Getty Realty Corp.
Moat Score — Getty Realty Corp.
Total Moat Score
9 / 30
| Moat Factor | Score | Analysis |
|---|---|---|
| Intangible Assets Patents, trademarks, brand strength, or regulatory licenses that protect a company's products or services from being freely copied by competitors. | 1 / 5 | Getty owns the Getty brand/trademark it licenses to certain tenants and has seventy years of sector-specific underwriting history in convenience/automotive real estate, but net lease REIT real estate ownership is not patent-protected or otherwise hard to replicate by a well-capitalized competitor. |
| Cost Advantage A durable ability to produce goods or services more cheaply than competitors — through scale, unique access to cheap inputs, location, or process — that lets a company undercut rivals or out-earn them at the same price. | 2 / 5 | The triple-net lease structure across 1,169 of 1,174 properties shifts taxes, maintenance, insurance, and environmental costs to tenants, giving Getty an unusually lean, low-opex operating model (just 31 employees), though this structure is standard across the net lease REIT sector rather than unique to Getty. |
| Pricing Power The ability to raise prices without losing meaningful business, because the product or service is differentiated, mission-critical, or has few good substitutes. | 2 / 5 | Long-term leases with built-in periodic rent escalations provide real, contractually locked-in rent growth, and 2025 acquisitions were made at a solid 7.9% initial cash yield, though Getty is a price-taker in the competitive acquisition market rather than able to dictate terms to well-capitalized sellers or rival bidders. |
| Network Effect The product or service becomes more valuable to every user as more people or organizations use it, making an established leader harder to displace. | 0 / 5 | Owning and leasing real estate to convenience store and automotive tenants carries no network effect — a tenant's value from leasing a Getty property is unaffected by how many other tenants also lease from Getty. |
| Switching Costs The money, time, or operational disruption a customer would face switching to a competitor, which locks in existing customers and supports renewals. | 3 / 5 | Tenants operating convenience stores or car washes on Getty's properties face substantial relocation costs (rebuilding fuel infrastructure, losing an established customer base at a specific site), and 15-20 year initial lease terms with renewal options lock in long-duration occupancy, giving Getty real, multi-decade tenant retention. |
| Efficient Scale A market that can only profitably support a small number of players, so incumbents face limited threat from new entrants even without other defenses. | 1 / 5 | The single-tenant net lease sector explicitly supports many well-capitalized competitors — other net lease REITs, institutional funds, and petroleum companies — all bidding for the same deal flow, so Getty's scale does not meaningfully deter continued competitive acquisition activity. |