Net Lease Office Properties (NLOP) Share Appreciated Despite Liquidation Plan

Kingdom Capital Advisors, a private investment firm, released its fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The firm started the business four years ago with a clear goal of investing in overlooked microcap companies that yield exceptional returns. Despite significant challenges in 2025, including a bankruptcy in January, a key investment losing customers in May, and a cyberattack on the largest holding in June, the firm achieved a 17.45% return net of fees, illustrating the resilience of a focused, research-intensive strategy. The composite returned 8.88% (net of fees) in the fourth quarter, compared to 2.19% for the Russell 2000 TR, 2.68% for the S&P 500 TR, and 2.47% for the NASDAQ 100 TR. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, Kingdom Capital Advisors highlighted stocks such as Net Lease Office Properties (NYSE:NLOP). Net Lease Office Properties (NYSE:NLOP) is a publicly traded real estate investment trust. The one-month return of Net Lease Office Properties (NYSE:NLOP) was -22.73%, and its shares lost 30.75% of their value over the last 52 weeks. On January 8, 2026, Net Lease Office Properties (NYSE:NLOP) stock closed at $20.29 per share, with a market capitalization of $300.578 million.

Kingdom Capital Advisors stated the following regarding Net Lease Office Properties (NYSE:NLOP) in its fourth quarter 2025 investor letter:

“Net Lease Office Properties (NYSE:NLOP) and AIV continued to sell properties and move toward full liquidation. NLOP has now declared $12.30 of dividends per share in 2025 and should be able to return another $10/share in early 2026 once pending sales close. Net Lease Office Properties, our largest portfolio position, advanced their liquidation plan and yet the stock had minimal price appreciation in 2025.”

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Net Lease Office Properties (NYSE:NLOP) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 14 hedge fund portfolios held Net Lease Office Properties (NYSE:NLOP) at the end of the third quarter, up from 11 in the previous quarter. While we acknowledge the risk and potential of Net Lease Office Properties (NYSE:NLOP) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Net Lease Office Properties (NYSE:NLOP) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Net Lease Office Properties (NYSE:NLOP) and shared Alluvial Capital Management’s views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.