Kingdom Capital Advisors’ Views on Net Lease Office Properties (NLOP)

Group 1: Portfolio Performance - Kingdom Capital Advisors' portfolio compounded at 21.06% (net of fees) since inception, outperforming the Russell 2000 TR (4.60%), S&P 500 TR (11.46%), and NASDAQ 100 TR (13.48%) [1] - The portfolio recovered from significant drawdowns experienced from November 2024 to June 2025 [1] Group 2: Net Lease Office Properties (NYSE:NLOP) - Net Lease Office Properties (NYSE:NLOP) had a one-month return of -1.24% and a 52-week loss of 7.17%, with shares closing at $28.60 on October 10, 2025, and a market capitalization of $423.683 million [2] - Since the initial acquisition, the company has divested 22 of 59 properties, repaid all corporate-level debt, and paid dividends equal to about 20% of the initial cost basis [3] - The company is expected to pay additional dividends soon, which could reduce the cost basis to zero on those purchases [3] Group 3: Hedge Fund Interest - Net Lease Office Properties (NYSE:NLOP) was held by 11 hedge fund portfolios at the end of Q2 2025, down from 15 in the previous quarter [4] - While acknowledging the potential of NLOP, the company believes certain AI stocks offer greater upside potential and less downside risk [4]