Postal Realty Trust, Inc. Provides Fourth Quarter and Full Year 2023 Update

• Acquired 223 Properties for $78 Million in 2023
• Full Year 2023 Weighted Average Capitalization Rate of 7.7%
• 96% of Debt Outstanding Set to Fixed Rates
• No Near-Term Debt Maturities

CEDARHURST, N.Y., Jan. 10, 2024 (GLOBE NEWSWIRE) -- Postal Realty Trust, Inc. (NYSE: PSTL) (the “Company”), an internally managed real estate investment trust that owns and manages over 1,900 postal properties leased primarily to the United States Postal Service (the “USPS”), ranging from last-mile post offices to industrial facilities, provided an update on its portfolio, collections, acquisitions, and capital markets activity for the fourth quarter of 2023. The Company also provided an update on its portfolio and balance sheet at year-end as well as on its acquisitions for the full year of 2023.

For the full year 2023, the Company acquired 223 properties leased to the USPS for approximately $78 million, excluding closing costs. These properties comprise approximately 532,000 net leasable interior square feet and have a weighted average rental rate of $12.86 per leasable square foot based on rents in place as of December 31, 2023. These acquisitions were completed at a weighted average capitalization rate of approximately 7.7%.

Andrew Spodek, Chief Executive Officer, stated, “2023 was another strong year for Postal Realty as we added 223 last-mile and flex properties to our portfolio at a weighted average cap rate of approximately 7.7%. We have continued to execute our consolidation strategy by acquiring attractive assets that are important to the Postal Service. We have prudently managed our balance sheet with no near-term debt maturities, 96% of our debt currently set to fixed rates, and $141 million undrawn on our revolving credit facility. Our experienced leadership team, stable cash flows, and strong balance sheet give us confidence that we will continue to create value for our shareholders in 2024.”

Fourth Quarter & Year-End 2023 Update

For the fourth quarter of 2023, the Company collected 100% of its contractual rents and acquired 75 properties leased to the USPS for approximately $20.7 million, excluding closing costs, comprising approximately 153,000 net leasable interior square feet. These acquisitions were completed at a weighted average capitalization rate of approximately 7.7%.

The Company’s owned portfolio was 99.7% occupied comprised of 1,509 properties across 49 states and one territory with approximately 5.9 million net leasable interior square feet and a weighted average rental rate of $9.37 per occupied leasable square foot based on rents in place as of December 31, 2023. The weighted average rental rate consisted of $11.52 per occupied leasable square foot on last-mile and flex properties, and $3.55 on industrial properties.