I just modified the SQL you sent and put the XML data in # table and wow it is much faster.
INSERT INTO #xmlData
SELECT CAST((SELECT '' + line
FROM #output
FOR XML PATH(''),
TYPE).value('.[1]', 'varchar(max)') AS XML) AS FormattedXML
SELECT item.ref.value('(Property/text())[1]', 'nvarchar(200)') AS Folder,
item.ref.value('(Property/text())[2]', 'nvarchar(500)') AS Access,
item.ref.value('(Property/text())[3]', 'nvarchar(200)') AS UserGroup
FROM #xmlData
AS Sub
CROSS APPLY XmlData.nodes('/Objects/Object') AS item (ref);
Thanks for all your help !