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, |
| 2025 | | 2024 | | 2023 |
| Revenues | | | | | |
| Domestic | $ | 115,808 | | | $ | 133,663 | | | $ | 159,808 | |
| International | 3,107 | | | 8,584 | | | 15,157 | |
| Total | $ | 118,915 | | | $ | 142,247 | | | $ | 174,965 | |
| | | | | | | | | | | |
| | December 31, |
| | 2025 | | 2024 |
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). About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.