8-K

United States

Securities and Exchange Commission

Washington, D.C. 20549

Form 8-K

Current Report

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of report:  October 28, 2015

(Date of Earliest Event Reported)

REALTY INCOME CORPORATION

(Exact name of registrant as specified in its charter)

Maryland	1-13374	33-0580106
(State or Other Jurisdiction of Incorporation or Organization)	(Commission File Number)	(IRS Employer Identification No.)

11995 El Camino Real, San Diego, California 92130

(Address of principal executive offices)

(858) 284-5000

(Registrant’s telephone number, including area code)

N/A

(former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[   ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[   ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[   ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[   ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02Results of Operations and Financial Condition

On October 28, 2015, Realty Income Corporation (the “Company”) issued a press release setting forth its results of operations for the quarter and nine months ended September 30, 2015.  A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.  This information, including the information contained in the press release, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and is not incorporated by reference into any of the Company’s filings, whether made before or after the date hereof, regardless of any general incorporation language in any such filing.

Additionally, on October 28, 2015, the Company made available on its website a financial supplement containing operating and financial data of the Company (“Supplemental Operating and Financial Data”) for the quarter and nine months ended September 30, 2015 and such Supplemental Operating and Financial Data is furnished as Exhibit 99.2 hereto.  The Supplemental Operating and Financial Data included as Exhibit 99.2 to this report is being furnished pursuant to this Item 2.02 of Form 8-K and is also being furnished under Item 7.01—“Regulation FD Disclosure” of Form 8-K, and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act and is not incorporated by reference into any of the Company’s filings, whether made before or after the date hereof, regardless of any general incorporation language in any such filing.

Item 7.01Regulation FD Disclosure.

On October 28, 2015, the Company made available on its website a financial supplement containing operating and financial data of the Company (“Supplemental Operating and Financial Data”) for the quarter and nine months ended September 30, 2015 and such Supplemental Operating and Financial Data is furnished as Exhibit 99.2 hereto.  The Supplemental Operating and Financial Data included as Exhibit 99.2 to this report is being furnished pursuant to this Item 7.01 of Form 8-K and is also being furnished under Item 2.02—“Results of Operations and Financial Condition” of Form 8-K, and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act and is not incorporated by reference into any of the Company’s filings, whether made before or after the date hereof, regardless of any general incorporation language in any such filing.

Item 9.01Financial Statements and Exhibits

(d)  Exhibits

99.1Press release dated October 28, 2015

99.2Supplemental Operating and Financial Data for the quarter and nine months ended September 30, 2015

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: October 28, 2015	REALTY INCOME CORPORATION
	By:	/s/ MICHAEL R. PFEIFFER
		Michael R. Pfeiffer
		Executive Vice President, General Counsel and Secretary

INDEX TO EXHIBITS

Exhibit No.	Description
99.1	Press release dated October 28, 2015
99.2	Supplemental Operating and Financial Data for the quarter and nine months ended September 30, 2015

EX-99.1

Exhibit 99.1

REALTY INCOME ANNOUNCES RECORD OPERATING RESULTS FOR
THIRD QUARTER AND FIRST NINE MONTHS OF 2015

SAN DIEGO, CALIFORNIA, October 28, 2015....Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced record operating results for the third quarter and first nine months ended September 30, 2015.  All per share amounts presented in this press release are on a diluted per common share basis unless stated otherwise.

COMPANY HIGHLIGHTS:

For the quarter ended September 30, 2015:

·AFFO per share increased 9.4% to $0.70, compared to the quarter ended September 30, 2014

·Invested $123.9 million in 47 new properties and properties under development or expansion

·Increased the monthly dividend in September for the 82nd time and for the 72nd consecutive quarter

·Dividends paid per common share increased 4.0%, compared to the quarter ended September 30, 2014

·In October, generated net proceeds of $517 million in an 11.5 million share common stock offering

CEO Comments

“We are pleased with our performance in the third quarter and the company’s position as we approach 2016,” said John P. Case, Realty Income’s Chief Executive Officer. During the quarter, we achieved solid earnings growth with AFFO per share increasing by 9.4% to a record quarterly amount of $0.70.  Given the significant amount of acquisitions we have completed year-to-date, the positive results we are realizing from our re-leasing activity, and the expense efficiencies associated with our business platform, we are raising and tightening our 2015 AFFO per share guidance from $2.69 - $2.73 to $2.72 - $2.74.”

“Year-to-date we have completed approximately $1.1 billion in acquisitions and we continue to expect approximately $1.25 billion in acquisitions for 2015. Our portfolio remains healthy with occupancy increasing to 98.3%. We were also very active on the re-leasing front in the third quarter with 97 properties re-leased.  Of these properties, nearly 90% were re-leased to the existing tenant and we were able to recapture 103% of the expiring rent.”

“In October, we successfully accessed the capital markets, raising approximately $517 million in net proceeds in a common stock offering which allowed us to pay all outstanding borrowings on our $2 billion credit facility which had funded our acquisition activities. We have outstanding liquidity and balance sheet flexibility as we end the year. We are initiating 2016 AFFO per share guidance of $2.85 - $2.90 which reflects earnings growth of approximately 4.4% - 6.2% over the midpoint of our revised 2015 AFFO per share guidance.”

Financial Results

Revenue

Revenue for the quarter ended September 30, 2015 increased 9.8% to $258.9 million, as compared to $235.7 million for the same quarter in 2014. Revenue for the nine months ended September 30, 2015 increased 10.7% to $759.6 million, as compared to $685.9 million for the same period in 2014.

Net Income Available to Common Stockholders

Net income available to common stockholders for the quarter ended September 30, 2015 was $60.7 million, as compared to $57.9 million for the same quarter in 2014. Net income per share for the quarters ended September 30, 2015 and September 30, 2014 was $0.26.

Net income available to common stockholders for the nine months ended September 30, 2015 was $180.5 million, as compared to $156.5 million for the same period in 2014. Net income per share for the nine months ended September 30, 2015 was $0.78, as compared to $0.72 for the same period in 2014.

The calculation to determine net income for a real estate company includes impairments and/or gains on property sales. Impairments and/or gains on property sales vary from quarter to quarter. This variance can significantly impact net income and period to period comparisons.

Funds From Operations (FFO) Available to Common Stockholders

FFO for the quarter ended September 30, 2015 increased 14.0% to $162.2 million, as compared to $142.3 million for the same quarter in 2014. FFO per share for the quarter ended September 30, 2015 increased 7.8% to $0.69, as compared to $0.64 for the same quarter in 2014.

FFO for the nine months ended September 30, 2015 increased 13.2% to $474.5 million, as compared to $419.2 million for the same period in 2014. FFO per share for the nine months ended September 30, 2015 increased 6.2% to $2.05, as compared to $1.93 for the same period in 2014.

Adjusted Funds From Operations (AFFO) Available to Common Stockholders

AFFO for the quarter ended September 30, 2015 increased 16.4% to $165.8 million, as compared to $142.4 million for the same quarter in 2014. AFFO per share for the quarter ended September 30, 2015 increased 9.4% to $0.70, as compared to $0.64 for the same quarter in 2014.

AFFO for the nine months ended September 30, 2015 increased 14.6% to $477.0 million, as compared to $416.3 million for the same period in 2014. AFFO per share for the nine months ended September 30, 2015 increased 7.3% to $2.06, as compared to $1.92 for the same period in 2014.

The company considers FFO and AFFO to be appropriate supplemental measures of a Real Estate Investment Trust’s (REIT’s) operating performance. Realty Income defines FFO consistent with the National Association of Real Estate Investment Trust’s (NAREIT’s) definition, as net income available to common stockholders, plus depreciation and amortization of real estate assets, plus impairments of real estate, reduced by gains on sales of investment properties and extraordinary items. AFFO further adjusts FFO for unique revenue and expense items, which the company believes are not as pertinent to the measurement of the company’s ongoing operating performance. See the reconciliations of net income available to common stockholders to FFO and AFFO on page six.

Dividend Information

In September 2015, Realty Income announced the 72nd consecutive quarterly dividend increase, which is the 82nd increase in the amount of the dividend since the company’s listing on the New York Stock Exchange in 1994. The annualized dividend amount as of September 30, 2015 was $2.286 per share. The amount of monthly dividends paid per share increased 4.0% to $0.570 in the third quarter of 2015 compared to $0.548 for the same quarter in 2014. Realty Income has a dividend reinvestment and stock purchase program that can be accessed at http://investors.realtyincome.com/direct-stock-purchase-and-dividend-reinvestment-plan. The program is administered by Wells Fargo Shareowner Services.

Real Estate Portfolio Update

As of September 30, 2015, Realty Income’s portfolio of freestanding, single-tenant properties consisted of 4,473 properties located in 49 states and Puerto Rico, leased to 236 commercial tenants doing business in 47 industries. The properties are leased under long-term, net leases with a weighted average remaining lease term of approximately 10.1 years.

Portfolio Management Activities

The company’s portfolio of commercial real estate, owned primarily under 10- to 20-year net leases, continues to perform well and provides dependable rental revenue supporting the payment of monthly dividends. As of September 30, 2015, portfolio occupancy was 98.3% with 74 properties available for lease out of a total of 4,473 properties in the portfolio, as compared to 98.3%, with 74 properties available for lease as of September 30, 2014. Economic occupancy, or occupancy as measured by rental revenue, was 99.3% as of September 30, 2015, as compared to 99.1% as of September 30, 2014.

Since June 30, 2015, when the company reported 81 properties available for lease, the company had 95 lease expirations, re-leased 97 properties and sold five vacant properties.  Of the 97 properties re-leased during the third quarter of 2015, 86 properties were re-leased to existing tenants, three were re-leased to new tenants without vacancy, and eight were re-leased to new tenants after a period of vacancy.  The annual new rent on these re-leases was $8.24 million, as compared to the previous annual rent of $8.36 million on the same properties, representing a rent recapture rate of 98.6%.

Rent Increases

During the quarter ended September 30, 2015, same store rents on 3,668 properties under lease increased 1.1% to $198.8 million, as compared to $196.6 million for the same quarter in 2014. For the nine months ended September 30, 2015, same store rents on 3,668 properties under lease increased 1.3% to $597.2 million, as compared to $589.6 million for the same period in 2014.

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Investments in Real Estate

During the quarter ended September 30, 2015, Realty Income invested $123.9 million in 47 new properties and properties under development or expansion, located in 22 states. These properties are 100% leased with a weighted average lease term of approximately 10.9 years and an initial average lease yield of 7.0%. The tenants occupying the new properties operate in 13 industries, and the property types consist of 51.7% retail and 48.3% industrial, based on rental revenue. Approximately 35% of the rental revenue generated from acquisitions during the third quarter of 2015 is from investment grade-rated tenants.

During the nine months ended September 30, 2015, Realty Income invested approximately $1.1 billion in 195 new properties and properties under development or expansion, located in 36 states. These properties are 100% leased with a weighted average lease term of approximately 16.7 years and an initial average lease yield of 6.5%.  The tenants occupying the new properties operate in 18 industries, and the property types consist of 87.0% retail and 13.0% industrial, based on rental revenue.  Approximately 50% of the rental revenue generated from the year-to-date 2015 acquisitions is from investment grade-rated tenants.

Property Dispositions

During the quarter ended September 30, 2015, Realty Income sold eight properties for $21.5 million, with a gain on sales of $6.2 million, as compared to 11 properties sold for $33.8 million, with a gain on sales of $11.0 million, during the same quarter in 2014. During the nine months ended September 30, 2015, Realty Income sold 22 properties for $52.0 million, with a gain on sales of $17.1 million, as compared to 28 properties sold for $53.6 million, with a gain on sales of $16.8 million, during the same period in 2014.

Liquidity and Capital Markets

Issued 11.5 Million Shares in Common Stock Offering

In October 2015, Realty Income issued 11.5 million common shares.  A portion of the net proceeds of $517.0 million was used to repay borrowings under the company’s revolving credit facility, and the remaining portion will be used for other general corporate purposes, which may include acquisitions.

At-the-Market (ATM) Program

In September 2015, Realty Income established an at-the-market equity distribution program where we can offer and sell up to 12 million shares of common stock to, or through, our sales agents at prevailing market prices or agreed-upon prices.  As of September 30, 2015, no shares have been sold under this ATM program.

Credit Facility

In June 2015, Realty Income closed on a $2.25 billion unsecured credit facility. This credit facility is comprised of a $2.0 billion revolving credit facility and a $250 million five-year unsecured term loan.  As of October 7, 2015, Realty Income had a borrowing capacity of $2.0 billion available on our revolving credit facility after using stock offering proceeds to pay off outstanding borrowings on the revolving credit facility.

Direct Stock Purchase and Dividend Reinvestment Plan Activities

During the quarter ended September 30, 2015, Realty Income issued 3,229,852 common shares via its Direct Stock Purchase Plan, generating net proceeds of $152.2 million.  During the nine months ended September 30, 2015, Realty Income issued 7,565,432 common shares via its Direct Stock Purchase Plan, generating net proceeds of $359.2 million.

2015 Earnings Guidance

We estimate FFO per share for 2015 of $2.72 to $2.77 per share, an increase of 5.4% to 7.4% over 2014 FFO per share of $2.58. FFO per share for 2015 is based on a net income per share range of $1.04 to $1.09, plus estimated real estate depreciation of $1.76 per share, and reduced by potential estimated gains on sales of investment properties of $0.08 per share (in accordance with NAREIT’s definition of FFO).

We estimate AFFO per share for 2015 of $2.72 to $2.74 per share, an increase of 5.8% to 6.6% over the 2014 AFFO per share of $2.57. AFFO further adjusts FFO for unique revenue and expense items, which are not as pertinent to the measurement of the company’s ongoing operating performance.

2016 Earnings Guidance

We estimate FFO per share for 2016 of $2.82 to $2.89, an increase of 2.7% to 5.3% over the midpoint of the 2015 estimated FFO per share projection. FFO per share for 2016 is based on a net income per share range of $1.16 to $1.23, plus estimated real estate depreciation of $1.74 per share, and reduced by potential estimated gains on sales of investment properties of $0.08 per share (in accordance with NAREIT’s definition of FFO).

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We estimate AFFO per share for 2016 of $2.85 to $2.90, an increase of 4.4% to 6.2% over the midpoint of the 2015 estimated AFFO per share projection. AFFO further adjusts FFO for unique revenue and expense items, which are not as pertinent to the measurement of Realty Income’s ongoing operating performance.

Additional earnings guidance detail can be found in Realty Income’s supplemental materials available on Realty Income’s corporate website at http://investors.realtyincome.com/quarterly-results.

Conference Call Information

In conjunction with Realty Income’s quarterly results, the company will host a conference call on October 29, 2015 at 11:30 a.m. PDT to discuss the operating results. To access the conference, dial (888) 437-9445. When prompted, provide the access code: 2252353.

Shareholders may also access a telephone replay of the conference call by calling (888) 203-1112 and entering the access code: 2252353. The telephone replay will be available through November 12, 2015. A live webcast will be available in listen-only mode by clicking on the webcast link in the investors section at www.realtyincome.com or on the Realty Income home page. A replay of the conference call webcast will be available approximately two hours after the conclusion of the live broadcast. The webcast replay will be available through November 12, 2015. No access code is required for this replay.

Supplemental Materials and Website

Supplemental materials on the third quarter and year-to-date 2015 operating results are available on Realty Income’s corporate website at http://investors.realtyincome.com/quarterly-results.

About Realty Income

Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing shareholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 4,400 real estate properties owned under long-term lease agreements with regional and national commercial tenants. To date, the company has declared 544 consecutive common stock monthly dividends throughout its 46-year operating history and increased the dividend 82 times since Realty Income’s public listing in 1994 (NYSE: O). The company has in-house acquisition, portfolio management, asset management, credit research, real estate research, legal, finance and accounting, information technology, and capital markets capabilities. Additional information about the company can be obtained from the corporate website at www.realtyincome.com.

Forward-Looking Statements

Statements in this press release that are not strictly historical are “forward-looking” statements. 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 press release. 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.

Investor Contact:

Jonathan Pong, CFA, CPA

AVP, Capital Markets

(858) 284-5177

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CONSOLIDATED STATEMENTS OF INCOME

(dollars in thousands, except per share amounts) (unaudited)

	Three Months			Three Months			Nine Months			Nine Months
	Ended 9/30/15			Ended 9/30/14			Ended 9/30/15			Ended 9/30/14
REVENUE
Rental	$	247,578		$	226,832		$	724,131		$	662,822
Tenant reimbursements	10,187			8,275			31,757			20,872
Other	1,124			606			3,729			2,238
Total revenue	258,889			235,713			759,617			685,932
EXPENSES
Depreciation and amortization	104,338			95,260			303,476			278,124
Interest	63,950			52,814			181,098			157,246
General and administrative	10,861			11,025			36,331			35,499
Property (including reimbursable)	13,542			12,770			42,455			33,474
Income taxes	745			697			2,448			2,358
Provisions for impairment	3,864			495			9,182			2,676
Total expenses	197,300			173,061			574,990			509,377
Gain on sales of real estate	6,224			10,975			17,117			14,211
Income from continuing operations	67,813			73,627			201,744			190,766
Income from discontinued operations	-			-			-			3,097
Net income	67,813			73,627			201,744			193,863
Net income attributable to noncontrolling interests	(338		)	(344		)	(919		)	(1,016		)
Net income attributable to the Company	67,475			73,283			200,825			192,847
Preferred stock dividends	(6,770		)	(9,327		)	(20,310		)	(30,292		)
Excess of redemption value over carrying value of preferred shares redeemed	-			(6,015		)	-			(6,015		)
Net income available to common stockholders	$	60,705		$	57,941		$	180,515		$	156,540
Funds from operations (FFO) available to common stockholders	$	162,160		$	142,259		$	474,530		$	419,170
Adjusted funds from operations (AFFO) available to common stockholders	$	165,790		$	142,429		$	477,006		$	416,255
Per share information for common stockholders:
Income from continuing operations, basic and diluted	$	0.26		$	0.26		$	0.78		$	0.71
Net income, basic and diluted	$	0.26		$	0.26		$	0.78		$	0.72
FFO, basic and diluted	$	0.69		$	0.64		$	2.05		$	1.93
AFFO, basic and diluted	$	0.70		$	0.64		$	2.06		$	1.92
Cash dividends paid per common share	$	0.570		$	0.548		$	1.700		$	1.642

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FUNDS FROM OPERATIONS (FFO)

(dollars in thousands, except per share amounts)

We define FFO, a non-GAAP measure, consistent with NAREIT’s definition, as net income available to common stockholders, plus depreciation and amortization of real estate assets, plus impairments of real estate assets, reduced by gains on property sales and extraordinary items.

	Three Months			Three Months			Nine Months			Nine Months
	Ended 9/30/15			Ended 9/30/14			Ended 9/30/15			Ended 9/30/14
Net income available to common stockholders	$	60,705		$	57,941		$	180,515		$	156,540
Depreciation and amortization	104,338			95,260			303,476			278,124
Depreciation of furniture, fixtures and equipment	(184		)	(125		)	(608		)	(320		)
Provisions for impairment on investment properties	3,864			495			9,182			2,676
Gain on sale of investment properties:
Continuing operations	(6,224		)	(10,975		)	(17,117		)	(14,211		)
Discontinued operations	-			-			-			(2,607		)
FFO adjustments allocable to noncontrolling interests	(339		)	(337		)	(918		)	(1,032		)
FFO available to common stockholders (1)	$	162,160		$	142,259		$	474,530		$	419,170
FFO per common share, basic and diluted	$	0.69		$	0.64		$	2.05		$	1.93
Distributions paid to common stockholders	$	134,489		$	122,092		$	392,767		$	356,735
FFO in excess of distributions paid to common stockholders	$	27,671		$	20,167		$	81,763		$	62,435
Weighted average number of common shares used for FFO:
Basic	236,211,706			222,061,661			231,434,521			216,804,815
Diluted	236,739,942			222,236,071			231,545,745			216,830,013

ADJUSTED FUNDS FROM OPERATIONS (AFFO)

(dollars in thousands, except per share amounts)

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).

	Three Months			Three Months			Nine Months			Nine Months
	Ended 9/30/15			Ended 9/30/14			Ended 9/30/15			Ended 9/30/14
Net income available to common stockholders	$	60,705		$	57,941		$	180,515		$	156,540
Cumulative adjustments to calculate FFO (2)	101,455			84,318			294,015			262,630
FFO available to common stockholders	162,160			142,259			474,530			419,170
Excess of redemption value over carrying value of Class E preferred share redemption	-			6,015			-			6,015
Amortization of share-based compensation	2,235			2,204			7,598			7,653
Amortization of deferred financing costs (3)	1,354			1,235			3,959			3,476
Amortization of net mortgage premiums	(1,624		)	(2,285		)	(5,252		)	(7,060		)
Gain on early extinguishment of mortgage debt	(162		)	(2,909		)	(356		)	(3,528		)
(Gain) loss on interest rate swaps	5,180			(633		)	7,138			409
Leasing costs and commissions	(93		)	(188		)	(555		)	(655		)
Recurring capital expenditures	(1,811		)	(1,616		)	(3,820		)	(3,883		)
Straight-line rent	(3,648		)	(3,851		)	(12,283		)	(11,764		)
Amortization of above and below-market leases	2,125			2,166			5,821			6,374
Other adjustments (4)	74			32			226			48
AFFO available to common stockholders (5)	$	165,790		$	142,429		$	477,006		$	416,255
AFFO per common share, basic and diluted	$	0.70		$	0.64		$	2.06		$	1.92
Distributions paid to common stockholders	$	134,489		$	122,092		$	392,767		$	356,735
AFFO in excess of distributions paid to common stockholders	$	31,301		$	20,337		$	84,239		$	59,520
Weighted average number of common shares used for AFFO:
Basic	236,211,706			222,061,661			231,434,521			216,804,815
Diluted	236,739,942			222,236,071			231,545,745			216,830,013

(1)FFO available to common stockholders and dilutive noncontrolling interests for the three months ended September 30, 2015 is $162,377 after the inclusion of $217 of FFO allocable to dilutive noncontrolling interests.  Noncontrolling interests were anti-dilutive for all other periods presented.

(2)See FFO calculation above for reconciling items.

(3)Includes the amortization of costs incurred and capitalized upon issuance of our notes payable, assumption of our mortgages payable and upon issuance of our term loans.  The deferred financing costs are being amortized over the lives of the respective mortgages and term loan.  No costs associated with our credit facility agreements or annual fees paid to credit rating agencies have been included.

(4)Includes adjustments allocable to both noncontrolling interests and capital lease obligations.

(5)AFFO available to common stockholders and dilutive noncontrolling interests for the three months ended September 30, 2015 is $166,009 after the inclusion of $219 of AFFO allocable to dilutive noncontrolling interests.  Noncontrolling interests were anti-dilutive for all other periods presented.

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HISTORICAL FFO AND AFFO

(dollars in thousands, except per share amounts)

For the three months ended September 30,	2015			2014			2013			2012			2011
Net income available to common stockholders	$	60,705		$	57,941		$	41,089		$	26,976		$	34,717
Depreciation and amortization	104,154			95,135			81,189			37,822			31,837
Provisions for impairment on investment properties	3,864			495			76			667			169
Gain on sales of investment properties	(6,224		)	(10,975		)	(6,163		)	(2,045		)	(3,149		)
Merger-related costs	-			-			240			5,495			-
FFO adjustments allocable to noncontrolling interests	(339		)	(337		)	(285		)	-			-
FFO	$	162,160		$	142,259		$	116,146		$	68,915		$	63,574
FFO per diluted share	$	0.69		$	0.64		$	0.59		$	0.52		$	0.50
AFFO	$	165,790		$	142,429		$	117,919		$	68,496		$	64,239
AFFO per diluted share	$	0.70		$	0.64		$	0.60		$	0.52		$	0.51
Cash dividends paid per share	$	0.570		$	0.548		$	0.545		$	0.443		$	0.435
Weighted average diluted shares outstanding	236,739,942			222,236,071			196,619,866			132,931,813			126,582,609
For the nine months ended September 30,	2015			2014			2013			2012			2011
Net income available to common stockholders	$	180,515		$	156,540		$	149,781		$	85,998		$	97,837
Depreciation and amortization	302,868			277,804			222,863			108,628			87,628
Provisions for impairment on investment properties	9,182			2,676			3,028			667			378
Gain on sales of investment properties	(17,117		)	(16,818		)	(50,467		)	(6,010		)	(4,529		)
Merger-related costs	-			-			12,875			5,495			-
FFO adjustments allocable to noncontrolling interests	(918		)	(1,032		)	(680		)	-			-
FFO	$	474,530		$	419,170		$	337,400		$	194,778		$	181,314
FFO per diluted share	$	2.05		$	1.93		$	1.79		$	1.47		$	1.46
AFFO	$	477,006		$	416,255		$	337,439		$	201,290		$	184,847
AFFO per diluted share	$	2.06		$	1.92		$	1.79		$	1.52		$	1.49
Cash dividends paid per share	$	1.700		$	1.642		$	1.602		$	1.317		$	1.301
Weighted average diluted shares outstanding	231,545,745			216,830,013			188,399,848			132,845,970			124,013,142

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REALTY INCOME CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

September 30, 2015 and December 31, 2014

(dollars in thousands, except per share data)

	2015			2014
ASSETS	(unaudited)
Real estate, at cost:
Land	$	3,246,465		$	3,046,372
Buildings and improvements	8,859,414			8,107,199
Total real estate, at cost	12,105,879			11,153,571
Less accumulated depreciation and amortization	(1,609,914		)	(1,386,871		)
Net real estate held for investment	10,495,965			9,766,700
Real estate held for sale, net	13,346			14,840
Net real estate	10,509,311			9,781,540
Cash and cash equivalents	7,074			3,852
Accounts receivable, net	74,977			64,386
Acquired lease intangible assets, net	1,043,554			1,039,724
Goodwill	15,372			15,470
Other assets, net	88,281			107,650
Total assets	$	11,738,569		$	11,012,622
LIABILITIES AND EQUITY
Distributions payable	$	47,844		$	43,675
Accounts payable and accrued expenses	97,219			123,287
Acquired lease intangible liabilities, net	241,128			220,469
Other liabilities	36,993			53,145
Lines of credit payable	439,000			223,000
Term loans	320,000			70,000
Mortgages payable, net	706,141			852,575
Notes payable, net	3,786,408			3,785,372
Total liabilities	5,674,733			5,371,523
Commitments and contingencies
Stockholders’ equity:
Preferred stock and paid in capital, par value $0.01 per share, 69,900,000 shares authorized, 16,350,000 shares issued and outstanding as of September 30, 2015 and December 31, 2014	395,378			395,378
Common stock and paid in capital, par value $0.01 per share, 370,100,000 shares authorized, 238,085,515 shares issued and outstanding as of September 30, 2015 and 224,881,192 shares issued and outstanding as of December 31, 2014	7,107,662			6,464,987
Distributions in excess of net income	(1,463,392		)	(1,246,964		)
Total stockholders’ equity	6,039,648			5,613,401
Noncontrolling interests	24,188			27,698
Total equity	6,063,836			5,641,099
Total liabilities and equity	$	11,738,569		$	11,012,622

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Realty Income Performance vs. Major Stock Indices

			Equity						NASDAQ
	Realty Income		REIT Index (1)		DJIA		S&P 500		Composite
	Dividend	Total	Dividend	Total	Dividend	Total	Dividend	Total	Dividend	Total
	yield	return (2)	yield	return (3)	yield	return (3)	yield	return (3)	yield	return (4)
10/18 to 12/31/1994	10.5%	10.8%	7.7%	0.0%	2.9%	(1.6%)	2.9%	(1.2%)	0.5%	(1.7%)
1995	8.3%	42.0%	7.4%	15.3%	2.4%	36.9%	2.3%	37.6%	0.6%	39.9%
1996	7.9%	15.4%	6.1%	35.3%	2.2%	28.9%	2.0%	23.0%	0.2%	22.7%
1997	7.5%	14.5%	5.5%	20.3%	1.8%	24.9%	1.6%	33.4%	0.5%	21.6%
1998	8.2%	5.5%	7.5%	(17.5%)	1.7%	18.1%	1.3%	28.6%	0.3%	39.6%
1999	10.5%	(8.7%)	8.7%	(4.6%)	1.3%	27.2%	1.1%	21.0%	0.2%	85.6%
2000	8.9%	31.2%	7.5%	26.4%	1.5%	(4.7%)	1.2%	(9.1%)	0.3%	(39.3%)
2001	7.8%	27.2%	7.1%	13.9%	1.9%	(5.5%)	1.4%	(11.9%)	0.3%	(21.1%)
2002	6.7%	26.9%	7.1%	3.8%	2.6%	(15.0%)	1.9%	(22.1%)	0.5%	(31.5%)
2003	6.0%	21.0%	5.5%	37.1%	2.3%	28.3%	1.8%	28.7%	0.6%	50.0%
2004	5.2%	32.7%	4.7%	31.6%	2.2%	5.6%	1.8%	10.9%	0.6%	8.6%
2005	6.5%	(9.2%)	4.6%	12.2%	2.6%	1.7%	1.9%	4.9%	0.9%	1.4%
2006	5.5%	34.8%	3.7%	35.1%	2.5%	19.0%	1.9%	15.8%	0.8%	9.5%
2007	6.1%	3.2%	4.9%	(15.7%)	2.7%	8.8%	2.1%	5.5%	0.8%	9.8%
2008	7.3%	(8.2%)	7.6%	(37.7%)	3.6%	(31.8%)	3.2%	(37.0%)	1.3%	(40.5%)
2009	6.6%	19.3%	3.7%	28.0%	2.6%	22.6%	2.0%	26.5%	1.0%	43.9%
2010	5.1%	38.6%	3.5%	27.9%	2.6%	14.0%	1.9%	15.1%	1.2%	16.9%
2011	5.0%	7.3%	3.8%	8.3%	2.8%	8.3%	2.3%	2.1%	1.3%	(1.8%)
2012	4.5%	20.1%	3.5%	19.7%	3.0%	10.2%	2.5%	16.0%	2.6%	15.9%
2013	5.8%	(1.8%)	3.9%	2.9%	2.3%	29.6%	2.0%	32.4%	1.4%	38.3%
2014	4.6%	33.7%	3.6%	28.0%	2.3%	10.0%	2.0%	13.7%	1.3%	13.4%
Q3 YTD 2015	4.8%	2.9%	4.0%	(4.5%)	2.7%	(6.9%)	2.2%	(5.3%)	1.2%	(2.4%)
Compound Average Annual Total Return (5)		16.6%		10.7%		9.5%		9.0%		9.0%

 Note:   All of these dividend yields are calculated as annualized dividends based on the last dividend paid in applicable time period divided by the closing price as of period end.  Dividend yield sources: NAREIT website and Bloomberg, except for the 1994 NASDAQ dividend yield which was sourced from Datastream / Thomson Financial.

(1)FTSE NAREIT US Equity REIT Index, as per NAREIT website.

(2)Calculated as the difference between the closing stock price as of period end less the closing stock price as of previous period, plus dividends paid in period, divided by closing stock price as of end of previous period.  Does not include reinvestment of dividends for the annual percentages.

(3)Includes reinvestment of dividends.  Source:  NAREIT website and Factset.

(4)Price only index, does not include dividends.  Source:  Factset.

(5)All of these Compound Average Annual Total Return rates are calculated in the same manner: from Realty Income’s NYSE listing on October 18, 1994 through September 30, 2015, and (except for NASDAQ) assuming reinvestment of dividends. Past Performance does not guarantee future performance.  Realty Income presents this data for informational purposes only and makes no representation about its future performance or how it will compare in performance to other indices in the future.

- 9 -

EX-99.2

Q3 2015 Supplemental Operating & Financial Data NYSE: O Exhibit 99.2

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 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 This Supplemental Operating & Financial Data should be read in connection with the company's third quarter 2015 earnings press release (included as Exhibit 99.1 of the company's Current Report on Form 8-K, filed on October 28, 2015) as certain disclosures, definitions and reconciliations in such announcement have not been included in this Supplemental Operating & Financial Data. TABLE OF CONTENTS 2 Q3 2015 Supplemental Operating & Financial Data

Senior Management John P. Case, Chief Executive Officer and President Richard G. Collins, Executive VP, Portfolio Management Paul M. Meurer, Executive VP, Chief Financial Officer and Treasurer Michael R. Pfeiffer, Executive VP, General Counsel and Secretary Sumit Roy, Executive VP, Chief Operating Officer and Chief Investment Officer Credit Ratings Standard & Poor’s BBB+ Stable Outlook Moody's Baa1 Stable Outlook Fitch BBB+ Stable Outlook Dividend Information as of September 2015 Current annualized dividend of $2.286 per share Compound average annual dividend growth rate of approximately 4.6% 542 consecutive monthly dividends paid 72 consecutive quarterly dividend increases Corporate Headquarters 11995 El Camino Real San Diego, California 92130 Phone: (858) 284-5000 Website: www.realtyincome.com Transfer Agent Wells Fargo Shareowner Services Phone: (877) 218-2434 Email: stocktransfer@wellsfargo.com Website: www.shareowneronline.com Corporate Profile Realty Income, The Monthly Dividend Company®, is an S&P 500 real estate company with the primary business objective of generating dependable monthly cash dividends from a consistent and predictable level of cash flow from operations. Our monthly dividends are supported by the cash flow from our property portfolio. We have in-house acquisition, portfolio management, asset management, credit research, real estate research, legal, finance and accounting, information technology, and capital markets capabilities. Over the past 46 years, Realty Income has been acquiring and managing freestanding commercial properties that generate rental revenue under long-term, net lease agreements. Portfolio Overview At September 30, 2015, we owned a diversified portfolio of 4,473 properties located in 49 states and Puerto Rico, with over 74.8 million square feet of leasable space. Our properties are leased to 236 different commercial tenants doing business in 47 separate industries. Approximately 79% of our quarterly rental revenues were generated from retail properties, 13% from industrial properties, and the remaining 8% were from other property types. Our occupancy rate as of September 30, 2015 was 98.3%, with a weighted average remaining lease term of approximately 10.1 years. Common Stock Our Common Stock is traded on the New York Stock Exchange under the symbol "O" September 30, 2015 Closing price $ 47.39 Shares and units outstanding 238,822,083 Market value of common equity $ 11,317,779,000 Total market capitalization $ 16,980,715,000 CORPORATE OVERVIEW 3 Q3 2015 Supplemental Operating & Financial Data

CONSOLIDATED STATEMENTS OF INCOME (dollars in thousands, except per share data) CONSOLIDATED STATEMENTS OF INCOME (dollars in thousands, except per share amounts) 4 Q3 2015 Supplemental Operating & Financial Data (unaudited) (unaudited) Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 REVENUE Rental $ 247,578 $ 226,832 $ 724,131 $ 662,822 Tenant reimbursements 10,187 8,275 31,757 20,872 Other 1,124 606 3,729 2,238 Total revenue 258,889 235,713 759,617 685,932 EXPENSES Depreciation and amortization 104,338 95,260 303,476 278,124 Interest 63,950 52,814 181,098 157,246 General and administrative 10,861 11,025 36,331 35,499 Property (including reimbursable) 13,542 12,770 42,455 33,474 Income taxes 745 697 2,448 2,358 Provisions for impairment 3,864 495 9,182 2,676 Total expenses 197,300 173,061 574,990 509,377 Gain on sales of real estate 6,224 10,975 17,117 14,211 Income from continuing operations 67,813 73,627 201,744 190,766 Income from discontinued operations - - - 3,097 Net income 67,813 73,627 201,744 193,863 Net income attributable to noncontrolling interests (338 ) (344 ) (919 ) (1,016 ) Net income attributable to the Company 67,475 73,283 200,825 192,847 Preferred stock dividends (6,770 ) (9,327 ) (20,310 ) (30,292 ) Excess of redemption value over carrying value of preferred shares subject to redemption - (6,015 ) - (6,015 ) Net income available to common stockholders $ 60,705 $ 57,941 $ 180,515 $ 156,540 Amounts available to common stockholders per common share, basic and diluted: Income from continuing operations $ 0.26 $ 0.26 $ 0.78 $ 0.71 Net income $ 0.26 $ 0.26 $ 0.78 $ 0.72

FUNDS FROM OPERATIONS (FFO) (dollars in thousands, except per share amounts) 5 Q3 2015 Supplemental Operating & Financial Data Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Net income available to common stockholders $ 60,705 $ 57,941 $ 180,515 $ 156,540 Depreciation and amortization 104,338 95,260 303,476 278,124 Depreciation of furniture, fixtures and equipment (184 ) (125 ) (608 ) (320 ) Provisions for impairment on investment properties 3,864 495 9,182 2,676 Gain on sale of investment properties: Continuing operations (6,224 ) (10,975 ) (17,117 ) (14,211 ) Discontinued operations - - - (2,607 ) FFO adjustments allocable to noncontrolling interests (339 ) (337 ) (918 ) (1,032 ) FFO available to common stockholders $ 162,160 $ 142,259 $ 474,530 $ 419,170 FFO per common share, basic and diluted $ 0.69 $ 0.64 $ 2.05 $ 1.93 Distributions paid to common stockholders $ 134,489 $ 122,092 $ 392,767 $ 356,735 FFO in excess of distributions paid to common stockholders $ 27,671 $ 20,167 $ 81,763 $ 62,435 Weighted average number of common shares used for computation per share: Basic 236,211,706 222,061,661 231,434,521 216,804,815 Diluted 236,739,942 222,236,071 231,545,745 216,830,013 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 computation per share. We define FFO, a non-GAAP measure, consistent with NAREIT’s definition, as net income available to common stockholders, plus depreciation and amortization of real estate assets, plus impairments of real estate assets, reduced by gains on property sales and extraordinary items.

(1) See reconciling items for FFO presented under "Funds from Operations (FFO).” ADJUSTED FUNDS FROM OPERATIONS (AFFO) (dollars in thousands , except per share amounts) 6 Q3 2015 Supplemental Operating & Financial Data Three months ended September 30, Nine months ended September 30, 2015 2014 2015 2014 Net income available to common stockholders $ 60,705 $ 57,941 $ 180,515 $ 156,540 Cumulative adjustments to calculate FFO (1) 101,455 84,318 294,015 262,630 FFO available to common stockholders 162,160 142,259 474,530 419,170 Excess of redemption value over carrying value of Class E preferred share redemption - 6,015 - 6,015 Amortization of share-based compensation 2,235 2,204 7,598 7,653 Amortization of deferred financing costs 1,354 1,235 3,959 3,476 Amortization of net mortgage premiums (1,624 ) (2,285 ) (5,252 ) (7,060 ) Gain on early extinguishment of mortgage debt (162 ) (2,909 ) (356 ) (3,528 ) (Gain) loss on interest rate swaps 5,180 (633 ) 7,138 409 Leasing costs and commissions (93 ) (188 ) (555 ) (655 ) Recurring capital expenditures (1,811 ) (1,616 ) (3,820 ) (3,883 ) Straight-line rent (3,648 ) (3,851 ) (12,283 ) (11,764 ) Amortization of above and below-market leases 2,125 2,166 5,821 6,374 Other adjustments 74 32 226 48 Total AFFO available to common stockholders $ 165,790 $ 142,429 $ 477,006 $ 416,255 AFFO per common share, basic and diluted $ 0.70 $ 0.64 $ 2.06 $ 1.92 Distributions paid to common stockholders $ 134,489 $ 122,092 $ 392,767 $ 356,735 AFFO in excess of distributions paid to common stockholders $ 31,301 $ 20,337 $ 84,239 $ 59,520 Weighted average number of common shares used for computation per share: Basic 236,211,706 222,061,661 231,434,521 216,804,815 Diluted 236,739,942 222,236,071 231,545,745 216,830,013 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 computation per share. 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).

September 30, 2015 December 31, 2014 ASSETS (unaudited) Real estate, at cost: Land $ 3,246,465 $ 3,046,372 Buildings and improvements 8,859,414 8,107,199 Total real estate, at cost 12,105,879 11,153,571 Less accumulated depreciation and amortization (1,609,914 ) (1,386,871 ) Net real estate held for investment 10,495,965 9,766,700 Real estate held for sale, net 13,346 14,840 Net real estate 10,509,311 9,781,540 Cash and cash equivalents 7,074 3,852 Accounts receivable, net 74,977 64,386 Acquired lease intangible assets, net 1,043,554 1,039,724 Goodwill 15,372 15,470 Other assets, net 88,281 107,650 Total assets $ 11,738,569 $ 11,012,622 LIABILITIES AND EQUITY Distributions payable $ 47,844 $ 43,675 Accounts payable and accrued expenses 97,219 123,287 Acquired lease intangible liabilities, net 241,128 220,469 Other liabilities 36,993 53,145 Lines of credit payable 439,000 223,000 Term loans 320,000 70,000 Mortgages payable, net 706,141 852,575 Notes payable, net 3,786,408 3,785,372 Total liabilities $ 5,674,733 $ 5,371,523 Stockholders' equity: Preferred stock and paid in capital, par value $0.01 per share, 69,900,000 shares authorized and 16,350,000 shares issued and outstanding as of September 30, 2015 and December 31, 2014 $ 395,378 $ 395,378 Common stock and paid in capital, par value $0.01 per share, 370,100,000 shares authorized, 238,085,515 shares issued and outstanding as of September 30, 2015 and 224,881,192 shares issued and outstanding at December 31, 2014 7,107,662 6,464,987 Distributions in excess of net income (1,463,392 ) (1,246,964 ) Total stockholders' equity 6,039,648 5,613,401 Noncontrolling interests 24,188 27,698 Total equity 6,063,836 5,641,099 Total liabilities and equity $ 11,738,569 $ 11,012,622 CONSOLIDATED BALANCE SHEETS (dollars in thousands , except per share amounts) 7 Q3 2015 Supplemental Operating & Financial Data

Principal Interest Weighted Balance as of Rate as of Average Years Maturity Date September 30, 2015 % of Debt September 30, 2015 until Maturity Credit Facility Credit Facility (1) June 30, 2019 $ 439,000 8.4% 1.09% 3.8 years Unsecured Term Loans Term Loan - Tau (2) January 21, 2018 70,000 1.3% 1.40% 2.3 years Term Loan - Realty Income (3) June 30, 2020 250,000 4.8% 1.15% 4.8 years Principal amount 320,000 Senior Unsecured Notes and Bonds 5.50% Notes due 2015 November 15, 2015 150,000 2.9% 5.50% 5.95% Notes due 2016 September 15, 2016 275,000 5.2% 5.95% 5.375% Notes due 2017 September 15, 2017 175,000 3.3% 5.38% 2.00% Notes due 2018 January 31, 2018 350,000 6.7% 2.00% 6.75% Notes due 2019 August 15, 2019 550,000 10.5% 6.75% 5.75% Notes due 2021 January 15, 2021 250,000 4.7% 5.75% 3.25% Notes due 2022 October 15, 2022 450,000 8.6% 3.25% 4.65% Notes due 2023 August 1, 2023 750,000 14.3% 4.65% 3.875% Notes due 2024 July 15, 2024 350,000 6.7% 3.88% 4.125% Notes due 2026 October 15, 2026 250,000 4.7% 4.13% 5.875% Bonds due 2035 March 15, 2035 250,000 4.7% 5.88% Principal amount 3,800,000 4.75% 6.5 years Unamortized discounts (13,592) Carrying value 3,786,408 Mortgages Payable 47 mortgages on 192 properties November 2015 - June 2032 695,186 (4) 13.2% 4.91% 3.6 years Unamortized premiums 10,955 Carrying value 706,141 TOTAL DEBT $ 5,254,186 (5) 4.25% Fixed Rate $ 4,799,702 91% Variable Rate $ 454,484 9% (1) We have a $2.0 billion unsecured revolving credit facility with an initial term that expires in June 2019. It includes, at our election, two 6-month extension options, at a cost of 0.075% of the facility commitment, or $1.5 million per option. As of September 30, 2015, $1.56 billion was available on the credit facility. (2) Borrowing under the $70 million term loan bears interest at the current one-month LIBOR, plus 1.20%. We have an interest rate swap which essentially fixes our per annum interest rate on the term loan at 2.15%. (3) Borrowing under the $250 million term loan bears interest at the current one-month LIBOR, plus 0.95%. We have an interest rate swap which essentially fixes our per annum interest rate on the term loan at 2.67%. (4) The mortgages payable are at fixed interest rates, except for variable rate mortgages totaling $15.5 million at September 30, 2015. (5) Excludes non-cash unamortized original issuance discounts recorded on the senior unsecured notes and bonds, as well as non-cash unamortized premiums recorded on the mortgages payable. DEBT SUMMARY (dollars in thousands) 8 Q3 2015 Supplemental Operating & Financial Data

Debt Maturities Year of Credit Term Senior Unsecured Mortgages Weighted Average Maturity Facility Loan Notes and Bonds Payable Total Interest Rate (1) 2015 $ - $ - $ 150.0 (2) $ 1.9 $ 151.9 5.50% 2016 - - 275.0 225.6 500.6 5.37% 2017 - - 175.0 142.7 317.7 5.53% 2018 - 70.0 350.0 15.3 435.3 2.03% 2019 439.0 - 550.0 26.2 1,015.2 6.56% Thereafter - 250.0 2,300.0 283.5 2,833.5 4.20% Totals $ 439.0 $ 320.0 $ 3,800.0 $ 695.2 $ 5,254.2 (1) Weighted average interest rate for 2019 excludes the credit facility. (2) In November 2015, we expect to repay our $150 million 5.5% notes by borrowing on our credit facility. Mortgages Payable Maturities by Quarter Year of First Second Third Fourth Weighted Average Maturity Quarter Quarter Quarter Quarter Total Interest Rate 2015 $ - $ - $ - $ 1.9 $ 1.9 5.65% 2016 78.2 128.3 16.9 2.2 225.6 4.66% 2017 42.2 36.5 39.4 24.6 142.7 5.72% 2018 1.2 12.0 1.0 1.1 15.3 5.48% 2019 1.1 1.1 1.1 22.9 26.2 2.64% Thereafter 283.5 4.88% Totals $ 122.7 $ 177.9 $ 58.4 $ 52.7 $ 695.2 DEBT MATURITIES (dollars in millions) 9 Q3 2015 Supplemental Operating & Financial Data

3.9 Proforma Capital Structure - September 30, 2015 (3) Proforma Liquidity - September 30, 2015 (3) Cash on Hand $ 120,074 Availability under Credit Facility 2,000,000 $ 2,120,074 CAPITALIZATION & FINANCIAL RATIOS (dollars in thousands , except per share amounts) 10 Q3 2015 Supplemental Operating & Financial Data Capitalization as of September 30, 2015 Carrying Debt Value Credit Facility $ 439,000 Unsecured Term Loans 320,000 Senior Unsecured Notes and Bonds 3,800,000 Mortgages Payable 695,186 Total Debt $ 5,254,186 Stock Redemption Market Equity Shares/units Price Price Value Common Stock (NYSE: O) 238,085,515 $ 47.39 $ 11,282,873 Common Units (1) 736,568 $ 47.39 34,906 Common Equity 11,317,779 Class F Preferred Stock 16,350,000 $ 25.00 408,750 Total Equity $ 11,726,529 Total Market Capitalization (2) $ 16,980,715 Debt/Total Market Capitalization (2) 30.9% Debt and Preferred Stock/Total Market Capitalization (2) 33.3% (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 $16,973,641 (total market capitalization less cash on hand). The percentages for both debt to enterprise value as well as debt and preferred stock to enterprise value are materially consistent with those presented for total market capitalization. Dividend Data Year-over-Year YTD 2015 YTD 2014 Growth Rate Common Dividend Paid per Share $ 1.70 $ 1.64 3.7% AFFO per Share (diluted) $ 2.06 $ 1.92 7.3% AFFO Payout Ratio 82.5% 85.5% (3) Proforma information reflects the 11,500,000 common share stock offering that occurred on October 7, 2015. After underwriting discounts and other offering costs, a portion of the net proceeds of $517.0 million was used to repay $404.0 million of borrowings under our credit facility and the remaining cash is available for other general corporate purposes, which may include acquisitions. Debt 28% Preferred 2% Common 70%

Debt Service Coverage (3) Fixed Charge Coverage (4) 3.9 Reconciliation of Net Income to EBITDA (1) Three months ended September 30, 2015 Net income $ 67,813 Interest 63,950 Taxes 745 Depreciation and amortization 104,338 Impairment loss 3,864 Gain on sales (6,224) Quarterly EBITDA $ 234,486 Annualized EBITDA $ 937,944 Debt/EBITDA 5.6 Proforma Debt/EBITDA (2) 5.1 (1) 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, and (v) gain on sales (Realty Income properties). (2) Refer to footnote 3 on page 10 for a description of proforma information. (3) Refer to footnote 1 on page 12 for a detailed description of the calculation of debt service coverage. (4) 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. EBITDA & COVERAGE RATIOS (dollars in thousands) 11 Q3 2015 Supplemental Operating & Financial Data (2) (2) 3.3 3.4 3.4 3.6 3.7 3.8 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q3 2015 Proforma 3.3 3.7 3.8 3.9 4.0 4.1 4.2 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q3 2015 Proforma

As of September 30, 2015 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 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 43.0% Limitation on incurrence of secured debt < 40% of adjusted undepreciated assets 5.8% Debt service coverage (trailing 12 months) (1) > 1.5 x 4.1x Maintenance of total unencumbered assets > 150% of unsecured debt 239.4% (1) This covenant is calculated on a pro forma basis for the preceding four-quarter period on the assumption 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 there from (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 October 1, 2014, 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 October 1, 2014, nor does it purport to reflect our debt service coverage ratio for any future period. DEBT COVENANTS 12 Q3 2015 Supplemental Operating & Financial Data

First Quarter 2015 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 58 $ 194,617 $ 13,101 951,490 6.7% 15.8 Properties under Development (3) 25 15,271 1,371 661,317 9.0% 12.8 Total Real Estate Investments 83 $ 209,888 $ 14,472 1,612,807 6.9% 15.5 Approximately 60% of the annualized revenue generated by these investments is from investment grade-rated tenants. Year-to-date 2015 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 165 $ 1,017,997 $ 64,913 4,448,333 6.4% 17.0 Properties under Development (3) 30 37,058 3,651 678,975 9.9% 11.6 Total Real Estate Investments 195 $ 1,055,055 $ 68,564 5,127,308 6.5% 16.7 Approximately 50% of the annualized revenue generated by these investments is from investment grade-rated tenants. (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 nine independent transactions during the first quarter of 2015, 16 independent transactions during the second quarter of 2015, and ten independent transactions during the third quarter for 2015, respectively. (3) Includes investments during the period in new development, expansion of existing properties, and redevelopment of existing properties. Cash rents noted reflect total cash rents to be received on this investment amount upon completion of the properties under development. INVESTMENT SUMMARY (dollars in thousands) 13 Q3 2015 Supplemental Operating & Financial Data Second Quarter 2015 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 78 $ 706,146 $ 43,940 2,537,293 6.2% 18.4 Properties under Development (3) 22 15,123 1,457 17,658 9.6% 11.6 Total Real Estate Investments 100 $ 721,269 $ 45,397 2,554,951 6.3% 18.2 Approximately 49% of the annualized revenue generated by these investments is from investment grade-rated tenants. Third Quarter 2015 Number of Properties Investment Cash Rents Leasable Square Feet Cash Capitalization Rate (1) Weighted Average Lease Term (Years) New Property Acquisitions (2) 29 $ 117,234 $ 7,872 959,550 6.7% 11.0 Properties under Development (3) 18 6,664 823 - 12.4% 9.6 Total Real Estate Investments 47 $ 123,898 $ 8,695 959,550 7.0% 10.9 Approximately 35% of the annualized revenue generated by these investments is from investment grade-rated tenants.

First Quarter 2015 Number of Properties Original Investment Net Book Value Net Proceeds (1) Cash Capitalization Rate (2) Occupied 4 $ 15,028 $ 12,487 $ 18,576 7.7% Vacant 5 4,468 2,362 3,534 - Total Real Estate Dispositions 9 $ 19,496 $ 14,849 $ 22,110 The unlevered internal rate of return on properties sold during the first quarter was 12.5% DISPOSITION SUMMARY (dollars in thousands) 14 Q3 2015 Supplemental Operating & Financial Data Second Quarter 2015 Number of Properties Original Investment Net Book Value Net Proceeds (1) Cash Capitalization Rate (2) Occupied 1 $ 4,776 $ 3,690 $ 5,981 8.1% Vacant 4 2,144 777 1,988 - Total Real Estate Dispositions 5 $ 6,920 $ 4,467 $ 7,969 The unlevered internal rate of return on properties sold during the second quarter was 11.6% Third Quarter 2015 Number of Properties Original Investment Net Book Value Net Proceeds (1) Cash Capitalization Rate (2) Occupied 3 $ 14,850 $ 12,822 $ 18,737 7.2% Vacant 5 5,566 2,223 2,766 - Total Real Estate Dispositions 8 $ 20,416 $ 15,045 $ 21,503 The unlevered internal rate of return on properties sold during the third quarter was 14.2% Year-to-date 2015 Number of Properties Original Investment Net Book Value Net Proceeds (1) Cash Capitalization Rate (2) Occupied 8 $ 34,654 $ 28,999 $ 43,294 7.6% Vacant 14 12,178 5,362 8,288 - Total Real Estate Dispositions 22 $ 46,832 $ 34,361 $ 51,582 The unlevered internal rate of return on properties sold during the year was 13.0% (1) Data excludes properties sold as a result of eminent domain activities. During the first quarter of 2015 we received net proceeds of $164,000 related to two eminent domain transactions. During the second quarter of 2015, we received net proceeds of $212,000 related to one eminent domain transaction. (2) 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).

(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 range between October 2015 and January 2016. DEVELOPMENT PIPELINE (dollars in thousands) 15 Q3 2015 Supplemental Operating & Financial Data Retail Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New Development (1) 2 $ 4,310 $ 188 $ 4,498 100% Expansion of existing properties - - - - - Redevelopment of existing properties 4 1,571 7,880 9,451 100% 6 $ 5,881 $ 8,068 $ 13,949 Non-Retail Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New Development (1) 2 $ - $ 49,132 $ 49,132 100% Expansion of existing properties 3 17,311 1,238 18,549 100% Redevelopment of existing properties - - - - - 5 $ 17,311 $ 50,370 $ 67,681 Total Number of Properties Investment to Date Remaining Investment Total Commitment Percent Leased (2) New Development (1) 4 $ 4,310 $ 49,320 $ 53,630 100% Expansion of existing properties 3 17,311 1,238 18,549 100% Redevelopment of existing properties 4 1,571 7,880 9,451 100% 11 $ 23,192 $ 58,438 $ 81,630

Top 20 Tenants Our 20 largest tenants based on percentage of total portfolio annualized rental revenue at September 30, 2015 include the following: Investment Grade Tenants (2): Number of Properties 1,697 Percentage of Annualized Rents 44% Percentage of Leases with Rental Increases, Based on Revenue 75% Tenant Number of Properties % of Revenue Investment Grade Ratings (Moody’s/S&P/Fitch) Walgreens 176 7.0 % Baa2/ BBB/ A- FedEx 39 5.2 % Baa1/ BBB/ BBB Dollar General 502 4.5 % Baa3/ BBB/ - Dollar Tree / Family Dollar 456 4.2 % - LA Fitness 45 4.2 % - Circle K / The Pantry 310 3.1 % Baa2/ BBB/ - AMC Theatres 20 2.6 % - BJ’s Wholesale Clubs 15 2.6 % - Diageo 17 2.5 % A3/ A-/ A- Regal Cinemas 23 2.1 % - GPM Investments / Fas Mart 217 2.1 % - Northern Tier Retail / SuperAmerica 134 2.1 % - Life Time Fitness 9 2.0 % - CVS Pharmacy 55 1.9 % Baa1/ BBB+/ - Rite Aid 58 1.8 % - TBC Corporation 149 1.8 % A3/ A-/ - Walmart / Sam’s Club 19 1.3 % Aa2/AA/AA NPC International 202 1.3 % - FreedomRoads/Camping World 18 1.2 % - Smart & Final 36 1.1 % - Average EBITDAR/Rent Ratio on Retail Properties 2.6x (1) Median EBITDAR/Rent Ratio on Retail Properties 2.6x (1) (1) Based on the analysis of the most recently provided information from retail tenants providing this information. We do not independently verify the information we receive from our retail tenants. (2) Investment grade tenants are defined as tenants with a credit rating of Baa3/BBB- or higher from one of the three major rating agencies (Moody’s/S&P/Fitch). 44% 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. TENANT DIVERSIFICATION 16 Q3 2015 Supplemental Operating & Financial Data 26% 18% 3% 53% Investment Grade, Retail Investment Grade, Non-Retail Non-Investment Grade or Non-Rated, Non-Retail Non-Investment Grade or Non-Rated, Retail

Percentage of Rental Revenue (1) For the Quarter Ended For the Year Ended September 30, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, 2015 2014 2013 2012 2011 2010 2009 Retail industries Apparel stores 2.0 % 2.0 % 1.9 % 1.7 % 1.4 % 1.2 % 1.1 % Automotive collision services 1.0 0.8 0.8 1.1 0.9 1.0 1.1 Automotive parts 1.3 1.3 1.2 1.0 1.2 1.4 1.5 Automotive service 1.9 1.8 2.1 3.1 3.7 4.7 4.8 Automotive tire services 2.9 3.2 3.6 4.7 5.6 6.4 6.9 Book stores * * * 0.1 0.1 0.1 0.2 Child care 2.0 2.2 2.8 4.5 5.2 6.5 7.3 Consumer electronics 0.3 0.3 0.3 0.5 0.5 0.6 0.7 Convenience stores 9.1 10.1 11.2 16.3 18.5 17.1 16.9 Crafts and novelties 0.5 0.5 0.5 0.3 0.2 0.3 0.3 Dollar stores 8.9 9.6 6.2 2.2 - - - Drug stores 11.1 9.5 8.1 3.5 3.8 4.1 4.3 Education 0.3 0.4 0.4 0.7 0.7 0.8 0.9 Entertainment 0.5 0.5 0.6 0.9 1.0 1.2 1.3 Equipment services * 0.1 0.1 0.1 0.2 0.2 0.2 Financial services 1.3 1.4 1.5 0.2 0.2 0.2 0.2 General merchandise 1.4 1.2 1.1 0.6 0.6 0.8 0.8 Grocery stores 3.0 3.0 2.9 3.7 1.6 0.9 0.7 Health and fitness 8.5 7.0 6.3 6.8 6.4 6.9 5.9 Health care 1.0 1.1 1.1 - - - - Home furnishings 0.7 0.7 0.9 1.0 1.1 1.3 1.3 Home improvement 2.5 1.7 1.6 1.5 1.7 2.0 2.2 Jewelry 0.1 0.1 0.1 - - - - Motor vehicle dealerships 1.4 1.6 1.6 2.1 2.2 2.6 2.7 Office supplies 0.3 0.4 0.5 0.8 0.9 0.9 1.0 Pet supplies and services 0.7 0.7 0.8 0.6 0.7 0.9 0.9 Restaurants - casual dining 3.8 4.3 5.1 7.3 10.9 13.4 13.7 Restaurants - quick service 4.0 3.7 4.4 5.9 6.6 7.7 8.3 Shoe stores 0.5 0.1 0.1 0.1 0.2 0.1 - Sporting goods 1.8 1.6 1.7 2.5 2.7 2.7 2.6 Theaters 5.0 5.3 6.2 9.4 8.8 8.9 9.2 Transportation services 0.1 0.1 0.1 0.2 0.2 0.2 0.2 Wholesale clubs 3.8 4.1 3.9 3.2 0.7 - - Other * * 0.1 0.1 0.1 0.3 1.1 Retail industries 81.7 % 80.4 % 79.8 % 86.7 % 88.6 % 95.4 % 98.3 % * Less than 0.1% Includes rental revenue for all properties owned by Realty Income at the end of each period presented, including revenue from properties reclassified as discontinued operations. Excludes revenue from properties owned by Crest Net Lease, Inc., or Crest. INDUSTRY DIVERSIFICATION 17 Q3 2015 Supplemental Operating & Financial Data

* Less than 0.1% Percentage of Rental Revenue (1) For the Quarter Ended For the Year Ended September 30, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, Dec 31, 2015 2014 2013 2012 2011 2010 2009 Non-retail industries Aerospace 1.1 1.2 1.2 0.9 0.5 - - Beverages 2.6 2.8 3.3 5.1 5.6 3.0 - Consumer appliances 0.5 0.5 0.6 0.1 - - - Consumer goods 0.9 0.9 1.0 0.1 - - - Crafts and novelties 0.1 0.1 0.1 - - - - Diversified industrial 0.9 0.5 0.2 0.1 - - - Electric utilities 0.1 0.1 * - - - - Equipment services 0.5 0.5 0.4 0.3 0.2 - - Financial services 0.4 0.4 0.5 0.4 0.3 - - Food processing 1.2 1.4 1.5 1.3 0.7 - - General merchandise 0.3 0.3 - - - - - Government services 1.1 1.3 1.4 0.1 0.1 0.1 0.1 Health care 0.7 0.7 0.8 * * - - Home furnishings 0.2 0.2 0.2 - - - - Insurance 0.1 0.1 0.1 * - - - Machinery * 0.2 0.2 0.1 - - - Other manufacturing 0.7 0.7 0.6 - - - - Packaging 0.8 0.8 0.9 0.7 0.4 - - Paper 0.1 0.1 0.2 0.1 0.1 - - Shoe stores 0.2 0.8 0.9 - - - - Telecommunications 0.6 0.7 0.7 0.8 0.7 - - Transportation services 5.0 5.1 5.3 2.2 1.6 - - Other 0.2 0.2 0.1 1.0 1.2 1.5 1.6 Non-retail industries 18.3 % 19.6 % 20.2 % 13.3 % 11.4 % 4.6 % 1.7 % Totals 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % Includes rental revenue for all properties owned by Realty Income at the end of each period presented, including revenue from properties reclassified as discontinued operations. Excludes revenue from properties owned by Crest. INDUSTRY DIVERSIFICATION (CONT’D) 18 Q3 2015 Supplemental Operating & Financial Data

(1) Includes rental revenue for all properties owned by Realty Income at September 30, 2015. Excludes revenue of $34 from properties owned by Crest and $343 from sold properties that were included in continuing operations. * Less than 0.1% Approximate Rental Revenue for Percentage of Number of Percent Leasable the Quarter Ended Rental State Properties Leased Square Feet September 30, 2015 (1) Revenue Alabama 136 99 % 1,177,800 $ 3,991 1.6 % Alaska 3 100 275,900 599 0.2 Arizona 111 98 1,622,700 6,290 2.5 Arkansas 54 100 797,400 1,749 0.7 California 164 100 5,221,400 24,468 9.9 Colorado 71 99 1,010,800 3,849 1.6 Connecticut 24 92 534,900 2,470 1.0 Delaware 17 100 78,300 633 0.3 Florida 324 99 3,867,900 14,322 5.8 Georgia 240 98 3,364,400 10,316 4.2 Hawaii -- -- -- -- -- Idaho 12 100 87,000 320 0.1 Illinois 162 99 4,587,700 13,165 5.3 Indiana 145 100 1,456,700 6,821 2.8 Iowa 38 95 2,936,000 3,971 1.6 Kansas 88 98 1,623,400 4,110 1.7 Kentucky 60 98 1,014,800 3,466 1.4 Louisiana 90 99 1,025,900 3,106 1.3 Maine 10 90 145,300 889 0.4 Maryland 34 100 846,600 4,440 1.8 Massachusetts 81 96 751,100 3,407 1.4 Michigan 148 98 1,482,400 5,699 2.3 Minnesota 155 99 1,376,800 8,189 3.3 Mississippi 123 98 1,590,100 4,115 1.7 Missouri 139 97 2,806,200 8,545 3.5 Montana 4 100 67,100 186 0.1 Nebraska 33 100 736,900 1,964 0.8 Nevada 22 100 413,000 1,316 0.5 New Hampshire 19 100 315,800 1,498 0.6 New Jersey 69 99 686,200 4,302 1.7 New Mexico 31 100 302,500 888 0.4 New York 86 98 2,321,100 12,182 4.9 North Carolina 158 99 2,128,800 6,426 2.6 North Dakota 7 100 66,000 101 * Ohio 226 98 5,582,400 13,187 5.3 Oklahoma 127 99 1,522,900 4,073 1.6 Oregon 25 100 525,400 1,840 0.7 Pennsylvania 148 99 1,829,300 7,352 3.0 Rhode Island 4 100 157,200 809 0.3 South Carolina 141 99 998,500 4,696 1.9 South Dakota 11 100 133,500 244 0.1 Tennessee 215 96 2,711,000 7,435 3.0 Texas 442 97 8,286,300 22,592 9.1 Utah 17 100 890,500 1,974 0.8 Vermont 5 100 98,000 480 0.2 Virginia 143 98 2,893,300 7,486 3.0 Washington 40 98 631,400 2,276 0.9 West Virginia 12 100 261,200 989 0.4 Wisconsin 50 100 1,569,400 3,604 1.5 Wyoming 5 80 54,900 222 0.1 Puerto Rico 4 100 28,300 149 0.1 Totals\Average 4,473 98 % 74,892,400 $ 247,201 100.0 % EXPIRATIONS (dollars in thousands) GEOGRAPHIC DIVERSIFICATION (dollars in thousands) 19 Q3 2015 Supplemental Operating & Financial Data

Approximate Rental Revenue for the Percentage of Number of Leasable Quarter Ended Rental Property Type Properties Square Feet September 30, 2015 (1) Revenue Retail 4,315 49,974,300 $ 195,847 79.2 % Industrial (2) 99 21,330,400 31,080 12.6 Office 44 3,403,200 14,941 6.0 Agriculture 15 184,500 5,333 2.2 Totals 4,473 74,892,400 $ 247,201 100.0 % PROPERTY TYPE COMPOSITION (dollars in thousands) 20 Q3 2015 Supplemental Operating & Financial Data Includes rental revenue for all properties owned by Realty Income at September 30, 2015. Excludes revenue of $34 from properties owned by Crest and $343 from sold properties that were included in continuing operations. Includes 14 Industrial properties formerly classified as Manufacturing properties which represent less than 1% of rental revenue for the quarter ended September 30, 2015. These properties are principally distribution facilities used for light assemblage, processing, and/or storage. We re-classified these properties to our Industrial category to better reflect their use and to better clarify the categorization of our properties. Retail 79.2% Industrial 12.6% Office 6.0% Agriculture 2.2 %

Same Store Rental Revenue Number of Properties 3,668 Square Footage 58,094,368 Q3 2015 $ 198,778 Q3 2014 $ 196,612 Increase (in dollars) $ 2,166 Increase (percent) 1.1% Top 3 Industries Contributing to the Change Quarter Ended Quarter Ended Net % Change Industry September 30, 2015 September 30, 2014 Change by Industry Health and Fitness $ 13,084 $ 12,870 $ 214 1.7 % Convenience Stores 22,181 21,985 196 0.9 % Automotive Service 4,133 3,998 135 3.4 % Third Quarter 2015 SAME STORE RENTAL REVENUE (dollars in thousands) 21 Q3 2015 Supplemental Operating & Financial Data Same Store Rental Revenue Number of Properties 3,668 Square Footage 58,094,368 YTD Q3 2015 $ 597,220 YTD Q3 2014 $ 589,596 Increase (in dollars) $ 7,624 Increase (percent) 1.3% Top 3 Industries Contributing to the Change Nine Months Ended Nine Months Ended Net % Change Industry September 30, 2015 September 30, 2014 Change by Industry Convenience Stores $ 66,310 $ 65,523 $ 787 1.2 % Motor Vehicle Dealerships 11,001 10,223 778 7.6 % Health and Fitness 39,150 38,464 686 1.8 % Year-to-Date 2015 Same Store Pool Defined For purposes of determining the properties used to calculate the same store rental revenue pool, we include all properties that were 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.

Same Store Rental Revenue by Property Type SAME STORE RENTAL REVENUE (CONT’D) (dollars in thousands) 22 Q3 2015 Supplemental Operating & Financial Data Third Quarter 2015 Quarter Ended Quarter Ended Net % Change by Contribution by Property Type September 30, 2015 September 30, 2014 Change Property Type Property Type Retail $ 156,117 $ 154,396 $ 1,721 1.1% 79.5% Industrial 24,641 24,426 215 0.9% 9.9% Office 12,687 12,523 164 1.3% 7.6% Agriculture 5,333 5,267 66 1.2% 3.0% Total $ 198,778 $ 196,612 $ 2,166 1.1% 100.0% Year-to-Date 2015 Nine Months Ended Nine Months Ended Net % Change by Contribution by Property Type September 30, 2015 September 30, 2014 Change Property Type Property Type Retail $ 469,505 $ 463,544 $ 5,961 1.3% 78.2% Industrial 73,853 73,003 850 1.2% 11.1% Office 37,981 37,364 617 1.6% 8.1% Agriculture 15,881 15,685 196 1.2% 2.6% Total $ 597,220 $ 589,596 $ 7,624 1.3% 100.0%

By Property Occupied Properties 4,399 Total Properties 4,473 Occupancy 98.3% By Square Footage Occupied Square Footage 74,148,157 Total Square Footage 74,892,384 Occupancy 99.0% By Rental Revenue (Economic Occupancy) Quarterly Rental Revenue $ 247,026,323 Quarterly Vacant Rental Revenue $ 1,812,000 (1) Occupancy 99.3% (1) Based on contractual monthly rents received immediately preceding the date of vacancy. Change in Occupancy Vacant Properties at 6/30/2015 81 Expiration Activity (1) + 95 Leasing Activity (2) - 97 Vacant Property Sales Activity (3) - 5 Vacant Properties at 9/30/2015 74 (1) Includes scheduled and unscheduled expirations as well as future expirations resolved in the current quarter. (2) Includes 86 expirations that were re-leased to the same tenants without vacancy, three that was re-leased to a new tenant without vacancy, and eight that were re-leased after a period of vacancy. See page 24 for additional detail on re-leasing activity. (3) Includes three properties that were vacant at the beginning of the quarter. OCCUPANCY 23 Q3 2015 Supplemental Operating & Financial Data Occupancy by Number of Properties 98.1% 98.2% 98.3% 98.3% 98.3% 98.4% 98.0% 98.2% 98.3% 90.0% 91.0% 92.0% 93.0% 94.0% 95.0% 96.0% 97.0% 98.0% 99.0% Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015

Allocation Based on Number of Leases LEASING ACTIVITY (dollars in thousands) 24 Q3 2015 Supplemental Operating & Financial Data Re-leased to New Tenant Q2 2015 Re-leased to Same Tenant Without Vacancy After a Period of Vacancy Re-leasing Totals Prior Cash Rents $ 11,532 $ 108 $ 510 $ 12,150 New Cash Rents* $ 12,343 $ 90 $ 406 $ 12,839 Re-leasing spread 107.0 % 83.3 % 79.6 % 105.7 % Number of Leases 73 1 7 81 Average Months Vacant 0.0 0.0 6.2 0.5 Tenant Improvements $ - $ - $ - $ - *Percentage of Total Annualized Portfolio Rental Revenue: 1.3 % Re-leased to New Tenant Q3 2015 Re-leased to Same Tenant Without Vacancy After a Period of Vacancy Re-leasing Totals Prior Cash Rents $ 7,076 $ 470 $ 815 $ 8,361 New Cash Rents* $ 7,260 $ 339 $ 641 $ 8,240 Re-leasing spread 102.6 % 72.1 % 78.7 % 98.6 % Number of Leases 86 3 8 97 Average Months Vacant 0.0 0.0 13.3 1.1 Tenant Improvements $ - $ - $ - $ - *Percentage of Total Annualized Portfolio Rental Revenue: 0.8 % Re-leased to New Tenant Year-to-Date 2015 Re-leased to Same Tenant Without Vacancy After a Period of Vacancy Re-leasing Totals Prior Cash Rents $ 29,154 $ 898 $ 2,236 $ 32,288 New Cash Rents* $ 30,438 $ 629 $ 1,692 $ 32,759 Re-leasing spread 104.4 % 70.0 % 75.7 % 101.5 % Number of Leases 189 6 26 221 Average Months Vacant 0.0 0.0 10.2 1.2 Tenant Improvements $ - $ - $ - $ - *Percentage of Total Annualized Portfolio Rental Revenue: 3.3 % 90% 10% Same Tenant New Tenant 89% 11% Same Tenant New Tenant 86% 14% Same Tenant New Tenant

25 * Less than 0.1% (1) This table sets forth the timing of remaining lease term expirations on our 4,380 net leased, single-tenant properties as of September 30, 2015. Excludes 19 multi-tenant properties and 74 vacant properties. The lease expirations for properties under construction are based on the estimated completion date of those properties. (2) Excludes revenue of $3,152 from 19 multi-tenant properties and from 74 vacant properties at September 30, 2015, $343 from sold properties included in continuing operations and $34 from properties owned by Crest. (3) Represents leases to the initial tenant of the property that are expiring for the first time. (4) Represents lease expirations on properties in the portfolio, which have previously been renewed, extended or re-tenanted. Our leased, single-tenant properties have a weighted average remaining lease term of approximately 10.1 years Total Portfolio (1) Initial Expirations (3) Subsequent Expirations (4) Rental Rental Rental Revenue Revenue Revenue for the for the for the Quarter % of Quarter % of Quarter % of Number of Approx. Ended Total Number Ended Total Number Ended Total Leases Expiring Leasable Sep 30, Rental of Leases Sep 30, Rental of Leases Sep 30, Rental Year Retail Non-Retail Sq. Feet 2015 (2) Revenue Expiring 2015 Revenue Expiring 2015 Revenue 2015 47 - 279,400 $ 1,111 0.5 % 30 $ 780 0.3 % 17 $ 331 0.2 % 2016 136 - 841,100 3,238 1.3 58 1,386 0.6 78 1,852 0.7 2017 201 1 2,125,000 6,462 2.6 54 3,024 1.2 148 3,438 1.4 2018 298 9 3,901,200 12,359 5.1 170 8,742 3.6 137 3,617 1.5 2019 245 10 3,865,400 13,300 5.4 173 11,109 4.5 82 2,191 0.9 2020 181 12 4,162,400 11,784 4.8 112 9,646 4.0 81 2,138 0.8 2021 239 13 5,492,300 15,021 6.2 181 13,403 5.5 71 1,618 0.7 2022 230 17 7,436,400 15,068 6.2 220 14,314 5.9 27 754 0.3 2023 352 20 6,412,800 21,683 8.9 359 21,015 8.6 13 668 0.3 2024 189 11 3,748,300 11,383 4.7 195 11,220 4.6 5 163 0.1 2025 320 15 5,396,900 18,856 7.7 311 18,146 7.4 24 710 0.3 2026 241 3 3,091,600 11,382 4.7 234 11,048 4.5 10 334 0.2 2027 490 3 5,430,900 19,173 7.9 469 18,346 7.6 24 827 0.3 2028 287 5 5,983,100 15,990 6.6 287 15,876 6.5 5 114 * 2029 373 4 6,272,900 19,296 7.9 371 19,119 7.8 6 177 0.1 2030 - 2043 394 34 8,724,000 47,943 19.5 422 47,796 19.6 6 147 * Totals 4,223 157 73,163,700 $ 244,049 100.0 % 3,646 $ 224,970 92.2 % 734 $ 19,079 7.8 % EXPIRATIONS (dollars in thousands) Q3 2015 Supplemental Operating & Financial Data

EARNINGS GUIDANCE We estimate FFO per share for 2015 of $2.72 to $2.77. We estimate AFFO per share for 2015 of $2.72 to $2.74, an increase of 5.8% to 6.6% over 2014 AFFO per share of $2.57. Key components of the company’s 2015 and 2016 earnings guidance are summarized below. 2015 Guidance 2016 Guidance Net income per share $1.04 to $1.09 $1.16 to $1.23 Real estate depreciation per share $1.76 $1.74 Gains on sales of properties per share $(0.08) $(0.08) FFO per share $2.72 to $2.77 $2.82 to $2.89 AFFO per share $2.72 to $2.74 $2.85 to $2.90 Same store rent growth Approximately 1.3% Approximately 1.3% Occupancy 98%+ 98%+ G&A expenses (% of revenues (1)) Approximately 5.0% Approximately 5.0% Property expenses (non-reimbursable) (% of revenues (1)) Approximately 1.5% Approximately 1.5% Acquisition volume ~$1.25 billion Approximately $750 million Disposition volume ~$65 million $50 to $75 million (1) Excludes tenant reimbursement revenue. 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 press release. 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. Q3 2015 Supplemental Operating & Financial Data 26

27 Q3 2015 Supplemental Operating & Financial Data Equity Research Baird RJ Milligan rjmilligan@rwbaird.com (813) 273-8252 Bank of America Merrill Lynch Juan Sanabria juan.sanabria@baml.com (646) 855-1589 Joshua Dennerlein Joshua.dennerlein@baml.com (646) 855-1681 Capital One Chris Lucas christopher.lucas@capitalone.com (571) 633-8151 Vineet Khanna vineet.khanna@capitalone.com (571) 835-7013 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 Cowen Michael Gorman michael.gorman@cowen.com (646) 562-1320 D.A. Davidson Barry Oxford boxford@dadco.com (212) 240-9871 Steve Shaw sshaw@dadco.com (212) 576-1845 Edward Jones Roy Shepard royal.shepard@edwardjones.com (314) 515-3510 Goldman Sachs Andrew Rosivach andrew.rosivach@gs.com (212) 902-2796 Brad Burke brad.burke@gs.com (917) 343-2082 Caitlin Burrows caitlin.burrows@gs.com (212) 902-4736 Green Street Cedrik Lachance clachance@greenstreetadvisors.com (949) 640-8780 Tyler Grant tgrant@greenstreetadvisors.com (949) 640-8780 J.P. Morgan Anthony Paolone anthony.paolone@jpmorgan.com (212) 622-6682 Gene Nusinzon gene.nusinzon@jpmorgan.com (212) 622-1041 Ladenburg Thalmann Daniel Donlan ddonlan@ladenburg.com (212) 409-2056 John Massocca jmassocca@ladenburg.com (212) 409-2543 Morgan Stanley Vikram Malhotra vikram.malhotra@morganstanley.com (212) 761-7064 Landon Park landon.park@morganstanley.com (212) 761-6368 Oppenheimer Steve Manaker stephen.manaker@opco.com (212) 667-5950 Amit Nihalani amit.nihalani@opco.com (212) 667-8204 Raymond James Collin Mings collin.mings@raymondjames.com (727) 567-2585 Paul Puryear paul.puryear@raymondjames.com (727) 567-2253 Daniel Mannix daniel.mannix@raymondjames.com (727) 567-2619 RBC Capital Markets Rich Moore rich.moore@rbccm.com (440) 715-2646 James Bambrick james.bambrick@rbccm.com (440) 715-2654 Stifel Simon Yarmak yarmaks@stifel.com (443) 224-1345 Joseph van Bemmelen vanbemmelenj@stifel.com (443) 224-1264 UBS Ross Nussbaum ross.nussbaum@ubs.com (212) 713-2484 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 Realty Income Corporation is covered by the analysts at the firms listed below. 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