On Day 2 of the aftermath of a major leaseholder setback for gas station property owner Getty Realty Corp., share prices of the Jericho-based company remained depressed amid trade volume more than triple the normal level.
At midday Thursday the real estate investment trust’s price hovered at just over $22. That represents a dropoff of 23 percent, or $6.65, from Tuesday’s close of $28.85.
Getty Realty is reeling from an abrupt change in its relationship with Lukoil — one of its largest tenants -- after the Russian petroleum giant sold off the subsidiary that held more than 75 percent of Getty’s lessees.
Getty Realty owns or leases about 1,100 gas stations and convenience stores, and nine petroleum terminals in 21 states.
Lukoil North America LLC sold Getty Petroleum Marketing Inc., which leases 78 percent of Getty Realty's properties, to Cambridge Petroleum Holding Inc. in a deal announced Wednesday, Bloomberg News reported. Cambridge said it plans to make the payment on or before March 7. But Getty Realty said it can't guarantee Cambridge will meet its rental, environmental or other obligations under the master lease that covers 812 properties.
Most of Lukoil's oil comes from Western Siberia.
The company said its "marketing network encompassed 26 countries, including Russia, the near-abroad and European countries... as well as the USA and includes 199 tank farm facilities with total capacity of 3.13 million cubic meters as well as 6,620 filling stations, including franchises."