NET LEASE OFFICE PROPERTIES, 10-K filed on 2/25/2026
Annual Report
v3.25.4
Cover - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Feb. 20, 2026
Jun. 30, 2025
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2025    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-41812    
Entity Registrant Name Net Lease Office Properties    
Entity Incorporation, State MD    
Entity Tax Identification Number 92-0887849    
Entity Address, Street One Manhattan West, 395 9th Avenue, 58th Floor    
Entity Address, City New York,    
Entity Address, State NY    
Entity Address, Postal Zip Code 10001    
City Area Code 844    
Local Phone Number 656-7348    
Title of each class Common Shares of Beneficial Interest, par value $0.001 per share    
Trading Symbol(s) NLOP    
Name of exchange on which registered NYSE    
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company true    
Entity Ex Transition Period false    
ICFR Auditor Attestation Flag false    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 479.1
Entity Common Stock, Shares Outstanding   14,814,075  
Documents Incorporated by Reference
The registrant incorporates by reference its definitive Proxy Statement with respect to its 2026 Annual Meeting of Stockholders, to be filed with the Securities and Exchange Commission within 120 days following the end of its fiscal year, into Part III of this Annual Report on Form 10-K.
    
Entity Central Index Key 0001952976    
Amendment Flag false    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
v3.25.4
Audit Information
 12 Months Ended
Dec. 31, 2025
Audit Information [Abstract]  
Auditor Firm ID 238
Auditor Name PricewaterhouseCoopers LLP
Auditor Location New York, New York
v3.25.4
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Investments in real estate:    
Land, buildings and improvements $ 218,799 $ 730,345
Net investments in finance leases 41,878 0
In-place lease intangible assets and other 45,160 209,968
Above-market rent intangible assets 10,760 30,512
Investments in real estate 316,597 970,825
Accumulated depreciation and amortization (102,926) (292,679)
Assets held for sale, net 96,269 29,297
Net investments in real estate 309,940 707,443
Cash and cash equivalents 119,621 25,121
Restricted cash 3,011 43,305
Other assets, net 20,799 29,200
Total assets [1] 453,371 805,069
Debt:    
Non-recourse mortgages, net 21,900 111,259
NLOP Mezzanine Loan, net 0 57,957
Debt, net 21,900 169,216
Accounts payable, accrued expenses and other liabilities 56,104 44,145
Below-market rent intangible liabilities, net 1,990 6,305
Dividends payable 75,552 0
Total liabilities [1] 155,546 219,666
Commitments and contingencies (Note 11)
Preferred stock, $0.001 par value, 5,000,000 shares authorized; none issued 0 0
Common stock, $0.001 par value, 45,000,000 shares authorized; 14,814,075 shares issued and outstanding 15 15
Additional paid-in capital 855,813 855,813
Distributions in excess of accumulated earnings (561,917) (234,443)
Accumulated other comprehensive loss 0 (40,157)
Total shareholders’ equity 293,911 581,228
Noncontrolling interests 3,914 4,175
Total equity 297,825 585,403
Total liabilities and equity $ 453,371 $ 805,069
[1] See Note 3 for details related to variable interest entities (“VIEs”).
v3.25.4
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares
Dec. 31, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 5,000,000 5,000,000
Preferred stock, shares issued (in shares) 0 0
Common stock, par value (in dollars per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 45,000,000 45,000,000
Common stock shares, issued (in shares) 14,814,075 14,814,075
Common stock shares, outstanding (in shares) 14,814,075 14,814,075
v3.25.4
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenues      
Lease revenues $ 99,262 $ 128,857 $ 166,034
Income from finance leases 610 89 1,189
Other lease-related income 19,043 13,301 7,742
Total revenues 118,915 142,247 174,965
Operating Expenses      
Impairment charges — real estate 140,814 78,237 63,143
Depreciation and amortization 35,878 56,696 74,998
Reimbursable tenant costs 22,451 26,520 27,957
Property expenses, excluding reimbursable tenant costs 8,588 10,901 8,642
General and administrative 7,309 7,502 13,610
Asset management fees 4,577 6,243 1,245
Separation and distribution related costs and other 0 16 8,446
Impairment charges — goodwill 0 0 62,456
Total operating expenses 219,617 186,115 260,497
Other Income and Expenses      
(Loss) gain on sale of real estate, net (29,006) 20,216 (3,608)
Interest expense (12,739) (67,962) (42,613)
Other gains and (losses) (2,557) (2,154) 456
Total other income and expenses (44,302) (49,900) (45,765)
Loss before income taxes (145,004) (93,768) (131,297)
(Provision for) benefit from income taxes (158) 2,382 (425)
Net Loss (145,162) (91,386) (131,722)
Net income attributable to noncontrolling interests (100) (85) (24)
Net Loss Attributable to NLOP $ (145,262) $ (91,471) $ (131,746)
Basic Loss Per Share (in dollars per share) $ (9.81) $ (6.18) $ (9.00)
Diluted Loss Per Share (in dollars per share) $ (9.81) $ (6.18) $ (9.00)
Weighted-Average Shares Outstanding      
Basic (in shares) 14,814,075 14,789,514 14,631,265
Diluted (in shares) 14,814,075 14,789,514 14,631,265
v3.25.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Net Loss $ (145,162) $ (91,386) $ (131,722)
Other Comprehensive Income (Loss)      
Foreign currency translation adjustments 40,157 (5,748) 8,055
Unrealized gain (loss) on derivative instruments 0 1,191 (1,191)
Net current period other comprehensive income (loss) 40,157 (4,557) 6,864
Comprehensive Loss (105,005) (95,943) (124,858)
Amounts Attributable to Noncontrolling Interests      
Net income (100) (85) (24)
Comprehensive income attributable to noncontrolling interests (100) (85) (24)
Comprehensive Loss Attributable to NLOP $ (105,105) $ (96,028) $ (124,882)
v3.25.4
CONSOLIDATED STATEMENTS OF EQUITY - USD ($)
$ in Thousands
Total
Total Shareholders’ and Parent Company Equity
$0.001 Par Value Common Stock
Additional Paid-In Capital
Distributions in Excess of Accumulated Earnings
Accumulated Other Comprehensive Loss
Net Parent Investment
Noncontrolling Interests
Balance - beginning of period (in shares) at Dec. 31, 2022     0          
Balance - beginning of period at Dec. 31, 2022 $ 1,109,519 $ 1,107,776 $ 0 $ 0 $ 0 $ (42,464) $ 1,150,240 $ 1,743
Increase (Decrease) in Stockholders' Equity                
Net (loss) income (131,722) (131,746)     (137,989)   6,243 24
Distributions to WPC in connection with the Spin-Off (353,133) (353,133)         (353,133)  
Common shares issued in connection with the Spin-Off/dividends paid (in shares)     14,620,919          
Common shares issued in connection with the Spin-Off/dividends paid 0   $ 15 855,504     (855,519)  
Net transfers from parent, including Spin-Off adjustments 52,169 52,169         52,169  
Amortization of stock-based compensation expense 50 50   50        
Contributions from noncontrolling interest 2,775             2,775
Distributions to noncontrolling interest (121)             (121)
Dividends declared (4,971) (4,971)     (4,971)      
Other comprehensive income (loss)                
Foreign currency translation adjustments 8,055 8,055       8,055    
Unrealized gain (loss) on derivative instruments (1,191) (1,191)       (1,191)    
Balance - end of period (in shares) at Dec. 31, 2023     14,620,919          
Balance - end of period at Dec. 31, 2023 681,430 677,009 $ 15 855,554 (142,960) (35,600) 0 4,421
Increase (Decrease) in Stockholders' Equity                
Net (loss) income (91,386) (91,471)     (91,471)     85
Common shares issued in connection with the Spin-Off/dividends paid (in shares)     164,199          
Common shares issued in connection with the Spin-Off/dividends paid 0     12 (12)      
Shares issued upon delivery of vested restricted share awards (in shares)     28,957          
Shares issued upon delivery of vested restricted share awards (3) (3)   (3)        
Amortization of stock-based compensation expense 250 250   250        
Distributions to noncontrolling interest (331)             (331)
Other comprehensive income (loss)                
Foreign currency translation adjustments (5,748) (5,748)       (5,748)    
Unrealized gain (loss) on derivative instruments $ 1,191 1,191       1,191    
Balance - end of period (in shares) at Dec. 31, 2024 14,814,075   14,814,075          
Balance - end of period at Dec. 31, 2024 $ 585,403 581,228 $ 15 855,813 (234,443) (40,157) 0 4,175
Increase (Decrease) in Stockholders' Equity                
Net (loss) income (145,162) (145,262)     (145,262)     100
Distributions to noncontrolling interest (361)             (361)
Dividends declared (182,212) (182,212)     (182,212)      
Other comprehensive income (loss)                
Foreign currency translation adjustments 40,157 40,157       40,157    
Unrealized gain (loss) on derivative instruments $ 0              
Balance - end of period (in shares) at Dec. 31, 2025 14,814,075   14,814,075          
Balance - end of period at Dec. 31, 2025 $ 297,825 $ 293,911 $ 15 $ 855,813 $ (561,917) $ 0 $ 0 $ 3,914
v3.25.4
CONSOLIDATED STATEMENTS OF EQUITY (Parentheticals) - $ / shares
 3 Months Ended 12 Months Ended
Sep. 30, 2025
Dec. 31, 2023
Dec. 31, 2025
Statement of Stockholders' Equity [Abstract]      
Distributions declared per share (in dollars per share) $ 3.10 $ 0.34 $ 12.30
v3.25.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Cash Flows — Operating Activities      
Net loss $ (145,162) $ (91,386) $ (131,722)
Adjustments to net loss:      
Impairment charges — real estate 140,814 78,237 63,143
Depreciation and amortization, including intangible assets and deferred financing costs 39,757 85,290 81,256
Loss (gain) on sale of real estate, net 29,006 (20,216) 3,608
Allowance for credit losses 4,815 0 0
Straight-line rent adjustments 2,557 2,313 (438)
Net realized and unrealized losses (gains) on extinguishment of debt, foreign currency exchange rate movements, and other 1,274 3,496 (247)
Amortization of rent-related intangibles and deferred rental revenue (956) (6,352) 140
Deferred income tax benefit 0 (3,271) (1,201)
Stock-based compensation expense 0 250 2,904
Impairment charges — goodwill 0 0 62,456
Net changes in other operating assets and liabilities (7,994) 13,157 (8,933)
Proceeds from sales of net investments in sales-type leases 0 10,341 0
Net Cash Provided by Operating Activities 64,111 71,859 70,966
Cash Flows — Investing Activities      
Proceeds from sales of real estate 192,277 309,750 38,855
Non-refundable deposit for disposition 20,000 0 0
Funding for real estate construction, redevelopments, and other capital expenditures on real estate (4,030) (12,001) (11,162)
Other investing activities, net (5) 0 0
Net Cash Provided by Investing Activities 208,242 297,749 27,693
Cash Flows — Financing Activities      
Payments of mortgage principal and other debt instruments (111,480) (366,596) (63,704)
Distributions paid (106,660) (1,072) 0
Other financing activities, net (384) 15 (526)
Distributions to noncontrolling interest (361) (331) (121)
Distributions to WPC in connection with the Spin-Off 0 0 (343,885)
Proceeds from NLOP Mortgage Loan 0 0 317,263
Proceeds from NLOP Mezzanine Loan 0 0 113,646
Net transfers with Parent, including Spin-Off adjustments 0 0 (51,708)
Payment of financing costs 0 0 (10,518)
Contributions from noncontrolling interests 0 0 2,775
Net Cash Used in Financing Activities (218,885) (367,984) (36,778)
Change in Cash and Cash Equivalents and Restricted Cash During the Year      
Effect of exchange rate changes on cash and cash equivalents and restricted cash 738 (1,027) (50)
Net increase in cash and cash equivalents and restricted cash 54,206 597 61,831
Cash and cash equivalents and restricted cash, beginning of year 68,426 67,829 5,998
Cash and cash equivalents and restricted cash, end of year $ 122,632 $ 68,426 $ 67,829
v3.25.4
Business and Organization
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business and Organization Business and Organization
 
Pursuant to the terms of a separation and distribution agreement, W. P. Carey Inc. (“WPC”) spun off a portfolio of 59 office assets into a separate publicly-traded company (the “Spin-Off”). To accomplish this Spin-Off, WPC formed a Maryland real estate investment trust, Net Lease Office Properties (“NLOP” or the “Company”), on October 21, 2022, to own the 59 office assets.

On November 1, 2023, WPC completed the Spin-Off, contributing 59 office properties to NLOP. Following the closing of the Spin-Off, NLOP operates as a separate publicly-traded real estate investment trust (“REIT”), and certain wholly-owned affiliates of WPC (our “Advisor”) externally manage NLOP pursuant to certain advisory agreements (the “NLOP Advisory Agreements”). The Spin-Off was accomplished via a pro rata dividend of 1 NLOP common share for every 15 shares of WPC common stock outstanding.

We elected to be taxed as a REIT under Sections 856 through 860 of the Internal Revenue Code (the “Code”) effective as of November 1, 2023.

As of December 31, 2025, NLOP’s portfolio comprised full or partial ownership interests in 24 properties, net-leased to 26 corporate tenants, totaling approximately 3.9 million leasable square feet (including 0.6 million of operating square footage for a parking garage at a domestic property), with a weighted-average lease term of 3.9 years. All references to number of properties, square footage, and occupancy are unaudited.

NLOP operates as one segment, and through its subsidiaries, owns, operates, and finances office buildings. Our business is characterized as owning a diversified portfolio of office properties that are primarily leased to corporate tenants on a single-tenant, net-lease basis. These economic characteristics are similar across various geographic locations and industries in which our tenants operate and therefore considered one operating segment. Our consolidated operating results, including net income, are regularly reviewed, in the aggregate, by our chief operating decision maker (“CODM”) to evaluate performance and allocate resources, which can be found on our consolidated financial statements. The CODM is our Chief Executive Officer, with oversight provided by our Board of Trustees (our “Board”).

Our revenues are largely derived from the long-term leases that we execute with tenants. These revenues are classified as either Lease revenues (Note 5) or Income from finance leases (Note 6) in accordance with Accounting Standards Codification (“ASC”) 842, Leases.

Our operating expenses are regularly reviewed by our CODM. All expenses are reviewed, but our CODM is regularly provided with the following significant expenses, which are included in our consolidated financial statements and require no additional disaggregation: Property expenses, excluding reimbursable tenant costs, General and administrative expenses, Asset management fees, Interest expense, and (Provision for) benefit from income taxes.
v3.25.4
Basis of Presentation
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation Basis of Presentation
NLOP

For periods after November 1, 2023, the consolidated financial statements include the results of NLOP and all entities in which the Company has a controlling interest. Intercompany transactions and balances have been eliminated in consolidation.
Prior to the Spin-Off

For periods prior to November 1, 2023, the accompanying historical consolidated financial statements and related notes of NLOP do not represent the balance sheet, statement of operations and cash flows of a legal entity, but rather a combination of entities under common control that have been “carved-out” of WPC’s consolidated financial statements and presented herein, in each case, in accordance with U.S. generally accepted accounting principles (“GAAP”). Intercompany transactions and balances have been eliminated in combination. The preparation of these consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. In the opinion of management, the financial information for the periods presented in this Report reflects all normal and recurring adjustments necessary for a fair presentation of financial position, results of operations, and cash flows.

These consolidated financial statements reflect the revenues and direct expenses of NLOP and include material assets and liabilities of WPC that are specifically attributable to NLOP. Equity in these consolidated financial statements represents the excess of total assets over total liabilities. Equity is impacted by contributions from and distributions to WPC, which are the result of treasury activities and net funding provided by or distributed to WPC prior to the Spin-Off, as well as the allocated costs and expenses described below.

The consolidated financial statements also include an allocation of indirect costs and expenses incurred by WPC related to NLOP, primarily consisting of compensation and other general and administrative costs using the relative percentage of property ABR of NLOP and WPC management’s knowledge of NLOP. In addition, the consolidated financial statements reflect the allocation of interest expense from WPC unsecured debt, excluding debt that is specifically attributable to NLOP (Note 10); interest expense was allocated by calculating the unencumbered net investment in real estate of each property held by NLOP as a percentage of WPC’s total consolidated unencumbered net investment in real estate and multiplying that percentage by the corporate interest expense on WPC unsecured debt (Note 10). The amounts allocated in the accompanying consolidated financial statements are not necessarily indicative of the actual amount of such indirect expenses that would have been recorded had NLOP been a separate independent entity during the applicable periods. WPC believes the assumptions underlying WPC’s allocation of indirect expenses are reasonable.

Goodwill attributable to NLOP was determined by first identifying those assets within NLOP that were previously deemed to be a part of a business combination and that WPC paid a premium for. This premium was then allocated to NLOP assets based on the fair values of NLOP assets at the time of acquisition relative to the value of all the real estate acquired as part of the business combination. Any goodwill directly attributable to deferred taxes assumed as part of a business combination and related to our European operations is recorded in its functional currency and translated at period end rates where applicable.

The amounts allocated in the accompanying consolidated financial statements are not necessarily indicative of the actual amount of such indirect expenses that would have been recorded had NLOP been a separate independent entity. WPC believes the assumptions underlying WPC’s allocation of indirect expenses are reasonable.
v3.25.4
Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Critical Accounting Policies and Estimates

Accounting for Acquisitions

In accordance with the guidance for business combinations, we determine whether a transaction or other event is a business combination, which requires that the assets acquired and liabilities assumed constitute a business. If the assets acquired are not a business, we account for the transaction or other event as an asset acquisition. Under both methods, we recognize the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquired entity. In addition, for transactions that are business combinations, we evaluate the existence of goodwill or a gain from a bargain purchase. We capitalize acquisition-related costs and fees associated with asset acquisitions. We immediately expense acquisition-related costs and fees associated with business combinations. There were no acquisitions during the reporting period.
 
Purchase Price Allocation of Tangible Assets — When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. The tangible assets consist of land, buildings, and site improvements. The intangible assets and liabilities include the above- and below-market value of leases and the in-place leases, which includes the value of tenant relationships. Land is typically valued utilizing the sales comparison (or market) approach. Buildings are valued, as if vacant, using the cost and/or income approach. The fair value of real estate is determined (i) by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and (ii) by the estimated residual value, which is based on a hypothetical sale of the property upon expiration of a lease factoring in the re-tenanting of such property at estimated market rental rates and applying a selected capitalization rate.

Assumptions used in the model are property-specific where this information is available; however, when certain necessary information is not available, we use available regional and property-type information. Assumptions and estimates include the following:

•a discount rate or internal rate of return;
•market rents, growth factors of rents, and market lease term;
•capitalization rates to be applied to an estimate of market rent at the beginning and/or the end of the market lease term;
•the marketing period necessary to put a lease in place;
•carrying costs during the marketing period; and
•leasing commissions and tenant improvement allowances.

The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including:

•the creditworthiness of the lessees;
•industry surveys;
•property type;
•property location and age;
•current lease rates relative to market lease rates; and
•anticipated lease duration.

In the case where a tenant has a purchase option deemed to be favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, we generally include the value of the exercise of such purchase option or long-term renewal options in the determination of residual value.

The remaining economic life of leased assets is estimated by relying in part upon third-party appraisals of the leased assets and industry standards. Different estimates of remaining economic life will affect the depreciation expense that is recorded.

Purchase Price Allocation of Intangible Assets and Liabilities — For acquired properties that do not qualify as sale-leaseback transactions, we record above- and below-market lease intangible assets and liabilities for acquired properties based on the present value (using a discount rate reflecting the risks associated with the leases acquired including consideration of the credit of the lessee) of the difference between (i) the contractual rents to be paid pursuant to the leases negotiated or in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over the estimated lease term, which includes renewal options that have rental rates below estimated market rental rates. We discount the difference between the estimated market rent and contractual rent to a present value using an interest rate reflecting our current assessment of the risk associated with the lease acquired, which includes a consideration of the credit of the lessee. When we enter into sale-leaseback transactions with above- or below-market leases, the intangibles will be accounted for as loan receivables or prepaid rent liabilities, respectively. We measure the fair value of below-market purchase option liabilities we acquire as the excess of the present value of the fair value of the real estate over the present value of the tenant’s exercise price at the option date. We determine these values using our estimates or by relying in part upon third-party valuations conducted by independent appraisal firms.

We amortize the above-market lease intangible as a reduction of lease revenue over the remaining contractual lease term. We amortize the below-market lease intangible as an increase to lease revenue over the initial term and any renewal periods in the respective leases. We include the value of below-market leases in Below-market rent and other intangible liabilities in the consolidated financial statements.
For acquired properties with tenants in place, we record in-place lease intangible assets based on the estimated value ascribed to the avoidance of costs of leasing the properties for remaining primary in-place lease terms. The cost avoidance is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term is estimated. These costs consist of: (i) rent lost during downtime (i.e., assumed periods of vacancy), (ii) estimated expenses that would be incurred by the property owner during periods of vacancy, (iii) rent concessions (i.e., free rent), (iv) leasing commissions, and (v) tenant improvements allowances given to tenants. We determine these values using our estimates or by relying in part upon third-party valuations. We amortize the value of in-place lease intangibles to depreciation and amortization expense over the remaining initial term of each lease. The amortization period for intangibles does not exceed the remaining depreciable life of the building.

If a lease is terminated, we charge the unamortized portion of above- and below-market lease values to rental income and in-place lease values to amortization expense. If a lease is amended, we will determine whether the economics of the amended lease continue to support the existence of the above- or below-market lease intangibles.

Purchase Price Allocation of Debt — When we acquire leveraged properties (for example, through the CPA:18 Merger), the fair value of the related debt instruments is determined using a discounted cash flow model with rates that take into account the credit of the tenants, where applicable, and interest rate risk. Such resulting premium or discount is amortized over the remaining term of the obligation. We also consider the value of the underlying collateral, taking into account the quality of the collateral, the credit quality of the tenant, the time until maturity and the current interest rate.

Impairments
 
Real Estate — We periodically assess whether there are any indicators that the value of our long-lived real estate and related intangible assets may be impaired or that their carrying value may not be recoverable. These impairment indicators include, but are not limited to, vacancies, an upcoming lease expiration, a tenant with credit difficulty, the termination of a lease by a tenant, or a likely disposition of the property.

For real estate assets held for investment and related intangible assets in which an impairment indicator is identified, we follow a two-step process to determine whether an asset is impaired and to determine the amount of the charge. First, we compare the carrying value of the property’s asset group to the estimated future net undiscounted cash flow that we expect the property’s asset group will generate, including any estimated proceeds from the eventual sale of the property’s asset group. The undiscounted cash flow analysis requires us to make our best estimate of market rents, residual values, and holding periods. We estimate market rents and residual values using market information from outside sources such as third-party market research, external appraisals, broker quotes, or recent comparable sales.

As our investment objective is to realize value for our shareholders, holding periods used in the undiscounted cash flow analysis are evaluated on an individual property basis based on our strategic hold time of each asset. Depending on the assumptions made and estimates used, the future cash flow projected in the evaluation of long-lived assets and associated intangible assets can vary within a range of outcomes. We consider the likelihood of possible outcomes in determining our estimate of future cash flows and, if warranted, we apply a probability-weighted method to the different possible scenarios. If the future net undiscounted cash flow of the property’s asset group is less than the carrying value, the carrying value of the property’s asset group is considered not recoverable. We then measure the impairment loss as the excess of the carrying value of the property’s asset group over its estimated fair value.

Assets Held for Sale — We generally classify real estate assets that are subject to operating leases as held for sale when we have entered into a contract to sell the property, all material due diligence requirements have been satisfied, we received a non-refundable deposit, and we believe it is probable that the disposition will occur within one year. When we classify an asset as held for sale, we compare the asset’s fair value less estimated costs to sell to its carrying value, and if the fair value less estimated costs to sell is less than the property’s carrying value, we reduce the carrying value to the fair value less estimated costs to sell. We will continue to review the property for subsequent changes in the fair value, and may recognize a loss on sale of real estate, if warranted.

Goodwill — We evaluate goodwill for possible impairment at least annually or upon the occurrence of a triggering event. To identify any impairment, we first assess qualitative factors to determine whether it is more likely than not that the fair value of the Company is less than its carrying value. This assessment is used as a basis to determine whether it is necessary to calculate the fair value of the Company. Impairments, if any, will be the difference between the Company’s fair value and carrying amount, not to exceed the carrying amount of goodwill. The Company did not have goodwill as of December 31, 2025 or 2024.
Credit Losses

The allowance for credit losses, which is recorded as a reduction to Net investments in finance leases on our consolidated balance sheets, is measured on an individual basis for our finance leases (Note 6), incorporating information such as the lessee’s credit rating, the expected value of the underlying collateral upon its repossession, and likelihood of closing for an agreed-upon sale (for certain net investments in sales-type leases). Included in our assessment are factors that incorporate forward-looking information. Allowance for credit losses is included in our consolidated statements of operations within Other gains and (losses).

Other Accounting Policies

Variable Interest Entities

When we obtain an economic interest in an entity, we evaluate the entity to determine if it should be deemed a variable interest entity (“VIE”) and, if so, whether we are the primary beneficiary and are therefore required to consolidate the entity. We apply accounting guidance for consolidation of VIEs to certain entities in which the equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. Fixed price purchase and renewal options within a lease, as well as certain decision-making rights within a loan or joint-venture agreement, can cause us to consider an entity a VIE. Limited partnerships and other similar entities that operate as a partnership will be considered a VIE unless the limited partners hold substantive kick-out rights or participation rights. Significant judgment is required to determine whether a VIE should be consolidated. We review the contractual arrangements provided for in the partnership agreement or other related contracts to determine whether the entity is considered a VIE, and to establish whether we have any variable interests in the VIE. We then compare our variable interests, if any, to those of the other variable interest holders to determine which party is the primary beneficiary of the VIE based on whether the entity (i) has the power to direct the activities that most significantly impact the economic performance of the VIE and (ii) has the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. The liabilities of these VIEs are non-recourse to us and can only be satisfied from each VIE’s respective assets.

At both December 31, 2025 and 2024, we considered one entity to be a VIE (given certain decision-making rights each partner has in accordance with the partnership agreement), which we consolidated, as we are considered the primary beneficiary. The following table presents a summary of selected financial data of the consolidated VIE included in our consolidated balance sheets (in thousands):
December 31,
20252024
Land, buildings and improvements$37,917 $37,917 
In-place lease intangible assets and other9,685 9,685 
Above-market rent intangible assets4,338 4,338 
Accumulated depreciation and amortization(8,863)(6,271)
Total assets44,708 47,197 
Total liabilities$382 $304 
Leases

As a Lessee: Right-of-use (“ROU”) assets, included within in-place lease intangible assets and other on our consolidated balance sheets, represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments under the lease. We determine if an arrangement contains a lease at contract inception and determine the classification of the lease at commencement. Operating lease ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. We do not include renewal options in the lease term when calculating the lease liability unless we are reasonably certain we will exercise the option. Variable lease payments are excluded from the ROU assets and lease liabilities and are recognized in the period in which the obligation for those payments is incurred. Our variable lease payments consist of increases as a result of the Consumer Price Index (“CPI”) or other comparable indices, taxes, and maintenance costs. Lease expense for lease payments is recognized on a straight-line basis over the term of the lease. Below-market land lease intangible assets and above-market land lease intangible liabilities are included as a component of ROU assets. See Note 5 for additional disclosures on the presentation of these amounts in our consolidated balance sheets.

The implicit rate within our operating leases is generally not determinable and, as a result, we use our incremental borrowing rate at the lease commencement date to determine the present value of lease payments. The determination of our incremental borrowing rate requires judgment. We determine our incremental borrowing rate for each lease using estimated baseline mortgage rates. These baseline rates are determined based on a review of current mortgage debt market activity for benchmark securities across domestic and international markets, utilizing a yield curve. The rates are then adjusted for various factors, including level of collateralization and lease term.

As a Lessor: We combine non-lease components (lease arrangements that include common area maintenance services) with related lease components (lease revenues), since both the timing and pattern of transfer are the same for the non-lease component and related lease component, the lease component is the predominant component, and the lease component would otherwise be classified as an operating lease. For (i) operating lease arrangements involving real estate that include common area maintenance services and (ii) all real estate arrangements that include real estate taxes and insurance costs, we present these amounts within lease revenues in our consolidated statements of operations. We record amounts reimbursed by the lessee in the period in which the applicable expenses are incurred if the reimbursements are deemed collectible.

Net investments in sales-type leases are accounted for under ASC 842, Leases. Upon lease commencement or lease modification, we assess lease classification to determine whether the lease should be classified as an operating, direct financing, or sales-type lease. If the lease is determined to be a sales-type lease, we record a net investment in the lease, which is equal to the sum of the lease payments receivable and the unguaranteed residual value, discounted at the rate implicit in the lease. Any difference between the fair value of the asset and the net investment in the lease is considered a gain on sale of real estate and recognized upon execution of the lease.

Cash and Cash Equivalents — We consider all short-term, highly liquid investments that are both readily convertible to cash and have a maturity of three months or less at the time of purchase to be cash equivalents. Items classified as cash equivalents include commercial paper and money market funds. Our cash and cash equivalents are held in the custody of several financial institutions, and these balances, at times, exceed federally insurable limits. We seek to mitigate this risk by depositing funds only with major financial institutions.

Restricted Cash — Restricted cash primarily consists of security deposits and amounts required to be reserved pursuant to lender agreements for debt service, capital improvements, and real estate taxes and is included within Other assets, net on the balance sheet. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to the consolidated statements of cash flows (in thousands):
December 31,
202520242023
Cash and cash equivalents
$119,621 $25,121 $16,269 
Restricted cash (a)
3,011 43,305 51,560 
Total cash and cash equivalents and restricted cash
$122,632 $68,426 $67,829 
__________
(a)Amounts as of December 31, 2024 and 2023 include approximately $41.7 million and $48.4 million, respectively, related to certain reserve requirements pursuant to the NLOP Financing Arrangements (Note 10). In April 2025, we fully repaid the NLOP Mezzanine Loan and are no longer subject to such reserve requirements (Note 10).
Land, Buildings and Improvements — We carry land, buildings, and improvements at cost less accumulated depreciation. We capitalize costs that extend the useful life of properties or increase their value, while we expense maintenance and repairs that do not improve or extend the lives of the respective assets as incurred.

Gain/Loss on Sale — We recognize gains and losses on the sale of properties when the transaction meets the definition of a contract, criteria are met for the sale of one or more distinct assets, and control of the properties is transferred.

Other Assets and Liabilities — We include prepaid expenses, straight-line rent receivables, derivative assets, tenant receivables, deferred charges, escrow balances held by lenders, and restricted cash balances in Other assets, net. We include amounts held on behalf of tenants, operating lease liabilities, and deferred revenue in Accounts payable, accrued expenses and other liabilities.

Revenue Recognition, Real Estate Leased to Others — We lease real estate to others primarily on a net leased basis, whereby the tenant is generally responsible for operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, and improvements.

Our leases generally provide for either scheduled rent increases, periodic rent adjustments based on formulas indexed to changes in the CPI or similar indices. CPI-based adjustments are contingent on future events and are therefore not included as minimum rent in straight-line rent calculations.

For our operating leases, we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related leases and charge expenses to operations as incurred (Note 5). We record leases accounted for under the direct financing method as a net investment in direct financing leases (Note 6). The net investment is equal to the cost of the leased assets. The difference between the cost and the gross investment, which includes the residual value of the leased asset and the future minimum rents, is unearned income. We defer and amortize unearned income to income over the lease term so as to produce a constant periodic rate of return on our net investment in the lease.

Asset Retirement Obligations — Asset retirement obligations relate to the legal obligations associated with the retirement of long-lived assets that result from the acquisition, construction, development, and/or normal operation of a long-lived asset. The fair value of a liability for an asset retirement obligation is recorded in the period in which it is incurred or at the point of acquisition of an asset with an assumed asset retirement obligation, and the cost of such liability is recorded as an increase in the carrying amount of the related long-lived asset by the same amount. The liability is accreted each period and the capitalized cost is depreciated over the estimated remaining life of the related long-lived asset. Revisions to estimated retirement obligations result in adjustments to the related capitalized asset and corresponding liability.

In order to determine the fair value of the asset retirement obligations, we make certain estimates and assumptions including, among other things, projected cash flows, the borrowing interest rate, and an assessment of market conditions that could significantly impact the estimated fair value. These estimates and assumptions are subjective.

Depreciation — We compute depreciation of building and related improvements using the straight-line method over the estimated remaining useful lives of the properties (not to exceed 40 years) and furniture, fixtures, and equipment. We compute depreciation of tenant improvements using the straight-line method over the lesser of the remaining term of the lease or the estimated useful life.

Net Parent Investment — In the consolidated balance sheets, the net parent investment represents WPC’s historical investment in NLOP prior to the Spin-Off, accumulated net earnings after taxes, and the net effect of transactions between NLOP and WPC.

Stock-Based Compensation — We have granted restricted share units (“RSUs”) to the independent trustees on our Board. Grants were awarded in the name of the recipient subject to certain restrictions of transferability and a risk of forfeiture. Stock-based compensation expense for all equity-classified stock-based compensation awards is based on the grant date fair value estimated in accordance with current accounting guidance for share-based payments, which includes awards granted to certain nonemployees. We recognize these compensation costs for only those shares expected to vest on a straight-line basis over the requisite service or performance period of the award. We include stock-based compensation within Additional paid-in capital in the consolidated statements of equity and General and administrative expenses in the consolidated statements of operations.
Foreign Currency Translation and Transaction Gains and Losses — During the year ended December 31, 2025, we exited all investments denominated in euros and Norwegian krone, and as a result, we did not own any international real estate investments as of December 31, 2025. During the year ended December 31, 2024, we exited all investments in the United Kingdom, which were denominated in the British pound sterling (Note 12, Note 15). Prior to our exit from international investments, we performed the translation from foreign currencies to the U.S. dollar for assets and liabilities using current exchange rates in effect at the balance sheet date and for revenue and expense accounts using the average exchange rate during the month in which the transaction occurred. We reported the gains and losses resulting from such translation as a component of other comprehensive income in equity. These translation gains and losses were fully reclassified out of foreign currency translation adjustments (within Accumulated other comprehensive loss in the consolidated balance sheets) and released to net income (within (Loss) gain on sale of real estate, net, in the consolidated statements of operations) when we exited from all investments in the related currency (Note 12, Note 15).

A transaction gain or loss (measured from the transaction date or the most recent intervening balance sheet date, whichever is later), realized upon settlement of a foreign currency transaction generally will be included in net income for the period in which the transaction is settled. Also, foreign currency intercompany transactions that are scheduled for settlement, consisting primarily of accrued interest and the translation to the reporting currency of intercompany debt that is short-term or has scheduled principal payments, are included in the determination of net income (within Other gains and (losses) in the consolidated statements of operations).

The translation impact of foreign currency transactions of a long-term nature (that is, settlement is not planned or anticipated in the foreseeable future), in which the entities involved in the transactions are combined, are not included in net income but are reported as a component of other comprehensive income in equity.

Derivative Instruments — We measure derivative instruments at fair value and record them as assets or liabilities, depending on our rights or obligations under the applicable derivative contract. Derivatives that are not designated as hedges must be adjusted to fair value through earnings. For derivatives designated and that qualify as cash flow hedges, the change in fair value of the derivative is recognized in Other comprehensive income (loss) until the hedged transaction affects earnings. Gains and losses on the cash flow hedges representing hedge components excluded from the assessment of effectiveness are recognized in earnings over the life of the hedge on a systematic and rational basis, as documented at hedge inception in accordance with our accounting policy election. Such gains and losses are recorded within Interest expense in our consolidated statements of operations. The earnings recognition of excluded components is presented in the same line item as the hedged transactions. In accordance with fair value measurement guidance, counterparty credit risk is measured on a net portfolio position basis.

Income Taxes — We conduct business in various states and municipalities within the United States (and formerly in Europe (Note 15)), and as a result, we or one or more of our subsidiaries file income tax returns in the United States federal jurisdiction and various state and foreign jurisdictions. As a REIT, our domestic real estate operations are generally not subject to federal tax. These operations may be subject to certain state and local taxes, as applicable.

Significant judgment is required in determining our tax provision and in evaluating our tax positions. We establish tax reserves based on a benefit recognition model, which could result in a greater amount of benefit (and a lower amount of reserve) being initially recognized in certain circumstances. Provided that the tax position is deemed more likely than not of being sustained, we recognize the largest amount of tax benefit that is greater than 50% likely of being ultimately realized upon settlement. We derecognize the tax position when it is no longer more likely than not of being sustained.

Our earnings and profits, which determine the taxability of distributions to shareholders, differ from net income reported for financial reporting purposes due primarily to differences in depreciation, and timing differences of rent recognition and certain expense deductions, for federal income tax purposes.
We recognize deferred income taxes in certain of our subsidiaries taxable in the United States or in foreign jurisdictions (prior to the disposition of our last international property (Note 15)). Deferred income taxes are generally the result of temporary differences (items that are treated differently for tax purposes than for GAAP purposes as described in Note 14). In addition, deferred tax assets arise from unutilized tax net operating losses, generated in prior years. Deferred income taxes are computed under the asset and liability method. The asset and liability method requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between tax bases and financial bases of assets and liabilities. We provide a valuation allowance against our deferred income tax assets when we believe that it is more likely than not that all or some portion of the deferred income tax asset may not be realized. Whenever a change in circumstances causes a change in the estimated realizability of the related deferred income tax asset, the resulting increase or decrease in the valuation allowance is included in deferred income tax expense (benefit).

Earnings Per Share — Basic earnings per share is calculated by dividing net income available to common shareholders by the weighted-average number of shares of common shares outstanding during the year. Diluted earnings per share reflects potentially dilutive securities (RSUs) using the treasury stock method, except when the effect would be anti-dilutive.

Earnings per share is computed by dividing the net loss for the year by the weighted-average number of common shares outstanding during the period post Spin-Off. For the years ended December 31, 2025, 2024, and 2023, we recognized net loss. Therefore, all potentially dilutive securities were antidilutive and accordingly, basic net loss per share equals diluted net loss per share for the years ended December 31, 2025, 2024, and 2023. The calculation of basic and diluted earnings per share for any of the periods presented prior to the Spin-Off were based on the number of shares outstanding on November 1, 2023. For periods prior to the Spin-Off, it is assumed that there are no dilutive equity instruments as there were no NLOP stock-based awards outstanding prior to the Spin-Off.
 
Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.

Recent Accounting Pronouncements

In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures. ASU 2024-03 requires all public business entities to provide additional disclosure of the nature of expenses included in the consolidated statements of operations. ASU 2024-03 is effective for public business entities (including emerging growth companies, since there is not a different transition date for private companies) for annual periods beginning after December 15, 2026 and for interim reporting periods beginning after December 15, 2027, on a prospective basis, with early adoption permitted. The Company is an emerging growth company and is currently evaluating the impact of this standard on its consolidated financial statements.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. ASU 2023-09 requires public companies to annually (i) disclose specific categories in the rate reconciliation disclosure and (ii) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than five percent of the amount computed by multiplying pre-tax income or loss by the applicable statutory income tax rate). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state, and local jurisdictions, among other changes. ASU 2023-09 is effective for entities other than public business entities (including emerging growth companies) for annual periods beginning after December 15, 2025. The Company is an emerging growth company and plans to adopt this standard for the annual period beginning January 1, 2026 on a prospective basis, which is not expected to have a material impact on the Company’s consolidated financial statements.
v3.25.4
Agreements and Transactions with Related Parties
 12 Months Ended
Dec. 31, 2025
Related Party Transactions [Abstract]  
Agreements and Transactions with Related Parties Agreements and Transactions with Related Parties
Advisory Agreements

Pursuant to the NLOP Advisory Agreements, which we entered into on November 1, 2023, our Advisor provides us with strategic management services, including asset management, property disposition support, and various related services. We pay our Advisor an asset management fee that was initially set at an annual amount of $7.5 million and is being proportionately reduced following the disposition of each portfolio property. In addition, we reimburse our Advisor a base administrative amount of approximately $4.0 million annually, for certain administrative services, including day-to-day management services, investor relations, accounting, tax, legal, and other administrative matters.

On October 31, 2023, we entered into a Separation and Distribution Agreement, which set forth the various individual transactions to be consummated that comprised the Separation and the Distribution, including the assets transferred to and liabilities assumed by us, as well as the responsibility and obligation of us and our Advisor with respect to Spin-Off related costs.

On October 31, 2023, we also entered into a Tax Matters Agreement, which governs the respective rights, responsibilities, and obligations of us and our Advisor after the Spin-Off, with respect to tax liabilities and benefits, the preparation and filing of tax returns, the control of audits and other tax proceedings, tax covenants, tax indemnification, cooperation, and information sharing.

The following tables present a summary of fees we paid and expenses we reimbursed to our Advisor in accordance with the terms of the NLOP Advisory Agreements (in thousands):
Years Ended December 31,
202520242023
Asset management fees (a)
$4,577 $6,243 $1,245 
Administrative reimbursements (b)
4,000 4,000 667 
$8,577 $10,243 $1,912 
__________
(a)Included within Asset management fees in the consolidated statements of operations.
(b)Included within General and administrative expenses in the consolidated statements of operations.

The following table presents a summary of amounts due to affiliates, which are included within Accounts payable, accrued expenses and other liabilities in the consolidated financial statements (in thousands):
December 31,
20252024
Accounts payable$376 $366 
Asset management fees payable294 469 
$670 $835 

Other Transactions with WPC

Spin-Off

In September 2023, we entered into the $455 million NLOP Financing Arrangements (as defined and described in Note 10), which were funded upon the closing of the Spin-Off on November 1, 2023. Approximately $343.9 million of the proceeds from the NLOP Financing Arrangements was transferred to WPC in accordance with the Separation and Distribution Agreement. The remainder of the proceeds from the NLOP Financing Arrangements was used to pay fees and expenses related to the origination of the NLOP Financing Arrangements and other transaction costs, was deposited with the Lenders in satisfaction of the reserve requirements pursuant to the NLOP Financing Arrangements, and was used for other general corporate expenses.
NLOP Share Costs

Historically, prior to the Spin-Off, NLOP was managed and operated in the normal course of business consistent with other affiliates of WPC. Accordingly, certain shared costs were allocated to NLOP and reflected as expenses in the consolidated statements of operations. Management considers the allocation methodologies used to be reasonable and appropriate reflections of the historical WPC expenses attributable to NLOP for purposes of the consolidated financial statements of NLOP. However, the expenses reflected in the consolidated statements of operations may not be indicative of the actual expenses that would have been incurred during the periods presented if NLOP historically operated as a separate, stand-alone entity. In addition, the expenses reflected in the consolidated statements of operations may not be indicative of related expenses that will be incurred in the future by NLOP.

The following table presents amounts of shared costs that were allocated to NLOP (in thousands):
Year Ended December 31, 2023
General and administrative (a)
$13,610 
Interest expense (b)
17,756 
Total
$31,366 
__________
(a)General and administrative fees are inclusive of expenses such as employee compensation and benefits, stock-based compensation and professional fees.
(b)NLOP’s income statement prior to the Spin-Off includes an allocation of interest expense associated with WPC unsecured debt utilized partially to fund property assets of NLOP.

Net parent investment shown in the consolidated statements of equity include contributions from WPC, which are the result of treasury activities and net funding provided by WPC prior to the Spin-Off, and also includes the indirect costs and expenses allocated to NLOP by WPC as described in Note 2.

Other Transactions with Related Parties

Captive Insurance Company

Under the NLOP Advisory Agreements, our Advisor manages the insurance for our real property portfolio as part of its property insurance program. In March 2025, our Advisor formed a wholly owned captive insurance company, which commenced operations in May 2025 and insures a portion of the North American real property portfolios of each of WPC and us. We pay insurance premiums to all the insurance companies in the property insurance program, including the Advisor’s captive insurance company, which in turn will pay out claims in respect of our properties on a pro rata basis.

During the year ended December 31, 2025, we paid property insurance premiums totaling $3.2 million, of which $0.7 million was paid to our Advisor, covering the annual period commencing May 1, 2025. We amortize the insurance premiums over the policy period, which is reflected in Reimbursable tenant costs and Property expenses, excluding reimbursable tenant costs in our consolidated statements of operations.

Other

At December 31, 2025, we owned an interest in one jointly owned investment in real estate, with the remaining interest held by a third party. We consolidate this investment.
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale
 12 Months Ended
Dec. 31, 2025
Real Estate [Abstract]  
Land, Buildings and Improvements, and Assets Held for Sale Land, Buildings and Improvements, and Assets Held for Sale
Land, Buildings and Improvements

Land and buildings leased to others, which are subject to operating leases, and real estate under construction, are summarized as follows (in thousands):
December 31,
20252024
Land$26,946 $94,123 
Buildings and improvements191,853 635,775 
Real estate under construction— 447 
Less: Accumulated depreciation(62,658)(152,067)
$156,141 $578,278 

During the year ended December 31, 2025, we recognized impairment charges on nine properties, which reduced the carrying value of Land, buildings and improvements by $134.8 million (Note 8).

During the year ended December 31, 2025, we reclassified two properties classified as Land, buildings and improvements to Net investments in finance leases since we entered into agreements to sell the properties to the respective tenants. As a result, the carrying value of our Land, buildings and improvements decreased by $31.8 million from December 31, 2025 to December 31, 2024 (Note 6). One of these properties was sold in February 2026 (Note 17).

Depreciation expense, including the effect of foreign currency translation, on our buildings and improvements subject to operating leases was $14.9 million, $23.6 million, and $31.2 million for the years ended December 31, 2025, 2024, and 2023, respectively.

Dispositions of Properties

During 2025, we disposed of 15 properties, which were classified as Land, buildings and improvements. As a result, the carrying value of our Land, buildings and improvements decreased by $214.8 million from December 31, 2024 to December 31, 2025 (Note 15).

Real Estate Under Construction

During the year ended December 31, 2025, we capitalized $0.8 million of real estate under construction related to a capital project at an existing property, which was placed into service for $1.3 million.

Leases

Operating Lease Income

Lease income related to operating leases recognized and included in the consolidated statements of operations is as follows (in thousands):
Years Ended December 31,
202520242023
Lease income — fixed$73,752 $99,263 $135,341 
Lease income — variable (a)
25,510 29,594 30,693 
Total operating lease income$99,262 $128,857 $166,034 
__________
(a)Includes (i) rent increases based on changes in the CPI and other comparable indices and (ii) reimbursements for property taxes, insurance, and common area maintenance services.
Other Lease-Related Income

In September 2025, we entered into a lease termination agreement with a tenant at a property located in Oak Creek, Wisconsin, to terminate the lease on October 31, 2025 (the previous lease expiration date was May 31, 2032). In connection with the agreement, the tenant paid us a lease termination fee of $13.0 million, which was recognized within Other lease-related income in our consolidated statements of operations for the year ended December 31, 2025. The property was sold in December 2025 (Note 15).

For the years ended December 31, 2025, 2024, and 2023, other lease-related income on our consolidated statements of operations included lease termination income of $15.8 million, $9.4 million, and $4.4 million, respectively (including the amount related to the lease termination described above for the year ended December 31, 2025).

In addition, for the years ended December 31, 2025, 2024, and 2023, other lease-related income on our consolidated statements of operations included income from a parking garage attached to one of our net-leased properties totaling $1.8 million, $2.0 million, and $1.8 million, respectively.

Scheduled Future Lease Payments to be Received

Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable operating leases at December 31, 2025 are as follows (in thousands): 
Years Ending December 31, Total
2026$47,851 
202747,548 
202841,408 
202934,618 
203021,523 
Thereafter22,497 
Total$215,445 

See Note 6 for scheduled future lease payments to be received under non-cancelable sales-type leases.

Lease Cost

Lease costs for operating leases (land leases) are included in (i) property expenses, excluding reimbursable tenant costs, and (ii) reimbursable tenant costs in the consolidated statements of operations. Certain information related to the total lease cost for operating leases is as follows (in thousands):
Years Ended December 31,
202520242023
Fixed lease cost
$126 $278 $541 
Variable lease cost
— 24 90 
Total lease cost$126 $302 $631 
Other Information

Supplemental balance sheet information related to ROU assets and lease liabilities is as follows (dollars in thousands):
December 31,
Location on Consolidated Balance Sheets20252024
Operating ROU assets — land leases (a)
In-place lease intangible assets and other$— $1,980 
Operating lease liabilitiesAccounts payable, accrued expenses and other liabilities$178 $259 
Weighted-average remaining lease term — operating leases81.3 years55.9 years
Weighted-average discount rate — operating leases9.4 %9.2 %
Number of land lease arrangements — operating leases (a)
12
Remaining lease term range (excluding extension options not reasonably certain of being exercised)
81 years
<1 – 82 years
__________
(a)Our only land lease arrangement as of December 31, 2025 was at a property classified as held for sale, which was sold in January 2026 (Note 17).

Cash paid for operating lease liabilities included in Net cash provided by operating activities was less than $0.1 million, $0.3 million, and $0.5 million for the years ended December 31, 2025, 2024 and 2023, respectively. There are no land or office direct financing leases for which we are the lessee, therefore there are no related ROU assets or lease liabilities.

Undiscounted Cash Flows

A reconciliation of the undiscounted cash flows for operating leases recorded on the consolidated balance sheet within Accounts payable, accrued expenses and other liabilities as of December 31, 2025 is as follows (in thousands):
Years Ending December 31, Total
2026$13 
202713 
202814 
202914 
203014 
Thereafter2,571 
Total lease payments2,639 
Less: amount of lease payments representing interest(2,461)
Present value of future lease payments/lease obligations$178 
Assets Held for Sale, Net

Below is a summary of our properties held for sale (in thousands):
December 31,
20252024
Land, buildings and improvements
$101,416 $31,066 
In-place lease intangible assets and other80,067 3,891 
Above-market rent intangible assets13,323 1,382 
Accumulated depreciation and amortization(98,537)(7,042)
Assets held for sale, net$96,269 $29,297 

As of December 31, 2025 and 2024, we had four and one properties, respectively, classified as Assets held for sale, net, with a carrying value of $96.3 million and $29.3 million, respectively. We sold three of these properties in January and February 2026 (Note 17).

During the year ended December 31, 2025, we reclassified a property from held for sale to held and used, in accordance with ASC 360, Property, Plant, and Equipment. As a result, we reclassified $25.9 million from Assets held for sale, net, to the following line items: (i) $25.9 million to Land, buildings and improvements, (ii) $3.9 million to In-place lease intangible assets and other, (iii) $1.4 million to Above-market rent intangible assets, and (iv) $5.3 million to Accumulated depreciation and amortization. In addition, the estimated purchase price for this property was lowered during the second quarter of 2025. As a result, we recognized a loss on sale of real estate of $3.4 million during the year ended December 31, 2025, reflecting the updated estimated purchase price, in accordance with ASC 360, Property, Plant, and Equipment. We sold this property in December 2025.
v3.25.4
Finance Receivables
 12 Months Ended
Dec. 31, 2025
Receivables [Abstract]  
Finance Receivables Finance Receivables
Assets representing rights to receive money on demand or at fixed or determinable dates are referred to as finance receivables. Our finance receivables portfolio consists of our Net investments in finance leases. Operating leases are not included in finance receivables. See Note 3 and Note 5 for information on ROU operating lease assets recognized in our consolidated balance sheets.

Net Investments in Sales-Type Leases

A property located in the United Kingdom was classified as a net investment in sales-type leases as of December 31, 2023. We had previously entered into an agreement to sell the property to the tenant occupying the property during the fourth quarter of 2023 and recognized a Loss on sale of real estate, net, of $8.3 million during the year ended December 31, 2023 related to this transaction. During the year ended December 31, 2024, we sold this property.

In October 2025, we reclassified a net-lease property located in Dallas, Texas, to net investments in sales-type leases totaling $38.0 million on our consolidated balance sheets (based on the estimated purchase price) in accordance with ASC 842, Leases, since the property is expected to be sold to the tenant occupying the property, resulting in a lease modification. In connection with this transaction, we reclassified the following amounts to Net investments in finance leases: (i) $31.7 million from Land, buildings and improvements, (ii) $7.5 million from In-place lease intangible assets and other, (iii) $0.3 million from Below-market rent intangible liabilities, net, and (iv) $8.4 million from Accumulated depreciation and amortization. We recognized an aggregate Gain on sale of real estate, net, of $5.4 million during the year ended December 31, 2025 related to this transaction, reflecting a balance of $2.1 million within Accounts payable, accrued expenses and other liabilities for this investment.

In December 2025, we reclassified a net-lease property located in Raleigh, North Carolina, to net investments in sales-type leases totaling $8.7 million on our consolidated balance sheets (based on the estimated purchase price) in accordance with ASC 842, Leases, since the property is expected to be sold to the tenant occupying the property, resulting in a lease modification. In connection with this transaction, we reclassified the following amounts to Net investments in finance leases: (i) $3.7 million from Land, buildings and improvements, (ii) $0.7 million from Other assets, net, and (iii) $1.4 million from Accumulated depreciation and amortization. We recognized an aggregate Gain on sale of real estate, net, of $5.5 million during the year ended December 31, 2025 related to this transaction, reflecting a balance of $0.2 million within Accounts payable, accrued expenses and other liabilities for this investment. This property was sold in February 2026 (Note 17).
Earnings from our net investments in sales-type leases are included in Income from finance leases in the consolidated financial statements, and totaled $0.6 million, less than $0.1 million, and less than $0.1 million for the years ended December 31, 2025, 2024, and 2023, respectively. Prior to these reclassifications to net investments in sales-type leases, earnings from these investments were recognized in Lease revenues in the consolidated financial statements.

Net investments in sales-type leases is summarized as follows (in thousands):
December 31,
20252024
Lease payments receivable (a)
$47,726 $— 
47,726 — 
Less: unearned income(1,033)— 
Less: allowance for credit losses (b)
(4,815)— 
$41,878 $— 
__________
(a)Includes estimated purchase price and total rents owed.
(b)During the year ended December 31, 2025, we recorded a net allowance for credit loss of $4.8 million on our net investment in sales-type lease, which was included within Other gains and (losses) in our consolidated statements of operations, reflecting the possibility that the sale is not completed due to unresolved maintenance work at the property.

Scheduled Future Lease Payments to be Received

Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable finance leases at December 31, 2025 are as follows (in thousands):
Years Ending December 31, Total
2026 (a)
$47,726 
2027— 
2028— 
2029— 
2030— 
Thereafter— 
Total$47,726 
__________
(a)Amount comprises the net investments in sales-type leases described above, representing the estimated purchase prices of the investments plus remaining rents. One of these properties was sold in February 2026 (Note 17).

See Note 5 for scheduled future lease payments to be received under non-cancelable operating leases.

Net Investments in Direct Financing Leases

During the year ended December 31, 2023, we reclassified an investment classified as a direct financing lease (comprising four properties) with an aggregate carrying value of $14.6 million from Net investments in finance leases to Land, buildings and improvements in connection with a change in lease classification due to an extension of the underlying lease. Income from direct financing leases, which is included in Income from finance leases in the consolidated financial statements, was $1.2 million for the year ended December 31, 2023. We had no net investments in direct financing leases as of December 31, 2025 and 2024.
Credit Quality of Finance Receivables
 
We evaluate the credit quality of our finance receivables utilizing an internal five-point credit rating scale, with one representing the highest credit quality and five representing the lowest. A credit quality of one through three indicates a range of investment grade to stable. A credit quality of four through five indicates a range of inclusion on the watch list to risk of default. The credit quality evaluation of our finance receivables is updated quarterly.

A summary of our finance receivables by internal credit quality rating, excluding our allowance for credit losses, is as follows (dollars in thousands):
Number of Tenants / Obligors at December 31,Carrying Value at December 31,
Internal Credit Quality Indicator2025202420252024
11—$37,950 $— 
2——— — 
31—8,743 — 
4——— — 
5——— — 
$46,693 $— 
v3.25.4
Goodwill and Other Intangibles
 12 Months Ended
Dec. 31, 2025
Goodwill And Intangible Assets Liabilities Disclosure [Abstract]  
Goodwill and Other Intangibles Goodwill and Other Intangibles
We have recorded lease intangibles that are being amortized over periods ranging from two years to 26 years. In-place lease intangibles, at cost are included in In-place lease intangible assets and other in the consolidated financial statements. Above-market rent intangibles, at cost are included in Above-market rent intangible assets in the consolidated financial statements. Accumulated amortization of in-place lease and above-market rent intangibles is included in Accumulated depreciation and amortization in the consolidated financial statements. Below-market rent intangibles are included in Below-market rent intangible liabilities, net in the consolidated financial statements.

In connection with certain business combinations, we recorded goodwill as a result of consideration exceeding the fair values of the assets acquired and liabilities assumed (Note 3). During the year ended December 31, 2023, we recorded an impairment for the total amount of goodwill of $62.5 million (Note 8). The following table presents a reconciliation of our goodwill (in thousands):
Goodwill
Balance at January 1, 2023
$63,583 
Impairment charges (Note 8)
(62,456)
Foreign currency translation adjustments(1,127)
Balance at December 31, 2023
$— 

Intangible assets and liabilities are summarized as follows (in thousands):
December 31,
20252024
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Finite-Lived Intangible Assets
In-place lease$45,160 $(33,060)$12,100 $207,988 $(123,040)$84,948 
Above-market rent10,760 (7,208)3,552 30,512 (17,572)12,940 
$55,920 $(40,268)$15,652 $238,500 $(140,612)$97,888 
Finite-Lived Intangible Liabilities
Below-market rent$(4,495)$2,505 $(1,990)$(18,856)$12,551 $(6,305)
Total intangible liabilities$(4,495)$2,505 $(1,990)$(18,856)$12,551 $(6,305)
See Note 6 for a description of intangible assets and liabilities reclassified to net investments in sales-type leases during the year ended December 31, 2025.

Net amortization of intangibles, including the effect of foreign currency translation, was $21.5 million, $35.4 million, and $47.7 million for the years ended December 31, 2025, 2024, and 2023, respectively. Amortization of below-market rent and above-market rent intangibles is recorded as an adjustment to Lease revenues and amortization of in-place lease intangibles is included in Depreciation and amortization.

Based on the intangible assets and liabilities recorded at December 31, 2025, scheduled annual net amortization of intangibles for each of the next five calendar years and thereafter is as follows (in thousands):
Years Ending December 31,Net Decrease (Increase) in Lease RevenuesIncrease to AmortizationTotal
2026$676 $2,726 $3,402 
2027439 2,291 2,730 
2028377 1,850 2,227 
2029377 1,850 2,227 
2030288 1,651 1,939 
Thereafter(595)1,732 1,137 
Total$1,562 $12,100 $13,662 
v3.25.4
Fair Value Measurements
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
 
The fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including interest rate caps; and Level 3, for securities that do not fall into Level 1 or Level 2 and for which little or no market data exists, therefore requiring us to develop our own assumptions.

Items Measured at Fair Value on a Recurring Basis

The methods and assumptions described below were used to estimate the fair value of each class of financial instrument. For significant Level 3 items, we have also provided the unobservable inputs.

Derivative Assets — Our derivative assets, which were included in Other assets, net in the consolidated financial statements, comprised interest rate caps (Note 9).

The valuation of our derivative instruments is determined using a discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves, spot and forward rates, and implied volatilities. We incorporate credit valuation adjustments to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of our derivative instruments for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. These derivative instruments were classified as Level 2 as these instruments are custom, over-the-counter contracts with various bank counterparties that are not traded in an active market.

Our material financial instruments had the following carrying values and fair values as of the dates shown (dollars in thousands):
December 31, 2025December 31, 2024
LevelCarrying ValueFair ValueCarrying ValueFair Value
Non-recourse mortgages, net (a) (b) (c)
3$21,900 $21,900 $111,259 $91,642 
NLOP Mezzanine Loan, net (a) (b) (c) (d)
3— — 57,957 61,753 
__________
(a)The carrying value of the NLOP Mezzanine Loan, net (Note 10) includes unamortized deferred financing costs of $1.0 million at December 31, 2024.
(b)The carrying value of Non-recourse mortgages, net includes unamortized premium of $0.4 million at December 31, 2024. The carrying value of the NLOP Mezzanine Loan, net (Note 10) includes unamortized discount of $2.2 million at December 31, 2024.
(c)We determined the estimated fair value of our non-recourse mortgage loans, NLOP Mezzanine Loan, and NLOP Mortgage Loan using a discounted cash flow model that estimates the present value of the future loan payments by discounting such payments at current estimated market interest rates. The estimated market interest rates consider interest rate risk and the value of the underlying collateral, which includes quality of the collateral, the credit quality of the tenant/obligor, and the time until maturity.
(d)In April 2025, we fully repaid the NLOP Mezzanine Loan (Note 10).
 
We estimated that our other financial assets and liabilities, excluding finance receivables (Note 6), had fair values that approximated their carrying values at both December 31, 2025 and 2024.

Items Measured at Fair Value on a Non-Recurring Basis (Including Impairment Charges)

We periodically assess whether there are any indicators that the value of our real estate investments may be impaired or that their carrying value may not be recoverable. Our impairment policies are described in Note 3.

The following table presents information about assets for which we recorded an impairment charge and that were measured at fair value on a non-recurring basis (classified as Level 3) (in thousands):
Years Ended December 31,
 202520242023
 Fair Value
Measurements		Impairment
Charges		Fair Value
Measurements		Impairment
Charges		Fair Value
Measurements		Impairment
Charges
Impairment Charges
Real estate$180,307 $140,814 $200,316 $78,237 $58,088 $63,143 
Goodwill— — — — — 62,456 
$140,814 $78,237 $125,599 

Impairment charges, and their related triggering events and fair value measurements, recognized during the years ended December 31, 2025, 2024, and 2023 were as follows:

Real Estate

The impairment charges described below are reflected within Impairment charges — real estate in our consolidated statements of operations.

2025 — During the year ended December 31, 2025, we recognized an impairment charge of $81.6 million on a property in Houston, Texas, leased to KBR. After performing a strategic review of the asset at the direction of our Board of Trustees during the second quarter of 2025, we commenced sale efforts for the property. As a result, this met our likely disposition impairment trigger event in accordance with ASC 360, Property, Plant, and Equipment, at which time we determined that the carrying value of the asset was not fully recoverable. The impairment charge reflects the excess of the asset’s carrying amount over its estimated fair value. The fair value was determined based on valuation techniques consistent with ASC 820, Fair Value Measurement, which factored in current market conditions, existing lease terms, and assumptions about the highest and best use of the asset, using the following unobservable inputs:

•Cash flow discount rate of 10.0% commencing on June 30, 2025 and ending on an assumed future sale date;
•Future sale value discount rate of 10.0% commencing on June 30, 2025 and ending on an assumed future sale date; and
•Future buyer required return of 15.0% commencing on an assumed future sale date and ending after an assumed buyer hold period.
During the fourth quarter of 2025, we recognized another impairment charge of $3.2 million on this property, in order to reduce its carrying value to its estimated fair value, which approximated its estimated selling price, less costs to sell. This property was classified as held for sale as of December 31, 2025 (Note 5) and sold in January 2026 (Note 17).

Additionally, during the year ended December 31, 2025, we recognized an impairment charge of $14.6 million on a property in Warrenville, Illinois, due to changes in expected cash flows related to the existing tenant’s lease expiration in 2027, in order to reduce its carrying value to its estimated fair value. The fair value measurement for this property was determined by using the following unobservable inputs:

•Market rents of $14 per square foot;
•Cash flow discount rate of 7.0%;
•Property residual value of $35.90 per square foot, based on comparable dispositions;
•Future sale value discount rate of 8.0%; and
•Terminal capitalization rate of 8.5%.

In addition, during the year ended December 31, 2025, we recognized an impairment charge of $10.6 million on a property in Quincy, Massachusetts, due to changes in expected cash flows related to the existing tenant’s lease expiration in 2027, in order to reduce its carrying value to its estimated fair value. The fair value measurement for this property was determined by using the following unobservable inputs:

•Market rents of $20 per square foot;
•Cash flow discount rate of 8.0%;
•Future sale value discount rate of 11.0%; and
•Terminal capitalization rate of 8.5%.

Furthermore, during the year ended December 31, 2025, we recognized impairment charges totaling $30.8 million on six properties, in order to reduce their carrying values to their estimated fair values, which approximated their estimated selling prices, less costs to sell. Five of these properties were sold in 2025 and one was sold in February 2026 (Note 17).

2024 — During the year ended December 31, 2024, we recognized impairment charges totaling $47.7 million on nine properties in order to reduce their carrying values to their estimated fair values, which approximated their estimated selling prices, less costs to sell. Five of these properties were sold during 2024 and four were sold during 2025.

Additionally, during the year ended December 31, 2024, we recognized impairment charges totaling $30.6 million on three properties due to changes in expected cash flows related to the existing tenants’ lease expirations in 2025, in order to reduce their carrying values to their estimated fair values. The fair value measurement for these properties were determined by using the following unobservable inputs:

First property (impairment charge of $17.1 million; this property was sold in 2025):

•Market rents of 200 Norwegian krone per square foot;
•Terminal capitalization rate of 10.0%;
•Residual discount rate of 10.0%; and
•Cash flow discount rate of 8.0%.

Second property (impairment charge of $12.2 million; this property was sold in 2025):

•Market rents ranging from $7 per square foot to $15 per square foot;
•Terminal capitalization rate of 9.0%; and
•Cash flow discount rate of 14.0%.

Third property (impairment charge of $1.2 million):

•Estimated base rent collection of $0.6 million through the end of the lease term;
•Comparable vacant sale prices ranging from $0.3 million per acre to $0.7 million per acre; and
•Cash flow discount rate of 9.0%.
2023 — During the year ended December 31, 2023, we recognized impairment charges totaling $32.7 million on three properties leased to the same tenant due to the tenant’s lease expiration in 2024, in order to reduce their carrying values to their estimated fair values, which approximated their estimated selling prices, less costs to sell. One of the properties was sold in 2024.

Additionally, we recognized an impairment charge of $29.3 million on a property due to the tenant’s lease expiration in 2024, in order to reduce its carrying value to its estimated fair value. The fair value measurement for this property was determined by using the following unobservable inputs (this property was sold in 2025):

•Market rents ranging from $23 per square foot to $31 per square foot;
•Terminal capitalization rate of 8.3%; and
•Cash flow discount rate of 9.3%.

We also recognized an impairment charge of $1.1 million on a property due to the tenant’s lease expiration in 2024, in order to reduce its carrying value to its estimated fair value, which approximated its estimated selling price, less costs to sell. This property was disposed of in 2024.

Goodwill

The impairment charges described below are reflected within Impairment charges — goodwill in our consolidated statements of operations.

During the year ended December 31, 2023, we recognized an impairment charge of $62.5 million on goodwill in order to reduce its carrying value to zero, since the Company’s trading value as a public company subsequent to the completion of the Spin-Off resulted in a market capitalization that was significantly below the carrying value of our net assets (Note 7).
v3.25.4
Risk Management and Use of Derivative Financial Instruments
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Risk Management and Use of Derivative Financial Instruments Risk Management and Use of Derivative Financial Instruments
Risk Management

In the normal course of our ongoing business operations, we encounter economic risk. There are four main components of economic risk that impact us: interest rate risk, credit risk, market risk, and foreign currency risk. We are primarily subject to interest rate risk on our interest-bearing liabilities, including our unhedged variable-rate non-recourse mortgage loans. Credit risk is the risk of default on our operations and our tenants’ inability or unwillingness to make contractually required payments. Market risk includes changes in the value of our properties and related loans, due to changes in interest rates or other market factors. We own investments in the United States and previously owned investments in Europe, and have been subject to risks associated with fluctuating foreign currency exchange rates.

Derivative Financial Instruments

When we use derivative instruments, it is generally to reduce our exposure to fluctuations in interest rates. We have not entered into, and do not plan to enter into, financial instruments for trading or speculative purposes. The primary risks related to our use of derivative instruments include a counterparty to a hedging arrangement defaulting on its obligation and a downgrade in the credit quality of a counterparty to such an extent that our ability to sell or assign our side of the hedging transaction is impaired. While we seek to mitigate these risks by entering into hedging arrangements with large financial institutions that we deem to be creditworthy, it is possible that our hedging transactions, which are intended to limit losses, could adversely affect our earnings. Furthermore, if we terminate a hedging arrangement, we may be obligated to pay certain costs, such as transaction or breakage fees. We have established policies and procedures for risk assessment and the approval, reporting, and monitoring of derivative financial instrument activities.

We measure derivative instruments at fair value and record them as assets or liabilities, depending on our rights or obligations under the applicable derivative contract. Derivatives that are not designated as hedges must be adjusted to fair value through earnings. For derivatives designated and that qualify as cash flow hedges, the change in fair value of the derivative is recognized in Other comprehensive income (loss) until the hedged item is recognized in earnings. Such gains and losses are recorded within Interest expense in our consolidated statements of operations. The earnings recognition of excluded components is presented in the same line item as the hedged transactions.
All derivative transactions with an individual counterparty are governed by a master International Swap and Derivatives Association agreement, which can be considered as a master netting arrangement; however, we report all our derivative instruments on a gross basis on our consolidated financial statements. Our interest rate cap matured in November 2025. As of December 31, 2025, we do not have any derivative financial instruments. At December 31, 2024, no cash collateral had been posted nor received for any of our derivative positions.

The following table sets forth certain information regarding our derivative instruments (in thousands):
Asset Derivatives Fair Value at
Derivatives Not Designated as Hedging InstrumentsBalance Sheet LocationDecember 31, 2025December 31, 2024
Interest rate capOther assets, net$— $10 
Total derivatives$— $10 

The following tables present the impact of our derivative instruments in the consolidated financial statements (in thousands):
Amount of Gain (Loss) Recognized on Derivatives in
Other Comprehensive Income (Loss)
Years Ended December 31,
Derivatives in Cash Flow Hedging Relationships 202520242023
Interest rate cap$— $1,191 $(1,191)
Total$— $1,191 $(1,191)
Amount of Gain (Loss) on Derivatives Reclassified from
Other Comprehensive Income (Loss)
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain (Loss) Recognized in IncomeYears Ended December 31,
202520242023
Interest rate capOther gains and (losses)$— $(951)$— 
Interest rate capInterest expense— (477)(144)
Total$— $(1,428)$(144)

Amounts reported in Other comprehensive income (loss) related to interest rate derivative contracts will be reclassified to Interest expense as interest is incurred on our variable-rate debt.
Amount of Gain (Loss) on Derivatives Recognized in Income
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain (Loss) Recognized in IncomeYears Ended December 31,
202520242023
Interest rate capInterest expense$— $(17)$(2)
Derivatives Not in Cash Flow Hedging Relationships
Interest rate capOther gains and (losses)(10)(431)— 
Total$(10)$(448)$(2)

See below for information on our purposes for entering into derivative instruments.

Interest Rate Caps

We are exposed to the impact of interest rate changes primarily through our borrowing activities. We have obtained, and may in the future obtain, variable-rate debt (our NLOP Financing Arrangements (Note 10)), and, as a result, we have entered into, and may continue to enter into, interest rate cap agreements with counterparties. Interest rate caps limit the effective borrowing rate of variable-rate debt obligations. Our objective in using these derivatives is to limit our exposure to interest rate movements.

During the third quarter of 2024, we de-designated our interest rate cap as a hedging instrument, since we determined that the derivative is no longer highly effective, given mismatches between the hedged notional of the interest rate cap versus the outstanding principal on the NLOP Mortgage Loan (which was fully repaid during 2024 and is defined in Note 10). This interest rate cap matured in November 2025.
v3.25.4
Debt
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Debt Debt
Debt Facility

On September 20, 2023, in connection with the Spin-Off (Note 1), we and certain of our wholly-owned subsidiaries entered into financing arrangements for which funding was subject to certain conditions (including the closing of the Spin-Off), including (i) a $335.0 million senior secured mortgage loan with an original maturity on November 9, 2025, with two separate one-year extension options subject to certain conditions (the “NLOP Mortgage Loan”) and (ii) a $120.0 million mezzanine loan facility maturing on November 9, 2028 (the “NLOP Mezzanine Loan” and, together with the NLOP Mortgage Loan, the “NLOP Financing Arrangements”). Upon closing of the Spin-Off on November 1, 2023 (Note 1), the NLOP Financing Arrangements were drawn in full, and approximately $343.9 million of the proceeds from the financing (net of transaction expenses) was transferred to WPC in connection with the Spin-Off.

During the year ended December 31, 2025, we fully repaid the NLOP Mezzanine Loan, which had $61.1 million of outstanding principal as of December 31, 2024, using net proceeds from certain dispositions, as well as excess cash flow from operations and other sources, including the application of loan reserves. During the year ended December 31, 2024, we fully repaid the NLOP Mortgage Loan, which had $288.9 million of outstanding principal as of December 31, 2023, using proceeds from certain dispositions, as well as cash flow from rent on our properties and other sources.

Non-Recourse Mortgages

Non-recourse mortgages consist of mortgage notes payable, which are collateralized by the assignment of real estate properties. At December 31, 2025, our only non-recourse mortgage note payable encumbered one property, with a fixed interest rate of 7.0%, and a maturity date of July 2026. This mortgage encumbered a property classified as net investments in sales-type lease as of December 31, 2025 (Note 6).

Parent Debt

Prior to the Spin-Off, certain wholly-owned affiliates of WPC entered into debt agreements with the international NLOP entities to provide the funding necessary to acquire certain international assets. In connection with the Spin-Off, WPC assigned to us the receivable related to these debt amounts (“Parent Debt”), which eliminates in consolidation.

Repayments During 2025

During the year ended December 31, 2025, we repaid four non-recourse mortgage loans totaling $49.8 million. We recognized a net loss on extinguishment of debt of $0.1 million on these repayments, which is included within Other gains and (losses) on our consolidated statements of operations. The weighted-average interest rate for these non-recourse mortgage loans was 7.5%.

Repayments During 2024

During the year ended December 31, 2024, we prepaid two non-recourse mortgage loans totaling $20.8 million. We recognized a net loss on extinguishment of debt of $0.3 million on these repayments, which is included within Other gains and (losses) on our consolidated statements of operations. The weighted-average interest rate for these non-recourse mortgage loans was 5.2%. As a result of one of the repayments, WPC no longer serves as guarantor for any of our non-recourse mortgage loans.

Repayments During 2023

During the year ended December 31, 2023, we (i) repaid a non-recourse mortgage loan at maturity with an aggregate principal balance of approximately $0.3 million, and (ii) prepaid a non-recourse mortgage loan of $2.9 million. We recognized an aggregate net gain on extinguishment of debt of less than $0.1 million on these repayments, which is included within Other gains and (losses) on our consolidated statements of operations. The weighted-average interest rate for these non-recourse mortgage loans on their respective dates of repayment was 5.2%.
Interest Paid

For the years ended December 31, 2025, 2024, and 2023, interest paid was $9.2 million, $41.3 million, and $39.3 million, respectively.

Scheduled Debt Principal Payments

Scheduled debt principal payments as of December 31, 2025 are as follows (in thousands):
Years Ending December 31, Total
2026$21,900 
2027— 
2028— 
2029— 
2030— 
Total$21,900 
v3.25.4
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
At December 31, 2025, we were not involved in any material litigation. Various claims and lawsuits arising in the normal course of business are pending against us. The results of these proceedings are not expected to have a material adverse effect on our consolidated financial position or results of operations.
v3.25.4
Equity
 12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Equity Equity
Common Shares

Dividends paid to shareholders may consist of ordinary income, capital gains, return of capital or a combination thereof for income tax purposes. Our dividends per share are summarized as follows:
Dividends Paid
 During the Years Ended December 31,
 202520242023
Return of capital$7.20 $0.34 $— 
Total dividends paid$7.20 $0.34 $— 

During the fourth quarter of 2023, our Board declared a dividend of $0.34 per share, which was paid on January 29, 2024 to shareholders of record as of December 18, 2023. Shareholders had the option to elect to receive their dividend in the form of cash or additional NLOP shares, with the aggregate amount of cash distributed by NLOP limited to a maximum of 20% of the total dividend. The total number of shares issued in the share dividend was 164,199 shares. Cash paid in connection with the share dividend totaled $1.1 million, which includes cash paid in lieu of fractional shares.

Special Cash Distributions

In August 2025, our Board of Trustees declared a special cash distribution of $3.10 per share, totaling approximately $45.9 million. The distribution was paid on September 3, 2025 to shareholders of record as of August 18, 2025.

In November 2025, our Board of Trustees declared a special cash distribution of $4.10 per share, totaling approximately $60.7 million. The distribution was paid on December 19, 2025 to shareholders of record as of December 4, 2025.

In December 2025, our Board of Trustees declared a special cash distribution of $5.10 per share, totaling approximately $75.6 million. The distribution was paid on January 20, 2026 to shareholders of record as of January 2, 2026.
Earnings Per Share

The following table summarizes basic and diluted earnings (dollars in thousands):
 Years Ended December 31,
 202520242023
Net loss – basic and diluted$(145,262)$(91,471)$(131,746)
Weighted-average shares outstanding – basic and diluted14,814,075 14,789,514 14,631,265 
 
For the years ended December 31, 2025, 2024, and 2023, we recognized net loss. Therefore, all potentially dilutive securities are antidilutive and accordingly, basic net loss per share equals diluted net loss per share.

Reclassifications Out of Accumulated Other Comprehensive Loss

The following tables present a reconciliation of changes in Accumulated other comprehensive loss by component for the periods presented (in thousands):
Gains and (Losses) on Derivative InstrumentsForeign Currency Translation AdjustmentsTotal
Balance at January 1, 2023
$— $(42,464)$(42,464)
Other comprehensive income before reclassifications(1,335)8,055 6,720 
Amounts reclassified from accumulated other comprehensive loss to:
Interest expense144 — 144 
Total144 — 144 
Net current period other comprehensive income(1,191)8,055 6,864 
Balance at December 31, 2023(1,191)(34,409)(35,600)
Other comprehensive loss before reclassifications(237)(1,433)(1,670)
Amounts reclassified from accumulated other comprehensive loss to:
Other gains and (losses)951 — 951 
Interest expense477 — 477 
Gain on sale of real estate, net (Note 15)
— (4,315)(4,315)
Total1,428 (4,315)(2,887)
Net current period other comprehensive loss1,191 (5,748)(4,557)
Balance at December 31, 2024— (40,157)(40,157)
Other comprehensive loss before reclassifications— (1,473)(1,473)
Amounts reclassified from accumulated other comprehensive loss to:
Loss on sale of real estate, net (Note 15)
— 41,630 41,630 
Total— 41,630 41,630 
Net current period other comprehensive income— 40,157 40,157 
Balance at December 31, 2025$— $— $— 

See Note 9 for additional information on our derivatives activity recognized within Other comprehensive income (loss) for the periods presented.
v3.25.4
Stock-Based and Other Compensation
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-Based and Other Compensation Stock-Based and Other Compensation
Stock-Based Compensation

At December 31, 2025, we maintained the stock-based compensation plan described below. There were no unvested shares outstanding at December 31, 2025 and 2024. The total compensation expense for awards issued under this plan was $0.3 million for the year ended December 31, 2024.

2023 Incentive Award Plan

The 2023 Incentive Award Plan provides that the maximum aggregate number of our common shares that may be issued under the Incentive Award Plan will be 750,000 common shares. The maximum number of common shares that may be issued in connection with awards of incentive stock options (“ISOs”) under the 2023 Incentive Award Plan is 1,500,000 common shares. The 2023 Incentive Award Plan provides for the grant of various stock- and cash-based awards, including RSUs, stock options (including ISOs and nonqualified stock options), restricted stock, dividend equivalents, stock payments, other incentive awards, long-term incentive plan units, and stock appreciation rights. At December 31, 2025, 720,939 shares remained available for issuance under the 2023 Incentive Award Plan. Through the date of this Report, we have only issued RSUs under the 2023 Incentive Award Plan to members of our Board (we have no employees).

Nonvested RSUs at December 31, 2025 and changes during the period from November 1, 2023 to December 31, 2023 and the year ended December 31, 2024 were as follows (there was no activity during the year ended December 31, 2025):
RSU Awards
SharesWeighted-Average Grant Date Fair Value
Balance at November 1, 2023— $— 
Granted (a)
28,653 10.47 
Nonvested at December 31, 2023
28,653 10.47 
Vested (b)
(28,653)10.47 
Nonvested at December 31, 2024
— $— 
__________
(a)The grant date fair value of RSUs reflect our share price on the date of grant on a one-for-one basis.
(b)The grant date fair value of shares vested during the year ended December 31, 2024 was $0.3 million.
v3.25.4
Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income Tax Provision

The components of our provision for (benefit from) income taxes for the periods presented are as follows (in thousands):
Years Ended December 31,
202520242023
Federal
Current$3 $11 $58 
3 11 58 
State and Local
Current26 242 357 
26 242 357 
Foreign
Current129 636 1,211 
Deferred— (3,271)(1,201)
129 (2,635)10 
Total Provision for (Benefit from) Income Taxes$158 $(2,382)$425 
A reconciliation of effective income tax for the periods presented is as follows (in thousands):
Years Ended December 31,
202520242023
Pre-tax loss attributable to taxable subsidiaries$(13,581)$(58,474)$(32,176)
Federal provision at statutory tax rate (21%)
$(2,852)$(12,280)$(6,757)
Change in valuation allowance2,931 10,592 3,179 
Non-deductible expense63 5 1 
Rate differential(45)(494)(63)
State and local taxes, net of federal benefit29 (36)(30)
Election of TRS Status (a)
— — 4,615 
Other32 (169)(520)
Total Provision for (Benefit from) Income Taxes$158 $(2,382)$425 
__________
(a)Represents deferred taxes recorded as a result of our taxable REIT subsidiary (“TRS”) status election for certain of our domestic real estate properties.

Deferred Income Taxes

Deferred income taxes at December 31, 2025 and 2024 consist of the following (in thousands):
 December 31,
20252024
Deferred Tax Assets  
Net operating loss and other tax credit carryforwards$7,706 $872 
Basis differences — foreign investments— 1,432 
Other771 5,262 
Total deferred tax assets8,477 7,566 
Valuation allowance(8,477)(7,566)
Net Deferred Tax Assets$— $— 

There were no deferred tax liabilities as of December 31, 2025 or 2024. Our deferred tax assets and liabilities are primarily the result of temporary differences related to the following:

•Basis differences between tax and GAAP for certain real estate investments. For income tax purposes, in certain acquisitions, we assume the seller’s basis, or the carry-over basis, in the acquired assets. The carry-over basis is typically lower than the purchase price, or the GAAP basis, resulting in a deferred tax liability with an offsetting increase to goodwill or the acquired tangible or intangible assets;
•Timing differences generated by differences in the GAAP basis and the tax basis of assets such as those related to capitalized acquisition costs, straight-line rent, prepaid rents, and intangible assets; and
•Tax net operating losses in certain subsidiaries that may be realized in future periods if the respective subsidiary generates sufficient taxable income.

As of December 31, 2025, U.S. federal net operating loss carryforwards were $35.0 million, which will not expire as they can be carried forward indefinitely. There are also state net operating loss carryforwards of $5.3 million, which will begin to expire in 2044.

Our taxable subsidiaries recognize tax positions in the financial statements only when it is more likely than not that the position will be sustained on examination by the relevant taxing authority based on the technical merits of the position. A position that meets this standard is measured at the largest amount of benefit that will more likely than not be realized on settlement. A liability is established for differences between positions taken in a tax return and amounts recognized in the financial statements.
At both December 31, 2025 and 2024, we had unrecognized tax benefits totaling $0.1 million that, if recognized, would have a favorable impact on our effective income tax rate in future periods. These unrecognized tax benefits are recorded as liabilities within Accounts payable, accrued expenses and other liabilities on our consolidated balance sheets. We recognize interest and penalties related to uncertain tax positions in income tax expense. At both December 31, 2025 and 2024, we had less than $0.1 million of accrued interest related to uncertain tax positions.

Income Taxes Paid

Income taxes paid were $0.7 million, $0.7 million, and $2.7 million during the years ended December 31, 2025, 2024, and 2023, respectively.

We elected to be taxed as a REIT under Section 856 through 860 of the Internal Revenue Code effective as of November 1, 2023. In order to maintain our qualification as a REIT, we are required, among other things, to distribute at least 90% of our REIT net taxable income to our stockholders and meet certain tests regarding the nature of our income and assets. As a REIT, we are not subject to federal income taxes on our income and gains that we distribute to our stockholders as long as we satisfy certain requirements, principally relating to the nature of our income and the level of our distributions, as well as other factors. We believe that we have operated, and we intend to continue to operate, in a manner that allows us to continue to qualify as a REIT. We conduct business in the United States, and as a result, we or one or more of our subsidiaries file income tax returns in the United States federal jurisdiction and various state, local, and foreign jurisdictions.
v3.25.4
Property Dispositions
 12 Months Ended
Dec. 31, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Property Dispositions Property Dispositions
Our property dispositions are also discussed in Note 5.

2025 — During the year ended December 31, 2025, we sold 14 properties, for total proceeds, net of selling costs, of $198.6 million, and recognized net gains on these sales totaling $10.5 million.

In September 2025, we transferred ownership of a property in Oslo, Norway, and the related non-recourse mortgage loan, which had an aggregate net asset carrying value of approximately $27.0 million and mortgage principal outstanding of $45.7 million, respectively, on the date of transfer, to a buyer, resulting in a net gain of $14.5 million (we also transferred cash on hand of $6.3 million to the lender and wrote off $2.1 million of working capital). Additionally, in accordance with ASC 830-30-40, Foreign Currency Matters, we reclassified an aggregate of $40.5 million of net foreign currency translation losses from Accumulated other comprehensive loss to Loss on sale of real estate, net (as an increase to Loss on sale of real estate, net), since the sale represented a disposal of all of our investments denominated in Norwegian krone (Note 3, Note 12).

In connection with the sale of a property in Poland in March 2025, and in accordance with ASC 830-30-40, Foreign Currency Matters, we reclassified an aggregate of $1.1 million of net foreign currency translation losses from Accumulated other comprehensive loss to Loss on sale of real estate, net (as an increase to Loss on sale of real estate, net), since the sale represented a disposal of all of our investments denominated in euros (Note 3, Note 12).

2024 — During the year ended December 31, 2024, we sold 14 properties for total proceeds, net of selling costs, of $320.1 million, and recognized a net gain on these sales totaling $22.5 million, which is included in Gain (loss) on sale of real estate, net, on the consolidated statements of operations (inclusive of income taxes totaling $0.1 million recognized upon sale). In connection with the sale of a property in the United Kingdom in October 2024, and in accordance with ASC 830-30-40, Foreign Currency Matters, we reclassified an aggregate of $4.3 million of net foreign currency translation gains from Accumulated other comprehensive loss to Gain on sale of real estate, net (as an increase to Gain on sale of real estate, net), since the sale represented a disposal of all of our United Kingdom investments (Note 3, Note 12).

In April 2024, we transferred ownership of a property in Warrenville, Illinois, and the related non-recourse mortgage loan, which had an aggregate net asset carrying value of approximately $19.3 million and mortgage principal outstanding of $19.8 million, respectively, on the date of transfer, to the mortgage lender, resulting in a net loss of $1.0 million (we also wrote off $1.4 million of working capital).

In April 2024, we transferred ownership of a property in Tempe, Arizona, and the related non-recourse mortgage loan, which had an aggregate net asset carrying value of approximately $13.3 million and mortgage principal outstanding of $13.2 million, respectively, on the date of transfer, to the mortgage lender, resulting in a net loss of $1.3 million (we also wrote off $1.2 million of working capital).
2023 — During the year ended December 31, 2023, we sold four properties for total proceeds, net of selling costs, of $38.9 million, and recognized a net gain on these sales totaling $4.7 million, which is included in Gain (loss) on sale of real estate, net, on the consolidated statements of operations.
v3.25.4
Segment Information
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
Reportable Segment Information

The Company operates as one reportable segment. Our business is characterized as owning a diversified portfolio of office properties that are primarily leased to corporate tenants on a single-tenant, net-lease basis. These economic characteristics are similar across various geographic locations and industries in which our tenants operate and therefore considered one operating segment. Our consolidated operating results, including net income, are regularly reviewed, in the aggregate, by our CODM to evaluate performance and allocate resources, which can be found on our consolidated financial statements (Note 1, Note 3).

Our revenues are largely derived from the long-term leases that we execute with tenants. These revenues are classified as either Lease revenues (Note 5) or Income from finance leases (Note 6) in accordance with ASC 842, Leases.

Our operating expenses are regularly reviewed by our CODM. All expenses are reviewed, but our CODM is regularly provided with the following significant expenses, which are included in our consolidated financial statements and require no additional disaggregation: Property expenses, excluding reimbursable tenant costs, General and administrative expenses, Asset management fees, Interest expense, and (Provision for) benefit from income taxes.

Geographic Information

At December 31, 2025, our portfolio comprises domestic investments. We sold all of our investments in Norway and Poland during 2025. We sold all of our investments in the United Kingdom during 2024. No international tenant or country individually comprised at least 10% of our total lease revenues for the years ended December 31, 2025, 2024, or 2023, or at least 10% of our total long-lived assets at December 31, 2025 or 2024.

Our tenant KBR comprised (i) 29.5%, 23.4%, and 17.9% of our total lease revenues for the years ended December 31, 2025, 2024, and 2023, respectively, and (ii) 21.1% and 22.5% of our total long-lived assets at December 31, 2025 and 2024, respectively. We sold the KBR property in January 2026 (Note 17). Our tenants Iowa Board of Regents and Intuit comprised 13.9% and 10.7%, respectively, of our total long-lived assets at December 31, 2025. Our tenant JPMorgan Chase comprised 13.7% and 12.7% of our total lease revenues for the years ended December 31, 2025 and 2024, respectively. We sold all properties leased to JPMorgan Chase during the year ended December 31, 2025. The following tables present geographic information (in thousands):
Years Ended December 31,
202520242023
Revenues
Domestic$115,808 $133,663 $159,808 
International3,107 8,584 15,157 
Total$118,915 $142,247 $174,965 
 December 31,
 20252024
Long-lived Assets (a)
Domestic$309,940 $677,933 
International (b)
— 29,510 
Total$309,940 $707,443 
__________
(a)Consists of Net investments in real estate.
(b)We sold two international properties during the year ended December 31, 2025 and have no international properties remaining (Note 5, Note 15).
v3.25.4
Subsequent Events
 12 Months Ended
Dec. 31, 2025
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Dispositions

In January 2026, we sold the KBR property located in Houston, Texas, for gross proceeds of $66.0 million. This property was classified as held for sale as of December 31, 2025 (Note 5).

In January 2026, we sold a property located in Venice, California, for gross proceeds of $39.6 million. This property was classified as held for sale as of December 31, 2025 (Note 5).

In February 2026, we sold a property located in Martinsville, Virginia, for gross proceeds of $3.9 million. This property was classified as held for sale as of December 31, 2025 (Note 5).

In February 2026, we sold a property located in Raleigh, North Carolina, for gross proceeds of $8.7 million (Note 6).

Special Cash Distribution

In January 2026, our Board of Trustees declared a special cash distribution of $6.75 per share, totaling approximately $100.0 million. The distribution was paid on February 17, 2026 to shareholders of record as of January 30, 2026.
v3.25.4
Schedule II — Valuation and Qualifying Accounts
 12 Months Ended
Dec. 31, 2025
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract]  
Schedule II — Valuation and Qualifying Accounts
NET LEASE OFFICE PROPERTIES
SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS
Years Ended December 31, 2025, 2024, and 2023
(in thousands) 
DescriptionBalance at Beginning of Year Other AdditionsDeductionsBalance at End of Year
Year Ended December 31, 2025
Valuation reserve for deferred tax assets$7,566 $3,580 $(2,669)$8,477 
Year Ended December 31, 2024
Valuation reserve for deferred tax assets$9,809 $4,942 $(7,185)$7,566 
Year Ended December 31, 2023
Valuation reserve for deferred tax assets$7,129 $3,431 $(751)$9,809 
v3.25.4
Schedule III — Real Estate and Accumulated Depreciation
 12 Months Ended
Dec. 31, 2025
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract]  
Schedule III — Real Estate and Accumulated Depreciation
NET LEASE OFFICE PROPERTIES
SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION
December 31, 2025
(in thousands)
Initial Cost to Company
Cost Capitalized Subsequent to
Acquisition (a)
Increase 
(Decrease)
in Net
Investments (b)
Gross Amount at which 
Carried at Close of Period (c) (d)
Accumulated Depreciation (d)
Date of ConstructionDate AcquiredLife on which
Depreciation in Latest
Statement of 
Income
is Computed
DescriptionEncumbrancesLandBuildingsLandBuildingsTotal
Land, Buildings and Improvements (Office Property Locations)
King of Prussia, PA$— $1,219 $6,283 $1,295 $— $1,219 $7,578 $8,797 $5,218 1968Jan. 1998
40 yrs.
Rio Rancho, NM— 1,190 9,353 5,866 (238)2,287 13,884 16,171 9,146 1999Jul. 1998
40 yrs.
Yardley, PA— 1,726 12,781 4,378 — 1,726 17,159 18,885 7,680 2002Sep. 2012
30 yrs.
San Marcos, TX— 440 688 — — 440 688 1,128 288 2000Sep. 2012
31 yrs.
Playa Vista, CA— 3,857 35,800 — — 3,857 35,800 39,657 14,898 1999Sep. 2012
40 yrs.
Odessa, TX— 196 1,864 — — 196 1,864 2,060 150 2000Sep. 2012
29 yrs.
San Marcos, TX— 656 6,723 — — 656 6,723 7,379 540 1996Sep. 2012
29 yrs.
Corpus Christi, TX— 764 1,823 — — 764 1,823 2,587 146 2000Sep. 2012
29 yrs.
Waco, TX— 473 2,058 — — 473 2,058 2,531 165 1969Sep. 2012
29 yrs.
Quincy, MA— 2,316 21,537 127 (11,064)814 12,102 12,916 7,132 1989Jun. 2013
40 yrs.
Houston, TX— 2,136 2,344 — (1,143)1,544 1,793 3,337 501 1982Oct. 2018
40 yrs.
Eagan, MN— 1,470 — — (951)519 — 519 — 2005Oct. 2018N/A
Eagan, MN— 4,312 32,878 — (19,216)1,524 16,450 17,974 5,451 1969Oct. 2018
40 yrs.
Warrenville, IL— 3,662 23,711 — (13,091)1,621 12,661 14,282 4,406 2002Oct. 2018
40 yrs.
San Antonio, TX— 3,094 16,624 — — 3,094 16,624 19,718 3,211 2002Oct. 2018
40 yrs.
Norcross, GA— 1,795 2,676 — — 1,795 2,676 4,471 229 1999Aug. 2022
40 yrs.
Farmington Hills, MI— 2,195 5,213 1,062 — 2,195 6,275 8,470 446 2001Aug. 2022
40 yrs.
Coralville, IA— 2,222 35,695 — — 2,222 35,695 37,917 3,051 2015Aug. 2022
40 yrs.
$— $33,723 $218,051 $12,728 $(45,703)$26,946 $191,853 $218,799 $62,658 
__________
(a)Consists of the cost of improvements subsequent to acquisition and acquisition costs, including construction costs on build-to-suit transactions, legal fees, appraisal fees, title costs, and other related professional fees. For business combinations, transaction costs are excluded.
(b)The increase (decrease) in net investment was primarily due to impairment charges.
(c)Excludes (i) gross lease intangible assets of $55.9 million and the related accumulated amortization of $40.3 million, (ii) gross lease intangible liabilities of $4.5 million and the related accumulated amortization of $2.5 million, (iii) net investments in sales-type leases of $41.9 million, and (iv) assets held for sale of $96.3 million.
(d)A reconciliation of real estate and accumulated depreciation follows:
NET LEASE OFFICE PROPERTIES
NOTES TO SCHEDULE III — REAL ESTATE AND ACCUMULATED DEPRECIATION
(in thousands)
Reconciliation of Real Estate Subject to Operating Leases
Years Ended December 31,
202520242023
Beginning balance$729,898 $1,203,991 $1,287,547 
Dispositions(276,655)(371,638)(35,287)
Impairment charges(134,783)(73,301)(57,607)
Reclassification to assets held for sale(99,312)(31,066)— 
Reclassification to sales-type lease(35,411)— (17,861)
Reclassification from assets held for sale25,914 — — 
Capital improvements4,279 8,372 13,398 
Foreign currency translation adjustment3,616 (6,460)(757)
Reclassification from real estate under construction1,253 — — 
Reclassification from direct financing leases— — 14,558 
Ending balance$218,799 $729,898 $1,203,991 

Reconciliation of Accumulated Depreciation for
Real Estate Subject to Operating Leases
Years Ended December 31,
202520242023
Beginning balance$152,067 $213,034 $190,516 
Dispositions(62,087)(82,339)(4,782)
Reclassification to assets held for sale(38,971)(1,769)— 
Depreciation expense14,991 23,687 31,237 
Reclassification to sales-type lease(3,626)— (4,163)
Foreign currency translation adjustment284 (546)226 
Ending balance$62,658 $152,067 $213,034 

At December 31, 2025, the aggregate cost of real estate that we and our consolidated subsidiaries own for federal income tax purposes was approximately $641.9 million.
v3.25.4
Insider Trading Arrangements
 3 Months Ended
Dec. 31, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.4
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.4
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
Our Advisor’s cybersecurity program focuses on (1) preventing and preparing for cybersecurity incidents, (2) detecting and analyzing cybersecurity incidents and (3) containing, eradicating, recovering from and reporting cybersecurity events.

Prevention and Preparation

Our Advisor employs a variety of measures to prevent threats related to privacy, information technology security and cybersecurity, which include password protection, frequent mandatory password change events, multi-factor authentication, internal phishing testing, vulnerability scanning and penetration testing.

Our Advisor’s information technology and internal audit teams utilize frameworks consistent with well-recognized industry cybersecurity frameworks to identify and mitigate information security risks and oversee an active cybersecurity training program.

In addition, our Advisor’s information technology team conducts routine security assessments as well as ongoing cybersecurity training campaigns for the Advisor’s employees and board of directors to enhance awareness and increase vigilance for the various types of cybersecurity attacks to which they may be exposed. Our Advisor’s internal audit team evaluates and monitors our internal controls over systems access in an effort to mitigate information security risks that may result from unauthorized access to systems and data.

Third-party vendors are vetted through our Advisor’s service delivery program to ensure they have an established cybersecurity program. Our Advisor has also engaged a managed security provider to manage a supply chain defense subscription that will help obtain visibility into cybersecurity risks across high-risk third party vendors by proactively identifying, prioritizing, and driving remediation for cyber risks posed by critical business partners. Our Advisor’s managed security provider’s risk operations center will escalate certain alerts regarding third-party vendors directly to the IT Department thus providing direct collaboration with third parties, saving time and improving risk reduction while safeguarding our relationships with such third parties.

Detection and Analysis

Cybersecurity incidents may be detected through a variety of means, including but not limited to automated event-detection notifications or similar technologies which are monitored by our Advisor’s managed cybersecurity provider, notifications from our Advisor’s employees, vendors or service providers, and notifications from third party information technology system providers. Once a potential cybersecurity incident is identified, including a third party cybersecurity event, the incident response team designated pursuant to our Advisor’s incident response plan follows the procedures set forth in the plan to investigate the potential incident, such as determining the nature of the event and assessing the severity of the event.

Containment, Eradication, Recovery, and Reporting

In the event of a cybersecurity incident, the incident response team is responsible for containing the cybersecurity incident, consistent with the procedures in the incident response plan.

Once a cybersecurity incident is contained, the focus shifts to remediation. Eradication and recovery activities depend on the nature of the cybersecurity incident. They may include returning affected systems to an operationally ready state and confirming that the affected systems are functioning normally.
Our Advisor has relationships with a number of third party service providers to assist with cybersecurity containment and remediation efforts, including outside legal counsel, vendors and external insurance brokers.

In the event of a cybersecurity incident, the incident response team is responsible for following the steps outlined in our Advisor’s incident response plan, including notifying our Audit Committee and Board, as appropriate.

Cybersecurity Risks

As of December 31, 2025, we have not had any known instances of material cybersecurity incidents, including third-party incidents, during any of the last three fiscal years. However, there can be no assurance that our cybersecurity efforts and measures will be effective or that attempted cybersecurity incidents or disruptions would not be successful or damaging. See Item 1A. Risk Factors – The occurrence of cyber incidents, or a deficiency in our Advisor’s cybersecurity, could negatively impact our business by causing a disruption to our operations, a compromise or corruption of our confidential information, and/or damage to our business relationships, all of which could negatively impact our financial results.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]
Our Advisor’s cybersecurity program focuses on (1) preventing and preparing for cybersecurity incidents, (2) detecting and analyzing cybersecurity incidents and (3) containing, eradicating, recovering from and reporting cybersecurity events.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]
Management and Board Oversight

Our Advisor’s cybersecurity approach incorporates a layered portfolio of comprehensive employee training programs, multiple resources to manage and monitor the evolving threat landscape and knowledgeable teams responsible for preventing and detecting cybersecurity risks.

As part of our Board’s oversight of risk management, our Board will review our cyber-risks and the actions being taken to mitigate such risks with our Advisor. These actions include implementing industry-recognized practices for protecting systems, third-party monitoring of certain systems and cybersecurity training for the Advisor’s employees. Board oversight of risk is also performed as needed between meetings through our Audit Committee and communications between our Advisor and our Board. Our Board will receive periodic education around cybersecurity risks and best practices.

Additionally, our Audit Committee, which consists solely of independent trustees, is responsible for overseeing cybersecurity risks and related initiatives. Our Audit Committee reviews our cybersecurity risks. It also reviews the steps our Advisor has taken to protect against threats to our information systems and security and receives updates on cybersecurity on a quarterly basis.
Our Advisor’s information technology team is led by its Chief Information Officer who reports to its Chief Financial Officer and has extensive experience working with information security systems. Our Advisor’s information technology team consists of individuals with expertise in assessing, preventing and addressing cybersecurity risk and is responsible for executing our cybersecurity program as well as communicating regularly with our Advisor’s senior management, our Advisor’s cybersecurity governance committee, the Audit Committee and the Board. Our Advisor’s cybersecurity governance committee, comprised of the Advisor’s Chief Financial Officer, Chief Legal Officer, Chief Information Officer, Head of Internal Audit and senior members of its information technology team, are responsible for developing and maintaining our cybersecurity policies and standards, monitoring ongoing compliance and program updates, and ensuring our information security is aligned with our business objectives and strategies under the oversight of our Board.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] As part of our Board’s oversight of risk management, our Board will review our cyber-risks and the actions being taken to mitigate such risks with our Advisor. These actions include implementing industry-recognized practices for protecting systems, third-party monitoring of certain systems and cybersecurity training for the Advisor’s employees.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] Board oversight of risk is also performed as needed between meetings through our Audit Committee and communications between our Advisor and our Board. Our Board will receive periodic education around cybersecurity risks and best practices.
Cybersecurity Risk Role of Management [Text Block]
Our Advisor’s cybersecurity approach incorporates a layered portfolio of comprehensive employee training programs, multiple resources to manage and monitor the evolving threat landscape and knowledgeable teams responsible for preventing and detecting cybersecurity risks.
As part of our Board’s oversight of risk management, our Board will review our cyber-risks and the actions being taken to mitigate such risks with our Advisor. These actions include implementing industry-recognized practices for protecting systems, third-party monitoring of certain systems and cybersecurity training for the Advisor’s employees. Board oversight of risk is also performed as needed between meetings through our Audit Committee and communications between our Advisor and our Board. Our Board will receive periodic education around cybersecurity risks and best practices.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block]
Our Advisor’s information technology team is led by its Chief Information Officer who reports to its Chief Financial Officer and has extensive experience working with information security systems. Our Advisor’s information technology team consists of individuals with expertise in assessing, preventing and addressing cybersecurity risk and is responsible for executing our cybersecurity program as well as communicating regularly with our Advisor’s senior management, our Advisor’s cybersecurity governance committee, the Audit Committee and the Board. Our Advisor’s cybersecurity governance committee, comprised of the Advisor’s Chief Financial Officer, Chief Legal Officer, Chief Information Officer, Head of Internal Audit and senior members of its information technology team, are responsible for developing and maintaining our cybersecurity policies and standards, monitoring ongoing compliance and program updates, and ensuring our information security is aligned with our business objectives and strategies under the oversight of our Board.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our Advisor’s information technology team is led by its Chief Information Officer who reports to its Chief Financial Officer and has extensive experience working with information security systems. Our Advisor’s information technology team consists of individuals with expertise in assessing, preventing and addressing cybersecurity risk and is responsible for executing our cybersecurity program as well as communicating regularly with our Advisor’s senior management, our Advisor’s cybersecurity governance committee, the Audit Committee and the Board.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] Our Advisor’s cybersecurity governance committee, comprised of the Advisor’s Chief Financial Officer, Chief Legal Officer, Chief Information Officer, Head of Internal Audit and senior members of its information technology team, are responsible for developing and maintaining our cybersecurity policies and standards, monitoring ongoing compliance and program updates, and ensuring our information security is aligned with our business objectives and strategies under the oversight of our Board.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Accounting for Acquisitions
Accounting for Acquisitions

In accordance with the guidance for business combinations, we determine whether a transaction or other event is a business combination, which requires that the assets acquired and liabilities assumed constitute a business. If the assets acquired are not a business, we account for the transaction or other event as an asset acquisition. Under both methods, we recognize the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquired entity. In addition, for transactions that are business combinations, we evaluate the existence of goodwill or a gain from a bargain purchase. We capitalize acquisition-related costs and fees associated with asset acquisitions. We immediately expense acquisition-related costs and fees associated with business combinations. There were no acquisitions during the reporting period.
 
Purchase Price Allocation of Tangible Assets — When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. The tangible assets consist of land, buildings, and site improvements. The intangible assets and liabilities include the above- and below-market value of leases and the in-place leases, which includes the value of tenant relationships. Land is typically valued utilizing the sales comparison (or market) approach. Buildings are valued, as if vacant, using the cost and/or income approach. The fair value of real estate is determined (i) by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and (ii) by the estimated residual value, which is based on a hypothetical sale of the property upon expiration of a lease factoring in the re-tenanting of such property at estimated market rental rates and applying a selected capitalization rate.

Assumptions used in the model are property-specific where this information is available; however, when certain necessary information is not available, we use available regional and property-type information. Assumptions and estimates include the following:

•a discount rate or internal rate of return;
•market rents, growth factors of rents, and market lease term;
•capitalization rates to be applied to an estimate of market rent at the beginning and/or the end of the market lease term;
•the marketing period necessary to put a lease in place;
•carrying costs during the marketing period; and
•leasing commissions and tenant improvement allowances.

The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including:

•the creditworthiness of the lessees;
•industry surveys;
•property type;
•property location and age;
•current lease rates relative to market lease rates; and
•anticipated lease duration.

In the case where a tenant has a purchase option deemed to be favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, we generally include the value of the exercise of such purchase option or long-term renewal options in the determination of residual value.

The remaining economic life of leased assets is estimated by relying in part upon third-party appraisals of the leased assets and industry standards. Different estimates of remaining economic life will affect the depreciation expense that is recorded.

Purchase Price Allocation of Intangible Assets and Liabilities — For acquired properties that do not qualify as sale-leaseback transactions, we record above- and below-market lease intangible assets and liabilities for acquired properties based on the present value (using a discount rate reflecting the risks associated with the leases acquired including consideration of the credit of the lessee) of the difference between (i) the contractual rents to be paid pursuant to the leases negotiated or in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over the estimated lease term, which includes renewal options that have rental rates below estimated market rental rates. We discount the difference between the estimated market rent and contractual rent to a present value using an interest rate reflecting our current assessment of the risk associated with the lease acquired, which includes a consideration of the credit of the lessee. When we enter into sale-leaseback transactions with above- or below-market leases, the intangibles will be accounted for as loan receivables or prepaid rent liabilities, respectively. We measure the fair value of below-market purchase option liabilities we acquire as the excess of the present value of the fair value of the real estate over the present value of the tenant’s exercise price at the option date. We determine these values using our estimates or by relying in part upon third-party valuations conducted by independent appraisal firms.

We amortize the above-market lease intangible as a reduction of lease revenue over the remaining contractual lease term. We amortize the below-market lease intangible as an increase to lease revenue over the initial term and any renewal periods in the respective leases. We include the value of below-market leases in Below-market rent and other intangible liabilities in the consolidated financial statements.
For acquired properties with tenants in place, we record in-place lease intangible assets based on the estimated value ascribed to the avoidance of costs of leasing the properties for remaining primary in-place lease terms. The cost avoidance is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term is estimated. These costs consist of: (i) rent lost during downtime (i.e., assumed periods of vacancy), (ii) estimated expenses that would be incurred by the property owner during periods of vacancy, (iii) rent concessions (i.e., free rent), (iv) leasing commissions, and (v) tenant improvements allowances given to tenants. We determine these values using our estimates or by relying in part upon third-party valuations. We amortize the value of in-place lease intangibles to depreciation and amortization expense over the remaining initial term of each lease. The amortization period for intangibles does not exceed the remaining depreciable life of the building.

If a lease is terminated, we charge the unamortized portion of above- and below-market lease values to rental income and in-place lease values to amortization expense. If a lease is amended, we will determine whether the economics of the amended lease continue to support the existence of the above- or below-market lease intangibles.

Purchase Price Allocation of Debt — When we acquire leveraged properties (for example, through the CPA:18 Merger), the fair value of the related debt instruments is determined using a discounted cash flow model with rates that take into account the credit of the tenants, where applicable, and interest rate risk. Such resulting premium or discount is amortized over the remaining term of the obligation. We also consider the value of the underlying collateral, taking into account the quality of the collateral, the credit quality of the tenant, the time until maturity and the current interest rate.
Impairments
Impairments
 
Real Estate — We periodically assess whether there are any indicators that the value of our long-lived real estate and related intangible assets may be impaired or that their carrying value may not be recoverable. These impairment indicators include, but are not limited to, vacancies, an upcoming lease expiration, a tenant with credit difficulty, the termination of a lease by a tenant, or a likely disposition of the property.

For real estate assets held for investment and related intangible assets in which an impairment indicator is identified, we follow a two-step process to determine whether an asset is impaired and to determine the amount of the charge. First, we compare the carrying value of the property’s asset group to the estimated future net undiscounted cash flow that we expect the property’s asset group will generate, including any estimated proceeds from the eventual sale of the property’s asset group. The undiscounted cash flow analysis requires us to make our best estimate of market rents, residual values, and holding periods. We estimate market rents and residual values using market information from outside sources such as third-party market research, external appraisals, broker quotes, or recent comparable sales.

As our investment objective is to realize value for our shareholders, holding periods used in the undiscounted cash flow analysis are evaluated on an individual property basis based on our strategic hold time of each asset. Depending on the assumptions made and estimates used, the future cash flow projected in the evaluation of long-lived assets and associated intangible assets can vary within a range of outcomes. We consider the likelihood of possible outcomes in determining our estimate of future cash flows and, if warranted, we apply a probability-weighted method to the different possible scenarios. If the future net undiscounted cash flow of the property’s asset group is less than the carrying value, the carrying value of the property’s asset group is considered not recoverable. We then measure the impairment loss as the excess of the carrying value of the property’s asset group over its estimated fair value.

Assets Held for Sale — We generally classify real estate assets that are subject to operating leases as held for sale when we have entered into a contract to sell the property, all material due diligence requirements have been satisfied, we received a non-refundable deposit, and we believe it is probable that the disposition will occur within one year. When we classify an asset as held for sale, we compare the asset’s fair value less estimated costs to sell to its carrying value, and if the fair value less estimated costs to sell is less than the property’s carrying value, we reduce the carrying value to the fair value less estimated costs to sell. We will continue to review the property for subsequent changes in the fair value, and may recognize a loss on sale of real estate, if warranted.
Goodwill
Goodwill — We evaluate goodwill for possible impairment at least annually or upon the occurrence of a triggering event. To identify any impairment, we first assess qualitative factors to determine whether it is more likely than not that the fair value of the Company is less than its carrying value. This assessment is used as a basis to determine whether it is necessary to calculate the fair value of the Company. Impairments, if any, will be the difference between the Company’s fair value and carrying amount, not to exceed the carrying amount of goodwill. The Company did not have goodwill as of December 31, 2025 or 2024.
Credit Losses
Credit Losses

The allowance for credit losses, which is recorded as a reduction to Net investments in finance leases on our consolidated balance sheets, is measured on an individual basis for our finance leases (Note 6), incorporating information such as the lessee’s credit rating, the expected value of the underlying collateral upon its repossession, and likelihood of closing for an agreed-upon sale (for certain net investments in sales-type leases). Included in our assessment are factors that incorporate forward-looking information. Allowance for credit losses is included in our consolidated statements of operations within Other gains and (losses).
Variable Interest Entities
Variable Interest Entities

When we obtain an economic interest in an entity, we evaluate the entity to determine if it should be deemed a variable interest entity (“VIE”) and, if so, whether we are the primary beneficiary and are therefore required to consolidate the entity. We apply accounting guidance for consolidation of VIEs to certain entities in which the equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. Fixed price purchase and renewal options within a lease, as well as certain decision-making rights within a loan or joint-venture agreement, can cause us to consider an entity a VIE. Limited partnerships and other similar entities that operate as a partnership will be considered a VIE unless the limited partners hold substantive kick-out rights or participation rights. Significant judgment is required to determine whether a VIE should be consolidated. We review the contractual arrangements provided for in the partnership agreement or other related contracts to determine whether the entity is considered a VIE, and to establish whether we have any variable interests in the VIE. We then compare our variable interests, if any, to those of the other variable interest holders to determine which party is the primary beneficiary of the VIE based on whether the entity (i) has the power to direct the activities that most significantly impact the economic performance of the VIE and (ii) has the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. The liabilities of these VIEs are non-recourse to us and can only be satisfied from each VIE’s respective assets.
At both December 31, 2025 and 2024, we considered one entity to be a VIE (given certain decision-making rights each partner has in accordance with the partnership agreement), which we consolidated, as we are considered the primary beneficiary.
Lessee
Leases

As a Lessee: Right-of-use (“ROU”) assets, included within in-place lease intangible assets and other on our consolidated balance sheets, represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments under the lease. We determine if an arrangement contains a lease at contract inception and determine the classification of the lease at commencement. Operating lease ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. We do not include renewal options in the lease term when calculating the lease liability unless we are reasonably certain we will exercise the option. Variable lease payments are excluded from the ROU assets and lease liabilities and are recognized in the period in which the obligation for those payments is incurred. Our variable lease payments consist of increases as a result of the Consumer Price Index (“CPI”) or other comparable indices, taxes, and maintenance costs. Lease expense for lease payments is recognized on a straight-line basis over the term of the lease. Below-market land lease intangible assets and above-market land lease intangible liabilities are included as a component of ROU assets. See Note 5 for additional disclosures on the presentation of these amounts in our consolidated balance sheets.

The implicit rate within our operating leases is generally not determinable and, as a result, we use our incremental borrowing rate at the lease commencement date to determine the present value of lease payments. The determination of our incremental borrowing rate requires judgment. We determine our incremental borrowing rate for each lease using estimated baseline mortgage rates. These baseline rates are determined based on a review of current mortgage debt market activity for benchmark securities across domestic and international markets, utilizing a yield curve. The rates are then adjusted for various factors, including level of collateralization and lease term.
Lessor
As a Lessor: We combine non-lease components (lease arrangements that include common area maintenance services) with related lease components (lease revenues), since both the timing and pattern of transfer are the same for the non-lease component and related lease component, the lease component is the predominant component, and the lease component would otherwise be classified as an operating lease. For (i) operating lease arrangements involving real estate that include common area maintenance services and (ii) all real estate arrangements that include real estate taxes and insurance costs, we present these amounts within lease revenues in our consolidated statements of operations. We record amounts reimbursed by the lessee in the period in which the applicable expenses are incurred if the reimbursements are deemed collectible.

Net investments in sales-type leases are accounted for under ASC 842, Leases. Upon lease commencement or lease modification, we assess lease classification to determine whether the lease should be classified as an operating, direct financing, or sales-type lease. If the lease is determined to be a sales-type lease, we record a net investment in the lease, which is equal to the sum of the lease payments receivable and the unguaranteed residual value, discounted at the rate implicit in the lease. Any difference between the fair value of the asset and the net investment in the lease is considered a gain on sale of real estate and recognized upon execution of the lease.
Cash and Cash Equivalents
Cash and Cash Equivalents — We consider all short-term, highly liquid investments that are both readily convertible to cash and have a maturity of three months or less at the time of purchase to be cash equivalents. Items classified as cash equivalents include commercial paper and money market funds. Our cash and cash equivalents are held in the custody of several financial institutions, and these balances, at times, exceed federally insurable limits. We seek to mitigate this risk by depositing funds only with major financial institutions.
Restricted Cash Restricted Cash — Restricted cash primarily consists of security deposits and amounts required to be reserved pursuant to lender agreements for debt service, capital improvements, and real estate taxes and is included within Other assets, net on the balance sheet.
Land, Buildings and Improvements
Land, Buildings and Improvements — We carry land, buildings, and improvements at cost less accumulated depreciation. We capitalize costs that extend the useful life of properties or increase their value, while we expense maintenance and repairs that do not improve or extend the lives of the respective assets as incurred.
Gain/Loss on Sale
Gain/Loss on Sale — We recognize gains and losses on the sale of properties when the transaction meets the definition of a contract, criteria are met for the sale of one or more distinct assets, and control of the properties is transferred.
Other Assets and Liabilities
Other Assets and Liabilities — We include prepaid expenses, straight-line rent receivables, derivative assets, tenant receivables, deferred charges, escrow balances held by lenders, and restricted cash balances in Other assets, net. We include amounts held on behalf of tenants, operating lease liabilities, and deferred revenue in Accounts payable, accrued expenses and other liabilities.
Revenue Recognition, Real Estate Leased to Others
Revenue Recognition, Real Estate Leased to Others — We lease real estate to others primarily on a net leased basis, whereby the tenant is generally responsible for operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, and improvements.

Our leases generally provide for either scheduled rent increases, periodic rent adjustments based on formulas indexed to changes in the CPI or similar indices. CPI-based adjustments are contingent on future events and are therefore not included as minimum rent in straight-line rent calculations.

For our operating leases, we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related leases and charge expenses to operations as incurred (Note 5). We record leases accounted for under the direct financing method as a net investment in direct financing leases (Note 6). The net investment is equal to the cost of the leased assets. The difference between the cost and the gross investment, which includes the residual value of the leased asset and the future minimum rents, is unearned income. We defer and amortize unearned income to income over the lease term so as to produce a constant periodic rate of return on our net investment in the lease.
Asset Retirement Obligations
Asset Retirement Obligations — Asset retirement obligations relate to the legal obligations associated with the retirement of long-lived assets that result from the acquisition, construction, development, and/or normal operation of a long-lived asset. The fair value of a liability for an asset retirement obligation is recorded in the period in which it is incurred or at the point of acquisition of an asset with an assumed asset retirement obligation, and the cost of such liability is recorded as an increase in the carrying amount of the related long-lived asset by the same amount. The liability is accreted each period and the capitalized cost is depreciated over the estimated remaining life of the related long-lived asset. Revisions to estimated retirement obligations result in adjustments to the related capitalized asset and corresponding liability.

In order to determine the fair value of the asset retirement obligations, we make certain estimates and assumptions including, among other things, projected cash flows, the borrowing interest rate, and an assessment of market conditions that could significantly impact the estimated fair value. These estimates and assumptions are subjective.
Depreciation
Depreciation — We compute depreciation of building and related improvements using the straight-line method over the estimated remaining useful lives of the properties (not to exceed 40 years) and furniture, fixtures, and equipment. We compute depreciation of tenant improvements using the straight-line method over the lesser of the remaining term of the lease or the estimated useful life.
Net Parent Investment
Net Parent Investment — In the consolidated balance sheets, the net parent investment represents WPC’s historical investment in NLOP prior to the Spin-Off, accumulated net earnings after taxes, and the net effect of transactions between NLOP and WPC.
Stock-Based Compensation
Stock-Based Compensation — We have granted restricted share units (“RSUs”) to the independent trustees on our Board. Grants were awarded in the name of the recipient subject to certain restrictions of transferability and a risk of forfeiture. Stock-based compensation expense for all equity-classified stock-based compensation awards is based on the grant date fair value estimated in accordance with current accounting guidance for share-based payments, which includes awards granted to certain nonemployees. We recognize these compensation costs for only those shares expected to vest on a straight-line basis over the requisite service or performance period of the award. We include stock-based compensation within Additional paid-in capital in the consolidated statements of equity and General and administrative expenses in the consolidated statements of operations.
Foreign Currency Translation and Transaction Gains and Losses
Foreign Currency Translation and Transaction Gains and Losses — During the year ended December 31, 2025, we exited all investments denominated in euros and Norwegian krone, and as a result, we did not own any international real estate investments as of December 31, 2025. During the year ended December 31, 2024, we exited all investments in the United Kingdom, which were denominated in the British pound sterling (Note 12, Note 15). Prior to our exit from international investments, we performed the translation from foreign currencies to the U.S. dollar for assets and liabilities using current exchange rates in effect at the balance sheet date and for revenue and expense accounts using the average exchange rate during the month in which the transaction occurred. We reported the gains and losses resulting from such translation as a component of other comprehensive income in equity. These translation gains and losses were fully reclassified out of foreign currency translation adjustments (within Accumulated other comprehensive loss in the consolidated balance sheets) and released to net income (within (Loss) gain on sale of real estate, net, in the consolidated statements of operations) when we exited from all investments in the related currency (Note 12, Note 15).

A transaction gain or loss (measured from the transaction date or the most recent intervening balance sheet date, whichever is later), realized upon settlement of a foreign currency transaction generally will be included in net income for the period in which the transaction is settled. Also, foreign currency intercompany transactions that are scheduled for settlement, consisting primarily of accrued interest and the translation to the reporting currency of intercompany debt that is short-term or has scheduled principal payments, are included in the determination of net income (within Other gains and (losses) in the consolidated statements of operations).

The translation impact of foreign currency transactions of a long-term nature (that is, settlement is not planned or anticipated in the foreseeable future), in which the entities involved in the transactions are combined, are not included in net income but are reported as a component of other comprehensive income in equity.
Derivative Instruments
Derivative Instruments — We measure derivative instruments at fair value and record them as assets or liabilities, depending on our rights or obligations under the applicable derivative contract. Derivatives that are not designated as hedges must be adjusted to fair value through earnings. For derivatives designated and that qualify as cash flow hedges, the change in fair value of the derivative is recognized in Other comprehensive income (loss) until the hedged transaction affects earnings. Gains and losses on the cash flow hedges representing hedge components excluded from the assessment of effectiveness are recognized in earnings over the life of the hedge on a systematic and rational basis, as documented at hedge inception in accordance with our accounting policy election. Such gains and losses are recorded within Interest expense in our consolidated statements of operations. The earnings recognition of excluded components is presented in the same line item as the hedged transactions. In accordance with fair value measurement guidance, counterparty credit risk is measured on a net portfolio position basis.
Income Taxes
Income Taxes — We conduct business in various states and municipalities within the United States (and formerly in Europe (Note 15)), and as a result, we or one or more of our subsidiaries file income tax returns in the United States federal jurisdiction and various state and foreign jurisdictions. As a REIT, our domestic real estate operations are generally not subject to federal tax. These operations may be subject to certain state and local taxes, as applicable.

Significant judgment is required in determining our tax provision and in evaluating our tax positions. We establish tax reserves based on a benefit recognition model, which could result in a greater amount of benefit (and a lower amount of reserve) being initially recognized in certain circumstances. Provided that the tax position is deemed more likely than not of being sustained, we recognize the largest amount of tax benefit that is greater than 50% likely of being ultimately realized upon settlement. We derecognize the tax position when it is no longer more likely than not of being sustained.

Our earnings and profits, which determine the taxability of distributions to shareholders, differ from net income reported for financial reporting purposes due primarily to differences in depreciation, and timing differences of rent recognition and certain expense deductions, for federal income tax purposes.
We recognize deferred income taxes in certain of our subsidiaries taxable in the United States or in foreign jurisdictions (prior to the disposition of our last international property (Note 15)). Deferred income taxes are generally the result of temporary differences (items that are treated differently for tax purposes than for GAAP purposes as described in Note 14). In addition, deferred tax assets arise from unutilized tax net operating losses, generated in prior years. Deferred income taxes are computed under the asset and liability method. The asset and liability method requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between tax bases and financial bases of assets and liabilities. We provide a valuation allowance against our deferred income tax assets when we believe that it is more likely than not that all or some portion of the deferred income tax asset may not be realized. Whenever a change in circumstances causes a change in the estimated realizability of the related deferred income tax asset, the resulting increase or decrease in the valuation allowance is included in deferred income tax expense (benefit).
Earnings Per Share
Earnings Per Share — Basic earnings per share is calculated by dividing net income available to common shareholders by the weighted-average number of shares of common shares outstanding during the year. Diluted earnings per share reflects potentially dilutive securities (RSUs) using the treasury stock method, except when the effect would be anti-dilutive.

Earnings per share is computed by dividing the net loss for the year by the weighted-average number of common shares outstanding during the period post Spin-Off. For the years ended December 31, 2025, 2024, and 2023, we recognized net loss. Therefore, all potentially dilutive securities were antidilutive and accordingly, basic net loss per share equals diluted net loss per share for the years ended December 31, 2025, 2024, and 2023. The calculation of basic and diluted earnings per share for any of the periods presented prior to the Spin-Off were based on the number of shares outstanding on November 1, 2023. For periods prior to the Spin-Off, it is assumed that there are no dilutive equity instruments as there were no NLOP stock-based awards outstanding prior to the Spin-Off.
Use of Estimates
Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.
Recent Accounting Pronouncements
Recent Accounting Pronouncements

In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures. ASU 2024-03 requires all public business entities to provide additional disclosure of the nature of expenses included in the consolidated statements of operations. ASU 2024-03 is effective for public business entities (including emerging growth companies, since there is not a different transition date for private companies) for annual periods beginning after December 15, 2026 and for interim reporting periods beginning after December 15, 2027, on a prospective basis, with early adoption permitted. The Company is an emerging growth company and is currently evaluating the impact of this standard on its consolidated financial statements.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. ASU 2023-09 requires public companies to annually (i) disclose specific categories in the rate reconciliation disclosure and (ii) provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than five percent of the amount computed by multiplying pre-tax income or loss by the applicable statutory income tax rate). ASU 2023-09 also requires entities to disclose their income tax payments to international, federal, state, and local jurisdictions, among other changes. ASU 2023-09 is effective for entities other than public business entities (including emerging growth companies) for annual periods beginning after December 15, 2025. The Company is an emerging growth company and plans to adopt this standard for the annual period beginning January 1, 2026 on a prospective basis, which is not expected to have a material impact on the Company’s consolidated financial statements.
Goodwill and Intangible Assets, Intangible Assets
We have recorded lease intangibles that are being amortized over periods ranging from two years to 26 years. In-place lease intangibles, at cost are included in In-place lease intangible assets and other in the consolidated financial statements. Above-market rent intangibles, at cost are included in Above-market rent intangible assets in the consolidated financial statements. Accumulated amortization of in-place lease and above-market rent intangibles is included in Accumulated depreciation and amortization in the consolidated financial statements. Below-market rent intangibles are included in Below-market rent intangible liabilities, net in the consolidated financial statements.
Amortization of below-market rent and above-market rent intangibles is recorded as an adjustment to Lease revenues and amortization of in-place lease intangibles is included in Depreciation and amortization.
Fair Value Measurement
The fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including interest rate caps; and Level 3, for securities that do not fall into Level 1 or Level 2 and for which little or no market data exists, therefore requiring us to develop our own assumptions.

Items Measured at Fair Value on a Recurring Basis

The methods and assumptions described below were used to estimate the fair value of each class of financial instrument. For significant Level 3 items, we have also provided the unobservable inputs.

Derivative Assets — Our derivative assets, which were included in Other assets, net in the consolidated financial statements, comprised interest rate caps (Note 9).
The valuation of our derivative instruments is determined using a discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves, spot and forward rates, and implied volatilities. We incorporate credit valuation adjustments to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk in the fair value measurements. In adjusting the fair value of our derivative instruments for the effect of nonperformance risk, we have considered the impact of netting and any applicable credit enhancements, such as collateral postings, thresholds, mutual puts, and guarantees. These derivative instruments were classified as Level 2 as these instruments are custom, over-the-counter contracts with various bank counterparties that are not traded in an active market.
v3.25.4
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Variable Interest Entities The following table presents a summary of selected financial data of the consolidated VIE included in our consolidated balance sheets (in thousands):
December 31,
20252024
Land, buildings and improvements$37,917 $37,917 
In-place lease intangible assets and other9,685 9,685 
Above-market rent intangible assets4,338 4,338 
Accumulated depreciation and amortization(8,863)(6,271)
Total assets44,708 47,197 
Total liabilities$382 $304 
Schedule of Restricted Cash The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to the consolidated statements of cash flows (in thousands):
December 31,
202520242023
Cash and cash equivalents
$119,621 $25,121 $16,269 
Restricted cash (a)
3,011 43,305 51,560 
Total cash and cash equivalents and restricted cash
$122,632 $68,426 $67,829 
__________
(a)Amounts as of December 31, 2024 and 2023 include approximately $41.7 million and $48.4 million, respectively, related to certain reserve requirements pursuant to the NLOP Financing Arrangements (Note 10). In April 2025, we fully repaid the NLOP Mezzanine Loan and are no longer subject to such reserve requirements (Note 10).
Schedule of Cash and Cash Equivalents The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets to the consolidated statements of cash flows (in thousands):
December 31,
202520242023
Cash and cash equivalents
$119,621 $25,121 $16,269 
Restricted cash (a)
3,011 43,305 51,560 
Total cash and cash equivalents and restricted cash
$122,632 $68,426 $67,829 
__________
(a)Amounts as of December 31, 2024 and 2023 include approximately $41.7 million and $48.4 million, respectively, related to certain reserve requirements pursuant to the NLOP Financing Arrangements (Note 10). In April 2025, we fully repaid the NLOP Mezzanine Loan and are no longer subject to such reserve requirements (Note 10).
v3.25.4
Agreements and Transactions with Related Parties (Tables)
 12 Months Ended
Dec. 31, 2025
Related Party Transactions [Abstract]  
Schedule of Related Party Transactions
The following tables present a summary of fees we paid and expenses we reimbursed to our Advisor in accordance with the terms of the NLOP Advisory Agreements (in thousands):
Years Ended December 31,
202520242023
Asset management fees (a)
$4,577 $6,243 $1,245 
Administrative reimbursements (b)
4,000 4,000 667 
$8,577 $10,243 $1,912 
__________
(a)Included within Asset management fees in the consolidated statements of operations.
(b)Included within General and administrative expenses in the consolidated statements of operations.
The following table presents amounts of shared costs that were allocated to NLOP (in thousands):
Year Ended December 31, 2023
General and administrative (a)
$13,610 
Interest expense (b)
17,756 
Total
$31,366 
__________
(a)General and administrative fees are inclusive of expenses such as employee compensation and benefits, stock-based compensation and professional fees.
(b)NLOP’s income statement prior to the Spin-Off includes an allocation of interest expense associated with WPC unsecured debt utilized partially to fund property assets of NLOP.
Schedule of Balances Due to and from Related Party
The following table presents a summary of amounts due to affiliates, which are included within Accounts payable, accrued expenses and other liabilities in the consolidated financial statements (in thousands):
December 31,
20252024
Accounts payable$376 $366 
Asset management fees payable294 469 
$670 $835 
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale (Tables)
 12 Months Ended
Dec. 31, 2025
Real Estate [Abstract]  
Schedule of Land, Buildings and Improvements
Land and buildings leased to others, which are subject to operating leases, and real estate under construction, are summarized as follows (in thousands):
December 31,
20252024
Land$26,946 $94,123 
Buildings and improvements191,853 635,775 
Real estate under construction— 447 
Less: Accumulated depreciation(62,658)(152,067)
$156,141 $578,278 
Schedule of Operating Lease Income
Lease income related to operating leases recognized and included in the consolidated statements of operations is as follows (in thousands):
Years Ended December 31,
202520242023
Lease income — fixed$73,752 $99,263 $135,341 
Lease income — variable (a)
25,510 29,594 30,693 
Total operating lease income$99,262 $128,857 $166,034 
__________
(a)Includes (i) rent increases based on changes in the CPI and other comparable indices and (ii) reimbursements for property taxes, insurance, and common area maintenance services.
Scheduled of Future Minimum Lease Payments to be Received
Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable operating leases at December 31, 2025 are as follows (in thousands): 
Years Ending December 31, Total
2026$47,851 
202747,548 
202841,408 
202934,618 
203021,523 
Thereafter22,497 
Total$215,445 
Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable finance leases at December 31, 2025 are as follows (in thousands):
Years Ending December 31, Total
2026 (a)
$47,726 
2027— 
2028— 
2029— 
2030— 
Thereafter— 
Total$47,726 
__________
(a)Amount comprises the net investments in sales-type leases described above, representing the estimated purchase prices of the investments plus remaining rents. One of these properties was sold in February 2026 (Note 17).
Schedule of Lease Cost
Lease Cost

Lease costs for operating leases (land leases) are included in (i) property expenses, excluding reimbursable tenant costs, and (ii) reimbursable tenant costs in the consolidated statements of operations. Certain information related to the total lease cost for operating leases is as follows (in thousands):
Years Ended December 31,
202520242023
Fixed lease cost
$126 $278 $541 
Variable lease cost
— 24 90 
Total lease cost$126 $302 $631 
Schedule of Supplemental Balance Sheet Information
Supplemental balance sheet information related to ROU assets and lease liabilities is as follows (dollars in thousands):
December 31,
Location on Consolidated Balance Sheets20252024
Operating ROU assets — land leases (a)
In-place lease intangible assets and other$— $1,980 
Operating lease liabilitiesAccounts payable, accrued expenses and other liabilities$178 $259 
Weighted-average remaining lease term — operating leases81.3 years55.9 years
Weighted-average discount rate — operating leases9.4 %9.2 %
Number of land lease arrangements — operating leases (a)
12
Remaining lease term range (excluding extension options not reasonably certain of being exercised)
81 years
<1 – 82 years
__________
(a)Our only land lease arrangement as of December 31, 2025 was at a property classified as held for sale, which was sold in January 2026 (Note 17).
Schedule of Undiscounted Cash Flows - Operating Lease
A reconciliation of the undiscounted cash flows for operating leases recorded on the consolidated balance sheet within Accounts payable, accrued expenses and other liabilities as of December 31, 2025 is as follows (in thousands):
Years Ending December 31, Total
2026$13 
202713 
202814 
202914 
203014 
Thereafter2,571 
Total lease payments2,639 
Less: amount of lease payments representing interest(2,461)
Present value of future lease payments/lease obligations$178 
Schedule of Assets Held for Sale, Net
Below is a summary of our properties held for sale (in thousands):
December 31,
20252024
Land, buildings and improvements
$101,416 $31,066 
In-place lease intangible assets and other80,067 3,891 
Above-market rent intangible assets13,323 1,382 
Accumulated depreciation and amortization(98,537)(7,042)
Assets held for sale, net$96,269 $29,297 
v3.25.4
Finance Receivables (Tables)
 12 Months Ended
Dec. 31, 2025
Receivables [Abstract]  
Schedule of Net Investments in Direct Financing Leases
Net investments in sales-type leases is summarized as follows (in thousands):
December 31,
20252024
Lease payments receivable (a)
$47,726 $— 
47,726 — 
Less: unearned income(1,033)— 
Less: allowance for credit losses (b)
(4,815)— 
$41,878 $— 
__________
(a)Includes estimated purchase price and total rents owed.
(b)During the year ended December 31, 2025, we recorded a net allowance for credit loss of $4.8 million on our net investment in sales-type lease, which was included within Other gains and (losses) in our consolidated statements of operations, reflecting the possibility that the sale is not completed due to unresolved maintenance work at the property.
Scheduled of Future Minimum Lease Payments to be Received
Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable operating leases at December 31, 2025 are as follows (in thousands): 
Years Ending December 31, Total
2026$47,851 
202747,548 
202841,408 
202934,618 
203021,523 
Thereafter22,497 
Total$215,445 
Scheduled future lease payments to be received (exclusive of expenses paid by tenants, percentage of sales rents, and future CPI-based adjustments) under non-cancelable finance leases at December 31, 2025 are as follows (in thousands):
Years Ending December 31, Total
2026 (a)
$47,726 
2027— 
2028— 
2029— 
2030— 
Thereafter— 
Total$47,726 
__________
(a)Amount comprises the net investments in sales-type leases described above, representing the estimated purchase prices of the investments plus remaining rents. One of these properties was sold in February 2026 (Note 17).
Schedule of Finance Receivables Credit Quality Indicators
A summary of our finance receivables by internal credit quality rating, excluding our allowance for credit losses, is as follows (dollars in thousands):
Number of Tenants / Obligors at December 31,Carrying Value at December 31,
Internal Credit Quality Indicator2025202420252024
11—$37,950 $— 
2——— — 
31—8,743 — 
4——— — 
5——— — 
$46,693 $— 
v3.25.4
Goodwill and Other Intangibles (Tables)
 12 Months Ended
Dec. 31, 2025
Goodwill And Intangible Assets Liabilities Disclosure [Abstract]  
Schedule of Goodwill The following table presents a reconciliation of our goodwill (in thousands):
Goodwill
Balance at January 1, 2023
$63,583 
Impairment charges (Note 8)
(62,456)
Foreign currency translation adjustments(1,127)
Balance at December 31, 2023
$— 
Schedule of Intangible Assets and Goodwill
Intangible assets and liabilities are summarized as follows (in thousands):
December 31,
20252024
Gross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Finite-Lived Intangible Assets
In-place lease$45,160 $(33,060)$12,100 $207,988 $(123,040)$84,948 
Above-market rent10,760 (7,208)3,552 30,512 (17,572)12,940 
$55,920 $(40,268)$15,652 $238,500 $(140,612)$97,888 
Finite-Lived Intangible Liabilities
Below-market rent$(4,495)$2,505 $(1,990)$(18,856)$12,551 $(6,305)
Total intangible liabilities$(4,495)$2,505 $(1,990)$(18,856)$12,551 $(6,305)
Schedule of Finite Lived Intangible Assets Future Amortization Expense
Based on the intangible assets and liabilities recorded at December 31, 2025, scheduled annual net amortization of intangibles for each of the next five calendar years and thereafter is as follows (in thousands):
Years Ending December 31,Net Decrease (Increase) in Lease RevenuesIncrease to AmortizationTotal
2026$676 $2,726 $3,402 
2027439 2,291 2,730 
2028377 1,850 2,227 
2029377 1,850 2,227 
2030288 1,651 1,939 
Thereafter(595)1,732 1,137 
Total$1,562 $12,100 $13,662 
v3.25.4
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments
Our material financial instruments had the following carrying values and fair values as of the dates shown (dollars in thousands):
December 31, 2025December 31, 2024
LevelCarrying ValueFair ValueCarrying ValueFair Value
Non-recourse mortgages, net (a) (b) (c)
3$21,900 $21,900 $111,259 $91,642 
NLOP Mezzanine Loan, net (a) (b) (c) (d)
3— — 57,957 61,753 
__________
(a)The carrying value of the NLOP Mezzanine Loan, net (Note 10) includes unamortized deferred financing costs of $1.0 million at December 31, 2024.
(b)The carrying value of Non-recourse mortgages, net includes unamortized premium of $0.4 million at December 31, 2024. The carrying value of the NLOP Mezzanine Loan, net (Note 10) includes unamortized discount of $2.2 million at December 31, 2024.
(c)We determined the estimated fair value of our non-recourse mortgage loans, NLOP Mezzanine Loan, and NLOP Mortgage Loan using a discounted cash flow model that estimates the present value of the future loan payments by discounting such payments at current estimated market interest rates. The estimated market interest rates consider interest rate risk and the value of the underlying collateral, which includes quality of the collateral, the credit quality of the tenant/obligor, and the time until maturity.
(d)In April 2025, we fully repaid the NLOP Mezzanine Loan (Note 10).
Schedule of Fair Value Impairment Charges using Unobservable Inputs Nonrecurring Basis
The following table presents information about assets for which we recorded an impairment charge and that were measured at fair value on a non-recurring basis (classified as Level 3) (in thousands):
Years Ended December 31,
 202520242023
 Fair Value
Measurements		Impairment
Charges		Fair Value
Measurements		Impairment
Charges		Fair Value
Measurements		Impairment
Charges
Impairment Charges
Real estate$180,307 $140,814 $200,316 $78,237 $58,088 $63,143 
Goodwill— — — — — 62,456 
$140,814 $78,237 $125,599 
v3.25.4
Risk Management and Use of Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
The following table sets forth certain information regarding our derivative instruments (in thousands):
Asset Derivatives Fair Value at
Derivatives Not Designated as Hedging InstrumentsBalance Sheet LocationDecember 31, 2025December 31, 2024
Interest rate capOther assets, net$— $10 
Total derivatives$— $10 
Schedule of Derivative Instruments, Effect on other Comprehensive Income (Loss)
The following tables present the impact of our derivative instruments in the consolidated financial statements (in thousands):
Amount of Gain (Loss) Recognized on Derivatives in
Other Comprehensive Income (Loss)
Years Ended December 31,
Derivatives in Cash Flow Hedging Relationships 202520242023
Interest rate cap$— $1,191 $(1,191)
Total$— $1,191 $(1,191)
Amount of Gain (Loss) on Derivatives Reclassified from
Other Comprehensive Income (Loss)
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain (Loss) Recognized in IncomeYears Ended December 31,
202520242023
Interest rate capOther gains and (losses)$— $(951)$— 
Interest rate capInterest expense— (477)(144)
Total$— $(1,428)$(144)
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance
Amount of Gain (Loss) on Derivatives Recognized in Income
Derivatives in Cash Flow Hedging RelationshipsLocation of Gain (Loss) Recognized in IncomeYears Ended December 31,
202520242023
Interest rate capInterest expense$— $(17)$(2)
Derivatives Not in Cash Flow Hedging Relationships
Interest rate capOther gains and (losses)(10)(431)— 
Total$(10)$(448)$(2)
v3.25.4
Debt (Tables)
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Scheduled Debt Principal Payments
Scheduled debt principal payments as of December 31, 2025 are as follows (in thousands):
Years Ending December 31, Total
2026$21,900 
2027— 
2028— 
2029— 
2030— 
Total$21,900 
v3.25.4
Equity (Tables)
 12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Schedule of Distributions Paid Per Share for Tax Our dividends per share are summarized as follows:
Dividends Paid
 During the Years Ended December 31,
 202520242023
Return of capital$7.20 $0.34 $— 
Total dividends paid$7.20 $0.34 $— 
Schedule of Earnings Per Share Reconciliation
The following table summarizes basic and diluted earnings (dollars in thousands):
 Years Ended December 31,
 202520242023
Net loss – basic and diluted$(145,262)$(91,471)$(131,746)
Weighted-average shares outstanding – basic and diluted14,814,075 14,789,514 14,631,265 
Schedule of Reclassification Out of Accumulated Other Comprehensive Income
The following tables present a reconciliation of changes in Accumulated other comprehensive loss by component for the periods presented (in thousands):
Gains and (Losses) on Derivative InstrumentsForeign Currency Translation AdjustmentsTotal
Balance at January 1, 2023
$— $(42,464)$(42,464)
Other comprehensive income before reclassifications(1,335)8,055 6,720 
Amounts reclassified from accumulated other comprehensive loss to:
Interest expense144 — 144 
Total144 — 144 
Net current period other comprehensive income(1,191)8,055 6,864 
Balance at December 31, 2023(1,191)(34,409)(35,600)
Other comprehensive loss before reclassifications(237)(1,433)(1,670)
Amounts reclassified from accumulated other comprehensive loss to:
Other gains and (losses)951 — 951 
Interest expense477 — 477 
Gain on sale of real estate, net (Note 15)
— (4,315)(4,315)
Total1,428 (4,315)(2,887)
Net current period other comprehensive loss1,191 (5,748)(4,557)
Balance at December 31, 2024— (40,157)(40,157)
Other comprehensive loss before reclassifications— (1,473)(1,473)
Amounts reclassified from accumulated other comprehensive loss to:
Loss on sale of real estate, net (Note 15)
— 41,630 41,630 
Total— 41,630 41,630 
Net current period other comprehensive income— 40,157 40,157 
Balance at December 31, 2025$— $— $— 
v3.25.4
Stock-Based and Other Compensation (Tables)
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Restricted and Conditional Award Activity
Nonvested RSUs at December 31, 2025 and changes during the period from November 1, 2023 to December 31, 2023 and the year ended December 31, 2024 were as follows (there was no activity during the year ended December 31, 2025):
RSU Awards
SharesWeighted-Average Grant Date Fair Value
Balance at November 1, 2023— $— 
Granted (a)
28,653 10.47 
Nonvested at December 31, 2023
28,653 10.47 
Vested (b)
(28,653)10.47 
Nonvested at December 31, 2024
— $— 
__________
(a)The grant date fair value of RSUs reflect our share price on the date of grant on a one-for-one basis.
(b)The grant date fair value of shares vested during the year ended December 31, 2024 was $0.3 million.
v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense (Benefit)
The components of our provision for (benefit from) income taxes for the periods presented are as follows (in thousands):
Years Ended December 31,
202520242023
Federal
Current$3 $11 $58 
3 11 58 
State and Local
Current26 242 357 
26 242 357 
Foreign
Current129 636 1,211 
Deferred— (3,271)(1,201)
129 (2,635)10 
Total Provision for (Benefit from) Income Taxes$158 $(2,382)$425 
Schedule of Effective Income Tax Rate Reconciliation
A reconciliation of effective income tax for the periods presented is as follows (in thousands):
Years Ended December 31,
202520242023
Pre-tax loss attributable to taxable subsidiaries$(13,581)$(58,474)$(32,176)
Federal provision at statutory tax rate (21%)
$(2,852)$(12,280)$(6,757)
Change in valuation allowance2,931 10,592 3,179 
Non-deductible expense63 5 1 
Rate differential(45)(494)(63)
State and local taxes, net of federal benefit29 (36)(30)
Election of TRS Status (a)
— — 4,615 
Other32 (169)(520)
Total Provision for (Benefit from) Income Taxes$158 $(2,382)$425 
__________
(a)Represents deferred taxes recorded as a result of our taxable REIT subsidiary (“TRS”) status election for certain of our domestic real estate properties.
Schedule of Deferred Tax Assets and Liabilities
Deferred income taxes at December 31, 2025 and 2024 consist of the following (in thousands):
 December 31,
20252024
Deferred Tax Assets  
Net operating loss and other tax credit carryforwards$7,706 $872 
Basis differences — foreign investments— 1,432 
Other771 5,262 
Total deferred tax assets8,477 7,566 
Valuation allowance(8,477)(7,566)
Net Deferred Tax Assets$— $— 
v3.25.4
Segment Information (Tables)
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Revenue from External Customers by Geographic Areas The following tables present geographic information (in thousands):
Years Ended December 31,
202520242023
Revenues
Domestic$115,808 $133,663 $159,808 
International3,107 8,584 15,157 
Total$118,915 $142,247 $174,965 
Schedule of Long-Lived Assets by Geographic Areas
 December 31,
 20252024
Long-lived Assets (a)
Domestic$309,940 $677,933 
International (b)
— 29,510 
Total$309,940 $707,443 
__________
(a)Consists of Net investments in real estate.
(b)We sold two international properties during the year ended December 31, 2025 and have no international properties remaining (Note 5, Note 15).
v3.25.4
Business and Organization (Details)
ft² in Millions
 12 Months Ended
Dec. 31, 2025
ft²
tenant
segment
property
Nov. 01, 2023
property
Real Estate Properties    
Number of real estate properties (property) | property 24  
Spin-Off, stock dividend rate   0.0667
Number of tenants | tenant 26  
Area of real estate property | ft² 3.9  
Number of business segments | segment 1  
Office | Disposal Group, Disposed of by Means Other than Sale, Not Discontinued Operations, Spinoff | Net Lease Office Properties    
Real Estate Properties    
Number of real estate properties (property) | property   59
Parking Garage    
Real Estate Properties    
Area of real estate property | ft² 0.6  
Operating lease term (in years) 3 years 10 months 24 days  
v3.25.4
Summary of Significant Accounting Policies - Narrative (Details) - vie
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Basis of Consolidation    
Number of entities 1 1
Buildings and improvements | Maximum    
Basis of Consolidation    
Property, plant and equipment, useful life (in years) 40 years  
Furniture and Fixtures | Maximum    
Basis of Consolidation    
Property, plant and equipment, useful life (in years) 40 years  
Equipment | Maximum    
Basis of Consolidation    
Property, plant and equipment, useful life (in years) 40 years  
v3.25.4
Summary of Significant Accounting Policies - Schedule of Variable Interest Entities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Variable Interest Entity    
Land, buildings and improvements $ 218,799 $ 730,345
In-place lease intangible assets and other 45,160 209,968
Above-market rent intangible assets 10,760 30,512
Accumulated depreciation and amortization (102,926) (292,679)
Total assets [1] 453,371 805,069
Total liabilities [1] 155,546 219,666
Variable Interest Entity    
Variable Interest Entity    
Land, buildings and improvements 37,917 37,917
In-place lease intangible assets and other 9,685 9,685
Above-market rent intangible assets 4,338 4,338
Accumulated depreciation and amortization (8,863) (6,271)
Total assets 44,708 47,197
Total liabilities $ 382 $ 304
[1] See Note 3 for details related to variable interest entities (“VIEs”).
v3.25.4
Summary of Significant Accounting Policies - Schedule of Cash and Restricted Cash (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]        
Cash and cash equivalents $ 119,621 $ 25,121 $ 16,269  
Restricted cash 3,011 43,305 51,560  
Total cash and cash equivalents and restricted cash $ 122,632 68,426 67,829 $ 5,998
Debt covenant, cash requirements   $ 41,700 $ 48,400  
v3.25.4
Agreements and Transactions with Related Parties - Narrative (Details)
 12 Months Ended
Nov. 01, 2023
USD ($)
Sep. 20, 2023
USD ($)
Dec. 31, 2025
USD ($)
investment
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Related Party Transaction          
Distributions to WPC in connection with the Spin-Off   $ 343,900,000 $ 0 $ 0 $ 343,885,000
Real estate insurance     $ 3,200,000    
Number of jointly owned investments | investment     1    
Advisor          
Related Party Transaction          
Real estate insurance     $ 700,000    
Financing Arrangement | Senior Loans          
Related Party Transaction          
Principal amount   $ 455,000,000      
Related Party          
Related Party Transaction          
Asset management fees, annual expense $ 7,500,000        
Administrative fees, annual expense rate $ 4,000,000.0        
v3.25.4
Agreements and Transactions with Related Parties - Schedule of Related Party Income (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Related Party Transaction      
Transactions with related party $ 8,577 $ 10,243 $ 1,912
Asset management fees      
Related Party Transaction      
Transactions with related party 4,577 6,243 1,245
Administrative reimbursement      
Related Party Transaction      
Transactions with related party $ 4,000 $ 4,000 $ 667
v3.25.4
Agreements and Transactions with Related Parties - Schedule of Due from Affiliates (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Related Party Transaction    
Due from affiliates $ 56,104 $ 44,145
Related Party    
Related Party Transaction    
Accounts payable 376 366
Asset management fees payable 294 469
Due from affiliates $ 670 $ 835
v3.25.4
Agreements and Transactions with Related Parties - Schedule of Costs Allocated to NLOP (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Related Party Transaction      
General and administrative $ 7,309 $ 7,502 $ 13,610
Interest expense $ 12,739 $ 67,962 42,613
Related Party      
Related Party Transaction      
General and administrative     13,610
Interest expense     17,756
Total     $ 31,366
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Land, Buildings and Improvements (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Real Estate Investment Property At Cost    
Less: Accumulated depreciation $ (62,658) $ (152,067)
Net property subject to operating lease 156,141 578,278
Land    
Real Estate Investment Property At Cost    
Gross property subject to operating lease 26,946 94,123
Buildings and improvements    
Real Estate Investment Property At Cost    
Gross property subject to operating lease 191,853 635,775
Real estate under construction    
Real Estate Investment Property At Cost    
Gross property subject to operating lease $ 0 $ 447
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Narrative (Details)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2025
USD ($)
property
Dec. 31, 2025
USD ($)
property
Dec. 31, 2024
USD ($)
property
Dec. 31, 2023
USD ($)
property
Real Estate Properties        
Impairment charges — real estate   $ 140,814 $ 78,237 $ 63,143
Depreciation   $ 14,900 $ 23,600 31,200
Number of properties sold (property) | property   4 5  
Capitalized construction cost   $ 800    
Cost of assets placed into service   1,300    
Lease termination income   15,800 $ 9,400 4,400
Other income   1,800 2,000 1,800
Cash paid for operating lease liabilities   $ 100 300 500
Number of properties (property) | property 24 24    
Assets held for sale, net $ 96,269 $ 96,269 29,297  
Land, buildings and improvements 218,799 218,799 730,345  
In-place lease intangible assets and other 45,160 45,160 209,968  
Above-market rent intangible assets 10,760 10,760 30,512  
Accumulated depreciation 102,926 102,926 292,679  
(Loss) gain on sale of real estate, net   (29,006) $ 20,216 $ (3,608)
Adjustment        
Real Estate Properties        
In-place lease intangible assets and other 3,900 3,900    
Above-market rent intangible assets 1,400 1,400    
Accumulated depreciation 5,300 5,300    
(Loss) gain on sale of real estate, net   (3,400)    
Land, buildings and improvements | Adjustment        
Real Estate Properties        
Assets held for sale (25,900) (25,900)    
Land, buildings and improvements 25,900 $ 25,900    
Discontinued Operations, Disposed of by Sale        
Real Estate Properties        
Number of properties sold (property) | property   14 14 4
(Loss) gain on sale of real estate, net   $ (10,500) $ 22,500 $ 4,700
Discontinued Operations, Disposed of by Sale | Land, buildings and improvements        
Real Estate Properties        
Number of properties sold (property) | property   15    
Increase (decrease) in carrying value of real estate   $ 214,800    
Discontinued Operations, Held-for-sale        
Real Estate Properties        
Impairment charges — real estate $ 3,200      
Number of properties (property) | property 4 4 1  
Assets held for sale, net $ 96,300 $ 96,300 $ 29,300  
Two Impaired Properties        
Real Estate Properties        
Number of properties sold (property) | property   2    
Increase (decrease) in carrying value of real estate   $ 31,800    
Oak Creek, Wisconsin        
Real Estate Properties        
Lease termination income   $ 13,000    
Nine Impaired Properties        
Real Estate Properties        
Impaired properties | property   9    
Impairment charges — real estate   $ 134,800    
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Operating Lease Income (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Real Estate [Abstract]      
Lease income — fixed $ 73,752 $ 99,263 $ 135,341
Lease income — variable 25,510 29,594 30,693
Total operating lease income $ 99,262 $ 128,857 $ 166,034
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Future Minimum Lease Payments to be Received (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Scheduled Future Lease Payments to be Received  
2026 $ 47,851
2027 47,548
2028 41,408
2029 34,618
2030 21,523
Thereafter 22,497
Total $ 215,445
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Lease Cost (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Real Estate [Abstract]      
Fixed lease cost $ 126 $ 278 $ 541
Variable lease cost 0 24 90
Total lease cost $ 126 $ 302 $ 631
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Supplemental Balance Sheet Information (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
lease
Dec. 31, 2024
USD ($)
lease
Lessee, Lease, Description    
Operating lease liabilities $ 178 $ 259
Weighted-average remaining lease term — operating leases 81 years 3 months 18 days 55 years 10 months 24 days
Weighted-average discount rate — operating leases 9.40% 9.20%
Operating lease contract term (in years) 81 years  
Operating Lease, Liability, Statement of Financial Position Flag Accounts Payable and Accrued Liabilities Accounts Payable and Accrued Liabilities
Minimum    
Lessee, Lease, Description    
Operating lease contract term (in years)   1 year
Maximum    
Lessee, Lease, Description    
Operating lease contract term (in years)   82 years
Land    
Lessee, Lease, Description    
Operating ROU assets — land leases $ 0 $ 1,980
Number of land lease arrangements — operating leases | lease 1 2
Operating Lease, Right-of-Use Asset, Statement of Financial Position Flag In-place lease intangible assets and other In-place lease intangible assets and other
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Undiscounted Cash Flows - Operating Lease (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Lessee, Operating Lease, Liability, Payment, Due    
2026 $ 13  
2027 13  
2028 14  
2029 14  
2030 14  
Thereafter 2,571  
Total lease payments 2,639  
Less: amount of lease payments representing interest (2,461)  
Present value of future lease payments/lease obligations $ 178 $ 259
v3.25.4
Land, Buildings and Improvements, and Assets Held for Sale - Schedule of Assets Held for Sale, Net (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Long Lived Assets Held-for-sale    
Accumulated depreciation and amortization $ (98,537) $ (7,042)
Assets held for sale, net 96,269 29,297
Discontinued Operations, Held-for-sale    
Long Lived Assets Held-for-sale    
Assets held for sale, net 96,300 29,300
In-place lease intangible assets and other    
Long Lived Assets Held-for-sale    
Assets Held-for-sale, gross 80,067 3,891
Above-market rent intangible assets    
Long Lived Assets Held-for-sale    
Assets Held-for-sale, gross 13,323 1,382
Land, buildings and improvements    
Long Lived Assets Held-for-sale    
Assets Held-for-sale, gross $ 101,416 $ 31,066
v3.25.4
Finance Receivables - Narrative (Details)
$ in Thousands
 1 Months Ended 12 Months Ended
Dec. 31, 2025
USD ($)
Oct. 31, 2025
USD ($)
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
property
Financing Receivable          
(Loss) gain on sale of real estate, net     $ (29,006) $ 20,216 $ (3,608)
Land, buildings and improvements $ 218,799   218,799 730,345  
In-place lease intangible assets and other 45,160   45,160 209,968  
Below-market rent intangible liabilities, net 1,990   1,990 6,305  
Other assets, net 20,799   20,799 29,200  
Accumulated depreciation and amortization (102,926)   (102,926) (292,679)  
Sales-type lease, revenue     600 $ 100 $ 100
Number of properties reclassified (property) | property         4
Interest income from direct financing leases         $ 1,200
Adjustment          
Financing Receivable          
(Loss) gain on sale of real estate, net     (3,400)    
In-place lease intangible assets and other 3,900   3,900    
Accumulated depreciation and amortization (5,300)   (5,300)    
Land, buildings and improvements         14,600
Net investments in direct financing leases         14,600
Property Located in the United Kingdom          
Financing Receivable          
(Loss) gain on sale of real estate, net         $ (8,300)
Properties Located In Dallas, Texas          
Financing Receivable          
(Loss) gain on sale of real estate, net     5,400    
Reclassification of net-lease assets to net investments   $ 38,000      
Unrealized gain on sales of property 2,100   2,100    
Properties Located In Dallas, Texas | Adjustment          
Financing Receivable          
Land, buildings and improvements   (31,700)      
In-place lease intangible assets and other   (7,500)      
Below-market rent intangible liabilities, net   300      
Accumulated depreciation and amortization   $ 8,400      
Properties Located In Raleigh, North Carolina          
Financing Receivable          
(Loss) gain on sale of real estate, net     5,500    
Reclassification of net-lease assets to net investments 8,700        
Unrealized gain on sales of property 200   200    
Properties Located In Raleigh, North Carolina | Adjustment          
Financing Receivable          
Land, buildings and improvements (3,700)   (3,700)    
Other assets, net (700)   (700)    
Accumulated depreciation and amortization $ 1,400   $ 1,400    
v3.25.4
Finance Receivables - Schedule of Net Investments in Direct Financing Lease (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Receivables [Abstract]    
Lease payments receivable $ 47,726 $ 0
Lease payments receivable including unearned income 47,726 0
Less: unearned income (1,033) 0
Less: allowance for credit losses (4,815) 0
Net receivables (difference between undiscounted cash flows and discounted cash flows) $ 41,878 $ 0
v3.25.4
Finance Receivables - Scheduled Future Minimum Rents (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Sales-type and Direct Financing Leases, Lease Receivable, Fiscal Year Maturity  
2026 $ 47,726
2027 0
2028 0
2029 0
2030 0
Thereafter 0
Total $ 47,726
v3.25.4
Finance Receivables - Internal Credit Quality Rating (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
tenant
Dec. 31, 2024
USD ($)
tenant
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 26  
Net investments in direct financing leases | $ $ 46,693 $ 0
Internally Assigned Grade1    
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 1 0
Net investments in direct financing leases | $ $ 37,950 $ 0
Internally Assigned Grade 2    
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 0 0
Net investments in direct financing leases | $ $ 0 $ 0
Internally Assigned Grade 3    
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 1 0
Net investments in direct financing leases | $ $ 8,743 $ 0
Internally Assigned Grade 4    
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 0 0
Net investments in direct financing leases | $ $ 0 $ 0
Internally Assigned Grade 5    
Credit Quality Of Finance Receivables    
Number of tenants (tenant) | tenant 0 0
Net investments in direct financing leases | $ $ 0 $ 0
v3.25.4
Goodwill and Other Intangibles - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Finite-Lived Intangible Assets, Net      
Impairment charges — goodwill $ 0 $ 0 $ 62,456
Amortization of intangible assets $ 21,500 $ 35,400 $ 47,700
Minimum      
Finite-Lived Intangible Assets, Net      
Finite lived intangible assets useful life (in years) 2 years    
Maximum      
Finite-Lived Intangible Assets, Net      
Finite lived intangible assets useful life (in years) 26 years    
v3.25.4
Goodwill and Other Intangibles - Schedule of Goodwill Rollforward (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Goodwill      
Balance - beginning of period   $ 0 $ 63,583
Impairment charges (Note 8) $ 0 $ 0 (62,456)
Foreign currency translation adjustments     (1,127)
Balance - end of period     $ 0
v3.25.4
Goodwill and Other Intangibles - Schedule of Intangible Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets    
Gross Carrying Amount $ 55,920 $ 238,500
Accumulated Amortization (40,268) (140,612)
Net Carrying Amount 15,652 97,888
Finite-Lived Intangible Liabilities    
Gross Carrying Amount (4,495) (18,856)
Accumulated Amortization 2,505 12,551
Net Carrying Amount (1,990) (6,305)
Below-market rent    
Finite-Lived Intangible Liabilities    
Gross Carrying Amount (4,495) (18,856)
Accumulated Amortization 2,505 12,551
Net Carrying Amount (1,990) (6,305)
In-place lease    
Finite-Lived Intangible Assets    
Gross Carrying Amount 45,160 207,988
Accumulated Amortization (33,060) (123,040)
Net Carrying Amount 12,100 84,948
Above-market rent    
Finite-Lived Intangible Assets    
Gross Carrying Amount 10,760 30,512
Accumulated Amortization (7,208) (17,572)
Net Carrying Amount $ 3,552 $ 12,940
v3.25.4
Goodwill and Other Intangibles - Schedule of Annual Net Amortization (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Net  
2026 $ 3,402
2027 2,730
2028 2,227
2029 2,227
2030 1,939
Thereafter 1,137
Total 13,662
Net Decrease (Increase) in Lease Revenues  
Net  
2026 676
2027 439
2028 377
2029 377
2030 288
Thereafter (595)
Total 1,562
Increase to Amortization  
Net  
2026 2,726
2027 2,291
2028 1,850
2029 1,850
2030 1,651
Thereafter 1,732
Total $ 12,100
v3.25.4
Fair Value Measurements - Schedule of Carrying Value and Fair Value Measurements (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Non-recourse mortgages, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Unamortized discount (premium)   $ (400)
Loans Payable | NLOP Mezzanine Loan, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Unamortized deferred financing costs   1,000
Unamortized discount (premium)   2,200
Carrying Value | Level 3 | Non-recourse mortgages, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Debt instrument, fair value $ 21,900 111,259
Carrying Value | Level 3 | NLOP Mezzanine Loan, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Debt instrument, fair value 0 57,957
Fair Value | Level 3 | Non-recourse mortgages, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Debt instrument, fair value 21,900 91,642
Fair Value | Level 3 | NLOP Mezzanine Loan, net    
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]    
Debt instrument, fair value $ 0 $ 61,753
v3.25.4
Fair Value Measurements - Schedule of Impairment of Assets Measured on a Non-Recurring Basis (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Impairment Disclosure      
Impairment charges — real estate $ 140,814 $ 78,237 $ 63,143
Impairment charges — goodwill 0 0 62,456
Level 3      
Impairment Disclosure      
Impairment charges — real estate 140,814 78,237 63,143
Impairment charges — goodwill 0 0 62,456
Asset Impairment Charges 140,814 78,237 125,599
Level 3 | Real estate      
Impairment Disclosure      
Fair Value Measurements 180,307 200,316 58,088
Level 3 | Goodwill      
Impairment Disclosure      
Fair Value Measurements $ 0 $ 0 $ 0
v3.25.4
Fair Value Measurements - Narrative (Details)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2025
USD ($)
property
$ / ft²
Dec. 31, 2025
USD ($)
property
$ / ft²
Dec. 31, 2024
USD ($)
property
kr / kronePerSquareFoot
$ / ft²
Dec. 31, 2023
USD ($)
property
$ / ft²
Jun. 30, 2025
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges — real estate   $ 140,814 $ 78,237 $ 63,143  
Number of properties sold (property) | property   4 5    
Number of properties (property) | property 24 24      
Impairment charges — goodwill   $ 0 $ 0 62,456  
Discontinued Operations, Held-for-sale          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges — real estate $ 3,200        
Number of properties (property) | property 4 4 1    
Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges — real estate   $ 140,814 $ 78,237 63,143  
Impairment charges — goodwill   0 0 62,456  
Level 3 | Goodwill          
Fair Value Measurement Inputs and Valuation Techniques          
Total fair value measurements $ 0 0 0 0  
One Impaired Property | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges   $ 81,600      
One Impaired Property | Level 3 | Real estate | Measurement Input, Future Sales Value Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)         0.100
One Impaired Property | Level 3 | Real estate | Measurement Input, Investor Return Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.150 0.150      
One Impaired Property | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)         0.100
Warrenville, Illinois Property | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges   $ 14,600      
Warrenville, Illinois Property | Level 3 | Real estate          
Fair Value Measurement Inputs and Valuation Techniques          
Property residual value per square foot (usd per sqft) | $ / ft² 35.90 35.90      
Warrenville, Illinois Property | Level 3 | Real estate | Measurement Input, Future Sales Value Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.080 0.080      
Warrenville, Illinois Property | Level 3 | Real estate | Measurement Input, Market Rents          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft² 14 14      
Warrenville, Illinois Property | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.070 0.070      
Warrenville, Illinois Property | Level 3 | Real estate | Measurement Input, Terminal Capitalization Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.085 0.085      
Woodlands, Texas Property | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges   $ 10,600      
Woodlands, Texas Property | Level 3 | Real estate | Measurement Input, Future Sales Value Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.110 0.110      
Woodlands, Texas Property | Level 3 | Real estate | Measurement Input, Market Rents          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft² 20 20      
Woodlands, Texas Property | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.080 0.080      
Woodlands, Texas Property | Level 3 | Real estate | Measurement Input, Terminal Capitalization Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent) 0.085 0.085      
Six Properties | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges — real estate   $ 30,800      
Impaired properties | property   6      
Five Properties | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impaired properties | property   5      
One Property | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impaired properties | property   1      
Nine Properties | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges — real estate     $ 47,700    
Impaired properties | property     9    
Three Properties | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges       $ 32,700  
Impairment charges — real estate     $ 30,600    
Impaired properties | property     3    
Number of properties (property) | property       3  
Impaired Property One | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges     $ 17,100    
Impaired Property One | Level 3 | Real estate          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | kr / kronePerSquareFoot     200    
Impaired Property One | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.080    
Impaired Property One | Level 3 | Real estate | Measurement Input, Terminal Capitalization Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.100    
Impaired Property One | Level 3 | Real estate | Measurement Input, Residual Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.100    
Impaired Property Two | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges     $ 12,200    
Impaired Property Two | Level 3 | Real estate | Minimum          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft²     7    
Impaired Property Two | Level 3 | Real estate | Maximum          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft²     15    
Impaired Property Two | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.140    
Impaired Property Two | Level 3 | Real estate | Measurement Input, Terminal Capitalization Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.090    
Impaired Property Three | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges     $ 1,200    
Impaired Property Three | Level 3 | Real estate          
Fair Value Measurement Inputs and Valuation Techniques          
Estimated base rent collection     600    
Impaired Property Three | Level 3 | Real estate | Minimum          
Fair Value Measurement Inputs and Valuation Techniques          
Comparable vacant sale prices (per acre)     300    
Impaired Property Three | Level 3 | Real estate | Maximum          
Fair Value Measurement Inputs and Valuation Techniques          
Comparable vacant sale prices (per acre)     $ 700    
Impaired Property Three | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)     0.090    
Impaired Property Four | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges       $ 29,300  
Impaired Property Four | Level 3 | Real estate | Minimum          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft²       23  
Impaired Property Four | Level 3 | Real estate | Maximum          
Fair Value Measurement Inputs and Valuation Techniques          
Market rent (usd per sqft) | $ / ft²       31  
Impaired Property Four | Level 3 | Real estate | Measurement Input, Cashflow Discount Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)       0.093  
Impaired Property Four | Level 3 | Real estate | Measurement Input, Terminal Capitalization Rate          
Fair Value Measurement Inputs and Valuation Techniques          
Real estate measurement input (percent)       0.083  
Property With a Leasehold Adjustment | Level 3          
Fair Value Measurement Inputs and Valuation Techniques          
Impairment charges       $ 1,100  
v3.25.4
Risk Management and Use of Derivative Financial Instruments - Narrative (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]    
Cash collateral $ 0 $ 0
v3.25.4
Risk Management and Use of Derivative Financial Instruments - Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Derivatives, Fair Value    
Derivative assets, fair value $ 0 $ 10
Derivatives Not Designated as Hedging Instruments | Interest rate cap | Other assets, net    
Derivatives, Fair Value    
Derivative assets, fair value $ 0 $ 10
v3.25.4
Risk Management and Use of Derivative Financial Instruments - Schedule of Derivative Gain Loss Recognized in OCI (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Derivative Instruments, Gain (Loss)      
Amount of Gain (Loss) Recognized on Derivatives in Other Comprehensive Income (Loss) $ 0 $ 1,191 $ (1,191)
NLOP Predecessor      
Derivative Instruments, Gain (Loss)      
Amount of Gain (Loss) Recognized on Derivatives in Other Comprehensive Income (Loss)     (1,191)
Cash Flow Hedging | Interest rate cap      
Derivative Instruments, Gain (Loss)      
Amount of Gain (Loss) Recognized on Derivatives in Other Comprehensive Income (Loss) $ 0 $ 1,191  
Cash Flow Hedging | Interest rate cap | NLOP Predecessor      
Derivative Instruments, Gain (Loss)      
Amount of Gain (Loss) Recognized on Derivatives in Other Comprehensive Income (Loss)     $ (1,191)
v3.25.4
Risk Management and Use of Derivative Financial Instruments - Schedule of Derivative Gain Loss Reclassified From OCI (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive (Loss) Income (Effective Portion)      
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive Income (Loss) $ 0 $ (1,428) $ (144)
Cash Flow Hedging | Interest rate cap | Other gains and (losses)      
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive (Loss) Income (Effective Portion)      
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive Income (Loss) 0 (951) 0
Cash Flow Hedging | Interest rate cap | Interest expense      
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive (Loss) Income (Effective Portion)      
Amount of Gain (Loss) on Derivatives Reclassified from Other Comprehensive Income (Loss) $ 0 $ (477) $ (144)
v3.25.4
Risk Management and Use of Derivative Financial Instruments - Schedule of Derivative Gain Loss Recognized in Income (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net [Abstract]      
Total $ (10) $ (448) $ (2)
Derivatives in Cash Flow Hedging Relationships | Interest rate cap | Interest expense      
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net [Abstract]      
Amount of Gain (Loss) on Derivatives Recognized in Income 0 (17) (2)
Derivatives Not in Cash Flow Hedging Relationships | Interest rate cap | Other gains and (losses)      
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net [Abstract]      
Amount of Gain (Loss) on Derivatives Recognized in Income $ (10) $ (431) $ 0
v3.25.4
Debt - Narrative (Details)
 12 Months Ended
Sep. 20, 2023
USD ($)
option
Dec. 31, 2025
USD ($)
loan
property
Dec. 31, 2024
USD ($)
loan
Dec. 31, 2023
USD ($)
Line of Credit Facility        
Debt instrument, extension term 1 year      
Distributions to WPC in connection with the Spin-Off $ 343,900,000 $ 0 $ 0 $ 343,885,000
Repayments of long term debt   $ 111,480,000 366,596,000 63,704,000
Number of properties (property) | property   24    
Interest paid   $ 9,200,000 41,300,000 39,300,000
NLOP Mortgage Loan | Loans Payable        
Line of Credit Facility        
Principal amount $ 335,000,000.0      
Number of extension option | option 2      
Repayments of long term debt   288,900,000    
NLOP Mezzanine Loan, net | Loans Payable        
Line of Credit Facility        
Principal amount $ 120,000,000.0      
Principal outstanding     61,100,000  
Non-recourse mortgages, net        
Line of Credit Facility        
Repayments of long term debt   $ 49,800,000 $ 20,800,000 2,900,000
Number of properties (property) | property   1    
Debt instrument weighted average interest rate (as a percent)   7.00%    
Number of non-recourse mortgage loans | loan   4 2  
Gain (loss) on extinguishment of debt   $ (100,000) $ (300,000) $ 100,000
Weighted-average interest rate on respective dates of prepayment and repayment (as a percent)   7.50% 5.20% 5.20%
Repayments of secured debt       $ 300,000
v3.25.4
Debt - Scheduled Debt Principal Payments (Details)
$ in Thousands
Dec. 31, 2025
USD ($)
Long-term Debt, by Maturity  
2026 $ 21,900
2027 0
2028 0
2029 0
2030 0
Total $ 21,900
v3.25.4
Equity - Distributions (Details) - $ / shares
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Equity [Abstract]      
Return of capital (usd per share) $ 7.20 $ 0.34 $ 0
Total dividends paid (usd per share) $ 7.20 $ 0.34 $ 0
v3.25.4
Equity - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
 1 Months Ended 3 Months Ended 12 Months Ended
Jan. 20, 2026
Dec. 19, 2025
Sep. 03, 2025
Jan. 31, 2026
Dec. 31, 2025
Dec. 31, 2025
Sep. 30, 2025
Dec. 31, 2023
Dec. 31, 2025
Dividends Payable                  
Distributions declared per share (in dollars per share)             $ 3.10 $ 0.34 $ 12.30
Shares issued in share dividend (in shares)               164,199  
Dividends paid   $ 60.7 $ 45.9         $ 1.1  
Subsequent Event                  
Dividends Payable                  
Distributions declared per share (in dollars per share)       $ 6.75          
Dividends paid $ 75.6                
Distribution One                  
Dividends Payable                  
Distributions declared per share (in dollars per share)           $ 4.10      
Distribution Two                  
Dividends Payable                  
Distributions declared per share (in dollars per share)         $ 5.10        
v3.25.4
Equity - Schedule of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Equity [Abstract]      
Net (loss) income — basic $ (145,262) $ (91,471) $ (131,746)
Net (loss) income — diluted $ (145,262) $ (91,471) $ (131,746)
Weighted-average shares outstanding — basic (in shares) 14,814,075 14,789,514 14,631,265
Weighted-average shares outstanding — diluted (in shares) 14,814,075 14,789,514 14,631,265
v3.25.4
Equity - Schedule of Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax      
Balance - beginning of period $ 585,403 $ 681,430 $ 1,109,519
Other comprehensive (loss) income before reclassifications (1,473) (1,670) 6,720
Amounts reclassified from accumulated other comprehensive loss to:      
Other gains and (losses) (2,557) (2,154) 456
Interest expense 12,739 67,962 42,613
Gain (Loss ) on sale of real estate, net (29,006) 20,216 (3,608)
Total 41,630 (2,887) 144
Net current period other comprehensive income 40,157 (4,557) 6,864
Balance - end of period 297,825 585,403 681,430
Amounts reclassified from accumulated other comprehensive loss to      
Amounts reclassified from accumulated other comprehensive loss to:      
Other gains and (losses)   951  
Interest expense   477 144
Gain (Loss ) on sale of real estate, net 41,630 (4,315)  
Accumulated Other Comprehensive Loss      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax      
Balance - beginning of period (40,157) (35,600) (42,464)
Amounts reclassified from accumulated other comprehensive loss to:      
Balance - end of period 0 (40,157) (35,600)
Gains and (Losses) on Derivative Instruments      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax      
Balance - beginning of period 0 (1,191) 0
Other comprehensive (loss) income before reclassifications 0 (237) (1,335)
Amounts reclassified from accumulated other comprehensive loss to:      
Total 0 1,428 144
Net current period other comprehensive income 0 1,191 (1,191)
Balance - end of period 0 0 (1,191)
Gains and (Losses) on Derivative Instruments | Amounts reclassified from accumulated other comprehensive loss to      
Amounts reclassified from accumulated other comprehensive loss to:      
Other gains and (losses)   951  
Interest expense   477 144
Gain (Loss ) on sale of real estate, net 0 0  
Foreign Currency Translation Adjustments      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax      
Balance - beginning of period (40,157) (34,409) (42,464)
Other comprehensive (loss) income before reclassifications (1,473) (1,433) 8,055
Amounts reclassified from accumulated other comprehensive loss to:      
Total 41,630 (4,315) 0
Net current period other comprehensive income 40,157 (5,748) 8,055
Balance - end of period 0 (40,157) (34,409)
Foreign Currency Translation Adjustments | Amounts reclassified from accumulated other comprehensive loss to      
Amounts reclassified from accumulated other comprehensive loss to:      
Other gains and (losses)   0  
Interest expense   0 $ 0
Gain (Loss ) on sale of real estate, net $ 41,630 $ (4,315)  
v3.25.4
Stock-Based and Other Compensation - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Stock-based compensation expense $ 0 $ 250 $ 2,904
2023 Incentive Awards Plan      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Shares authorized for grant (in shares) 750,000    
Shares available for grant (in shares) 720,939    
2023 Incentive Awards Plan | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Shares authorized for grant (in shares) 1,500,000    
v3.25.4
Stock-Based and Other Compensation - Schedule of Restricted and Conditional Award Activity (Details) - RSU Awards
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2024
USD ($)
$ / shares
shares
Dec. 31, 2023
$ / shares
shares
Dec. 31, 2025
Shares      
Nonvested, beginning balance (in shares) | shares 28,653 0  
Granted (in shares) | shares   28,653  
Vested (in shares) | shares (28,653)    
Nonvested, ending balance (in shares) | shares 0 28,653  
Weighted-Average Grant Date Fair Value      
Nonvested, beginning balance, weighted average grant date fair value (in dollars per share) | $ / shares $ 10.47 $ 0  
Granted, weighted average grant date fair value (in dollars per share) | $ / shares   10.47  
Vested, weighted average grant date fair value (in dollars per share) | $ / shares 10.47    
Nonvested, weighted average grant date fair value (in dollars per share) | $ / shares $ 0 $ 10.47  
Share grant conversion rate     1
Options vested during the period, aggregate intrinsic value | $ $ 0.3    
v3.25.4
Income Taxes - Schedule of Components of Provision for Income Tax (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Federal      
Current $ 3 $ 11 $ 58
Federal income tax 3 11 58
State and Local      
Current 26 242 357
State income tax 26 242 357
Foreign      
Current 129 636 1,211
Deferred 0 (3,271) (1,201)
Foreign income taxes 129 (2,635) 10
Total Provision for (Benefit from) Income Taxes $ 158 $ (2,382) $ 425
v3.25.4
Income Taxes - Schedule of Reconciliation of Provision for Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Effective Income Tax Rate Reconciliation, Amount      
Pre-tax loss attributable to taxable subsidiaries $ (13,581) $ (58,474) $ (32,176)
Federal provision at statutory tax rate (21%) (2,852) (12,280) (6,757)
Change in valuation allowance 2,931 10,592 3,179
Non-deductible expense 63 5 1
Rate differential (45) (494) (63)
State and local taxes, net of federal benefit 29 (36) (30)
Election of TRS Status 0 0 4,615
Other 32 (169) (520)
Total Provision for (Benefit from) Income Taxes $ 158 $ (2,382) $ 425
v3.25.4
Income Taxes - Schedule of Deferred Income Taxes (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Tax Assets    
Net operating loss and other tax credit carryforwards $ 7,706 $ 872
Basis differences — foreign investments 0 1,432
Other 771 5,262
Total deferred tax assets 8,477 7,566
Valuation allowance (8,477) (7,566)
Net Deferred Tax Assets $ 0 $ 0
v3.25.4
Income Taxes - Narrative (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Contingency      
Unrecognized tax benefits $ 0.1 $ 0.1  
Accrued interest related to uncertain tax positions 0.1 0.1  
Income taxes paid 0.7 $ 0.7 $ 2.7
Federal      
Income Tax Contingency      
Net operating loss carry forward 35.0    
State and local      
Income Tax Contingency      
Net operating loss carry forward $ 5.3    
v3.25.4
Property Dispositions (Details)
$ in Thousands
 1 Months Ended 12 Months Ended
Sep. 30, 2025
USD ($)
Mar. 31, 2025
USD ($)
Oct. 31, 2024
USD ($)
Apr. 30, 2024
USD ($)
Dec. 31, 2025
USD ($)
property
Dec. 31, 2024
USD ($)
property
Dec. 31, 2023
USD ($)
property
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Number of properties sold (property) | property         4 5  
Proceeds from sales of real estate         $ 192,277 $ 309,750 $ 38,855
(Loss) gain on sale of real estate, net         (29,006) 20,216 (3,608)
Investments in real estate         316,597 970,825  
Decrease in value of balance sheet item due to foreign currency translation   $ (1,100) $ 4,300   40,157 (5,748) 8,055
Non-recourse mortgages, net              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Gain (loss) on extinguishment of debt         $ (100) $ (300) $ 100
Non-recourse mortgages, net | Oslo Norway              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Investments in real estate $ 27,000            
Gain (loss) on extinguishment of debt 14,500            
Cash (6,300)            
Working capital, write off 2,100            
Decrease in value of balance sheet item due to foreign currency translation 40,500            
Warrensville, Illinois | Non-recourse mortgages, net              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Investments in real estate       $ 19,300      
Debt transferred 45,700     19,800      
Gain (loss) on extinguishment of debt       (1,000)      
Working capital, write off       1,400      
Tempe Arizona | Non-recourse mortgages, net              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Investments in real estate       13,300      
Debt transferred       13,200      
Gain (loss) on extinguishment of debt $ (1,300)            
Working capital, write off       $ 1,200      
Discontinued Operations, Disposed of by Sale              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations              
Number of properties sold (property) | property         14 14 4
Proceeds from sales of real estate         $ 198,600 $ 320,100 $ 38,900
(Loss) gain on sale of real estate, net         $ (10,500) 22,500 $ 4,700
Gain (loss) on sales of investment real estate, tax           $ (100)  
v3.25.4
Segment Information - Narrative (Details) - segment
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenues from External Customers and Long-Lived Assets      
Number of business segments 1    
Customer Concentration Risk | One Domestic Tenant | Lease Income      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage 29.50% 23.40% 17.90%
Customer Concentration Risk | One Domestic Tenant | Long Lived Assets      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage 21.10% 22.50%  
Customer Concentration Risk | Iowa Board of Regents | Lease Income      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage 13.70%    
Customer Concentration Risk | Iowa Board of Regents | Long Lived Assets      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage 13.90%    
Customer Concentration Risk | Intuit | Lease Income      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage   12.70%  
Customer Concentration Risk | Intuit | Long Lived Assets      
Revenues from External Customers and Long-Lived Assets      
Concentration risk percentage 10.70%    
v3.25.4
Segment Information - Schedule of Revenues and Long-Lived Assets (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
USD ($)
property
Dec. 31, 2024
USD ($)
property
Dec. 31, 2023
USD ($)
Revenues from External Customers and Long-Lived Assets      
Revenues $ 118,915 $ 142,247 $ 174,965
Long-lived assets $ 309,940 $ 707,443  
Number of properties sold (property) | property 4 5  
Number of properties (property) | property 24    
Domestic      
Revenues from External Customers and Long-Lived Assets      
Revenues $ 115,808 $ 133,663 159,808
Long-lived assets 309,940 677,933  
International      
Revenues from External Customers and Long-Lived Assets      
Revenues 3,107 8,584 $ 15,157
Long-lived assets $ 0 $ 29,510  
Number of properties sold (property) | property 2    
Number of properties (property) | property 0    
v3.25.4
Subsequent Events (Details) - USD ($)
$ / shares in Units, $ in Thousands
 1 Months Ended 3 Months Ended 12 Months Ended
Feb. 25, 2026
Jan. 31, 2026
Sep. 30, 2025
Dec. 31, 2023
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Subsequent Events              
Proceeds from sales of real estate         $ 192,277 $ 309,750 $ 38,855
Distributions declared per share (in dollars per share)     $ 3.10 $ 0.34 $ 12.30    
Dividends payable         $ 75,552 $ 0  
Subsequent Event              
Subsequent Events              
Distributions declared per share (in dollars per share)   $ 6.75          
Dividends payable   $ 100,000          
Houston, Texas | Subsequent Event              
Subsequent Events              
Proceeds from sales of real estate   66,000          
Venice, California | Subsequent Event              
Subsequent Events              
Proceeds from sales of real estate   $ 39,600          
Martinsville, Virginia | Subsequent Event              
Subsequent Events              
Proceeds from sales of real estate $ 3,900            
Raleigh, North Carolina | Subsequent Event              
Subsequent Events              
Proceeds from sales of real estate $ 8,700            
v3.25.4
Schedule II — Valuation and Qualifying Accounts (Details) - Valuation reserve for deferred tax assets - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Movement in Valuation Allowances and Reserves      
Balance at Beginning of Year $ 7,566 $ 9,809 $ 7,129
Other Additions 3,580 4,942 3,431
Deductions (2,669) (7,185) (751)
Balance at End of Year $ 8,477 $ 7,566 $ 9,809
v3.25.4
Schedule III — Real Estate and Accumulated Depreciation - Properties (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 33,723      
Buildings 218,051      
Cost Capitalized Subsequent to Acquisition 12,728      
Increase (Decrease) in Net Investments (45,703)      
Gross Amount at which Carried at Close of Period        
Land 26,946      
Buildings 191,853      
Total 218,799 $ 729,898 $ 1,203,991 $ 1,287,547
Accumulated Depreciation 62,658 $ 152,067 $ 213,034 $ 190,516
King of Prussia, PA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances 0      
Initial Cost to Company        
Land 1,219      
Buildings 6,283      
Cost Capitalized Subsequent to Acquisition 1,295      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 1,219      
Buildings 7,578      
Total 8,797      
Accumulated Depreciation $ 5,218      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Rio Rancho, NM        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 1,190      
Buildings 9,353      
Cost Capitalized Subsequent to Acquisition 5,866      
Increase (Decrease) in Net Investments (238)      
Gross Amount at which Carried at Close of Period        
Land 2,287      
Buildings 13,884      
Total 16,171      
Accumulated Depreciation $ 9,146      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Yardley, PA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 1,726      
Buildings 12,781      
Cost Capitalized Subsequent to Acquisition 4,378      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 1,726      
Buildings 17,159      
Total 18,885      
Accumulated Depreciation 7,680      
San Marcos, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances 0      
Initial Cost to Company        
Land 440      
Buildings 688      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 440      
Buildings 688      
Total 1,128      
Accumulated Depreciation $ 288      
Life on which Depreciation in Latest Statement of  Income is Computed 31 years      
Playa Vista, CA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 3,857      
Buildings 35,800      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 3,857      
Buildings 35,800      
Total 39,657      
Accumulated Depreciation $ 14,898      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Odessa, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 196      
Buildings 1,864      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 196      
Buildings 1,864      
Total 2,060      
Accumulated Depreciation $ 150      
Life on which Depreciation in Latest Statement of  Income is Computed 29 years      
San Marcos, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 656      
Buildings 6,723      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 656      
Buildings 6,723      
Total 7,379      
Accumulated Depreciation $ 540      
Life on which Depreciation in Latest Statement of  Income is Computed 29 years      
Corpus Christi, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 764      
Buildings 1,823      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 764      
Buildings 1,823      
Total 2,587      
Accumulated Depreciation $ 146      
Life on which Depreciation in Latest Statement of  Income is Computed 29 years      
Waco, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 473      
Buildings 2,058      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 473      
Buildings 2,058      
Total 2,531      
Accumulated Depreciation $ 165      
Life on which Depreciation in Latest Statement of  Income is Computed 29 years      
Quincy, MA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 2,316      
Buildings 21,537      
Cost Capitalized Subsequent to Acquisition 127      
Increase (Decrease) in Net Investments (11,064)      
Gross Amount at which Carried at Close of Period        
Land 814      
Buildings 12,102      
Total 12,916      
Accumulated Depreciation $ 7,132      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Houston, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 2,136      
Buildings 2,344      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments (1,143)      
Gross Amount at which Carried at Close of Period        
Land 1,544      
Buildings 1,793      
Total 3,337      
Accumulated Depreciation $ 501      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Eagan, MN        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 1,470      
Buildings 0      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments (951)      
Gross Amount at which Carried at Close of Period        
Land 519      
Buildings 0      
Total 519      
Accumulated Depreciation 0      
Eagan, MN        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances 0      
Initial Cost to Company        
Land 4,312      
Buildings 32,878      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments (19,216)      
Gross Amount at which Carried at Close of Period        
Land 1,524      
Buildings 16,450      
Total 17,974      
Accumulated Depreciation $ 5,451      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Warrenville, IL        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 3,662      
Buildings 23,711      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments (13,091)      
Gross Amount at which Carried at Close of Period        
Land 1,621      
Buildings 12,661      
Total 14,282      
Accumulated Depreciation $ 4,406      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
San Antonio, TX        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 3,094      
Buildings 16,624      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 3,094      
Buildings 16,624      
Total 19,718      
Accumulated Depreciation $ 3,211      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Norcross, GA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 1,795      
Buildings 2,676      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 1,795      
Buildings 2,676      
Total 4,471      
Accumulated Depreciation $ 229      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Farmington Hills, MI        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 2,195      
Buildings 5,213      
Cost Capitalized Subsequent to Acquisition 1,062      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 2,195      
Buildings 6,275      
Total 8,470      
Accumulated Depreciation $ 446      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
Coralville, IA        
SEC Schedule III, Real Estate and Accumulated Depreciation        
Encumbrances $ 0      
Initial Cost to Company        
Land 2,222      
Buildings 35,695      
Cost Capitalized Subsequent to Acquisition 0      
Increase (Decrease) in Net Investments 0      
Gross Amount at which Carried at Close of Period        
Land 2,222      
Buildings 35,695      
Total 37,917      
Accumulated Depreciation $ 3,051      
Life on which Depreciation in Latest Statement of  Income is Computed 40 years      
v3.25.4
Schedule III — Real Estate and Accumulated Depreciation - Narrative (Details) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
SEC Schedule III, Real Estate and Accumulated Depreciation    
Finite-lived intangible assets, gross $ 55,920 $ 238,500
Accumulated amortization (finite lived intangible assets) 40,268 140,612
Assets held for sale, net 96,269 $ 29,297
Federal income taxes 641,900  
Sales-type leases    
SEC Schedule III, Real Estate and Accumulated Depreciation    
Net investments in direct financing leases 41,900  
Lease intangibles    
SEC Schedule III, Real Estate and Accumulated Depreciation    
Finite-lived intangible liabilities, gross 4,500  
Accumulated amortization (intangible liabilities) 2,500  
Lease intangibles    
SEC Schedule III, Real Estate and Accumulated Depreciation    
Finite-lived intangible assets, gross 55,900  
Accumulated amortization (finite lived intangible assets) $ 40,300  
v3.25.4
Schedule III — Real Estate and Accumulated Depreciation - Accumulated Depreciation Rollforward (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Schedule III, Reconciliation of Carrying Amount of Real Estate Investments      
Beginning balance $ 729,898 $ 1,203,991 $ 1,287,547
Dispositions (276,655) (371,638) (35,287)
Impairment charges (134,783) (73,301) (57,607)
Reclassification to assets held for sale (99,312) (31,066) 0
Reclassification to sales-type lease (35,411) 0 (17,861)
Reclassification from assets held for sale 25,914 0 0
Capital improvements 4,279 8,372 13,398
Foreign currency translation adjustment 3,616 (6,460) (757)
Reclassification from real estate under construction 1,253 0 0
Reclassification from direct financing leases 0 0 14,558
Ending balance 218,799 729,898 1,203,991
Schedule III, Reconciliation of Real Estate Accumulated Depreciation      
Beginning balance 152,067 213,034 190,516
Dispositions (62,087) (82,339) (4,782)
Reclassification to assets held for sale (38,971) (1,769) 0
Depreciation expense 14,991 23,687 31,237
Reclassification to sales-type lease (3,626) 0 (4,163)
Foreign currency translation adjustment 284 (546) 226
Ending balance $ 62,658 $ 152,067 $ 213,034