•  the tenant’s industry, •  the terms of any existing leases, •  the rent to be paid by the tenant, and •  the potential for, and current extent of, any environmental problems. NNN intends to engage in future investment activities in a manner that is consistent with the maintenance of its status as a  REIT for federal income tax purposes and that will not make NNN an investment company under the Investment Company Act  of 1940, as amended. Equity investments in acquired properties may be subject to existing mortgage financings and other indebtedness or to new  indebtedness which may be incurred in connection with acquiring or refinancing these investments. While NNN’s primary business objectives emphasize retail properties, NNN may invest in (i) a wide variety of property and  tenant types, (ii) leases, mortgages, commercial mortgage residual interests and other types of real estate interests, (iii) loans  secured by personal property, (iv) loans secured by partnerships or membership interests in partnerships or limited liability  companies, respectively, or (v) securities of other REITs, or other issuers, including for the purpose of exercising control over  such entities. For example, NNN from time to time has made investments in mortgage loans, has held mortgages on properties  that NNN has sold and has made other loans related to properties acquired or sold. NNN’s financing objective is to manage its capital structure effectively in order to provide sufficient capital to execute its  operating strategies while servicing its debt requirements and providing value to its stockholders. NNN generally utilizes debt  and equity security offerings, bank borrowings, the sale of properties, and to a lesser extent, internally generated funds to meet  its capital needs. NNN typically funds its short-term liquidity requirements including investments in additional retail properties with cash from  its $500,000,000 unsecured revolving credit facility (“Credit Facility”). As of December 31, 2013, $46,400,000 was  outstanding and $453,600,000 was available for future borrowings under the Credit Facility. As of December 31, 2013, NNN’s ratio of total debt to total gross assets (before accumulated depreciation) was approximately  32 percent and the ratio of secured indebtedness to total gross assets was less than one-percent. The ratio of total debt to total  market capitalization was approximately 28 percent. Certain financial agreements to which NNN is a party contain covenants  that limit NNN’s ability to incur debt under certain circumstances. NNN anticipates it will be able to obtain additional financing for short-term and long-term liquidity requirements as further  described in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations – Liquidity.”  However, there can be no assurance that additional financing or capital will be available, or that the terms will be acceptable or  advantageous to NNN. The organizational documents of NNN do not limit the absolute amount or percentage of indebtedness that NNN may incur.  Additionally, NNN may change its financing strategy at any time. NNN has not engaged in trading, underwriting or agency  distribution or sale of securities of other issuers and does not intend to do so. Any of NNN’s strategies or policies described above may be changed at any time by NNN without notice to or a vote of NNN’s  stockholders. As of December 31, 2013, NNN owned 1,860 Properties with an aggregate gross leasable area of 20,402,000 square feet,  located in 47 states. Approximately 98 percent of total Properties in the Property Portfolio were leased as of December 31,  2013. Investments in Real Estate Mortgages, Commercial Mortgage Residual Interests, and Securities of or Interests in Persons  Engaged in Real Estate Activities Financing Strategy Strategies and Policy Changes Property Portfolio  3