Net Lease REITs: Performance Comes at a Cost

Net lease REITs have been a focus of my coverage, with recent articles discussing capitalization rates in the sector. Essential Properties Realty Trust has seen performance, but at a cost. The REIT's shares have declined by 35% since the start of the year, despite strong quarterly results. The company's focus on acquiring assets with higher yields and lower credit quality has led to lower returns for investors.