UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~September~~March 3031, ~~2025~~2026

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number 000-56536

Blue Owl Real Estate Net Lease Trust

(Exact name of registrant as specified in its charter)


Maryland			88-1672312
(State or other jurisdiction of incorporation or registration)			(I.R.S. Employer Identification No.)

150 N Riverside Plaza, 37th Floor			60606
Chicago, IL			(Zip Code)
(Address of principal executive offices)

888-215-2015

Registrant's telephone number, including area code

Securities registered pursuant to Section 12(b) of the Act: None

Title of each class

Trading
Symbol(s)

Name of each exchange on which registered

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☐
		Emerging growth company	☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of ~~November~~May 56, ~~2025~~2026, the issuer had the following shares outstanding: ~~298~~347,~~180~~200,~~211~~173 Class S shares, 4656,~~482~~134,~~389~~270 Class N shares, 910,~~076~~056,~~737~~183 Class D shares, and ~~347~~414,~~881~~394,~~756~~390 Class I shares.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This quarterly report on Form 10-Q contains forward-looking statements about our business, including, in particular, statements about our plans, strategies and objectives. These forward-looking statements can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “anticipate,” “estimate,” “believe,” “continue,” “identify” or other similar words or the negatives thereof, although not all forward-looking statements include these words. These may include our financial estimates and their underlying assumptions, statements about plans, objectives, intentions and expectations with respect to positioning, including the impact of macroeconomic trends and market forces, future operations, repurchases, acquisitions, future performance, and statements with respect to acquisitions. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in such statements. These risks, uncertainties and other factors include, without limitation:

• our future operating results;

• our business prospects and the prospects of the assets in which we may invest;

• the impact of the investments that we expect to make;

• our ability to raise sufficient capital to execute our investment strategy;

• our ability to source adequate investment opportunities to efficiently deploy capital;

• our current and expected financing arrangements and investments;

• the effect of global and national economic and market conditions generally upon our operating results, including, but not limited to, changes with respect to inflation, interest rate changes and supply chain disruptions, geopolitical uncertainty ~~(including the imposition of tariffs and counter-tariffs)~~, and changes in government rules, regulations and fiscal policies;

• the adequacy of our cash resources, financing sources and working capital;

• the timing and amount of cash flows, distributions and dividends, if any, from our investments;

• our contractual arrangements and relationships with third parties;

• actual and potential conflicts of interest with the Adviser (as defined below) or any of its affiliates;

• the dependence of our future success on the general economy and its effect on the assets in which we may invest;

• our use of financial leverage;

• the ability of the Adviser to locate suitable investments for us and to monitor and administer our investments;

• the ability of the Adviser or its affiliates to attract and retain highly talented professionals;

• our ability to structure investments in a tax-efficient manner and the effect of changes to tax legislation and our tax position;

• the tax status of the assets in which we may invest;

•changes in the economy, particularly those affecting the real estate industry;

•risks associated with possible disruption in our operations or the economy generally due to terrorism, natural disasters, epidemics or other events having a broad impact on the economy;

•investing in commercial real estate assets involves certain risks, including but not limited to: tenants’ inability to pay rent; increases in interest rates and lack of availability of financing; tenant turnover and vacancies; and changes in supply of or demand for similar properties in a given market;

•adverse conditions in the areas where our investments or the properties underlying such investments are located and local real estate conditions;

•our portfolio is currently concentrated in certain industries and geographies, and, as a consequence, our aggregate return may be substantially affected by adverse economic or business conditions affecting that particular type of asset or geography;

•limitations on our business and our ability to satisfy requirements to maintain our exclusion from registration under the Investment Company Act of 1940, as amended (the “Investment Company Act”), or to maintain our qualification as a real estate investment trust (a “REIT”), for U.S. federal income tax purposes;

•since there is no public trading market for our common shares of beneficial interest, par value $0.01 per share (“common shares” or “shares”), repurchase of shares by us will likely be the only way to dispose of your shares. Our share repurchase plan (the “Share Repurchase Plan”) provides shareholders with the opportunity to request that we repurchase their shares on a quarterly basis, but we are not obligated to repurchase any shares and may choose to repurchase only some, or even none, of the shares that have been requested to be repurchased in any particular calendar quarter in our discretion. In addition, repurchases will be subject to available liquidity and other significant restrictions. Further, our Board of Trustees (the “Board” or “Board of Trustees”) may make exceptions to, modify and suspend our Share Repurchase Plan if, in its ~~judgement~~judgment, it deems such action to be in our best interest. As a result, our shares should be considered as having only limited liquidity and at times may be illiquid;

•distributions are not guaranteed and may be funded from sources other than cash flow from operations, including, without limitation, borrowings, offering proceeds, DST proceeds, the sale of our assets, and repayments of our real estate debt investments, and we have no limits on the amounts we may fund from such sources;

•the purchase and repurchase prices for our shares are generally based on our prior month’s net asset value (“NAV”) and are not based on any public trading market. While there will be independent valuations of our properties from time to time, the valuation of properties is inherently subjective and our NAV may not accurately reflect the actual price at which our properties could be liquidated on any given day; and

•future changes in laws or regulations and conditions in our operating areas.

For more information regarding these and other risks and uncertainties that we face, refer to Part I. Item 1A. “Risk Factors” in our ~~2024~~ Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 13, ~~2025~~2026 and any such updated factors included in our periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this document (or our prospectus and other filings). Except as otherwise required by federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.

TABLE OF CONTENTS

		Page
Part I.	FINANCIAL INFORMATION	1
Item 1.	FINANCIAL STATEMENTS	1
	Condensed Consolidated Financial Statements (Unaudited):
	Condensed Consolidated Balance Sheets as of September 30, 2025 and December 31, 2024	2
	Condensed Consolidated Balance Sheets as of March 31, 2026 and December 31, 2025	2
	Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2025 and 2024	3
	Condensed Consolidated Statements of Operations for the three months ended March 31, 2026 and 2025	3
	Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2025 and 2024	4
	Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2026 and 2025	4
	Condensed Consolidated Statements of Changes in Equity for the three and nine months ended September 30, 2025 and 2024	5
	Condensed Consolidated Statements of Changes in Equity for the three months ended March 31, 2026 and 2025	5
	Condensed Consolidated Statements of Cash Flows for the nine months ended September 30, 2025 and 2024	7
	Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2026 and 2025	6
	Notes to Condensed Consolidated Financial Statements	98
Item 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	4135
Item 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	6353
Item 4.	CONTROLS AND PROCEDURES	6353
Part II.	OTHER INFORMATION	6353
Item 1.	LEGAL PROCEEDINGS	6454
Item 1A.	RISK FACTORS	6454
Item 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	6454
Item 3.	DEFAULTS UPON SENIOR SECURITIES	6555
Item 4.	MINE SAFETY DISCLOSURES	6555
Item 5.	OTHER INFORMATION	6555
Item 6.	EXHIBITS	6555
	SIGNATURES	6757

PART I - FINANCIAL INFORMATION

ITEM 1 FINANCIAL STATEMENTS

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Balance Sheets

(Dollars in thousands, except per share data)

	September 30, 2025		December 31, 2024
	March 31, 2026		December 31, 2025
Assets
Investments in real estate, net	$	34,~~013~~100,~~029~~522	$	24,~~996~~008,~~309~~624
Investments in unconsolidated real estate affiliates (includes $3,596,236 and $1,742,086 reported at fair value as of September 30, 2025 and December 31, 2024, respectively)	3,601,501		1,747,787
Investments in leases – Financing receivables, net	591,781		502,573
Investments in leases – Financing receivables, net	371,242		535,273
Investments in real estate debt (includes $1,955,970 and $1,705,886 reported at fair value as of March 31, 2026 and December 31, 2025, respectively)	2,250,418		2,101,147
Investments in real estate debt (includes $1,158,962 and $619,476 reported at fair value as of September 30, 2025 and December 31, 2024, respectively)	1,533,831		696,052
Investments in unconsolidated real estate affiliates (includes $4,238,148 and $3,801,703 reported at fair value as of March 31, 2026 and December 31, 2025, respectively)	4,243,275		3,806,866
Intangible assets, net	~~166~~251,~~665~~047		~~168~~242,~~101~~992
Cash and cash equivalents	~~374~~159,~~834~~284		~~112~~119,~~718~~444
Restricted cash	47,~~207~~080		5048,~~069~~521
Other assets	82123,~~928~~916		7185,~~279~~242
Total assets	$	911,~~191~~767,~~237~~323	$	610,~~377~~915,~~588~~409
Liabilities and Equity
Mortgage notes and credit facilities, net	$	1,~~418~~643,~~554~~928	$	1,~~627~~832,~~748~~997
Unsecured senior notes, net	126,~~593~~649		126,~~345~~496
Other borrowings, net	~~322~~814,~~510~~032		—753,947
Due to affiliates	~~212~~239,~~279~~202		~~140~~227,~~091~~968
Accounts payable and accrued expenses	117,912		100,564
DST financing obligation	562,587		350,125
Other liabilities	466,893		88,442
Accounts payable and accrued expenses	157,365		148,117
Total liabilities	2,664,741		2,083,190
Other liabilities	87,806		87,115
Redeemable non-controlling interests	87,882		39,952
Total liabilities	3,631,569		3,526,765
Redeemable common shares	6,880		56,948
Redeemable non-controlling interests	156,992		125,360
Redeemable common shares	9,420		7,885
Equity
Common shares — Class S, $0.01 par value per share, 273,269,795 and 186,966,766 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively	2,733		1,870
Common shares — Class S, $0.01 par value per share, 334,207,885 and 306,971,144 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively	3,342		3,070
Common shares — Class N, $0.01 par value per share, 40,849,554 and 15,155,627 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively	408		152
Common shares — Class N, $0.01 par value per share, 53,648,246 and 47,799,493 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively	536		478
Common shares — Class D, $0.01 par value per share, 7,419,241 and 1,751,905 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively	74		18
Common shares — Class D, $0.01 par value per share, 9,831,427 and 8,920,047 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively	98		89
Common shares — Class I, $0.01 par value per share, 317,596,028 and 219,267,018 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively	3,173		2,192
Common shares — Class I, $0.01 par value per share, 393,355,320 and 358,834,111 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively	3,930		3,585
Additional paid-in capital	67,~~279~~814,~~292~~347		47,~~149~~118,~~362~~409
Accumulated earnings and cumulative distributions	(~~103~~82,~~746~~926)		(~~187~~108,~~297~~056)
Accumulated other comprehensive loss	(14,681)		(18,118)
Accumulated other comprehensive income (loss)	(7,810)		(755)
Total Shareholders' Equity	67,~~167~~731,~~253~~517		37,~~948~~016,~~179~~820
Non-controlling interests	~~264~~237,~~481~~825		~~249~~238,~~319~~579
Total equity	67,~~431~~969,~~734~~342		47,~~197~~255,~~498~~399
Total liabilities and equity	$	911,~~191~~767,~~237~~323	$	610,~~377~~915,~~588~~409

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Statements of Operations

(Dollars in thousands, except per share data)

Three Months Ended

~~Nine Months Ended~~

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

March 31, 2026

March 31, 2025

Revenues

Rental revenue

5682,~~908~~358

5255,~~684~~746

~~169,878~~

~~152,355~~

Income from investments in leases - Financing receivables

914,~~054~~567

1710,~~133~~307

~~28,234~~

~~46,704~~

Total revenues

6596,~~962~~925

6966,~~817~~053

~~198,112~~

~~199,059~~

Expenses

Rental property operating

87,~~997~~148

67,~~513~~193

~~26,200~~

~~19,301~~

General and administrative

107,~~737~~332

61,~~732~~438

~~18,249~~

~~18,242~~

Impairment charges

—22,734

—

~~4,849~~

Management fee

2127,~~361~~907

1216,~~330~~216

~~56,199~~

~~31,134~~

Performance participation allocation

3630,~~140~~457

712,~~440~~565

~~67,036~~

~~22,602~~

Depreciation and amortization

2635,~~561~~259

2425,~~489~~837

~~78,624~~

~~70,641~~

Total expenses

~~103~~130,~~796~~837

5763,~~504~~249

~~246,308~~

~~166,769~~

Other income (expense)

Income from unconsolidated real estate affiliates

~~231~~204,~~342~~851

22109,~~811~~387

~~416,806~~

~~96,205~~

Gain (loss) on dispositions of real estate

—

42,906

(2,180)

43,620

Interest income

48,782

20,180

Interest expense

(2738,~~399~~138)

(2720,~~602~~174)

~~(70,312)~~

~~(96,705)~~

Interest income

29,519

5,345

73,853

11,444

Gain (loss) on dispositions of real estate

724

(2,180)

Other income (expense), net

8,956

(4,344)

5,143

(3,829)

Other expense, net

(11,105)

(843)

Total other income, net

~~242~~205,~~418~~114

39106,~~116~~370

~~423,310~~

~~50,735~~

Net income before income taxes

~~204~~171,~~584~~202

51109,~~429~~174

~~375,114~~

~~83,025~~

Income tax expense

~~521~~1,546

~~1,026~~279

~~602~~

~~2,438~~

Net income

~~204~~169,~~063~~656

50108,~~403~~895

~~374,512~~

~~80,587~~

Net income attributable to non-controlling interests

(107,~~988~~824)

(36,~~629~~527)

~~(20,721)~~

~~(6,546)~~

Net income attributable to ORENT shareholders

~~193~~161,~~075~~832

46102,~~774~~368

~~353,791~~

~~74,041~~

Net income per common share – basic

0.3121

0.1322

~~0.65~~

~~0.25~~

Net income per common share – diluted

0.3121

0.1322

~~0.65~~

~~0.25~~

Weighted-average common shares outstanding, basic

~~617~~772,~~009~~689,~~847~~856

~~357~~474,~~017~~322,~~433~~703

~~546,277,237~~

~~295,966,833~~

Weighted-average common shares outstanding, diluted

~~651~~810,~~859~~876,~~673~~144

~~386~~505,~~191~~312,~~878~~478

~~578,822,053~~

~~324,923,336~~

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Statements of Comprehensive Income

(Dollars in thousands, except per share data)

Three Months Ended

~~Nine Months Ended~~

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

March 31, 2026

March 31, 2025

Net income

~~204~~169,~~063~~656

50108,~~403~~895

~~374,512~~

~~80,587~~

Other comprehensive income:

Other comprehensive income (loss):

Change in unrealized loss on derivative instruments

(1,198)

(35,237)

(22,242)

(10,595)

Change in unrealized gain (loss) on derivative instruments

11,011

(14,224)

Change in unrealized gain on AFS investments in real estate debt

3,456

244

587

344

Change in unrealized loss on AFS investments in real estate debt

(5,030)

(1,542)

Foreign currency translation adjustment

(1213,~~096~~418)

73,~~306~~208

~~25,321~~

~~(2,772)~~

Other comprehensive (loss) income

(9,838)

(27,687)

3,666

(13,023)

Other comprehensive loss

(7,437)

(12,558)

Comprehensive income

~~194~~162,~~225~~219

2296,~~716~~337

~~378,178~~

~~67,564~~

Comprehensive income attributable to non-controlling interests

(107,~~462~~442)

(15,~~519~~795)

~~(20,949)~~

~~(6,117)~~

Comprehensive income attributable to ORENT shareholders

~~183~~154,~~763~~777

2190,~~197~~542

~~357,229~~

~~61,447~~

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Statements of Changes in Equity

(Dollars in thousands, except per share data)

	Par Value
	Class SCommonShares		Class N Common Shares		Class DCommonShares		Class ICommonShares		AdditionalPaid-inCapital		AccumulatedOther ~~ComprehensiveLoss~~Comprehensive(Loss) Income		AccumulatedEarnings andCumulativeDistributions		Total Shareholders'Equity		Non-controllingInterests		Total Equity
Balance at June 30, 2025	$	2,429	$	347	$	46	$	2,785	$	5,501,647	$	(5,368)	$	(195,102)	$	5,306,784	$	245,641	$	5,552,425
Balance at December 31, 2025	$	3,070	$	478	$	89	$	3,585	$	7,118,409	$	(755)	$	(108,056)	$	7,016,820	$	238,579	$	7,255,399
Common shares issued	~~314~~289		5859		158		~~390~~366		~~802~~760,~~397~~317		—		—		~~803~~761,~~174~~039		—		~~803~~761,~~174~~039
Offering costs	—		—		—		—		(2523,~~040~~648)		—		—		(2523,~~040~~648)		—		(2523,~~040~~648)
Distribution reinvestment	2330		34		1		2430		5168,~~419~~548		—		—		5168,~~470~~613		—		5168,~~470~~613
Common share repurchases	(1944)		—(5)		—		(2954)		(55108,~~195~~803)		—		—		(55108,~~243~~906)		—		(55108,~~243~~906)
Converted common shares	(143)		—		12—		3		~~(1)~~—		—		—		—		—		—
Amortization of restricted share grants	—		—		—		—		5982		—		—		5982		—		5982
Net income (Net income of $2,394 allocated to redeemable NCI)	—		—		—		—		—		—		193,075		193,075		8,594		201,669
Net income (Net income of $2,830 allocated to redeemable NCI)	—		—		—		—		—		—		161,832		161,832		4,994		166,826
Other comprehensive loss (Other comprehensive loss of $115 allocated to redeemable NCI)	—		—		—		—		—		(9,313)		—		(9,313)		(410)		(9,723)
Other comprehensive loss (Other comprehensive loss of $181 allocated to redeemable NCI)	—		—		—		—		—		(7,055)		—		(7,055)		(201)		(7,256)
Distributions declared on common shares ($0.1750 gross per share)	—		—		—		—		—		—		(101,719)		(101,719)		—		(101,719)
Distributions declared on common shares ($0.1875 gross per share)	—		—		—		—		—		—		(136,702)		(136,702)		—		(136,702)
Redeemable common share measurement adjustment	—		—		—		—		~~(265)~~34		—		—		~~(265)~~34		—		~~(265)~~34
Contributions from non-controlling interests	—		—		—		—		—		—		—		—		~~17,167~~136		~~17,167~~136
Distributions to and redemptions of non-controlling interests	—		—		—		—		—		—		—		—		(65,~~466~~456)		(65,~~466~~456)
Redeemable non-controlling interests measurement adjustment	—		—		—		—		(~~806~~989)		—		—		(~~806~~989)		—		(~~806~~989)
Reallocation between additional paid-in capital and non-controlling interests due to changes in ownership	—		—		—		—		~~5,077~~397		—		—		~~5,077~~397		(45227)		~~5,032~~170
Balance at September 30, 2025	$	2,733	$	408	$	74	$	3,173	$	6,279,292	$	(14,681)	$	(103,746)	$	6,167,253	$	264,481	$	6,431,734
Balance at March 31, 2026	$	3,342	$	536	$	98	$	3,930	$	7,814,347	$	(7,810)	$	(82,926)	$	7,731,517	$	237,825	$	7,969,342

	Par Value
	Class SCommonShares		Class N Common Shares		Class DCommonShares		Class ICommonShares		AdditionalPaid-inCapital		AccumulatedOther ComprehensiveIncome ~~(Loss)~~		AccumulatedDeficit andCumulativeDistributions		Total Shareholders'Equity		Non-controllingInterests		Total Equity
Balance at June 30, 2024	$	1,458	$	19	$	12	$	1,617	$	3,047,387	$	16,035	$	(193,046)	$	2,873,482	$	254,387	$	3,127,869
Balance at December 31, 2024	$	1,870	$	152	$	18	$	2,192	$	4,149,362	$	(18,118)	$	(187,297)	$	3,948,179	$	249,319	$	4,197,498
Common shares issued	~~211~~263		6492		—22		~~322~~321		~~604~~709,~~600~~816		—		—		~~605~~710,~~197~~514		—		~~605~~710,~~197~~514
Offering costs	—		—		—		—		(1521,~~302~~231)		—		—		(1521,~~302~~231)		—		(1521,~~302~~231)
Distribution reinvestment	1318		—1		—		1519		2839,~~522~~364		—		—		2839,~~550~~402		—		2839,~~550~~402
Common share repurchases	(3225)		—		—		(4235)		(7461,~~436~~071)		—		—		(7461,~~510~~131)		—		(7461,~~510~~131)
Amortization of restricted share grants	—		—		—		—		47		—		—		47		—		47
Converted common shares	(6)		—		—		6		—		—				—		—		—
Net income (Net income of $392 allocated to redeemable NCI)	—		—		—		—		—		—		46,774		46,774		3,237		50,011
Amortization of restricted share grants	—		—		—		—		70		—		—		70		—		70
Other comprehensive loss (Other comprehensive loss of $186 allocated to redeemable NCI)	—		—		—		—		—		(25,578)		—		(25,578)		(1,923)		(27,501)
Net income (Net income of $983 allocated to redeemable NCI)	—		—		—		—		—		—		102,368		102,368		5,544		107,912
Distributions declared on common shares ($0.1750 gross per share)	—		—		—		—		—		—		(59,012)		(59,012)		—		(59,012)
Other comprehensive loss (Other comprehensive loss of $107 allocated to redeemable NCI)	—		—		—		—		—		(11,825)		—		(11,825)		(626)		(12,451)
Redeemable common share measurement adjustment	—		—		—		—		23		—		—		23		—		23
Distributions declared on common shares ($0.1750 gross per share)	—		—		—		—		—		—		(78,483)		(78,483)		—		(78,483)
Contributions from non-controlling interests	—		—		—		—		—		—		—		—		44		44
Redeemable common share measurement adjustment	—		—		—		—		127		—		—		127		—		127
Distributions to and redemptions of non-controlling interests	—		—		—		—		—		—		—		—		(9,560)		(9,560)
Contributions from non-controlling interests	—		—		—		—		—		—		—		—		54		54
Redeemable non-controlling interests measurement adjustment	—		—		—		—		(161)		—		—		(161)		—		(161)
Distributions to and redemptions of non-controlling interests	—		—		—		—		—		—		—		—		(5,203)		(5,203)
Reallocation between additional paid-in capital and non-controlling interests due to changes in ownership	—		—		—		—		(2,558)		—		—		(2,558)		2,323		(235)
Redeemable non-controlling interests measurement adjustment	—		—		—		—		36		—		—		36		—		36
Balance at September 30, 2024	$	1,650	$	83	$	12	$	1,912	$	3,588,122	$	(9,543)	$	(205,284)	$	3,376,952	$	248,508	$	3,625,460
Reallocation between additional paid-in capital and non-controlling interests due to changes in ownership	—		—		—		—		(1,642)		—		—		(1,642)		1,413		(229)
Balance at March 31, 2025	$	2,120	$	245	$	40	$	2,503	$	4,814,831	$	(29,943)	$	(163,412)	$	4,626,384	$	250,501	$	4,876,885

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Statements of Changes in Equity

(in thousands, except per share data)

	Par Value
	Class SCommonShares		Class N Common Shares		Class DCommonShares		Class ICommonShares		AdditionalPaid-inCapital		AccumulatedOther Comprehensive(Loss) Income		AccumulatedEarnings andCumulativeDistributions		Total Shareholders'Equity		Non-controllingInterests		Total Equity
Balance at December 31, 2024	$	1,870	$	152	$	18	$	2,192	$	4,149,362	$	(18,118)	$	(187,297)	$	3,948,179	$	249,319	$	4,197,498
Common shares issued	886		250		42		1,070		2,297,287		—		—		2,299,535		—		2,299,535
Offering costs	—		—		—		—		(71,970)		—		—		(71,970)		—		(71,970)
Distribution reinvestment	62		6		2		64		136,241		—		—		136,375		—		136,375
Common share repurchases	(63)		—		—		(164)		(232,375)		—		—		(232,602)		—		(232,602)
Converted common shares	(22)		—		12		11		(1)		—		—		—		—		—
Amortization of restricted share grants	—		—		—		—		176		—		—		176		—		176
Net income (Net income of $3,962 allocated to redeemable NCI)	—		—		—		—		—		—		353,791		353,791		16,759		370,550
Other comprehensive income (Other comprehensive income of $67 allocated to redeemable NCI)	—		—		—		—		—		3,437		—		3,437		162		3,599
Distributions declared on common shares ($0.5250 gross per share)	—		—		—		—		—		—		(270,240)		(270,240)		—		(270,240)
Redeemable common share measurement adjustment	—		—		—		—		(284)		—		—		(284)		—		(284)
Contributions from non-controlling interests	—		—		—		—		—		—		—		—		17,286		17,286
Distributions to and redemptions of non-controlling interests	—		—		—		—		—		—		—		—		(21,495)		(21,495)
Redeemable non-controlling interests measurement adjustment	—		—		—		—		(1,268)		—		—		(1,268)		—		(1,268)
Reallocation between additional paid-in capital and non-controlling interests due to changes in ownership	—		—		—		—		2,124		—		—		2,124		2,450		4,574
Balance at September 30, 2025	$	2,733	$	408	$	74	$	3,173	$	6,279,292	$	(14,681)	$	(103,746)	$	6,167,253	$	264,481	$	6,431,734

	Par Value
	Class SCommonShares		Class N Common Shares		Class DCommonShares		Class ICommonShares		AdditionalPaid-inCapital		AccumulatedOther ComprehensiveIncome		AccumulatedDeficit andCumulativeDistributions		Total Shareholders'Equity		Non-controllingInterests		Total Equity
Balance at December 31, 2023	$	921	$	—	$	45	$	1,016	$	1,948,355	$	3,052	$	(132,638)	$	1,820,751	$	256,715	$	2,077,466
Common shares issued	749		83		14		877		1,746,124		—		—		1,747,847		—		1,747,847
Offering costs	—		—		—		—		(48,282)		—		—		(48,282)		—		(48,282)
Distribution reinvestment	32		—		—		35		68,599		—		—		68,666		—		68,666
Common share repurchases	(52)		—		—		(62)		(115,369)		—		—		(115,483)		—		(115,483)
Converted common shares	—		—		(47)		46		1		—				—		—		—
Amortization of restricted share grants	—		—		—		—		(240)		—		—		(240)		—		(240)
Net income (Net income of $579 allocated to redeemable NCI)	—		—		—		—		—		—		74,041		74,041		5,967		80,008
Other comprehensive loss (Other comprehensive loss of $103 allocated to redeemable NCI)	—		—		—		—		—		(12,595)		—		(12,595)		(325)		(12,920)
Distributions declared on common shares ($0.5250 gross per share)	—		—		—		—		—		—		(146,687)		(146,687)		—		(146,687)
Redeemable common share measurement adjustment	—		—		—		—		(1)		—		—		(1)		—		(1)
Contributions from non-controlling interests	—		—		—		—		—		—		—		—		127		127
Distributions to and redemptions of non-controlling interests	—		—		—		—		—		—		—		—		(23,695)		(23,695)
Redeemable non-controlling interests measurement adjustment	—		—		—		—		(598)		—		—		(598)		—		(598)
Reallocation between additional paid-in capital and non-controlling interests due to changes in ownership	—		—		—		—		(10,467)		—		—		(10,467)		9,719		(748)
Balance at September 30, 2024	$	1,650	$	83	$	12	$	1,912	$	3,588,122	$	(9,543)	$	(205,284)	$	3,376,952	$	248,508	$	3,625,460

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Condensed Consolidated Statements of Cash Flows

(Dollars in thousands, except per share data)

	Nine Months Ended
	Three Months Ended
	September 30, 2025		September 30, 2024
	March 31, 2026		March 31, 2025
Cash flows from operating activities:
Net income	$	~~374~~169,~~512~~656	$	80108,~~587~~895
Adjustments to reconcile net income to cash provided by operating activities:
Management fee	5627,~~199~~907		3116,~~134~~216
Performance participation allocation	6730,~~036~~457		2212,~~602~~565
Depreciation and amortization	7835,~~624~~259		7025,~~641~~837
Amortization of tenant lease inducement	2,280		1,289
Other intangibles amortization	1,101		662
Straight-line rent adjustment	(157,~~603~~917)		(145,~~017~~125)
Accretion of tenant loan receivable	(4,~~997~~631)		(91,~~372~~684)
Amortization of below-market lease intangibles	(267)		(238)
Amortization of deferred financing costs	2,934		1,288
Amortization of deferred financing costs	5,643		3,851
Capitalized interest on real estate under development	(469)		(446)
Debt extinguishment expense	257		—
Impairment charges	22,734		—
Capitalized interest on real estate under development	(2,291)		—
Income from unconsolidated real estate affiliates	(204,851)		(109,387)
Impairment charges	—		4,849
Distribution of earnings from unconsolidated real estate affiliates	56,647		33,039
Income from unconsolidated real estate affiliates	(416,806)		(96,205)
Net (gain) loss on dispositions of real estate	(724)		2,180
Distribution of earnings from unconsolidated real estate affiliates	150,151		76,306
Lease right of use asset amortization	164		164
Net loss (gain) on dispositions of real estate	2,180		(43,620)
Net loss on derivative instruments not designated as hedges	2,292		1,388
Lease right of use asset amortization	491		491
Net realized gain on investments in real estate debt	(1,084)		—
Net loss on derivative instruments not designated as hedges	634		258
Net unrealized gain on investments in real estate debt	(264)		(827)
Net unrealized gain on investments in real estate debt	(3,353)		—
Net unrealized loss on fair value of DST financing obligation	1,337		265
Net unrealized loss on fair value of DST financing obligation	(691)		—
Provision for current expected credit losses	(121)		(4,471)
Amortization of off-market caps	135		5,577
Other	187		172
Amortization of restricted shares	341		301
Non-cash interest expense on affiliate line of credit	—		4,693
Provision for current expected credit losses	1,813		3,056
Other	—		(96)
Change in assets and liabilities:
Increase in other assets	(11,758)		(14,416)
(Increase) decrease in other assets	(4,856)		57
Decrease in due to affiliates	(13,~~514~~002)		(~~860~~41)
Decrease in accounts payable and accrued expenses	(3,265)		(6,026)
Increase in accounts payable and accrued expenses	167		5,742
Increase in other liabilities	1,464		10,549
Increase (decrease) in other liabilities	3,122		(1,438)
Net cash provided by operating activities	~~281~~126,~~215~~045		~~131~~85,~~334~~051
Cash flows from investing activities:
Acquisitions of real estate	(54126,~~363~~757)		(~~208~~28,~~341~~453)
Payments for real estate under development	(2131,~~109~~642)		(6213,~~573~~158)
Proceeds from disposition of real estate	~~137~~4,~~322~~010		8137,~~094~~322
Acquisitions of intangible assets	(59,~~319~~283)		(213,~~595~~373)
Capital improvements to real estate	~~(552)~~—		(~~1,685~~551)
Investments in leases - financing receivable	(~~129~~84,~~092~~416)		(~~150~~74,~~388~~133)
Proceeds from dispositions of investment in leases - financing receivables	—		248,799
Purchase of investments in real estate debt	(365,790)		(331,854)
Purchase of investments in real estate debt	(1,024,341)		(129,284)
Sale of investments in real estate debt	96,612		23,848
Sale of investments in real estate debt	335,031		25,493
Investment in unconsolidated real estate affiliates	(236,814)		(257,916)
Investment in unconsolidated real estate affiliates	(2,083,573)		(571,137)
Return of capital from investments in unconsolidated real estate affiliates	71,231		32,078
Sale of investment in unconsolidated real estate affiliates	559,965		—
Payments made for derivative instruments	(35,570)		—
Return of capital from investment in unconsolidated real estate affiliates	78,962		—
Net cash used in investing activities	(718,419)		(516,190)
Cash flows from off-market interest rate swaps and caps	—		7,090
Cash flows from financing activities:
Net cash used in investing activities	(2,207,069)		(855,527)
Proceeds from issuance of common shares	760,293		709,891
Payment of distributions to common shareholders	(68,783)		(39,899)
Proceeds from issuance of non-controlling interests	93		54
Payment of distributions to non-controlling interests	(6,939)		(5,339)
Repurchase of common shares	(133,435)		(102,225)

Cash flows from financing activities:
Proceeds from DST Program	211,065		39,140
Proceeds from issuance of common shares	2,291,862		1,738,437
Borrowings under secured financings of investments in real estate debt	60,101		—
Payment of distributions to common shareholders	(137,995)		(78,055)
Borrowings under revolving credit facility	294,400		153,000
Proceeds from issuance of non-controlling interests	186		—
Repayment of revolving credit facility	(528,400)		(321,950)
Payment of distributions to non-controlling interests	(16,753)		(14,778)
Borrowings under mortgage notes	44,800		57,750
Repurchase of common shares	(335,048)		(115,483)
Payment of deferred financing costs	(959)		(942)
Redemption of non-controlling interests	(1,163)		(767)
Net cash provided by financing activities	632,236		489,480
Proceeds from DST Program	202,448		24,431
Net change in cash and cash equivalents and restricted cash	39,862		58,341
Borrowings under secured financings of investments in real estate debt	328,305		—
Cash and cash equivalents and restricted cash, beginning of period	167,965		162,787
Repayment of borrowings under secured financings of investments in real estate debt	(4,747)		—
Effects of currency translation on cash, cash equivalents, and restricted cash	(1,463)		(367)
Repayment of affiliate line of credit	—		(200,000)
Cash and cash equivalents and restricted cash, end of period	$	206,364	$	220,761
Borrowings under term loan credit facility	84,500		70,000
Reconciliation of cash and cash equivalents and restricted cash to the condensed consolidated balance sheets
Borrowings under revolving credit facility	923,000		1,257,900
Cash and cash equivalents	$	159,284	$	174,625
Repayment of revolving credit facility	(1,169,950)		(1,236,312)
Restricted cash	47,080		46,136
Proceeds from unsecured senior notes	—		130,000
Total cash and cash equivalents and restricted cash	$	206,364	$	220,761
Borrowings under mortgage notes	57,750		43,000
Repayment of mortgage notes	—		(494,902)
Payment of debt extinguishment fees	—		(3,327)
Repayment of other borrowings	—		(287,544)
Payment of deferred financing costs	(36,651)		(4,498)
Net cash provided by financing activities	2,185,744		828,102
Net change in cash and cash equivalents and restricted cash	259,890		103,909
Cash and cash equivalents and restricted cash, beginning of period	162,787		136,670
Effects of currency translation on cash, cash equivalents, and restricted cash	(636)		(89)
Cash and cash equivalents and restricted cash, end of period	$	422,041	$	240,490
Reconciliation of cash and cash equivalents and restricted cash to the consolidated balance sheet
Cash and cash equivalents	$	374,834	$	113,372
Restricted cash	47,207		127,118
Total cash and cash equivalents and restricted cash	$	422,041	$	240,490
Supplemental disclosures:
Interest paid	$	6838,~~228~~334	$	9918,~~879~~157
Income taxes paid	$	~~1,281~~571	$	~~1,004~~926
Accrued unpaid amounts for real estate under development	$	2239,~~044~~298	$	198,~~463~~649
Accrued unpaid amounts for capital improvements to real estate	$	—30,389	$	182,~~779~~186
Accrued unpaid amounts for other intangible assets	$	~~30,183~~—	$	5126,~~786~~811
Non-cash investing and financing activities:
Contribution of real estate assets for investment in unconsolidated real estate affiliate	$	~~142~~122,~~357~~622	$	—142,357
Assumption of other borrowings in conjunction with investments in unconsolidated real estate affiliates	$	—	$	287,444
Issuance of redeemable Class I shares as settlement of the management fee	$	26,097	$	14,880
Issuance of NLT OP units as consideration for acquisitions of real estate	$	17,100	$	—
Redeemable non-controlling interests issued as settlement of performance participation allocation	$	30,724	$	15,719
Issuance of redeemable Class I Shares as interest payment for the affiliate line of credit	$	—	$	7,081
Allocation to redeemable non-controlling interests	$	989	$	(36)
Issuance of redeemable Class I Shares as settlement of the management fee	$	51,345	$	27,551
Allocation to redeemable common shares	$	(34)	$	(127)
Redeemable non-controlling interest issued as settlement of performance participation allocation	$	46,616	$	13,685
Distribution reinvestment	$	68,548	$	39,364
Allocation to redeemable non-controlling interest	$	1,268	$	598
Accrued distributions for common shareholders	$	46,693	$	27,176
Allocation to redeemable common shares	$	284	$	1
Accrued distributions for non-controlling interests	$	2,446	$	1,838
Distribution reinvestment	$	136,241	$	68,599
Accrued shareholder servicing fees	$	180,528	$	116,963
Accrued distributions for common shareholders	$	35,131	$	20,540
Accrued distributions for non-controlling interests	$	2,066	$	1,716
Accrued shareholder servicing fees	$	150,277	$	89,711

See accompanying Notes to the Condensed Consolidated Financial Statements.

Blue Owl Real Estate Net Lease Trust

Notes to Condensed Consolidated Financial Statements

(Dollar amounts in thousands, except per share data)

1. Organization and Nature of the Business

Blue Owl Real Estate Net Lease Trust (formerly, Oak Street Net Lease Trust) (“we”, “us”, “our”, “ORENT”, and the “Company”) was formed on April 4, 2022 as a Maryland statutory trust; however, no activity occurred until the first capital funding from Blue Owl Capital Inc. (“Blue Owl”) on August 9, 2022. The Company invests primarily in a diversified portfolio of single-tenant commercial real estate properties subject to long-term net leases with investment grade and other creditworthy tenants or guarantors across the United States and Canada, and to a lesser extent, Europe. The Company is the sole general partner and majority limited partner in Blue Owl NLT Operating Partnership LP (formerly OakTrust Operating Partnership L.P.), a Delaware limited partnership (“NLT OP” or the “Operating Partnership”). Substantially all of the Company’s business is conducted through NLT OP. As of ~~September~~March 3031, ~~2025~~2026, ORENT owns 9495.83% of NLT OP. The Company and NLT OP are externally managed by ~~an adviser,~~ Blue Owl Real Estate Capital LLC (formerly, Oak Street Real Estate Capital, LLC) (“Blue Owl Real Assets” or “Adviser”), a subsidiary of Blue Owl. The Company’s investment decisions are made by employees of the Adviser, subject to general oversight by the Company’s investment committee and board of trustees (the “Board” or “Board of Trustees”).

The Company ~~operates~~intends to operate in a manner to qualify as a real estate investment trust (“REIT”) for U.S. federal income tax purposes. As a REIT, the Company is entitled to a tax deduction for some or all of the dividends paid to shareholders. Accordingly, the Company generally will not be subject to federal income taxes as long as it currently distributes to shareholders an amount equal to or in excess of the Company’s taxable income. If the Company fails to qualify as a REIT in any taxable year, without the benefit of certain relief provisions, the Company will be subject to federal and state income tax on its taxable income at regular corporate tax rates.

The Company’s principal business is the acquisition, ownership, financing, and leasing of single-tenant commercial real estate properties subject to long-term net leases with investment grade and other creditworthy tenants or guarantors, and its management does not distinguish the principal business, or group the operations, by geography, property type, lease classification, investment type, or any other grouping for purposes of measuring performance. Accordingly, the Company has one operating segment and one reportable segment as of ~~September~~March 3031, ~~2025~~2026.

As of ~~September~~March 3031, ~~2025~~2026, the Company owned ~~222~~250 investments in real estate, 16including two investments held in consolidated joint ventures, 21 investments in real estate leases, and 14seven build-to-suit assets currently in development, including industrial, retail, and office properties. Additionally, the Company holds ~~interest~~interests in 1116 ~~joint ventures, one of which is consolidated under the voting interest model and 10 that are included in investments in~~ unconsolidated real estate affiliates, including STORE Capital LLC and Waterparks LLC (collectively “STORE”). As of ~~September~~March 3031, ~~2025~~2026, STORE owns 3,~~564~~577 properties leased to ~~672~~677 tenants on a triple-net lease basis. The Company also holds investments in real estate debt which consist of securities and loans (refer to Note 6 - Investments in Real Estate Debt).

On September 1, 2022, the Company commenced the offering of its common shares through a continuous private placement offering (“Private Offering”), ~~under~~pursuant ~~Regulation~~to Dexemptions provided by Section 4(a)(2) of the Securities Act of 1933, as amended (the “~~1933~~Securities Act”), Regulation D or Regulation S thereunder and applicable state securities laws. As of ~~September~~March 3031, ~~2025~~2026, the Company is authorized to issue an unlimited number of shares of each of its four classes of ~~shares of its~~ common shares (Class S shares, Class N shares, Class D shares, and Class I shares), each with a par value of $0.01 per common share. The share classes have different upfront selling commissions, dealer manager fees and ongoing shareholder servicing fees. The initial ~~offering~~purchase price for shares sold through the Private Offering was $10.00 per share. The Company conducts ~~periodic~~monthly closings and sells shares at the prior month’s net asset value (“NAV”) per share as determined using the valuation methodology recommended by the Adviser and approved by the audit committee of the Board of Trustees, plus applicable fees and commissions. The NAV per share is calculated on a fully diluted basis. NAV may differ from the values of our real estate assets as calculated in accordance with accounting principles generally accepted in the United States (“GAAP”).

2. Summary of Significant Accounting Policies and Estimates

The Company believes the following significant accounting policies, among others, affect its more significant estimates and assumptions used in the preparation of the Condensed Consolidated Financial Statements.

Basis of Presentation

The accompanying unaudited interim condensed consolidated financial statements and notes have been prepared in accordance with GAAP for interim financial information as established by the Financial Accounting Standards Board (“FASB”) in the Accounting Standards Codification (“ASC”) including modifications issued under Accounting Standards Updates (“ASUs”). The ~~Condensed~~condensed ~~Consolidated~~consolidated ~~Financial~~financial ~~Statements~~statements include the accounts of the Company, the Company’s subsidiaries, and investments in which the Company has a controlling interest. All intercompany balances and transactions have been eliminated in consolidation. ~~The~~In ~~accompanying~~the opinion of management, the unaudited interim condensed consolidated financial statements reflect all adjustments of a normal recurring nature that are necessary for a fair statement of the results for the interim periods presented. The accompanying unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, ~~2024~~2025, filed with the ~~Securities and Exchange Commission (“~~SEC”) on March 13, ~~2025~~2026.

Principles of Consolidation

The Company consolidates all entities in which it has a controlling financial interest through majority ownership or voting rights and variable interest entities whereby the Company is the primary beneficiary. In determining whether the Company has a controlling financial interest in a partially owned entity and the requirement to consolidate the accounts of that entity, the Company considers whether the entity is a variable interest entity (“VIE”) and whether it is the primary beneficiary. In general, a VIE is a legal entity that (a) has equity investors that do not provide sufficient financial resources for the entity to support its activities, (b) does not have equity investors with voting rights, or (c) has equity investors whose votes are disproportionate from their economics and substantially all of the activities are conducted on behalf of the investor with disproportionately fewer voting rights. The Company is the primary beneficiary of a VIE when it has (i) the power to direct the most significant activities impacting the economic performance of the VIE and (ii) the obligation to absorb losses or receive benefits significant to the VIE. As part of its VIE considerations, the Company considers any indirect interests and any applicable relationships, including related parties.

Entities that do not qualify as VIEs are generally considered voting interest entities (“VOEs”) and are evaluated for consolidation under the voting interest model. The Company consolidates VOEs when it controls the entity through a majority voting interest and there is no other interest holder that has substantive participating rights or the power to control through an agreement with other equity holders.

When the requirements for consolidation are not met and the Company has significant influence over the operations of the entity, the investment is accounted for under the equity method of accounting. Equity method investments for which the Company has not elected the fair value option (“FVO”) are initially recorded at cost and subsequently adjusted for the Company’s pro-rata share of net income, contributions and distributions. Equity method investments for which the Company has elected the FVO are initially recorded at fair value and subsequently adjusted for the Company’s pro-rata ~~shares~~share of the changes in fair value.

The Company consolidates NLT OP under the VIE model and consolidates BORMW Quantum Shore JV LLC ~~(“PsiQuantum~~and MACOOH001 JV”) LLC under the ~~VIE and~~ VOE ~~models, respectively~~model. The Company consolidates these entities as it has the ability to direct the most significant activities of the entities such as purchases, dispositions, financings, budgets, and overall operating plans.

For consolidated entities, the non-controlling partner’s share of the assets, liabilities, and operations of each entity is included in non-controlling interests as equity of the Company. The non-controlling partner’s interest is generally computed as the non-controlling interests’ ownership percentage. Any profits interest due to the other owner is reported within non-controlling interests.

Use of Estimates

The preparation of condensed consolidated financial statements in conformity with GAAP requires the Company to make estimates and assumptions that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period.

The Company believes the estimates and assumptions underlying its condensed consolidated financial statements are reasonable based on the information available as of September 30, 2025. However, uncertainty over the current global 9

10The Company believes the estimates and assumptions underlying its condensed consolidated financial statements are reasonable and supportable based on the information available as of March 31, 2026. Inherent in such estimates and judgments relating to future cash flows, which include the Company’s interpretation of current economic indicators and market valuations, are assumptions about the Company’s strategic plans with regard to its operations. Actual results could differ materially from those estimates.

economic environment conditions, including the persistence of elevated inflation and interest rate volatility, in conjunction with global economic and geopolitical uncertainty, including the ongoing conflicts in Eastern Europe, the Middle East, and the North Africa region and the U.S. government’s imposition of tariffs and the counter-tariffs imposed by other countries, and the impact on the Company’s operations may cause actual results to differ materially from those estimates.

Rental Revenue

The Company’s primary source of revenues is rental revenue, which is accounted for under the lease standard. Rental revenue primarily consists of fixed contractual base rent arising from tenant leases at our properties under operating leases or sales-type leases. Revenue under leases that are deemed probable of collection is recognized as revenue on a straight-line basis over the non-cancelable term of the related leases. The Company begins to recognize revenue upon the acquisition of the related property or when a tenant takes possession of the leased space. Base rent arising from tenant leases at our properties is recognized on a straight-line basis over the life of the lease, including any rent steps or abatement provisions. For leases that are deemed not probable of collection, revenue is recorded as the lesser of (i) the amount which would be recognized on a straight-line basis or (ii) cash that has been received from the tenant, with any tenant and deferred rent receivable balances charged as a direct write-off against rental revenue in the period of the change in the collectability determination. Our estimate of collectability includes, but is not limited to, factors such as the tenant’s payment history, financial condition, industry and geographic area. These estimates could differ materially from actual results.

Investments in Unconsolidated Real Estate Affiliates

The Company has elected the FVO for certain of its investments in unconsolidated real estate affiliates, as this election aligns the accounting for GAAP and the calculation of monthly NAV for these investments. The Company therefore reports these investments at fair value in Investments in unconsolidated real estate affiliates on the Condensed Consolidated Balance Sheets. Changes in the fair value of equity method investments under the FVO are recorded as Income from unconsolidated real estate affiliates in the Condensed Consolidated Statements of Operations. Certain of the Company’s investments in unconsolidated real estate affiliates include promote structures, put or call options, or other similar rights related to the transfer of ownership interests to third parties. Accordingly, the actual returns realized may differ from the carrying value of these investments.

The Company evaluates its equity method investments on a periodic basis to determine if there are any indicators that the value of our equity investment may be impaired and whether or not that impairment is other-than-temporary. To the extent an impairment has occurred and is determined to be other-than-temporary, the Company measures the charge as the excess of the carrying value of our investment over its estimated fair value, which is determined by calculating our share of the estimated fair market value of the underlying net assets based on the terms of the applicable partnership or joint-venture agreement. For equity investments in entities that hold real estate, the estimated fair value of the underlying investment’s real estate is calculated based on whether the acquisition of a property qualifies as a business combination or an asset acquisition. The fair value of the underlying investment’s debt, if any, is calculated based on market interest rates and other market information. The fair value of the underlying investment’s other financial assets and liabilities have fair values that generally approximate their carrying values.

Distributions received from equity method investments are classified using the nature of distributions approach. Distributions received are classified based on the nature of the activity or activities that generated the distributions as a return on the investment, which are classified as cash inflows from operating activities, or a return of ~~investment~~capital, which are classified as cash inflows from investing activities. ~~Transaction costs associated with the equity method investments are expensed as incurred.~~ Investments made, ~~including the transaction costs,~~ for equity method investments are classified as cash outflows from investing activities in the Condensed Consolidated Statements of Cash Flows.

Foreign Currency

In the normal course of business, the Company makes investments in real estate outside the United States (“U.S.”) through subsidiaries that have a non-U.S. dollar functional currency. Non-U.S. dollar denominated assets and liabilities of these foreign subsidiaries are translated to U.S. dollars at the prevailing exchange rate at the reporting date and income, expenses, gains, and losses are translated at the average exchange rate over the applicable period. Cumulative translation adjustments arising from the translation of non-U.S. dollar denominated assets and liabilities are recorded in Other Comprehensive Income (Loss).

Fair Value Measurements

The carrying amounts of cash and cash equivalents and accounts payable and accrued expenses reasonably approximate fair value, in the Company’s judgment, because of their short-term nature.

In accordance with ASC 820, Fair Value Measurement, the Company defines fair value based on the price that would be received upon sale of an asset or the exit price that would be paid to transfer or settle a liability in an orderly transaction between market participants at the measurement date. The Company uses a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value. The fair value hierarchy consists of the three broad levels described below:

•Level 1 — Quoted prices in active markets for identical assets or liabilities that the entity has the ability to access.

•Level 2 — Observable inputs, other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

•Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. Due to the inherent uncertainty of these estimates, these values may differ materially from the values that would have been used had a ready market for these investments existed.

The Company has estimated the fair value of its financial instruments and non-financial assets using available market information and valuation methodologies wethat ~~believe~~it believes to be appropriate for these purposes. Considerable judgment and a high degree of subjectivity are involved in developing these estimates and, accordingly, they are not necessarily indicative of amounts that would be realized upon disposition.

Valuation of assets and liabilities measured at fair value

Certain of the Company’s investments in real estate debt and ~~FVO~~investments ~~equity~~in ~~method~~unconsolidated ~~investments~~real estate affiliates are reported at fair value. As of ~~September~~March 3031, ~~2025~~2026, the Company’s investments in real estate debt reported at fair value, directly or indirectly, consisted of commercial mortgage-backed securities (“CMBS”), which are securities backed by one or more mortgage loans secured by real estate assets, as well as term, revolver, ~~senior~~ and mezzanine loans secured by real estate assets, presented collectively as commercial real estate loans. ~~The Company generally determines the fair value of its investments in real estate debt by utilizing third-party pricing service providers whenever available.~~

In determining the fair value of a particular investment, pricing service providers may use broker-dealer quotations, reported trades or valuation estimates from their internal pricing models to determine the reported price. The pricing service providers’ internal models for securities such as real estate debt generally consider the attributes applicable to a particular class of the security (e.g., credit rating, seniority), current market data, and estimated cash flows for each security, and incorporate specific collateral performance, as applicable. Certain of the Company’s investments in real estate debt are unlikely to have readily available market quotations. In such cases, the Company will generally determine the initial value based on the acquisition price of such investment if acquired by the Company or the par value of such investment if originated by the Company. Following the initial measurement, the Company will determine fair value by utilizing or reviewing certain of the following: (i) market yield data, (ii) discounted cash flow modeling, (iii) collateral asset performance, (iv) local or macro real estate performance, (v) capital market conditions, (vi) debt yield or loan-to-value ratios, and (vii) borrower financial condition and performance. Refer to Note 6 - Investments in Real Estate Debt for additional details on the Company’s investments in real estate debt.

The Company has elected the FVO for certain of its investments in unconsolidated real estate affiliates and therefore, reports these investments at fair value. The Company estimates the fair market value of these investments based on its pro -rata share of the investments’ equity at fair value. The investments’ underlying real estate holdings, debt investments, and debt are valued on a recurring basis using unobservable inputs (Level 3 inputs). The fair value of the underlying real estate holdings is generally determined using the income capitalization valuation method. As of ~~September~~March 3031, ~~2025~~2026, the weighted average capitalization rate utilized to value the underlying real estate held in unconsolidated joint ventures, excluding real estate under development, was 76.09%. The fair value of the underlying debt investments and debt is determined by discounting the future contractual cash flows to the present value using current market interest rates. As of ~~September~~March 3031, ~~2025~~2026, the weighted average interest rate utilized to value the underlying debt investments was 6.84% and the weighted average interest rate utilized to value the underlying debt was 5.76%.

The Company’s derivative financial instruments are reported at fair value and consist of interest rate and foreign currency contracts. The calculation of the fair value of derivative instruments is complex and different inputs in the model can result in significant changes to the fair value of derivative instruments and the related gain or loss on derivative instruments included in our financial statements. The fair values of the Company’s interest rate and foreign currency 11

12The Company’s derivative financial instruments are reported at fair value. The calculation of the fair value of derivative instruments is complex and different inputs in the model can result in significant changes to the fair value of derivative instruments and the related gain or loss on derivative instruments included in our financial statements. The fair values of the Company’s derivative financial instrument contracts were estimated using advice from a third-party derivative specialist, based on cash flows and observable inputs (Level 2 inputs). Fair value information relating to derivative financial instruments is provided in Note 10 - Derivative Financial Instruments.

contracts were estimated using advice from a third-party derivative specialist, based on cash flows and observable inputs comprising of yield curves, foreign currency rates, and credit spreads (Level 2 inputs). Fair value information relating to derivative financial instruments is provided in Note 10 - Derivative Financial Instruments.

The Company has elected to account for the DST financing obligation arising from the repurchase option on the sale of DST Interests to third parties through the Company’s DST Program at fair value. The fair value of the Company’s DST Program obligation is determined based on changes in fair value of the underlying assets held by the DST Interests as well as undistributed earnings related to DST Interests owned by third parties.

The following table details the Company’s assets measured at fair value on a recurring basis:

	September 30, 2025						December 31, 2024
	March 31, 2026						December 31, 2025
	Level 2		Level 3		Total		Level 2		Level 3		Total
Assets:
Investments in unconsolidated real estate affiliates	$	—	$	34,~~596~~238,~~236~~148	$	34,~~596~~238,~~236~~148	$	—	$	13,~~742~~801,~~086~~703	$	13,~~742~~801,~~086~~703
Investments in real estate debt	~~767~~993,~~089~~119		~~391~~962,~~873~~851		1,~~158~~955,~~962~~970		~~505~~853,~~537~~531		~~113~~852,~~939~~355		~~619~~1,~~476~~705,886
Interest rate hedging derivatives (1)	374		—		374		13,546		—		13,546
Derivative assets (1)	38,990		—		38,990		8,899		—		8,899
Foreign currency hedging derivatives (1)	9,991		—		9,991		3,661		—		3,661
Total	$	1,032,109	$	5,200,999	$	6,233,108	$	862,430	$	4,654,058	$	5,516,488
Total	$	777,454	$	3,988,109	$	4,765,563	$	522,744	$	1,856,025	$	2,378,769
Liabilities:
Interest rate hedging derivatives (2)	$	10,559	$	—	$	10,559	$	1,922	$	—	$	1,922
Derivative liabilities (2)	$	10,992	$	—	$	10,992	$	25,205	$	—	$	25,205
Foreign currency hedging derivatives (2)	9,594		—		9,594		2,630		—		2,630
DST financing obligation	—		562,587		562,587		—		350,125		350,125
DST financing obligation (2)	—		252,840		252,840		—		52,123		52,123
Total	$	10,992	$	562,587	$	573,579	$	25,205	$	350,125	$	375,330
Total	$	20,153	$	252,840	$	272,993	$	4,552	$	52,123	$	56,675

(1) Included within Other assets within the Condensed Consolidated Balance Sheets.

(2) Included within Other liabilities within the Condensed Consolidated Balance Sheets.

The following table details the Company’s assets and liabilities measured at fair value on a recurring basis using Level 3 inputs:


	Investments in real estate debt		Investments in unconsolidated real estate affiliates		Total Assets		DST Financing Obligation
Balance as of December 31, 2025	$	852,355	$	3,801,703	$	4,654,058	$	350,125
Purchases	174,519		359,436		533,955		—
Sales	(65,395)		—		(65,395)		—
Distributions received	—		(127,799)		(127,799)		—
Interest income	1,108		—		1,108		—
DST Program proceeds	—		—		—		211,125
Included in net income
Net gain on fair value of DST financing obligation	—		—		—		1,337
Gain on fair value of investments in real estate debt	264		—		264		—
Income from unconsolidated real estate affiliates measured at fair value	—		204,808		204,808		—
Balance as of March 31, 2026	$	962,851	$	4,238,148	$	5,200,999	$	562,587

	Investments in real estate debt		Investments in unconsolidated real estate affiliates		Total Assets		DST Financing Obligation
Balance as of December 31, 2024	$	113,939	$	1,742,086	$	1,856,025	$	52,123
Purchases	333,385		2,225,992		2,559,377		—
Sales	(58,803)		(559,965)		(618,768)		—
Distributions received	—		(228,770)		(228,770)		—
DST Program proceeds	—		—		—		202,448
Included in net income
Realized gain on sale of DST Interests	—		—		—		(1,040)
Unrealized loss on fair value of DST financing obligation	—		—		—		(691)
Gain on fair value of investments in real estate debt	3,352		—		3,352		—
Income from unconsolidated real estate affiliates measured at fair value	—		416,893		416,893		—
Balance as of September 30, 2025	$	391,873	$	3,596,236	$	3,988,109	$	252,840

Valuation of assets measured at fair value on a nonrecurring basis

Certain of the Company’s assets are not measured at fair value on an ongoing basis but are subject to fair value adjustments, such as when there is evidence of impairment, and therefore such assets are measured at fair value on a nonrecurring basis. The Company reviews its real estate properties for impairment each quarter and when there is an event or change in circumstances that could indicate the carrying amount of the real estate value may not be recoverable. During

the three months ended March 31, 2026, the Company recorded impairment expense of $22,734 related to its real estate properties. The Company did not record impairment expense during the three months ended March 31, 2025.

Valuation of liabilities not measured at fair value

As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the fair value of the Company’s unsecured term loan credit facility, unsecured revolving credit facility, mortgages payable, unsecured senior notes, and other borrowings was $1,~~325~~008 ~~above~~ and $~~910~~1,136 ~~below~~above carrying value, respectively. Fair value of the Company’s indebtedness is estimated by modeling the cash flows required by the Company’s debt agreements and discounting them back to the present value using an estimated market yield. Additionally, the Company considers current market rates and conditions by evaluating similar borrowing agreements with comparable loan-to-value ratios and credit profiles. The inputs used in determining the fair value of the Company’s indebtedness are considered Level 3. Fair value information pertaining to debt is provided in Note 9 –- Debt.

Allowance for Credit Losses

The Company analyzes its Investments in leases - Financing receivables, net, certain of its investments in real estate debt which are held-to-maturity and its investment in loans receivable, which are included within Investments in real estate debt in ~~our~~the Company’s Condensed Consolidated Balance Sheets, for potential credit losses under the current expected credit losses (“CECL”) model. The allowance for credit losses is measured, considering the Company’s ownership of the leased asset, using a probability of default method based on the lessee’s and borrower’s respective credit ratings, the expected value related to releasing underlying assets or collateral, our historical loss experiences, and other factors related to other sale-leasebacks accounted for as financing receivables, and our investments in real estate debt ~~held-to-maturity, and our investments in loans receivable~~. Included in our model are factors that incorporate forward-looking information. Changes in the allowance for credit losses are subsequently included in the Company’s Condensed Consolidated Statements of Operations within General and administrative expenses and as a reduction to Investments in leases - Financing receivables, net and Investments in real estate debt onin ~~our~~the Company’s Condensed Consolidated Balance Sheets. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the Company has recorded an allowance for credit losses of $22,~~471~~616 and $22,~~934~~515, respectively, related to its Investments in leases - Financing receivables, net. As of ~~September~~March 3031, 2026 and December 31, 2025, the Company has recorded an allowance for credit losses of $2,~~276~~607 ~~related~~and to$2,829, ~~its~~respectively, ~~investments in real estate debt designated as held-to-maturity. The Company did not record an allowance for credit losses~~ related to its investments in real estate debt designated as held-to-maturity ~~as of December 31, 2024~~. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the Company has not recorded an allowance for credit losses related to its investments in loans receivable. Refer to Note 6 - Investments in Real Estate Debt for additional information.

Earnings Per Share

Basic net income per common share is determined by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the period. All classes of common shares are allocated net income/(loss) at the same rate per share and receive the same gross distribution per share.

The impact of the vested restricted Class I shares held by our trustees is included in our calculation of basic earnings per share. Redeemable Class I shares issued to the Adviser as payment for management fees and interest on the affiliate line of credit and incentive compensation awards of units of NLT OP (“OP Units”) to certain employees of the Adviser are included in our calculation of diluted earnings per share.

Share-Based Compensation

We compensate each of our non-employee trustees on the Board of Trustees who are not affiliated with Blue Owl with an annual retainer of restricted Class I shares as part of their compensation for services on the Board of Trustees. See Note 13 - Equity and Non-Controlling Interest for additional information regarding share-based compensation. We recognize compensation expense related to share-based awards to our independent trustees in our condensed consolidated financial statements based on the fair value of the award on the date of grant.

Recently Issued Accounting Pronouncements Not Yet Adopted

The Company considers the applicability and impact of all accounting standards and pronouncements issued by the FASB. Accounting standards and pronouncements not yet adopted were assessed and determined to be either not applicable or are expected to have minimal impact on the Company’s results of operations, financial position, and cash flows.

In ~~December~~November ~~2023~~2024, the FASB issued ASU ~~2023~~2024-0903, Disaggregation of Income ~~Taxes~~Statement Expenses (~~Topic~~Subtopic ~~740~~220-40), ~~Improvements to Income Tax Disclosures,~~ which requires ~~the~~disaggregated disclosure of ~~tax rate reconciliations, amount of~~ income ~~taxes~~statement ~~separate~~expenses byfor ~~federal~~public ~~and~~business ~~individual~~entities ~~jurisdiction, and the amount of income~~ (~~loss~~“PBEs”) ~~from operations before income tax expense (benefit) disaggregated between federal, state and foreign~~. The ~~amendments in~~ ASU ~~2023-09~~does ~~apply~~not tochange ~~all entities subject to Topic 740. The ASU is effective for annual periods beginning after December 15, 2024. Entities may elect to apply~~ the ~~amendments~~expense ~~either~~caption ~~prospectively~~an orentity ~~retrospectively.~~presents ~~Early~~on ~~adoption is permitted. Entities may elect to apply~~ the ~~amendments~~face ~~either prospectively or retrospectively. The Company is currently assessing the impact~~ of ~~adopting~~ the ~~standard~~income onstatement; ~~the~~rather, ~~Company’s~~it ~~financial~~requires ~~statement disclosures.~~

In November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses (Subtopic 220-40), which requires disaggregated disclosure of income statement expenses for public business entities (“PBEs”). The ASU does not change the expense caption an entity presents on the face of the income statement; rather, it requires disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the financial statements. The amendments in ASU 2024-03 apply to all PBEs, including entities that file or furnish financial statements with the SEC, inclusive of brokers and dealers in securities and voluntary filers. The ASU should be adopted prospectively, however, retrospective adoption is permitted. In January 2025, the FASB issued ASU 2025-01, Income Statement-Reporting Comprehensive Income - Expense Disaggregation Disclosures, which clarified the effective date of ASU 2024-03. The ASU is effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods with annual reporting periods beginning after December 15, 2027. Early adoption is permitted. Entities may elect to apply the amendments either prospectively or retrospectively. The Company is currently assessing the impact of adopting the standard on the Company’s financial statement disclosures.13

Indisaggregation ~~May~~of ~~2025,~~certain ~~the~~expense ~~FASB~~captions ~~issued~~into ~~ASU~~specified ~~2025-03~~categories ~~Business~~in ~~Combinations~~disclosures ~~(Topic~~within ~~805)~~the ~~and~~footnotes ~~Consolidation~~to ~~(810):~~the ~~Determining~~financial ~~the~~statements. ~~Accounting~~The ~~Acquired~~amendments in ~~the~~ASU ~~Acquisition~~2024-03 ofapply ato ~~Variable~~all ~~Interest Entity~~PBEs, ~~which~~including ~~revises~~entities ~~guidance~~that infile ~~ASC~~or ~~805~~furnish onfinancial ~~identifying~~statements with the ~~accounting~~SEC, ~~acquired~~inclusive inof abrokers ~~business~~and ~~combination~~dealers in ~~which~~securities ~~the~~and ~~legal~~voluntary ~~acquiree is a variable interest entity (VIE)~~filers. The ASU isshould ~~intended~~be toadopted ~~improve~~prospectively, ~~comparability~~however, ~~between~~retrospective ~~business~~adoption ~~combinations~~is ~~that~~permitted. ~~involve~~In ~~VIEs~~January ~~and~~2025, ~~those~~the ~~that~~FASB doissued ~~not. Under~~ ASU 2025-0301, aIncome ~~reporting~~Statement-Reporting ~~entity~~Comprehensive ~~involved~~Income ~~in a business combination effected primarily by the exchange of equity interests must consider the factors in ASC 805~~-~~10-55-12~~ ~~through~~Expense ~~55-15~~Disaggregation toDisclosures, ~~determine~~ which ~~entity~~clarified is the ~~accounting~~effective ~~acquirer~~date ~~regardless~~ of ~~whether~~ASU ~~the~~2024-03. ~~legal~~The ~~acquiree~~ASU is aeffective ~~VIE.~~for ~~More~~annual ~~specifically, when considering those factors, the~~ reporting ~~entity~~periods ~~can~~beginning ~~determine~~after ~~that~~December a15, ~~transaction~~2026, inand ~~which~~interim ~~the~~reporting ~~legal~~periods ~~acquiree~~with isannual areporting ~~VIE~~periods ~~represents~~beginning aafter ~~reverse~~December ~~acquisition~~15, ~~(in~~2027. ~~which~~Early ~~the~~adoption ~~legal acquirer~~ is ~~identified as the acquiree for accounting purposes)~~permitted. AsEntities amay ~~result,~~elect ~~comparability~~to isapply ~~increased with business combinations in which~~ the ~~legal~~amendments ~~acquiree~~either isprospectively aor ~~VOE~~retrospectively. ~~ASU~~The ~~2025-03~~Company is ~~effective~~currently ~~for~~assessing ~~fiscal~~the ~~years~~impact ~~beginning~~of ~~after~~adopting ~~December~~the ~~15,~~standard ~~2026,~~on ~~including~~the ~~interim~~Company’s ~~periods~~financial ~~within~~statement ~~those fiscal years~~disclosures. ~~Early adoption is permitted. The amendments in ASU 2025-03~~

In May 2025, the FASB issued ASU 2025-03 Business Combinations (Topic 805) and Consolidation (810): Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity, which revises guidance in ASC 805 on identifying the accounting acquirer in a business combination in which the legal acquiree is a variable interest entity (VIE). The ASU is intended to improve comparability between business combinations that involve VIEs and those that do not. Under ASU 2025-03, a reporting entity involved in a business combination effected primarily by the exchange of equity interests must consider the factors in ASC 805-10-55-12 through 55-15 to determine which entity is the accounting acquirer regardless of whether the legal acquiree is a VIE. More specifically, when considering those factors, the reporting entity can determine that a transaction in which the legal acquiree is a VIE represents a reverse acquisition (in which the legal acquirer is identified as the acquiree for accounting purposes). As a result, comparability is increased with business combinations in which the legal acquiree is a VOE. ASU 2025-03 is effective for fiscal years beginning after December 15, 2026, including interim periods within those fiscal years. Early adoption is permitted. The amendments in ASU 2025-03 must be applied prospectively to any business combination that occurs after the adoption date. The Company is currently assessing the impact of adopting the standard on the Company’s financial statement disclosures.

must be applied prospectively to any business combination that occurs after the adoption date. The Company is currently assessing the impact of adopting the standard on the Company’s financial statement disclosures.

3. Acquisitions and Dispositions

Acquisitions

The following tables set forth the acquisition values, number of properties, and total rentable square feet of gross leasable area (“GLA”) of the Company for the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025. For acquisitions not denominated in USD, the amounts have been presented in USD at the prevailing foreign exchange rate on the acquisition date:.

	Nine Months Ended September 30, 2025
	Three Months Ended March 31, 2026
Property Type	Acquisition Value		Number of Properties	Square Feet (in thousands) ~~(3)~~
Industrial (1) (2)	$	41,726	2	530
Industrial	$	151,223	8	721
Retail	~~127~~2,~~969~~629		221	~~220~~2
Land	54,959		1	16,369
Total	$	153,852	9	723
Total	$	224,654	25	17,119

(1) The Company issued $17,100 of OP Units as consideration for the acquisition of one of the industrial properties.


	Three Months Ended March 31, 2025
Property Type	Acquisition Value		Number of Properties	Square Feet (in thousands)
Retail	$	105,081	16	160

~~(2)~~The ~~Includes~~following ~~assets~~table ~~held~~details inthe apurchase ~~consolidated~~price ~~joint~~allocation ~~venture~~for ~~further~~the ~~described~~properties ~~below.~~acquired during the three months ended March 31, 2026 and 2025:

~~(3) A portion of the square footage for the industrial properties includes properties relates to build-to-suit assets.~~14

			Nine Months Ended September 30, 2024
	Three Months Ended
Property Type			Acquisition Value				Number of Properties	Square Feet (in thousands)(1)
	March 31, 2026				March 31, 2025
Industrial			$	248,930			29	3,183
Buildings	$	86,598			$	20,236
Retail			176,321				7	144
Land and land improvements	35,250				7,339
Total			$	425,251			36	3,327
Financing receivables	22,720				74,133
In-place lease intangibles	4,917				1,448
Above-market lease intangible liabilities	208				—
Below-market lease intangible liabilities	(54)				—
Other lease intangibles	4,213				1,925
Total Purchase Price	$	153,852			$	105,081

~~(1)~~Additionally, ~~The~~during ~~square~~the ~~footage~~three ~~for~~months ended March 31, 2026, the ~~retail~~Company ~~property~~paid $61,900 in additional purchase price for existing investments and arecorded ~~portion~~an ofadditional ~~industrial~~$7,623 ~~properties~~in ~~relates~~capital toexpenditures ~~build-~~related to~~-suit~~ ~~assets~~existing investments.

The following table details the purchase price allocation for the properties acquired during the nine months ended September 30, 2025 and 2024:

	Nine Months Ended
	September 30, 2025		September 30, 2024
Buildings	$	46,511	$	160,219
Land and land improvements (1)	20,836		48,122
Construction in process (1)	20,155		48,050
Financing receivables	129,092		147,266
In-place lease intangibles	3,660		13,964
Other lease intangibles	4,467		15,121
Below-market lease intangible liabilities	(67)		(7,491)
Total Purchase Price	$	224,654	$	425,251

(1) Includes assets held in a consolidated joint venture further described below.

During the nine months ended September 30, 2025, the Company contributed land of $3,480 in exchange for a 99% ownership interest in PsiQuantum JV. PsiQuantum JV was formed to facilitate the funding and development of a quantum computing facility leased to PsiQuantum in a build-to-suit arrangement. The Company consolidates the joint venture under the voting interest model. Refer to Note 14 - Commitments and Contingencies for additional information.

Dispositions

During the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026, the Company ~~contributed~~disposed ~~15 LV Petroleum properties and a mortgage loan with a net value~~ of ~~$279,679~~three industrial build-to-suit ~~LVP~~properties ~~Portfolio Master REIT LLC (“LV Petroleum JV”) in exchange~~ for atotal ~~50.9% ownership interest in LV Petroleum JV and cash~~ proceeds of $~~137~~4,~~322.~~010 Inand ~~conjunction with the contribution, the Company~~ recognized a ~~loss~~net gain on ~~disposition~~dispositions of ~~$2,180~~real ~~due~~estate ~~to the reversal~~ of ~~non-cash accretion of tenant loan receivables~~$724. The properties were previously accounted for as failed sale-leaseback transactions and primarily included within Investments in leases - Financing receivables. See Note 5 - Investments in Unconsolidated Real Estate Affiliates for additional information.

During the ~~nine~~three months ended ~~September~~March 3031, ~~2024~~2025, the Company ~~disposed~~contributed of15 ~~one~~LV ~~retail~~Petroleum ~~property,~~properties ~~one~~and ~~industrial~~a ~~property,~~mortgage ~~one~~loan ~~land~~with ~~property~~a ~~and~~net ~~one~~value ~~parcel~~ of ~~excess~~$279,679 ~~land~~to atLVP anPortfolio ~~industrial~~Master ~~property~~REIT LLC (“LV Petroleum JV”) in exchange for ~~total~~a ~~net~~50.9% ownership interest in LV Petroleum JV and cash proceeds of $~~256~~137,~~813~~322. ~~and~~In conjunction with the contribution, the Company recognized a ~~net~~loss ~~gain~~ on ~~dispositions~~disposition of $432,~~620~~180 due to the reversal of non-cash accretion of tenant loan receivables. The properties were previously accounted for as failed sale-leaseback transactions and primarily included within Investments in leases - Financing receivables.

4. Investments in Real Estate, net

Investments in real estate, net consisted of the following:

	September 30, 2025		December 31, 2024
	March 31, 2026		December 31, 2025
Buildings	$	23,~~539~~422,~~609~~021	$	23,~~441~~361,~~729~~710
Land and land improvements	~~640~~856,~~694~~541		~~603~~816,~~069~~973
Construction in process	62108,~~685~~241		~~110~~86,~~728~~419
Furniture, fixtures and equipment	1,~~374~~176		—1,374
Total	34,~~244~~387,~~362~~979		34,~~155~~266,~~526~~476
Accumulated depreciation	(~~231~~287,~~333~~457)		(~~159~~257,~~217~~852)
Investments in real estate, net	$	34,~~013~~100,~~029~~522	$	24,~~996~~008,~~309~~624

Assets of $3114,~~294~~280 relating to build-to-suit properties previously acquired in sale -leaseback transactions were placed into service during the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026, including $2513,~~722~~128 previously classified as construction in progress and $51,~~572~~152 previously classified as investments in real estate debt. As of ~~September~~March 3031, ~~2025~~2026, the assets are presented as $51,~~652~~223 of land, $199,~~099~~475 of building, and $63,~~543~~582 of land improvements.

~~Assets~~No ofconstruction ~~$5,603 relating to one build-to-suit property previously acquired~~ in aprogress ~~sale~~was ~~leaseback transaction were~~ placed into service during the ~~nine~~three months ended ~~September~~March 3031, ~~2024, including $4,813 previously classified as construction in progress and $790 previously classified as investments in real estate debt~~2025. ~~As of September 30, 2024, the assets are presented as $894 of land, $3,699 of building, and $1,010 of land improvements.~~

The total rentable square feet of GLA of the Company was 1926,~~875~~222 and 1819,~~244~~228 thousand square feet as of ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025, respectively, of which approximately 99100% and 99% was leased, respectively.

5. Investments in Unconsolidated Real Estate Affiliates

The Company owns interests in unconsolidated real estate investments with third parties. Aswhich ofare ~~September 30,~~primarily ~~2025~~accounted ~~and~~for ~~December 31,~~under ~~2024,~~the ~~investments in unconsolidated real estate affiliates were $3,601,501 and $1,747,787, respectively~~FVO.

~~Poseidon~~The following table details the Company’s investments in unconsolidated real estate affiliates:

On July 22, 2025, the Company made an indirect investment of $176,506 through OT Liquid Investor LLC, a subsidiary of the Company, for a 51.0% interest in BO Poseidon JV LLC (“Poseidon JV”). Poseidon JV was formed as a joint venture with PCSD PR CAP VII M Private Limited to facilitate investment in a loan collateralized by the investment of funds managed by Blackstone Infrastructure Partners in Safe Harbor Marinas. The Company has elected to account for the investment using the FVO under ASC 825. During the nine months ended September 30, 2025, the Company contributed an additional $2,435 to fund capital calls and has received $3,226 in distributions from Poseidon JV.


			Ownership Percentage		Carrying Amount of Investment
Investment	Number of Investments	Number of Properties	March 31, 2026	December 31, 2025	March 31, 2026		December 31, 2025
Unconsolidated real estate affiliates accounted for under the equity method
Net lease	1	2	49.1%	49.1%	$	5,127	$	5,163
Total unconsolidated real estate affiliates accounted for under the equity method	1	2			$	5,127	$	5,163

Unconsolidated real estate affiliates accounted for under the FVO
STORE (1)	1	3,577	22.4%	22.4%	$	2,543,719	$	2,452,660
Net lease	2	24	50.9%	50.9%	232,178		208,949
Investments in real estate debt	4	—	51.0% - 85.0%	51.0% - 60.0%	323,013		188,973
Net lease data centers	8	16	3.0% - 84.7%	10.6% - 65.5%	1,139,238		951,121
Total unconsolidated real estate affiliates accounted for under the FVO	15	3,617			$	4,238,148	$	3,801,703
Total unconsolidated real estate affiliates	16	3,619			$	4,243,275	$	3,806,866

~~Oracle~~(1) The Company has determined that STORE is a significant subsidiary under SEC Regulation S-X Rule 10-01(b) as of March 31, 2026.

OnThe ~~April 9,~~following ~~2025,~~table details the Company’s ~~made~~income ~~an indirect investment of $308,212 through BOREC Longhorn Member LLC in Longhorn JV, LLC~~ (~~“Oracle 1-2 JV”~~loss). ~~Oracle~~from ~~1-2~~unconsolidated JV was formed to facilitate the investment of BOREC Longhorn Member LLC and Crusoe Abilene, LLC to fund the development of a two-building data center leased to Oracle America, Inc. in a build-to-suit arrangement. BOREC Longhorn Member LLC owns 92.3% of Oracle 1-2 JV. The Company holds a entities:


	Three Months Ended
Investment	March 31, 2026		March 31, 2025
Unconsolidated real estate affiliates accounted for under the equity method
Net lease	$	43	$	(70)
Total unconsolidated real estate affiliates accounted for under the equity method	$	43	$	(70)

Unconsolidated real estate affiliates accounted for under the FVO
STORE	$	136,606	$	89,371
Net lease	17,829		20,832
Investments in real estate debt	8,125		—
Net lease data centers	42,248		(746)
Total unconsolidated real estate affiliates accounted for under the FVO	$	204,808	$	109,457
Total unconsolidated real estate affiliates	$	204,851	$	109,387

48% membership interest in BOREC Longhorn Member LLC. Subsequent to its initial investment, the Company contributed an additional $1,466 to BOREC Longhorn Member LLC. Additionally, during the period from the Company’s initial investment through September 30, 2025, the Company received $9,679 in distributions from BOREC Longhorn Member LLC. The ~~Company~~following ~~has~~table ~~elected~~provides tosummarized ~~account~~income ~~for~~statement ~~the~~information ~~investment~~of ~~using~~our ~~the~~significant ~~FVO~~unconsolidated ~~under~~real ~~ASC~~estate ~~825.~~ affiliates:

On May 16, 2025, the Company made an indirect investment of $31,534 through Blue Owl B3 and B4 Aggregator LLC (“B3-B4 Aggregator”) to acquire an indirect 9.1% interest in Longhorn JV 3, LLC and Longhorn JV 4, LLC (collectively, “Oracle 3-4 JV”), and the Company made an indirect investment of $361,586 through Blue Owl B5 B6 B7 B8 Aggregator LLC (“B5-B8 Aggregator”) to acquire an indirect 92.5% interest in Longhorn JV 5, LLC, Longhorn JV 6, LLC, Longhorn JV 7, LLC, and Longhorn JV 8, LLC (collectively, “Oracle 5-8 JV”). Oracle 3-4 JV and Oracle 5-8 JV were formed as joint ventures with affiliates of Crusoe Abilene, LLC to facilitate the development of six additional data center buildings leased to Oracle America, Inc. in build-to-suit arrangements. During the nine months ended September 30, 2025, the Company contributed an additional $28,480 and $410,657 to B3-B4 Aggregator and B5-B8 Aggregator, respectively. Additionally, B3-B4 Aggregator and B5-B8 Aggregator made distributions of $174,654 and $19,989, respectively, of which the Company received $15,908, including return of capital distributions of $14,668, and $13,061, respectively. The Company subsequently sold a portion of its investment in B5-B8 Aggregator to other vehicles managed by Blue Owl Real Assets for $559,964. As of September 30, 2025, the Company holds a 9.1% and 21.2% membership interest in B3-B4 Aggregator and B5-B8 Aggregator, respectively. As of September 30, 2025, B3-B4 Aggregator owns a weighted average interest of 90.7% in Oracle 3-4 JV and B5-B8 Aggregator owns a weighted average of 90.7% in Oracle 5-8 JV. The Company has elected to account for the investments using the FVO under ASC 825.


	Three Months Ended
	March 31, 2026		March 31, 2025
Total revenue	$	341,925	$	303,884
Net income	$	72,422	$	52,674

~~LV Petroleum~~ 16

During the nine months ended September 30, 2025, the Company contributed 15 of its LV Petroleum assets and a mortgage loan for cash proceeds of $137,322 and a 50.9% interest in LV Petroleum JV, a joint venture with Blue Owl Promote G II LLC, valued at $142,357. The Company also contributed an additional $43,774 to LV Petroleum JV to fund of the acquisition of three additional assets and $19,789 to fund capital calls initiated by LV Petroleum JV. During the nine months ended September 30, 2025, LV Petroleum JV made distributions of $124,972, of which the Company received $63,611, including return of capital distributions of $57,795. The Company has elected to account for the investment using the FVO under ASC 825.

CoreWeave

On August 27, 2024, the Company made an indirect investment of $11,812 through BOREC Spider Member LLC in Project Spider JV LLC (“CoreWeave CTP-02 JV”). CoreWeave CTP-02 JV was formed to facilitate the investment of BOREC Spider Member LLC and AREP Chirisa CTP2 JV LLC to fund the development of a single-story data center leased to CoreWeave, Inc. in a build-to-suit arrangement. As part of its investment in CoreWeave CTP-02 JV, BOREC Spider Member LLC has agreed to fund its 95% share of the estimated total development cost of $726,895 through pro-rata capital contributions over the course of approximately 23 months, including amounts funded as of September 30, 2025. The Company holds a 15% membership interest in BOREC Spider Member LLC. During the nine months ended September 30, 2025, the Company contributed an additional $8,671 to BOREC Spider Member LLC to fund capital calls initiated by CoreWeave CTP-02 JV. Additionally, BOREC Spider Member LLC made distributions of $18,818, of which the Company received $2,823. The Company has elected to account for the investment using FVO under ASC 825.

On May 23, 2025, the Company made an indirect investment of $4,538 through BOREC Spider Member III LLC in Project Spider III JV LLC (“CoreWeave CTP-03 JV”). CoreWeave CTP-03 JV was formed to facilitate the investment of BOREC Spider Member III LLC and AREP Chirisa CTP3 JV LLC to fund the development of a single-story data center leased to CoreWeave, Inc. in a build-to-suit arrangement. As part of its investment in CoreWeave CTP-03 JV, BOREC Spider Member III LLC has agreed to fund its 95% share of the estimated total development cost of $746,114 through pro-rata capital contributions over the course of approximately 26 months, including amounts funded as of September 30, 2025. The Company holds an 11.3% membership interest in BOREC Spider Member III LLC. During the nine months ended September 30, 2025, the Company contributed an additional $4,999 to fund capital calls initiated by CoreWeave CTP-03 JV to BOREC Spider Member III LLC. Additionally, BOREC Spider Member III LLC made distributions of $67, of which the Company received $8. The Company has elected to account for the investment using FVO under ASC 825.

STORE

On February 3, 2023, the Company made an indirect investment through Ivory OSREC OS Aggregator LLC (“OS Aggregator”) in STORE, a publicly traded REIT invested in net-lease real estate, in an all-cash, take-private transaction. The Company has elected to account for the investment using the FVO under ASC 825. In connection with closing of the

initial investment, OS Aggregator signed a Forward Interest Purchase Agreement (the “FIPA”) pursuant to which it agreed to purchase additional indirect interests in STORE such that OS Aggregator would own, in aggregate, an indirect 25% membership interest in STORE prior to the first anniversary of the closing of the initial investment, representing an aggregate additional investment of approximately $1,063,000 as of the signing date.

On February 6, 2024, subsidiaries of the Company entered into promissory notes with SuNNNy Days, LLC, an affiliate of GIC Private Limited (“GIC”), to borrow $287,844 (the “FIPA Loan”) in exchange for assignment of ownership of the remaining units OS Aggregator was required to purchase under the FIPA. Such assignment resulted in OS Aggregator reaching an indirect 25% membership interest in STORE and meeting the obligations of the FIPA. The FIPA Loan had an interest rate of 9.0% and a term of 18 months, with a maturity date of August 1, 2025. During the year ended December 31, 2024, the Company repaid the FIPA Loan through the use of proceeds from the issuance of common shares.

On February 24, 2025, the Company, through OS Aggregator, and other vehicles managed by Blue Owl Real Assets (together with the Company, “Blue Owl Vehicles”) entered into a Membership Interest Purchase Agreement, pursuant to which Blue Owl Vehicles acquired an additional 26% indirect interest (the “Transaction”) in STORE, resulting in a total 51% indirect ownership interest in STORE. In conjunction with the Transaction, the Company funded an additional $252,145, plus its pro rata share of transaction costs, through OS Aggregator to acquire an additional 2.5% indirect interest in STORE. Additionally, the Company agreed to fund up to a maximum of $474,150 for incremental indirect interests in STORE. During the nine months ended September 30, 2025, OS Aggregator sold indirect interests in STORE to Ivory OSREC OS Co-Invest Aggregator LLC for $337,000, and the Company contributed an additional $263,069 to acquire additional indirect interest in STORE through OS Aggregator. As of September 30, 2025, there were no remaining additional fundings for incremental indirect interests in STORE required from the Company related to the Transaction.

During the nine months ended September 30, 2025, the Company contributed an additional $165,774 to fund capital calls initiated by STORE and other expenses and OS Aggregator made distributions of $171,901, of which the Company received $111,826. As of September 30, 2025, the Company owns a 64.5% interest in OS Aggregator. The initial and incremental investments made by the Company and affiliates of the Company in OS Aggregator were $3,555,630, representing 30.8% ownership percentage of interest in STORE. As of September 30, 2025, the fair value of the Company’s investment in STORE was $2,442,812, representing an 22.4% ownership percentage of interest in STORE.

The Company has determined that STORE is considered a significant subsidiary under SEC Regulation S-X Rule 10-01(b) as of September 30, 2025.

The following table provides summarized income statement information of STORE for the three and nine months ended September 30, 2025 and 2024 (amounts in thousands):

	Three Months Ended				Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
Total revenue	$	305,624	$	277,253	$	911,339	$	819,576
Net income	$	33,754	$	185,160	$	113,178	$	530,267

The following tables detail the Company’s investments in unconsolidated real estate affiliates:

	Ownership Percentage (1)				Carrying Amount of Investment
Investment	September 30, 2025		December 31, 2024		September 30, 2025		December 31, 2024
STORE Capital LLC	22.4	%	16.4	%	$	2,442,812	$	1,704,458
Blue Owl NL Opportunity Credit REIT E LLC ("Fleet Farm JV") (2)	49.1	%	49.1	%	5,265		5,701
Blue Owl NL Opportunity Credit Holdings REIT LLC ("Tenneco JV") (3)	50.9	%	50.9	%	31,959		28,808
CoreWeave JVs (4)	14.0	%	14.3	%	32,617		8,820
LV Petroleum JV	50.9	%	—	%	191,186		—
Oracle JVs (5)	35.4	%	—	%	718,587		—
Poseidon JV	51.0	%	—	%	179,075		—
Total					$	3,601,501	$	1,747,787

	ORENT's Share of Unconsolidated Entities' Income (Loss)
	Three Months Ended				Nine Months Ended
Investment	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
STORE Capital LLC	$	28,190	$	22,655	$	169,192	$	90,897
Fleet Farm JV (2)	2		(232)		(93)		(58)
Tenneco JV (3)	1,006		691		4,653		5,669
CoreWeave JVs (4)	16,709		(303)		15,549		(303)
LV Petroleum JV	20,363		—		48,876		—
Oracle JVs (5)	161,712		—		175,269		—
Poseidon JV	3,360		—		3,360		—
	$	231,342	$	22,811	$	416,806	$	96,205

(1) Ownership percentages reflect weighted average ownership as of September 30, 2025.

(2) On August 12, 2022, the Company formed Fleet Farm JV, a joint venture in which the Company holds a 49.1% interest and accounts for using the equity method of accounting. As of September 30, 2025, the joint venture wholly owns two assets that are 100% leased to a single tenant under a triple-net lease.

(3) On June 5, 2023, the Company formed Tenneco JV, a joint venture in which the Company holds a 50.9% interest and accounts for using the FVO under ASC 825. As of September 30, 2025, the joint venture wholly owns six assets that are 100% leased to a single tenant under triple-net leases.

(4) Includes CoreWeave CTP-02 JV and CoreWeave CTP-03 JV, of which the Company owns 14.3% and 10.8%, respectively, as of September 30, 2025.

(5) Includes Oracle 1-2 JV, Oracle 3-4 JV and Oracle 5-8 JV, of which the Company owns 44.3%, 8.2%, and 19.2%, respectively, as of September 30, 2025.

6. Investments in Real Estate Debt

The following tables detail the Company’s investments in real estate debt asheld ofat ~~September 30,~~fair ~~2025, consist of $767,089 in CMBS, $391,873 in commercial real estate loans, $359,492 in Horizontal Risk Retention Interests (“HRRs”), and $15,377 in investments in loans receivable.~~value:

	September 30, 2025
	March 31, 2026
Type of Security/Loan	Weighted AverageCoupon (1) (2)		Weighted Average Maturity Date (3)	FaceAmount		Cost Basis		Fair Value
CMBS (4)	SOFR + 4%		14/1723/~~2035~~2042	$	~~761~~994,~~933~~382	$	~~764~~993,~~344~~934	$	~~767~~993,~~089~~119
Commercial real estate loans (5)	10	%	2/25/2030	391,758		388,521		391,873
Commercial real estate loans (4) (5)	8%		7/9/2030	958,226		950,069		962,851
Total investments in real estate debt (6)	98%	%		$	1,~~153~~952,~~691~~608	$	1,~~152~~944,~~865~~003	$	1,~~158~~955,~~962~~970


	December 31, 2025
Type of Security/Loan	Weighted Average Coupon(1) (2)	Weighted Average Maturity Date (3)	Face Amount		Cost Basis		Fair Value
CMBS (4)	SOFR + 4%	1/24/2036	$	850,286	$	849,316	$	853,531
Commercial real estate loans (4) (5)	9%	6/6/2030	848,991		844,731		852,355
Total investments in real estate debt (6)	8%		$	1,699,277	$	1,694,047	$	1,705,886

(1)The term SOFR refers to the relevant floating benchmark rate, one-month SOFR.

(2)The weighted average coupon for our CMBS includes both floating and fixed rate investments. Fixed rate CMBS represent a spread over SOFR for purposes of the weighted average calculation.

(3)The weighted average maturity date is based on the fully extended maturity date of the instrument.

(4)Includes investments pledged as collateral under a secured financing agreement. See Note 9 - Debt for additional information.

(5)Certain commercial real estate loans include future funding obligations to ~~borrower~~borrowers. See Note 14 - Commitments and Contingencies.

(6)Total investments in real estate debt per the tables above exclude our investments in ~~HRRs~~CMBS investments classified as held-to-maturity and loans receivable, ~~described~~which are presented below.

	December 31, 2024
Type of Security/Loan	Weighted AverageCoupon(1) (2)		Weighted Average Maturity Date (3)	FaceAmount		Cost Basis		Fair Value
CMBS	SOFR + 4%		4/29/2036	$	503,280	$	503,379	$	505,537
Commercial real estate loans	12	%	4/5/2028	114,089		113,939		113,939
Total investments in real estate debt (4)	9	%		$	617,369	$	617,318	$	619,476

(1)The term SOFR refers to the relevant floating benchmark rate, one-month SOFR.

(2)The weighted average coupon for our CMBS includes both floating and fixed rate investments. Fixed rate CMBS represent a spread over SOFR for purposes of the weighted average calculation.

(3)The weighted average maturity date is based on the fully extended maturity date of the instrument.

(4)Total investments in real estate debt per the tables above exclude our investments in HRRs and loans receivable, described below.

The following table details the credit rating of the Company’s investments in real estate debt held at fair value:

	September 30, 2025						December 31, 2024
	March 31, 2026						December 31, 2025
Credit Rating	Cost Basis		Fair Value		Percentage Based on Fair Value		Cost Basis		Fair Value		Percentage Based on Fair Value
Aaa	$	2019,~~000~~998	$	2019,~~043~~913	21	%	$	2519,~~695~~999	$	2520,~~675~~024	41	%
Aa3	—		—		—	%	~~6,072~~—		~~6,091~~—		1—	%
AA-	3,393		3,389		—	%	21,437		21,441		3	%
A2	9,853		9,891		1	%	9,853		9,906		1	%
A-	56,193		56,358		5	%	91,631		91,848		15	%
A3	6,362		6,355		—	%	6,363		6,381		—	%
A3	—		—		—	%	8,189		8,262		1	%
Baa1	5,169		5,160		—	%	5,169		5,174		—	%
Baa3	—		—		—	%	3,007		3,037		—	%
Baa2	70,172		70,071		4	%	—		—		—	%
BBB+	5,169		5,173		—	%	—		—		—	%
Baa3	81,194		80,675		4	%	51,591		51,637		3	%
BBB	7,008		7,025		1	%	12,017		12,032		2	%
Ba1	13,342		13,326		1	%	1,856		1,867		—	%
BBB-	76,674		76,927		7	%	84,391		84,886		14	%
Ba2	197,558		196,824		10	%	270,013		271,579		16	%
Ba2	30,840		30,943		3	%	31,646		31,674		5	%
Ba3	277,854		276,379		14	%	197,084		196,270		12	%
BB+	6,495		6,495		1	%	6,629		6,656		1	%
B1	46,762		47,244		2	%	49,838		51,039		3	%
BB	159,315		160,001		14	%	17,348		17,548		3	%
B2	109,170		108,667		6	%	81,050		81,090		5	%
Ba3	10,011		10,036		1	%	40,057		40,357		7	%
B3	153,051		155,134		8	%	153,053		155,117		9	%
BB-	165,682		165,237		14	%	115,158		115,528		19	%
Unrated	953,518		966,331		49	%	848,178		855,802		50	%
B	18,738		18,773		2	%	—		—		—	%
Total	$	1,944,003	$	1,955,970	100	%	$	1,694,047	$	1,705,886	100	%
B1	69,991		71,329		6	%	—		—		—	%
B3	37,344		37,135		3	%	—		—		—	%
B-	97,491		98,225		8	%	40,102		40,502		7	%
Unrated	388,521		391,873		33	%	113,939		113,939		18	%
Total	$	1,152,865	$	1,158,962	100	%	$	617,318	$	619,476	100	%

The following table provides the activity for the real estate-related securities for the three months ended March 31, 2026:

	Amortized Cost Basis		Gain/(Loss)		Fair Value
Real estate-related securities as of December 31, 2024	$	503,379	$	2,158	$	505,537
Real estate-related securities as of December 31, 2025	$	849,316	$	4,215	$	853,531
Face value of real estate-related securities acquired	535,330		—		535,330
Sale of real estate-related securities	(276,995)		—		(276,995)
Realized gain on sale of real estate-related securities	769		—		769
Interest income associated with real estate-related securities	1,861		—		1,861
Unrealized gain on real estate securities	—		587		587
Real estate-related securities as of September 30, 2025	$	764,344	$	2,745	$	767,089

The following tables detail the Company’s HRR investments which are classified as held-to-maturity and presented at amortized cost. The carrying value of the HRR investments as of September 30, 2025 is net of an allowance for credit losses of $2,276. The Company did not record an allowance for credit losses related to its HRR investments as of December 31, 2024. The Company has the intent and ability to hold its HRR investments until maturity. 17

			September 30, 2025
Face value of real estate-related securities acquired	199,260			—			199,260
Type of Security/Loan			Weighted AverageCoupon(1)			Weighted Average Maturity Date			FaceAmount		Cost Basis		Carrying Value
Sale of real estate-related securities	(55,967)			—			(55,967)
HRRs			SOFR+7%			3/10/2030			$	361,650	$	361,685	$	359,492
Realized gain on sale of real estate-related securities	834			—			834
Interest income associated with real estate-related securities	491			—			491
Unrealized loss on real estate securities	—			(5,030)			(5,030)
Real estate-related securities as of March 31, 2026	$	993,934		$	(815)		$	993,119

21The following tables detail the Company’s CMBS investments which are classified as held-to-maturity and presented at amortized cost. The carrying value of these CMBS investments as of March 31, 2026 and December 31, 2025 is net of an allowance for credit losses of $2,607 and $2,829, respectively. The Company has the intent and ability to hold these CMBS investments until maturity. During the three months ended March 31, 2026, the Company contributed two of its CMBS investments classified as held-to-maturity into an unconsolidated joint venture. Refer to Note 5 - Investments in Unconsolidated Real Estate Affiliates for additional information.

	December 31, 2024
	March 31, 2026
Type of Security/Loan	Weighted AverageCoupon(1)	Weighted Average Maturity Date	FaceAmount		Cost Basis		Carrying Value
HRRs	SOFR+7%	12/15/2029	$	48,800	$	48,941	$	48,941
CMBS	SOFR + 6%	1/21/2030	$	291,000	$	289,896	$	287,610

December 31, 2025

Type of Security/Loan

Weighted Average

Coupon(1)

Weighted Average Maturity Date

Face
Amount

Cost Basis

Carrying Value

CMBS

SOFR + 7%

3/26/2030

387,750

387,229

384,570

(1)The term SOFR refers to the relevant floating benchmark rate, one-month SOFR.

Other Investments

~~During~~The ~~the year ended December 31, 2024, the~~ Company ~~acquired~~has certain land assets related to build-to-suit properties in sale -leaseback transactions ~~for a total purchase price of $28,827~~ which isare being accounted for as an investment in loans receivable and held at amortized cost, as the related lease is not deemed to have commenced until the constructed assets are made available for use by the lessee. Direct costs associated with originating loans are deferred and amortized as an adjustment to interest income over the term of the related loan receivable. During the nine months ended September 30, 2025, the Company placed six build-to-suit properties in service and contributed properties for an interest in LV Petroleum JV, including two of its build-to-suit properties with a balance of $6,623. See Note 4 - Investments in Real Estate, net and Note 5 - Investments in Unconsolidated Real Estate Affiliates for additional information. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the Company held 147 and 2213 investments in loans receivable related to build-to-suit arrangements with a total balance of $156,~~377~~838 and $2710,~~635~~691, respectively, which are included within Investments in real estate debt in the Condensed Consolidated Balance Sheets.

7. DST Program

On August 31, 2023, the Company, through NLT OP, initiated a DST Program to issue and sell up to a maximum aggregate offering amount of $3,000,000 of Interests in one or more DSTs holding DST Properties in private placement. Under the DST Program, DST Properties, which may be sold, contributed, sourced, or otherwise seeded from the Company’s real properties held through NLT OP or from third parties, will be held in one or more DSTs and leased back by wholly owned subsidiaries of NLT OP in accordance with corresponding master lease agreements. NLT OP will have the right, but not the obligation, to acquire the Interests in the applicable DST from the beneficial owners ~~or the applicable DST’s right, title, interest~~ in ~~any portion of the DST Properties from the beneficial owners, in each case, in~~ exchange for cash or OP Units, at a purchase price equal to the fair market value of the beneficial owner’s interest in one or more of the DST Properties (“FMV Buyback Option”). The FMV Buyback Option is exercisable during the one-year option period beginning two years from the final closing of the applicable DST Offering or in such other time frame as provided for in the applicable DST arrangement. After a one-year holding period, investors who receive OP Units pursuant to the FMV Buyback Option generally have the right to cause NLT OP to redeem all or a portion of their OP Units for, at the Company’s sole discretion, common shares of the Company, cash, or a combination of both.

The proceeds received from the DSTs are accounted for as financing obligation liabilities on the Condensed Consolidated Balance Sheets. The sale of Interests in a DST Property is accounted for as a failed sale-leaseback transaction due to the FMV Buyback Option retained by NLT OP and in accordance with ASC 842, the property remains on the Company’s Condensed Consolidated Balance Sheets. The Company has elected to account for the DST financing obligations using the FVO in accordance with ASC 825 and applies the FVO for each financial obligation recognized as Interests are sold, thus the election is occurring on an instrument-by-instrument basis. When the FVO is elected for a financial obligation, the Company subsequently measures the instrument at fair value and separately presents the changes in fair value resulting from instrument specific credit risk, if any, in other comprehensive income. The impact of changes in fair value other than those related to instrument specific credit risk are recorded in earnings, which represents a debit or credit entry, with the offset recorded as an adjustment to the financial obligation each reporting period.

Under the applicable master lease agreements, the Company is responsible for ongoing property management and for making fixed payments to the DSTs regardless of whether the DST Properties’ cash flows are sufficient to cover the payment. Accordingly, a holder of the DST’s beneficial interest receives a fixed payment from the Company and the potential for capital appreciation through the FMV Buyback Option. In exchange for these payments, the Company is entitled to receive the operating cash flows from the properties. For financial reporting purposes, the DST entities are not consolidated by the Company, but the underlying DST Properties and related mortgage debt are included in the condensed consolidated financial statements due to the resulting failed sale-leaseback transactions. The DST Property operations, including rental revenues and property operating expenses associated with the underlying property of each master lease and 18

22obligations using the FVO in accordance with ASC 825 and applies the FVO for each financial obligation recognized as Interests are sold, thus the election is occurring on an instrument-by-instrument basis. When the FVO is elected for a financial obligation, the Company subsequently measures the instrument at fair value and separately presents the changes in fair value resulting from instrument-specific credit risk, if any, in other comprehensive income. The impact of changes in fair value other than those related to instrument-specific credit risk are recorded in earnings, which represents a debit or credit entry, with the offset recorded as an adjustment to the financial obligation each reporting period.

As the FMV Buyback Option is exercised, the financial obligation is settled and is derecognized on the Company’s balance sheet. Upon exercise, management would record the fair value adjustment to its financial obligation to reflect the value of the underlying properties at the date of exercise, and realize a gain or loss, as applicable.

If the FMV Buyback Option expires and is not exercised, the Company would reevaluate the existing failed sale-leaseback conclusions under ASC 842, determine whether a successful sale-leaseback occurs at that time and reevaluate the lease classification in accordance with ASC 842-10-25-1. While this has not happened since the inception of the Company’s DST Program, the Company expects that control of the property would transfer to the DST ~~interest~~Interest holders. Therefore, the real property and the financial obligation would be derecognized from the Company’s balance sheet and the Company would recognize a gain or loss, as applicable. The Company expects that the master lease would be classified as an operating lease, and as such, the Company would record a right-of-use asset and lease liability based on the guidance under ASC 842. The establishment of these assets and liabilities under ASC 842 would preclude any future accounting under a fair value election at that time.

During the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026, the Company sold ~~one~~three industrial ~~asset,~~assets ~~net of a $57,750 mortgage loan,~~ to a DST as part of its ~~second~~fifth DST Offering of $60249,~~900,~~280. ~~sold~~During 13the ~~industrial~~three ~~assets~~months toended aMarch ~~DST~~31, as2025, ~~part~~the ofCompany ~~its~~sold ~~third~~one ~~DST~~industrial ~~Offering~~asset, net of a $9557,~~540,~~750 ~~and~~mortgage ~~sold~~loan, ~~40 retail assets~~ to a DST as part of its ~~fourth~~second DST Offering of $~~229~~60,~~250~~900. See Note 9 - Debt for additional information regarding the mortgage loan. ~~The Company did not sell or contribute any assets to a DST during the year ended December 31, 2024.~~ Wholly owned subsidiaries of the Company leased back the assets held in the DSTs in accordance with master lease agreements.

From inception of the DST Program through March 31, 2026, the Company has raised gross proceeds of $572,909. The following ~~tables~~table ~~provide~~provides details on the Company’s DST Program activity for the three months ended March 31, 2026:

	~~Three Months Ended~~		Three Months Ended						~~Nine Months Ended~~
	September 30, 2025				September 30, 2024				September 30, 2025		September 30, 2024
			March 31, 2026				March 31, 2025
Net proceeds from DST Interests sold (1)	$	~~96,176~~	$	211,065	$	~~11,491~~	$	39,917	$	~~202,448~~	$	~~24,431~~
Master lease payments (2)	$	~~5,122~~	$	9,394	$	~~1,120~~	$	1,303	$	~~9,640~~	$	~~3,390~~
Distributions from the Company’s DST Interests	$	~~960~~	$	3,059	$	~~680~~	$	525	$	~~2,768~~	$	~~2,675~~

(1) ~~Net~~Proceeds ~~proceeds~~ from DST Interests sold for the three ~~and nine~~ months ended ~~September~~March 3031, 2026 and 2025 are net of total upfront fees at closing of $14,~~631~~276 and $4778,~~376,~~ of which the Company earned $~~1,340 and $~~2,~~905,~~924 ~~respectively. Net proceeds from DST Interests sold for the three~~ and ~~nine months ended September 30, 2024 are net of total upfront fees earned at closing of~~ $~~267 and $402~~448, ~~of which the Company earned $115 and $244,~~ respectively. The upfront fees earned at closing by the Company are included within Other ~~income (~~expense), net on the Condensed Consolidated Statements of Operations.

(2) We account for payments made to the DSTs under the master leases as a reduction of our financial obligations prior to remeasuring the fair value.

			September 30, 2025						December 31, 2024
DST financing obligation (1)			$	252,840					$	52,123

(1) The DST financing obligation is included within Other liabilities on the Condensed Consolidated Balance Sheets.

From inception of the DST Program through September 30, 2025, the Company has raised gross proceeds of $259,053.

8. Intangibles

The gross carrying amount and accumulated amortization of the Company’s identified intangible lease assets consisted of the following:

September 30, 2025

December 31, 2024

March 31, 2026

December 31, 2025

Weighted Average Life (Years)

Intangible lease assets, gross

Accumulated Amortization

Intangible lease assets, net

Intangible lease assets, gross

Accumulated Amortization

Intangible lease assets, net

Intangible lease assets

In-place lease intangibles

1413.65

~~111~~157,~~690~~146

(2227,~~091~~477)

89129,~~599~~669

~~107~~154,~~642~~558

(1524,~~978~~173)

91130,~~664~~385

Other lease intangibles (1)

1412.8

88136,~~024~~586

(1015,~~958~~208)

77121,~~066~~378

82125,~~696~~195

(612,~~259~~588)

76112,~~437~~607

Total intangible lease assets

1413.76

~~199~~293,~~714~~732

(3342,~~049~~685)

~~166~~251,~~665~~047

~~190~~279,~~338~~753

(2236,~~237~~761)

~~168~~242,~~101~~992

(1) Includes total tenant lease inducement balance of $6166,~~288~~043 and $6066,~~676~~635 as of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025.

Amortization expense related to the intangible lease assets for the three months ended ~~September~~March 3031, ~~2025~~2026 was $35,~~634~~994, of which $24,~~869~~792 and $~~765 is included in Depreciation and amortization and Rental revenue~~1,202 respectively, within the Condensed Consolidated Statements of Operations. Amortization expense related to the intangible leases assets for the nine months ended September 30, 2025 was $10,706, of which $8,426 and $2,280 is included in Depreciation and amortization and Rental revenue, respectively, within the Condensed Consolidated Statements of Operations. The amount included in rental revenue is related to above-market leases and tenant inducements and is a reduction to revenue.

Amortization expense related to the intangible lease assets for the three months ended ~~September~~March 3031, ~~2024~~2025 was $3,~~124~~511, of which $2,~~612~~760 and $~~512~~751 is included in Depreciation and amortization and Rental revenue, respectively, within the Condensed Consolidated Statements of Operations. Amortization expense related to the intangible lease assets for the nine months ended September 30, 2024 was $8,251, of which $6,962 and $1,289 is included in Depreciation and amortization and Rental revenue, respectively, within the Condensed Consolidated Statements of Operations.

The estimated future amortization on the Company’s intangible assets for each of the next five years and thereafter as of March 31, 2026 is as follows:

	In-Place Tenant Lease Intangible Assets		Other Lease Intangibles
2025 (remaining)	$	2,058	$	1,586
2026 (remaining)	$	9,691	$	7,753
2026	8,231		6,342
2027	12,921		10,915
2027	8,231		6,342
2028	12,921		10,915
2028	8,231		6,342
2029	12,921		10,915
2029	8,231		6,341
2030	12,920		10,912
2030	8,231		6,342
2031	12,921		10,915
Thereafter	4655,~~386~~374		4359,~~771~~053
Total	$	89129,~~599~~669	$	77121,~~066~~378

As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the gross carrying amount of the Company’s below -market lease intangibles was $56,~~998~~202 and $56,~~931~~148, with accumulated amortization of $~~787~~988 and $~~519~~877, respectively. The below -market lease intangibles, net of accumulated amortization, are included in Other liabilities within our Condensed Consolidated Balance Sheets.

2420

9. Debt

The following table details the mortgage notes, credit facilities, and other borrowings of the Company:

Principal Balance Outstanding

Indebtedness

Weighted AverageInterest Rate (1)(2)

Weighted AverageMaturity Date

Maximum Facility Size

~~September~~March 3031, ~~2025~~2026

December 31, ~~2024~~2025

Mortgage notes & credit facilities:

Unsecured term loan credit facility

S + 1.35%

6/12/2030

1,250,000

1,~~165~~250,~~500~~000

Unsecured revolving credit facility

S + 1.40%

6/12/2029

2,610,000

—180,000

~~246~~414,~~950~~000

Fixed rate mortgages

45.9937%

811/2521/~~2029~~2030

N/A

~~106~~143,~~403~~640

99106,~~098~~447

Variable rate mortgages

S + 1.8890%

4/3/~~2028~~1/2029

N/A

~~106~~111,~~376~~899

~~129~~106,~~824~~462

Deferred financing costs, net

(4441,~~225~~611)

(1343,~~624~~912)

Total Mortgage notes & credit facilities, net:

1,418,554

1,627,748

Total mortgage notes & credit facilities, net:

1,643,928

1,832,997

Unsecured senior notes

6.35%

2/2/2030

N/A

130,000

Deferred financing costs, net

(3,~~407~~351)

(3,~~655~~504)

Unsecured senior notes, net:

126,~~593~~649

126,~~345~~496

Other borrowings

Secured financings of investments in real estate debt

S + 1.8268%

17/47/2027

$~~799,275~~

1,750,000

~~323~~817,~~557~~170

—757,069

Deferred financing costs, net

(13,~~047~~138)

—(3,122)

Other borrowings, net

~~322~~814,~~510~~032

—753,947

__________________

(1)The term “S” refers to the relevant floating benchmark rates, which include daily secured overnight financing rate (“SOFR”), 30-day SOFR, one-month euro interbank offered rate (“EURIBOR”), daily Canadian overnight repo rate average (“CORRA”), and one-month SONIA as applicable to each loan. As of ~~September~~March 3031, ~~2025~~2026, we have outstanding interest rate swaps that mitigate our exposure to potential future interest rate increases under our floating rate debt. See further discussion of outstanding interest rate swaps below.

(2)The Company’s mortgage and notes payable contain yield or spread maintenance provisions.

Mortgage Notes and Credit Facilities

On June 12, 2025, the Company entered into an amended and restated credit agreement, which amends and restates the credit agreement dated August 11, 2022. The amended and restated credit agreement provides for, among other things, (a) an upsize of the senior unsecured term loan facility from $1,165,500 to $1,250,000, (b) an upsize of the aggregate principal amount of the senior unsecured revolving credit facility from $724,500 to $2,485,000, (c) an upsize of the accordion feature, subject to the satisfaction of various conditions, which could bring total commitments from up to $3,200,000 to up to $5,000,000, (d) an extension of the revolving credit scheduled maturity date from August 2026 to June 2029, (e) an extension of the initial term loan scheduled maturity date from August 2027 to June 2030, and (f) the amendment of certain financial and other covenants. On July 23, 2025, the agreement was further amended to increase the aggregate principal amount of the senior unsecured revolving credit facility from $2,485,000 to $2,610,000.

The unsecured term loan credit facility bears interest at a base rate plus a margin ranging from 0.25% to 1.85%. The base rate is ~~SOFR plus 0.10% or~~ the ~~greater~~greatest of (a) Keybank N.A.’s announced prime rate, (b) 0.5% above the federal funds effective rate, ~~and~~ (c) SOFR plus 1.0%, asand ~~applicable~~(d) 1.0%. The weighted average interest rate for the unsecured term loan credit facility for the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 was 5.6800% (unhedged) and 5.0100% (hedged).

The unsecured revolving credit facility consists of USD (“USD Revolver”) and Alternative (“Alternative Revolver”) denominated currencies, and bears interest at a base rate plus a margin ranging from 0.30% to 1.90%. The base rate is the ~~greater~~greatest of (a) Keybank N.A.’s announced prime rate, (b) 0.5% above the federal funds effective rate, (c) ~~adjusted~~SOFR ~~floating~~plus ~~rate~~1.0%, and (d) 1.0%. The adjusted floating rate for the USD Revolver is SOFR ~~plus 0.10%~~, while the Alternative Revolver is EURIBOR for Euro borrowings, and CORRA plus 0.30% for Canadian Dollar borrowings. The weighted average interest rate for the unsecured revolving credit facility for the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 was 5.7501% (unhedged) and 4.81% (hedged).

2521

~~(unhedged) and 4.73% (hedged).~~ During the ~~nine~~three months ended ~~September~~March 3031, 2025, the Company earned an additional $~~558~~208 of income as a result of over hedging on ~~our~~its interest rate swaps. The Company did not earn additional income related to over hedging on its interest rate swaps during the three months ended March 31, 2026. We believe the interest rate swaps are still highly effective.

~~During the nine months ended September 30, 2025, the Company entered into a variable rate mortgage note of $57,750 secured by a property contributed to a DST as part of our DST Program.~~ The ~~interest~~following ontable ~~the~~details ~~mortgage and any amounts received or owed under~~ the ~~interest rate swap are borne by such DST and are not consolidated in the~~ Company’s ~~Condensed~~interest ~~Consolidated Financial Statements. Additionally, the Company contributed a variable~~ rate ~~mortgage~~swaps ~~note~~as of ~~$84~~March 31,~~500~~ ~~for interest in a joint venture. Refer to Note 3 - Acquisitions and Dispositions for additional information.~~2026:

The following table details the Company’s interest rate swaps as of September 30, 2025:


Notional Balance						Fixed Rate
Mortgage notes & credit facilities:
Unsecured term loan credit facility
$700,000						3.65%
$250,000						3.42%
$145,500						4.23%
$100,000						3.67%
$54,500						3.40%
Unsecured revolving credit facility
$100,000						3.25%
$45,500						3.40%
Variable rate mortgages
$51,867						3.73%

Notional Balance						Fixed Rate
Mortgage notes & credit facilities:
Unsecured term loan credit facility
$700,000						3.65%
$250,000						3.42%
$145,500						4.23%
$100,000						3.67%
$54,500						3.40%
Unsecured revolving credit facility
$100,000						3.25%
$45,500						3.40%
Variable rate mortgages
$47,793						3.74%

Unsecured Senior Notes

On August 28, 2024, NLT OP entered into a Note Purchase Agreement (the “Note Purchase Agreement”) governing the issuance of $29,000 of 6.24% Senior Notes, Series A, due August 28, 2028, $38,500 of 6.32% Senior Notes, Series B, due August 28, 2029, $39,500 of 6.40% Senior Notes, Series C, due August 28, 2030 and $23,000 of 6.43% Senior Notes, Series D, due August 28, 2031 (collectively, the “Notes”), to ~~qualified~~accredited ~~institutional~~ investors in a private placement. Interest on the ~~notes~~Notes is due semi-annually on the 28th day of February and August of each year beginning on February 28, 2025. Proceeds from the issuance of the ~~notes~~Notes were used to pay down existing indebtedness of the Company and for other general purposes. On October 16, 2025, NLT OP entered into an amendment to the Note Purchase Agreement, providing for, among other things, the amendment of certain financial and other covenants to align with the amended and restated credit agreement.

Secured Financings of Investments in Real Estate Debt

During the ~~nine~~year ~~months~~ ended ~~September 30~~December 31, 2025, the Company entered into financing agreements secured by certain of its CMBS investments and commercial real estate loans. The terms of the CMBS master repurchase agreements provide the lenders the ability to determine the size and terms of the financing provided based upon the particular collateral pledged by the Company, and may require the Company to provide additional collateral in the form of cash or securities if the market value of such financed investment declines. The CMBS master repurchase agreements have no set maturity date, with each borrowing having initial terms of one to three months. The Company has the option to continuously extend the maturity of outstanding balances for additional one to three month terms upon each interim maturity date. The financing ~~arrangement~~arrangements secured by the Company’s commercial real estate loans ~~has~~have a maturity date which is the earlier of (a) ~~July~~the ~~11,~~weighted ~~2029~~average ~~with~~maturity adate ~~one~~of ~~year extension option~~March 18, 2028 or (b) the maturity date of the underlying secured commercial real estate loan. ~~The~~Certain ~~Company~~arrangements ~~also~~have ~~has~~ a ~~note-on-note financing for a commercial real estate loan investment which has an initial maturity date of June 30, 2027 with three~~ one- year extension ~~options, subject to certain conditions~~option.

As of ~~September~~March 3031, ~~2025~~2026, the Company’s total secured financings of investments in real estate debt outstanding was $~~323~~817,~~557~~170, secured by $~~347~~556,~~385~~370 of its CMBS investments and $~~174~~669,~~303~~465 of its commercial real estate loans. These financings have a weighted average maturity date of ~~January~~July 47, 2027, and a weighted average interest rate of SOFR + 1.8268%~~, the relevant floating benchmark rate~~. As of December 31, ~~2024~~2025, the Company’s ~~did~~total ~~not have any~~ secured financings of investments in real estate debt outstanding was $757,069, secured by $497,710 of its CMBS investments and $631,980 of its commercial real estate loans. The Company’s secured financings of investments in real estate debt are included within Other Borrowings within the Condensed Consolidated Balance Sheets.

26Financial Covenants

The Company is subject to various financial and operational covenants under certain of its mortgage notes, term loan and revolving credit facilities, unsecured senior notes agreements and secured financings of investments in real estate debt. These covenants require the Company to maintain certain financial ratios, which include leverage, debt service coverage, and tangible net worth thresholds, among others. As of September 30, 2025, the Company believes it was in compliance with all of its loan covenants that could result in a default under such agreements.

~~The following table details the future principal payments due under the Company’s outstanding third-party borrowings as of September 30, 2025:~~22

Year	Amount
2025 (remaining)	$	198,591
2026	48,626
2027	46,500
2028	29,000
2029	223,369
2030	1,347,250
Thereafter	23,000
Total	$	1,916,336

and tangible net worth thresholds, among others. As of March 31, 2026, the Company believes it was in compliance with all of its loan covenants that could result in a default under such agreements.

27The following table details the future principal payments due under the Company’s outstanding third-party borrowings as of March 31, 2026:


Year	Amount
2026 (remaining)	$	309,643
2027	393,087
2028	83,149
2029	438,030
2030	1,347,250
2031	23,000
Thereafter	38,550
Total	$	2,632,709

10. Derivative Financial Instruments

The Company uses derivative financial instruments to minimize the risks and/or costs associated with the Company’s investments and financing transactions. These derivatives may or may not qualify as net investment, cash flow, or fair value hedges under the hedge accounting requirements of ASC 815. Derivatives not designated as hedges are not speculative and are used to manage the Company’s exposure to interest rate movements, fluctuations in foreign exchange rates, and other identified risks.

Changes in the fair value of cash flow and fair value hedges are recorded in accumulated other comprehensive income and subsequently reclassified into earnings in the period that the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income for our interest rate swaps and interest rate caps will be reclassified to interest expense as interest payments are made on the Company’s mortgages and unsecured credit facility, and reclassified to interest income as interest payments are received on the Company’s investments in real estate debt. Refer to Note 2 - Summary of Significant Accounting Policies and Estimates for additional detail.

Interest Rate Contracts

Certain of the Company’s financing transactions expose the Company to interest rate risks, which include exposure to variable interest rates on certain unsecured loans and loans secured by the Company’s real estate and fixed rate investments in real estate debt where the Company is the lender. The Company uses derivative financial instruments to minimize the risks and/or costs associated with the Company’s financing and to limit the Company’s exposure to the future variability of interest rates. To mitigate this risk, the Company enters into derivative financial instruments with counterparties it believes to have appropriate credit ratings and that are major financial institutions with which the Company and its affiliates may also have other financial relationships.

The Company’s objective in using interest rate derivatives is to add stability to ~~our~~its interest expense and to manage ~~our~~its exposure to interest rate fluctuations. To accomplish this objective, we use interest rate swap and interest rate cap contracts to manage our exposure onto ~~the~~variability ~~variable~~in ~~rate~~ interest ~~debt~~rates and ~~to manage our exposure to~~ fluctuations in the fair value of our fixed rate investments in real estate debt. The Company has designated these derivative financial instruments as cash flow and fair value hedges, respectively, as defined under GAAP as of ~~September~~March 3031, 2026 and December 31, 2025.

Total Return Swap

A total return swap is a contract in which one party agrees to make periodic payments to another party based on the change in the market value of the assets underlying the total return swap, which may include a specified security or loan, basket of securities or loans, or securities or loan indices during the specified period, in return for periodic payments based on a fixed or variable interest rate. A total return swap is typically used to obtain synthetic exposure to an underlying security, loan, or market without owning or taking physical custody of such security or loan or investing directly in such market. The Company holds one total return swap as of March 31, 2026, included in Other Assets on the Condensed Consolidated Balance Sheet, and did not hold any total return swaps as of December 31, 2025.

Foreign Currency Exchange Rate Derivatives

Certain of the Company’s foreign investments expose it to fluctuations in foreign currency exchange rates. The Company uses foreign exchange rate derivatives, including foreign currency forwards and currency options, to reduce the risk from fluctuations in foreign exchange rates associated with its assets and liabilities denominated in foreign currencies. The Company also uses foreign currency derivatives to hedge the foreign exchange risk associated with certain of its net investments in foreign operations.

The Company enters into currency options that give it the right, but not the obligation, to sell the foreign currency amount in exchange for a functional currency amount within a limited time at a contracted price. The contracts may also be net settled in cash, based on differentials in the foreign currency exchange rate and the strike price. The Company uses currency options as an economic hedge of foreign currency exposure related to the Company’s non-U.S. investments.

The following table details the Company’s outstanding derivatives:

			Notional Amount
			Notional Amount (1)
Financial Instruments	Number of Instruments	Weighted Average Maturity Date	~~September~~March 3031, ~~2025~~2026		December 31, ~~2024~~2025
Derivatives designated as hedging instruments
Derivatives Designated as hedging instruments	20	6/16/2028	$	1,738,847	$	1,718,611
Interest rate swaps	14	5/23/2028	$	1,721,088	$	1,425,130
Derivatives Not Designated as hedging instruments	12	6/15/2028	$	2,671,364	$	2,519,598
Derivatives not designated as hedging instruments
Foreign currency forward contracts (1)	8	1/1/2030	435,219		131,037
Foreign currency option contracts (1)	2	11/30/2028	104,370		104,370
Total			$	2,260,677	$	1,660,537

__________________

(1)The notional amount reflects the balance we expect to settle at the maturity date based on the contractual strike price at trade execution or the initial reference value of the underlying asset, established at trade execution, upon which all payment obligations are calculated.

The fair value of our derivative financial instruments and their classification on our Condensed Consolidated Balance Sheets as of March 31, 2026 and December 31, 2025 are detailed below.


		Asset Derivatives					Liability Derivatives
		Fair Value					Fair Value
Financial Instruments	Balance Sheet Location	March 31, 2026		December 31, 2025		Balance Sheet Location	March 31, 2026		December 31, 2025


Derivatives Designated as Hedging Instruments	Other Assets	$	4,604	$	725	Other Liabilities	$	3,484	$	10,572





Derivatives Not Designated as Hedging Instruments	Other Assets	$	34,386	$	8,174	Other Liabilities	$	7,508	$	14,633

		Asset Derivatives					Liability Derivatives
		Fair Value					Fair Value
	Balance Sheet Location	September 30, 2025		December 31, 2024		Balance Sheet Location	September 30, 2025		December 31, 2024
Derivatives Designated as Hedging Instruments
Interest rate swaps	Other Assets	$	374	$	13,546	Other Liabilities	$	10,559	$	1,922
Total Derivatives Designated as Hedging Instruments		$	374	$	13,546		$	10,559	$	1,922
Derivatives Not Designated as Hedging Instruments
Foreign currency forward contracts	Other Assets	$	4,903	$	808	Other Liabilities	$	9,594	$	2,630
Foreign currency option contracts	Other Assets	5,088		2,853		Other Liabilities	—		—
Total Derivatives Not Designated as Hedging Instruments		$	9,991	$	3,661		$	9,594	$	2,630

The following table details the effect of the Company’s derivative financial instruments on the Condensed Consolidated Statements of Operations during the three months ended March 31, 2026 and 2025:


	Amount of Unrealized Gain (Loss) Recognized in OCI				Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain Reclassified from Accumulated OCI into Income
	March 31, 2026		March 31, 2025			March 31, 2026		March 31, 2025
Derivatives Designated as Hedging Instruments	$	2,196	$	(11,898)	Interest Income	$	174	$	2,326
Derivatives Designated as Hedging Instruments	$	9,126	$	—	Interest Expense	$	137	$	—

	Amount of Unrealized Gain (Loss) Recognized in OCI				Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain Reclassified from Accumulated OCI into Income
Derivatives Designated as Hedging Instruments	September 30, 2025		September 30, 2024			September 30, 2025		September 30, 2024
Interest rate swaps - Investments	$	3	$	—	Interest Income	$	226	$	—
Interest rate swaps - Borrowings	1,632		(28,741)		Interest Expense	2,607		5,470
Interest rate caps	—		397		Interest Expense	—		1,423
Total Derivatives Designated as Hedging Instruments	$	1,635	$	(28,344)		$	2,833	$	6,893

The following table details the effect of the Company’s derivative financial instruments not designated as hedging instruments on the Condensed Consolidated Statements of Operations for the three months ended March 31, 2026 and 2025:

The following table details the effect of the Company’s derivative financial instruments on the Condensed Consolidated Statements of Operations during the nine months ended September 30, 2025 and 2024:


		Three Months Ended
	Income Statement Location	March 31, 2026		March 31, 2025



Derivatives Not Designated as Hedging Instruments	Other Income (Expense)	$	(2,232)	$	(1,388)

	Amount of Unrealized Gain (Loss) Recognized in OCI				Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain Reclassified from Accumulated OCI into Income
Derivatives Designated as Hedging Instruments	September 30, 2025		September 30, 2024			September 30, 2025		September 30, 2024
Interest rate swaps - Investments	$	(1,022)	$	—	Interest Income	$	284	$	—
Interest rate swaps - Borrowings	(13,627)		5,240		Interest Expense	7,309		15,835
Interest rate caps	—		6,053		Interest Expense	—		6,053
Total Derivatives Designated as Hedging Instruments	$	(14,649)	$	11,293		$	7,593	$	21,888

		Three Months Ended				Nine Months Ended
Derivatives Not Designated as Hedging Instruments	Income Statement Location	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
Foreign currency forward contracts	Other Income (Expense)	$	7,390	$	3,084	$	(2,870)	$	187
Foreign currency option contracts	Other Income (Expense)	(1,376)		(912)		2,236		796
Total Derivatives Not Designated as Hedging Instruments		$	6,014	$	2,172	$	(634)	$	983

11. Related Party Transactions

Due to Affiliates

The following table details the components of due to affiliates:

September 30, 2025

December 31, 2024

March 31, 2026

December 31, 2025

Accrued ongoing servicing fees

~~150~~180,~~277~~528

~~101~~167,~~890~~835

Accrued management fee

1418,~~564~~520

916,710

Performance participation allocation

3630,~~140~~457

1530,~~719~~724

Advanced organization and offering costs

76,~~709~~332

97,~~677~~060

Other advanced expenses (1)

3,~~589~~365

35,~~095~~639

Total

~~212~~239,~~279~~202

~~140~~227,~~091~~968

________________

(1)Includes salaries and other invoices paid by the Adviser on behalf of and subsequently reimbursed by the Company.

Ongoing Servicing Fees

The Company accrues ongoing servicing fees payable to Blue Owl Securities LLC (the “Dealer Manager”), for ongoing services rendered to shareholders for Class S, Class N, and Class D shares equal to 0.85%, 0.50% and 0.25%, respectively, per annum of the aggregate NAV of the respective outstanding class of shares. The ongoing servicing fees are paid monthly in arrears.

As part of the DST Program, NLT OP is authorized to issue three additional classes of OP Units, Class S-1, Class N-1, and Class D-1 in exchange for Interests in DSTs in the event NLT OP elects to exercise its FMV Buyback Option and the participation of such OP Units in the Company’s distribution reinvestment plan. NLT OP will pay to the Dealer Manager for ongoing services rendered to shareholders for Class S-1, Class N-1, and Class D-1 OP Units equal to 0.85%, 0.50% and 0.25%, respectively, per annum of the aggregate NAV of the respective outstanding class of OP Units. The servicing fees will be paid monthly in arrears. Additionally, the DST Sponsor, Blue Owl Real Estate Exchange LLC, a wholly owned subsidiary of the Company, will pay to the Dealer Manager, a service fee equal to 0.25% per annum of the price per Interest sold, to be paid quarterly or monthly in arrears based on the DST Offering.

Accrued Management Fees

The Company ~~will~~pays ~~pay~~ the Adviser a management fee equal to 1.25% of NAV per annum payable monthly for services rendered related to ongoing operations of ORENT pursuant to the advisory agreement between the Company and the Adviser (the “Investment Advisory Agreement”). Additionally, to the extent that NLT OP issues OP Units to parties other than the Company, NLT OP will pay the Adviser a management fee equal to 1.25% of the NAV of NLT OP attributable to such units not held by us per annum payable monthly.

The management fee may be paid, at the Adviser’s election, in cash, Class I shares or Class I OP Units. To date, the Adviser has elected to receive the management fee in the Company’s common shares, resulting in a non-cash expense. During the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025,~~2026 ~~the Company incurred management fees of $21,361~~ and ~~$56~~2025,~~199,~~ ~~respectively. During~~ the ~~three and nine months ended September 30, 2024, the~~ Company incurred management fees of $1227,~~330~~907 and $3116,~~134~~216, respectively.

During the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025, the Company issued 52,~~019~~471,~~194~~547 and 21,~~708~~459,~~984~~718 shares, respectively, to the Adviser as payment for management fees. Management fees of $1418,~~564~~520 and $916,710 were accrued and unpaid as of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, respectively. The shares issued to the Adviser for payment of the management fee were issued at the applicable NAV per share at the end of each month for which the fee was earned.

30Additionally, in connection with the DST Program, the Company will pay the Adviser a management fee equal to 1.25% of the total consideration received by the Company or its affiliate for selling Interests to third-party investors, net of up-front fees and expense reimbursements payable out of gross sale proceeds from the sale of such Interests and any proceeds from any loans secured directly or indirectly by the DST Properties, per annum payable monthly. The Adviser has waived the fee for all current DST Offerings except for the Company’s third DST Offering. Since inception of the DST Program, the Company incurred management fees related to the DST Program of $858.

~~Additionally, in connection with the DST Program, the Company will pay the Adviser a management fee equal to 1.~~25% of the total consideration received by the Company or its affiliate for selling Interests to third-party investors, net of up-front fees and expense reimbursements payable out of gross sale proceeds from the sale of such Interests and any proceeds from any loans secured directly or indirectly by the DST Properties, per annum payable monthly. The Adviser has waived the fee for the current DST Offerings.

Performance Participation Allocation

In addition to the fees paid to the Adviser for services provided pursuant to the Investment Advisory Agreement, Blue Owl Oak Trust Carry LLC, a controlled subsidiary of Blue Owl, and Blue Owl Real Estate Net Lease Trust CPV LP (formerly, Oak Trust Carry Participant Vehicle LP), controlled by senior and other officers of Blue Owl (each a “Special Limited Partner”) holds a performance participation interest in NLT OP that entitles them to receive an allocation of NLT OP’s total return. Total return is defined as total distributions plus the change in the Company’s NAV per share, adjusted for subscriptions and repurchases. The performance participation allocation is an incentive fee paid to the Adviser and receipt of the allocation is subject to the ongoing effectiveness of the Investment Advisory Agreement. Under the NLT OP agreement, the Special Limited Partners are entitled to an allocation from NLT OP equal to 12.5% of total return, after the other unit holders have received a total return of 5% (after recouping any loss carryforward amount). The allocation of the performance participation allocation is measured on a calendar year basis and is paid quarterly in OP Units, ORENT shares, or cash, at the election of the Special Limited Partner. As the performance participation allocation is associated with the performance of services rendered by the Adviser, and the Special Limited Partners are only entitled to the performance participation allocation ~~fee~~ provided that the Investment Advisory Agreement has not been terminated, the Company accounts for the performance participation allocation as an expense in our Condensed Consolidated Statements of Operations. During the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025,~~2026 ~~the Company recognized $36,140~~ and ~~$67~~2025,~~036,~~ ~~respectively, of performance participation allocation expense in~~ the Company’s ~~Condensed Consolidated Statements of Operations. During the three and nine months ended September 30, 2024, the Company~~ recognized $730,~~440~~457 and $2212,~~602~~565, respectively, of performance participation allocation expense in the Company’s Condensed Consolidated Statements of Operations.

During the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025, the Company issued 42,~~562~~906,~~577~~557 and 1,~~346~~541,~~696~~283 Class I OP Units, respectively, to the Special Limited Partners as payment of performance participation allocation at the respective NAV per unit. During the ~~nine~~three months ended ~~September~~March 3031, 2026 and 2025, ~~113,979~~there ~~Class~~were Ino OPrepurchases ~~Units originally issued as payment~~ of ~~performance participation allocation were redeemed. During the nine months ended September 30, 2024, 20,439~~ Class I OP Units originally issued as payment of performance participation allocation ~~were redeemed~~. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, there were 814,~~257~~620,~~752~~334 and 311,~~809~~713,~~153~~777 Class I OP Units outstanding, respectively, issued as payment of the performance participation allocation expense.

Advanced Organization and Offering Costs

The Adviser advanced all of the organization and offering costs on behalf of the Company (including legal, marketing, due diligence, administrative, accounting, design and website expenses, fees and expenses of our escrow agent and transfer agent, and other expenses attributable to the Company’s organization, but excluding ongoing servicing fees) through September 1, 2023. Such costs are recorded as a component of Due to affiliates on the Company’s Condensed Consolidated Balance Sheets and are being reimbursed to the Adviser pro rata over 60 months beginning September 1, 2023.

Accrued interest - affiliate line of credit

During the nine months ended September 30, 2024, the Company issued 695,189 Class I shares to our affiliate, Blue Owl Capital Holdings LP, as payment for interest on the revolving promissory note. During the year ended December 31, 2024, the Company repaid the outstanding balance under the affiliate line of credit as well as the remaining accrued interest through the use of proceeds from the issuance of common shares and cash flows from operations.

Common Shares Held by Affiliates

As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, ORENT affiliates and their employees owned 56,~~822~~206,~~437~~912 and 135,~~109~~977,~~016~~092 ~~ORENT~~shares ~~Class~~of Ithe ~~shares~~Company, respectively, including Class I and Class D shares. The aggregate amount of ~~Class I~~ shares owned by ORENT affiliates and their employees was $6066,~~886~~068 and $~~133~~63,~~696~~181, based on the NAV per share/unit as of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, respectively.

During the ~~nine~~three months ended ~~September~~March 3031, 2026 and 2025, the Adviser submitted 92,~~925~~332,~~147~~559 and 4,022,250, respectively, Class I shares, previously issued as payment for management fees and interest on the affiliate line of credit, for repurchase by the Company for a total of $24,741 and $41,000, respectively.

31Other

~~$101,931.~~Through ~~During~~ the ~~nine~~Company’s ~~months~~investment ~~ended~~in ~~September~~Miner 30JV, ~~2024,~~a ~~the~~build-to-suit ~~Adviser~~joint ~~did~~venture, ~~not~~the ~~submit~~Company ~~any~~engaged ~~shares~~an ~~for~~affiliate ~~repurchase.~~of ~~Additionally, during~~ the ~~nine~~Adviser, ~~months~~STACK ~~ended September 30~~Infrastructure, ~~2025,~~Inc. ~~Blue~~(together ~~Owl~~with ~~Real~~its ~~Estate~~affiliates ~~Fund~~and Vwholly OPand ~~(SH)~~partially LPowned ~~(“Fund~~subsidiaries, V“STACK”), ato ~~fund~~provide ~~also~~management ~~managed~~and byadministrative ~~the~~services ~~Adviser,~~as ~~redeemed~~the ~~2,777,242~~development ~~Class~~manager. IUnder ~~shares~~the ~~for~~development amanagement ~~total of $28~~agreement,~~402.~~ ~~The~~STACK ~~shares~~will ~~represent~~earn ~~all~~an ofannual ~~the~~development ~~shares~~fee ~~previously~~which ~~issued~~is bynot ~~the~~to ~~Company~~exceed as3% ~~consideration~~of ~~for properties acquired from Fund V during~~ the ~~year~~project ~~ended December 31, 2022~~costs.

12. Leases

Lessor – Operating leases

The Company’s rental revenue primarily consists of rent earned from operating leases at the Company’s net lease properties which consists of fixed annual rent that escalates annually throughout the term of the applicable leases, and the tenant is generally responsible for all property-related expenses, including taxes, insurance, and maintenance. The Company'’s net lease properties are each leased to a single tenant.

The following table details the components of operating lease income from leases in which the Company is the lessor.

	~~Three Months Ended~~		Three Months Ended						~~Nine Months Ended~~
	September 30, 2025				September 30, 2024				September 30, 2025		September 30, 2024
			March 31, 2026				March 31, 2025
Base rent (1)	$	~~46,928~~	$	68,960	$	~~41,977~~	$	45,163	$	~~138,092~~	$	~~121,750~~
Straight-line rental revenue, net (2)	~~5,198~~		7,917		~~4,899~~		5,125		~~15,603~~		~~14,017~~
Variable lease payments (3)	~~4,693~~		5,815		~~5,693~~		5,369		~~15,916~~		~~16,350~~
Amortization of above/below market lease intangibles	89				115				267		238
Amortization of above/below-market lease intangibles			(334)				89
Total Rental revenue	$	~~56,908~~	$	82,358	$	~~52,684~~	$	55,746	$	~~169,878~~	$	~~152,355~~

__________________

(1)Consists of fixed lease payments.

(2)Represents lease income related to the excess (deficit) of straight-line rental revenue over fixed lease payments and amortization of prepaid rent.

(3)Consists of reimbursement of common area maintenance (“CAM”) and real estate taxes, as well as amortization of tenant inducements.

The following table presents the undiscounted future minimum rents the Company expects to receive for its net lease properties classified as operating leases as of March 31, 2026.

Year	Future Minimum Rents (1)
2025 (remaining)	$	51,102
2026 (remaining)	$	212,160
2026	191,360
2027	287,215
2027	194,220
2028	292,146
2028	197,227
2029	295,608
2029	198,715
2030	300,556
2030	201,766
2031	304,650
Thereafter	12,~~782~~710,~~005~~804
Total	$	24,~~816~~403,~~395~~139

__________________

(1) Excludes future minimum rents related to leases with build-to-suit arrangements and other leases where the rent commencement date is based on future events and therefore not fixed at ~~September~~March 3031, ~~2025~~2026.

Lessor – Financing receivables

In accordance with ASC 842, certain of the Company’s sales-type lease contracts are accounted for as failed sale-leaseback transactions and were recorded as an Investments in leases - Financing receivables. During the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025,~~2026 ~~the Company recognized interest income of $9,054~~ and ~~$28~~2025,~~234,~~ ~~respectively. During~~ the ~~three and nine months ended September 30, 2024, the~~ Company recognized interest income of $1714,~~133~~567 and $4610,~~704~~307, respectively. Interest income is recognized on an effective interest basis at a constant rate of return over the term of the applicable leases. Cash received from the sales-type leasing agreements was $1810,~~031~~835 and $378,~~179~~622 during the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025, respectively.

All of the lease payments are on a triple net basis to the tenant and the Company has rights in accordance with the individual lease agreements to protect the value of our leased properties. As of ~~September~~March 3031, ~~2025~~2026, the future minimum

3227

payments of sales-type lease receivables were as follows:

Year	Future Minimum Payments (1)
2025 (remaining)	$	8,369
2026 (remaining)	$	31,865
2026	33,911
2027	54,636
2027	34,739
2028	56,101
2028	35,641
2029	57,554
2029	36,514
2030	59,099
2030	37,462
2031	60,632
Thereafter	111,~~973~~191,~~527~~205
Total lease payment receivable	211,~~160~~511,~~163~~092
Less deferred interest income	110,~~766~~896,~~450~~695
Less allowance for credit losses	22,~~471~~616
Total Investments in leases - Financing receivables	$	~~371~~591,~~242~~781

The following table reflects the roll-forward of the allowance for credit losses on our real estate portfolio for the three months ended March 31, 2026 and 2025:

Nine Months Ended

Three Months Ended

September 30, 2025

September 30, 2024

March 31, 2026

March 31, 2025

Balance, beginning of period

22,~~934~~515

1622,~~638~~934

Current period change in credit allowance

~~6,736~~101

32,~~056~~728

Reduction in allowance resulting from dispositions

~~(7,199)~~—

—(7,199)

Balance, end of period

22,~~471~~616

1918,~~694~~463

We assess the credit quality of our investments through the credit ratings of the lessee. The credit quality indicators are reviewed by us on a quarterly basis as of quarter-end. In instances where the lessee does not have a public credit rating, we may use either a comparable proxy company or the overall corporate credit rating, as applicable. We also use this credit rating to determine the probability of default ~~(“PD”)~~ when estimating credit losses for each investment. Our current year change in credit allowance is primarily the result of ~~the Company’s dispositions~~acquisitions.

The following tables detail the amortized cost basis of our Investments in leases - Financing receivable by the credit quality indicator as of March 31, 2026 and December 31, 2025:

	September 30, 2025
	March 31, 2026
	B2				Caa2				Total
			Ba2				B2				Caa2		Total
Investments in leases - Financing receivable	$	~~114,939~~	$	22,760	$	~~278,774~~	$	115,937	$	~~393,713~~	$	475,700	$	614,397

	December 31, 2024
	December 31, 2025
	B2				Caa2				Total
			Ba2				B2				Caa2		Total
Investments in leases - Financing receivable	$	~~342,849~~	$	—	$	~~215,358~~	$	115,465	$	~~558,207~~	$	409,623	$	525,088

Purchase Option Provisions

Certain of the Company’s leases include purchase option provisions. The provisions vary by agreement but generally allow the lessee to purchase the property during a specified period for the Company’s gross investment plus a specified proportion of appreciation. The Company expects that the purchase price will be greater than its net investment in the property at the time of potential exercise by the lessee.

Lessee - DST Program Master Lease

As of ~~September~~March 3031, ~~2025~~2026, the Company has contributed or sold 5659 assets to DSTs as part of its DST Offerings. The assets are leased back to wholly owned subsidiaries of the Company under the master lease agreements. The following table presents the undiscounted future minimum rent payment obligation of the wholly owned subsidiaries:

3328

Year	Future Minimum Payments
2025 (remaining)	$	7,269
2026 (remaining)	$	32,208
2026	29,076
2027	42,944
2027	29,076
2028	43,102
2028	29,234
2029	43,350
2029	29,482
2030	44,681
2030	30,813
2031	46,584
Thereafter	~~493~~688,~~711~~005
Total	$	~~648~~940,~~661~~874

13. Equity and Non-Controlling Interest

Authorized Capital

As of ~~September~~March 3031, ~~2025~~2026, the Company had the authority to issue an unlimited number of preferred shares and four classes of common shares including Class S shares, Class N shares, Class D shares, and Class I shares. Each class of common shares and preferred shares has a par value of $0.01. The ~~Company’s~~ Board of Trustees has the ability to establish the preferences and rights of each class of common shares or series of preferred shares, without shareholder approval, and as such, it may afford the holders of any series or class of preferred shares preferences, powers and rights senior to the rights of holders of common shares. The differences among the common share classes relate to upfront transaction fees and ongoing shareholder servicing fees. See Note 2 – Summary of Significant Accounting Policies and Estimates for a further description of such items. Other than the differences in upfront transaction fees and ongoing shareholder servicing fees, each class of common shares has the same economic and voting rights.

Common Shares

The following table details the movement in the Company’s outstanding shares of common shares:

	Three Months Ended September 30, 2025
	Three Months Ended March 31, 2026
	Class S	Class N	Class D	Class I	Total
June 30, 2025	242,926,932	34,737,369	4,602,147	278,875,945	561,142,393
December 31, 2025	306,971,144	47,799,493	8,920,047	358,834,111	722,524,795
Common shares issued	3128,~~428~~911,~~024~~384	5,~~831~~906,~~722~~299	1826,~~592,418~~778	3936,~~459~~663,~~697~~521	7872,~~311~~307,~~861~~982
Distribution reinvestment	2,~~297~~974,~~828~~560	~~282~~398,~~918~~355	5491,~~628~~407	23,~~365~~033,~~826~~212	56,~~001~~497,~~200~~534
Common shares repurchased	(14,~~918~~362,~~989~~866)	(2,455,901)	—	(35,~~411~~466,~~681~~517)	(510,~~333~~285,~~125~~284)
Common shares converted(1)	(1286,~~464,000~~337)	—	1(6,~~170,048~~805)	~~306~~290,~~241~~993	12(2,~~289~~149)
September 30, 2025	273,269,795	40,849,554	7,419,241	317,596,028	639,134,618
March 31, 2026	334,207,885	53,648,246	9,831,427	393,355,320	791,042,878

__________________

~~__________________~~(1)During the three months ended March 31, 2026, 286,337 Class S shares with a value of $3,016 and 6,805 Class D shares with a value of $71 were converted into 290,993 Class I shares based on the respective period’s NAV per share.

(1)During the three months ended September 30, 2025, 1,464,000 Class S shares with a value of $14,930 were converted into 306,241 Class I shares and 1,170,048 Class D shares based on the respective period’s NAV per share.

	Nine Months Ended September 30, 2025
	Class S	Class N	Class D	Class I	Total
December 31, 2024	186,966,766	15,155,627	1,751,905	219,267,018	423,141,316
Common shares issued	88,691,563	25,065,132	4,343,484	107,271,406	225,371,585
Distribution reinvestment	6,169,935	631,250	153,804	6,385,590	13,340,579
Common shares repurchased	(6,335,194)	(2,455)	—	(16,388,830)	(22,726,479)
Common shares converted(1)	(2,223,275)	—	1,170,048	1,060,844	7,617
September 30, 2025	273,269,795	40,849,554	7,419,241	317,596,028	639,134,618

(1)During the nine months ended September 30, 2025, 2,223,275 Class S shares with a value of $22,633 were converted into 1,060,844 Class I shares and 1,170,048 Class D shares based on the respective period’s NAV per share.

Redeemable Common Shares

In connection with the Company’s payment of interest on its affiliate line of credit and management fee, the Adviser holds Class I common shares. See Note 11 – Related Party Transactions for further details on the affiliate line of credit and management fee. The Adviser and Blue Owl Capital Holdings LP have the ability to redeem the Class I shares for cash at their election, therefore the Company has classified these Class I shares as Redeemable common shares outside of equity on the Company’s Condensed Consolidated Balance Sheets. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, we have issued 1318,~~437~~052,~~307~~187 and 815,~~418~~580,~~113~~640 Redeemable common shares, respectively. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, ~~657~~884,~~913~~935 and 5745,~~563,867~~946 Redeemable common shares, respectively, remained outstanding. See Note 11 - Related Party Transactions for further details on the redemption of Redeemable common shares.

The Redeemable common shares are recorded at the greater of (i) their issuance amount, or (ii) their redemption value, which is equivalent to the fair value of the shares at the end of each measurement period. Accordingly, the Company recorded an allocation adjustment of $~~264~~34 and $~~284~~127 during the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025,~~2026 ~~respectively,~~ and ~~$(23) and $1 during the three and nine months ended September 30~~2025, ~~2024,~~ respectively.

Share and Unit Repurchases

The Company adopted a share repurchase plan whereby, subject to certain limitations, shareholders may request, on a quarterly basis, that the Company repurchase all or any portion of their shares. The repurchase price per share will generally be equal to the NAV per share as of the last calendar day of the first month of the applicable calendar quarter, except that, subject to certain exceptions, shares that have not been outstanding for at least one year will be repurchased at 98% of the transaction price (“Early Repurchase Deduction”). The aggregate NAV of total repurchases of Class S, Class N, Class D and Class I Shares (including repurchases by certain “fund of fund” vehicles and certain U.S. investor access funds primarily created to hold our common shares but excluding any Early Repurchase Deduction applicable to repurchased shares) is limited to no more than 5% of the Company’s aggregate NAV per calendar quarter (measured using the average aggregate NAV as of the end of the preceding three months for which NAV is available). Shareholders may request on a quarterly basis that the Company repurchase all or any portion of their shares and may submit such repurchase requests beginning after the start of the second month of the applicable calendar quarter. The Early Repurchase Deduction does not apply to shares acquired through the distribution reinvestment plan or to repurchases of common shares submitted by discretionary model portfolio management programs (and similar arrangements) as approved by the Company. In addition, the Company may not apply the Early Repurchase Deduction to certain “fund of fund” or feeder vehicles or their respective underlying investors.

Other than as described for Redeemable common shares and Redeemable ~~Non~~non-~~Controlling~~controlling ~~Interests~~interests, the Company is not obligated to repurchase any shares and could choose to repurchase fewer shares than were requested to be repurchased, or none at all. Further, the Board of Trustees may modify and suspend the ~~Company’s~~ Share Repurchase Plan if it deems such action to be in the Company’s best interest and the best interest of its shareholders. In the event that the Company determines to repurchase some but not all of the shares submitted for repurchase during any particular calendar quarter, shares repurchased atduring ~~the end of~~ such calendar quarter would be repurchased on a pro -rata basis.

During the three months ended ~~September~~March 3031, ~~2025~~2026, the Company repurchased 510,~~333~~285,~~125~~284 shares of common shares for a total of $55108,~~243~~906, and converted ~~167~~71,~~396~~143 Class I OP Units to Class I shares with a value of $~~1,715~~746. The Company did not repurchase any OP Units for cash during the three months ended ~~September~~March 3031, ~~2025~~2026.

During the ~~nine~~three months ended ~~September~~March 3031, 2025, the Company repurchased 226,~~726~~021,~~479~~826 shares of common shares for a ~~total~~value of $~~232~~61,~~602~~130, and converted ~~751~~61,~~819~~285 Class I OP Units to Class I shares with a total value of $~~7,676~~624. The Company ~~did~~repurchased ~~not~~no ~~repurchase any~~ OP Units for cash during the ~~nine~~three months ended ~~September~~March 3031, 2025.

During the three months ended September 30, 2024, the Company repurchased 7,380,191 shares of common shares for a total of $74,509, and converted 491,403 Class I OP Units to Class I shares with a value of $4,994. The Company ~~did~~had ~~not~~no unfulfilled repurchase ~~any~~requests ~~OP Units for cash~~ during the three months ended ~~September~~March 3031, ~~2024~~2026 and 2025.

During the nine months ended September 30, 2024, the Company repurchased 11,424,558 shares of common shares for a value of $115,483, and converted 920,449 Class I OP Units to Class I shares with a total value of $9,411. The Company repurchased 115,483 OP Units for cash with a value of $516.

The Company had no unfulfilled repurchase requests during the nine months ended September 30, 2025 and 2024.

Distributions

The Company generally intends to distribute substantially all of its taxable income, which does not necessarily equal net income as calculated in accordance with GAAP, to its shareholders each year to comply with the REIT provisions of the Internal Revenue Code. Each class of common shares receives the same gross distribution per share. The net distribution varies for each class based on the applicable shareholder servicing fee, which is deducted from the monthly distribution per share and paid directly to the applicable distributor.

35The following table details the aggregate distributions declared for each applicable class of common shares for the three months ended March 31, 2026 and 2025:

distribution varies for each class based on the applicable shareholder servicing fee, which is deducted from the monthly distribution per share and paid directly to the applicable distributor.


	Three Months Ended
	March 31, 2026								March 31, 2025
	Class S		Class N		Class D		Class I		Class S		Class N		Class D		Class I
Aggregate gross distributions declared per common share	$	0.1875	$	0.1875	$	0.1875	$	0.1875	$	0.1750	$	0.1750	$	0.1750	$	0.1750
Shareholder servicing fee per common share	(0.0225)		(0.0133)		(0.0066)		—		(0.0214)		(0.0127)		(0.0064)		—
Net distributions declared per common share	$	0.1650	$	0.1742	$	0.1809	$	0.1875	$	0.1536	$	0.1623	$	0.1686	$	0.1750

The ~~following~~Company ~~table~~has ~~details~~adopted ~~the~~a ~~aggregate~~distribution ~~distributions~~reinvestment ~~declared~~plan ~~for~~whereby ~~each~~shareholders ~~applicable~~will ~~class~~have oftheir cash distributions automatically reinvested in additional common shares unless they elect to receive their distributions in cash. The per share purchase price for shares purchased pursuant to the ~~three~~distribution ~~months~~reinvestment ~~ended~~plan ~~September~~will ~~30,~~be ~~2025~~equal ~~and~~to ~~2024:~~the purchase price at the time the distribution is payable. Shareholders will not pay an upfront transaction fee when purchasing shares pursuant to

	Three Months Ended
	September 30, 2025								September 30, 2024
	Class S		Class N		Class D		Class I		Class S		Class N		Class D		Class I
Aggregate gross distributions declared per common share	$	0.1750	$	0.1750	$	0.1750	$	0.1750	$	0.1750	$	0.1750	$	0.1750	$	0.1750
Shareholder servicing fee per common share	(0.0218)		(0.0129)		(0.0064)		—		(0.0214)		(0.0127)		(0.0061)		—
Net distributions declared per common share	$	0.1532	$	0.1621	$	0.1686	$	0.1750	$	0.1536	$	0.1623	$	0.1689	$	0.1750

~~The~~the ~~following~~distribution ~~table~~reinvestment ~~details~~plan. ~~the~~The ~~aggregate~~ongoing ~~distributions~~servicing ~~declared~~fees ~~for~~with ~~each~~respect ~~applicable~~to ~~class~~shares of ~~common~~Class S shares, ~~for~~Class ~~the~~N ~~nine~~shares, ~~months~~and ~~ended~~Class ~~September~~D ~~30,~~shares ~~2025~~are calculated based on the NAV for those shares and ~~2024:~~may reduce the NAV.

	Nine Months Ended
	September 30, 2025								September 30, 2024
	Class S		Class N		Class D		Class I		Class S		Class N		Class D		Class I
Aggregate gross distributions declared per common share	$	0.5250	$	0.5250	$	0.5250	$	0.5250	$	0.5250	$	0.2334	$	0.5250	$	0.5250
Shareholder servicing fee per common share	(0.0648)		(0.0383)		(0.0192)		—		(0.0642)		(0.0170)		(0.0186)		—
Net distributions declared per common share	$	0.4602	$	0.4867	$	0.5058	$	0.5250	$	0.4608	$	0.2164	$	0.5064	$	0.5250

Redeemable Non-controlling Interests

~~The~~In ~~Company~~connection ~~has~~with ~~adopted~~payment aof ~~distribution~~performance ~~reinvestment~~participation ~~plan~~allocation, ~~whereby~~the ~~shareholders~~Special ~~will~~Limited ~~have~~Partners ~~their~~hold ~~cash~~Class ~~distributions~~I ~~automatically~~OP ~~reinvested~~Units. inSee ~~additional~~Note ~~common~~11 ~~shares~~- ~~unless~~Related ~~they~~Party ~~elect~~Transactions ~~to receive their distributions in cash. The per share purchase price~~ for ~~shares~~further ~~purchased~~details ~~pursuant~~of to the ~~distribution~~Special ~~reinvestment~~Limited ~~plan~~Partners’ ~~will~~performance beparticipation ~~equal~~allocation. toBecause the ~~transaction~~Special ~~price~~Limited atPartners ~~the~~have ~~time~~ the ~~distribution~~ability isto ~~payable.~~redeem ~~Shareholders~~their ~~will~~Class ~~not~~I ~~pay~~OP anUnits ~~upfront~~for ~~transaction~~Class ~~fee~~I ~~when purchasing~~ shares ~~pursuant~~in to the ~~distribution~~Company ~~reinvestment~~or ~~plan.~~cash ~~The~~at ~~ongoing~~their ~~servicing~~election, ~~fees~~the ~~with~~Company ~~respect~~has toclassified ~~shares~~these of Class SI ~~shares,~~OP ~~Class~~Units Nas ~~shares,~~Redeemable ~~and~~non-controlling ~~Class~~interests Din ~~shares~~mezzanine ~~are~~equity ~~calculated based~~ on the ~~NAV~~Company’s ~~for~~Condensed ~~those~~Consolidated ~~shares~~Balance ~~and may reduce the NAV~~Sheets.

The following table details the activity for the three months ended March 31, 2026 and 2025:

Redeemable Non-controlling Interest


	Three Months Ended
	March 31, 2026		March 31, 2025
Balance, beginning of period	$	125,360	$	39,952
Settlement of prior performance participation allocation	30,724		15,719


Repurchases	—		—
Net income allocation	2,830		983
Other comprehensive income allocation	(181)		(107)
Distributions	(2,560)		(845)
Fair value allocation	989		(36)
Reallocation between additional paid-in capital and non-controlling interests due to changes in NLT OP ownership	(170)		229
Balance, end of period	$	156,992	$	55,895

InDuring ~~connection~~the ~~with~~three ~~payment~~months ofended ~~its~~March ~~performance~~31, ~~participation~~2026 ~~allocation~~and 2025, the ~~Special~~Company ~~Limited~~issued ~~Partners hold~~ Class I OP Units. ~~See~~to ~~Note~~the 11Special -Limited ~~Related~~Partners ~~Party~~as ~~Transactions~~payment ~~for further details~~ of the ~~Special Limited Partners’~~ performance participation ~~interest~~allocation. ~~Because~~As ~~the~~of ~~Special~~March 31, ~~Limited~~2026, ~~Partners~~134,418 ~~have the ability to redeem their Class I~~ OP Units ~~for~~had ~~Class~~been Iredeemed ~~shares~~for ~~in the Company or~~ cash, atand ~~their election~~6,718 ~~the~~OP ~~Company~~Units ~~has~~had ~~classified~~been ~~these~~exchanged for Class I OPshares ~~Units as Redeemable Non-controlling Interest~~ in ~~mezzanine equity on~~ the Company~~’s Condensed Consolidated Balance Sheets~~.

The redeemable non-controlling interests are recorded at the greater of (i) their carrying amount, adjusted for their share of the allocation of GAAP net income or loss and distributions, or (ii) their redemption value, which is equivalent to the fair value of such interests at the end of each measurement period. Accordingly, the Company recorded an allocation adjustment between Additional paid-in capital and Redeemable non-controlling interests of $989 and $(36) during the three months ended March 31, 2026 and 2025, respectively, on the Company’s Condensed Consolidated Balance Sheets.

	Nine Months Ended
	September 30, 2025		September 30, 2024
Balance, beginning of period	$	39,952	$	17,976
Settlement of prior performance participation allocation	46,617		13,685
Repurchases	(1,163)		(251)
Net income allocation	3,962		579
Other comprehensive income allocation	67		(103)
Distributions	(3,247)		(1,161)
Fair value allocation	1,268		598
Reallocation between additional paid-in capital and non-controlling interests due to changes in NLT OP ownership	426		748
Balance, end of period	$	87,882	$	32,071

During the nine months ended September 30, 2025 and 2024, the Company issued Class I OP Units to the Special Limited Partners as payment of the performance participation allocation. As of September 30, 2025, 134,418 OP Units had been redeemed for cash, and 6,718 OP Units had been exchanged for Class I shares in the Company.

The Redeemable Non-controlling Interests are recorded at the greater of (i) their carrying amount, adjusted for their share of the allocation of GAAP net income or loss and distributions, or (ii) their redemption value, which is equivalent to the fair value of such interests at the end of each measurement period. Accordingly, the Company recorded an allocation adjustment between Additional Paid-in-Capital and Redeemable Non-controlling Interest of $806 and $1,268 during the three and nine months ended September 30, 2025, respectively, and $161 and $598 during the three and nine months ended September 30, 2024, respectively.

Share-Based Compensation

During the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025, we awarded independent members of the Board of Trustees 3947,~~255~~652 and 3839,~~683~~255 shares of restricted Class I shares, respectively. The restricted Class I shares are subject to a vesting period of 13.5 months. The Company incurred total share-based compensation expense of approximately $~~106~~141 and $~~341~~129 for the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025,~~2026 ~~respectively,~~ and ~~$94 and $301 for the three and nine months ended September 30~~2025, ~~2024,~~ respectively.

14. Commitments and Contingencies

The Company is involved in various claims and litigation matters arising in the ordinary course of business, some of which involve claims for damages. Many of these matters are covered by insurance, although they may nevertheless be subject to deductibles or retentions. Although the ultimate liability for these matters cannot be determined, based upon information currently available, the Company believes the ultimate resolution of such claims and litigation will not have a material adverse effect on its financial position, results of operations or liquidity.

~~During~~The ~~the year ended December 31, 2024, the~~ Company ~~acquired~~has 23certain ~~investments~~land assets related to build-to-suit ~~arrangements~~properties ~~and placed one asset~~ in ~~service.~~sale-leaseback ~~During~~transactions ~~the~~which ~~nine~~are ~~months~~being ~~ended~~accounted ~~September~~for ~~30,~~as ~~2025,~~an ~~the~~investment ~~Company had placed six of the assets~~ in ~~service~~loans receivable and ~~contributed~~held ~~two~~at ofamortized ~~the assets for interest in LV Petroleum JV~~cost. The Company has paid and/or accrued $8280,~~219~~646 in construction costs and estimates the total future commitments to complete the construction for the 14 remaining seven assets to be $1518,~~699~~174. As of ~~September~~March 3031, ~~2025~~2026, the remaining maximum contractual funding is $4547,~~446~~018. Additionally, the Company has obligations to fund tenant improvements for existing investments. As of March 31, 2026, the Company has estimated future commitments related to these tenant improvements to be $24,226.

~~During~~The ~~the year ended December 31, 2024, the~~ Company has made andirect and indirect ~~investment~~investments ~~through~~into ~~BOREC~~joint ~~Spider Member LLC in CoreWeave CTP-02 JV~~ventures, which ~~will~~were ~~construct~~formed ~~an asset under a build-~~to~~-suit~~ ~~arrangement.~~construct ~~Additionally,~~assets ~~during the nine months ended September 30, 2025, the Company made an indirect investment through BOREC Spider Member III LLC~~ in ~~CoreWeave CTP-03 JV, which will construct an asset under a~~ build-to-suit ~~arrangement~~arrangements, ~~leased~~including tonet ~~CoreWeave,~~lease ~~Inc~~data centers. As of ~~September~~March 3031, ~~2025~~2026, the ~~Company~~estimated ~~estimates that it will contribute an additional $5,410 and $13,671 to CoreWeave CTP-02 JV and CoreWeave CTP-03 JV, respectively, to fund the~~ future commitments ~~to complete the construction~~ of ~~the build-to-suit assets. See Note 5 - Investments in Unconsolidated Real Estate Affiliates for additional discussion.~~

3731

~~During~~ the ~~year~~Company ~~ended~~to ~~December 31,~~complete ~~2024,~~ the ~~Company,~~construction ~~through~~of ~~BOREC~~the ~~Longhorn NLT Aggregator LLC, was admitted as a member~~ build-to-suit ~~BOREC~~assets ~~Longhorn~~is ~~Member LLC, a member of Oracle~~ $1~~-2 JV~~,731,652, which ~~was~~is ~~formed~~to ~~for~~be ~~the~~funded ~~purpose~~through ~~of constructing assets under a build-to-suit arrangement~~2029. As ~~a member~~ of ~~BOREC~~March 31, ~~Longhorn Member LLC~~2026, the ~~Company~~investments ~~has~~subject ~~provided~~to afuture ~~guarantee~~fundings tohave ~~Oracle~~a 1weighted-2average JVcapitalization ~~and~~rate toof ~~Crusoe Abilene~~8.78%, ~~LLC~~a toweighted ~~fund~~average ~~the~~remaining ~~construction~~lease term of ~~the assets~~21.0 ~~As of September 30~~years, ~~2025,~~and ~~the~~a ~~Company~~weighted ~~does~~average ~~not~~credit ~~expect~~rating ~~to fund any future commitments to complete the construction~~ of ~~the build~~AA-~~to-suit asset~~.

~~During the nine months ended September 30~~Additionally, ~~2025,~~as ~~the~~of ~~Company~~March 31, ~~through B3-B4 Aggregator and B5-B8 Aggregator~~2026, ~~invested in Oracle 3-4 JV and Oracle 5-8 JV, respectively, which were formed for~~ the ~~purpose of constructing assets under build-to-suit arrangements. As a member of these joint ventures, the~~ Company has ~~agreed~~commitments to fund ~~its~~up ~~pro rata share of costs~~ to ~~fund~~$363,511 ~~the~~in ~~construction~~additional offuture ~~the~~fundings ~~assets.~~related ~~The Company does not expect~~ to ~~make~~our ~~any~~investments ~~additional~~in ~~contributions~~commercial toreal ~~Oracle~~estate ~~3-4 JV as the development costs have been fully funded as of September 30~~loans, ~~2025.~~including Asthose ofheld ~~September 30,~~through ~~2025,~~joint ~~the Company estimates that it will contribute $526 to Oracle 5-8 JV to fund its future commitments to complete the construction of the build-to-suit asset~~ventures.

During the ~~nine~~year ~~months~~ ended ~~September~~December 3031, 2025, the Company ~~contributed~~assumed ~~land~~a toleasehold ~~PsiQuantum~~interest ~~JV,~~in ~~which~~a ~~was~~ground ~~formed~~lease to(“Stadium ~~construct~~Lease”) anwith ~~asset~~Stark ~~under~~County aPort ~~build-~~Authority for land related to~~-suit~~ ~~arrangement.~~the AsHOF Village Stadium, and entered into a ~~member~~sub-ground oflease ~~this~~(“Sublease”) ~~consolidated~~with ~~joint~~HOF ~~venture,~~Village (the “Tenant”) related to this land. The Company’s ~~has~~obligations ~~agreed~~under tothe ~~fund~~Stadium ~~its~~Lease ~~pro~~remain ~~rata~~in ~~share~~effect ofnotwithstanding ~~costs~~the Tenant’s agreement to ~~fund~~make ~~the~~these ~~construction~~Stadium ofLease ~~the~~payments ~~assets.~~directly Asto ofthe ~~September 30,~~Port ~~2025~~Authority. Accordingly, if the ~~Company~~Tenant ~~estimates~~defaults ~~that~~under itthe ~~will~~Sublease, ~~contribute~~the ~~$183,465~~Company tomay ~~PsiQuantum~~be JVrequired to ~~fund~~make ~~its~~such ~~future~~payments ~~commitments~~directly to ~~complete~~Stark ~~the~~County ~~construction~~Port ofAuthority as obligated under the ~~build-to-suit~~Stadium ~~asset~~Lease.

Additionally, as of September 30, 2025, the Company has commitments to fund up to $66,792 in additional future fundings related to our investments in commercial real estate loans, including those held through joint ventures.

15. Earnings Per Share

Basic net income/(loss) per common share is determined by dividing net income/(loss) attributable to common shareholders by the weighted average number of common shares outstanding during the period, excluding unvested restricted Class I shares. The restricted Class I shares are considered to be participating securities because they contain non-forfeitable rights to distributions. The restricted Class I shares participate equally with all classes of common shares, therefore net income/(loss) per common share has not been presented separately.

All classes of common shares are allocated net income (loss) at the same rate per share and receive the same gross distribution per share.

	~~Three Months Ended~~		Three Months Ended						~~Nine Months Ended~~
	September 30, 2025				September 30, 2024				September 30, 2025		September 30, 2024
			March 31, 2026				March 31, 2025
Net income	$	~~204,063~~	$	169,656	$	~~50,403~~	$	108,895	$	~~374,512~~	$	~~80,587~~
Net income attributable to non-controlling interests	~~(10,988)~~		(7,824)		~~(3,629)~~		(6,527)		~~(20,721)~~		~~(6,546)~~
Net income attributable to ORENT shareholders	$	~~193,075~~	$	161,832	$	~~46,774~~	$	102,368	$	~~353,791~~	$	~~74,041~~
Net income attributable to dilutive OP units	10,988				3,629				20,721		6,546
Net income attributable to dilutive OP Units			7,824				6,527
Net income attributable to ORENT shareholders - dilutive	$	~~204,063~~	$	169,656	$	~~50,403~~	$	108,895	$	~~374,512~~	$	~~80,587~~
Weighted average common shares outstanding - basic	~~617,009,847~~		772,689,856		~~357,017,433~~		474,322,703		~~546,277,237~~		~~295,966,833~~
Effect of dilutive unvested grants of restricted Class I shares	~~39,255~~		47,652		~~38,683~~		39,255		~~39,255~~		~~38,683~~
Effect of dilutive OP units	34,810,571				29,135,762				32,505,561		28,917,820
Effect of dilutive OP Units			38,138,636				30,950,520
Weighted average common shares outstanding - dilutive	~~651,859,673~~		810,876,144		~~386,191,878~~		505,312,478		~~578,822,053~~		~~324,923,336~~
Net income per common share - basic	$	~~0.31~~	$	0.21	$	~~0.13~~	$	0.22	$	~~0.65~~	$	~~0.25~~
Net income per common share - diluted	$	~~0.31~~	$	0.21	$	~~0.13~~	$	0.22	$	~~0.65~~	$	~~0.25~~

The computation of diluted net income per common share for the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025~~2026 includes 3947,~~255~~652 dilutive restricted Class I shares and 3438,~~810~~138,~~571~~636 ~~and 32,505,561~~ dilutive OP Units~~, respectively~~. The computation of diluted net income per common share for the three ~~and nine~~ months ended ~~September~~March 3031, ~~2024~~2025 includes 3839,~~683~~255 dilutive restricted Class I shares and 2930,~~135~~950,~~762~~520 ~~and 28,917,820~~ dilutive OP Units~~, respectively~~.

16. Segment Reporting

The Company’s principal business is the acquisition, ownership, financing and leasing of single-tenant commercial real estate properties subject to long-term net leases with investment grade and other creditworthy tenants or guarantors.

The Company has one operating segment and one reportable segment as of ~~September~~March 3031, ~~2025~~2026. The CODM specifically reviews consolidated net income and certain significant expenses excluding non-cash items onat athe consolidated ~~basis~~entity level to allocate resources accordingly. The following table details our segment financial results for the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025:

	Three Months Ended				Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
Total segment revenues	$	65,962	$	69,817	$	198,112	$	199,059
Segment expenses
Fund level expenses (1)	6,076		4,418		16,436		15,186
Management fees	21,361		12,330		56,199		31,134
Performance participation allocation	36,140		7,440		67,036		22,602
Interest expense (2)	24,849		25,522		65,377		87,951
Other segment income, net (3)	(227,048)		(31,322)		(382,050)		(40,839)
Income tax expense	521		1,026		602		2,438
Consolidated segment net income	$	204,063	$	50,403	$	374,512	$	80,587


	Three Months Ended
	March 31, 2026		March 31, 2025
Total segment revenues	$	96,925	$	66,053
Segment expenses
Fund level expenses (1)	7,453		5,909
Management fees	27,907		16,216
Performance participation allocation	30,457		12,565
Interest expense (2)	35,303		19,269
Other segment income, net (3)	(175,397)		(97,080)
Income tax expense	1,546		279
Consolidated segment net income	$	169,656	$	108,895

(1) Fund level expenses are equal to total general and administrative expenses adjusted to exclude the CECL allowance.

(2) Interest expense excludes non-cash items such as amortization expense related to our deferred financing fees.

(3) Other segment income, net includes rental property operating expenses, CECL allowance, impairment charges, depreciation and amortization, income from unconsolidated real estate affiliates, net gain (loss) on dispositions, interest income, and other ~~(income)~~ expense, net.

The measure of segment assets is reported on the Condensed Consolidated Balance Sheets as total assets.

17. Income Taxes

The Company has elected to be taxed as a REIT under the applicable provisions of the Code for every year beginning with the year ended December 31, 2022. The Company has also elected for some of its subsidiaries to be treated as taxable REIT subsidiaries (“TRSs”), which are subject to federal and state income taxes.

The ~~Company’s income tax expense is related to its foreign entities and its DST Program held through a TRS. The~~ components of income tax (benefit) expense for the three ~~and nine~~ months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025 were as follows:

	~~Three Months Ended~~		Three Months Ended						~~Nine Months Ended~~
	September 30, 2025				September 30, 2024				September 30, 2025		September 30, 2024
			March 31, 2026				March 31, 2025
Current Tax (Benefit) Expense
Income before income taxes
U.S. Federal	$	(1)			$	168			$	61	$	280
Domestic net income before income taxes			$	151,227			$	92,820
U.S. State	(1)				78				10		151
Foreign net income before income taxes			19,975				16,354
Foreign	200				(112)				926		794
Total net income before income taxes			$	171,202			$	109,174
Total current expense	$	198			$	134			$	997	$	1,225
Current tax expense
Deferred Tax (Benefit) Expense
U.S. Federal			$	901			$	—
U.S. Federal	$	175			$	(70)			$	(514)	$	149
U.S. State			220				—
U.S. State	70				(33)				(125)		69
Foreign			1,051				416
Foreign	78				995				244		995
Total current expense			$	2,172			$	416
Total deferred tax (benefit) expense	$	323			$	892			$	(395)	$	1,213
Deferred tax (benefit) expense
Total income tax (benefit) expense, net	$	521			$	1,026			$	602	$	2,438
U.S. Federal			$	(324)			$	(159)
U.S. State			(99)				(56)
Foreign			(203)				78
Total deferred tax (benefit) expense			$	(626)			$	(137)
Total income tax expense, net			$	1,546			$	279

3933

Income tax expense is ~~higher~~lower than the ~~expected~~total ~~pretax~~net ~~book~~ income ofbefore ~~the~~income ~~TRS~~taxes at the 21.0% federal statutory rate as a result of fair value adjustments on interest rate swaps and gains on sales of DST ~~interests~~Interests, as well as the impact of state and local taxes.

Deferred income taxes reflect the net effects of temporary differences between the carrying amounts of assets and liabilities for GAAP purposes and the amount used for income tax purposes. As of ~~September~~March 3031, ~~2025~~2026, the Company had a deferred tax asset ~~related to its DST Program~~ of $~~669~~1,737 included within Other assets in the Condensed Consolidated Balance Sheet (primarily ~~related~~comprised toof amortization of organizational expense, ~~and~~basis differences, fair value adjustments, onand ~~interest~~NOL ~~rate swaps~~carryforwards). As of ~~September~~March 3031, ~~2025~~2026, the Company had a ~~net~~ deferred tax liability ~~related to its foreign entities~~ of $1,~~616~~984 included within Other liabilities in the Condensed Consolidated Balance Sheet ~~comprised of a deferred tax asset of $357 and a deferred liability of $1~~,~~973,~~ primarily related to temporary differences on real property and straight-line rent adjustments, respectively, for its foreign entities. As of December 31, ~~2024~~2025, the Company had a net deferred tax asset ~~related to its DST Program~~ of $29754 included within Other assets in the Condensed Consolidated Balance Sheet (primarily comprised of ~~a deferred tax asset of $383 related to amortization of~~ organizational expenses and ~~a deferred tax liability of $354 for~~ basis differences in real property and swaps). As of December 31, ~~2024~~2025, the Company had a ~~net~~foreign deferred tax asset and liability (primarily related to ~~its~~straight-line ~~foreign~~rent ~~entities~~adjustments) of $~~1,176~~415 ~~included~~and ~~within~~$2,130, ~~Other~~respectively, ~~liabilities~~as inwell ~~the~~as ~~Condensed Consolidated Balance Sheet comprised of~~ a deferred tax asset ~~of $170~~ related to ~~temporary~~interest ~~differences~~expense onof ~~property~~$1,640 ~~and~~net of a ~~deferred~~valuation ~~tax~~allowance ~~liability~~ of $1,~~346, primarily related to straight-line rent adjustments~~640.

Income taxes paid for the ~~nine~~three months ended ~~September~~March 3031, 2026 and 2025 were $1571 and $926,~~281~~ respectively. Income tax paid for the three months ended March 31, 2026 was comprised of $281 U.S. Federal, $~~141~~35 U.S. State, and $~~1,112~~535 Foreign, ofincome ~~which $796, $300, and $16 relate to the U~~taxes.~~K.,~~ ~~Canadian, and German jurisdictions, respectively.~~ Income taxes paid for the ~~nine~~three months ended ~~September~~March 3031, ~~2024~~2025 were ~~$1,004, primarily~~ comprised of ~~Foreign~~$80 ~~income~~U.S. ~~tax,~~State ~~of which $994~~ and $10846 ~~relate~~Foreign toincome ~~the Canadian and German jurisdictions, respectively~~taxes.

~~The~~Generally, the Company ~~files~~is ~~its~~subject ~~tax~~to ~~returns~~audit asunder ~~prescribed by~~ the ~~tax~~statute ~~laws~~ of ~~the~~limitations ~~jurisdictions~~by inthe ~~which~~Internal itRevenue ~~operates.~~Service In(“IRS”) for the ~~normal~~year ~~course~~ended ~~of business~~December 31, ~~the~~2023 ~~tax~~and subsequent years, ~~that~~and ~~remain~~is ~~open~~subject ~~under~~to ~~the~~audit ~~statute~~by ofstate ~~limitations~~taxing ~~may~~authorities befor ~~subject~~the toyear ~~examinations~~ended byDecember 31, ~~the~~2023 ~~appropriate~~and ~~tax~~subsequent ~~authorities~~years. The Company is ~~generally no longer~~ subject to ~~state~~audit orunder ~~local~~the ~~examinations~~statute of limitations by ~~tax~~the Canada Revenue Agency and provincial authorities with respect to its Canadian entities for ~~tax~~the ~~years~~year ~~prior~~ended toDecember 31, ~~2022~~2023 and subsequent years.

18. Subsequent Events

In preparation of the accompanying Condensed Consolidated Financial Statements, the Company has evaluated events and transactions that occurred after ~~September~~March 3031, ~~2025~~2026 for recognition or disclosure purposes. Based on this evaluation, we identified the following subsequent events, from ~~September~~March 3031, ~~2025~~2026 through the date on which the financial statements were available to be issued.

~~Investments~~Sila inRealty ~~Unconsolidated~~Trust, ~~Real Estate Affiliates~~Inc.

On ~~October~~April 2120, ~~2025~~2026, the Company, ~~acquired~~along awith ~~63.0%~~other ~~indirect~~affiliates ~~investment~~of inBlue ~~Beignet~~Owl, ~~Investor~~entered ~~LLC~~into ~~(“Beignet~~a ~~Investor”),~~definitive ~~which~~merger ~~owns~~agreement anwith ~~80.0%~~Sila ~~interest~~Realty inTrust, ~~Project~~Inc ~~Beignet Holdings~~ (~~“Beignet JV”~~"Sila"). ~~Beignet JV was formed~~ to ~~facilitate~~acquire ~~the~~all ~~funding~~of ~~and~~Sila's ~~development~~outstanding shares of acommon ~~data~~stock ~~center~~in ~~campus~~an ~~leased~~all-cash totransaction ~~and~~valued ~~operated~~at byapproximately ~~Meta Platforms~~$2, ~~Inc~~500,000. AsIn ~~part of its investment in Beignet JV~~conjunction, the Company has ~~agreed~~provided an equity commitment letter to fund $1,~~533~~200,~~307~~000 inof equity ~~for~~related ~~its~~to ~~pro rata share of~~ the ~~total development cost~~merger. InThe ~~conjunction~~sale ~~with~~is ~~the~~expected ~~transaction,~~to ~~Beignet~~close ~~Investor issued $27,293,849~~ in ~~senior secured notes with an interest rate of 6~~2026.~~581% and a maturity date of May 30, 2049.~~

Proceeds from the Issuance of Common Shares

From ~~October~~April 1, ~~2025~~2026 through the date the financial statements were issued, the Company sold an aggregate of 5631,~~046~~519,~~765~~002 shares of its common shares (consisting of 2412,~~107~~082,~~937~~357 Class S shares, 52,~~525~~343,~~602~~514 Class N shares, 1192,~~638,845~~372 Class D shares, and 2416,~~774~~900,~~381~~759 Class I shares) resulting in net proceeds of $~~582~~333,~~531~~929 to the Company as payment for such shares.

4034

ITEM 2 MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

References herein to “Blue Owl Real Estate Net Lease Trust,” “Company,” “we,” “us,” or “our” refer to Blue Owl Real Estate Net Lease Trust and its subsidiaries unless the context specifically requires otherwise.

The following discussion should be read in conjunction with the unaudited condensed consolidated financial statements and notes thereto appearing elsewhere in this quarterly report on Form 10-Q. In addition to historical data, this discussion contains forward-looking statements about our business, operations and financial performance based on current expectations that involve risks, uncertainties and assumptions. Our actual results may differ materially from those in this discussion as a result of various factors, including but not limited to those discussed in Part I. Item 1A. —- “Risk Factors” in our ~~2024~~ Annual Report on Form 10-K filed with the SEC on March 13, ~~2025~~2026 as such factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. Dollars are in thousands, except for per share amounts.

Overview

Blue Owl Real Estate Net Lease Trust (formerly, Oak Street Net Lease Trust) was formed on April 4, 2022 (“Inception”) as a Maryland statutory trust; however, no activity occurred until the first capital funding from Blue Owl on August 9, 2022. The Company invests primarily in stabilized income-generating commercial real estate in the United States. To a lesser extent, we may also invest outside the U.S. and in real estate debt. The Company is the sole general partner and majority limited partner in Blue Owl NLT Operating Partnership LP (formerly, OakTrust Operating Partnership L.P.), a Delaware limited partnership (“NLT OP” or the “Operating Partnership”), and we own, and plan to continue to own, all or substantially all of our assets through NLT OP. We are externally managed by our Adviser. The Company’s principal business is the acquisition, ownership, financing and leasing of single-tenant commercial real estate properties subject to long-term net leases with investment grade and other creditworthy tenants or guarantors, and its management does not distinguish the principal business, or group the operations, by property type, lease classification, investment type or any other grouping for purposes of measuring performance. Accordingly, the Company has one operating segment and one reportable segment.

The Company is structured as a non-listed, perpetual life real estate investment trust (“REIT”) that qualifies as a REIT under the Internal Revenue Code of 1986, as amended (the “Code”), for U.S. federal income tax purposes. We generally will not be subject to U.S. federal income taxes on our taxable income to the extent we annually distribute all of our net taxable income to ~~Shareholders~~shareholders and maintain our qualification as a REIT.

As of ~~September~~March 3031, ~~2025~~2026, we have received net proceeds of $68,~~623~~265,~~363~~857 from the sale of our common shares. We have contributed the net proceeds to NLT OP in exchange for a corresponding number of Class S, Class N, Class D, and Class I units of NLT OP (“OP Units”). NLT OP has primarily used the net proceeds to make investments in real estate and real estate debt as further described below under “Investment Portfolio.” We intend to continue selling shares on a monthly basis.

DST Program

On August 31, 2023, the Company, through NLT OP, initiated a program (the “DST Program”) to issue and sell up to a maximum aggregate offering amount of $3,000,000 of beneficial interests (“Interests”) in one or more Delaware statutory trusts (the “DSTs”) holding real properties (the “DST Properties”). The Interests will be issued and sold to “accredited investors,” as that term is defined under Regulation D promulgated by the SEC under the ~~1933~~Securities Act in private placements exempt from registration pursuant to Section 4(a)(2) of the ~~1933~~Securities Act (the “DST Offerings”). Under the DST Program, DST Properties, which may be sold, contributed, sourced or otherwise seeded from the Company’s real properties held through NLT OP or from third parties, will be held in one or more DSTs, and will be leased back by wholly owned subsidiaries of NLT OP in accordance with corresponding master lease agreements. Each master lease agreement will be guaranteed by NLT OP, which will have the right, but not the obligation, to acquire the Interests in the applicable DST from the beneficial owners, in each case, in exchange for cash or units of NLT OP (“OP Units”), at a purchase price equal to the fair market value of the beneficial owner’s Interest or the fair market value of the beneficial owner’s interest in one or more of the DST Properties (the “FMV Buyback Option”). The FMV Buyback Option is exercisable during the one-year option period beginning two years from the final closing of the applicable DST Offering or in such other time frame as provided for in the applicable DST arrangement. After a one-year holding period, investors who receive OP Units pursuant to the FMV Buyback Option generally have the right to cause NLT OP to redeem all or a portion of their OP Units for, at the Company’s sole discretion, common shares of the Company, cash or a combination of both.

We expect that the DST Program will give us the opportunity to continue to expand and diversify our capital-raising strategies by offering what we believe to be an attractive investment product for investors that may be seeking replacement properties to complete like-kind exchange transactions under Section 1031 of the Internal Revenue Code of 1986, as amended. Affiliates of the Adviser receive fees in connection with the sale of the Interests and the management of the DSTs. We intend to

4135

properties to complete like-kind exchange transactions under Section 1031 of the Internal Revenue Code of 1986, as amended. Affiliates of the Adviser receive fees in connection with the sale of the Interests and the management of the DSTs. We intend to continue to use the net offering proceeds from the DST Program to make investments in accordance with our investment strategy and policies, reduce our borrowings, repay indebtedness, fund the repurchase of shares of all classes of our common shares under our Share Repurchase Plan and for other corporate purposes. We have not allocated specific amounts of the net proceeds from the DST Program for any specific purpose.

As of ~~September~~March 3031, ~~2025~~2026, the Company has raised proceeds of $~~259~~572,~~053~~909 from its DST ~~program~~Program including $37,~~427~~582 of upfront fees earned at closing. As of ~~September~~March 3031, ~~2025~~2026, ~~approximately~~ 100%, ~~100%, 97%, and 6%~~ of the ~~interests~~Interests in our first, ~~second,~~four ~~third,~~DST Offerings and ~~fourth~~approximately 36% of the Interests in our fifth DST Offering, ~~respectively,~~ have been sold to third parties. As a result of the FMV Buyback Option, the sale of DST Interests is offset by a financing obligation liability. The Company has elected to account for its DST financing obligation using the FVO, and as such, the liability is remeasured at fair value on a recurring basis.

Emerging Growth Company Status

We are and we will remain an “emerging growth company” as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”) until the earlier of (a) the last day of the fiscal year (i) following the fifth anniversary of the date of an initial public offering pursuant to an effective registration statement under the ~~1933~~Securities Act, (ii) in which we have total annual gross revenue of at least $1,235,000, or (iii) in which we are deemed to be a large accelerated filer, which means the market value of our shares that is held by non-affiliates exceeds $700,000 as of the date of our most recently completed second fiscal quarter, and (b) the date on which we have issued more than $1,000,000 in non-convertible debt during the prior three-year period. For so long as we remain an “emerging growth company” we may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not “emerging growth companies” including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002. We cannot predict if investors will find our shares less attractive because we may rely on some or all of these exemptions.

In addition, Section 107 of the JOBS Act also provides that an “emerging growth company” can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the ~~1933~~Securities Act for complying with new or revised accounting standards. In other words, an “emerging growth company” can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We will take advantage of the extended transition period for complying with new or revised accounting standards, which may make it more difficult for investors and securities analysts to evaluate us since our financial statements may not be comparable to companies that comply with public company effective dates and may result in less investor confidence.

Recent Developments

~~The~~Our ~~Company’s~~business ~~businesses~~is ~~are~~impacted ~~materially affected~~ by conditions in the financial markets and economic conditions in the ~~U.S.~~United States and to a lesser extent, globally.

During the three months ended ~~September~~March 3031, ~~2025~~2026, ~~the~~global ~~U.S.~~equity ~~government’s~~and ~~imposition~~debt ofmarkets ~~tariffs~~experienced ~~and~~elevated ~~the~~volatility, ~~counter-tariffs~~with ~~imposed~~significant bydispersion ~~other~~across ~~countries~~equity markets, inspread ~~conjunction~~widening ~~with~~in ~~global~~fixed ~~economic~~income markets, and ~~geopolitical~~outsized ~~uncertainty~~moves ~~including~~in ~~the~~commodities ~~ongoing~~as ~~conflicts~~a inresult ~~Eastern~~of ~~Europe,~~intensifying ~~the~~geopolitical ~~Middle~~conflicts ~~East,~~ and ~~the~~heightened ~~North~~focus ~~Africa~~on ~~region,~~the ~~continued~~evolution toof ~~weigh~~artificial onintelligence. ~~industry~~The ~~deal~~10-year ~~activity.~~Treasury Inyield ~~addition,~~ended ~~any~~the ~~continued~~first ~~fluctuation~~quarter inof ~~the~~2026 ~~value~~up ofnearly ~~the~~15 ~~U.S.~~basis ~~dollar~~points ~~against~~from ~~other~~December ~~currencies~~31, ~~may~~2025 ~~affect~~and ~~our~~experienced ~~non-U.S.~~a ~~real-estate~~peak ~~and~~to ~~real~~trough ~~estate-related~~range ~~investments.~~of Itnearly ~~remains~~50 ~~difficult~~basis topoints ~~predict~~during the ~~full~~first ~~impact~~quarter of ~~recent~~2026. ~~events~~The ~~and~~CBOE ~~any~~Volatility ~~future~~Index ~~changes~~peaked inabove ~~interest~~30 ~~rates~~during the first quarter of 2026, ~~currency~~its ~~exchange~~highest ~~rates~~level orsince ~~inflation~~April 2025.

Industry valuations and transaction volumes remain under pressure due to a combination of the announcement of tariffs, increased vacancy rates, and uncertainty around future capital availability. In contrast, our real assets business, focused on triple net lease, continued to deploy significant capital. Our investors continue to benefit from the inflation-mitigating characteristics of the net lease structure, highly predictable net rent growth, and long-duration contractual income across the portfolio.

We are continuing to closely monitor developments related to the macroeconomic factors that have contributed to market volatility, and towe ~~assess~~are assessing the impact of these factors on financial markets and on our business. Our future results may be adversely affected by slowdowns in fundraising activity and the pace of capital deployment. It is currently not possible to predict the ultimate effects of these events on the financial markets, overall economy, and our Condensed Consolidated ~~financial~~Financial ~~statements~~Statements. See “Part I. Item 1A. Risk Factors —- Risks Related to Our Business and Operations” in our ~~2024~~2025 Annual Report on Form 10-K filed with the SEC on March 13, ~~2025~~2026.

Q3Q1 ~~2025~~2026 Highlights (Results of Operations)

4236

Operating Results

•Declared monthly net distributions on our common shares totaling $~~101~~136,~~712~~792 for the three months ended ~~September~~March 3031, ~~2025~~2026. The details of the average ~~annualized~~ distribution rates and total returns are shown in the following table:

	Class S		Class N		Class D		Class I
Annualized Distribution Rate(1)	5.95	%	6.24	%	6.62	%	6.74	%
Year-to-Date Total Return, without upfront selling commissions (1)	2.27%		2.35%		2.43%		2.49%
Year-to-Date Total Return, without upfront selling commissions(2)	7.19	%	7.45	%	7.71	%	7.89	%
Year-to-Date Total Return, assuming maximum upfront selling commissions (1)	(1.19)%		0.35%		0.92%		N/A
Year-to-Date Total Return, assuming maximum upfront selling commissions(2)	3.56	%	5.34	%	6.12	%	N/A
Inception-to-Date Total Return, without upfront selling commissions (1)	7.86%		8.80%		8.19%		8.94%
Inception-to-Date Total Return, without upfront selling commissions(2)	7.52	%	8.80	%	7.81	%	8.62	%
Inception-to-Date Total Return, assuming maximum upfront selling commissions (1)	6.83%		8.04%		7.74%		N/A
Inception-to-Date Total Return, assuming maximum upfront selling commissions(2)	6.32	%	7.20	%	7.29	%	N/A

__________________

(1)~~The~~Total ~~annualized~~return ~~distribution rate~~ is calculated as the ~~current~~change ~~month's~~in ~~distribution~~NAV ~~annualized~~per ~~and~~share ~~divided~~during by the ~~prior~~respective ~~month's~~periods ~~net~~plus ~~asset~~any ~~value,~~distributions ~~which~~per isshare ~~inclusive~~declared ofin ~~all~~the ~~fees~~period and ~~expenses~~assumes any distributions are reinvested in accordance with our distribution reinvestment plan. ~~The~~Total ~~Company~~return ~~believes~~for ~~the~~periods greater than one year are annualized. ~~distribution~~The ~~rate~~Company believes total return is a useful measure of the overall investment performance of our shares.

(2)Total return is calculated as the change in NAV per share during the respective periods plus any distributions per share declared in the period and assumes any distributions are reinvested in accordance with our distribution reinvestment plan. Total return for periods greater than one year are annualized. The Company believes total return is a useful measure of the overall investment performance of our shares.

Investments

•During the three months ended ~~September~~March 3031, ~~2025~~2026, acquired ~~two~~eight industrial properties, ~~three retail properties,~~ and one ~~parcel~~retail ofproperty ~~land~~ for a total purchase price of $~~105~~153,~~216~~852. ~~These~~The acquisitions are consistent with our strategy of acquiring diversified, income-producing, commercial real estate assets concentrated in high growth markets.

•Invested $~~498~~365,~~530~~790 inand ~~real~~sold ~~estate debt~~$96,612 ~~net~~ of ~~amounts unsettled as of September 30, 2025, consisting of commercial mortgage-backed securities (“CMBS”)~~ investments ~~and~~in ~~commercial~~ real estate ~~loans, including mezzanine loans, and sold $74,307 of real estate~~ debt during the three months ended ~~September~~March 3031, ~~2025~~2026.

•~~Contributed~~During ~~land~~the ofthree ~~$3,480~~months ~~for~~ended aMarch ~~99.0%~~31, ~~membership interest in PsiQuantum JV~~2026, ~~which~~made ~~was~~investments ~~formed to facilitate the development of a quantum computing facility leased to PsiQuantum~~ in aunconsolidated ~~build-to-suit~~real ~~arrangement.~~estate ~~The~~affiliates ~~Company~~as ~~consolidates PsiQuantum JV.~~follows:

•Made an indirect investment in Poseidon JV of $176,506 for a membership interest of 51.0%, which was formed to facilitate the investment in a loan collateralized by the investment of funds managed by Blackstone Infrastructure Partners in Safe Harbor Marinas.


Investment	Ownership Percentage as of March 31, 2026	Contributions (1)
Net lease	50.9%	$	10,063
Net lease data centers	3.0% - 84.7%	157,095
Investments in real estate debt	51.0% - 85.0%	192,278
Total		$	359,436

~~•During~~(1) ~~the~~Includes ~~three~~non-cash ~~months ended September 30, 2025, contributed $263,069 to acquire additional indirect interests in STORE~~contributions. ~~As of September 30, 2025, the total investment in STORE totaled $2,442,812, representing a 22.4% indirect ownership interest.~~

Capital Activity and Financings

•Raised net proceeds of $~~801~~760,~~462~~293 from the sale of our common shares and repurchased 1012,~~747~~617,~~101~~843 of our common shares for $~~111~~133,~~650~~435 during the three months ended ~~September~~March 3031, ~~2025~~2026.

•Incurred borrowings on secured debt of $44,800 and made net paydowns on unsecured debt of $84234,~~500~~000.

•Incurred net borrowings under secured financings of investments in real estate debt of $~~208~~60,~~282~~101, which are secured by certain of the Company’s CMBS investments and commercial real estate loans.

Overall Portfolio

•As of ~~September~~March 3031, ~~2025~~2026, our portfolio consisted of investments in real estate, including consolidated joint ventures, (3941%), investments in leases (4%), investments in real estate debt (1719%), and investments in unconsolidated real estate affiliates (4036%), based on fair value.

43•Our 278 properties as of March 31, 2026, of which 276 are wholly owned and two are held through consolidated joint ventures, consisted primarily of Industrial (69%), Retail (21%), Land (5%), and Office (5%) assets, based on fair value.

•Our ~~253~~investments ~~properties~~in real estate debt as of ~~September~~March 3031, ~~2025~~2026, consisted of ~~which~~commercial ~~252~~real ~~are~~estate ~~wholly~~loans, ~~owned~~CMBS, and ~~one~~investments isin ~~held~~loans ~~through~~receivable arelated ~~consolidated~~to ~~joint~~the ~~venture,~~land ~~consisted~~at ofbuild-to-suit ~~Industrial~~properties. ~~(68%),~~For ~~Retail~~further ~~(23%),~~details ~~Land~~on ~~(2%),~~credit ratings and ~~Office~~underlying ~~(7%)~~real ~~assets~~estate collateral, ~~based~~refer onto ~~fair~~“Investment ~~value~~Portfolio – Investments in Real Estate Debt”.

•Our investments in real estate debt as of September 30, 2025, consisted of CMBS, commercial real estate loans, Horizontal Risk Retention Interests (“HRRs”), and investments in loans receivable related to land at build-to-suit properties. For further details on credit ratings and underlying real estate collateral, refer to “Investment Portfolio – Investments in Real Estate Debt”.37

•As of ~~September~~March 3031, ~~2025~~2026, ~~our~~we ~~investments~~held ininterests ~~unconsolidated real estate affiliates consisted of equity investments~~ in ~~STORE, Fleet Farm JV, Tenneco JV, CoreWeave CTP-02 JV, CoreWeave CTP-03 JV, LV Petroleum JV, Oracle 1-2 JV, Oracle~~ 3~~-4 JV~~,619 ~~Oracle~~properties ~~5-8~~through ~~JV,~~our ~~and~~16 ~~Poseidon~~investments JVin ofunconsolidated ~~$2,442,812,~~real ~~$5,265,~~estate ~~$31~~affiliates,~~959,~~ ~~$30,579,~~primarily ~~$2,038,~~through ~~$191,186,~~our ~~$480,309,~~investment ~~$41,720,~~in ~~$196,558,~~STORE ~~and~~Capital ~~$179,075,~~LLC ~~respectively~~(“STORE”).

Investment Portfolio

Real Estate Investments

The following chart describes the diversification of our wholly owned and consolidated joint venture investments in real estate by property type based on fair value as of March 31, 2026:


			Property Type (1)

(1) Property Type weighting is measured as the asset value of our wholly owned ~~real~~and ~~estate~~consolidated joint venture investments in real estate for each sector category against the total asset value of ~~real~~all ~~estate~~such investments. “Real estate investments” excludes properties held within unconsolidated joint ventures, including the Company’s investment in STORE.

The following table provides a summary of our wholly owned real estate portfolio as of March 31, 2026, including Investments in real estate and Investments in leases – Financing Receivables:

Property Type (1)

Number of Properties

Sq. Feet (in thousands)

Occupancy Rate (32) (43)

Average Effective Annual Base Rent Per Leased Sq. Foot

~~Gross~~Annual ~~Asset~~Base ~~Value (2)~~Rent

~~Annual~~Percentage ~~Base~~of ~~Rent~~Total Revenue

~~Percentage of Total Revenue~~

Industrial

6780

1823,~~919~~797

100%

79.51

2215,~~693,460~~500

$65%

~~142,588~~

~~64%~~

Retail

~~180~~190

23,~~205~~195

100%

2523.18

~~922~~76,~~082~~098

~~55,390~~23%

~~25%~~

Land

1627,~~584~~591

N/A

0.27

9418,~~959~~434

~~4,092~~6%

Office

1,006

100%

~~19.9~~20

~~265~~20,~~190~~125

~~20,015~~6%

Total

278

55,589

330,157

100%

__________

Total 253 38,714 $ 3,975,691 $ 222,085 100%

(1)Excludes properties owned by unconsolidated real estate affiliates.

(2)~~Based~~Occupancy onrate ~~fair~~is ~~value~~calculated as the percentage of ~~September 30,~~square ~~2025~~footage leased.

(3)Land investments are excluded from Occupancy ~~rate~~Rate. isBuild-to-suit ~~calculated~~investments asare included in Occupancy Rate to the ~~percentage~~extent ofa ~~square~~lease ~~footage~~has ~~leased~~been executed.

~~(4)Land investments are excluded from Occupancy Rate. Build-to-suit investments are included in Occupancy Rate to the extent a lease has been executed.~~38

Real Estate and Leases

The following table provides information regarding our wholly owned real estate property types as of ~~September~~March 3031, ~~2025~~2026:

Property Type and Investment (1)	Number of Properties	Location	Acquisition/Commencement Date	Ownership Interest	Sq. Feet (in thousands)	Occupancy Rate (2)(7)
Industrial:
Amazon	5	Various	Aug. - Dec. 2022	100%	4,964	100%
Dorel Industries	1	Cornwall, ON	November 2022	100%	492	100%
EquipmentShare.com (4) (5)	31	Various	Oct. - Nov. 2022	100%	780	100%
EquipmentShare.com (3) (6)	28	Various	Oct. - Nov. 2022	100%	752	100%
Magna International	12	Bowling Green, KY	September 2022	100%	12,~~176~~317	100%
Paradigm (5)	3	Various	October 2022	100%	314	100%
Paradigm (4)	3	Various	October 2022	100%	314	100%
Whirlpool (5)	1	Amana, IA	November 2022	100%	1,572	100%
Whirlpool (4)	1	Amana, IA	November 2022	100%	1,572	100%
Tenneco	5	Various	December 2022	100%	2,150	100%
LOC Performance	2	Various	March 2023	100%	990	100%
QVC	2	Various	January 2023	100%	2,166	100%
Save Mart (5)	2	Various	September 2023	100%	555	100%
Save Mart (4)	2	Various	September 2023	100%	555	100%
Quanta Cloud	1	San Jose, CA	June 2024	100%	91	100%
General Mills	1	Belvidere, IL	July 2024	100%	1,318	100%
Hillenbrand	2	Various	September 2024	100%	712	100%
Air Distribution Technologies	7	Various	July 2024	100%	1,097	100%
Johnson Controls	14	Seattle, WA	September 2022	100%	12325	100%
US Foods	1	Fresno, CA	July 2025	100%	97	100%
PsiQuantum (3) (4)	1	Chicago, IL	September 2025	99%	433	N/A
PsiQuantum (5)	1	Chicago, IL	September 2025	99%	433	N/A
Flowchem	1	Prairie View, TX	October 2025	100%	184	100%
Marzetti (5)	1	Columbus, OH	November 2025	98%	665	100%
Citi Trends	1	Roland, OK	December 2025	100%	563	100%
United Natural Foods	1	Manchester, PA	December 2025	100%	1,319	100%
Syngenta	1	Malta, IL	January 2026	100%	104	100%
Core-Mark	6	Various	February 2026	100%	464	100%
Eaton	1	Los Angeles, CA	March 2026	100%	153	100%
Retail:
Cracker Barrel (5)	53	Various	September 2022	100%	537	100%
Cracker Barrel (4)	53	Various	September 2022	100%	537	100%
Ramoco Fuels NC LLC (6)	27	Various	September 2023	100%	94	100%
Ramoco Fuels NC LLC	27	Various	September 2023	100%	94	100%
Walgreen Co.	29	Various	September 2022	100%	426	100%
Maverick Gaming	11	Various	Sep. 2022 - Jun. 2023	100%	317	100%
Save Mart (5)	10	Various	July 2023	100%	475	100%
Save Mart (4)	10	Various	July 2023	100%	475	100%
N&L Investments (6)	8	Various	September 2022	100%	22	100%
N&L Investments	8	Various	September 2022	100%	22	100%
JK Petroleum (6) (7)	5	Various	September 2022	100%	24	100%
JK Petroleum (6)	5	Various	September 2022	100%	24	100%
Abbasi (6) (7)	10	Various	September 2022	100%	35	100%
Abbasi (6)	10	Various	September 2022	100%	35	100%
World Fuel Services, Inc (6) (7)	5	Various	September 2022	100%	62	100%
World Fuel Services, Inc (6)	5	Various	September 2022	100%	62	100%
Dollar General	10	Various	Dec. 2024 - May 2025	100%	113	100%
Tractor Supply	1	Brookville, PA	January 2025	100%	22	100%
Starbucks	45	Various	Feb. 2025 - ~~Sep~~Feb. ~~2025~~2026	100%	79	100%
Washington Trust	4	Various	January 2025	100%	27	100%
MedVet	3	Various	Jun.- Aug. 2025	100%	44	100%
ASDA	9	Various	December 2025	100%	988	100%
Office:
Chubb	2	Whitehouse, NJ	November 2022	100%	429	100%
Energy Center	1	Houston, TX	October 2022	100%	524	100%
EquipmentShare.com	1	Columbia, MO	October 2022	100%	53	100%
Land:
HOF Village Waterpark	1	Canton, OH	November 2022	100%	~~215~~664	N/A
Related Midwest	1	Chicago, IL	September 2025	100%	16,369	N/A
Total	253				38,714
Skybox	1	Wichita Falls, TX	November 2025	100%	9,480	N/A


Kraemer Garden	1	Waite Park, MN	December 2025	100%	1,078	N/A
Total	278				55,589

__________________

(1)Excludes properties owned by unconsolidated real estate affiliates, including STORE.

(2)Land investments are excluded from Occupancy Rate.

(3)Includes ~~assets held in a consolidated joint venture holding a~~ build-to-suit ~~asset~~assets currently in development.

(4)Includes ~~build-~~properties sold or contributed to~~-suit~~ ~~assets~~the ~~currently~~DST inProgram ~~development~~that remain consolidated under GAAP.

(5)Includes ~~properties~~assets ~~sold~~held orin ~~contributed~~a toconsolidated ~~the~~joint ~~DST~~venture ~~Program~~holdings ~~that~~a ~~remain~~build-to-suit ~~consolidated under GAAP~~asset.

(6)~~Properties~~Includes ~~previously~~leases ~~leased~~that tohave ~~SQRL~~not ~~Holdings~~commenced as of March 31, 2026.

(7)~~Includes~~Occupancy ~~leases~~Rate ~~that~~is ~~have~~calculated ~~not~~as ~~commenced~~the aspercentage of ~~September 30,~~square ~~2025~~footage leased.

(8)Occupancy Rate is calculated as the percentage of square footage leased.

Lease Expirations

The following schedule details the expiring leases at our wholly owned real estate properties by annualized base rent and square footage as of ~~September~~March 3031, ~~2025~~2026:

Year	Number of Expiring Leases	Annualized Base Rent (1)		% of Total Annualized Base Rent Expiring		Square Feet (in thousands)	% of Total Square Feet Expiring
2025 (remaining)	—	$	—	—	%	—	—	%
2026 (remaining)	—	$	—	—%		—	—%
2026	—	—		—	%	—	—	%
2027	—	—		—%		—	—%
2027	—	—		—	%	—	—	%
2028	1	2,025		1%		191	—%
2028	1	1,985		1	%	191	—	%
2029	—	—		—%		—	—%
2029	—	—		—	%	—	—	%
2030	—	—		—%		—	—%
2030	—	—		—	%	—	—	%
2031	—	—		—%		—	—%
2031	—	—		—	%	—	—	%
2032	3	23,760		7%		2,328	4%
2032	2	10,686		5	%	1,187	3	%
2033	17	11,221		3%		1,551	3%
2033	17	10,963		5	%	1,551	4	%
2034	16	14,995		5%		1,917	3%
2034	15	13,904		6	%	1,857	5	%
2035	3	2,333		1%		254	—%
Thereafter	~~176~~209	~~184~~275,~~547~~823		83%	%	3349,~~928~~348	8890%	%
Total	~~211~~249	$	~~222~~330,~~085~~157	100%	%	3855,~~714~~589	100%	%

(1) Excludes executed leases and build-to-suit properties for which leases have not commenced as of ~~September~~March 3031, ~~2025~~2026.

~~STORE~~Investments in Unconsolidated Real Estate Affiliates

AsThe ~~of September 30, 2025, the~~ Company ~~holds an 22.4% indirect interest in STORE, which~~ owns ~~3,564~~interests ~~properties~~ in ~~the~~unconsolidated ~~United~~real ~~States,~~estate ~~leased~~investments towith ~~672~~third ~~tenants~~parties inwhich ~~various~~are ~~industries~~primarily onaccounted afor ~~triple-net~~under ~~basis. We initially acquired~~ the ~~investment in STORE in February 2023 with incremental interests purchased throughout 2023, 2024, and the nine months ended September 30, 2025~~FVO. WeThe ~~have~~following ~~determined~~table ~~that~~details ~~STORE is a significant subsidiary under SEC Regulation S-X 10-01(b) as of September 30, 2025. Accordingly,~~ the Company ~~is required to include STORE~~’s ~~summarized~~investments ~~statement~~in ofunconsolidated ~~operations~~real ~~information~~estate ~~for~~affiliates ~~the~~as ~~three~~of ~~and nine months ended September 30~~March 31, ~~2025 and 2024~~2026. ~~See “Item 1. Financial Statements—Notes to Condensed Consolidated Financial Statements—5. Investments in Unconsolidated Real Estate Affiliates” for the summarized statement of operations.~~


Investment	Number of Investments	Number of Properties	Ownership Percentage	Carrying Amount of Investment
Unconsolidated real estate affiliates accounted for under the equity method
Net lease	1	2	49.1%	$	5,127
Total unconsolidated real estate affiliates accounted for under the equity method	1	2		$	5,127

Unconsolidated real estate affiliates accounted for under the FVO
STORE (1)	1	3,577	22.4%	$	2,543,719
Net lease	2	24	50.9%	232,178
Investments in real estate debt	4	—	51.0% - 85.0%	323,013
Net lease data centers	8	16	3.0% - 84.7%	1,139,238
Total unconsolidated real estate affiliates accounted for under the FVO	15	3,617		$	4,238,148
Total unconsolidated real estate affiliates	16	3,619		$	4,243,275

Investments in Real Estate Debt

The ~~Company’s~~following table details our investments in real estate debt asheld ofat ~~September 30,~~fair ~~2025,~~value ~~consist~~as of ~~$767~~March 31,~~089~~ ~~in CMBS, $391,873 in commercial real estate loans, $359,492 in HRRs, and $15,377 in investments in loans receivable.~~2026:

The following table details our investments in real estate debt held at fair value as of September 30, 2025:


Type of Security/Loan	Weighted Average Coupon (1) (2)		Weighted Average Maturity Date (3)	Face Amount		Cost Basis		Fair Value
CMBS (4)	SOFR + 4%		4/23/2042	$	994,382	$	993,934	$	993,119
Commercial real estate loans (4) (5)	8	%	7/9/2030	958,226		950,069		962,851
Total investments in real estate debt (6)	8	%		$	1,952,608	$	1,944,003	$	1,955,970

Type of Security/Loan	Weighted Average Coupon (1) (2)		Weighted Average Maturity Date (3)	Face Amount		Cost Basis		Fair Value
CMBS (4)	SOFR + 4%		1/17/2035	$	761,933	$	764,344	$	767,089
Commercial real estate loans (5)	10	%	2/25/2030	391,758		388,521		391,873
Total investments in real estate debt (6)	9	%		$	1,153,691	$	1,152,865	$	1,158,962

__________________

(1)The term SOFR refers to the relevant floating benchmark rate, one-month SOFR.

(2)The weighted average coupon for our CMBS includes both floating and fixed rate investments. Fixed rate CMBS represent a spread over SOFR for purposes of the weighted average calculation.

(3)The weighted average maturity date is based on the fully extended maturity date of the instrument.

(4)Includes investments pledged as collateral under a secured financing agreement. See Note 9 - Debt for additional information.

(5)Certain commercial real estate loans include potential future funding obligations to borrower. See Note 14 - Commitments and Contingencies for additional information.

(6)Total investments in real estate debt per the tables above exclude our investments in ~~HRRs~~CMBS classified as held-to-maturity and loans receivable, which are presented below.

The following table details the Company’s ~~HRR~~CMBS investments which are classified as held-to-maturity and presented at amortized cost. The carrying value of ~~the~~these ~~HRR~~CMBS investments as of ~~September~~March 3031, ~~2025~~2026 is net of an allowance for credit losses of $2,~~276~~607. The Company ~~did not record an allowance for credit losses related to its HRR investments as of December 31, 2024. The Company~~ has the intent and ability to hold ~~its~~these ~~HRR~~ investments until maturity.

	September 30, 2025
	March 31, 2026
Type of Security/Loan	Weighted AverageCoupon~~(1)~~	Weighted Average Maturity Date	FaceAmount		Cost Basis		Carrying Value
HRRs	SOFR + 7%	3/10/2030	$	361,650	$	361,685	$	359,492
CMBS	SOFR + 6%	1/21/2030	$	291,000	$	289,896	$	287,610

(1)The term SOFR refers to the relevant floating benchmark rate, one-month SOFR.

Other Investments

~~During~~The ~~the year ended December 31, 2024, the~~ Company ~~acquired~~has certain land assets related to build-to-suit properties in sale -leaseback transactions ~~for a total purchase price of $28,827~~ which isare being accounted for as an investment in loans receivable and ~~are~~ held at amortized cost, as the related lease is not deemed to have commenced until the constructed assets are made available for use by the lessee. Direct costs associated with originating loans are deferred and amortized as an adjustment to interest income over the term of the related loan receivable. During the nine months ended September 30, 2025, the Company placed six build-to-suit properties in service and contributed properties for an interest in LV Petroleum JV, including two of its build-to-suit properties with a balance of $6,623. See Note 4 - Investments in Real Estate, net and Note 5 - Investments in Unconsolidated Real Estate Affiliates for additional information. As of ~~September~~March 3031, ~~2025~~2026 and December 31, ~~2024~~2025, the Company held 147 and 2213 investments in loans receivable related to build-to-suit arrangements with a total balance of $156,~~377~~838 and $2710,~~635~~691, respectively, which are included within Investments in real estate debt in the Condensed Consolidated Balance Sheets.

4741

Results of Operations

The following table sets forth the results of ~~our~~ operations for the three months ended ~~September~~March 3031, ~~2025~~2026 and ~~2024~~2025:

	Three Months Ended				Change
	September 30, 2025		September 30, 2024		$
	March 31, 2026		March 31, 2025		$
Revenues
Rental revenue	$	5682,~~908~~358	$	5255,~~684~~746	$	426,~~224~~612
Income from investments in leases - Financing receivables	914,~~054~~567		1710,~~133~~307		(84,~~079)~~260
Total revenues	6596,~~962~~925		6966,~~817~~053		(330,~~855)~~872
Expenses
Rental property operating	87,~~997~~148		67,~~513~~193		~~2,484~~(45)
General and administrative	107,~~737~~332		61,~~732~~438		45,~~005~~894
Management fee	21,361		12,330		9,031
Impairment charges	22,734		—		22,734
Performance participation allocation	36,140		7,440		28,700
Management fee	27,907		16,216		11,691
Depreciation and amortization	26,561		24,489		2,072
Performance participation allocation	30,457		12,565		17,892
Total expenses	103,796		57,504		46,292
Depreciation and amortization	35,259		25,837		9,422
Total expenses	130,837		63,249		67,588
Other income (expense)
Income from unconsolidated real estate affiliates	~~231~~204,~~342~~851		22109,~~811~~387		~~208~~95,~~531~~464
Gain on dispositions of real estate	—		42,906		(42,906)
Gain (loss) on dispositions of real estate	724		(2,180)		2,904
Interest expense	(2738,~~399~~138)		(2720,~~602~~174)		~~203~~(17,964)
Interest income	2948,~~519~~782		520,~~345~~180		2428,~~174~~602
Other income (expense), net	8,956		(4,344)		13,300
Other expense, net	(11,105)		(843)		(10,262)
Total other income, net	~~242~~205,~~418~~114		39106,~~116~~370		~~203~~98,~~302~~744
Net income before income taxes	$	~~204~~171,~~584~~202	$	51109,~~429~~174	$	~~153~~62,~~155~~028
Income tax expense	~~521~~1,546		~~1,026~~279		~~(505)~~1,267
Net income	~~204~~169,~~063~~656		50108,~~403~~895		~~153~~60,~~660~~761
Net income attributable to non-controlling interests	(107,~~988~~824)		(36,~~629~~527)		(71,~~359~~297)
Net income attributable to ORENT shareholders	$	~~193~~161,~~075~~832	$	46102,~~774~~368	$	~~146~~59,~~301~~464
Net income per common share – basic	$	0.3121	$	0.1322
Net income per common share – diluted	$	0.3121	$	0.1322
Weighted-average common shares outstanding, basic	~~617~~772,~~009~~689,~~847~~856		~~357~~474,~~017~~322,~~433~~703
Weighted-average common shares outstanding, diluted	~~651~~810,~~859~~876,~~673~~144		~~386~~505,~~191~~312,~~878~~478

Rental revenue

Rental revenue from our income property operations was $5682,~~908~~358 for the three months ended ~~September~~March 3031, ~~2025~~2026 and $5255,~~684~~746 for the three months ended ~~September~~March 3031, ~~2024~~2025. The increase in revenues is primarily due to an increase from ~~189~~209 properties classified as Investments in real estate as of September 30, 2024 to 222 properties as of September 30, 2025, as well as contractual rent increases across the existing portfolio from September 30, 2024 to September 30, 2025.

properties classified as Investments in real estate as of March 31, 2025 to 250 properties as of March 31, 2026, as well as contractual rent increases across the existing portfolio from March 31, 2025 to March 31, 2026.

Income from investments in leases - Financing receivables

Income from investments in leases - Financing receivables was $914,~~054~~567 for the three months ended ~~September~~March 3031, ~~2025~~2026 and $1710,~~133~~307 for the three months ended ~~September~~March 3031, ~~2024~~2025. The ~~decrease~~increase in revenues is primarily due to revenue from properties ~~that~~acquired ~~were sold or contributed to joint ventures~~ and leases ~~that~~executed ~~were~~after ~~terminated~~March 31, ~~during 2024~~2025.

Rental property operating

Rental property operating expenses were $8,997 for the three months ended September 30, 2025, and $6,513 for the three months ended September 30, 2024. The increase in expenses is primarily the result of our increased property count compared to the prior year.

General and administrative

General and administrative expenses were $10,737 for the three months ended September 30, 2025 and $6,732 for the three months ended September 30, 2024. The increase is primarily due to our credit allowance adjustment under the CECL model and an increase in legal fees during the three months ended September 30, 2025.

Management fee

The management fee for the three months ended September 30, 2025 and 2024 was $21,361 and $12,330, respectively. The increase is primarily due to an increase in NAV.

Performance participation allocation

Performance participation allocation for the three months ended September 30, 2025 and 2024 was $36,140 and $7,440, respectively. The increase was due to an increase in NAV in excess of the required 5% return.

Depreciation and amortization

Depreciation and amortization was $26,561 for the three months ended September 30, 2025 and $24,489 for the three months ended September 30, 2024. The increase in depreciation and amortization during the periods presented is due to an increase from 189 properties classified as Investments in real estate as of September 30, 2024 to 222 properties as of September 30, 2025.

Income from unconsolidated real estate affiliates

Income from unconsolidated real estate affiliates was $231,342 for the three months ended September 30, 2025, and $22,811 for the three months ended September 30, 2024. The increase in income from unconsolidated real estate affiliates is primarily due to income from the Company’s investments in STORE, Oracle joint ventures, and LV Petroleum joint venture.

Gain on dispositions of real estate

During the three months ended September 30, 2024, the Company recognized a net gain on dispositions of real estate of $42,906 resulting from the disposition of one retail property and a parcel of excess land at one industrial property for total proceeds of $251,634. The Company did not dispose of any properties during the three months ended September 30, 2025.

Interest expense

Interest expense was $27,399 for the three months ended September 30, 2025, and $27,602 for the three months ended September 30, 2024. The decrease in expense was primarily due to a decrease in outstanding borrowings under the Company’s credit facility and mortgage notes, offset by interest expense related to our secured financings of investments in real estate debt.

Interest income

Interest income was $29,519 and $5,345 for the three months ended September 30, 2025 and 2024, respectively. The increase in interest income in the current year was primarily due to acquisitions of investments in real estate debt in the current year, as well as an increase in interest earned on the Company’s deposits with banks.

Other income (expense), net

Other income, net was $8,956 for the three months ended September 30, 2025, compared to other expense, net of $4,344 for the three months ended September 30, 2024. The increase in income in the current year was primarily due to gains on our foreign currency derivatives which increased $8,187 compared to the prior year and income of $1,374 related to our commercial real estate loans. The prior year period also included $3,308 of debt extinguishment fees not included in the current year period.

The following table sets forth the results of operations for the nine months ended September 30, 2025 and 2024:

	Nine Months Ended				Change
	September 30, 2025		September 30, 2024		$
Revenues
Rental revenue	$	169,878	$	152,355	$	17,523
Income from investments in leases - Financing receivables	28,234		46,704		(18,470)
Total revenues	198,112		199,059		(947)
Expenses
Rental property operating	26,200		19,301		6,899
General and administrative	18,249		18,242		7
Impairment charges	—		4,849		(4,849)
Management fee	56,199		31,134		25,065
Performance participation allocation	67,036		22,602		44,434
Depreciation and amortization	78,624		70,641		7,983
Total expenses	246,308		166,769		79,539
Other income (expense)
Income from unconsolidated real estate affiliates	416,806		96,205		320,601
(Loss) gain on dispositions of real estate	(2,180)		43,620		(45,800)
Interest expense	(70,312)		(96,705)		26,393
Interest income	73,853		11,444		62,409
Other income (expense), net	5,143		(3,829)		8,972
Total other income, net	423,310		50,735		372,575
Net income before income taxes	$	375,114	$	83,025	$	292,089
Income tax expense	602		2,438		(1,836)
Net income	374,512		80,587		293,925
Net income attributable to non-controlling interests	(20,721)		(6,546)		(14,175)
Net income attributable to ORENT shareholders	$	353,791	$	74,041	$	279,750
Net income per common share – basic	$	0.65	$	0.25
Net income per common share – diluted	$	0.65	$	0.25
Weighted-average common shares outstanding, basic	546,277,237		295,966,833
Weighted-average common shares outstanding, diluted	578,822,053		324,923,336

Rental revenue

Rental revenue from our income property operations was $169,878 for the nine months ended September 30, 2025 and $152,355 for the nine months ended September 30, 2024. The increase in revenues is primarily due to an increase from 189

properties classified as Investments in real estate as of September 30, 2024 to 222 properties as of September 30, 2025, as well as contractual rent increases across the existing portfolio from September 30, 2024 to September 30, 2025.

Income from investments in leases - Financing receivables

Income from investments in leases - Financing receivables was $28,234 for the nine months ended September 30, 2025 and $46,704 for the nine months ended September 30, 2024. The decrease in revenues is primarily due to revenue from properties that were sold or contributed to joint ventures and leases that were terminated during 2024.

Rental property operating expenses

Rental property operating expenses were $267,~~200~~148 for the ~~nine~~three months ended ~~September~~March 3031, ~~2025~~2026, and $197,~~301~~193 for the ~~nine~~three months ended ~~September~~March 3031, ~~2024~~2025. The ~~increase~~decrease in expenses is primarily the result of ~~our~~a ~~increased~~decrease ~~property~~in ~~count~~insurance ~~compared~~expenses toduring the ~~prior~~three ~~year~~months ended March 31, 2026.

General and administrative expenses

Filing Compare · Blue Owl Real Estate Net Lease Trust