Getty Realty Corp. (NYSE: GTY) announced it had agreed to long-term triple-net leases on 28 properties in New York and New Jersey with a subsidiary of BP, plc (NYSE: BP), BP Products North America Inc. Under the terms of the agreements, the aggregate annual triple-net GAAP revenue will be up to approximately $3.0 million. The leases with BP have initial 15 year terms with provisions for rent escalations and options for multiple renewal terms.
'With this new long-term agreement with BP, we have reached a critical milestone in this Company's history. We have now virtually completed our efforts to reposition the portfolio previously leased to Getty Petroleum Marketing, Inc. ('Marketing'), our former largest tenant, that filed for bankruptcy protection one year ago today,' stated David Driscoll, Getty's President and Chief Executive Officer. 'At this point, we have now entered into long-term triple-net leases for 443 of those locations. While we also anticipate we may enter into additional leases on smaller portfolios, we will also continue to rationalize our portfolio through the disposition of underperforming properties. As we look ahead, we now believe we are well positioned to begin refocusing our efforts on reinvesting proceeds from asset sales and making accretive acquisitions, as we seek to create value for our shareholders.'
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