Is O (Realty Income Corp.) halal?

Q: Is O (Realty Income Corp.) halal?

HARAM: REIT with conventional debt and tenants including alcohol/convenience stores. Realty Income's March 31, 2026 10-Q reports $74,554.704 million of assets and $29,628.939 million of debt, or approximately 39.74% debt/assets. It also discloses $102.240 million of interest income, approximately 6.60% of revenue, above the FTSE 5% income threshold. Tenant exposure, including convenience and other retail categories, requires separate look-through review.

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O

Realty Income Corp.

HARAM — SCREEN DOES NOT PASSstock

Is O Halal?

REIT with conventional debt and tenants including alcohol/convenience stores.

What You Should Know

Realty Income's March 31, 2026 10-Q reports $74,554.704 million of assets and $29,628.939 million of debt, or approximately 39.74% debt/assets. It also discloses $102.240 million of interest income, approximately 6.60% of revenue, above the FTSE 5% income threshold. Tenant exposure, including convenience and other retail categories, requires separate look-through review.

⚠️ Concerns

•Approximately 39.74% conventional debt/assets
•Disclosed interest income is approximately 6.60% of revenue
•Alcohol, tobacco and other tenant exposure

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-14.

USD · millions

Interest-bearing debt / assets

39.74%Above limit

Below 33.333% under FTSE Yasaar

29,628.939 / 74,554.704

Cash + interest-bearing securities / assets

0.50%Within limit

Below 33.333% under FTSE Yasaar

373.543 / 74,554.704

Receivables + cash / assets

2.00%Within limit

Below 50% under FTSE Yasaar

1,490.686 / 74,554.704

Non-compliant income / revenue

6.60%Above limit

No more than 5% under FTSE Yasaar

102.24 / 1,548.727

Methodology	Financial	Overall	What drives it
FTSE Yasaar v4.6, February 2026	Fails	Fails	Debt/assets is approximately 39.74%, above 33.333%, and disclosed interest income is approximately 6.60%, above the 5% threshold.
MSCI Islamic (total-assets series) October 2024 methodology	Fails	Fails	Debt/assets is approximately 39.74%, above the 33.33% threshold; this is an analytical calculation, not an official index classification.
Malaysia SAC financial ratios single 5% activity benchmark adopted November 2025	Fails	Fails	Debt/assets is approximately 39.74%, above the examined 33% threshold; this is not an official SAC classification.
Market-cap denominator methods MSCI M-Series, S&P and Dow Jones methods differ	Not calculated	Fails	Market-cap methods are not calculated; the failed asset-based debt screen independently prevents a pass.

FTSE Yasaar

v4.6, February 2026

Financial: Fails
Overall: Fails

Debt/assets is approximately 39.74%, above 33.333%, and disclosed interest income is approximately 6.60%, above the 5% threshold.

MSCI Islamic (total-assets series)

October 2024 methodology

Financial: Fails
Overall: Fails

Debt/assets is approximately 39.74%, above the 33.33% threshold; this is an analytical calculation, not an official index classification.

Malaysia SAC financial ratios

single 5% activity benchmark adopted November 2025

Financial: Fails
Overall: Fails

Debt/assets is approximately 39.74%, above the examined 33% threshold; this is not an official SAC classification.

Market-cap denominator methods

MSCI M-Series, S&P and Dow Jones methods differ

Financial: Not calculated
Overall: Fails

Market-cap methods are not calculated; the failed asset-based debt screen independently prevents a pass.

Business-activity disclosure

Realty Income is a diversified net-lease REIT. Property leasing and tenant categories require look-through analysis; the financial debt ratio independently fails the examined issuer screens.

Limitation: The filing does not provide a universal, school-independent prohibited-revenue numerator for tenant activities, so this record does not invent one.

Purification

A disclosed interest-income amount is available, but tenant-income look-through and any dividend purification schedule require a defined scholar-approved method.

Inputs, assumptions and primary sources

Amounts are USD millions from Realty Income's March 31, 2026 Form 10-Q.
Debt totals 29,628.939 across revolving/commercial paper, term loans, mortgages and notes; debt/assets is approximately 39.74%.
Cash is 373.543 and accounts receivable is 1,117.143; total revenue is 1,548.727.
The filing discloses 32.130 of interest income on financing receivables and 70.110 of interest/dividend income on loans and preferred equity; these are combined as disclosed non-compliant income of 102.240 (6.60% of revenue).
Tenant revenue is not treated as automatically non-compliant; a separate look-through assessment is required.

U.S. Securities and Exchange Commission: Realty Income Q1 2026 Form 10-Q Realty Income: Realty Income investor relations FTSE Russell: FTSE Yasaar Global Equity Shariah Index Series Ground Rules MSCI: MSCI Islamic Index Series Methodology Securities Commission Malaysia: Shariah-Compliant Securities Screening Methodology

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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