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Item 2. Management’s Discussion and Analysis

2026-04-20 compared with 2025-10-27 · 124 added, 221 removed, 242 unchanged (59% of the section changed)

15 unchanged sentences

We also invest in property developments and mortgage loans secured by real estate.

As of September 30, 2025, we owned or had investments in 723 properties diversified by tenant, industry, and geography, comprising 114 different tenants across 28 retail sectors in 45 states.

This includes two property developments where rent has not yet commenced.

We focus on tenants in industries where a physical location is critical to the generation of sales and profits, with a focus on necessity goods and essential services in the retail sector, including home improvement, auto parts, drug stores and pharmacies, general retail, grocers, convenience stores, discount stores, and quick-service restaurants, all of which we refer to as defensive retail industries.

As of September 30, 2025, our investments generated ABR 1 of $183.2 million.

As of March 31, 2026, we owned or had investments in 808 properties diversified by tenant, industry, and geography, comprising 138 different tenants across 28 retail sectors in 46 states.

This includes four property developments where rent has not yet commenced.

We focus on tenants in industries where we believe a physical location is critical to the generation of sales and profits, with a focus on necessity goods and essential services in the retail sector, including grocers, convenience stores, discount stores, home improvement, quick-service restaurants, general retail, and auto parts, all of which we refer to as defensive retail industries.

As of March 31, 2026, our investments generated ABR 1 of $214.2 million.

Approximately 42% of our ABR is from investment grade 2 credit rated tenants and an additional 16% of our ABR is derived from tenants with an investment grade profile 3 .

Our portfolio was 99.9% occupied and, excluding mortgage loans receivable, had a weighted average remaining lease term (“WALT”) of 9.9 years.

1 Annualized base rent (“ABR”) is annualized base rent for all leases that commenced and annualized cash interest for all executed mortgage loans as of September 30, 2025.

Our portfolio was 99.9% occupied (excluding four properties under development) and, excluding mortgage loans receivable, had a weighted average remaining lease term (“WALT”) of 10.2 years.

February 2026 Follow-On Offering

In February 2026, we completed a registered public offering of 12,627,000 shares of our common stock at a public offering price of $19.00 per share, including the full exercise of the underwriters’ option to purchase additional shares.

In connection with the offering, we entered into forward sale agreements for 12,627,000 shares of our common stock.

We did not initially receive any proceeds from the sale of shares of common stock by the forward purchasers.

As of March 31, 2026, 12,627,000 shares remain unsettled under the February 2026 forward sale agreements.

We expect to physically settle the forward sale agreements (by delivery of shares of common stock) and receive proceeds from the sale of those shares upon one or more forward settlement dates, which shall occur no later than February 12, 2027.

( 1 ) Annualized base rent (“ABR”) is annualized base rent for all leases that commenced and annualized cash interest for all executed mortgage loans as of March 31, 2026.

(2) We define “investment grade” tenants as tenants, or tenants that are subsidiaries of a parent entity, with a credit rating of BBB- (S&P/Fitch), Baa3 (Moody’s), or NAIC2 (National Association of Insurance Commissioners) or higher.

3 We define “investment grade profile” tenants as tenants with metrics of more than $1.0 billion in annual sales and a debt to adjusted EBITDA ratio of less than 2.0x but do not carry a published rating from S&P, Moody’s, or NAIC.

July 2025 Follow-On Offering

In July 2025, we completed a registered public offering of 12,420,000 shares of our common stock at a public offering price of $17.70 per share, including the full exercise of the underwriter’s option to purchase additional shares.

(3) We define “investment grade profile” tenants as tenants that have investment grade credit metrics (more than $1.0 billion in annual sales and a debt to adjusted EBITDA ratio of less than 2.0x), but do not carry a published rating from S&P, Fitch, Moody’s, or NAIC.

Settlement of Forward Shares Under the January 2024 Follow-On Offering

In January 2024, we completed a registered public offering of 11,040,000 shares of common stock at a public offering price of $18.00 per share.

In connection with the offering, we entered into forward sale agreements for 11,040,000 shares of our common stock.

We did not initially receive any proceeds from the sale of shares of common stock by the forward purchasers.

As of September 30, 2025, 12,420,000 shares remain unsettled under the July 2025 forward sale agreements.

September 2025 Debt Transactions

On September 25, 2025, we entered into a Term Loan Agreement (the “PNC Term Loan Agreement”) which provides for:

a $200.0 million senior unsecured term loan (the “2031 Term Loan”), all of which was funded on the closing date, and a $250.0 million senior unsecured term loan (the “2032 Term Loan”), of which $100.0 million was funded on the closing date and the remaining $150.0 million will be available as a delayed draw term loan commitment until September 25, 2026.

The 2031 Term Loan matures on March 25, 2031 and the 2032 Term Loan matures on September 24, 2032.

We have fully hedged the 2031 Term Loan at an all-in fixed interest rate of 4.59% through March 2031.

We have partially hedged $200.0 million of the 2032 Term Loan at an all-in fixed interest rate of 4.92% through September 2032, with the remaining $50.0 million of the 2032 Term Loan currently unhedged.

Further, we amended our existing credit agreements agented by PNC Bank, National Association (the “PNC Credit Agreement”), Wells Fargo Bank, National Association (the “Wells Fargo Credit Agreement”) and Truist Bank (the “Truist Credit Agreement”), implementing certain conforming changes including, without limitation, removing the SOFR credit spread adjustments in those agreements.

During 2025, we entered into forward sale agreements with respect to an aggregate 3,342,894 shares of common stock under our existing ATM program at a weighted-average price of $16.95 per share.

As of September 30, 2025, 2,237,595 shares remain unsettled under the forward sale agreements.

We may physically settle the forward sale agreements (by the delivery of shares of common stock) and receive proceeds from the sale of those shares on one or more forward settlement dates, which shall occur no later than the stated maturity dates of April 30, 2026, June 11, 2026, September 8, 2026, and September 9, 2026.

The following table details information related to activity under the ATM program for the nine months ended September 30, 2025 (in thousands, except share and per share data).

There was no activity during the three months ended September 30, 2025.

Nine Months Ended September 30, 2025

Shares of common stock issued (1)

Weighted average price per share $ 16.32

Gross proceeds $ 28,694

Sales commissions and offering costs $ 342

(1) Includes 1,105,299 shares of common stock that were physically settled at a weighted-average price of $16.37 per share under forward sale agreements.

On February 6, 2026, we physically settled 4,000,000 shares of common stock at a weighted-average price of $16.98 per share in accordance with the forward sale agreements.

We received net proceeds from the settlement of $67.8 million, net of underwriting discounts and offering costs of $4.2 million.

As of March 31, 2026, 4,840,000 shares remain unsettled under the January 2024 forward sale agreements.

During the three months ended March 31, 2026, we entered into forward sale agreements with respect to an aggregate 3,956,031 shares of common stock under the existing $300.0 million at-the-market equity program established in August 2024 (the “2024 ATM Program”) at a weighted-average price of $18.81 per share.

As of March 31, 2026, 12,469,918 shares remain unsettled under forward sale agreements associated with our existing $300.0 million at-the-market equity program (the “2023 ATM Program”) and the 2024 ATM Program.

We may physically settle the forward sale agreements (by delivery of shares of common stock) and receive proceeds from the sale of those shares on one or more forward settlement dates, which shall occur no later than the stated maturity dates ranging from September 2026 to March 2027.

As of March 31, 2026, the remaining availability under the 2024 ATM Program was $49.9 million.

2032 Term Loan Draw

Subject to the terms of the term loan agreement agented by PNC Bank, National Association (the “PNC Term Loan Agreement”), we drew an additional $50.0 million under the $250.0 million senior unsecured term loan (the “2032 Term Loan”) on January 2, 2026, bringing the total outstanding principal amount to $150.0 million.

The $150.0 million outstanding under the 2032 Term Loan is hedged with an all-in fixed interest rate of 4.66%.

We have $100.0 million remaining under the PNC Term Loan Agreement delayed draw term loan commitment.

Results of Operations

We continued to grow our assets held for investment during the nine months ended September 30, 2025 through the acquisition of properties, property developments, and investment in mortgage loans receivable, with an underwritten weighted-average capitalization rate of approximately 7.6%.

This growth was financed through the PNC Term Loan Agreement and receipt of proceeds of $200.0 million and $100.0 million under the 2031 Term Loan and 2032 Term Loan, respectively, the amendment of our PNC Credit Agreement and receipt of proceeds under our $175.0 million senior unsecured term loan (the “2030 Term Loan B”), settlement of shares of common stock through our forward sale agreements in an amount of $17.9 million, the issuance of common stock under the 2024 ATM Program in an amount of $10.5 million, the usage of cash balances as a result of borrowings on our Revolver, the usage of restricted cash balances as a result of tax-free exchanges under Section 1031 of the Internal Revenue Code of 1986, and cash flows from operations during the nine months ended September 30, 2025.

During the three months ended September 30, 2025, we acquired 46 properties for a total purchase price of $194.3 million, inclusive of $2.3 million of capitalized acquisition costs.

The acquisitions were all accounted for as asset acquisitions.

These properties are located in 20 states with a WALT of approximately 13.4 years.

During the nine months ended September 30, 2025, we acquired 87 properties for a total purchase price of $368.3 million, inclusive of $4.2 million of capitalized acquisition costs.

We continued to grow our assets held for investment during the three months ended March 31, 2026 through the acquisition of properties, property developments, and investment in mortgage loans receivable, with an underwritten weighted-average cash yield of approximately 7.5%.

This growth was financed through the $50.0 million draw under the 2032 Term Loan, settlement of shares of common stock through our January 2024 Follow-On Offering in an amount of $67.8 million, the usage of cash balances as a result of borrowings on our senior unsecured revolving credit facility (the “Revolver”), the usage of restricted cash balances as a result of tax-free exchanges under Section 1031 of the Internal Revenue Code of 1986, and cash flows from operations during the three months ended March 31, 2026.

During the three months ended March 31, 2026, we acquired 56 properties for a total purchase price of $234.0 million, inclusive of $3.0 million of capitalized acquisition costs.

The acquisitions were all accounted for as asset acquisitions.

These properties are located in 17 states with a WALT of approximately 14.1 years.

As of September 30, 2025, we had two property developments under construction.

During the three and nine months ended September 30, 2025, we invested $0.1 million and $2.2 million, respectively, in property developments.

During the nine months ended September 30, 2025, we completed development on two projects and reclassified approximately $6.5 million from property under development to land, buildings and improvements, and other assets (leasing commissions) in the accompanying condensed consolidated balance sheets.

Rent commenced for both of the completed developments in the second quarter of 2025.

The remaining two developments are expected to be substantially completed with rent commencing at various points throughout 2026.

The purchase price, including acquisition costs, and subsequent development are included in property under development in the accompanying condensed consolidated balance sheets as of September 30, 2025.

During the three months ended September 30, 2025, we sold 24 properties for a total sales price, net of disposal costs, of $36.0 million, recognizing a net gain of $1.1 million on the sales.

During the nine months ended September 30, 2025, we sold 60 properties for a total sales price, net of disposal costs, of $130.2 million, recognizing a net gain of $6.7 million on the sales.

As of March 31, 2026, we had four property developments under construction, which are expected to be substantially completed with rent commencing at various points throughout 2026 and early 2027.

During the three months ended March 31, 2026, we invested $5.4 million in property developments, including the land acquisition of one new development with an initial purchase price of $2.3 million.

The purchase price, including acquisition costs, and subsequent development are included in property under development in the accompanying condensed consolidated balance sheets as of March 31, 2026.

During the three months ended March 31, 2026, we sold five properties for a total sales price, net of disposal costs, of $10.4 million, recognizing a net gain of $0.1 million.

Investment in Mortgage Loans Receivable

During the three and nine months ended September 30, 2025, we invested an additional $9.6 million and $35.3 million, respectively, in fully collateralized mortgage loans receivable with stated interest rates ranging from 7.00% to 10.25%.

In addition, during the three and nine months ended September 30, 2025, we collected $12.5 million and $24.7 million, respectively, in principal on our mortgage loans receivable.

Additionally, we sold three mortgage loans receivable at a discount in an effort to manage tenant exposure, recognizing non-credit related provisions for impairment of $1.4 million for the three and nine months ended September 30, 2025.

During the three months ended March 31, 2026, we invested an additional $5.1 million in fully collateralized mortgage loans receivable with stated interest rates ranging from 9.50% to 9.75%.

In addition, during the three months ended March 31, 2026, we collected $11.2 million in principal on our mortgage loans receivable.

We sold one mortgage loan receivable at a discount in an effort to manage tenant exposure, recognizing non-credit related provisions for impairment of $0.6 million for the three months ended March 31, 2026.

See discussion of our mortgage loans receivable portfolio included in “Note 4 – Real Estate Investments” of our condensed consolidated financial statements, included in “Item 1 – Financial Statements (unaudited)”.

Economic and Financial Environment

Changes in global or national market and economic conditions, such as global economic and financial market volatility and global geopolitical conflict, have caused, and may continue to cause, among other things, tightening in the credit markets, lower levels of liquidity, fluctuating interest rates and inflation, increases in the rate of default and bankruptcy, and lower consumer and business spending, which could materially and adversely affect us.

For example, the current and continuing macro-economic conditions, including variable inflation and changing interest rates, may increase the costs associated with acquiring new properties and decrease the availability of financing on terms that we find attractive, which could reduce our ability to acquire properties at our historical rate with attractive terms.

Additionally, other macroeconomic pressures in the U.S.

and the global economy, including new and proposed tariffs on imports into the United States and current and potential countermeasures by foreign governments and recession fears, may impact our tenants as consumers reduce discretionary spending.

A decline in consumer spending has had and may continue to have an adverse effect on tenants which, in turn, could impact our performance if tenants terminate leases or otherwise fail to pay rents.

Other potential consequences of changes in economic and financial conditions include:

changes in the performance of our tenants, which may result in lower rent and lower recoverable expenses, and tenant defaults under the lease;

current or potential tenants may delay or postpone entering into long-term leases with us;

increased costs of acquiring new properties on attractive terms;

inability to borrow on terms and conditions that we find to be acceptable, which could reduce our ability to pursue acquisition opportunities or increase future interest expense;

and the recognition of impairment charges on or reduced values of our properties, which may adversely affect our results of operations or limit our ability to dispose of assets at attractive prices and may reduce the availability of buyer financing.

We are also limited in our ability to reduce costs to offset the results of a prolonged or severe economic downturn given certain fixed costs and commitments associated with our operations.

We continually monitor the commercial real estate and credit markets carefully and, if required, will make decisions to adjust our business strategy accordingly.

Three Months Ended September 30, 2025 Compared with Three Months Ended September 30, 2024

Three Months Ended March 31, 2026 Compared with Three Months Ended March 31, 2025

The following table sets forth our operating results for the periods indicated (in thousands):

Three Months Ended

September 30,

Rental revenue (including reimbursable) $ 54,027 $ 42,590

Interest income on loans receivable 3,035 3,075

Total revenues 48,308 41,444

Operating expenses

Property 4,302 4,494

General and administrative 5,128 4,287

Depreciation and amortization 21,389 20,438

Provisions for impairment 5,493 9,838

Transaction costs 19 26

Total operating expenses 36,331 39,083

Other (expense) income

Interest expense, net (12,636) (7,965)

Gain (loss) on sales of real estate, net 1,122 (132)

Other income, net

Total other expense, net

(11,344) (7,681)

Net income (loss) before income taxes 633 (5,320)

Income tax expense (12) (2)

Net income (loss) $ 621 $ (5,322)

Revenue for the three months ended September 30, 2025 increased by $6.9 million to $48.3 million from $41.4 million for the three months ended September 30, 2024, which is primarily attributed to an increase in the number of our operating leases.

The increase includes additional cash rental receipts of $5.8 million, combined net increases of property expense reimbursements of $0.7 million, and an increase of $0.4 million in straight-line rental revenue.

Total operating expenses.

Total operating expenses decreased by $2.8 million to $36.3 million for the three months ended September 30, 2025 as compared to $39.1 million for the three months ended September 30, 2024.

The decrease is primarily attributed to a decrease in provisions for impairment, partially offset by increases in depreciation and amortization expense and payroll-related expenses.

Total operating expenses include the following:

• Property expenses.

Property expenses decreased by $0.2 million to $4.3 million for the three months ended September 30, 2025 from $4.5 million for the three months ended September 30, 2024.

The decrease is primarily attributed to combined net decreases of reimbursable property expenses of $0.2 million, of which $0.4 million were related to reimbursable common area maintenance and $0.1 million were related to reimbursable insurance, partially offset by an increase of $0.3 million of reimbursable property taxes.

• General and administrative expenses.

General and administrative expenses increased by $0.8 million to $5.1 million for the three months ended September 30, 2025 from $4.3 million for the three months ended September 30, 2024.

The increases within general and administrative expense were primarily related to an increase of $0.6 million of bonus expense and an increase of $0.2 million of payroll expense.

While our general and administrative expenses will continue to rise in some measure as our portfolio grows, we expect that such expenses, as a percentage of our portfolio ABR and total assets, will decrease over time due to operating efficiencies and economies of scale.

• Depreciation and amortization.

Depreciation and amortization expense increased by $1.0 million to $21.4 million for the three months ended September 30, 2025 from $20.4 million for the three months ended September 30, 2024.

The increase in depreciation and amortization is proportionate to the increase in the size of the portfolio over the comparable period with associated increases primarily in building depreciation expense of $0.6 million, building improvements depreciation expense of $0.3 million, and in-place lease amortization expense of $0.1 million.

• Provisions for impairment.

For the three months ended September 30, 2025, we recorded provisions for impairment of $5.5 million on 13 properties and three mortgage loans receivable, the majority of which were either previously classified as held-for-sale, newly classified as held-for-sale, or disposed during the three months ended September 30, 2025.

One of the properties was held for investment as of September 30, 2025.

For the three months ended September 30, 2024, we recorded provisions for impairment of $9.8 million on 18 properties, the majority of which were classified as held-for-sale or disposed during the three months ended September 30, 2024.

Three of the properties were held for investment as of September 30, 2024.

Property disposals relate to management’s continuous assessment of the Company’s portfolio in an effort to improve returns and manage risk exposure.

Interest expense, net.

Interest expense increased by $4.6 million to $12.6 million for the three months ended September 30, 2025 from $8.0 million for the three months ended September 30, 2024.

The increase is primarily attributable to an increase of $2.7 million of interest related to our term loans, of which $2.3 million was related to our new 2030 Term Loan B, an increase of $1.7 million in amortization of deferred losses on interest rate swaps, and an increase of $0.2 million in amortization of loan fees associated with the January 2025 debt transactions.

Gain (loss) on sales of real estate, net.

Net gain (loss) on sales of real estate increased by $1.2 million to a $1.1 million gain for the three months ended September 30, 2025 from a $0.1 million loss for the three months ended September 30, 2024.

For the three months ended September 30, 2025, 24 properties were sold for a sales price, net of disposal costs, of $36.0 million.

For the three months ended September 30, 2024, eight properties were sold for a sales price, net of disposal costs, of $23.0 million.

Other income, net.

Other income, net decreased by $0.2 million to $0.2 million for the three months ended September 30, 2025 from $0.4 million for the three months ended September 30, 2024.

The decrease is primarily related to a $0.2 million reduction in insurance recoveries associated with prior year property damages and an increase of $0.1 million of third-party debt issuance costs expensed as a result of the September 2025 debt transactions.

Net income (loss).

Net income increased by $5.9 million to net income of $0.6 million for the three months ended September 30, 2025 from a net loss of $5.3 million for the three months ended September 30, 2024.

Net income increased primarily due to additional rental revenues associated with the growth of our real estate investment portfolio, an increase in the net gain on the sales of real estate, and a decrease of provisions for impairment.

These increases are partially offset by increases in interest expense, depreciation and amortization expense, and bonus and payroll-related expenses.

Nine Months Ended September 30, 2025 Compared with Nine Months Ended September 30, 2024

The following table sets forth our operating results for the periods indicated (in thousands):

Nine Months Ended

September 30,

Rental revenue (including reimbursable) $ 132,774 $ 110,226

Interest income on loans receivable 9,485 8,458

Other revenue — 245

5 unchanged sentences

Provisions for impairment 2,062 3,616

Transaction costs 139 201

Transaction costs, net (60) 47

Total operating expenses 37,624 34,558

5 unchanged sentences

Total other expense, net (13,713) (9,636)

Net income (loss) before income taxes

5,651 (6,545)

Net income before income taxes 5,725 1,716

Income tax expense (14) (16)

Net income (loss)

$ 5,610 $ (6,576)

Revenue for the nine months ended September 30, 2025 increased by $23.8 million to $142.5 million from $118.7 million for the nine months ended September 30, 2024, which is attributed to an increase in the number of our operating leases and properties securing our mortgage loans.

The increase includes additional cash rental receipts of $19.3 million, combined net increases of property expense reimbursements of $1.9 million, an increase of $1.4 million in straight-line rental revenue, an increase of $1.0 million related to interest income on mortgage loans receivable, and an increase of $0.2 million of other revenue related to settlement proceeds associated with a lease termination.

Net income $ 5,711 $ 1,700

Revenue for the three months ended March 31, 2026 increased by $11.2 million to $57.1 million from $45.9 million for the three months ended March 31, 2025, which is primarily attributed to an increase in the number of our operating leases.

The increase includes additional cash rental receipts of $9.5 million, an increase of $1.2 million in straight-line rental revenue, combined net increases of property expense reimbursements of $0.5 million, and a net decrease of $0.3 million in reserves for uncollectible amounts, offset by a decrease in other revenue of $0.2 million related to a lease termination fee during the three months ended March 31, 2025 and other combined net decreases of $0.1 million.

Total operating expenses.

Total expenses increased by $4.9 million to $106.8 million for the nine months ended September 30, 2025 as compared to $101.9 million for the nine months ended September 30, 2024.

The increase is primarily attributed to an increase in the number of operating properties, with the most significant increases being depreciation and amortization expense, property-specific reimbursable expenses, and payroll-related costs, offset by a decrease in employee severance and a decrease in provisions for impairment.

Total expenses increased by $3.0 million to $37.6 million for the three months ended March 31, 2026 as compared to $34.6 million for the three months ended March 31, 2025.

The increase is primarily attributed to an increase in the number of operating properties, with the most significant increase being depreciation and amortization expense.

Total operating expenses include the following:

• Property expenses.

Property expenses increased by $1.0 million to $13.6 million for the nine months ended September 30, 2025 from $12.6 million for the nine months ended September 30, 2024.

The increase is primarily attributed to the increase in the number of operating properties, including combined net increases of reimbursable property expenses of $0.6 million, of which $1.1 million were related to reimbursable property taxes, which were offset by decreases of $0.3 million and $0.2 million of reimbursable common area maintenance and reimbursable insurance, respectively, and combined net increases of non-reimbursable property expenses of $0.4 million, of which $0.3 million were related to property insurance.

Property expenses increased by $0.6 million to $5.4 million for the three months ended March 31, 2026 from $4.8 million for the three months ended March 31, 2025.

The increase is primarily attributed to an increase in the number of operating properties, including combined net increases of reimbursable property expenses of $0.5 million, of which $0.5 million and $0.1 million were related to reimbursable property taxes and reimbursable insurance costs, respectively, partially offset by a decrease of $0.2 million of reimbursable common area maintenance costs, and combined net increases of non-reimbursable property expenses of $0.2 million primarily related to common area maintenance costs and property insurance.

• General and administrative expenses.

General and administrative expenses increased by $0.5 million to $15.8 million for the nine months ended September 30, 2025 from $15.3 million for the nine months ended September 30, 2024.

The increase is primarily due to an increase of $1.3 million of bonus expense, an increase of $0.3 million of stock-based compensation, and other net increases of $0.3 million, partially offset by a decrease of employee severance of $1.4 million.

General and administrative expenses increased by $0.6 million to $5.8 million for the three months ended March 31, 2026 from $5.2 million for the three months ended March 31, 2025.

The increase is primarily related to an increase of $0.4 million of payroll expense and an increase of $0.3 million in stock based compensation expense, offset by other combined net decreases of $0.1 million.

While our general and administrative expenses will continue to rise in some measure as our portfolio grows, we expect that such expenses as a percentage of our portfolio ABR and total assets will decrease over time due to efficiencies and economies of scale.

• Depreciation and amortization.

Depreciation and amortization expense increased by $7.3 million to $63.8 million for the nine months ended September 30, 2025 from $56.5 million for the nine months ended September 30, 2024.

The increase in depreciation and amortization is proportionate to the increase in the size of the portfolio over the comparable period with associated increases primarily in building depreciation expense of $4.1 million, building improvements depreciation expense of $2.0 million, and in-place lease amortization expense of $1.2 million.

Depreciation and amortization expense increased by $3.6 million to $24.5 million for the three months ended March 31, 2026 from $20.9 million for the three months ended March 31, 2025.

The increase in depreciation and amortization is proportionate to the increase in the size of the portfolio over the comparable period with associated increases primarily in building depreciation expense of $2.1 million, in-place lease amortization expense of $0.8 million, and building improvements depreciation expense of $0.7 million.

• Provisions for impairment.

For the nine months ended September 30, 2025, we recorded provisions for impairment of $13.5 million on 34 properties and three mortgage loans receivable, the majority of which were either previously classified as held-for-sale, newly classified as held-for-sale, or disposed during the nine months ended September 30, 2025.

Two properties were held for investment as of September 30, 2025.

For the nine months ended September 30, 2024, we recorded provisions for impairment of $17.3 million on 40 properties, the majority of which were either previously classified as held-for-sale, newly classified as held-for-sale, or disposed during the nine months ended September 30, 2024.

Nine properties were held for investment as of September 30, 2024.

Property disposals relate to management’s continuous assessment of the Company’s portfolio in an effort to improve returns and manage risk exposure.

Interest expense, net.

Interest expense increased by $15.0 million to $36.7 million for the nine months ended September 30, 2025 from $21.7 million for the nine months ended September 30, 2024.

The increase is primarily attributable to an increase of $8.1 million of interest related to our term loans, of which $6.5 million, $0.8 million, and $0.7 million is related to our new 2030 Term Loan B, our $250.0 million senior unsecured term loan (the “2029 Term Loan”), and our $175.0 million senior unsecured term loan (the “2030 Term Loan A”), respectively.

Additional increases are related to an increase of $5.1 million in amortization of deferred losses on interest rate swaps, an increase of $0.7 million of interest incurred under our Revolver, primarily due to an increase in average borrowings outstanding, an increase of $0.6 million of capitalized interest on our property developments, and an increase of $0.5 million in amortization of loan fees associated with the January 2025 debt transactions.

For the three months ended March 31, 2026, we recorded provisions for impairment of $2.1 million on nine properties and one mortgage loan receivable, the majority of which were either previously classified as held-for-sale, newly classified as held-for-sale, or disposed during three months ended March 31, 2026.

Of those properties impaired, two properties were held for investment as of March 31, 2026.

For the three months ended March 31, 2025, we recorded provisions for impairment of $3.6 million on 13 properties, the majority of which were newly classified as held-for-sale during the three months ended March 31, 2025.

Of those properties impaired, one property was held for investment as of March 31, 2025.

These disposals relate to management’s continuous assessment of our portfolio in an effort to improve returns and manage risk exposure.

Interest expense.

Interest expense increased by $2.8 million to $14.3 million for the three months ended March 31, 2026 from $11.5 million for the three months ended March 31, 2025.

The increase is primarily attributed to an increase of $2.2 million of interest incurred on our $200.0 million senior unsecured term loan (the “2031 Term Loan”), an increase of $1.7 million of interest incurred on our 2032 Term Loan, and in increase of $0.3 million in loan fee amortization, most of which is related to the 2031 Term Loan and 2032 Term Loan.

The increase was partially offset by $1.2 million of reduced interest incurred on our Revolver, primarily due to a decrease in average borrowings outstanding during the respective periods, and $0.3 million of reduced interest incurred on our $200.0 million senior unsecured term loan (the “2028 Term Loan”), our $250.0 million senior unsecured term loan (the “2029 Term Loan”), our $175.0 million senior unsecured term loan (the “2030 Term Loan A”), and our $175.0 million senior unsecured term loan (the “2030 Term Loan B”), primarily related to the interest rate reduction as a result of receiving a credit rating at the end of 2025.

Gain on sales of real estate, net.

Net gain on sales of real estate increased by $5.8 million to $6.7 million for the nine months ended September 30, 2025 from $0.9 million for the nine months ended September 30, 2024.

For the nine months ended September 30, 2025, 60 properties were sold for a sales price, net of disposal costs, of $130.2 million.

For the nine months ended September 30, 2024, 26 properties were sold for a sales price, net of disposal costs, of $55.6 million.

Net gain on sales of real estate decreased by $2.0 million to $0.1 million for the three months ended March 31, 2026 from $2.1 million for the three months ended March 31, 2025.

For the three months ended March 31, 2026, five properties were sold for a sales price, net of disposal costs, of $10.4 million.

For the three months ended March 31, 2025, 16 properties were sold for a sales price, net of disposal costs, of $38.6 million.

Other income (expense), net.

Other income (expense), net decreased by $2.5 million to less than $0.1 million of other income for the nine months ended September 30, 2025 from $2.5 million of other expense for the nine months ended September 30, 2024.

The net decrease in expense is primarily related to events that occurred during the nine months ended September 30, 2024, including a transfer fraud loss of $2.8 million, net of insurance recoveries, and $0.9 million of losses associated with property damages offset by $0.2 million of insurance recoveries, partially offset by $0.5 million of proceeds received from the settlement of a lease escrow agreement during the nine months ended September 30, 2024 and $0.4 million and $0.1 million of third-party debt issuance costs expensed as a result of the January 2025 and September 2025 debt transactions.

Net income (loss).

Net income increased by $12.2 million to net income of $5.6 million for the nine months ended September 30, 2025 from a net loss of $6.6 million for the nine months ended September 30, 2024.

Net income increased due to additional rental revenues associated with the growth of our real estate investment portfolio, in addition to increased interest income associated with our mortgage loans receivable, an increase in the net gain on the sales of real estate, a decrease in provisions for impairment, a decrease of employee severance, and the occurrence of a transfer fraud loss in the prior year.

The increase in net income is partially offset by increases in interest expense and depreciation and amortization expense.

Other income (expense), net increased by $0.6 million to $0.4 million of other income, net for the three months ended March 31, 2026 from $0.2 million of other expense, net for the three months ended March 31, 2025.

The net increase to income is primarily related to a $0.3 million increase in interest income on bank accounts and a $0.4 million decrease in third-party debt issuance costs that were expensed during the three months ended March 31, 2025 as a result of the January 2025 debt transaction.

Net income increased by $4.0 million to $5.7 million for the three months ended March 31, 2026 from $1.7 million for the three months ended March 31, 2025.

Net income increased primarily due to additional rental revenues, primarily due to the growth in the size of our real estate investment portfolio, and decreased provisions for impairment, partially offset by increases in depreciation expense, interest expense, general and administrative expense, property expense, and a decrease in gain on sales of real estate.

Liquidity and Capital Resources

Our primary capital requirements include funding property acquisitions and developments, investments in mortgage loans receivable, required debt interest payments, as well as working capital needs, operating expenses, and capital expenditures.

Our primary capital requirements include funding property acquisitions and developments, investing in mortgage loans receivable, making required debt interest payments, and covering working capital needs, operating expenses, and capital expenditures.

Our capital resources primarily consist of cash from operations, sales of equity securities, and available borrowing facilities.

As of September 30, 2025, we had $200.0 million outstanding principal amount under the $200.0 million senior unsecured term loan (the “2028 Term Loan”), $250.0 million outstanding principal amount under the 2029 Term Loan, $175.0 million outstanding principal amount under the 2030 Term Loan A, $175.0 million outstanding principal amount under the 2030 Term Loan B, $200.0 million outstanding principal amount under the 2031 Term Loan, and $100.0 million outstanding principal amount under the 2032 Term Loan.

Additionally, as of September 30, 2025, we had $40.8 million and $30.2 million of unsettled forward equity under our 2024 ATM Program and prior at-the-market equity program, respectively.

As of September 30, 2025, $271.3 million of remaining gross proceeds were available for future issuances of shares of our common stock under the 2024 ATM Program, inclusive of unsettled shares under forward sale agreements.

Lastly, we had $150.5 million and $209.7 million of unsettled forward equity under the January 2024 and July 2025 follow-on offering forward sale agreements, respectively, as of September 30, 2025.

On January 15, 2025, we amended our PNC Credit Agreement to provide for a new $175.0 million 2030 Term Loan B and an upsized $500.0 million Revolver.

The 2030 Term Loan B and the upsized Revolver initially mature in January 2029 and include, at our election, a one-year option to extend the maturity to January 2030.

The 2030 Term Loan B was fully funded on the closing date and we have hedged the entire $175.0 million 2030 Term Loan B at an all-in fixed interest rate of 5.02% through January 2030.

The Wells Fargo Credit Agreement was amended and restated to extend the maturity date of the existing $175.0 million 2030 Term Loan A from January 2027 to January 2029 with an option, at our election, to extend the maturity to January 2030.

On September 25, 2025, we entered into a PNC Term Loan Agreement to provide for a new $200.0 million 2031 Term Loan, which was fully funded on the closing date, and a $250.0 million 2032 Term Loan, of which $100.0 million was funded on the closing date and the remaining $150.0 million will be available until September 25, 2026.

The 2031 Term Loan matures on March 25, 2031 and the 2032 Term Loan matures on September 24, 2032.

We have hedged the entire $200.0 million 2031 Term Loan at an all-in fixed interest rate of 4.59% through March 2031.

As of March 31, 2026, we had total outstanding debt of $1.2 billion, including $200.0 million outstanding principal amount under the 2028 Term Loan, $250.0 million outstanding principal amount under the 2029 Term Loan, $175.0 million outstanding principal amount under the 2030 Term Loan A, $175.0 million outstanding principal amount under the 2030 Term Loan B, $200.0 million outstanding principal amount under the 2031 Term Loan, $150.0 million outstanding principal amount under the 2032 Term Loan, and $88.0 million outstanding on the Revolver.

Additionally, as of March 31, 2026, we had $194.4 million and $29.9 million of unsettled forward equity under our 2024 ATM Program and prior at-the-market equity program, respectively.

As of March 31, 2026, $49.9 million of shares of our common stock were available for future issuances under the 2024 ATM Program.

Lastly, we had $81.7 million, $71.2 million, and $228.4 million of unsettled forward equity under the January 2024, July 2025, and February 2026 follow-on offering forward sale agreements, respectively, as of March 31, 2026.

As of March 31, 2026, we had an aggregate of 34,201,865 unsettled shares under forward sale agreements with a weighted-average net settlement price of $17.71.

We believe the availability of proceeds from our debt, proceeds from the settlement of unsettled outstanding forward sale agreements, future issuances of shares of our common stock under our 2024 ATM Program, or subsequent at-the-market sale programs, as well as our cash flows from operations and available borrowing capacity under the Revolver, will be adequate to support our ongoing operations and to fund our debt service requirements, capital expenditures, and working capital requirements for at least the next 12 months.

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Contractual Obligations and Commitments

As of September 30, 2025, our contractual debt obligations primarily include the maturity of our 2028 Term Loan with the scheduled principal payment due on February 11, 2028, the maturity of our 2029 Term Loan with the scheduled principal payment due on July 3, 2026, the maturities of our 2030 Term Loan A and 2030 Term Loan B with the scheduled principal payments due on January 15, 2029, the maturity of our 2031 Term Loan with the scheduled principal payment due on March 25, 2031, and the maturity of our 2032 Term Loan with the scheduled principal payment due on September 24, 2032.

During the nine months ended September 30, 2025, we borrowed $199.0 million at a weighted average interest rate of 5.47% and also repaid $438.0 million on our Revolver.

The following table provides information with respect to our commitments as of September 30, 2025 (in thousands):

As of March 31, 2026, our contractual debt obligations primarily include the maturity of our 2028 Term Loan with the scheduled principal payment due on February 11, 2028, the maturity of our 2029 Term Loan with the scheduled principal payment due on July 3, 2026, the maturities of our 2030 Term Loan A, 2030 Term Loan B, and Revolver with the scheduled principal payments due on January 15, 2029, the maturity of our 2031 Term Loan with the scheduled principal payment due on March 25, 2031, and the maturity of our 2032 Term Loan with the scheduled principal payment due on September 24, 2032.

During the three months ended March 31, 2026, we borrowed $98.0 million and repaid $10.0 million on our Revolver.

The following table provides information with respect to our commitments as of March 31, 2026 (in thousands):

Payment Due by Period

Total From October 1, 2025 to December 31, 2025 2026 - 2027 2028 - 2029 Thereafter

Total From April 1, 2026 to December 31, 2026 2027 - 2028 2029 - 2030 Thereafter

Contractual Obligations

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Ticking Fee (2)

Revolver – Borrowings

88,000 — — 88,000 —

Revolver – Variable interest

11,017 2,970 7,885 162 —

Facility Fee (3)

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Corporate office lease obligations

4,473 491 1,359 1,434 1,189

Total $ 1,447,347 $ 305,721 $ 304,571 $ 471,746 $ 365,309

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These commitments are generally subject to our customary due diligence process and, accordingly, a number of specific conditions must be met before we are obligated to purchase or extend funding.

As of September 30, 2025, we had commitments to fund property developments and extend funds under mortgage loans receivable totaling $6.3 million and $11.4 million, respectively, which is expected to be funded through the end of 2026.

As of March 31, 2026, we had commitments to fund property developments, extend funds under mortgage loans receivable, and commitments to fund tenant improvement allowances totaling $22.3 million, $6.4 million, and $8.3 million, respectively.

Commitments to fund property developments are expected to occur over the next nine months, commitments to fund mortgage loans receivable are expected to occur over the next 18 months, and commitments to fund tenant improvement allowances are expected to occur over the next two years.

See discussion of our debt and interest rate hedges included in “Note 6 – Debt” and “Note 7 – Derivative Financial Instruments” in “Item 1 – Financial Statements (unaudited).”

Historical Cash Flow Information

Nine Months Ended September 30, 2025 Compared with Nine Months Ended September 30, 2024

Nine Months Ended

September 30,

Three Months Ended March 31, 2026 Compared with Three Months Ended March 31, 2025

Three Months Ended

(In thousands) (Unaudited)

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Cash Flows Provided By Operating Activities.

Net cash provided by operating activities increased by $18.6 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.

The increase was largely attributed to the increase in the size of our real estate investment portfolio with an increase in rental receipts of $19.3 million, additional interest received under our mortgage loans receivable, and changes in working capital accounts, partially offset by an increase in cash paid for interest of $9.1 million, and an increase in operating expenses paid associated with our larger portfolio.

Net cash provided by operating activities increased by $4.2 million for the three months ended March 31, 2026 compared to the three months ended March 31, 2025.

The increase was largely attributed to the increase in the size of our real estate investment portfolio with an increase in rental receipts of $9.5 million, partially offset by an increase in cash paid for interest of $2.7 million, an increase in operating expenses paid associated with our larger portfolio, and changes in working capital accounts.

Cash Flows Used In Investing Activities.

Net cash used in investing activities decreased by $79.9 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.

The decrease was primarily due to an increase of $78.9 million and $10.5 million of proceeds received from the sale of real estate and mortgage loans receivable, respectively, a decrease of $33.3 million in real estate development and improvements, an increase of $13.4 million in principal collections on mortgage loans receivable, and a decrease of $7.5 million in earnest money deposits, partially offset by an increase of $62.9 million in acquisitions of real estate and an increase in cash invested in mortgage loans receivable of $0.5 million.

Net cash used in investing activities increased by $163.4 million for the three months ended March 31, 2026 compared to the three months ended March 31, 2025.

The increase was primarily due to an increase in acquisitions of real estate of $156.2 million, a decrease in proceeds from the sale of real estate of $28.2 million, and an increase in real estate development and improvements of $2.9 million, partially offset by a decrease in earnest money deposits of $6.5 million, an increase in principal collections on mortgage loans receivable of $6.4 million, an increase in proceeds received from the sale of mortgage loans receivable of $5.6 million, and a decrease in cash invested in mortgage loans receivable of $5.4 million.

Cash Flows Provided By Financing Activities.

Net cash provided by financing activities decreased by $58.3 million for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024.

The decrease was primarily attributed to an increase in net repayments of $309.0 million under our Revolver and $107.1 million of less proceeds received due to fewer issuances of common stock in connection with our ATM Programs and forward sale agreements.

Additional items contributing to the decrease are an increase of $12.0 million in deferred financing costs and an increase in payments of common stock dividends of $6.0 million.

The decrease is partially offset by an increase in net term loan proceeds of $375.0 million, and a decrease in the repurchase of common stock for tax withholding obligations of $0.6 million.

Net cash provided by financing activities increased by $155.9 million for the three months ended March 31, 2026 compared to the three months ended March 31, 2025.

The increase was primarily attributed to a decrease in net repayments of $212.5 million under our Revolver, an increase of $67.8 million of proceeds received from the issuance of common stock under our January 2024 Follow-On Offering, and a decrease in deferred financing costs of $6.3 million, partially offset by a decrease in net term loan proceeds of $125.0 million, an increase in payments of common stock dividends of $4.2 million, and an increase in the repurchase of common stock for tax withholding obligations of $1.1 million.

We have elected to be treated and qualify as a REIT for U.S.

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In general, our TRS may perform services for our tenants, hold assets that we cannot hold directly, and may engage in any real estate or non-real estate-related business.

We recognize franchise and other state and local tax expenses in general and administrative expenses and federal income tax in income tax expense in the accompanying condensed consolidated statements of operations and comprehensive income (loss).

Recent Accounting Pronouncements

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Our accounting policies have been established to conform with U.S.

generally accepted accounting principles (“GAAP”).

The preparation of financial statements in conformity with U.S.

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We also disclose the following non-GAAP financial measures:

Funds From Operations (“FFO”), Core FFO, Adjusted FFO (“AFFO”), earnings before interest expense, income tax expense, and depreciation and amortization (“EBITDA”), EBITDA further adjusted to exclude gains (or losses) from the sales of depreciable property and real estate impairment losses (“EBITDA re ”), Adjusted EBITDA re , Annualized Adjusted EBITDA re , Net Debt, Adjusted Net Debt, property-level net operating income (“Property-Level NOI”), property-level cash net operating income (“Property-Level Cash NOI”), and property-level cash net operating income estimated run rate (“Property-Level Cash NOI - Estimated Run Rate”), all of which are detailed below.

Funds From Operations (“FFO”), Core FFO, Adjusted FFO (“AFFO”), earnings before interest expense, income tax expense, and depreciation and amortization (“EBITDA”), EBITDA further adjusted to exclude gains (or losses) from the sales of depreciable property and real estate impairment losses (“EBITDA re ”), Adjusted EBITDAre, Annualized Adjusted EBITDA re , Net Debt, Adjusted Net Debt, property-level net operating income (“Property-Level NOI”), property-level cash net operating income (“Property-Level Cash NOI”), and property-level cash net operating income estimated run rate (“Property-Level Cash NOI Estimated Run Rate”), all of which are detailed below.

We believe these non-GAAP financial measures are industry measures used by analysts and investors to compare the operating performance of REITs.

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Core FFO is a non-GAAP financial measure defined as FFO adjusted to remove the effect of unusual and non-recurring items that are not expected to impact our operating performance or operations on an ongoing basis.

These include non-recurring executive transition costs, severance and related charges, other non-recurring losses (gains), and debt related transaction costs.

These include non-recurring executive transition costs, severance and related charges, other non-recurring losses (gains), debt related transaction costs, and other losses (gains).

AFFO is a non-GAAP financial measure defined as Core FFO adjusted for GAAP net income related to non-cash revenues and expenses, such as straight-line rent, amortization of above- and below-market lease-related intangibles, amortization of lease incentives, capitalized interest expense and earned development interest, non-cash interest expense, non-cash compensation expense, amortization of deferred financing costs, amortization of above/below-market assumed debt, and amortization of loan origination costs.

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You should not consider FFO, Core FFO, and AFFO to be alternatives to net income as a reliable measure of our operating performance nor should you consider FFO, Core FFO, and AFFO to be alternatives to cash flows from operating, investing, or financing activities (as defined by GAAP) as measures of liquidity.

FFO, Core FFO, and AFFO do not measure whether cash flow is sufficient to fund our cash needs, including principal amortization, capital improvements, and distributions to stockholders.

FFO, Core FFO, and AFFO do not represent cash flows

from operating, investing, or financing activities as defined by GAAP.

FFO, Core FFO, and AFFO do not measure whether cash flow is sufficient to fund our cash needs, including debt service obligations, capital improvements, and distributions to stockholders.

FFO, Core FFO, and AFFO do not represent cash flows from operating, investing, or financing activities as defined by GAAP.

Further, FFO, Core FFO, and AFFO as disclosed by other REITs might not be comparable to our calculations of FFO, Core FFO, and AFFO.

The following table sets forth a reconciliation of FFO, Core FFO, and AFFO for the periods presented to net income (loss) before allocation to noncontrolling interests, as computed in accordance with GAAP (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

(Unaudited) (Unaudited)

Net income (loss) $ 621 $ (5,322) $ 5,610 $ (6,576)

The following table sets forth a reconciliation of FFO, Core FFO, and AFFO for the periods presented to net income before allocation to noncontrolling interests, as computed in accordance with GAAP (in thousands):

Three Months Ended March 31,

Net income $ 5,711 $ 1,700

Depreciation and amortization of real estate 24,387 20,850

Provisions for impairment 1,488 3,616

(Gain) loss on sales of real estate, net (1,122) 132 (6,730) (874)

Gain on sales of real estate, net (119) (2,075)

FFO 31,467 24,091

Non-recurring executive transition costs, severance, and related charges — 76

Debt related transaction costs 92 — 495 —

Other non-recurring loss (gain), net 1,314 (115) 1,314 3,077

Loss on debt extinguishment and other related costs — 403

Other loss 574 —

Core FFO 32,041 24,570

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Capitalized interest expense (88) (50)

Non-cash interest expense (income) 721 (990) 2,138 (2,948)

Non-cash interest expense 705 705

Non-cash compensation expense 1,689 1,388

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Additionally, our computation of EBITDA, EBITDA re , Adjusted EBITDA re , and Annualized Adjusted EBITDA re may differ from the methodology for calculating these metrics used by other equity REITs and, therefore, may not be comparable to similarly titled measures reported by other equity REITs.

The following table sets forth a reconciliation of EBITDA and EBITDA re for the periods presented to net income (loss) before allocation to noncontrolling interests, as computed in accordance with GAAP (in thousands):

Three Months Ended September 30, Nine Months Ended September 30,

2025 2024 2025 2024

(Unaudited) (Unaudited)

Net income (loss) $ 621 $ (5,322) $ 5,610 $ (6,576)

The following table sets forth a reconciliation of EBITDA and EBITDA re for the periods presented to net income before allocation to noncontrolling interests, as computed in accordance with GAAP (in thousands):

Three Months Ended March 31,

Net income $ 5,711 $ 1,700

Depreciation and amortization of real estate 24,387 20,850

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Provisions for impairment 1,488 3,616

(Gain) loss on sales of real estate, net (1,122) 132 (6,730) (874)

Gain on sales of real estate, net (119) (2,075)

$ 45,737 $ 35,493

The following table sets forth a reconciliation of EBITDA, EBITDA re , Adjusted EBITDA re , and Annualized Adjusted EBITDA re for the period presented to net income before allocation to noncontrolling interests, as computed in accordance with GAAP (dollars in thousands):

Three Months Ended September 30, 2025

The following table sets forth a reconciliation of EBITDA, EBITDA re , Adjusted EBITDA re, and Annualized Adjusted EBITDA re for the period presented to net income before allocation to noncontrolling interests, as computed in accordance with GAAP (in thousands):

Three Months Ended March 31, 2026

Net income $ 5,711

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Straight-line rent adjustments (2,153)

Debt related transaction costs 92

Non-recurring executive transition costs, severance, and related charges 1

Other non-recurring loss, net 1,314

Transaction costs 19

Other loss 574

Other income, net (31)

Transaction costs, net (60)

Non-cash compensation expense 1,689

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Annualized Adjusted EBITDA re (3)

Net Debt / Annualized Adjusted EBITDAre

Adjusted Net Debt / Annualized Adjusted EBITDA re

Pro Forma Adjusted Net Debt / Annualized Adjusted EBITDA re

(1) Adjustment reflects the estimated cash yield on developments in process as of September 30, 2025.

(2) Adjustment assumes all re-leasing activity, investments in and dispositions of real estate, including developments completed during the three months ended September 30, 2025 had occurred on July 1, 2025.

(1) Adjustment reflects the estimated cash yield on developments in process as of March 31, 2026.

(2) Adjustment assumes all re-leasing activity, investments in and dispositions of real estate, including developments completed during the three months ended March 31, 2026, had occurred on January 1, 2026.

(3) We calculate Annualized Adjusted EBITDA re by multiplying Adjusted EBITDA re by four.

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The following table reconciles the principal amount of total debt to Net Debt, Adjusted Net Debt, and Pro Forma Adjusted Net Debt (in thousands):

September 30, 2025

March 31, 2026

Principal amount of total debt $ 1,245,999

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Pro Forma Adjusted Net Debt $ 623,367

(1) There were 25,393,242 unsettled shares under forward equity contracts as of September 30, 2025 at the available weighted-average net settlement price of $16.98.

(2) There were 1,556,592 unsettled shares under new forward equity contracts executed subsequent to the period at the available weighted-average net settlement price of $18.12.

Additionally, there were 82,500 shares of common stock issued under the ATM program at a net settlement price of $17.96 per share.

(1) There were 34,201,865 unsettled shares under forward sale agreements as of March 31, 2026 with a weighted-average net settlement price of $17.71.

(2) There were 307,984 unsettled shares under new forward equity contracts executed subsequent to the period with a weighted-average net settlement price of $19.33.

Property-Level NOI, Property-Level Cash NOI, and Property-Level Cash NOI - Estimated Run Rate

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The following table sets forth a reconciliation of Property-Level NOI, Property-Level Cash NOI, and Property-Level Cash NOI - Estimated Run Rate for the period presented (in thousands):

Three Months Ended September 30, 2025

Three Months Ended March 31, 2026

Net income $ 5,711

General and administrative expense 5,128

General and administrative 5,755

Depreciation and amortization 24,463

Provisions for impairment 2,062

Transaction costs 19

Transaction costs, net (60)

Interest expense, net 14,266

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Property-Level Cash NOI Estimated Run Rate $ 49,470

(1) Adjustment assumes all re-leasing activity, investments in and dispositions of real estate, including developments completed during the three months ended September 30, 2025 had occurred on July 1, 2025.

(1) Adjustment assumes all re-leasing activity, investments in and dispositions of real estate, including developments completed during the three months ended March 31, 2026, had occurred on January 1, 2026.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis