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Net Lease Office Properties
Supplemental Financial Information
First Quarter 2025



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Terms and Definitions

As used in this supplemental package, the terms “Net Lease Office Properties,” “NLOP,” “we,” “us” and “our” include Net Lease Office Properties, its consolidated subsidiaries and its predecessors, unless otherwise indicated. Other terms and definitions are as follows:
REITReal estate investment trust
WPCW. P. Carey Inc., a net-lease REIT (also our “Advisor”)
U.S.United States
ABRContractual minimum annualized base rent
NAREITNational Association of Real Estate Investment Trusts (an industry trade group)
WALTWeighted-average lease term
NLOP Mortgage Loan
Our $335.0 million senior secured mortgage loan, which was fully repaid during the year ended December 31, 2024
NLOP Mezzanine Loan
Our $120.0 million mezzanine loan facility, which was fully repaid in April 2025
NLOP Financing ArrangementsThe NLOP Mortgage Loan and NLOP Mezzanine Loan

Important Note Regarding Non-GAAP Financial Measures

This supplemental package includes certain “non-GAAP” supplemental measures that are not defined by generally accepted accounting principles (“GAAP”), including funds from operations (“FFO”); adjusted funds from operations (“AFFO”); pro rata cash net operating income (“pro rata cash NOI”); and normalized pro rata cash NOI. FFO is a non-GAAP measure defined by NAREIT. Reconciliations of these non-GAAP financial measures to their most directly comparable GAAP measures are provided within this supplemental package. In addition, refer to the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of these non-GAAP financial measures and other metrics.

Amounts may not sum to totals due to rounding.


Net Lease Office Properties
Supplemental Information – First Quarter 2025
Table of Contents
Appendix


Net Lease Office Properties
First Quarter 2025
Summary Metrics
As of or for the three months ended March 31, 2025.
Financial Results
Revenues, including reimbursable costs – consolidated ($000s)$29,213 
Net income attributable to NLOP ($000s)492 
Net income attributable to NLOP per diluted share0.03 
Normalized pro rata cash NOI ($000s) (a) (b)
19,842 
AFFO attributable to NLOP ($000s) (a) (b)
14,965 
AFFO attributable to NLOP per diluted share (a) (b)
1.01 
Balance Sheet and Capitalization
Equity market capitalization – based on quarter end share price of $31.38 ($000s)$464,866 
Total consolidated debt ($000s)148,498 
Gross assets ($000s) (c)
936,444 
Total consolidated debt to gross assets15.9 %
NLOP Mezzanine Loan principal outstanding ($000s) (d)
$35,614 
Advisory Fees and Reimbursements Paid to WPC
Asset management fees (e)
$1,260 
Administrative reimbursements (f)
1,000 
Portfolio (Pro Rata) (b)
ABR (in thousands) (g)
$87,730 
Number of properties37 
Number of tenants41 
Occupancy84.9 %
Weighted-average lease term (in years)4.1 
Leasable square footage (in thousands) (h)
5,508 
ABR from investment grade tenants as a % of total ABR (i)
43.9 %
Dispositions – number of properties sold2 
Dispositions – gross proceeds (in thousands)$9,775 
Subsequent to Quarter End
NLOP Mezzanine Loan principal outstanding as of the date of this report ($000s) (j)
$— 
________
(a)Normalized pro rata cash NOI and AFFO are non-GAAP measures. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of our non-GAAP measures and for details on how certain non-GAAP measures are calculated.
(b)Presented on a pro rata basis. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of pro rata.
(c)Gross assets represent consolidated total assets before accumulated depreciation on buildings and improvements. Gross assets are net of accumulated amortization on in-place lease intangible assets of $127.1 million and above-market rent intangible assets of $18.4 million.
(d)Original principal outstanding for the NLOP Mezzanine Loan was $120.0 million. NLOP Mezzanine Loan principal outstanding (as a % of original principal) was 29.7% as of March 31, 2025. In April 2025, we fully repaid the NLOP Mezzanine Loan using excess cash from operations and other sources, including loan reserves.
(e)Pursuant to certain advisory agreements, our Advisor provides us with strategic management services, including asset management, property disposition support, and various related services. We pay our Advisor an asset management fee that was initially set at an annual amount of $7.5 million and is being proportionately reduced each month following the disposition of each portfolio property.
(f)Pursuant to certain advisory agreements, we will reimburse our Advisor a base administrative amount of approximately $4.0 million annually, for certain administrative services, including day-to-day management services, investor relations, accounting, tax, legal, and other administrative matters.
(g)See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of ABR.
(h)Excludes 570,999 of operating square footage for a parking garage at a domestic property.
(i)Percentage of portfolio is based on ABR, as of March 31, 2025. Includes tenants or guarantors with investment grade ratings (23.6%) and subsidiaries of non-guarantor parent companies with investment grade ratings (20.3%). Investment grade refers to an entity with a rating of BBB- or higher from Standard & Poor’s Ratings Services or Baa3 or higher from Moody’s Investors Service. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of ABR.
(j)In April 2025, we fully repaid the NLOP Mezzanine Loan using excess cash from operations and other sources, including loan reserves.

 Net Lease Office Properties | 1

Net Lease Office Properties
First Quarter 2025
Components of Net Asset Value
In thousands.
Three Months Ended March 31, 2025
Normalized Pro Rata Cash NOI (a) (b)
$19,842 
Balance Sheet – Selected Information
As of March 31, 2025
Assets
Book value of select real estate (c)
$29,493 
Cash and cash equivalents28,153 
Restricted cash, including escrow (d)
37,597 
Other assets, net:
Straight-line rent adjustments$19,603 
Deferred charges2,303 
Accounts receivable1,303 
Prepaid expenses1,061 
Taxes receivable285 
Other1,459 
Total other assets, net$26,014 
Liabilities
Non-recourse mortgages, net (e)
$114,668 
NLOP Mezzanine Loan (f) (g)
35,614 
Accounts payable, accrued expenses and other liabilities:
Accounts payable and accrued expenses$11,234 
Prepaid and deferred rents9,944 
Accrued taxes payable2,438 
Tenant security deposits814 
Operating lease liabilities243 
Other18,903 
Total accounts payable, accrued expenses and other liabilities$43,576 
________
(a)Normalized pro rata cash NOI is a non-GAAP measure. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of our non-GAAP measures and for details on how they are calculated.
(b)Presented on a pro rata basis. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of pro rata.
(c)Represents the value of real estate not appropriately captured in normalized pro rata cash NOI, such as vacant assets.
(d)Comprised of approximately $35.8 million related to certain reserve requirements for debt service, capital improvements, and real estate taxes pursuant to the NLOP Financing Arrangements. Approximately $1.8 million is related to certain reserve requirements for other loan agreements.
(e)Excludes unamortized premium, net totaling $0.7 million as of March 31, 2025.
(f)Excludes unamortized discount, net totaling $1.7 million and unamortized deferred financing costs totaling $0.7 million as of March 31, 2025.
(g)In April 2025, we fully repaid the NLOP Mezzanine Loan using excess cash from operations and other sources, including loan reserves.

 Net Lease Office Properties | 2

Net Lease Office Properties
First Quarter 2025
Consolidated Statement of Operations
In thousands, except share and per share amounts.
Three Months Ended March 31, 2025
Revenues
Lease revenues$27,392 
Other lease-related income1,821 
29,213 
Operating Expenses
Depreciation and amortization9,725 
Reimbursable tenant costs6,140 
Property expenses, excluding reimbursable tenant costs2,455 
General and administrative (a)
1,807 
Asset management fees (b)
1,260 
Impairment charges — real estate920 
22,307 
Other Income and Expenses
Interest expense (c)
(5,746)
Loss on sale of real estate, net(1,008)
Other gains and (losses)443 
(6,311)
Income before income taxes595 
Provision for income taxes(82)
Net Income513 
Net income attributable to noncontrolling interests(21)
Net Income Attributable to NLOP$492 
Basic and Diluted Earnings Per Share$0.03 
Weighted-Average Shares Outstanding
Basic and Diluted14,814,075 
________
(a)Includes $1.0 million of administrative reimbursements to our Advisor.
(b)Amount is comprised of fees paid to Advisor for strategic management services, including asset management, property disposition support, and various related services.
(c)Includes $2.1 million of non-cash amortization of deferred financing costs.

 Net Lease Office Properties | 3

Net Lease Office Properties
First Quarter 2025
FFO and AFFO, Consolidated
In thousands, except share and per share amounts.
Three Months Ended March 31, 2025
Net income attributable to NLOP$492 
Adjustments:
Depreciation and amortization of real property9,725 
Loss on sale of real estate, net1,008 
Impairment charges — real estate920 
Proportionate share of adjustments for noncontrolling interests (a)
(52)
Total adjustments11,601 
FFO (as defined by NAREIT) Attributable to NLOP (b)
12,093 
Adjustments:
Amortization of deferred financing costs2,060 
Straight-line and other leasing and financing adjustments514 
Above- and below-market rent intangible lease amortization, net
250 
Other amortization and non-cash items108 
Other (gains) and losses(47)
Proportionate share of adjustments for noncontrolling interests (a)
(13)
Total adjustments2,872 
AFFO Attributable to NLOP (b)
$14,965 
Summary
FFO (as defined by NAREIT) attributable to NLOP (b)
$12,093 
FFO (as defined by NAREIT) attributable to NLOP per diluted share (b)
$0.82 
AFFO attributable to NLOP (b)
$14,965 
AFFO attributable to NLOP per diluted share (b)
$1.01 
Diluted weighted-average shares outstanding14,814,075 
________
(a)Adjustments disclosed elsewhere in this reconciliation are on a consolidated basis. This adjustment reflects our FFO or AFFO on a pro rata basis.
(b)FFO and AFFO are non-GAAP measures. See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of our non-GAAP measures.
 Net Lease Office Properties | 4

Net Lease Office Properties
First Quarter 2025
Consolidated Balance Sheets
In thousands, except share and per share amounts.
March 31, 2025December 31, 2024
Assets
Investments in real estate:
Land, buildings and improvements$721,448 $730,345 
In-place lease intangible assets and other208,933 209,968 
Above-market rent intangible assets30,508 30,512 
Investments in real estate960,889 970,825 
Accumulated depreciation and amortization(297,845)(292,679)
Assets held for sale, net29,297 29,297 
Net investments in real estate692,341 707,443 
Restricted cash37,597 43,305 
Cash and cash equivalents28,153 25,121 
Other assets, net26,014 29,200 
Total assets$784,105 $805,069 
Liabilities and Equity
Debt:
Non-recourse mortgages, net$115,327 $111,259 
NLOP Mezzanine Loan, net33,171 57,957 
Debt, net148,498 169,216 
Accounts payable, accrued expenses and other liabilities43,576 44,145 
Below-market rent intangible liabilities, net5,802 6,305 
Total liabilities197,876 219,666 
Preferred stock, $0.001 par value, 5,000,000 shares authorized; none issued
— — 
Common stock, $0.001 par value, 45,000,000 shares authorized; 14,814,075 and 14,814,075 shares, respectively, issued and outstanding
15 15 
Additional paid-in capital855,813 855,813 
Distributions in excess of accumulated earnings(233,951)(234,443)
Accumulated other comprehensive loss(39,754)(40,157)
Total shareholders' equity582,123 581,228 
Noncontrolling interests4,106 4,175 
Total equity586,229 585,403 
Total liabilities and equity$784,105 $805,069 

 Net Lease Office Properties | 5

Net Lease Office Properties
First Quarter 2025
Capitalization
In thousands, except share and per share amounts. As of March 31, 2025.
Total Enterprise ValueSharesShare PriceMarket Value
Equity
Common equity14,814,075 $31.38 $464,866 
Total Equity Market Capitalization464,866 
Outstanding Balance (a)
Debt
Non-recourse mortgages114,668 
NLOP Mezzanine Loan (b)
35,614 
Total Debt150,282 
Less: Cash and cash equivalents(28,153)
Net Debt122,129 
Total Enterprise Value$586,995 
________
(a)Excludes unamortized discount, net totaling $1.0 million and unamortized deferred financing costs totaling $0.7 million as of March 31, 2025.
(b)In April 2025, we fully repaid the NLOP Mezzanine Loan using excess cash from operations and other sources, including loan reserves.
 Net Lease Office Properties | 6

Net Lease Office Properties
First Quarter 2025
Debt Overview
Dollars in thousands. Pro rata. As of March 31, 2025.
Maturity DateFixed / FloatingInterest Rate
Total Outstanding Balance (a)
% of Total
NLOP Mezzanine Loan
NLOP Mezzanine Loan (b)
11/9/2028Fixed14.5 %$35,614 23.7 %
Other Mortgages (Tenant Listed)
Northrop Grumman Systems Corporation (c)
1/6/2025Fixed9.2 %25,220 16.8 %
Midcontinent Independent Stm Op Inc (d)
5/6/2025Fixed4.0 %8,882 5.9 %
Intuit Inc. (e)
5/6/2025Fixed4.0 %21,900 14.6 %
Acosta, Inc.8/6/2025Fixed4.4 %9,818 6.5 %
Siemens AS (f)
12/15/2025Floating4.9 %42,839 28.5 %
North American Lighting, Inc.5/6/2026Fixed6.3 %6,009 4.0 %
Total Debt Outstanding7.7 %$150,282 100.0 %
________
(a)Excludes unamortized discount, net totaling $1.0 million and unamortized deferred financing costs totaling $0.7 million as of March 31, 2025.
(b)The NLOP Mezzanine Loan bore interest at an annual rate of 14.5% (10.0% of which was required to be paid current on a monthly basis, and 4.5% of which was a payment-in-kind accrual, on a quarterly basis). In April 2025, we fully repaid the NLOP Mezzanine Loan using excess cash from operations and other sources, including loan reserves.
(c)We are in default of this non-recourse mortgage loan, as the loan was not repaid on the maturity date and the lender has the right to demand payment in full. As of the date of this report, the lender has not exercised such a right. Since we are in default, our interest rate is 9.2% (5.0% default rate plus 4.2% base interest rate).
(d)Subsequent to quarter end, the maturity date of this loan was extended to March 6, 2026, with a 7.0% interest rate during the extension period.
(e)Subsequent to quarter end, the maturity date of this loan was extended to July 6, 2026, with a 7.0% interest rate during the extension period.
(f)This non-recourse mortgage loan is in a loan-to-value covenant breach as of March 31, 2025, and the lender has the right to demand payment in full. As of the date of this report, the lender has not exercised such a right.
 Net Lease Office Properties | 7

Net Lease Office Properties
First Quarter 2025
Dispositions
Dollars in thousands. Pro rata.
Tenant / Lease GuarantorProperty Location(s)Gross Sale Price
ABR (a)
Closing DateGross Square Footage
4Q23
Raytheon CompanyTucson, AZ$24,575 $1,978 Dec-23143,650 
Carhartt, Inc.Dearborn, MI9,806 748 Dec-2358,722 
BCBSM, Inc.Eagan, MN2,500 298 Dec-2329,916 
AVL Michigan Holding CorporationPlymouth, MI6,200 575 Dec-2370,000 
4Q23 Total43,081 3,599 302,288 
1Q24
Undisclosed – UK insurance company (b)
Newport, United Kingdom10,497 1,761 Jan-2480,664 
Total E&P Norge AS (b)
Stavanger, Norway33,072 5,185 Mar-24275,725 
1Q24 Total43,569 6,946 356,389 
2Q24
Exelon Generation Company, LLC (c)
Warrenville, IL19,830 2,935 Apr-24146,745 
Vacant (formerly AVT Technology Solutions LLC) (c)
Tempe, AZ13,160 — Apr-24132,070 
FedEx CorporationCollierville, TN62,500 5,491 Apr-24390,380 
DMG MORI SEIKI U.S.A., INC. Hoffman Estates, IL35,984 2,458 Apr-24104,598 
BCBSM, Inc. (2 properties)Eagan, MN60,700 4,663 Jun-24347,472 
2Q24 Total192,174 15,547 1,121,265 
3Q24
CVS Health CorporationScottsdale, AZ71,500 4,252 Aug-24354,888 
Xileh Holding Inc.Auburn Hills, MI9,000 711 Sep-2455,490 
3Q24 Total80,500 4,963 410,378 
4Q24
E.On UK PLC (b)
Houghton le Spring, United Kingdom3,924 3,819 Oct-24217,339 
Vacant (formerly BCBSM, Inc.)Eagan, MN11,650 — Nov-24227,666 
Merative L.P.Hartland, WI6,750 669 Dec-2481,082 
Charter Communications Operating, LLCBridgeton, MO7,350 820 Dec-2478,080 
Caremark RX, L.L.C.Chandler, AZ15,000 1,645 Dec-24183,000 
Cofinity, Inc./ Aetna Life Insurance Co.Southfield, MI2,500 1,833 Dec-2494,453 
4Q24 Total47,174 8,786 881,620 
1Q25
Emerson Electric Co.Houston, TX4,180 1,108 Mar-2552,144 
Nokia Corporation (b)
Krakow, Poland5,595 779 Mar-2553,400 
1Q25 Total9,775 1,887 105,544 
Total Dispositions$416,273 $41,728 3,177,484 
________
(a)ABR is pro forma for any agreed to and signed future rent restructurings.
(b)Amount reflects the applicable exchange rate on the date of the transaction.
(c)We transferred ownership of these properties and the related non-recourse mortgage loans to the respective mortgage lenders. Gross proceeds from these dispositions represent the mortgage principal outstanding on the respective dates of transfer.

 Net Lease Office Properties | 8

Net Lease Office Properties
First Quarter 2025
Capital Expenditures and Leasing Activity
Capital Expenditures
In thousands. For the three months ended March 31, 2025.
Tenant Improvements and Leasing Costs
Tenant Improvements (Tenant Listed)
S&ME, Inc.$806 
Nokia Corporation468 
1,274 
Leasing Costs— 
Tenant Improvements and Leasing Costs1,274 
Maintenance Capital Expenditures (Tenant Listed)
KBR, Inc.224 
JPMorgan Chase Bank, N.A.211 
Pharmaceutical Product Development, LLC40 
475 
Total: Tenant Improvements and Leasing Costs, and Maintenance Capital Expenditures$1,749 

Leasing Activity
Dollars in thousands. For the three months ended March 31, 2025, except ABR. Pro rata.
Lease Renewals and Extensions (a)
Expected Tenant Improvements ($000s)Leasing Commissions ($000s)
ABR
TenantLocationSquare FeetPrior Lease ($000s)
New Lease ($000s) (b)
Rent RecaptureIncremental Lease Term
JPMorgan Chase Bank, N.A.Tampa, FL104,565 $1,321 $1,864 141.1 %$— $576 3.0 years
Total / Weighted Average (c)
104,565 $1,321 $1,864 141.1 %$— $576 3.0 years
_______
(a)Excludes lease extensions for a period of one year or less.
(b)New lease amounts are based on in-place rents at time of lease commencement and exclude any free rent periods.
(c)Weighted average refers to the incremental lease term.
 Net Lease Office Properties | 9

Net Lease Office Properties
First Quarter 2025
Top Ten Tenants
Dollars in thousands. Pro rata. As of March 31, 2025.
Tenant / Lease GuarantorState / CountryABRABR %Square FootageNumber of PropertiesWeighted-Average Lease Term (Years)
KBR, Inc. (a)
Texas$20,156 23.0 %913,713 1 5.2 
JPMorgan Chase Bank, N.A.Florida, Texas9,766 11.1 %666,869 3 4.5 
Siemens AS (b)
Norway4,633 5.3 %165,905 1 0.7 
Pharmaceutical Product Development, LLCNorth Carolina4,063 4.6 %219,812 1 8.7 
Omnicom Group, Inc.California3,961 4.5 %120,000 1 3.5 
R.R. Donnelley & Sons CompanyIllinois3,393 3.9 %167,215 1 2.5 
Board of Regents, State of IowaIowa3,254 3.7 %191,700 1 5.6 
Bankers Financial CorporationFlorida3,228 3.7 %111,357 1 0.3 
Google, LLCCalifornia3,018 3.4 %67,681 1 5.6 
Northrop Grumman Systems CorporationMinnesota2,679 3.1 %191,336 1 4.7 
Total (c)
$58,151 66.3 %2,815,588 12 4.5 
________
(a)Excludes 570,999 of operating square footage for a parking garage associated with the KBR, Inc. property in Houston, Texas.
(b)ABR amount is subject to fluctuations in foreign currency exchange rates.
(c)See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of pro rata.
 Net Lease Office Properties | 10

Net Lease Office Properties
First Quarter 2025
Lease Expirations
Dollars in thousands. Pro rata. As of March 31, 2025.
Year of Lease Expiration (a)
Number of Leases ExpiringNumber of Tenants with Leases ExpiringABRABR %
Square Footage (b)
Square Footage %
Remaining 202511 10 $11,960 13.6 %573,353 10.4 %
20267 7 6,043 6.9 %369,460 6.7 %
20277 6 8,879 10.1 %499,571 9.1 %
20286 5 10,544 12.0 %476,012 8.6 %
20294 3 4,597 5.3 %304,613 5.5 %
20307 6 34,727 39.6 %1,772,623 32.2 %
20311 1 631 0.7 %50,600 0.9 %
20322 2 3,692 4.2 %257,008 4.7 %
20331 1 4,063 4.6 %219,812 4.0 %
20351 1 2,050 2.4 %120,147 2.2 %
20371 1 544 0.6 %31,120 0.6 %
Vacant— — — — %833,297 15.1 %
Total (c)
48 $87,730 100.0 %5,507,616 100.0 %

chart-e7d8336d386e4dc98ffa.jpg
________
(a)Assumes tenants do not exercise any renewal options or purchase options.
(b)Excludes 570,999 of operating square footage for a garage at a domestic property.
(c)See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of pro rata.
 Net Lease Office Properties | 11

Net Lease Office Properties
First Quarter 2025
Property List
Dollars in thousands. Pro rata. As of March 31, 2025.

U.S. Assets:
Encumbered Status
#Primary TenantIndustry
Credit (a)
CityState
Square Footage (b)
ABRRent Increase TypeDate of Next Increase
WALT (c)
NLOP Mezzanine LoanOther Mortgages
1
KBR, Inc. (d) (e)
Construction & EngineeringNon-IGHoustonTexas1,064,788$21,306Fixed: One-time 7.78%Jan-275.1
✓
$—
2JPMorgan Chase Bank, N.A.Diversified BanksIGFort WorthTexas386,154$4,850CPI: 0.0% Floor / 2.0% CapMar-264.9
✓
$—
3Pharmaceutical Product Development, LLCPharmaceuticalsIGMorrisvilleNorth Carolina219,812$4,063Fixed: 2.00% annuallyOct-258.7
✓
$—
4Omnicom Group, Inc.AdvertisingIGPlaya VistaCalifornia120,000$3,961NoneN/A3.5
✓
$—
5R.R. Donnelley & Sons CompanyCommercial PrintingNon-IGWarrenvilleIllinois167,215$3,393Fixed: 2.00% annuallySep-252.5✓$—
6
Board of Regents, State of Iowa (f)
Government Related ServicesIGCoralvilleIowa191,700$3,254CPI: 0.0% Floor / No CapNov-255.6$—
7
Bankers Financial Corporation (d) (e)
Property & Casualty InsuranceNon-IGSt. PetersburgFlorida167,581$3,228Fixed: 2.50% annuallyN/A0.3✓$—
8JPMorgan Chase Bank, N.A.Diversified BanksIGTampaFlorida176,150$3,053CPI: 0.0% Floor / 2.0% CapMar-264.9✓$—
9Google, LLCInternet Software & ServicesIGVeniceCalifornia67,681$3,018Fixed: 3.00% annuallyNov-255.6$—
10
ICU MEDICAL, INC. (d)
Health Care SuppliesNon-IGPlymouthMinnesota182,250$2,890Fixed: 3.25% annuallyN/A0.5✓$—
11Northrop Grumman Systems Corporation Aerospace & DefenseIGPlymouthMinnesota191,336$2,679Fixed: 2.00% annuallyDec-254.7$25,220
12Intuit Inc.Internet Software & ServicesIGPlanoTexas166,033$2,577Fixed: One-time $2.00/SF in '21N/A1.2$21,900
13Cohesity Inc.Systems SoftwareNon-IGRosevilleMinnesota136,125$2,255Fixed: 2.00% annuallyDec-257.7✓$—
14Cenlar FSBRegional BanksNon-IGYardleyPennsylvania105,584$2,105Fixed: 2.50% annuallyJan-263.2✓$—
15iHeartCommunications, Inc.BroadcastingNon-IGSan AntonioTexas120,147$2,050Fixed: 2.00% annuallyFeb-269.8✓$—
16
JPMorgan Chase Bank, N.A. (d) (e)
Diversified BanksIGTampaFlorida135,733$1,932CPI: 0.0% Floor / 2.0% CapMar-262.9✓$—
17Arbella Service Company, Inc.Property & Casualty InsuranceIGQuincyMassachusetts132,160$1,850Fixed: One-time $1.00/SF in '22N/A2.2✓$—
18ICF Consulting Group, Inc.IT Consulting & Other ServicesNon-IGMartinsvilleVirginia93,333$1,830CPI: 0.0% Floor / No CapJan-261.8✓$—
19Acosta, Inc.AdvertisingNon-IGJacksonvilleFlorida88,062$1,541Fixed: $0.50/SF annuallyJul-252.3$9,818
20Safelite Group, Inc.Specialized Consumer ServicesNon-IGRio RanchoNew Mexico94,649$1,527Fixed: 2.00% annuallyJan-264.2✓$—
21Master Lock Company, LLCBuilding ProductsNon-IGOak CreekWisconsin120,883$1,437Fixed: 2.00% annuallyJun-257.2✓$—
22Midcontinent Independent Stm Op Inc.Electric UtilitiesIGEaganMinnesota60,463$1,148Fixed: $0.25/SF annuallyN/A0.9$8,882
 Net Lease Office Properties | 12

23Radiate Holdings, L.P.Cable & SatelliteNon-IGSan MarcosTexas47,000$1,074CPI: 0.0% Floor / 3.0% CapAug-253.4$—
24North American Lighting, Inc.Auto Parts & EquipmentNon-IGFarmington HillsMichigan75,286$1,058Fixed: 2.50% annuallyApr-251.0$6,009
25Arcfield Acquisition CorporationAerospace & DefenseNon-IGKing of PrussiaPennsylvania88,578$1,000Fixed: One-time 17.50% in '23N/A0.7✓$—
26
Pioneer Credit Recovery, Inc. (d)
Diversified Support ServicesNon-IGMoorestownNew Jersey65,567$937Fixed: 2.50% annuallyJan-262.9✓$—
27APCO Holdings, Inc.Property & Casualty InsuranceNon-IGNorcrossGeorgia50,600$631Fixed: 2.50% annuallyMar-265.9✓$—
28Undisclosed – multi-national provider of industrial gasesIndustrial GasesIGHoustonTexas49,821$629Fixed: 2.00% annuallyN/A0.8✓$—
29S&ME, Inc. Environmental & Facilities ServicesNon-IGRaleighNorth Carolina31,120$545Fixed: 2.75% annuallyMar-2611.9✓$—
30Radiate Holdings, L.P.Cable & SatelliteNon-IGWacoTexas30,699$473CPI: 0.0% Floor / 3.0% CapAug-253.4$—
31Radiate Holdings, L.P.Cable & SatelliteNon-IGCorpus ChristiTexas20,717$355CPI: 0.0% Floor / 3.0% CapAug-253.4$—
32Radiate Holdings, L.P.Cable & SatelliteNon-IGOdessaTexas21,193$236CPI: 0.0% Floor / 3.0% CapAug-253.4$—
33Radiate Holdings, L.P.Cable & SatelliteNon-IGSan MarcosTexas14,400$212CPI: 0.0% Floor / 3.0% CapAug-253.4✓$—
34
Vacant (formerly BCBSM, Inc.) (g)
N/AN/AEaganMinnesota442,542$0N/AN/A0.0✓$—
35
Vacant (formerly McKesson Corporation) (g)
N/AN/AThe WoodlandsTexas204,063$0N/AN/A0.0
✓
$—
36
Vacant (formerly BCBSM, Inc.) (g)
N/AN/AEaganMinnesota12,286$0N/AN/A0.0✓$—
U.S. Total (h)
5,341,711$83,0974.3$71,829
European Asset:
Encumbered Status
#Primary TenantIndustry
Credit (a)
CityCountrySquare FootageABRRent Increase TypeDate of Next Increase
WALT (c)
NLOP Mezzanine LoanOther Mortgages
1Siemens ASIndustrial ConglomeratesIGOsloNorway165,905$4,633CPI: 0.0% Floor / No CapN/A0.7$42,839
European Total (h)
165,905$4,6330.7$42,839
________
✓ Indicates an asset that was in the NLOP Mezzanine Loan collateral pool as of March 31, 2025. In April 2025, we fully repaid the NLOP Mezzanine Loan.
(a)“IG” refers to investment grade rated tenants.
(b)Excludes 570,999 of operating square footage for a parking garage associated with the KBR, Inc. property in Houston, Texas.
(c)Assumes parties do not exercise any renewal or purchase options pursuant to their applicable leases.
(d)Denotes multi-tenant property. Primary tenant generating largest percentage of ABR shown. Industry, credit, rent increase type and next rent increase are for primary tenant.
(e)Denotes leased property that is not 100% occupied.
(f)We own a 90% controlling interest in this consolidated property.
(g)Denotes property that is vacant as of the date of this report.
(h)See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of pro rata.
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Net Lease Office Properties
Appendix
First Quarter 2025



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Net Lease Office Properties
First Quarter 2025
Normalized Pro Rata Cash NOI
In thousands.
Three Months Ended March 31, 2025
Consolidated Lease Revenues and Other
Total lease revenues – as reported$27,392 
Parking garage revenues (a)
461 
Less: Consolidated Reimbursable and Non-Reimbursable Property Expenses
Reimbursable property expenses – as reported6,140 
Non-reimbursable property expenses – as reported2,455 
19,258 
Adjustments for Pro Rata Ownership of Real Estate Joint Ventures:
Less: Pro rata share of NOI attributable to noncontrolling interests(90)
(90)
19,168 
Adjustments for Pro Rata Non-Cash Items:
Add: Straight-line and other leasing and financing adjustments514 
Add: Above- and below-market rent intangible lease amortization250 
Add: Other non-cash items108 
872 
Pro Rata Cash NOI (b)
20,040 
Adjustment to normalize for intra-period dispositions (c)
(198)
Normalized Pro Rata Cash NOI (b)
$19,842 
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Net Lease Office Properties
First Quarter 2025

The following table presents a reconciliation from Net loss attributable to NLOP to Normalized pro rata cash NOI:
Three Months Ended March 31, 2025
Net Income Attributable to NLOP
Net income attributable to NLOP – as reported$492 
Adjustments for Consolidated Operating Expenses
Add: Operating expenses – as reported22,307 
Less: Property expenses, excluding reimbursable tenant costs – as reported(2,455)
19,852 
Adjustments for Other Consolidated Revenues and Expenses:
Less: Other lease-related income (excluding parking garage revenues)(1,360)
Less: Reimbursable property expenses – as reported(6,140)
Add: Other income and (expenses) – as reported6,311 
Add: Provision for income taxes – as reported82 
(1,107)
Other Adjustments:
Add: Straight-line and other leasing and financing adjustments514 
Add: Above- and below-market rent intangible lease amortization250 
Add: Property expenses, excluding reimbursable tenant costs, non-cash108 
Less: Adjustments for pro rata ownership(69)
Adjustment to normalize for intra-period dispositions (c)
(198)
605 
Normalized Pro Rata Cash NOI (b)
$19,842 
________
(a)Amount is comprised of revenues from a parking garage at a domestic property and is included in Other lease-related income on our consolidated statements of operations.
(b)Pro rata cash NOI and normalized pro rata cash NOI are non-GAAP measures. See the Disclosures Regarding Non-GAAP and Other Metrics section that follows for a description of our non-GAAP measures and for details on how pro rata cash NOI and normalized pro rata cash NOI are calculated.
(c)For properties disposed of during the period, the adjustment eliminates our pro rata share of cash NOI for the period.
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Net Lease Office Properties
First Quarter 2025
Disclosures Regarding Non-GAAP and Other Metrics

Non-GAAP Financial Disclosures
FFO and AFFO
Due to certain unique operating characteristics of real estate companies, as discussed below, NAREIT, an industry trade group, has promulgated a non-GAAP measure known as FFO, which we believe to be an appropriate supplemental measure, when used in addition to and in conjunction with results presented in accordance with GAAP, to reflect the operating performance of a REIT. The use of FFO is recommended by the REIT industry as a supplemental non-GAAP measure. FFO is not equivalent to, nor a substitute for, net income or loss as determined under GAAP.
We define FFO, a non-GAAP measure, consistent with the standards established by the White Paper on FFO approved by the Board of Governors of NAREIT, as restated in December 2018. The White Paper defines FFO as net income or loss computed in accordance with GAAP, excluding gains or losses from the sale of certain real estate, impairment charges on real estate or other assets incidental to the company’s main business, gains or losses on changes in control of interests in real estate, and depreciation and amortization from real estate assets; and after adjustments for unconsolidated partnerships and jointly owned investments. Adjustments for unconsolidated partnerships and jointly owned investments are calculated to reflect FFO on the same basis.
We also modify the NAREIT computation of FFO to adjust GAAP net income for certain non-cash charges, such as amortization of real estate-related intangibles, deferred income tax benefits and expenses, straight-line rent and related reserves, other non-cash rent adjustments, non-cash allowance for credit losses on finance leases, stock-based compensation, non-cash environmental accretion expense, amortization of discounts and premiums on debt, and amortization of deferred financing costs. Our assessment of our operations is focused on long-term sustainability and not on such non-cash items, which may cause short-term fluctuations in net income but have no impact on cash flows. Additionally, we exclude non-core income and expenses, such as gains or losses from extinguishment of debt, merger and acquisition expenses, and spin-off expenses. We also exclude realized and unrealized gains/losses on foreign currency exchange rate movements, which are not considered fundamental attributes of our business plan and do not affect our overall long-term operating performance. We refer to our modified definition of FFO as AFFO. We exclude these items from GAAP net income to arrive at AFFO as they are not the primary drivers in our decision-making process and excluding these items provides investors a view of our portfolio performance over time and makes it more comparable to other REITs. AFFO also reflects adjustments for jointly owned investments. We use AFFO as one measure of our operating performance when we formulate corporate goals and evaluate the effectiveness of our strategies.
We believe that AFFO is a useful supplemental measure for investors to consider as we believe it will help them to better assess the sustainability of our operating performance without the potentially distorting impact of these short-term fluctuations. However, there are limits on the usefulness of AFFO to investors. For example, impairment charges and unrealized foreign currency losses that we exclude may become actual realized losses upon the ultimate disposition of the properties in the form of lower cash proceeds or other considerations. We use our FFO and AFFO measures as supplemental financial measures of operating performance. We do not use our FFO and AFFO measures as, nor should they be considered to be, alternatives to net income computed under GAAP, or as alternatives to net cash provided by operating activities computed under GAAP, or as indicators of our ability to fund our cash needs.
Pro Rata Cash NOI
Cash net operating income (“cash NOI”) is a non-GAAP financial measure that is intended to reflect the performance of our properties. We define cash NOI as cash rents from our properties less non-reimbursable property expenses. Cash NOI excludes amortization of intangibles and straight-line rent adjustments that are included in GAAP lease revenues. We present cash NOI on a pro rata basis (“pro rata cash NOI”) to account for our share of income related to noncontrolling interests. We believe that pro rata cash NOI is a helpful measure that both investors and management can use to evaluate the financial performance of our properties and it allows for comparison of our operating performance between periods and to other REITs. Pro rata cash NOI should not be considered as an alternative to net income as an indication of our financial performance or to cash flows as a measure of liquidity or our ability to fund all needs. The method by which we calculate and present cash NOI and/or pro rata cash NOI may not be directly comparable to the way other REITs present such metrics.
Normalized Pro Rata Cash NOI
Normalized pro rata cash NOI is pro rata cash NOI as defined above adjusted primarily to exclude our pro rata share of cash NOI from properties disposed of during the most recent quarter. We believe this measure provides a helpful representation of our net operating income from our in-place leased properties.
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Net Lease Office Properties
First Quarter 2025

Other Metrics
Pro Rata Metrics
This supplemental package contains certain metrics prepared on a pro rata basis. We refer to these metrics as pro rata metrics. We have one investment in which our economic ownership is less than 100%. On a full consolidation basis, we report 100% of the assets, liabilities, revenues and expenses of this investment that is deemed to be under our control, even though our ownership is less than 100%. On a pro rata basis, we generally present our proportionate share, based on our economic ownership of this jointly owned investment, of the assets, liabilities, revenues and expenses of this investment. Multiplying our jointly owned investment’s financial statement line items by our percentage ownership and adding or subtracting those amounts from our totals, as applicable, may not accurately depict the legal and economic implications of holding an ownership interest of less than 100% in our jointly owned investment.
ABR
ABR represents contractual minimum annualized base rent for our properties and reflects exchange rates as of March 31, 2025. If there is a rent abatement, we annualize the first monthly contractual base rent following the free rent period. ABR is presented on a pro rata basis.
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