Fitch affirms Realty Income

Fitch Ratings said that following the announcement by Realty Income Corp. that it agreed to acquire American Realty Capital Trust, Inc. in a $2.95 billion transaction, it has affirmed the credit ratings of Realty Income as follows:

• Issuer default rating at BBB+;

• $1 billion unsecured revolving credit facility at BBB+;

• $1.75 billion senior unsecured notes at BBB+; and

• $609.4 million preferred stock at BBB-.

The outlook is stable.

The affirmation of Realty Income's issuer default rating at BBB+ reflects that the acquisition will have a neutral impact on Realty Income's credit profile, the agency said, noting that the portfolio on a pro forma basis remains geographically diversified and will have lower tenant concentration and tenant credit risk.

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