NETSTREIT Corp. 10-K

Item 2. Properties During the year ended December 31, 2025, we acquired 140 single-tenant retail net lease properties with an aggregate purchase price of $603.0 million. As of December 31, 2025, we owned or had investments in 761 properties spanning 45 states, with 129 different tenants represented across 28 retail sectors. This includes three property developments where rent has not yet commenced. As of December 31, 2025, our portfolio consisted of 13.7 million square feet and was 99.9% occupied (excluding three properties under development). As of December 31, 2025, our portfolio generated ABR of $198.3 million. As of December 31, 2025, our portfolio consisted of approximately 44% and 14% of investment grade tenants and investment grade profile tenants, respectively, by ABR, and had a WALT of 10.1 years (exclusive of mortgage loans receivable). As of December 31, 2025, none of our tenants represented more than 5.0% of our portfolio by ABR, and our top 10 largest tenants represented, in aggregate, 34.5% of our ABR. Six of our top 10 tenants are publicly traded companies, or are subsidiaries of publicly traded companies, that have investment grade credit ratings, in addition to Hobby Lobby Stores, Inc., an investment grade profile tenant. 33 Table of Contents Tenant Diversification As of December 31, 2025, our 761 investments were operated by 129 different tenants, each representing a distinct brand or concept, with no one tenant representing more than 5.0% of our portfolio by ABR. The following table details information about our tenants as of December 31, 2025: Tenant (1) Number of Investments (2) % of Annualized Base Rent CVS Health Corporation 31 4.8 % Dollar General Corporation 78 4.7 % Koninklijke Ahold Delhaize N.V. (Food Lion / Stop & Shop) 11 4.3 % Home Depot U.S.A, Inc. 5 3.8 % Hobby Lobby Stores, Inc. 17 3.6 % Tractor Supply Company 25 3.5 % Walgreen Co. 17 2.5 % Family Dollar Stores, Inc. 43 2.5 % Wal-Mart Stores, Inc. 7 2.5 % United Lone Enterprises LLC 13 2.3 % Speedway, LLC 50 2.3 % Life Time, Inc. 2 2.1 % Academy, Ltd. 5 2.1 % Best Buy Stores, L.P. 7 2.0 % Subtotal of Tenants with ABR greater than 2.0% 311 43.0 % Other 446 57.0 % Total / Weighted Average 757 100.0 % (1) Represents tenant or guarantor. (2) Excludes one vacant property and three properties under development. 34 Table of Contents Tenant Industry Diversification The majority of our portfolio is comprised of properties leased to tenants operating in defensive retail industries, with 87.1% of our ABR as of December 31, 2025 coming from necessity, service-oriented, and/or discount industries. Necessity-based industries are those that are considered essential by consumers and include sectors such as grocers, home improvement, drug stores, general retail, and auto parts. Service-oriented industries consist of retailers that provide services rather than goods, including, for example, convenience stores, health and fitness, quick-service restaurants, and tire and auto services. Discount retailers offer a low price point and consist of off-price and dollar stores. The breakdown of our necessity-based retail, service-oriented, discount-focused, and other, non-defensive retail industries by sector and by percentage of ABR as of December 31, 2025 is set forth below: Tenant Industry and Sector Number of Investments (1) % of Total ABR (2) % of Total Gross Leasable Area (2) (3) Necessity-Based Retail Grocery 50 14.0 % 18.0 % Home Improvement 31 8.8 % 10.9 % Drug Stores & Pharmacies (4) 48 7.3 % 4.6 % Farm Supplies 28 4.6 % 5.6 % Medical & Dental 32 4.5 % 2.2 % General Retail 7 2.5 % 7.5 % Auto Parts 53 2.3 % 3.1 % Banking 2 0.2 % 0.1 % Wholesale Warehouse Club 1 0.2 % 0.8 % Pet Supplies 1 0.1 % 0.1 % Total Necessity-Based Retail 253 44.5 % 52.9 % Service-Oriented Industry Convenience Stores 134 13.7 % 3.2 % Health and Fitness 10 5.4 % 3.8 % Quick Service Restaurants 65 5.2 % 0.9 % Automotive Service 56 4.4 % 2.6 % Casual Dining 6 0.5 % 0.3 % Equipment Rental and Leasing 6 0.4 % 0.4 % Total Service-Oriented Industry 277 29.6 % 11.1 % Discount-Focused Industry Dollar Stores 144 8.6 % 11.4 % Discount Retail 33 4.4 % 8.5 % Total Discount-Focused Industry 177 13.1 % 19.9 % Defensive Retail Industries 707 87.1 % 83.9 % Other, Non-Defensive Industries Sporting Goods 10 4.8 % 4.7 % Arts & Crafts 16 3.5 % 6.4 % Consumer Electronics 7 2.0 % 2.5 % Apparel 6 0.8 % 1.4 % Specialty 2 0.5 % 0.5 % Furniture Stores 2 0.5 % 0.3 % Telecommunications 4 0.4 % 0.2 % Beauty Supplies 1 0.1 % 0.1 % Gift, Novelty, and Souvenir Shops 1 0.1 % 0.1 % Home Furnishings 1 0.1 % 0.0 % Total Other, Non-Defensive 50 12.9 % 16.1 % Total, All Industries 757 100.0 % 100.0 % (1) Excludes one vacant property and three properties under development. (2) Certain figures in this table may not foot due to rounding. (3) Square feet. (4) The Drug Stores & Pharmacies industry has one property that resides in NETSTREIT Management TRS, LLC (“NETSTREIT TRS”), representing approximately 0.2% of ABR. 35 Table of Contents Geographic Diversification The following table presents ABR by state for our portfolio as of December 31, 2025: Tenant State Number of Investments (1) % of Total ABR (2) % of Total Gross Leasable Area (2) (3) Texas 102 17.3 % 10.4 % Illinois 43 8.3 % 7.5 % New York 40 6.9 % 7.4 % Georgia 36 5.0 % 7.3 % Wisconsin 26 4.9 % 6.7 % North Carolina 69 4.0 % 3.9 % Alabama 50 3.9 % 3.7 % Indiana 30 3.9 % 3.5 % Florida 24 3.9 % 2.7 % Ohio 37 3.8 % 5.2 % Pennsylvania 30 3.5 % 3.6 % Virginia 16 3.4 % 2.2 % Louisiana 18 3.1 % 3.9 % California 12 2.6 % 2.0 % Mississippi 19 2.1 % 3.8 % Michigan 16 2.0 % 3.0 % South Carolina 17 1.8 % 2.7 % Arizona 7 1.5 % 1.1 % Oklahoma 14 1.4 % 1.4 % Missouri 13 1.3 % 0.5 % Other (4) 138 15.5 % 17.8 % Total 757 100.0 % 100.0 % (1) Excludes one vacant property and three properties under development. (2) Certain figures in this table may not foot due to rounding. (3) Square feet. (4) Includes 25 states. 36 Table of Contents Lease Terms and Expirations Our leases typically have initial lease terms of approximately 10 years and contain two or more options for the tenant to extend the lease term, most often for additional five-year periods. As of December 31, 2025, the leases in our portfolio had a WALT of 10.1 years (exclusive of mortgage loans receivable). The following table illustrates contractual lease expirations within the Company’s portfolio as of December 31, 2025, assuming no exercise of contractual extension options (dollars in thousands): ABR Gross Leasable Area Year Number of Leases (1) Amount % of Total (2) Square Feet % of Total (2) 2026 4 $ 1,163 0.6 % 85,025 0.6 % 2027 10 3,227 1.7 % 288,535 2.2 % 2028 22 9,769 5.2 % 753,094 5.7 % 2029 41 10,274 5.5 % 849,114 6.4 % 2030 43 14,446 7.7 % 1,245,165 9.4 % 2031 60 14,023 7.5 % 1,443,220 10.9 % 2032 46 11,656 6.3 % 1,572,205 11.8 % 2033 45 10,815 5.8 % 816,573 6.1 % 2034 73 19,674 10.6 % 1,193,039 9.0 % 2035 41 12,097 6.5 % 890,740 6.7 % 2036 21 6,969 3.7 % 423,919 3.2 % 2037 25 10,178 5.5 % 669,894 5.0 % 2038 39 6,593 3.5 % 573,011 4.3 % 2039 39 9,464 5.1 % 712,511 5.4 % 2040 33 8,785 4.7 % 608,997 4.6 % Thereafter 134 37,294 20.0 % 1,166,768 8.8 % Total 676 $ 186,427 100.0 % 13,291,810 100.0 % (1) Excludes one vacant property, three properties under development, and 81 investments that secure mortgage loans receivable. (2) Certain figures in this table may not foot due to rounding. Developments During 2025, rent commenced on three completed property developments. As of December 31, 2025, we had three property developments under construction, with rent expected to commence at various dates throughout 2026. The following table illustrates actual and anticipated rent commencement of those developments. Tenant Industry Location Lease Term (Years) Actual or Anticipated Rent Commencement Automotive Service Mobile, AL 15 Commenced 1Q'25 Pet Supplies Sumter, SC 10 Commenced 2Q'25 Automotive Service Cedar Rapids, IA 15 Commenced 2Q'25 Automotive Service Whitestown, IN 15 2Q'26 Automotive Service Goldsboro, NC 15 3Q'26 Health and Fitness Fort Worth, TX 20 4Q'26