NOVA NET LEASE REIT ANNOUNCED FINANCIAL RESULTS FOR THE PERIOD ENDED MARCH 31, 2023

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TORONTO, May 25, 2023 /CNW/ - Nova Net Lease REIT ("NOVA" or the "REIT") (CSE: NNL.U) (OTCQB: NNLRF), a real estate investment trust focused on delivering attractive financing solutions to quality U.S. Cannabis Operators, and strong risk-adjusted returns to Investors in a tax-efficient structure, today announced its financial results for the three months ended March 31, 2023. The Company's financial results are available on SEDAR (www.sedar.com). Results are presented in U.S. dollars.

Results of operations for the period ended March 31, 2023, represented the REIT's fifth full quarter of rental revenue from its initial investment property, a cannabis cultivation facility in Kalamazoo, Michigan. Revenue for the period ended March 31, 2023, was $388,655. General and administrative expenses for the period were $563,860, and finance costs were $53,978. The REIT also recognized a fair value gain on the Class B Units of $240,000 and a fair value loss on investment properties of $39,655 resulting in a net loss of $28,838 for the period ended March 31, 2023.

For further information, please see the Condensed Consolidated Interim Financial Statements for the period ended March 31, 2023, and the related Management's Discussion and Analysis for the same period, which are available on SEDAR at www.sedar.com.

Forward-Looking Statements

This press release contains statements that include forward-looking information within the meaning of Canadian securities laws. These forward-looking statements reflect the current expectations of the REIT regarding future events, including statements concerning the ability of the REIT to achieve its stated investment objectives, any future acquisitions and the future success of the platform. In some cases, forward-looking statements can be identified by terms such as "may", "will", "could", "occur", "expect", "anticipate", "believe", "intend", "estimate", "target", "project", "predict", "forecast", "continue", or the negative thereof or other similar expressions concerning matters that are not historical facts.

These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any result expressed or implied by such forward-looking statements, including the risk factors set forth in the REIT's final Prospectus dated December 22, 2021, under the heading "Risk Factors," the Annual Information Form dated May 3, 2022 and the 2022 Audited Financial Statements.

Although forward-looking statements contained in this press release are based upon what management of NOVA believes are reasonable assumptions, there can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. NOVA undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.

SOURCE Nova Net Lease REIT

Please contact: Stacy Riffe, Chief Financial Officer, Nova Net Lease REIT, Tel: [phone]