CPPTL

In addition to the following disclosures, please refer to the explanation of qualification and limitations on forward-looking statements beginning on page 22 and you should also refer to the other information contained in this report, including the accompanying consolidated financial statements and the related notes.
Rising interest rates can cause cap rates to increase, which results in lower property values.
While the Federal Reserve lowered interest rates in 2025 and has indicated that they may cut interest rates again in 2026, interest rates remain elevated compared to prior years, and there is no guarantee that the Federal Reserve will further reduce rates.
These uncertain economic conditions may also have various other negative effects for the portfolio of our investments, such as declining sales for the Tenant and its affiliates, which in turn would increase the likelihood of a default by the Tenant under the Lease.
If the Trust is unable to sell the Properties within the approved sale period, as the same may be extended by a vote of the Certificateholders, the Properties may be transferred into a REIT or other alternative investment vehicle.
The Trust may not be able to sell all of the Properties by April 30, 2026, or any extended sale period approved by the Certificateholders (the “approved sale period”).
Should the Trust be unable to sell all of the Properties within the approved sale period, the Manager may develop a plan for the conversion of one or more subsidiaries of the Trust to a REIT or the transfer of the Properties to an alternative investment vehicle.
As of December 31, 2025, the Trust has not committed to an extension beyond April 30, 2026 or a plan for conversion but will continue to evaluate its options.
The Trust shall terminate on April 30, 2026 unless the Trustee (in consultation with the Manager) and the Majority Certificateholders determine that a fixed period extension is necessary to complete the recovery on, and disposition of, the Trust Assets.
The Trust is uncertain what would happen if the Trust’s term were not extended prior to the completion of the Trust’s sale of the remaining Properties, which the Trust does not expect to be completed by the Trust’s current termination date.
Were the Trust’s term not extended, the Trustee or a Certificateholder could seek guidance from a court regarding administration of the Trust.
Claims from our recently terminated sales process may interfere with our ability to sell our remaining Properties.
On December 26, 2025, we terminated the agreement to sell the Properties.
Before the Agreement was terminated, the Buyer sued the Company’s subsidiaries for specific performance and breach of contract.
We believe that these claims are without merit and are proceeding accordingly.
However, this litigation and related procedural filings could interfere with our ability to sell the Properties until it is resolved.
Furthermore, competition may begin to emerge on the basis of information technology infrastructure.
The federal government has enacted, and some of the states and localities in which we operate may enact, certain climate change laws and regulations or have begun regulating carbon footprints and greenhouse gas emissions.
Although these laws and regulations have not had any known material adverse effects on our business to date, they could result in increased compliance costs or reduce the occurrence of operations that drive demand for our properties and have an adverse impact on our business.
We cannot predict how future laws and regulations, or future interpretations of current laws and regulations, related to climate change will affect our properties, business, results of operations and financial condition.
Inflation, tariffs and economic conditions may increase our operating and capital costs.
In 2025, the federal reserve cut their rates by 75 basis points and has indicated that they may cut interest rates again in 2026.
Furthermore, the increased interest rates could affect our Tenant's business and borrowing costs, which in turn could impact their ability to make timely payments to us.
The continued risk of tariffs, whether newly imposed or expanded also creates uncertainty in pricing, sourcing and planning for our Tenant.
Given that core inflation has proved persistent and tariffs may be used as geopolitical or trade tools, there is no assurance that interest rates, costs or tariff-related pressures will stabilize, increase or decrease in the foreseeable future.
Given the limited trading of the Certificates, the market price for the Certificates may be volatile, potentially influenced by the following: • sales of Properties held by the Trust; • changes in real estate market conditions; • actual or anticipated fluctuations in the Trust’s or the Tenant's quarterly or annual financial results; • the financial guidance and projections the Trust may provide to the public, any changes in such guidance and projections, or the failure to meet such guidance and projections; • changes in the market valuations of other companies in the same industry as the Trust; • various market factors or perceived market factors, including rumors, whether or not correct, involving the Trust, the Properties, potential buyers of the Properties, the Tenant, the Lease Guarantor, the impact of the preferential offer rights held by the Tenant and the Trust’s or Tenant's competitors; • sales, or anticipated sales, of large blocks of Trust Certificates, including short selling by investors; • regulatory developments; • litigation and governmental or regulatory investigations; and • general economic, political and financial market conditions or events.
The Certificateholders take no part in the management of the Trust, but have given direction through majority Certificateholders vote under the Trust Agreement.
Accordingly, the Certificateholders do not have the right to take actions that may be taken by shareholders of companies where shares carry such rights.

Gone since FY2024

In addition to the following disclosures, please refer to the explanation of qualification and limitations on forward-looking statements beginning on page 21 and you should also refer to the other information contained in this report, including the accompanying consolidated financial statements and the related notes.
Rising interest rates have likewise caused cap rates to increase, which results in lower property values.
These deteriorating economic conditions may also have various other negative effects for the portfolio of our investments, such as declining sales for the Tenant and its affiliates, which in turn would increase the likelihood of a default by the Tenant under the Lease.
If the Trust is unable to sell the Properties within the approved sale period, as the same may be extended by a vote of the Certificateholders, the Properties may be transferred into a REIT.
The Trust may not be able to sell all of the Properties by December 10, 2025, or any extended sale period approved by the Certificateholders (the “approved sale period”).
Should the Trust be unable to sell all of the Properties within the approved sale period, the Manager may develop a plan for the conversion of one or more subsidiaries of the Trust to a REIT, the contribution of one or more of the Properties to an existing REIT, or the transfer of the Properties to an alternative investment vehicle.
As of December 31, 2024, the Trust has not yet committed to an extension or plan for conversion but will continue to evaluate its options.
Furthermore, competition may begin to emerge on the basis of information technology infrastructure as well.
For example, in December 2023, the Environmental Protection Agency (“EPA”) issued a rule that sharply reduces emissions of methane and other harmful air pollution from oil and natural gas operations, including from existing sources nationwide.
The rule includes New Source Performance Standards, to reduce methane and smog-forming volatile organic compounds from new, modified and reconstructed sources, and Emissions Guidelines, which set procedures for states to follow as they develop plans to limit methane from existing sources, including oil and natural gas operations.
While we cannot be certain of this rule’s impact as we wait for states to submit their plans to the EPA for approval, we anticipate that this could increase costs of compliance, reduce occurrence of operations that drive demand for our properties and have an adverse impact on our business.
Additionally, the SEC is considering implementing new climate change disclosure rules and other federal or state agencies may do the same.
These new reporting rules may be difficult to comply with, increase costs of operation and influence customer behavior and demand.
The recent change in the U.S. presidential administration, along with the overturning of the Chevron doctrine, which previously granted judicial deference to regulatory agencies, has increased uncertainty in the regulatory and legislative processes.
As a result, we cannot predict whether challenges to existing agency regulations will increase, or how lower courts will interpret this decision in relation to other regulatory schemes without further clarification from the U.S.
This could have significant consequences on tax laws and regulations, environmental and health and safety laws and regulations, local zoning, usage and other regulations relating to real property, and the ADA and other regulatory areas with which we must comply.
Furthermore, new policy approaches may unintentionally impact our business and affect our ability to operate as we have in the past.
Inflation and increased interest rates may increase our operating and capital costs.
In 2022, inflationary pressures resulting from COVID-19 relief and aid programs, supply chain constraints and generally improved economic conditions increased our costs for third-party compensation and other costs necessary to operate our business, and our customers’ costs of living.
The general economy in 2022 was also affected by the war in Ukraine and associated increase in energy costs.
Federal Reserve held rates steady in their January 2025 meeting and indicated the pause will likely continue for the remainder of 2025.
Furthermore, the increased interest rates could affect our Tenant's businesses and borrowing costs, which in turn could impact their ability to make timely payments to us.
Given that core inflation has proved persistent, there is no telling if interest rates will stabilize, increase or decrease.
Given the limited trading of the Certificates, the market price for the Certificates may be volatile, potentially influenced by the following: • sales of Properties held by the Trust; • changes in real estate market conditions; • actual or anticipated fluctuations in the Trust’s quarterly or annual financial results; • the financial guidance and projections the Trust may provide to the public, any changes in such guidance and projections, or the failure to meet such guidance and projections; • changes in the market valuations of other companies in the same industry as the Trust; • various market factors or perceived market factors, including rumors, whether or not correct, involving the Trust, the Properties, potential buyers of the Properties, the Tenant, the Lease Guarantor, the impact of the preferential offer rights held by the Tenant and the Trust’s or Tenant's competitors; • sales, or anticipated sales, of large blocks of Trust Certificates, including short selling by investors; • regulatory developments; • litigation and governmental or regulatory investigations; and • general economic, political and financial market conditions or events.
The Certificateholders take no part in the management or control of the Trust.
Accordingly, the Certificateholders do not have the right to authorize actions, appoint service providers or take other actions as may be taken by shareholders of other trusts or companies where shares carry such rights.

Sentence-level comparison of Item 1A in the two most recent 10-Ks (FY2024 ↗, FY2025 ↗). A reworded sentence counts as one dropped and one added, so heavy edits read as low “kept”. Headings and page furniture are stripped; nothing is summarised by a model.

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