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Net Lease Office Properties
Supplemental Financial Information
Second 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
CPIConsumer price index

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 – Second Quarter 2025
Table of Contents
Appendix


Net Lease Office Properties
Second Quarter 2025
Summary Metrics
As of or for the three months ended June 30, 2025.
Financial Results
Revenues, including reimbursable costs – consolidated ($000s)$29,174 
Net loss attributable to NLOP ($000s)(81,540)
Net loss attributable to NLOP per diluted share(5.50)
Normalized pro rata cash NOI ($000s) (a) (b)
20,375 
AFFO attributable to NLOP ($000s) (a) (b)
16,909 
AFFO attributable to NLOP per diluted share (a) (b)
1.14 
Balance Sheet and Capitalization
Equity market capitalization – based on quarter end share price of $32.55 ($000s)$482,198 
Total consolidated debt ($000s)117,170 
Gross assets ($000s) (c)
811,531 
Total consolidated debt to gross assets14.4 %
Advisory Fees and Reimbursements Paid to WPC
Asset management fees (d)
$1,209 
Administrative reimbursements (e)
1,000 
Portfolio (Pro Rata) (b)
ABR (in thousands) (f)
$87,987 
Number of properties36 
Number of tenants39 
Occupancy88.1 %
Weighted-average lease term (in years)4.0 
Leasable square footage (in thousands) (g)
5,304 
ABR from investment grade tenants as a % of total ABR (h)
44.0 %
Dispositions – number of properties sold1 
Dispositions – gross proceeds (in thousands)$16,300 
Subsequent to Quarter End
Dispositions – number of properties sold1 
Dispositions – gross proceeds (in thousands)$25,180 
Special cash distribution – gross distributions (in thousands) (i)
$45,924 
Special cash distribution – per share (i)
3.10 
________
(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 $121.2 million and above-market rent intangible assets of $18.9 million.
(d)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.
(e)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.
(f)See the Disclosures Regarding Non-GAAP and Other Metrics section in the Appendix for a description of ABR.
(g)Excludes 570,999 of operating square footage for a parking garage at a domestic property.
(h)Percentage of portfolio is based on ABR, as of June 30, 2025. Includes tenants or guarantors with investment grade ratings (28.1%) and subsidiaries of non-guarantor parent companies with investment grade ratings (15.9%). 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.
(i)In August 2025, our Board of Trustees declared a special cash distribution of $3.10 per share, totaling approximately $45.9 million. The distribution is payable on September 3, 2025 to shareholders of record as of August 18, 2025.

 Net Lease Office Properties | 1

Net Lease Office Properties
Second Quarter 2025
Components of Net Asset Value
In thousands.
Three Months Ended June 30, 2025
Normalized Pro Rata Cash NOI (a) (b)
$20,375 
Balance Sheet – Selected Information
As of June 30, 2025
Assets
Book value of select real estate (c)
$13,230 
Cash and cash equivalents54,146 
Restricted cash, including escrow2,043 
Other assets, net:
Straight-line rent adjustments$18,808 
Prepaid expenses3,608 
Deferred charges2,494 
Accounts receivable1,349 
Taxes receivable194 
Other3,512 
Total other assets, net$29,965 
Liabilities
Non-recourse mortgages, net (d)
$117,102 
Accounts payable, accrued expenses and other liabilities:
Accounts payable and accrued expenses$11,234 
Prepaid and deferred rents9,133 
Accrued taxes payable999 
Tenant security deposits814 
Operating lease liabilities222 
Other21,047 
Total accounts payable, accrued expenses and other liabilities$43,449 
________
(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)Excludes unamortized premium, net totaling $0.1 million as of June 30, 2025.


 Net Lease Office Properties | 2

Net Lease Office Properties
Second Quarter 2025
Consolidated Statement of Operations
In thousands, except share and per share amounts.
Three Months Ended June 30, 2025
Revenues
Lease revenues$27,508 
Other lease-related income1,666 
29,174 
Operating Expenses
Impairment charges — real estate (a)
81,817 
Depreciation and amortization9,687 
Reimbursable tenant costs6,537 
Property expenses, excluding reimbursable tenant costs2,244 
General and administrative (b)
2,144 
Asset management fees (c)
1,209 
103,638 
Other Income and Expenses
Interest expense (d)
(4,400)
Loss on sale of real estate, net(3,251)
Other gains and (losses)697 
(6,954)
Loss before income taxes(81,418)
Provision for income taxes(100)
Net Loss(81,518)
Net income attributable to noncontrolling interests(22)
Net Loss Attributable to NLOP$(81,540)
Basic and Diluted Loss Per Share$(5.50)
Weighted-Average Shares Outstanding
Basic and Diluted14,814,075 
________
(a)Primarily comprised of an impairment charge of $81.6 million recognized on the KBR, Inc. property in Houston, Texas.
(b)Includes $1.0 million of administrative reimbursements to our Advisor.
(c)Amount is comprised of fees paid to Advisor for strategic management services, including asset management, property disposition support, and various related services.
(d)Includes $2.9 million of non-cash amortization of deferred financing costs.

 Net Lease Office Properties | 3

Net Lease Office Properties
Second Quarter 2025
FFO and AFFO, Consolidated
In thousands, except share and per share amounts.
Three Months Ended June 30, 2025
Net loss attributable to NLOP$(81,540)
Adjustments:
Impairment charges — real estate (a)
81,817 
Depreciation and amortization of real property9,688 
Loss on sale of real estate, net3,251 
Proportionate share of adjustments for noncontrolling interests (b)
(52)
Total adjustments94,704 
FFO (as defined by NAREIT) Attributable to NLOP (c)
13,164 
Adjustments:
Amortization of deferred financing costs2,900 
Straight-line and other leasing and financing adjustments726 
Above- and below-market rent intangible lease amortization, net
316 
Other (gains) and losses(293)
Other amortization and non-cash items109 
Proportionate share of adjustments for noncontrolling interests (b)
(13)
Total adjustments3,745 
AFFO Attributable to NLOP (c)
$16,909 
Summary
FFO (as defined by NAREIT) attributable to NLOP (c)
$13,164 
FFO (as defined by NAREIT) attributable to NLOP per diluted share (c)
$0.89 
AFFO attributable to NLOP (c)
$16,909 
AFFO attributable to NLOP per diluted share (c)
$1.14 
Diluted weighted-average shares outstanding14,814,075 
________
(a)Primarily comprised of an impairment charge of $81.6 million recognized on the KBR, Inc. property in Houston, Texas.
(b)Adjustments disclosed elsewhere in this reconciliation are on a consolidated basis. This adjustment reflects our FFO or AFFO on a pro rata basis.
(c)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
Second Quarter 2025
Consolidated Balance Sheets
In thousands, except share and per share amounts.
June 30, 2025December 31, 2024
Assets
Investments in real estate:
Land, buildings and improvements$581,913 $730,345 
In-place lease intangible assets and other191,977 209,968 
Above-market rent intangible assets29,742 30,512 
Investments in real estate803,632 970,825 
Accumulated depreciation and amortization(282,999)(292,679)
Assets held for sale, net61,868 29,297 
Net investments in real estate582,501 707,443 
Cash and cash equivalents54,146 25,121 
Restricted cash2,043 43,305 
Other assets, net29,965 29,200 
Total assets$668,655 $805,069 
Liabilities and Equity
Debt:
Non-recourse mortgages, net$117,170 $111,259 
NLOP Mezzanine Loan, net— 57,957 
Debt, net117,170 169,216 
Accounts payable, accrued expenses and other liabilities43,449 44,145 
Below-market rent intangible liabilities, net3,985 6,305 
Total liabilities164,604 219,666 
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(315,491)(234,443)
Accumulated other comprehensive loss(40,323)(40,157)
Total shareholders' equity500,014 581,228 
Noncontrolling interests4,037 4,175 
Total equity504,051 585,403 
Total liabilities and equity$668,655 $805,069 

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Net Lease Office Properties
Second Quarter 2025
Capitalization
In thousands, except share and per share amounts. As of June 30, 2025.
Total Enterprise ValueSharesShare PriceMarket Value
Equity
Common equity14,814,075 $32.55 $482,198 
Total Equity Market Capitalization482,198 
Outstanding Balance (a)
Debt
Non-recourse mortgages117,102 
Total Debt117,102 
Less: Cash and cash equivalents(54,146)
Net Debt62,956 
Total Enterprise Value$545,154 
________
(a)Excludes unamortized premium, net totaling $0.1 million as of June 30, 2025.

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Net Lease Office Properties
Second Quarter 2025
Debt Overview
Dollars in thousands. Pro rata. As of June 30, 2025.
Maturity DateFixed / FloatingInterest Rate
Total Outstanding Balance (a)
% of Total
Mortgages (Tenant Listed)
Northrop Grumman Systems Corporation (b)
1/6/2025Fixed9.2 %$25,220 21.5 %
Acosta, Inc.8/6/2025Fixed4.4 %9,768 8.3 %
Siemens AS (c)
12/15/2025Floating4.9 %45,451 38.9 %
Midcontinent Independent Stm Op Inc.3/6/2026Fixed7.0 %8,796 7.5 %
North American Lighting, Inc.5/6/2026Fixed6.3 %5,967 5.1 %
Intuit Inc.7/6/2026Fixed7.0 %21,900 18.7 %
Total Debt Outstanding6.4 %$117,102 100.0 %
________
(a)Excludes unamortized premium, net totaling $0.1 million as of June 30, 2025.
(b)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 commence foreclosure proceedings. 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).
(c)This non-recourse mortgage loan is in a loan-to-value covenant breach as of June 30, 2025, and the lender has the right to commence foreclosure proceedings. As of the date of this report, the lender has not exercised such a right.
 Net Lease Office Properties | 7

Net Lease Office Properties
Second 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, MN 11,650 — Nov-24227,666 
Merative L.P.Hartland, WI 6,750 669 Dec-2481,082 
Charter Communications Operating, LLCBridgeton, MO 7,350 820 Dec-2478,080 
Caremark RX, L.L.C.Chandler, AZ 15,000 1,645 Dec-24183,000 
Cofinity, Inc./ Aetna Life Insurance Co.Southfield, MI 2,500 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 
2Q25
Vacant (formerly McKesson Corporation)The Woodlands, TX16,300 — May-25204,063 
2Q25 Total16,300 — 204,063 
Total Dispositions (d)
$432,573 $41,728 3,381,547 
________
(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.
(d)In July 2025, we disposed of one property, as described in the Summary Metrics section.

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Net Lease Office Properties
Second Quarter 2025
Capital Expenditures and Leasing Activity
Capital Expenditures
In thousands. For the three months ended June 30, 2025.
Tenant Improvements and Leasing Costs
Tenant Improvements (Tenant Listed)
S&ME, Inc.$303 
303 
Leasing Costs (Tenant Listed)
JPMorgan Chase Bank, N.A.572 
572 
Tenant Improvements and Leasing Costs875 
Maintenance Capital Expenditures (Tenant Listed)
JPMorgan Chase Bank, N.A.195 
Pioneer Credit Recovery, Inc.182 
Thermo Fisher Scientific Inc.129 
KBR, Inc.113 
619 
Total: Tenant Improvements and Leasing Costs, and Maintenance Capital Expenditures$1,494 

Leasing Activity
Dollars in thousands. For the three months ended June 30, 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
Midcontinent Independent Stm Op Inc. (c)
Eagan, MN60,463 $1,148 $937 81.6 %$— $605 10.0 years
Total / Weighted Average (d)
60,463 $1,148 $937 81.6 %$— $605 10.0 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)New rent commences in March 2026.
(d)Weighted average refers to the incremental lease term.
 Net Lease Office Properties | 9

Net Lease Office Properties
Second Quarter 2025
Top Ten Tenants
Dollars in thousands. Pro rata. As of June 30, 2025.
Tenant / Lease GuarantorState / CountryABRABR %Square FootageNumber of PropertiesWeighted-Average Lease Term (Years)
KBR, Inc. (a)
Texas$20,156 22.9 %913,713 1 5.0 
JPMorgan Chase Bank, N.A. (b)
Florida, Texas9,766 11.1 %666,869 3 4.3 
Siemens AS (c)
Norway4,842 5.5 %165,905 1 0.5 
Thermo Fisher Scientific Inc.North Carolina4,063 4.6 %219,812 1 8.4 
Omnicom Group, Inc.California3,961 4.5 %120,000 1 3.3 
R.R. Donnelley & Sons CompanyIllinois3,393 3.9 %167,215 1 2.3 
Board of Regents, State of IowaIowa3,254 3.7 %191,700 1 5.3 
Bankers Financial CorporationFlorida3,228 3.7 %111,357 1 0.1 
Google, LLCCalifornia3,018 3.4 %67,681 1 5.3 
Northrop Grumman Systems CorporationMinnesota2,679 3.0 %191,336 1 4.4 
Total (d)
$58,360 66.3 %2,815,588 12 4.2 
________
(a)Excludes 570,999 of operating square footage for a parking garage associated with the KBR, Inc. property in Houston, Texas.
(b)A property in Tampa, Florida, was sold in July 2025, as described in the Summary Metrics section.
(c)ABR amount is subject to fluctuations in foreign currency exchange rates.
(d)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
Second Quarter 2025
Lease Expirations
Dollars in thousands. Pro rata. As of June 30, 2025.
Year of Lease Expiration (a)
Number of Leases ExpiringNumber of Tenants with Leases ExpiringABRABR %
Square Footage (b)
Square Footage %
Remaining 20257 7 $12,142 13.8 %571,125 10.8 %
20266 6 4,940 5.6 %308,997 5.8 %
20277 6 8,879 10.1 %499,571 9.4 %
20287 6 10,551 12.0 %476,036 9.0 %
20294 3 4,597 5.2 %304,613 5.7 %
20307 6 34,720 39.5 %1,772,623 33.4 %
20311 1 631 0.7 %50,600 1.0 %
20322 2 3,721 4.2 %257,008 4.8 %
20331 1 4,063 4.6 %219,812 4.2 %
20351 1 2,050 2.4 %120,147 2.3 %
20361 1 1,148 1.3 %60,463 1.1 %
20371 1 545 0.6 %31,120 0.6 %
Vacant— — — — %631,438 11.9 %
Total (c)
45 $87,987 100.0 %5,303,553 100.0 %

chart-18fb063f5fd34bfeb44a.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
Second Quarter 2025
Property List
Dollars in thousands. Pro rata. As of June 30, 2025.

U.S. Assets:
Encumbered Status
#Primary TenantIndustry
Credit (a)
CityState
Square Footage (b)
ABRRent Increase TypeDate of Next Increase
WALT (c)
In-Place Mortgage Debt
1
KBR, Inc. (d) (e)
Construction & EngineeringNon-IGHoustonTexas1,064,788$21,286Fixed: One-time 7.78%Jan-274.9$—
2JPMorgan Chase Bank, N.A.Diversified BanksIGFort WorthTexas386,154$4,850CPI: 0.0% Floor / 2.0% CapMar-264.7$—
3Thermo Fisher Scientific Inc.PharmaceuticalsIGMorrisvilleNorth Carolina219,812$4,063Fixed: 2.00% annuallyOct-258.4$—
4Omnicom Group, Inc.AdvertisingIGPlaya VistaCalifornia120,000$3,961NoneN/A3.3$—
5R.R. Donnelley & Sons CompanyCommercial PrintingNon-IGWarrenvilleIllinois167,215$3,393Fixed: 2.00% annuallySep-252.3$—
6
Board of Regents, State of Iowa (f)
Government Related ServicesIGCoralvilleIowa191,700$3,254CPI: 0.0% Floor / No CapNov-255.3$—
7
Bankers Financial Corporation (d) (g)
Property & Casualty InsuranceNon-IGSt. PetersburgFlorida167,581$3,228Fixed: 2.50% annuallyN/A0.1$—
8
JPMorgan Chase Bank, N.A. (sold on 7/18/25)
Diversified BanksIGTampaFlorida176,150$3,053CPI: 0.0% Floor / 2.0% CapMar-264.7$—
9Google, LLCInternet Software & ServicesIGVeniceCalifornia67,681$3,018Fixed: 3.00% annuallyNov-255.3$—
10
ICU MEDICAL, INC. (d) (h)
Health Care SuppliesNon-IGPlymouthMinnesota182,250$2,909Fixed: 3.25% annuallyN/A0.3$—
11Northrop Grumman Systems Corporation Aerospace & DefenseIGPlymouthMinnesota191,336$2,679Fixed: 2.00% annuallyDec-254.4$25,220
12Intuit Inc.Internet Software & ServicesIGPlanoTexas166,033$2,577Fixed: One-time $2.00/SF in '21N/A1.0$21,900
13Cohesity Inc.Systems SoftwareNon-IGRosevilleMinnesota136,125$2,255Fixed: 2.00% annuallyDec-257.4$—
14Cenlar FSBRegional BanksNon-IGYardleyPennsylvania105,584$2,105Fixed: 2.50% annuallyJan-263.0$—
15iHeartCommunications, Inc.BroadcastingNon-IGSan AntonioTexas120,147$2,050Fixed: 2.00% annuallyFeb-269.6$—
16
JPMorgan Chase Bank, N.A. (d) (e)
Diversified BanksIGTampaFlorida135,733$1,932CPI: 0.0% Floor / 2.0% CapMar-262.6$—
17Arbella Service Company, Inc.Property & Casualty InsuranceIGQuincyMassachusetts132,160$1,850Fixed: One-time $1.00/SF in '22N/A1.9$—
18ICF Consulting Group, Inc.IT Consulting & Other ServicesNon-IGMartinsvilleVirginia93,333$1,830CPI: 0.0% Floor / No CapJan-261.6$—
19Acosta, Inc.AdvertisingNon-IGJacksonvilleFlorida88,062$1,541Fixed: $0.50/SF annuallyJul-252.1$9,768
20Safelite Group, Inc.Specialized Consumer ServicesNon-IGRio RanchoNew Mexico94,649$1,527Fixed: 2.00% annuallyJan-263.9$—
21Master Lock Company, LLCBuilding ProductsNon-IGOak CreekWisconsin120,883$1,466Fixed: 2.00% annuallyJun-266.9$—
22
Midcontinent Independent Stm Op Inc. (i)
Electric UtilitiesIGEaganMinnesota60,463$1,148Fixed: 2.50% annuallyMar-2710.7$8,796
23North American Lighting, Inc.Auto Parts & EquipmentNon-IGFarmington HillsMichigan75,286$1,084Fixed: 2.50% annuallyN/A0.8$5,967
24Radiate Holdings, L.P.Cable & SatelliteNon-IGSan MarcosTexas47,000$1,074CPI: 0.0% Floor / 3.0% CapAug-253.2$—
25Arcfield Acquisition CorporationAerospace & DefenseNon-IGKing of PrussiaPennsylvania88,578$1,000Fixed: One-time 17.50% in '23N/A0.4$—
26
Pioneer Credit Recovery, Inc. (d)
Diversified Support ServicesNon-IGMoorestownNew Jersey65,567$931Fixed: 2.50% annuallyJan-262.6$—
27APCO Holdings, Inc.Property & Casualty InsuranceNon-IGNorcrossGeorgia50,600$631Fixed: 2.50% annuallyMar-265.7$—
 Net Lease Office Properties | 12

28Undisclosed – multi-national provider of industrial gasesIndustrial GasesIGHoustonTexas49,821$629Fixed: 2.00% annuallyN/A0.5$—
29S&ME, Inc. Environmental & Facilities ServicesNon-IGRaleighNorth Carolina31,120$545Fixed: 2.75% annuallyMar-2611.7$—
30Radiate Holdings, L.P.Cable & SatelliteNon-IGWacoTexas30,699$473CPI: 0.0% Floor / 3.0% CapAug-253.2$—
31Radiate Holdings, L.P.Cable & SatelliteNon-IGCorpus ChristiTexas20,717$355CPI: 0.0% Floor / 3.0% CapAug-253.2$—
32Radiate Holdings, L.P.Cable & SatelliteNon-IGOdessaTexas21,193$236CPI: 0.0% Floor / 3.0% CapAug-253.2$—
33Radiate Holdings, L.P.Cable & SatelliteNon-IGSan MarcosTexas14,400$212CPI: 0.0% Floor / 3.0% CapAug-253.2$—
34
Vacant (formerly BCBSM, Inc.) (g)
N/AN/AEaganMinnesota442,542$0N/AN/A0.0$—
35
Vacant (formerly BCBSM, Inc.) (g)
N/AN/AEaganMinnesota12,286$0N/AN/A0.0$—
U.S. Total (j)
5,137,648$83,1454.2$71,651
European Asset:
Encumbered Status
#Primary TenantIndustry
Credit (a)
CityCountrySquare FootageABRRent Increase TypeDate of Next Increase
WALT (c)
In-Place Mortgage Debt
1Siemens ASIndustrial ConglomeratesIGOsloNorway165,905$4,842CPI: 0.0% Floor / No CapN/A0.5$45,451
European Total (j)
165,905$4,8420.5$45,451
________
_    Indicates an asset that was disposed of in July 2025, as described in the Summary Metrics section.
(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)In July 2025, we entered into a lease amendment with the primary tenant (ICU MEDICAL INC.), taking back a majority of the space for a ten-month lease extension. As of the date of this report, the property is partially leased to two tenants with total ABR of $1.0 million and coterminous lease expirations of May 31, 2026.
(i)In May 2025, we entered into a lease amendment with the tenant to extend the term beyond its current lease expiration of February 2026. ABR during the extension period will reset to $0.9 million, with 2.50% annual rent increases beginning February 2027.
(j)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
Second Quarter 2025



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Net Lease Office Properties
Second Quarter 2025
Normalized Pro Rata Cash NOI
In thousands.
Three Months Ended June 30, 2025
Consolidated Lease Revenues and Other
Total lease revenues – as reported$27,508 
Parking garage revenues (a)
495 
Less: Consolidated Reimbursable and Non-Reimbursable Property Expenses
Reimbursable property expenses – as reported6,537 
Non-reimbursable property expenses – as reported2,244 
19,222 
Adjustments for Pro Rata Ownership of Real Estate Joint Ventures:
Less: Pro rata share of NOI attributable to noncontrolling interests(90)
(90)
19,132 
Adjustments for Pro Rata Non-Cash Items:
Add: Straight-line and other leasing and financing adjustments726 
Add: Above- and below-market rent intangible lease amortization316 
Add: Other non-cash items109 
1,151 
Pro Rata Cash NOI (b)
20,283 
Adjustment to normalize for intra-period dispositions (c)
92 
Normalized Pro Rata Cash NOI (b)
$20,375 
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Net Lease Office Properties
Second Quarter 2025

The following table presents a reconciliation from Net loss attributable to NLOP to Normalized pro rata cash NOI:
Three Months Ended June 30, 2025
Net Loss Attributable to NLOP
Net loss attributable to NLOP – as reported$(81,540)
Adjustments for Consolidated Operating Expenses
Add: Operating expenses – as reported103,638 
Less: Property expenses, excluding reimbursable tenant costs – as reported(2,244)
101,394 
Adjustments for Other Consolidated Revenues and Expenses:
Less: Other lease-related income (excluding parking garage revenues)(1,171)
Less: Reimbursable property expenses – as reported(6,537)
Add: Other income and (expenses) – as reported6,954 
Add: Provision for income taxes – as reported100 
(654)
Other Adjustments:
Add: Straight-line and other leasing and financing adjustments726 
Add: Above- and below-market rent intangible lease amortization316 
Add: Property expenses, excluding reimbursable tenant costs, non-cash109 
Adjustment to normalize for intra-period dispositions (c)
92 
Less: Adjustments for pro rata ownership(68)
1,175 
Normalized Pro Rata Cash NOI (b)
$20,375 
________
(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
Second 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
Second 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 June 30, 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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