FrontView REIT Announces Third Quarter 2025 Results, Updated Full Year 2025 Guidance and 2026 Preliminary Guidance

DALLAS--( BUSINESS WIRE)--FrontView REIT, Inc. (NYSE: FVR) (the “Company”, “FrontView”, “we”, “our”, or “us”), today announced its operating results for the quarter ended September 30, 2025.

MANAGEMENT COMMENTARY

Stephen Preston, CEO and Chairman, commented, “Q3 was a powerful transitional quarter for FrontView. Our portfolio again performed very well, with occupancy moving up to 98.0% driving strong AFFO per share results despite being net disposers in the quarter. We continued to demonstrate what we believe is the imbalance of our share price through portfolio optimization with total dispositions of $32.9 million, of which $30.1 million were occupied, at a sales capitalization rate of 6.78%. We acquired 3 properties totalling $15.8 million in the quarter and have a more active pipeline in-place with certain investments expected to close in the fourth quarter. Lastly, the addition of our bespoke perpetual preferred equity provides us accretive capital that we anticipate to use to pursue growth opportunities in 2026.”

THIRD QUARTER 2025 HIGHLIGHTS

SUBSEQUENT MATERIAL EVENTS

SUMMARIZED FINANCIAL RESULTS

The following table summarizes the Company's select financial results for the three and nine months ended September 30, 2025, and 2024:

Successor

Predecessor (1)

Successor

Predecessor (1)

For the three months ended September 30,

For the nine months ended September 30,

(unaudited, in thousands, except share and per share amounts)

2025

2024

2025

2024

Revenues

16,803

14,534

50,600

44,403

Net income (loss), including non-controlling interest

5,547

(3,339

)

(320

)

(9,721

)

Net income (loss) per share

0.19

—

(0.01

)

—

FFO

6,866

3,780

20,015

11,948

FFO per share

0.25

—

0.72

—

AFFO (2)

8,829

4,776

26,086

14,656

AFFO per share

0.32

—

0.94

—

Diluted Weighted Average Shares Outstanding

27,834,670

—

27,828,225

—

The Company determined that FFO per share and AFFO per share in the Predecessor period would not be meaningful to users of this filing, given the different unitholders in the Predecessor.

In 2025, lease termination fees are not adjusted for AFFO purposes. 2024 AFFO figures included an adjustment for lease termination fees.

INVESTMENT ACTIVITY

The following table summarizes the Company’s investments and dispositions for the three and nine months ended September 30, 2025:

For the three months ended

September 30, 2025

For the nine months ended

September 30, 2025

(unaudited, in thousands, except # of properties and percentages)

# of Properties

Amount

# of Properties

Amount

Investments

15,771

82,794

Less Dispositions

32,897

57,608

Investment Activity

(12

)

(17,126

)

—

25,186

Investment Activity

Cash Yield (1)

7.48%

7.88%

Economic Yield

7.56%

8.31%

Investment Grade

31.0%

27.1%

Average Annual Escalators

0.4%

1.5%

Weighted Average Lease Term (years)

10.7

12.1

Disposition Activity

Cash Yield

6.78%

6.77%

Weighted Average Lease Term (years)

8.0

8.3

Includes near-term lease extensions as the underwritten capitalization rate.

PORTFOLIO UPDATE

The following table summarizes the Company's real estate portfolio as of September 30, 2025:

September 30, 2025

Number of Properties

307

Annualized Base Rent (000s)

61,289

Gross Real Estate Investment (000s)

890,943

Average Rent per Square Foot

24.22

Rentable Square Feet (000s)

2,575

Number of Tenants

323

Number of Industries

Occupancy

98.0%

Weighted Average Lease Term (years)

7.2

Investment Grade %

33.7%

BALANCE SHEET AND LIQUIDITY

The following tables summarize the Company’s leverage, fixed charge coverage and liquidity as of September 30, 2025:

Leverage and Fixed Charge

September 30, 2025

Net Debt/ Annualized EBITDAre

6.0x

Net Debt/ Annualized Adjusted EBITDAre

5.3x

Fixed Charge Coverage Ratio

3.3x

Liquidity

September 30, 2025

Unused Revolver Capacity

141,500

Cash and Cash Equivalents

19,595

Total Liquidity

161,095

DISTRIBUTIONS

On November 11, 2025, our board of directors declared a quarterly dividend of $0.215 per common share and OP unit to holders of record as of December 31, 2025, payable on or before January 15, 2026.

2025 GUIDANCE UPDATE

The following table summarizes the Company's guidance and key underlying assumptions for the year ended December 31, 2025.

Prior

Current

AFFO per share

$1.22 to $1.24

$1.23 to $1.25

Investment Activity ($mm)

$110 to $130

$115 to $125

Disposition Activity ($mm)

$60 to $75

$70 to $80

Cash G&A ($mm) (1)

$8.7 to $9.1

Cash G&A excludes stock based compensation and non-recurring charges of $1.3 million in 2025 attributable to non-recurring charges.

Our per share results are sensitive to both the timing and amount of real estate investments, property dispositions, and capital markets activities that occur throughout the year.

We do not provide guidance for the most comparable GAAP financial measure, net income, or a reconciliation of the forward-looking non-GAAP financial measure of AFFO to net income computed in accordance with GAAP, because we are unable to reasonably predict, without unreasonable efforts, certain items that would be contained in the GAAP measure, including items that are not indicative of our ongoing operations, including, without limitation, potential impairments of real estate assets, net gain/loss on dispositions of real estate assets, changes in allowance for credit losses, and stock-based compensation expense. These items are uncertain, depend on various factors, and could have a material impact on our GAAP results for the guidance periods.

2026 PRELIMINARY GUIDANCE

The Company is initiating preliminary full year 2026 AFFO guidance and net investment activity with the table below summarizing the key underlying assumptions. Additionally, the AFFO per share range accounts for the potential dilution associated with the Company's intended equity offering(s).

Preliminary 2026 Guidance

AFFO per share

$1.26 to $1.30

Net Investment Activity

Approximately $100 million

CONFERENCE CALL AND WEBCAST

The Company will host its third quarter earnings conference call and audio webcast on Thursday, November 13, 2025, at 10:00 a.m. Central Time.

To access the live webcast, which will be available in listen-only mode, please visit: https://events.q4inc.com/attendee/399461801. If you prefer to listen via phone, U.S. participants may dial: 1-800-549-8228 (toll free) or 1-646-564-2877 (local), conference ID 59665.

A replay of the conference call webcast will be available approximately one hour after the conclusion of the live broadcast. To listen to a replay of the call via the web, which will be available for one year, please visit: investor.frontviewreit.com.

About FrontView REIT, Inc.

FrontView is an internally-managed net-lease REIT that acquires, owns and manages primarily properties with frontage that are net leased to a diversified group of tenants. FrontView is differentiated by an investment approach focused on properties that are in prominent locations with direct frontage on high-traffic roads that are highly visible to consumers. As of September 30, 2025, FrontView owned a well-diversified portfolio of 307 properties with direct frontage across 37 U.S. states. FrontView's tenants include service-oriented businesses, such as medical and dental providers, quick service restaurants, casual dining, financial institutions, cellular stores, automotive stores, convenience stores and gas stations, discount retail, automotive dealers, fitness operators, car washes, pharmacies, home improvement stores, as well as professional services tenants.

Forward-Looking Statements

This press release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things, our plans, strategies, and prospects, both business and financial. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “outlook,” “potential,” “may,” “will,” “should,” “could,” “seeks,” “approximately,” “projects,” “predicts,” “expect,” “intends,” “anticipates,” “estimates,” “plans,” “would be,” “believes,” “continues,” or the negative version of these words or other comparable words. Forward-looking statements, including our 2025 and preliminary 2026 guidance and assumptions, our ability to close one or more sales of Convertible Preferred Shares pursuant the Investment Agreement, to execute our business and acquisition strategies, or to realize accretion to AFFO, involve known and unknown risks and uncertainties, which may cause FVR’s actual future results to differ materially from expected results, including, without limitation, risks and uncertainties related to general economic conditions, including but not limited to increases in the rate of inflation and/or interest rates, local real estate conditions, tenant financial health, property investments and acquisitions, and the timing and uncertainty of completing these property investments and acquisitions, and uncertainties regarding future distributions to our stockholders. These and other risks, assumptions, and uncertainties are described in Item 1A. “Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which the Company filed with the SEC on March 20, 2025, and the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2025, which was filed with the SEC on August 14, 2025, which you are encouraged to read, and is available on the SEC’s website at www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Accordingly, you are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they are made. The Company assumes no obligation to, and does not currently intend to, update any forward-looking statements after the date of this press release, whether as a result of new information, future events, changes in assumptions, or otherwise.

Notice Regarding Non-GAAP Financial Measures

In addition to our reported results and net earnings per diluted share, which are financial measures presented in accordance with GAAP, this press release contains and may refer to certain non-GAAP financial measures, including Funds from Operations (“FFO”), Adjusted Funds from Operations (“AFFO”), EBITDA, EBITDAre, Adjusted EBITDAre, Annualized Adjusted EBITDAre, Adjusted Net Operating Income (“NOI”), Annualized Adjusted NOI, Adjusted Cash NOI, Annualized Adjusted Cash NOI, Net Debt and Fixed Charge Coverage Ratio.

We believe the use of FFO and AFFO are useful to investors because they are widely accepted industry measures used by analysts and investors to compare the operating performance of REITs. FFO and AFFO should not be considered alternatives to net income as a performance measure or to cash flows from operations, as reported on our statement of cash flows, or as a liquidity measure, and should be considered in addition to, and not in lieu of, GAAP financial measures.

We believe EBITDA and EBITDAre are useful to investors and analysts because they provide important supplemental information about our operating performance exclusive of certain non-cash and other costs. EBITDA and EBITDAre are not measures of financial performance under GAAP, and our EBITDA and EBITDAre may not be comparable to similarly titled measures of other companies. You should not consider our EBITDA and EBITDAre as alternatives to net income or cash flows from operating activities determined in accordance with GAAP.

We believe Adjusted NOI and Adjusted Cash NOI provide useful and relevant information because they reflect only those income and expense items that are incurred at the property level. Adjusted NOI and Adjusted Cash NOI are not measurements of financial performance under GAAP and may not be comparable to similarly titled measures of other companies. You should not consider our measures as alternatives to net income or cash flows from operating activities determined in accordance with GAAP.

We believe presenting Net Debt to Annualized Adjusted EBITDAre is useful to investors because they provide information about Gross Debt less cash and cash equivalents, which could be useful to repay debt, compared to our performance as measured using EBITDAre and Annualized Adjusted EBITDAre. You should not consider our Annualized Adjusted EBITDAre as an alternative to net income or cash flows from operating activities determined in accordance with GAAP.

We believe the Fixed Charge Coverage Ratio is useful to investors to show the Company's ability to cover its fixed charges including interest expense, principal repayments of debt and dividends. You should not consider our Fixed Charge Coverage Ratio as an alternative to net income or cash flows from operating activities determined in accordance with GAAP.

A reconciliation of non-GAAP measures to the most directly comparable GAAP financial measure and statements of why management believes these measures are useful to investors are included below.

FRONTVIEW REIT INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(in thousands, except share and per share amounts)

September 30,

2025

December 31,

2024

ASSETS

Real estate held for investment, at cost

Land

325,699

332,944

Buildings and improvements

399,052

386,462

Total real estate held for investment, at cost

724,751

719,406

Less accumulated depreciation

(45,065

)

(40,398

)

Real estate held for investment, net

679,686

679,008

Assets held for sale

17,667

5,898

Mortgage loans receivable

10,274

—

Cash and cash equivalents

19,595

5,094

Intangible lease assets, net

101,685

114,868

Other assets

17,883

16,941

Total assets

846,790

821,809

LIABILITIES AND EQUITY

Liabilities

Debt, net

307,071

266,538

Intangible lease liabilities, net

14,050

14,735

Accounts payable and accrued liabilities

21,518

17,858

Total liabilities

342,639

299,131

Equity

FrontView REIT, Inc. equity

Common Stock, $0.01 par value 450,000,000 shares authorized, 21,267,861 shares issued and outstanding as of September 30, 2025

212

173

Additional paid-in capital

405,222

331,482

Accumulated deficit

(19,285

)

(6,834

)

Accumulated other comprehensive loss

(938

)

—

Total FrontView REIT, Inc. equity

385,211

324,821

Non-controlling interests

118,940

197,857

Total equity

504,151

522,678

Total liabilities and equity

846,790

821,809

FRONTVIEW REIT INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(Unaudited)

(in thousands, except share and per share amounts)

Successor

Predecessor (1)

Successor

Predecessor (1)

For the three months ended September 30,

For the nine months ended September 30,

2025

2024

2025

2024

Revenues

Rental revenues

16,602

14,533

50,206

44,160

Interest income on mortgage loans receivable

156

—

164

—

Other income

230

243

Total revenues

16,803

14,534

50,600

44,403

Operating expenses

Depreciation and amortization

7,351

7,119

24,622

21,415

Property operating expenses

2,209

2,003

7,299

5,694

Property management fees

—

494

—

1,501

Asset management fees

—

1,034

—

3,102

General and administrative expenses

3,112

697

9,230

2,059

Total operating expenses

12,672

11,347

41,151

33,771

Other expenses (income)

Interest expense

4,564

6,463

13,708

19,755

Gain on sale of real estate

(7,583

)

—

(9,244

)

(337

)

Impairment loss

1,551

—

4,957

591

Income taxes

348

344

Total other expenses

(1,416

)

6,526

9,769

20,353

Net income (loss)

5,547

(3,339

)

(320

)

(9,721

)

Less: Net loss attributable to convertible non-controlling preferred interests

—

908

—

2,652

Less: Net (income) loss attributable to non-controlling interests

(1,532

)

—

601

—

Net income (loss) attributable to NADG NNN Property Fund LP (Predecessor) and to FrontView REIT, Inc. (Successor)

4,015

(2,431

)

281

(7,069

)

Weighted average number of common shares outstanding

Basic

20,723,471

—

19,071,703

—

Diluted

27,834,670

—

27,828,225

—

Net income (loss) per share attributable to common stockholders

Basic

0.19

—

(0.01

)

—

Diluted

0.19

—

(0.01

)

—

Comprehensive income (loss)

Net income (loss)

5,547

(3,339

)

(320

)

(9,721

)

Other comprehensive income (loss)

Change in fair value of interest rate swaps

—

(1,474

)

—

Comprehensive income (loss)

5,584

(3,339

)

(1,794

)

(9,721

)

Less: Comprehensive loss attributable to convertible non-controlling preferred interests

—

908

—

2,652

Less: Comprehensive (income) loss attributable to non-controlling interests

(1,542

)

—

1,163

—

Comprehensive income (loss) attributable to NADG NNN Property Fund LP (Predecessor) and to FrontView REIT, Inc. (Successor)

4,042

(2,431

)

(631

)

(7,069

)

(1)

The Company determined that earnings per unit in the Predecessor period would not be meaningful to users of this filing, given the different unitholders in the Predecessor.

Reconciliation of Non-GAAP Measures

The following is a reconciliation of net income (loss) (which is the most comparable GAAP measure) to FFO and AFFO:

Successor

Predecessor

Successor

Predecessor

For the three months ended

September 30,

For the nine months ended

September 30,

(unaudited, in thousands, except per share amounts)

2025

2024

2025

2024

Net income (loss)

5,547

(3,339

)

(320

)

(9,721

)

Depreciation on real property and amortization of real estate intangibles (1)

7,351

7,119

24,622

21,415

Gain on sale of real estate

(7,583

)

—

(9,244

)

(337

)

Impairment loss

1,551

—

4,957

591

Funds from Operations (“FFO”)

6,866

3,780

20,015

11,948

Diluted Weighted Average Shares Outstanding

27,835

—

27,828

—

FFO per share

0.25

—

0.72

—

Straight-line rent adjustments

(52

)

(187

)

(460

)

(964

)

Amortization of financing transaction and discount costs

404

1,053

1,199

3,145

Amortization of above/below market lease intangibles (2)

652

423

2,304

1,338

Stock-based compensation

750

—

1,565

—

Lease termination fees (3)

—

(747

)

—

(1,384

)

Adjustment for structuring and public company readiness costs

440

340

514

Other non-recurring expenses (4)

159

1,123

Adjusted Funds from Operations (“AFFO”)

8,829

4,776

26,086

14,656

Diluted Weighted Average Shares Outstanding

27,835

—

27,828

—

AFFO per share

0.32

—

0.94

—

Includes write-offs of intangibles of $1.6 million for the nine months ended September 30, 2025 and $0.3 million for the nine months ended September 30, 2024.

Includes write-offs of $0.4 million for the nine months ended September 30, 2025.

In 2025, lease termination fees are not adjusted for AFFO purposes. 2024 AFFO figures included an adjustment for lease termination fees.

Other non-recurring expenses include one-time legal expenses, deal pursuit costs and other non-recurring items.

Our reported results and net earnings per diluted share are presented in accordance with GAAP. We also disclose FFO and AFFO, each of which are non-GAAP measures. We believe these non-GAAP financial measures are industry measures used by analysts and investors to compare the operating performance of REITs. FFO and AFFO should not be considered alternatives to net income as a performance measure or to cash flows from operations, as reported on our statement of cash flows, or as a liquidity measure, and should be considered in addition to, and not in lieu of, GAAP financial measures.

We compute FFO in accordance with the standards established by the Board of Governors of the National Association of Real Estate Investment Trusts (“Nareit”). Nareit defines FFO as GAAP net income or loss adjusted to exclude net gains (losses) from sales of certain depreciated real estate assets, depreciation and amortization expense from real estate assets, gains and losses from change in control, and impairment charges related to certain previously depreciated real estate assets. To derive AFFO, we modify the Nareit computation of FFO to include other adjustments to GAAP net income related to certain non-cash or non-recurring revenues and expenses, including straight-line rents, cost of debt extinguishments, amortization of lease intangibles, amortization of debt issuance costs, amortization of net mortgage premiums, (gain) loss on interest rate swaps and other non-cash interest expense, realized gains or losses on foreign currency transactions, Internalization expenses, structuring and public company readiness costs, extraordinary items, and other specified non-cash items. We believe that such items are not a result of normal operations and thus we believe excluding such items assists management and investors in distinguishing whether changes in our operations are due to growth or decline of operations at our properties or from other factors.

Our leases typically include cash rents that increase through lease escalations over the term of the lease. Our leases do not typically include significant front-loading or back-loading of payments, or significant rent-free periods. Therefore, we find it useful to evaluate rent on a contractual basis as it allows for comparison of existing rental rates to market rental rates. We further exclude costs or gains recorded on the extinguishment of debt, non-cash interest expense and gains, the amortization of debt issuance costs, net mortgage premiums, and lease intangibles, realized gains and losses on foreign currency transactions, Internalization expenses, and structuring and public company readiness costs, as these items are not indicative of ongoing operational results. We use AFFO as a measure of our performance when we formulate corporate goals.

FFO is used by management, investors, and analysts to facilitate meaningful comparisons of operating performance between periods and among our peers, primarily because it excludes the effect of real estate depreciation and amortization and net gains on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. We believe that AFFO is a useful supplemental measure for investors to consider because it will help them to better assess our operating performance without the distortions created by one-time cash and non-cash revenues or expenses. FFO and AFFO may not be comparable to similarly titled measures employed by other REITs, and comparisons of our FFO and AFFO with the same or similar measures disclosed by other REITs may not be meaningful. FFO and AFFO should not be considered alternatives to net income as a performance measure or to cash flows from operations, as reported on our statement of cash flows, or as a liquidity measure, and should be considered in addition to, and not in lieu of, GAAP financial measures.

Neither the SEC nor any other regulatory body has passed judgment on the acceptability of the adjustments to FFO that we use to calculate AFFO. In the future, the SEC, Nareit or another regulatory body may decide to standardize the allowable adjustments across the REIT industry and in response to such standardization we may have to adjust our calculation and characterization of AFFO accordingly.

The following is a reconciliation of net income which is the most comparable GAAP measure to EBITDA, EBITDAre, Adjusted EBITDAre, Adjusted NOI and Adjusted Cash NOI:

Three months ended September 30,

(unaudited, in thousands)

2025

Net income

5,547

Depreciation and amortization

8,003

Interest expense

4,564

Income taxes

EBITDA

18,166

Gain on sale of real estate

(7,583

)

Impairment loss

1,551

EBITDAre

12,134

Adjustment for current period investment activity (1)

154

Adjustment for current period disposition activity (2)

(121

)

Adjustment for non-cash compensation expense (3)

750

Adjustment to exclude non-recurring expenses (4)

209

Adjustment to exclude net write-offs of accrued rental income

501

Adjusted EBITDAre

13,627

General and administrative, net of non-recurring

2,153

Adjusted Net Operating Income (“NOI”)

15,780

Straight-line rental revenue, net

(559

)

Adjusted Cash NOI

15,221

Annualized EBITDAre

48,536

Annualized Adjusted EBITDAre

54,508

Annualized Adjusted NOI

63,120

Annualized Adjusted Cash NOI

60,884

Reflects an adjustment to give effect to all acquisitions during the period as if they had been acquired as of the beginning of the period.

Reflects an adjustment to give effect to all dispositions during the period as if they had been sold as of the beginning of the period.

Reflects an adjustment to exclude non-cash stock-based compensation expense.

Reflects an adjustment to exclude non-recurring expenses, including structuring and public readiness costs, lease termination fees, legal one-time expenses, and other non-recurring income or expenses.

We compute EBITDA as earnings before interest, income taxes and depreciation and amortization. EBITDA is a measure commonly used in our industry. We believe that this ratio provides investors and analysts with a measure of our leverage that includes our operating results unaffected by the differences in capital structures, capital investment cycles and useful life of related assets compared to other companies in our industry. In 2017, Nareit issued a white paper recommending that companies that report EBITDA also report EBITDAre in financial reports. We compute EBITDAre in accordance with the definition adopted by Nareit. Nareit defines EBITDAre as EBITDA (as defined above) excluding gains (loss) from the sales of depreciable property and provisions for impairment on investment in real estate. We believe EBITDA and EBITDAre are useful to investors and analysts because they provide important supplemental information about our operating performance exclusive of certain non-cash and other costs.

EBITDA and EBITDAre are not measures of financial performance under GAAP, and our EBITDA and EBITDAre may not be comparable to similarly titled measures of other companies. You should not consider our EBITDA and EBITDAre as alternatives to net income or cash flows from operating activities determined in accordance with GAAP.

We compute adjusted EBITDAre as EBITDAre for the applicable quarter, as adjusted to (i) reflect all investment and disposition activity that took place during the applicable quarter as if each transaction had been completed on the first day of the quarter, (ii) exclude certain GAAP income and expense amounts that we believe are infrequent and unusual in nature because they relate to unique circumstances or transactions that had not previously occurred and which we do not anticipate occurring in the future, (iii) eliminate the impact of lease termination fees from certain of our tenants, and (iv) exclude non-cash stock-based compensation expense. Annualized adjusted EBITDAre is calculated by multiplying adjusted EBITDAre for the applicable quarter by four, which we believe provides a meaningful estimate of our current run rate for all of our investments as of the end of the most recently completed quarter given the contractual nature of our long term net leases. You should not unduly rely on this measure as it is based on assumptions and estimates that may prove to be inaccurate. Our actual reported EBITDAre for future periods may be significantly different from our annualized adjusted EBITDAre.

Adjusted EBITDAre and Annualized Adjusted EBITDAre are not measurements of performance under GAAP, and our Adjusted EBITDAre and Annualized Adjusted EBITDAre may not be comparable to similarly titled measures of other companies. You should not consider our Adjusted EBITDAre and Annualized Adjusted EBITDAre as alternatives to net income or cash flows from operating activities determined in accordance with GAAP.

Adjusted Net Operating Income ("NOI") and Adjusted Cash NOI are non-GAAP financial measures which we use to assess our operating results. We compute Adjusted NOI as Adjusted EBITDAre and exclude general and administration expenses. We further adjust Adjusted NOI for non-cash revenue components of straight-line rent and other amortization expense to derive Adjusted Cash NOI. We believe Adjusted NOI and Adjusted Cash NOI provide useful and relevant information because they reflect only those income and expense items that are incurred at the property level.

Adjusted NOI and Adjusted Cash NOI are not measurements of financial performance under GAAP and may not be comparable to similarly titled measures of other companies. You should not consider our measures as alternatives to net income or cash flows from operating activities determined in accordance with GAAP.

Annualized Adjusted NOI is calculated by multiplying Adjusted NOI for the applicable quarter by four and Annualized Adjusted Cash NOI is calculated by multiplying Adjusted Cash NOI for the applicable quarter by four. We believe these annualized figures provide a meaningful estimate of our current run rate for all of our investments as of the end of the most recently completed quarter given the contractual nature of our long term net leases. You should not unduly rely on these measures as they are based on assumptions and estimates that may prove to be inaccurate. Our actual reported NOI for future periods may be significantly different from our Annualized Adjusted NOI and Annualized Adjusted Cash NOI.

The following table reconciles total debt (which is the most comparable GAAP measure) to Net Debt, and presents the ratios of Net Debt to EBITDAre and Net Debt to Annualized Adjusted EBITDAre:

As of September 30,

(unaudited, in thousands)

2025

Debt

Term Loan

200,000

Revolving Credit Facility

108,500

Gross Debt

308,500

Cash and cash equivalents

(19,595

)

Net Debt

288,905

Leverage Ratios:

Net Debt to Annualized EBITDAre

6.0x

Net Debt to Annualized Adjusted EBITDAre

5.3x

Net Debt is a non-GAAP financial measure. We define Net Debt as our Gross Debt less cash and cash equivalents. The ratios of Net Debt to EBITDAre and Net Debt to Annualized Adjusted EBITDAre represent Net Debt as of the end of the applicable period divided by EBITDAre or Annualized Adjusted EBITDAre for the period, respectively. We believe that these ratios are useful to investors and analysts because they provide information about Gross Debt less cash and cash equivalents, which could be useful to repay debt, compared to our performance as measured using EBITDAre and Annualized Adjusted EBITDAre.

The following table summarizes our fixed charges, and presents Annualized Fixed Charges to Annualized Adjusted EBITDAre:

As of September 30,

(unaudited, in thousands)

2025

Interest Expense

4,564

Less: Non-cash interest

(404

)

Fixed Charges

4,160

Annualized Fixed Charges

16,640

Annualized Adjusted EBITDAre / Annualized Fixed Charges

3.3x

The Adjusted EBITDA to Fixed Charge Ratio is the ratio of Adjusted EBITDA to fixed charges as of the last day of any fiscal quarter. Adjusted EBITDA is computed as net income adjusted for depreciation and amortization, interest expense, income tax expense, extraordinary or nonrecurring items, fees in connection with debt financing, acquisitions and dispositions and capital markets transactions, non-cash items and equity in net income of unconsolidated subsidiaries minus a reserve for replacements with respect to certain properties. Fixed charges are computed on a consolidated basis as interest expense (excluding amortization of fees paid in cash and discounts and premiums on debt), plus regularly scheduled principal repayments of debt (excluding any balloon or similar payments), plus any preferred dividends payable in cash.

The Annualized Fixed Charges is calculated by multiplying fixed charges for the applicable quarter by four. The Fixed Charge Coverage Ratio is the ratio of Annualized Adjusted EBITDAre to Annualized Fixed Charges. We believe this ratio is useful to investors and analysts as it is used to evaluate our liquidity and ability to obtain financing.