Company: NNN
Filing Date: 2025-02-11
Form Type: 10-K
Source: 0000950170-25-017472
Chunk: 172

Company: NNN REIT, INC.
Filing Date: 2025-02-11
Form: 10-K
Item: Item 6
Chunk 172
---
8

       (1)Recorded as a net increase to rental income over the life of the lease.(2)Amortized as an increase to amortization expense. Real Estate – DispositionsThe following table summarizes the properties sold and the corresponding gain recognized on the disposition of properties for the years ended December 31 (dollars in thousands): 

        2024

        2023

        2022

        # of SoldProperties

        NetGain

        # of SoldProperties

        NetGain

        # of SoldProperties

        NetGain

        Gain on disposition of real estate

        41

        $
        42,290

        45

        $
        47,485

        33

        $
        17,443

       Real Estate – CommitmentsAs of December 31, 2024, NNN has committed to fund construction of 15 Properties. The improvements of such Properties are estimated to be completed within 12 to 18 months. These construction commitments, at December 31, 2024, are outlined in the table below (dollars in thousands): 

        Total commitment(1)
         
        $
        165,550

        Less amount funded

        (116,767
        )

        Remaining commitment
         
        $
        48,783

       (1)Includes land, construction costs, tenant improvements, lease costs, capitalized interest and third-party costs.

67

Real Estate – ImpairmentsNNN periodically assesses its long-lived real estate assets for possible impairment whenever certain events or changes in circumstances indicate that the carrying value of the asset may not be recoverable.As a result of NNN's review of long-lived real estate assets, including identifiable intangible assets, NNN recognized real estate impairments, net of recoveries as summarized in the table below (dollars in thousands):

        2024

        2023

        2022

        Total real estate impairments, net of recoveries
         
        $
        6,632

        $
        5,990

        $
        8,309

        Number of Properties:

        Vacant

        4

        11

        9

        Occupied

        9

        3

        7

      The valuation of impaired assets is determined using widely accepted valuation techniques including discounted cash flow analysis, income capitalization, analysis of recent comparable sales transactions, actual sales