EX-99.2 3 a18-5882_1ex99d2.htm EX-99.2

Exhibit 99.2

SUPPLEMENTAL OPERATING & FINANCIAL DATA Q4 2017 an S&P 500 company S&P High Yield Dividend Aristocrats® index member

Table Of Contents 2 Q4 2017 Supplemental Operating & Financial Data This Supplemental Operating & Financial Data should be read in connection with the company's fourth quarter 2017 earnings press release (included as Exhibit 99.1 of the company's Current Report on Form 8-K, filed on February 21, 2018) as certain disclosures, definitions, and reconciliations in such announcement have not been included in this Supplemental Operating & Financial Data. Corporate Overview 3 Financial Summary Consolidated Statements Of Income 4 Funds From Operations (FFO) 5 Adjusted Funds From Operations (AFFO) 6 Consolidated Balance Sheets 7 Debt Summary 8 Debt Maturities 9 Capitalization & Financial Ratios 10 Adjusted EBITDA & Coverage Ratios 11 Debt Covenants 12 Transaction Summary Investment Summary 13 Disposition Summary 14 Development Pipeline 15 Real Estate Portfolio Summary Tenant Diversification 16 Industry Diversification 17 Geographic Diversification 19 Property Type Composition 20 Same Store Rental Revenue 21 Leasing Data Occupancy 23 Leasing Activity 24 Expirations 25 Earnings Guidance 26 Analyst Coverage 27

Senior Management John P. Case, Chief Executive Officer Sumit Roy, President and Chief Operating Officer Paul M. Meurer, Executive VP, Chief Financial Officer and Treasurer Michael R. Pfeiffer, Executive VP, General Counsel and Secretary Neil M. Abraham, Executive VP, Chief Investment Officer Benjamin N. Fox, Executive VP, Portfolio and Asset Management Credit Ratings Moody’s A3 Stable Outlook Standard & Poor’s BBB+ Positive Outlook Fitch BBB+ Stable Outlook Dividend Information as of February 2018 Current annualized dividend of $2.628 per share Compound average annual dividend growth rate of approximately 4.7% 572 consecutive monthly dividends declared 81 consecutive quarterly dividend increases Corporate Headquarters 11995 El Camino Real San Diego, California 92130 Phone: (858) 284-5000 Website: www.realtyincome.com Transfer Agent Equiniti Trust Company Phone: (800) 468-9716 Website: www.shareowneronline.com Corporate Profile Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing stockholders with dependable monthly dividends that increase over time. The monthly dividends are supported by the cash flow generated from real estate owned under long-term, net lease agreements with regional and national commercial tenants. The company has in-house acquisition, portfolio management, asset management, real estate research, credit research, legal, finance and accounting, information technology, and capital markets capabilities. Over the past 49 years, Realty Income has been acquiring and managing freestanding commercial properties that generate rental revenue under long-term, net lease agreements. Portfolio Overview At December 31, 2017, we owned a diversified portfolio of 5,172 properties located in 49 states and Puerto Rico, with over 89 million square feet of leasable space. Our properties are leased to 249 different commercial tenants doing business in 47 separate industries. Approximately 81% of our quarterly rental revenues were generated from retail properties, 12% from industrial properties, and the remaining 7% were from other property types. Our physical occupancy rate as of December 31, 2017 was 98.4%, with a weighted average remaining lease term of approximately 9.5 years. Common Stock Our Common Stock is traded on the New York Stock Exchange under the symbol "O" Corporate Overview 3 Q4 2017 Supplemental Operating & Financial Data December 31, 2017 Closing price $ 57.02 Shares and units outstanding 284,618,889 Market value of common equity $ 16,228,969,000 Total market capitalization $ 22,355,118,000

Consolidated Statements Of Income (dollars in thousands, except per share amounts) 4 Q4 2017 Supplemental Operating & Financial Data (unaudited) (unaudited) Three months ended Year ended December 31, December 31, 2017 2016 2017 2016 REVENUE Rental $ 298,899 $ 275,224 $ 1,166,224 $ 1,057,413 Tenant reimbursements 11,165 11,363 46,082 43,104 Other 590 1,256 3,462 2,655 Total revenue 310,654 287,843 1,215,768 1,103,172 EXPENSES Depreciation and amortization 127,033 117,752 498,788 449,943 Interest 61,477 48,935 247,413 219,974 General and administrative 15,219 13,559 58,446 51,966 Property (including reimbursable) 16,652 17,411 69,480 62,865 Income taxes 3,424 449 6,044 3,262 Provisions for impairment 6,679 3,709 14,751 20,664 Total expenses 230,484 201,815 894,922 808,674 Gain of sales of real estate 23,208 6,696 40,898 21,979 Loss on extinguishment of debt (42,426 ) - (42,426 ) - Net income 60,952 92,724 319,318 316,477 Net income attributable to noncontrolling interests (100 ) (283 ) (520 ) (906 ) Net income attributable to the Company 60,852 92,441 318,798 315,571 Preferred stock dividends - (6,770 ) (3,911 ) (27,080 ) Excess of redemption value over carrying value of preferred shares subject to redemption - - (13,373 ) - Net income available to common stockholders $ 60,852 $ 85,671 $ 301,514 $ 288,491 Net income available to common stockholders per common share: Basic and diluted $ 0.22 $ 0.33 $ 1.10 $ 1.13

Funds From Operations (FFO) (dollars in thousands, except per share amounts) 5 Q4 2017 Supplemental Operating & Financial Data The following is a reconciliation of net income available to common stockholders (which we believe is the most comparable GAAP measure) to FFO. Also presented is information regarding distributions paid to common stockholders and the weighted average number of common shares used for the basic and diluted FFO per share computations. We define FFO, a non-GAAP measure, consistent with the National Association of Real Estate Investment Trusts’ (NAREIT’s) definition, as net income available to common stockholders, plus depreciation and amortization of real estate assets, plus impairments of depreciable real estate assets, and reduced by gains on property sales. Presentation of the information regarding FFO and AFFO (described on page 6) is intended to assist the reader in comparing the operating performance of different REITs, although it should be noted that not all REITs calculate FFO and AFFO in the same way, so comparisons with other REITs may not be meaningful. FFO and AFFO should not be considered as alternatives to reviewing our cash flows from operating, investing, and financing activities. In addition, FFO and AFFO should not be considered as measures of liquidity, of our ability to make cash distributions, or of our ability to pay interest payments. Three months ended Year ended December 31, December 31, 2017 2016 2017 2016 Net income available to common stockholders $ 60,852 $ 85,671 $ 301,514 $ 288,491 Depreciation and amortization 127,033 117,752 498,788 449,943 Depreciation of furniture, fixtures and equipment (118 ) (172 ) (557 ) (747 ) Provisions for impairment 6,679 3,709 14,751 20,664 Gain on sales of real estate (23,208 ) (6,696 ) (40,898 ) (21,979 ) FFO adjustments allocable to noncontrolling interests (250 ) (431 ) (933 ) (977 ) FFO available to common stockholders $ 170,988 $ 199,833 $ 772,665 $ 735,395 FFO allocable to dilutive noncontrolling interests - 266 877 1,435 Diluted FFO $ 170,988 $ 200,099 $ 773,542 $ 736,830 FFO per common share: Basic $ 0.61 $ 0.77 $ 2.83 $ 2.88 Diluted $ 0.61 $ 0.77 $ 2.82 $ 2.88 Distributions paid to common stockholders $ 179,306 $ 156,741 $ 689,294 $ 610,516 FFO available to common stockholders (less than) in excess of distributions paid to common stockholders $ (8,318 ) $ 43,092 $ 83,371 $ 124,879 Weighted average number of common shares used for FFO per share computations: Basic 281,923,090 258,373,179 273,465,680 255,066,500 Diluted 282,023,488 259,010,432 273,936,752 255,822,679

Adjusted Funds From Operations (AFFO) (dollars in thousands, except per share amounts) 6 Q4 2017 Supplemental Operating & Financial Data The following is a reconciliation of net income available to common stockholders (which we believe is the most comparable GAAP measure) to FFO and AFFO. Also presented is information regarding distributions paid to common stockholders and the weighted average number of common shares used for the basic and diluted AFFO per share computations. We define AFFO as FFO adjusted for unique revenue and expense items, which the company believes are not as pertinent to the measurement of the company’s ongoing operating performance. Most companies in our industry use a similar measurement to AFFO, but they may use the term "CAD" (for Cash Available for Distribution) or "FAD" (for Funds Available for Distribution). (1) See reconciling items for FFO presented under "Funds from Operations (FFO).” Three months ended Year ended December 31, December 31, 2017 2016 2017 2016 Net income available to common stockholders $ 60,852 $ 85,671 $ 301,514 $ 288,491 Cumulative adjustments to calculate FFO (1) 110,136 114,162 471,151 446,904 FFO available to common stockholders 170,988 199,833 772,665 735,395 Excess of redemption value over carrying value of Class F preferred share redemption - - 13,373 - Amortization of share-based compensation 3,305 2,803 13,946 12,007 Amortization of deferred financing costs 1,193 1,492 5,326 5,352 Amortization of net mortgage discounts (premiums) 1,114 (745 ) (466 ) (3,414 ) Loss on extinguishment of debt 42,426 - 42,426 - Gain on interest rate swaps (2,022 ) (7,474 ) (3,250 ) (1,639 ) Leasing costs and commissions (326 ) (233 ) (1,575 ) (797 ) Recurring capital expenditures (376 ) (193 ) (912 ) (679 ) Straight-line rent (4,859 ) (5,239 ) (17,191 ) (19,451 ) Amortization of above and below-market leases 3,800 ) 2,627 14,013 9,297 Other adjustments 69 93 283 303 Total AFFO available to common stockholders $ 215,312 $ 192,964 $ 838,638 $ 736,374 AFFO allocable to dilutive noncontrolling interests 293 262 1,178 1,455 Diluted AFFO $ 215,605 $ 193,226 $ 839,816 $ 737,829 AFFO per common share Basic $ 0.76 $ 0.75 $ 3.07 $ 2.89 Diluted $ 0.76 $ 0.75 $ 3.06 $ 2.88 Distributions paid to common stockholders $ 179,306 $ 156,741 $ 689,294 $ 610,516 AFFO available to common stockholders in excess of distributions paid to common stockholders $ 36,006 $ 36,223 $ 149,344 $ 125,858 Weighted average number of common shares used for AFFO per share computations: Basic 281,923,090 258,373,179 273,465,680 255,066,500 Diluted 282,428,692 259,010,432 274,024,934 255,822,679

Consolidated Balance Sheets (dollars in thousands , except per share amounts) 7 Q4 2017 Supplemental Operating & Financial Data December 31, 2017 December 31, 2016 ASSETS (unaudited) Real estate, at cost: Land $ 4,080,400 $ 3,752,204 Buildings and improvements 10,936,069 10,112,212 Total real estate, at cost 15,016,469 13,864,416 Less accumulated depreciation and amortization (2,346,644 ) (1,987,200 ) Net real estate held for investment 12,699,825 11,877,216 Real estate held for sale, net 6,674 26,575 Net real estate 12,676,499 11,903,791 Cash and cash equivalents 6,898 9,420 Accounts receivable, net 119,533 104,584 Acquired lease intangible assets, net 1,194,930 1,082,320 Goodwill 14,970 15,067 Other assets, net 45,336 37,689 Total assets $ 14,058,166 $ 13,152,871 LIABILITIES AND EQUITY Distributions payable $ 60,799 $ 55,235 Accounts payable and accrued expenses 109,523 121,156 Acquired lease intangible liabilities, net 268,796 264,206 Other liabilities 116,869 85,616 Line of credit payable 110,000 1,120,000 Term loans, net 445,286 319,127 Mortgages payable, net 325,941 466,045 Notes payable, net 5,230,244 3,934,433 Total liabilities $ 6,667,458 $ 6,365,818 Stockholders' equity: Preferred stock and paid in capital, par value $0.01 per share, 69,900,000 shares authorized, no shares issued and outstanding $ - $ 395,378 as of December 31, 2017 and 16,350,000 issued and outstanding as of December 31, 2016, liquidation preference $25.00 per share Common stock and paid in capital, par value $0.01 per share, 370,100,000 shares authorized, 284,213,685 shares issued and outstanding as of December 31, 2017 and 260,168,259 shares issued and outstanding as of December 31, 2016 9,624,264 8,228,594 Distributions in excess of net income (2,252,763 ) (1,857,168 ) Total stockholders' equity 7,371,501 6,766,804 Noncontrolling interests 19,207 20,249 Total equity 7,390,708 6,787,053 Total liabilities and equity $ 14,058,166 $ 13,152,871

Debt Summary (dollars in thousands) 8 Q4 2017 Supplemental Operating & Financial Data Principal Interest Weighted Maturity Date as of Balance as of Rate as of Average Years December 31, 2017 December 31, 2017 % of Debt December 31, 2017 until Maturity Credit Facility Credit Facility (1) June 30, 2019 $ 110,000 1.8% 4.5% 1.5 years Unsecured Term Loans Term Loan – Acquisition (2) January 2, 2018 125,866 2.1% 1.52% 0.0 years Term Loan - Tau (3) January 21, 2018 70,000 1.1% 2.46% 0.1 years Term Loan - Realty Income (4) June 30, 2020 250,000 4.1% 2.47% 2.5 years Principal amount 445,866 7.3% 2.20% 1.4 years Deferred financing costs (580) Carrying value 445,286 Senior Unsecured Notes and Bonds 2.000% Notes due 2018 January 31, 2018 350,000 5.7% 2.00% 5.750% Notes due 2021 January 15, 2021 250,000 4.1% 5.75% 3.250% Notes due 2022 October 15, 2022 950,000 15.5% 3.25% 4.650% Notes due 2023 August 1, 2023 750,000 12.2% 4.65% 3.875% Notes due 2024 July 15, 2024 350,000 5.7% 3.88% 4.125% Notes due 2026 October 15, 2026 650,000 10.6% 4.13% 3.000% Notes due 2027 January 15, 2027 600,000 9.8% 3.00% 3.650% Notes due 2028 January 15, 2028 550,000 9.0% 3.65% 5.875% Bonds due 2035 March 15, 2035 250,000 4.1% 5.88% 4.650% Notes due 2047 March 15, 2047 550,000 9.0% 4.65% Principal amount 5,250,000 85.7% 3.92% 9.3 years Unamortized net premiums and deferred financing costs (19,756) Carrying value 5,230,244 Mortgages Payable 28 mortgages on 62 properties June 2018 - June 2032 320,283 (5) 5.2% 5.01% 4.0 years Unamortized net premiums and deferred financing costs 5,658 Carrying value 325,941 TOTAL DEBT $ 6,126,149 (6) Fixed Rate $ 5,993,753 98% Variable Rate $ 132,396 2% (1) We have a $2.0 billion unsecured acquisition credit facility with an initial term that expires in June 2019. It includes, at our election, two six-month extension options, at a cost of 0.075% of the facility commitment, or $1.5 million per option. The credit facility also has a $1.0 billion expansion option. As of December 31, 2017, approximately $1.89 billion was available on the credit facility. As of December 31, 2017, the entirety of the credit facility balance was borrowed under our Swingline Loan subfacility, which accrued interest at the Base Rate of 4.50%. On January 3, 2018, we converted the Base Rate Loan to a LIBOR Loan, which bears interest at one month LIBOR plus 0.85%. The Swingline Loan was outstanding for five calendar days. (2) In December 2017, in conjunction with the acquisition of a portfolio of properties, we entered into a $125.9 million promissory note, which was paid in full at maturity during January 2018. (3) Borrowing under the term loan bears interest at the current one month LIBOR plus 1.10%. We have an interest rate swap which essentially fixes our per annum interest rate on the term loan at 2.05%. In January 2018 we entered into a six month extension of this loan, which now matures in July 2018 and includes, at our election, two six-month extensions options. Upon extension, we terminated the interest rate swap and the borrowing rate was reduced to LIBOR plus 0.90%. (4) Borrowing under the term loan bears interest at the current one month LIBOR plus 0.90%. We have an interest rate swap which essentially fixes our per annum interest rate on the term loan at 2.62%. (5) The mortgages payable are at fixed interest rates, except for mortgages totaling $22.4 million as of December 31, 2017. (6) Excludes non-cash unamortized net original issuance premiums recorded on the senior unsecured notes and bonds, as well as non-cash unamortized net premiums recorded on the mortgages payable, and deferred financing costs on the term loans, notes and bonds, and mortgages payable.

Debt Maturities (dollars in millions) 9 Q4 2017 Supplemental Operating & Financial Data Debt Maturities Year of Credit Term Mortgages Senior Unsecured Weighted Average Maturity Facility Loans Payable Notes and Bonds Total Interest Rate (1) 2018 $ - $ 195.9 $ 21.9 $ 350.0 $ 567.8 2.10% 2019 110.0 - 20.7 - 130.7 4.44% 2020 - 250.0 82.4 - 332.4 3.57% 2021 - - 67.0 250.0 317.0 5.70% 2022 - - 109.7 950.0 1,059.7 3.43% Thereafter - - 18.6 3,700.0 3,718.6 4.16% Totals $ 110.0 $ 445.9 $ 320.3 $ 5,250.0 $ 6,126.2 Mortgages Payable Maturities by Quarter Year of First Second Third Fourth Weighted Average Maturity Quarter Quarter Quarter Quarter Total Interest Rate 2018 $ 1.3 $ 12.1 $ 1.2 $ 7.3 $ 21.9 5.15% 2019 1.2 1.3 17.0 1.2 20.7 4.44% 2020 1.2 1.2 12.6 67.4 82.4 4.99% 2021 18.2 17.7 30.7 0.4 67.0 5.50% 2022 0.4 10.0 61.6 37.7 109.7 4.98% Thereafter - - - - 18.6 5.12% Totals $ 22.3 $ 42.3 $ 123.1 $ 114.0 $ 320.3 (1) Weighted average interest rate for 2019 excludes the credit facility.

Capital Structure as of December 31, 2017 Capitalization & Financial Ratios (dollars in thousands , except per share amounts) 10 Q4 2017 Supplemental Operating & Financial Data Liquidity as of December 31, 2017 Cash on Hand $ 6,898 Availability under Credit Facility 1,890,000 $ 1,896,898 Capitalization as of December 31, 2017 Principal Debt Balance Credit Facility $ 110,000 Unsecured Term Loans 445,866 Senior Unsecured Notes and Bonds 5,250,000 Mortgages Payable 320,283 Total Debt $ 6,126,149 Equity Shares / Units Stock Price Market Value Common Stock (NYSE: O) 284,213,685 $ 57.02 $ 16,205,864 Common Units (1) 405,204 $ 57.02 23,105 Total Equity $ 16,228,969 Total Market Capitalization (2) $ 22,355,118 Debt/Total Market Capitalization (2) 27.4% (1) Common units are exchangeable into cash or common stock at our option at a conversion ratio of 1:1, subject to certain exceptions. (2) Our enterprise value was $22,348,220 (total market capitalization less cash on hand). The percentage for debt to enterprise value is materially consistent with that presented for total market capitalization. Dividend Data Year-over-Year 2017 2016 Growth Rate Common Dividend Paid per Share $ 2.527 $ 2.392 5.6% AFFO per Share (diluted) $ 3.06 $ 2.88 6.3% AFFO Payout Ratio 82.6% 83.1% Debt 27.4% Common Stock 72.6%

Debt Service Coverage (4) Fixed Charge Coverage (5) Adjusted EBITDA & Coverage Ratios (dollars in thousands) 11 Q4 2017 Supplemental Operating & Financial Data Reconciliation of Net Income to Adjusted EBITDA (1) Three months ended December 31, 2017 Net income $ 60,952 Interest (2) 103,903 Income taxes 3,424 Depreciation and amortization 127,033 Impairment loss 6,679 Gain on sales of real estate (23,208) Quarterly Adjusted EBITDA $ 278,783 Annualized Adjusted EBITDA $ 1,115,132 Debt/Adjusted EBITDA (3) 5.5 (1) Adjusted EBITDA, a non-GAAP measure, means, for the most recent quarter, annualized earnings (net income) before (i) interest expense, including non-cash loss (gain) on swaps, (ii) income and franchise taxes, (iii) real estate depreciation and amortization, (iv) impairment losses, (v) gain on sales, and (vi) loss on extinguishment of debt. Our adjusted EBITDA may not be comparable to adjusted EBITDA reported by other companies that interpret the definitions of adjusted EBITDA differently than we do. Management believes adjusted EBITDA to be a meaningful measure of a REIT’s performance because it is widely followed by industry analysts, lenders and investors. Management also believes the use of an annualized quarterly adjusted EBITDA metric is meaningful because it represents the Company’s current earnings run rate for the period presented. The ratio of our total debt to our annualized quarterly adjusted EBITDA is also used to determine vesting of performance share awards granted to our executive officers. Adjusted EBITDA should be considered along with, but not as an alternative to, net income as a measure of our operating performance. (2) Interest expense includes the $42,426 loss on extinguishment of debt resulting from the early redemption of our $550 million of outstanding 6.75% notes due August 2019. (3) Our ratio of debt to adjusted EBITDA, which is used by management as a measure of leverage, is calculated by annualizing quarterly adjusted EBITDA and then dividing by our total debt per the consolidated balance sheet. (4) Refer to footnote 1 on page 12 for a detailed description of the calculation of debt service coverage. (5) Fixed charge coverage is calculated in exactly the same manner as the debt service coverage (which is calculated on page 12), except that preferred stock dividends are also added to the denominator. Since we redeemed our Class F preferred stock in April 2017, our fixed charge coverage is equivalent to our debt service coverage. 4.8 4.1 4.4 4.7 4.8 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 5.5 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 4.2 4.1 4.4 4.7 4.8 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 5.5 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017

Debt Covenants 12 Q4 2017 Supplemental Operating & Financial Data As of December 31, 2017 The following is a summary of the key financial covenants for our senior unsecured notes and bonds, as defined and calculated per their terms. These calculations, which are not based on U.S. GAAP measurements, are presented to investors to show our ability to incur additional debt under the terms of our senior unsecured notes and bonds as well as to disclose our current compliance with such covenants, and are not measures of our liquidity or performance. Required Actuals Limitation on incurrence of total debt < 60% of adjusted undepreciated assets 40.6% Limitation on incurrence of secured debt < 40% of adjusted undepreciated assets 2.2% Debt service and fixed charge coverage (trailing 12 months) (1) > 1.5 x 4.8x Maintenance of total unencumbered assets > 150% of unsecured debt 249.6% (1) Our debt service coverage ratio is calculated on a pro forma basis for the preceding four-quarter period on the assumptions that: (i) the incurrence of any Debt (as defined in the covenants) incurred by us since the first day of such four-quarter period and the application of the proceeds therefrom (including to refinance other Debt since the first day of such four quarter period), (ii) the repayment or retirement of any of our Debt since the first day of such four-quarter period, and (iii) any acquisition or disposition by us of any asset or group since the first day of such four quarters had in each case occurred on January 1, 2017, and subject to certain additional adjustments. Such pro forma ratio has been prepared on the basis required by that debt service covenant, reflects various estimates and assumptions and is subject to other uncertainties, and therefore does not purport to reflect what our actual debt service coverage ratio would have been had transactions referred to in clauses (i), (ii) and (iii) of the preceding sentence occurred as of January 1, 2017, nor does it purport to reflect our debt service coverage ratio for any future period. Our fixed charge coverage is calculated in exactly the same manner as our debt service coverage, except that preferred stock dividends are also added to the denominator; since we redeemed our Class F preferred dividends in April 2017, our fixed charge coverage ratio is equivalent to our debt service coverage.

First Quarter 2017 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 51 $ 365,754 $ 22,190 1,026,428 6.1% 16.5 Properties under Development (3) 9 4,982 382 435,298 7.7% 11.3 Total Real Estate Investments 60 $ 370,736 $ 22,572 1,461,726 6.1% 16.4 Approximately 68% of the annualized revenue generated by these investments is from investment grade tenants (4) (1) Cash capitalization rates are computed as contractual cash net operating income for the first twelve months following the acquisition date, divided by the total cost of the property (including all expenses borne by Realty Income). (2) The new property acquisitions were completed through 11 independent transactions during the first quarter of 2017, 26 independent transactions during the second quarter of 2017, 13 independent transactions during the third quarter of 2017, and 30 independent transactions during the fourth quarter of 2017. (3) Includes investments during the period in new development and development of existing properties. Cash rents noted reflect total cash rents to be received on this investment amount upon completion of the properties under development. (4) Refer to footnote 2 on page 16 for our definition of investment grade tenants. Investment Summary (dollars in thousands) 13 Q4 2017 Supplemental Operating & Financial Data Second Quarter 2017 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 63 $ 316,250 $ 20,714 1,776,722 6.5% 13.1 Properties under Development (3) 10 4,953 398 155,312 8.0% 10.7 Total Real Estate Investments 73 $ 321,203 $ 21,112 1,932,034 6.6% 13.0 Approximately 33% of the annualized revenue generated by these investments is from investment grade tenants (4) 2017 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 286 $ 1,498,221 $ 96,028 7,154,896 6.4% 14.5 Properties under Development (3) 17 21,201 1,460 643,783 6.9% 14.1 Total Real Estate Investments 303 $ 1,519,422 $ 97,488 7,798,679 6.4% 14.4 Approximately 48% of the annualized revenue generated by these investments is from investment grade tenants (4) Third Quarter 2017 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 50 $ 258,463 $ 18,232 914,033 7.1% 15.1 Properties under Development (3) 6 6,453 410 35,173 6.4% 17.1 Total Real Estate Investments 56 $ 264,916 $ 18,642 949,206 7.0% 15.2 Approximately 10% of the annualized revenue generated by these investments is from investment grade tenants (4) Fourth Quarter 2017 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 122 $ 557,754 $ 34,892 3,437,713 6.3% 13.6 Properties under Development (3) 8 4,813 270 18,000 5.6% 16.0 Total Real Estate Investments 130 $ 562,567 $ 35,162 3,455,713 6.3% 13.6 Approximately 65% of the annualized revenue generated by these investments is from investment grade tenants (4)

First Quarter 2017 Number of Properties Original Investment Net Book Value Net Proceeds Cash Capitalization Rate (1) Occupied 2 $ 12,004 $ 9,264 $ 14,831 8.3% Vacant 12 18,718 11,329 16,401 - Total Real Estate Dispositions 14 $ 30,722 $ 20,593 $ 31,232 The unlevered internal rate of return on properties sold during the first quarter was 9.8% Disposition Summary (dollars in thousands) 14 Q4 2017 Supplemental Operating & Financial Data (1) Cash capitalization rates are computed as annualized current month contractual cash net operating income, divided by the net proceeds received upon sale of the property (including all expenses borne by Realty Income). (2) Data excludes properties sold as a result of eminent domain activities. During the second and fourth quarters of 2017 we were awarded net proceeds of $475,000 and $273,000, respectively, related to two eminent domain transactions. Second Quarter 2017 Number of Properties Original Investment Net Book Value Net Proceeds (2) Cash Capitalization Rate (1) Occupied 2 $ 3,419 $ 2,805 $ 4,015 6.6% Vacant 12 16,047 6,719 8,284 - Total Real Estate Dispositions 14 $ 19,466 $ 9,524 $ 12,299 The unlevered internal rate of return on properties sold during the second quarter was 9.5% 2017 Number of Properties Original Investment Net Book Value Net Proceeds (2) Cash Capitalization Rate (1) Occupied 19 $ 125,028 $ 97,268 $ 131,793 7.1% Vacant 39 53,813 26,182 34,435 - Total Real Estate Dispositions 58 $ 178,841 $ 123,450 $ 166,228 The unlevered internal rate of return on properties sold during 2017 was 9.9% Third Quarter 2017 Number of Properties Original Investment Net Book Value Net Proceeds Cash Capitalization Rate (1) Occupied 7 $ 17,248 $ 15,518 $ 18,828 7.6% Vacant 10 12,480 5,593 6,652 - Total Real Estate Dispositions 17 $ 29,728 $ 21,111 $ 25,480 The unlevered internal rate of return on properties sold during the third quarter was 13.6% Fourth Quarter 2017 Number of Properties Original Investment Net Book Value Net Proceeds (2) Cash Capitalization Rate (1) Occupied 8 $ 92,357 $ 69,681 $ 94,119 6.9% Vacant 5 6,568 2,541 3,098 - Total Real Estate Dispositions 13 $ 98,925 $ 72,222 $ 97,217 The unlevered internal rate of return on properties sold during the fourth quarter was 8.7%

(1) Includes build-to-suit developments and forward take-out commitments on development properties with leases in place. (2) Estimated rental revenue commencement dates on properties under development are between January 2018 and July 2018. Development Pipeline (dollars in thousands) 15 Q4 2017 Supplemental Operating & Financial Data Retail Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New development (1) 3 $ 14,435 $ 11,632 $ 26,067 100% Development of existing properties 1 1,056 1,088 2,144 100% 4 $ 15,491 $ 12,720 $ 28,211 Non-Retail Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New development (1) 1 $ - $ 51,583 $ 51,583 100% Development of existing properties 1 2,238 132 2,370 100% 2 $ 2,238 $ 51,715 $ 53,953 Total Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New development (1) 4 $ 14,435 $ 63,215 $ 77,650 100% Development of existing properties 2 3,294 1,220 4,514 100% 6 $ 17,729 $ 64,435 $ 82,164

Top 20 Tenants Our 20 largest tenants based on percentage of total portfolio annualized rental revenue at December 31, 2017 include the following: Investment Grade Tenants (2) : Number of Properties 2,186 Percentage of Annualized Rents 46% Percentage of Leases with Rental Increases, Based on Revenue 70% Weighted Average EBITDAR/Rent Ratio on Retail Properties 2.8x (1) Median EBITDAR/Rent Ratio on Retail Properties 2.7x (1) (1) Based on the analysis of the most recently provided information from retail tenants that provide such information. We do not independently verify the information we receive from our retail tenants. (2) We define investment grade tenants as tenants with a credit rating of Baa3/BBB- or higher from one of the three major rating agencies (Moody’s/S&P/Fitch). 46% of our annualized rental revenue is generated from properties leased to investment grade tenants, including approximately 9% from properties leased to subsidiaries of investment grade companies. Refer to page 20 for investment grade composition by property type. Tenant Diversification 16 Q4 2017 Supplemental Operating & Financial Data Tenant Number of Properties % of Revenue Investment Grade Ratings (Moody’s/S&P/Fitch) Walgreens 203 6.5 % Baa2/ BBB/ BBB FedEx 43 5.1 % Baa2/ BBB/ - LA Fitness 53 4.0 % - Dollar General 532 3.9 % Baa2/ BBB/ - Dollar Tree / Family Dollar 468 3.6 % - AMC Theatres 32 3.6 % - Walmart / Sam’s Club 51 3.0 % Aa2/ AA/ AA Circle K (Couch-Tard) 298 2.5 % Baa2/ BBB/ - BJ’s Wholesale Clubs 15 2.2 % - Treasury Wine Estates 17 2.1 % - Life Time Fitness 11 2.0 % - Regal Cinemas 25 1.9 % - CVS Pharmacy 76 1.9 % Baa1/ BBB+/ - Super America (Andeavor) 134 1.8 % Baa3/ BBB-/ BBB- GPM Investment / Fas Mart 216 1.8 % - Rite Aid 69 1.7 % - 7-Eleven 111 1.7 % Baa1/ AA-/ - TBC Corporation (Sumitomo) 159 1.5 % Baa1/ A-/ - Kroger 14 1.5 % Baa1/ BBB/ BBB FreedomRoads / Camping World 19 1.2 % - 32% 49% 14% 5% Investment Grade, Retail Non-Investment Grade or Non-Rated, Retail Investment Grade, Non-Retail Non-Investment Grade or Non-Rated, Non-Retail

* Less than 0.1% Industry Diversification 17 Q4 2017 Supplemental Operating & Financial Data (1) Includes rental revenue for all properties owned at the end of each period presented, including revenue from properties reclassified as discontinued operations. Percentage of Rental Revenue (1) For the Quarter Ended For the Year Ended December 31, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, 2017 2017 2016 2015 2014 2013 Retail industries Apparel stores 1.5 % 1.6 % 1.9 % 2.0 % 2.0 % 1.9 % Automotive collision services 1.0 1.0 1.0 1.0 0.8 0.8 Automotive parts 1.4 1.3 1.3 1.4 1.3 1.2 Automotive service 2.4 2.2 1.9 1.9 1.8 2.1 Automotive tire services 2.5 2.6 2.7 2.9 3.2 3.6 Book stores * * * * * * Child care 1.8 1.8 1.9 2.0 2.2 2.8 Consumer electronics 0.4 0.3 0.3 0.3 0.3 0.3 Convenience stores 9.4 9.6 8.7 9.2 10.1 11.2 Crafts and novelties 0.5 0.5 0.5 0.5 0.5 0.5 Dollar stores 7.7 7.9 8.6 8.9 9.6 6.2 Drug stores 10.6 10.9 11.2 10.6 9.5 8.1 Education 0.3 0.3 0.3 0.3 0.4 0.4 Entertainment 0.5 0.4 0.5 0.5 0.5 0.6 Equipment services * * 0.1 0.1 0.1 0.1 Financial services 2.1 2.1 1.4 1.3 1.4 1.5 General merchandise 1.9 1.8 1.5 1.4 1.2 1.1 Grocery stores 4.5 4.4 3.1 3.0 3.0 2.9 Health and fitness 7.5 7.5 8.1 7.7 7.0 6.3 Health care 0.8 0.8 0.9 1.0 1.1 1.1 Home furnishings 0.8 0.8 0.7 0.7 0.7 0.9 Home improvement 2.8 2.6 2.5 2.4 1.7 1.6 Jewelry 0.1 0.1 0.1 0.1 0.1 0.1 Motor vehicle dealerships 1.9 2.1 1.9 1.6 1.6 1.6 Office supplies 0.2 0.2 0.3 0.3 0.4 0.5 Pet supplies and services 0.6 0.6 0.6 0.7 0.7 0.8 Restaurants - casual dining 3.7 3.8 3.9 3.8 4.3 5.1 Restaurants - quick service 5.5 5.1 4.9 4.2 3.7 4.4 Shoe stores 0.4 0.4 0.5 0.5 0.1 0.1 Sporting goods 1.1 1.4 1.6 1.8 1.6 1.7 Telecommunications * * * - - - Theaters 5.7 5.0 4.9 5.1 5.3 6.2 Transportation services 0.1 0.1 0.1 0.1 0.1 0.1 Wholesale clubs 3.2 3.3 3.6 3.8 4.1 3.9 Other * * * * * 0.1 Retail industries 82.9 % 82.5 % 81.5 % 81.1 % 80.4 % 79.8 %

Industry Diversification (Cont’d) 18 Q4 2017 Supplemental Operating & Financial Data * Less than 0.1% (1) Includes rental revenue for all properties owned at the end of each period presented, including revenue from properties reclassified as discontinued operations. Percentage of Rental Revenue (1) For the Quarter Ended For the Year Ended December 31, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, 2017 2017 2016 2015 2014 2013 Non-retail industries Aerospace 0.9 % 0.9 % 1.0 % 1.1 % 1.2 % 1.2 % Beverages 2.6 2.7 2.6 2.7 2.8 3.3 Consumer appliances 0.5 0.5 0.5 0.6 0.5 0.6 Consumer goods 0.7 0.8 0.9 0.9 0.9 1.0 Crafts and novelties 0.1 0.1 0.1 0.1 0.1 0.1 Diversified industrial 0.8 0.9 0.9 0.8 0.5 0.2 Electric utilities 0.1 0.1 0.1 0.1 0.1 * Equipment services 0.4 0.4 0.5 0.4 0.5 0.4 Financial services 0.3 0.3 0.4 0.4 0.4 0.5 Food processing 0.6 0.6 1.1 1.2 1.4 1.5 General merchandise 0.2 0.2 0.3 0.3 0.3 - Government services 0.9 1.0 1.1 1.2 1.3 1.4 Health care 0.5 0.6 0.6 0.7 0.7 0.8 Home furnishings 0.1 0.1 0.1 0.2 0.2 0.2 Home improvement 0.1 * - - - - Insurance 0.1 0.1 0.1 0.1 0.1 0.1 Machinery 0.1 0.1 0.1 0.1 0.2 0.2 Other manufacturing 0.8 0.8 0.8 0.7 0.7 0.6 Packaging 1.1 1.0 0.8 0.8 0.8 0.9 Paper 0.1 0.1 0.1 0.1 0.1 0.2 Shoe stores 0.2 0.2 0.2 0.2 0.8 0.9 Telecommunications 0.6 0.6 0.6 0.7 0.7 0.7 Transportation services 5.2 5.3 5.4 5.3 5.1 5.3 Other 0.1 0.1 0.2 0.2 0.2 0.1 Non-retail industries 17.1 % 17.5 % 18.5 % 18.9 % 19.6 % 20.2 % Totals 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 %

* Less than 0.1% (1) Includes rental revenue for all properties owned at December 31, 2017. Excludes rental revenue of $1,412 from sold properties. Geographic Diversification (dollars in thousands) 19 Q4 2017 Supplemental Operating & Financial Data Approximate Rental Revenue for Percentage of Number of Percent Leasable the Quarter Ended Rental State Properties Leased Square Feet December 31, 2017 (1) Revenue Alabama 164 98 % 1,567,500 $ 5,603 1.9 % Alaska 3 67 275,900 566 0.2 Arizona 115 99 1,808,300 6,653 2.2 Arkansas 74 100 887,700 2,035 0.7 California 186 99 5,316,000 27,804 9.3 Colorado 83 99 1,458,400 4,738 1.6 Connecticut 22 91 521,000 2,042 0.7 Delaware 18 100 93,000 718 0.2 Florida 373 99 4,092,300 17,322 5.8 Georgia 258 99 4,315,900 12,718 4.3 Idaho 12 100 87,000 419 0.1 Illinois 253 98 5,791,200 18,482 6.2 Indiana 173 97 2,154,600 8,578 2.9 Iowa 42 88 2,978,500 3,836 1.3 Kansas 94 96 1,857,100 4,869 1.6 Kentucky 68 99 1,667,700 4,198 1.4 Louisiana 106 97 1,547,900 4,169 1.4 Maine 15 100 174,700 1,121 0.4 Maryland 36 97 1,012,300 4,582 1.5 Massachusetts 79 96 729,400 3,641 1.2 Michigan 163 99 1,781,000 6,475 2.2 Minnesota 159 100 2,028,400 9,907 3.3 Mississippi 140 95 1,623,200 4,659 1.6 Missouri 152 97 2,688,000 8,414 2.8 Montana 11 100 87,000 501 0.2 Nebraska 38 100 749,700 1,865 0.6 Nevada 23 96 1,092,700 1,459 0.5 New Hampshire 19 100 315,800 1,547 0.5 New Jersey 75 99 1,000,900 5,546 1.9 New Mexico 32 100 355,700 1,024 0.3 New York 99 99 2,753,400 14,728 5.0 North Carolina 182 99 2,792,500 8,212 2.8 North Dakota 6 100 117,700 211 0.1 Ohio 256 99 6,774,600 15,418 5.2 Oklahoma 134 100 1,653,500 4,660 1.6 Oregon 28 100 593,300 2,399 0.8 Pennsylvania 168 98 1,956,800 8,683 2.9 Rhode Island 4 100 161,600 841 0.3 South Carolina 159 99 1,626,700 6,571 2.2 South Dakota 15 100 195,200 468 0.2 Tennessee 234 98 3,565,000 9,203 3.1 Texas 519 99 9,583,400 27,830 9.4 Utah 22 100 970,600 2,272 0.8 Vermont 5 100 98,000 489 0.2 Virginia 169 96 3,114,700 8,332 2.8 Washington 43 98 733,400 3,097 1.0 West Virginia 18 100 395,600 1,228 0.4 Wisconsin 115 100 2,374,300 6,929 2.3 Wyoming 6 100 54,700 276 0.1 Puerto Rico 4 100 28,300 149 * Totals\Average 5,172 98 % 89,602,100 $ 297,487 100.0 %

Property Type Composition (dollars in thousands) 20 Q4 2017 Supplemental Operating & Financial Data (1) Includes rental revenue for all properties owned at December 31, 2017. Excludes rental revenue of $1,412 from sold properties. (2) Refer to footnote 2 on page 16 for our definition of investment grade tenants. Number of Properties Approximate Leasable Square Feet Rental Revenue for the Quarter Ended Percentage of Rental Revenue for the Quarter Ended Percentage of Annualized Revenue from Investment Grade Tenants Property Type December 31, 2017 (1) December 31, 2017 (2) Retail 4,999 60,289,500 $ 240,006 80.7 % 39.3 % Industrial 116 26,023,400 37,331 12.5 81.6 Office 42 3,104,700 13,579 4.6 85.3 Agriculture 15 184,500 6,571 2.2 - Totals 5,172 89,602,100 $ 297,487 100.0 % Retail 80.7% Industrial 12.5% Office 4.6% Agriculture 2.2%

Top 3 Industries Contributing to the Change Quarter ended Quarter ended Net % Change Industry December 31, 2017 December 31, 2016 Change by Industry Child Care $ 4,972 $ 4,641 $ 331 7.1 % Restaurants – Casual Dining 7,589 7,272 317 4.4 % Health and Fitness 20,434 20,118 316 1.6 % Fourth Quarter 2017 Same Store Rental Revenue (dollars in thousands) 21 Q4 2017 Supplemental Operating & Financial Data Same Store Pool Defined For purposes of determining the properties used to calculate our same store rental revenue pool, we include all properties that we owned for the entire year-to-date period, for both the current and prior year except for properties during the current or prior year that were: (i) vacant at any time, (ii) under development or redevelopment, or (iii) involved in eminent domain and rent was reduced. Rental revenue amounts presented in our same store rent calculation exclude straight-line rent and the amortization of above and below-market leases. Same Store Rental Revenue Number of Properties 4,254 Q4 2017 $244,872 Q4 2016 $242,452 Increase (in dollars) $2,420 Increase (percent) 1.0% Same Store Rental Revenue Number of Properties 4,254 2017 $973,117 2016 $963,283 Increase (in dollars) $9,834 Increase (percent) 1.0% Top 3 Industries Contributing to the Change Year ended Year ended Net % Change Industry December 31, 2017 December 31, 2016 Change by Industry Health and Fitness $ 81,322 $ 80,159 $ 1,163 1.5 % Child Care 19,775 18,706 1,069 5.7 % Theaters 49,983 49,393 590 1.2 % 2017 Number of Properties 4,410 2017 $1,002,902 2016 $992,962 Increase (in dollars) $9,940 Increase (percent) 1.0% Same Store Rental Revenue for all Properties Owned(1) (1)Includes revenue generated from all properties owned continuously from January 1, 2016 through December 31, 2017.

Same Store Rental Revenue (Cont’d)(dollars in thousands) 22 Q4 2017 Supplemental Operating & Financial Data Same Store Rental Revenue by Property Type Fourth Quarter 2017 Quarter ended Quarter ended Net % Change by Contribution by Property Type December 31, 2017 December 31, 2016 Change Property Type Property Type Retail $ 194,640 $ 192,550 $ 2,090 1.1% 86.4% Industrial 31,473 31,188 285 0.9% 11.8% Office 13,292 13,315 (23 ) -0.2% -1.0% Agriculture 5,467 5,399 68 1.2% 2.8% Total $ 244,872 $ 242,452 $ 2,420 1.0% 100% 2017 Year ended Year ended Net % Change by Contribution by Property Type December 31, 2017 December 31, 2016 Change Property Type Property Type Retail $ 772,268 $ 764,563 $ 7,705 1.0% 78.3% Industrial 126,018 124,468 1,550 1.2% 15.8% Office 53,084 52,773 311 0.6% 3.2% Agriculture 21,747 21,479 268 1.3% 2.7% Total $ 973,117 $ 963,283 $ 9,834 1.0% 100%

By Property Occupied Properties 5,089 Total Properties 5,172 Occupancy 98.4% By Square Footage Occupied Square Footage 87,742,464 Total Square Footage 89,602,143 Occupancy 97.9% By Rental Revenue (Economic Occupancy) Quarterly Rental Revenue $ 294,009,690 Quarterly Vacant Rental Revenue $ 4,581,829 (1) Occupancy 98.5% (1) Based on contractual monthly rents received immediately preceding the date of vacancy. Change in Occupancy Vacant Properties at 9/30/17 86 Expiration Activity (1) + 80 Leasing Activity (2) - 78 Vacant Property Sales Activity (3) - 5 Vacant Properties at 12/31/17 83 (1) Includes scheduled and unscheduled expirations (including leases rejected in bankruptcy), as well as future expirations resolved in the current quarter. (2) Includes 71 expirations that were re-leased to the same tenants without vacancy, three that were re-leased to a new tenant without vacancy, and four that were re-leased to a new tenant after a period of vacancy. See page 24 for additional detail on re-leasing activity. (3) Includes four properties that were vacant at the beginning of the quarter. Occupancy 23 Q4 2017 Supplemental Operating & Financial Data Occupancy by Number of Properties 98.4% 97.8% 98.0% 98.3% 98.3% 98.3% 98.5% 98.3% 98.4% 90.0% 91.0% 92.0% 93.0% 94.0% 95.0% 96.0% 97.0% 98.0% 99.0% Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017

Allocation Based on Number of Leases Leasing Activity (dollars in thousands) 24 Q4 2017 Supplemental Operating & Financial Data (1) Incremental yield reflects the yield generated by capital commitments made at the time of re-lease, and is calculated as the incremental cash rents divided by additional invested capital. Incremental cash rents are calculated by subtracting prior rents, or management’s estimate of rents to be paid for unimproved space, from the contractual cash rents for the first twelve months following rent commencement. Q4 2017 Re-leased to New Tenant Re-leased to Without After a Period Re-leasing Totals Same Tenant Vacancy of Vacancy Prior Cash Rents $ 7,675 $ 232 $ 995 $ 8,902 New Cash Rents* $ 8,053 $ 272 $ 769 $ 9,094 Recapture Rate 104.9 % 117.6 % 77.2 % 102.2 % Number of Leases 71 3 4 78 Average Months Vacant - - 14.9 0.8 Additional Invested Capital $ 1,360 $ - $ 10 $ 1,370 Incremental Yield(1) 9.9 % - - 9.9 % *Percentage of Total Annualized Portfolio Rental Revenue: 0.8 % 2017 Re-leased to New Tenant Re-leased to Without After a Period Re-leasing Totals Same Tenant Vacancy of Vacancy Prior Cash Rents $ 35,686 $ 1,141 $ 4,093 $ 40,920 New Cash Rents* $ 38,629 $ 1,166 $ 3,385 $ 43,180 Recapture Rate 108.2 % 102.1 % 82.7 % 105.5 % Number of Leases 235 9 15 259 Average Months Vacant - - 12.8 0.7 Additional Invested Capital $ 25,849 $ 920 $ 2,753 $ 29,522 Incremental Yield(1) 7.7 % 7.1 % 7.3 % 7.7 % *Percentage of Total Annualized Portfolio Rental Revenue: 3.6 % 91% 9% Same Tenant New Tenant 91% 9% Same Tenant New Tenant

25 (1) This table sets forth the timing of remaining lease term expirations on our 5,062 net leased, single-tenant properties as of December 31, 2017 and their contribution to rental revenue for the quarter ended December 31, 2017. Excludes 28 multi-tenant properties and 83 vacant properties, including one property that is both vacant and multi-tenant. The lease expirations for properties under construction are based on the estimated completion date of those properties. (2) Excludes revenue of $5,050 from 28 multi-tenant properties and from 83 vacant properties at December 31, 2017, and $1,412 from sold properties. Our leased, single-tenant properties have a weighted average remaining lease term of approximately 9.5 years. Expirations (dollars in thousands) Q4 2017 Supplemental Operating & Financial Data Total Portfolio (1) Approx. % of Expiring Leases Leasable Rental Rental Year Retail Non-Retail Sq. Feet Revenue (2) Revenue 2018 195 4 2,258,600 $ 8,053 2.8 % 2019 262 10 3,853,800 13,279 4.5 2020 213 10 4,166,100 12,614 4.3 2021 294 12 5,284,100 14,869 5.1 2022 358 18 9,758,900 20,152 6.9 2023 471 22 8,109,600 24,436 8.4 2024 218 11 3,844,700 11,641 4.0 2025 333 13 5,179,500 20,172 6.9 2026 315 5 4,685,500 15,762 5.4 2027 535 4 6,199,400 22,417 7.7 2028 298 9 7,087,100 18,169 6.2 2029 400 7 7,386,300 21,473 7.3 2030 95 13 2,718,500 14,768 5.0 2031 283 25 5,563,500 25,209 8.6 2032 81 4 3,060,700 10,776 3.7 2033 - 2043 541 3 7,267,800 38,647 13.2 Totals 4,892 170 86,424,100 $ 292,437 100 %

26 We estimate FFO per share for 2018 of $3.11 to $3.19. We estimate AFFO per share for 2018 of $3.14 to $3.20, an increase of 3% to 5% over 2017 AFFO per share of $3.06. Summarized below are approximate estimates of the key components of the company’s 2018 earnings guidance: Earnings Guidance Q4 2017 Supplemental Operating & Financial Data Forward-looking statements involve known and unknown risks, which may cause the company’s actual future results to differ materially from expected results. These risks include, among others, general economic conditions, local real estate conditions, tenant financial health, the availability of capital to finance planned growth, continued volatility and uncertainty in the credit markets and broader financial markets, property acquisitions and the timing of these acquisitions, charges for property impairments, and the outcome of any legal proceedings to which the company is a party, as described in the company’s filings with the Securities and Exchange Commission. Consequently, forward-looking statements should be regarded solely as reflections of the company’s current operating plans and estimates. Actual operating results may differ materially from what is expressed or forecast in this Supplemental Operating & Financial Data. The company undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date these statements were made. (1) Excludes tenant reimbursement revenue. 2018 Guidance Net income per share $1.21 to $1.29 Real estate depreciation and impairments per share $1.97 Gains on sales of properties per share ($0.07) FFO per share $3.11 to $3.19 AFFO per share $3.14 to $3.20 Same store rent growth 1.0% Occupancy 98% G&A expenses (% of revenues) (1) 5.0% Property expenses (non-reimbursable) (% of revenues) (1) 1.5% to 2.0% Acquisition volume $1.0 to $1.5 billion Disposition volume $75 to $100 million

27 Q4 2017 Supplemental Operating & Financial Data Realty Income Corporation is covered by the analysts at the firms listed above. This list may not be complete and is subject to change. Please note that any opinions, estimates or forecasts regarding Realty Income Corporation's performance made by these analysts are theirs alone and do not represent opinions, estimates or forecasts of Realty Income Corporation or its management. Realty Income Corporation does not by its reference above or distribution imply, and expressly disclaims, any endorsement of or concurrence with any information, estimates, forecasts, opinions, conclusions or recommendations provided by analysts. Analyst Coverage Equity Research Baird RJ Milligan rjmilligan@rwbaird.com (813) 273-8252 William Harman wharman@rwbaird.com (414) 298-2337 Bank of America Merrill Lynch Joshua Dennerlein joshua.dennerlein@baml.com (646) 855-1681 BTIG Michael Gorman mgorman@btig.com (212) 738-6138 James Sullivan jsullivan@btig.com (212) 738-6139 Capital One Chris Lucas christopher.lucas@capitalone.com (571) 633-8151 Citigroup Michael Bilerman michael.bilerman@citi.com (212) 816-1383 Nicholas Joseph nicholas.joseph@citi.com (212) 816-1909 John Ellwanger john.ellwanger@citi.com (212) 816-5871 D.A. Davidson Barry Oxford boxford@dadco.com (212) 240-9871 James O. Lykins jlykins@dadco.com (212) 576-1845 Edward Jones Matt Kopsky matt.kopsky@edwardjones.com (314) 515-5319 FBR David Corak dcorak@fbr.com (703) 312-1610 Matt Boone mboone@fbr.com (703) 312-1848 Goldman Sachs Andrew Rosivach andrew.rosivach@gs.com (212) 902-2796 Caitlin Burrows caitlin.burrows@gs.com (212) 902-4736 Green Street Michael Knott mknott@greenstreetadvisors.com (949) 640-8780 Andrew Suh asuh@greenstreetadvisors.com (949) 640-8780 Janney Montgomery Scott Robert Stevenson robstevenson@janney.com (646) 840-3217 Venkat Kommineni vkommineni@janney.com (646) 840-3219 Hersh Shintre hshintre@janney.com (646) 840-3201 J.P. Morgan Anthony Paolone anthony.paolone@jpmorgan.com (212) 622-6682 Michael W. Mueller michael.w.mueller@jpmorgan.com (212) 622-6689 Nikita Bely nikita.bely@jpmorgan.com (212) 622-0695 Ladenburg Thalmann John Massocca jmassocca@ladenburg.com (212) 409-2543 Mitsubishi UFG Securities (USA), Inc. Karin Ford karin.ford@mufgsecurities.com (212) 405-7249 Ryan Cybart ryan.cybart@mufgsecurities.com (212) 405-6591 Mizuho Securities USA, Inc. Haendel St. Juste haendel.st.juste@us.mizuho-sc.com (212) 205-7860 Jieren Huang jieren.huang@us.mizuho-sc.com (212) 205-7862 Morgan Stanley Vikram Malhotra vikram.malhotra@morganstanley.com (212) 761-7064 Kevin Egan kevin.egan@morganstanley.com (212) 761-5028 Raymond James Collin Mings collin.mings@raymondjames.com (727) 567-2585 Paul Puryear paul.puryear@raymondjames.com (727) 567-2253 Marnie Georges marnie.georges@raymondjames.com (727) 567-2638 RBC Capital Markets Wes Golladay wes.golladay@rbccm.com (440) 715-2650 Stifel Simon Yarmak yarmaks@stifel.com (443) 224-1345 Alexander Fraser frasera@stifel.com (443) 224-1264 UBS Nick Yulico nick.yulico@ubs.com (212) 713-3402 Frank Lee frank-a.lee@ubs.com (415) 352-5679 Wells Fargo Todd Stender todd.stender@wellsfargo.com (562) 637-1371 Philip DeFelice philip.defelice@wellsfargo.com (443) 263-6442 Jason Belcher jason.belcher@wellsfargo.com (443) 462-7354