W. P. Carey Inc. announced on January 8, 2025, that its total investment volume for the full year 2024 reached approximately $1.6 billion. These investments were made at a weighted-average initial cap rate of approximately 7.5% and an average yield of approximately 9%, reflecting contractual rent escalations.
The fourth quarter of 2024 saw a record on-balance sheet investment volume for the company, totaling approximately $845 million. This significant activity brought the full-year volume into the top half of the company's investment guidance range. The investments primarily focused on high-quality, single-tenant warehouse and industrial properties, which constituted close to 60% of the full-year volume, with retail properties making up approximately 30%.
Geographically, approximately three-quarters of the 2024 investment volume was located in North America, with the remaining one-quarter in Europe. CEO Jason Fox stated that the full benefit of these investments will flow through earnings in 2025, in addition to rent escalations. The company is positioned to fund 2025 investments without issuing equity, utilizing substantial liquidity and accretive sales of non-core assets.
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