to extend GNL's weighted average lease term from 5.9 years in Q1'26 to 6.7 years on a pro-forma basis.
"Our recent disposition activity advances our strategy of reducing office exposure while improving overall portfolio quality," said Michael Weil, CEO of GNL. "These dispositions demonstrate our ability to monetize office assets at attractive valuations while redeploying capital into high-quality industrial and retail investments. Together with the pending Modiv acquisition and additional office sales, we expect to reduce our office exposure to approximately 21% of portfolio straight-line rent, down from approximately 26% as of the first quarter of 2026, marking another meaningful step in our ongoing portfolio transformation. We believe these actions will further improve portfolio quality, strengthen our earnings profile, and position GNL to deliver long-term value for our stockholders."
About Global Net Lease, Inc.
Global Net Lease, Inc. (NYSE: GNL) is a publicly traded real estate investment trust that focuses on acquiring and managing a global portfolio of income-producing net lease assets across the U.S., and Western and Northern Europe. Additional information about GNL can be found on its website at www.globalnetlease.com.
Footnotes
[1] Represents dispositions closed from April 1, 2026 through June 26, 2026. [2] Based on an EUR exchange rate as of June 26, 2026.
Important Notice
The statements in this press release that are not historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties that could cause the outcome to be materially different. The words such as "may," "will," "seeks," "anticipates," "believes," "expects," "estimates," "projects," "potential," "predicts," "plans," "intends," "would," "could," "should" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to a number of risks, uncertainties and other factors, many of which are outside of GNL's control, which could cause actual results to differ materially from the results contemplated by the forward-looking statements. These risks and uncertainties include the risks that any potential future acquisition or disposition by GNL, including the Modiv transaction and the pending KPN disposition and industrial property acquisition, is subject to market conditions, capital availability and timing considerations and may not be identified or completed on favorable terms, or at all. Some of the risks and uncertainties, although not all risks and uncertainties, that could cause GNL's actual results to differ materially from those presented in GNL's forward-looking statements are set forth in the "Risk Factors" and "Quantitative and Qualitative Disclosures about Market Risk" sections in GNL's Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and all of its other filings with the U.S. Securities and Exchange Commission, as such risks, uncertainties and other important factors may be updated from time to time in GNL's subsequent reports. Further, forward-looking statements speak only as of the date they are made, and GNL undertakes no obligation to update or revise any forward-looking statement to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time, unless required by law.
What asset dispositions did Global Net Lease (NYSE:GNL) complete since the first quarter of 2026?
Global Net Lease sold $74 million of assets since the first quarter of 2026. This included $66 million of occupied properties at a 7.2% cash cap rate and $8 million of vacant assets, which eliminated negative NOI drag and increased portfolio occupancy, according to the company.
How are GNL’s 2026 property sales affecting its office exposure and portfolio mix?
GNL’s 2026 sales are intended to reduce office exposure and shift toward industrial and retail. According to the company, office assets represented $61 million, or 93%, of occupied dispositions, and office exposure is expected to fall to about 21% of portfolio straight-line rent.
What is the impact of the Modiv Industrial (NYSE:MDV) acquisition on GNL’s AFFO per share?
The pending $535 million acquisition of Modiv Industrial is expected to be immediately 4% accretive to GNL’s AFFO per share. According to GNL, the deal is structured to be leverage neutral and should extend the weighted average lease term from 5.9 to 6.7 years pro forma.
What new industrial property is Global Net Lease acquiring in 2026 and at what yield?
Global Net Lease is under contract to buy a 100,000-square-foot single-tenant industrial property for $14 million. According to the company, the asset is occupied by a Fortune 50 investment-grade tenant and carries an 8.2% cash cap rate, funded with disposition proceeds.
How much has Global Net Lease disposed of year-to-date 2026 and at what cap rate?
Year-to-date 2026, GNL has closed about $145 million of dispositions. According to the company, these sales achieved a 7.5% cash cap rate on occupied assets, supporting efforts to reduce office exposure, address lease rollover risk, and improve long-term portfolio quality.
How do GNL’s lease extensions at GSA and GE Aviation properties support its disposition strategy?
Before selling, GNL extended the GSA lease to 20 years and GE Aviation lease to 10 years. According to the company, these extensions improved asset marketability and helped position the 33,000 and 369,000-square-foot office buildings for sale at enhanced values and a 7.2% cash cap rate.
