American Assets Trust Inc (AAT) 2025 Q3 法說會逐字稿

Good morning everyone and welcome to the American Assets Trust Inc's Third quarter 2025 earnings call.

各位早安，歡迎參加美國資產信託公司2025年第三季財報電話會議。

(Operator Instruction)

（操作說明）

I would now like to turn the floor over to Meliana Leverton, Associate General Aounsel of American Assets Trust. Please go ahead.

現在我謹將發言權交給美國資產信託公司的副總法律顧問梅利亞娜‧萊弗頓。請繼續。

Thank you and good morning. The statements made on this earnings call include forward-looking statements based on current expectations, which statements are subject to risks and uncertainties discussed in the company's filings with the SEC. You are cautioned not to place undue reliance on these forward-looking statements, as actual events could cause the company's results to differ materially from these forward-looking statements. Yesterday afternoon, American Assets Trust's earnings release and supplemental information were furnished to the SEC on Form-8K. Both are now available on the investors section of its website, AmericanAssetsTrust.com. It is now my pleasure to turn the call over to Adam Wyll, President and CEO of American Assets Trust.

謝謝，早安。本次財報電話會議所作的陳述包括基於當前預期的前瞻性陳述，這些陳述受到公司向美國證券交易委員會提交的文件中討論的風險和不確定性的影響。請注意，不要過度依賴這些前瞻性陳述，因為實際事件可能導致公司業績與這些前瞻性陳述有重大差異。昨天下午，美國資產信託公司以 8K 表格的形式向美國證券交易委員會提交了收益報告和補充資料。這兩項內容現在都可以在其網站AmericanAssetsTrust.com的投資者關係板塊找到。現在我很高興將電話轉交給美國資產信託公司總裁兼執行長亞當威爾先生。

Thank you. Good morning, everyone, and thank you for joining us today. At American Assets Trust, we remain focused on executing with discipline and consistency. Our vertically integrated platform, high-quality coastal portfolio, and thoughtful approach to capital allocation continue to provide resilience and opportunity. As always, we remain focused on creating long-term value for shareholders across cycles.

謝謝。各位早安，感謝大家今天收看我們的節目。美國資產信託公司始終專注於以嚴謹和一致的態度執行任務。我們垂直整合的平台、高品質的沿海資產組合以及深思熟慮的資本配置方法，持續為我們提供韌性和機會。一如既往，我們始終專注於在各個經濟週期中為股東創造長期價值。

For the Third quarter, funds from operations came in at $0.49 per diluted share. Just ahead of our internal projections, supported by continued leasing progress, disciplined expense management, and minimal utilization of our bad debt reserve, portfolioide, same store in Hawaii was slightly down for Q3 and is up almost 1% year-to-date, which candidly is tracking with what we've characterized as a transition year. Collections remain strong and our teams continue to execute to the best of our abilities across all asset classes.

第三季度，營運資金為每股攤薄收益 0.49 美元。略高於我們內部的預測，得益於租賃工作的持續進展、嚴格的費用管理以及壞賬準備金的最低使用率，夏威夷同店銷售額在第三季度略有下降，但今年迄今為止增長了近 1%，坦率地說，這符合我們所說的過渡年的情況。收款情況依然強勁，我們的團隊繼續在所有資產類別中盡最大努力執行各項工作。

The broader economic backdrop remains mixed. Interest rates have shown signs of stabilizing after two years of volatility. Inflation has moderated but remains above long-term targets, and consumer confidence has softened, perhaps less than some had feared.

整體經濟情勢依然喜憂參半。經過兩年的波動，利率已出現穩定跡象。通膨有所緩和，但仍高於長期目標；消費者信心減弱，但可能沒有一些人擔心的那麼嚴重。

At the same time, capital markets activity remains relatively subdued for commercial real estate. Against this backdrop, our strategy of owning irreplaceable coastal assets, maintaining a strong balance sheet, and operating through a fully integrated platform continues to serve us well, underscoring the durability of our long-term approach.

同時，商業不動產的資本市場活動依然相對低迷。在此背景下，我們擁有不可替代的沿海資產、保持強勁的資產負債表以及透過完全一體化的平台進行營運的策略繼續為我們帶來良好效益，凸顯了我們長期策略的持久性。

Turning to portfolio updates, the office sector remains selective, and we remain very part of that select set. Tenants are focused on well located, monetized and institutionally managed assets, and our portfolio is designed to meet those demands. Our office portfolio ended the quarter 82% leased with our same store office portfolio 87% leased, and 5% of the office portfolio includes signed leases that have not commenced paying cash rents.

再來看投資組合的最新情況，辦公大樓市場依然是精挑細選的，而我們仍然是這眾多精選投資者中的一員。租戶關注的是位置優越、已實現盈利且由機構管理的資產，而我們的投資組合正是為了滿足這些需求而設計的。本季末，我們的辦公大樓租賃組合出租率為 82%，同店辦公大樓租賃組合出租率為 87%，另有 5% 的辦公大樓租賃組合已簽署但尚未開始支付現金租金。

Same store office NOI increased positively for the quarter ahead of expectations, despite almost 160,000 square feet of known move outs at first in Maine toy reserve in 14 acres.

儘管緬因州玩具儲備區 14 英畝的土地上最初有近 160,000 平方英尺的已知搬遷，但本季同店辦公室淨營業收入仍超出預期實現正增長。

We completed approximately 180,000 square feet of office lea leasing during the quarter with comparable rent spreads increasing 9% on a cash basis and 18% on a straight line basis, reinforcing that our best in class buildings continue to attract tenants even in a competitive environment. Importantly, while the time it takes to finalize office leases has lengthened across our markets, we are not losing deals as a result. Tenants are simply being more deliberate. Along those lines, entering Q4, we have over 25,000 square feet of signed leases and another 56,000 square feet of lease documentation with proposal activity over several 100,000 square feet.

本季我們完成了約 180,000 平方英尺的辦公大樓租賃，可比租金差額按現金計算增長了 9%，按直線法計算增長了 18%，這進一步證明，即使在競爭激烈的環境中，我們一流的辦公大樓仍然能夠吸引租戶。重要的是，雖然在我們各個市場完成辦公租賃所需的時間有所延長，但我們並沒有因此而失去交易。租戶們只是更加謹慎了。由此可見，進入第四季度，我們已簽署超過 25,000 平方英尺的租賃協議，另有 56,000 平方英尺的租賃文件正在審批中，並且有數十萬平方英尺的租賃提案正在進行中。

At our new La Jolla Commons Tower 3 following quarter end, we executed leases or have leases and documentation for another 8% of the space with proposals out on another 15%. Momentum is clearly building with increased tours and RFP activity, and we remain optimistic that additional leasing will follow. Meanwhile, the new (Travis Wyard restaurant) opening later this year will further enhance the already robust amenity package at the campus.

在拉霍亞公共大廈 3 號大樓，經過一個季度的建設，我們已經簽署或簽訂了另外 8% 空間的租賃協議和相關文件，並已就另外 15% 的空間提出了提案。參觀人數和招標活動明顯增多，發展勢頭強勁，我們仍然樂觀地認為會有更多租賃活動隨之而來。同時，今年稍後開業的新餐廳（Travis Wyard 餐廳）將進一步提升校園內已有的完善配套設施。

Combined with the scarcity of large blocks of Class A space and UTC, we believe this positions us well to capture demand in one of the healthiest office submarkets in the country.

鑑於 A 級辦公空間和 UTC 的大型地塊稀缺，我們相信這使我們能夠很好地掌握全國最健康的辦公大樓次級市場之一的需求。

At one Beach Street in San Francisco we saw continued touring activity and are in active negotiations for portions of the building. While San Francisco continues to evolve through its recovery, there are encouraging signs of improved tenant engagement at the highest quality property such as ours, and we are confident that selective demand will find its way to our assets. It's only a matter of time.

在舊金山海灘街的一處房產，我們看到了持續不斷的參觀活動，並且正在積極洽談購買建築物的部分區域。雖然舊金山仍在復甦過程中不斷發展，但像我們這樣的高品質物業的租戶參與度有所提高，這令人鼓舞，我們相信，有選擇的需求終將流向我們的資產。這只是時間問題。

Our retail portfolio continues to perform well thanks to strong consumer spending across our centers. Nationally, retail availability remains near record lows. New construction is virtually nonexistent, and asking rents have continued to rise. At quarter end, our retail portfolio is 98% leased with 2% signed but not commenced paying cash rents. We executed over 125,000 square feet of new and renewal leases in Q3, with spreads increasing over 4% on a cash basis and 21% on a straight line basis.

由於旗下各購物中心的消費者支出強勁，我們的零售業務組合持續表現良好。全國範圍內，零售供應量仍接近歷史最低水準。新建房屋幾乎不存在，而租金卻持續上漲。截至季末，我們的零售物業組合已出租 98%，另有 2% 的物業已簽約但尚未開始支付現金租金。第三季度，我們簽訂了超過 125,000 平方英尺的新租約和續約合同，現金價差增長超過 4%，直線法價差增長超過 21%。

Same store NOI was about $400,000 less than the comparable period, largely reflecting the amount and timing of expense reimbursements, as well as lost rents from Party City and reduced rent from at home due to their bankruptcy.

同店淨營業收入比去年同期減少了約 40 萬美元，這主要反映了費用報銷的金額和時間，以及 Party City 的租金損失和由於其破產導致在家辦公的租金減少。

Nevertheless, tenant sales and foot traffic remain solid, supported by favorable demographics, resilient employment, and limited new supply in our markets. Our focus remains on securing best in class retailers, maintaining high occupancy, and continuing to drive rent growth over time.

儘管如此，在有利的人口結構、穩定的就業情況以及我們市場中有限的新供應的支持下，租戶銷售額和客流量仍然保持穩健。我們將繼續專注於吸引一流零售商入駐，保持高入住率，並持續推動租金成長。

In multi-family performance in San Diego reflected the dynamics of a market working through new supply. Rent growth has decelerated, yet our blended average rents remained positive, and the occupancy improved as we exited the quarter, higher than a year ago, even as we enter the seasonally slower leasing period.

聖地牙哥多戶住宅市場的表現反映了市場在新供應湧入過程中的動態變化。租金成長速度有所放緩，但我們的綜合平均租金仍然為正，而且隨著季度結束，入住率有所提高，高於去年同期，即使我們進入了季節性租賃淡季。

At quarter end, our San Diego communities, excluding our RV park were 94% leased, which is closer to 95% leased today based on recent leasing momentum.

截至季末，我們聖地牙哥的社區（不包括我們的房車公園）出租率為 94%，根據最近的租賃勢頭，目前的出租率已接近 95%。

Same store performance was notably impacted by higher concessions, military-related deployments, and move outs impacting almost 30 units in our South Bay assets, a reduction in international student occupancy at Pacific Ridge tied to recent administration policies, and the timing of certain property expenditures.

同店業績受到顯著影響，主要因素包括：更高的優惠、與軍事相關的部署和搬遷（影響了我們在南灣的近 30 個單元）、太平洋嶺國際學生入住率下降（與最近的行政政策有關）以及某些物業支出的時間安排。

We achieved rent increases of 5% on renewals and 2% on new leases for a blended increase of 4%, excluding our new Genesee Park acquisition, rent increases were a 3% blended increase.

我們續租的租金上漲了 5%，新租的租金上漲了 2%，綜合上漲了 4%；如果不包括我們新收購的 Genesee Park，綜合上漲了 3%。

In Portland, Haselow and 8th ended the quarter 91% leased and delivered slightly positive blended rent growth of 1%. Although the market continues to absorb new deliveries and faces affordability challenges, we are encouraged by steadying leasing activity and strong retention.

在波特蘭，Haselow 和 8th 的出租率在本季末達到 91%，綜合租金略微增加了 1%。儘管市場仍在消化新交付的車輛，並面臨價格承受能力方面的挑戰，但我們對租賃活動的穩步增長和強勁的客戶留存率感到鼓舞。

Looking ahead, the 4,000 seat live music venue under construction across the street from Hasselo scheduled to open in 2027 will add vibrancy and help drive continued demand. We recognize there is still room for improvement in multi-family lease percentages and rent levels, and our teams remain focused on driving occupancy and capturing long-term rent growth.

展望未來，位於 Hasselo 對面、正在建設中的可容納 4000 人的現場音樂演出場所計劃於 2027 年開放，這將增添活力並有助於推動持續的需求。我們認識到多戶住宅租賃率和租金水平仍有提升空間，我們的團隊將繼續專注於提高入住率和實現長期租金成長。

At Waikiki Beach Walk, our retail component continues to perform in line with expectations while our embassy suites lagged due to softer tourism and heightened rate competition in Oahu.

在威基基海灘步道，我們的零售業務繼續保持符合預期，而我們的使館套房由於旅遊業疲軟和瓦胡島價格競爭加劇而表現不佳。

Arrivals have been below prior year levels, reflecting both the stronger dollar and increased competition from other destinations. In addition, the hotel has been further impacted by labor and utility cost pressures, and our guest base, which is more cost conscious, has felt the effects of economic uncertainty more acutely.

入境遊客人數低於往年同期水平，反映出美元走強以及來自其他目的地的競爭加劇。此外，飯店也受到勞動力和公用事業成本壓力的進一步影響，而我們的客人群體對成本更加敏感，因此對經濟不確定性的影響也更為強烈。

Of note, in the past 3 months, more than $5 billion of least fee interest beneath major Hawaii hotels have changed hands, and yields of 4% or lower. This activity underscores the long-term strength and scarcity value of owning the fee simple under all of our Hawaii assets. We remain confident in the long-term appeal of this irreplaceable property and our managing costs and revenue opportunities carefully in the interim.

值得注意的是，在過去的 3 個月裡，夏威夷主要飯店下方超過 50 億美元的最低費用權益發生了變更，收益率為 4% 或更低。這項活動凸顯了擁有我們所有夏威夷資產的永久產權的長期優勢和稀缺價值。我們仍然對這處不可替代的房產的長期吸引力充滿信心，並且在此期間我們將謹慎地管理成本和收入機會。

Our priorities are unchanged to convert leasing momentum across our office portfolio, including La Jolla Commons and One Beach, and to sign leases, sustain positive leasing spreads in office and retail leasing, and support stable occupancy and rent growth in our multi-family portfolio as supply is absorbed. At the same time, we are managing expenses tightly and preserving flexibility to capitalize on future opportunities. All of this reflects our disciplined, resilient approach to creating long-term value for our shareholders.

我們的首要任務仍然不變，即鞏固我們辦公大樓組合（包括拉霍亞廣場和海灘一號）的租賃勢頭，簽署租賃協議，維持辦公和零售租賃的正向租金差額，並在供應被消化後，支持我們多戶住宅組合的穩定入住率和租金增長。同時，我們嚴格控制支出，並保持靈活性，以便抓住未來的機會。這一切都體現了我們為股東創造長期價值所採取的嚴謹、穩健的方法。

Finally, I am pleased to share that the board approved a quarterly dividend of $0.34 per share for Q4 payable on December 18th to shareholders of record as of December 4th. In closing, I want to thank our teams across the company for their dedication and execution. Their hard work continues to position American Assets Trust to execute across cycles. With that, I'll now turn the call over to Rob.

最後，我很高興地宣布，董事會批准了第四季度每股0.34美元的季度股息，將於12月18日支付給截至12月4日登記在冊的股東。最後，我要感謝公司各團隊的奉獻與執行力。他們的辛勤努力使美國資產信託公司能夠在各個經濟週期中保持良好的表現。接下來，我將把電話交給羅布。

Thanks, Adam, and good morning everyone. For the Third quarter, FFO was $0.49 per diluted share. Netcom attributable to common stockholders was $0.07 per diluted share, and total revenue was $110 million for the quarter.

謝謝亞當，大家早安。第三季度，每股攤薄收益為 0.49 美元。Netcom 歸屬於普通股股東的每股稀釋收益為 0.07 美元，本季總收入為 1.1 億美元。

Results were generally stable sequentially, with modest variability by segment, largely reflecting known office move outs, expenses, timing, and softer tourism trends in Hawaii.

結果大致保持穩定，各細分市場略有波動，這主要反映了已知的辦公室搬遷、支出、時間表以及夏威夷旅遊業的疲軟趨勢。

Specifically, the $0.03 decline in FFO from Q2 to Q3 reflects Five things.

具體來說，FFO 從第二季到第三季下降 0.03 美元反映了以下五件事。

First, slightly lower office contribution due to a previously disclosed lease expiration at first in May, and the tenant termination at City Center Bellevue, which, despite being cash positive with an immediate backfill, resulted in a GAAP impact from writing off remaining straight line rent.

首先，由於先前披露的租約在 5 月到期，辦公室貢獻略有下降；其次，貝爾維尤市中心的租戶終止了租賃，儘管現金流為正，並且立即找到了替代租戶，但由於沖銷了剩餘的直線租金，導致 GAAP 產生了影響。

Second, retail results reflected timing of property tax refunds recognized in Q2 that did not repeat in Q3. Third, lower family base rent at Pacific Ridge from summer student move outs and that hassle from Portland Oversupply, along with higher operating expenses portfolio wide.

其次，零售業績反映了第二季確認的房產稅退款的時間，而第三季並未重現這些退款。第三，由於夏季學生搬出以及波特蘭供應過剩的麻煩，太平洋嶺的家庭基本租金降低，同時整個投資組合的營運費用也較高。

Fourth, softer tourism and rate pressure in Oahu, and fifth, partially offset by 1.1 million lease termination fee recognized in the quarter.

第四，瓦胡島旅遊業疲軟，價格壓力增大；第五，部分被本季確認的 110 萬美元租約終止費所抵銷。

Let's talk about same store cash in Hawaii.

我們來聊聊夏威夷同店的現金交易吧。

For all sectors, same store cash NOI combined decreased by 0.8% in the third quarter of 2025 compared to the same period in 2024, which was generally in line with our expectations for a transition year.

2025 年第三季所有產業的同店現金淨營業收入合計比 2024 年同期下降了 0.8%，這基本上符合我們對過渡年的預期。

Breaking Q3 out by segment and each as compared to Q3 2024, our same store office portfolios NOI increased by 3.6%, benefiting from rent commencements and higher rents at our city center Bellevue property and the expiration of rent abatements at Torrey reserve.

將第三季按業務板塊細分，並與 2024 年第三季進行比較，我們的同店辦公大樓組合淨營業收入成長了 3.6%，這得益於貝爾維尤市中心物業的租金開始支付和租金上漲，以及托里保護區租金減免到期。

Our same store retail portfolios NOI declined by 2.6%, driven by credit-related loss of rents mentioned by Adam, as well as timing of expense reimbursements. Our same store multi-family portfolios NOI declined by 8.3%, reflecting supply headwinds in San Diego and expense pressure at select properties.

由於 Adam 提到的與信貸相關的租金損失以及費用報銷的時間安排，我們的同店零售投資組合淨營業收入下降了 2.6%。我們的同店多戶住宅投資組合淨營業收入下降了 8.3%，反映出聖地牙哥的供應逆風和部分物業的支出壓力。

Our same store mixed use portfolios and declined by 10%, primarily driven by lower than anticipated occupancy and average daily rate at Embassy Suites, Waikiki.

我們的同店混合用途投資組合下降了 10%，主要原因是威基基大使套房飯店的入住率和平均每日房價低於預期。

Specifically and compared to Q3 2024, paid occupancy for Q3 2025 was lowered by 5.5%. revenue PAR for Q3 2025 was $298 down to 11.7%. ADR for Q3 2025 was $381 down 5.4%. And that operating income for Q3 2025 was approximately 2.7 million down 0.9 million.

具體而言，與 2024 年第三季相比，2025 年第三季的付費入住率下降了 5.5%。 2025 年第三季的平均每間可售房收入為 298 美元，下降至 11.7%。2025 年第三季 ADR 為 381 美元，下跌 5.4%。2025 年第三季的營業收入約為 270 萬美元，比去年同期減少了 90 萬美元。

These results are similar to other hotels in our concept in Waikiki, Hawaii. We view these macroeconomic pressures as near term and not reflective of long-term fundamentals, and we remain confident of long-term performance of our Hawaii hotel. In fact, according to preliminary figures from the Japan National Tourism Organization, the number of Japanese nationals traveling overseas in August 25 reached 1.6 million, up 14% year over year. This was the highest monthly outbound volume so far this year.

這些結果與我們在夏威夷威基基的其他同類型飯店的結果類似。我們認為這些宏觀經濟壓力是短期的，並不反映長期基本面，我們對夏威夷酒店的長期業績仍充滿信心。事實上，根據日本國家旅遊局的初步統計，8月25日出國旅遊的日本公民人數達到160萬人，較去年同期成長14%。這是今年迄今最高的月度出境流量。

Compared to pre-pandemic August 2019 levels of 2.1 millions, outbound traffic has now recovered to nearly 80%.

與疫情前的 2019 年 8 月的 210 萬人次相比，目前出境客流量已恢復到近 80%。

The trajectory of outbound travel is clearly upward.

出境旅遊的成長趨勢明顯向上。

August's strong performance reflects pent up leisure demand during the summer holiday season, following fuel surcharges and increasing seat capacity by Japan's two national carriers.

8 月的強勁表現反映了夏季假期期間被壓抑的休閒需求，這得益於日本兩家國家航空公司提高燃油附加費和增加座位運力。

Hawaii continues to be one of the most aspirational overseas destinations for Japanese travelers, and recovery trends in the outbound market directly benefit our property as well as the other properties in Waikiki and surrounding islands.

夏威夷仍然是日本遊客最嚮往的海外旅遊目的地之一，而出境旅遊市場的復甦趨勢直接惠及了我們的酒店以及威基基和周邊島嶼的其他酒店。

Forward-looking trends from JAL and ANA Airlines suggest sustained demand for Q4, and we anticipate this momentum to carry in the winter and spring 2026.

日本航空和全日空航空的前瞻性趨勢表明，第四季度需求將持續，我們預計這種勢頭將延續到 2026 年冬春季。

As outbound volume nears pre-pandemic levels, Hawaii is well positioned to capture an outsize share of the recovery given its strong brand equity, culture affinity, and increasing promotional activity.

隨著出境旅遊量接近疫情前水平，夏威夷憑藉其強大的品牌資產、文化親和力和不斷增加的促銷活動，預計將在復甦中佔據相當大的份額。

Let's talk about liquidity now.

我們現在來談談流動性。

Turning to the balance sheet as of the end of the 3rd quarter, we had total liquidity of approximately $539 million consisting of roughly $1139 million in cash and cash equivalents and $400 million of availability under our revolving line of credit. Our net debt to EBITDA ratio was 6.7 times on a trailing 12 month basis and 6.9 times on a quarter annualized basis. And we remain committed to reducing leverage toward our long-term target of 5.5 times or more.

從第三季末的資產負債表來看，我們的總流動資金約為 5.39 億美元，其中包括約 11.39 億美元的現金及現金等價物，以及循環信貸額度下的 4 億美元可用資金。以過去 12 個月計算，我們的淨負債與 EBITDA 比率為 6.7 倍；以季度年化計算，比率為 6.9 倍。我們將繼續致力於降低槓桿率，朝著 5.5 倍或更低的長期目標邁進。

Our interest coverage of fixed charge coverage ratios were both approximately 3.0 times on a trailing 12 month basis.

過去 12 個月，我們的利息保障倍數和固定費用保障倍數均約為 3.0 倍。

Let's talk about 2025 guidance.

我們來談談2025年的指導方針。

We're raising our full year 2025 guidance range to.

我們將2025年全年業績預期範圍上調至。

$1.93 to $2.01 per FFO share with a midpoint of a $1.97 per share.

每股 FFO 為 1.93 美元至 2.01 美元，中間值為每股 1.97 美元。

This represents $0.02 increase from our prior guidance midpoint of $1.95.

這比我們之前給出的1.95美元的指導價中位數高出0.02美元。

Issued in the second quarter of 2025, the upward revision largely reflects year-to-date performance.

該上調報告於 2025 年第二季發布，主要反映了年初至今的業績。

Our performance towards the high end of the range would depend on consistent rent collections from tenants currently reserved for credit exposure, increased demand and continued expense discipline and multi-family, strengthening near term travel trends at our embassy Suites Waikiki.

我們能否達到業績的高端水平，取決於目前預留給信貸風險的租戶能否持續收取租金，以及不斷增長的需求、持續的成本控制和多戶住宅業務，從而增強我們威基基大使套房酒店的近期旅行趨勢。

Together these levers represent upside potential, and we will continue to monitor each closely as the year progresses.

這些因素共同代表著上漲潛力，我們將在今年繼續密切關注每一個因素的發展。

As a reminder, our guidance in these prepared remarks include the impact of any future acquisitions, dispositions, equity issuances or repurchases, and debt refinancing or repayments, except for those already disclosed.

再次提醒，我們在這些準備好的發言稿中提供的指導意見包括任何未來收購、處置、股權發行或回購以及債務再融資或償還的影響，但已揭露的除外。

We remain committed to transparency. We'll continue to provide clear insights into our quarterly results and the key assumptions that inform our outlook.

我們始終致力於保持透明。我們將繼續提供清晰的季度業績分析以及支撐我們展望的關鍵假設。

Additionally, please note that any non-GAAP financial metrics discussed today, such as net operating income or NOI, are reconciled to the most directly comparable GAAP measures in our earnings release and supplemental materials. I'll now turn the call back over to the operator for Q&A.

此外，請注意，今天討論的任何非GAAP財務指標，例如淨營業收入或NOI，都已在我們的盈利報告和補充材料中與最直接可比的GAAP指標進行了核對。現在我將把電話轉回給接線生進行問答環節。

(Operator Instruction) Todd Thomas, KeyBanc Capital Markets.

（操作員指示）托德·托馬斯，KeyBanc Capital Markets。

Hi, good morning, everyone. This is AJ on for Todd. Appreciate you guys taking my questions. Adam, maybe starting with you, I appreciate your comments just in the opening remarks around the leasing pipeline, but, just maybe pulling on that thread a little more, would you just provide an update with regards to the anticipate timeline to stabilize the La Jolla Commons three and, One Beach Street assets?

大家早安。這裡是AJ替Todd報道。感謝各位回答我的問題。亞當，或許可以先從你開始。我很感謝你在開場白中對租賃流程的評論，但是，或許可以再深入探討一下，你能否提供一下關於 La Jolla Commons 三期和 One Beach Street 資產穩定化預期時間表的最新信息？

Yeah, sure, I'll have Steve offer a little bit more insight, but what we are seeing lately, as I mentioned, is a lot more activity. And so though it's really difficult to pin actual stabilization date, we feel the momentum is carrying us to that date a little quicker than it had been in the past quarters. But Steve, maybe you can add a little bit more color on both of those.

當然，我會讓史蒂夫提供更多見解，但正如我所提到的，我們最近看到的是更多的活動。因此，雖然很難確定實際的穩定日期，但我們感覺目前的勢頭正推動我們比過去幾季更快達到穩定日期。不過史蒂夫，或許你可以為這兩件事增添一些色彩。

Sure, we.

當然，我們。

As Adam mentioned, we signed a lease with an international bank, just last week, and then we have two others in lease documentation. One's a technology company in the legal field and the other is a very high end, insurance company, and then we've got two other proposals totaling actually 17,000 ft. And we've got two other competitors for this 19,000 ft spec suite. So, and then along those lines we're building out more spec suites. We've got another several, spec suites under construction and delivering spaces that are ready to go is really warrant fruit.

正如亞當所提到的，我們上週剛與一家國際銀行簽訂了一份租賃合同，另外還有兩份租賃文件正在辦理中。一家是法律領域的科技公司，另一家是高端保險公司，此外我們還有兩份提案，總金額達 17,000 平方英尺。我們還有另外兩家競爭對手，都在競標這個 19,000 平方英尺的樣板套房專案。所以，我們正沿著這些思路建構更多的測試套件。我們還有幾套樣品套房正在興建中，交付即可入住的空間確實能帶來豐碩的成果。

The bank that we signed went into a spec suite with minor modifications and the other tenants that are prospects. Are largely tenants that that need the space sooner than later. So building the space out, having it ready to go with minor modifications is really playing out well and and the the tenants that are signing leases are are paying the rents. They want the best and they're paying up for it. So we're hitting our numbers on the rent side. So we're very encouraged by that and as Adam said, the activity is picking up.

我們簽約的銀行進駐了一間經過少量改造的樣品屋，其他租戶則是潛在租戶。大部分租戶都需要盡快租用場地。因此，空間的建設進展順利，只需進行一些小的改動即可投入使用，租戶們也都在按時支付租金。他們想要最好的，也願意為此付出代價。所以我們在租金方面達到了目標。所以我們對此感到非常鼓舞，正如亞當所說，活動正在增加。

And with the completion of the restaurant and a major conference center that we're adding to the campus, we think the momentum in 26 is going to be really solid as it relates to one beach we're excited. We just converted our first deal to lease documentation yesterday. We're getting that lease out today, and we hope to sign it.

隨著餐廳和我們正在校園內增建的大型會議中心的竣工，我們認為 26 號地塊的發展勢頭將非常強勁，尤其是在我們非常興奮的那片海灘方面。我們昨天剛把第一筆交易轉為租賃文件。我們今天就會發出租賃合同，希望能夠簽署。

Gosh, by the end of the quarter we expect to. We've got another prospect for the same space actually and so we're we're playing that out and we've got robust tour activity really it's turning into an AI hub of the North Waterfront is in Jackson Square.

天哪，我們預計到本季末就能實現。實際上，我們在同一地點還有另一個潛在項目，所以我們正在推進這個項目，而且我們的參觀活動非常活躍，它正在變成北濱水區的人工智慧中心，就在傑克遜廣場。

There's one pivotal tenant that signed a lease two blocks away that really is creating some gravity in that location and it's interesting we talked to the CEOs of the two firms competing for the same space. They both live in the neighborhood. They can walk to work, so it really is turning out to be this new hub, and it's a great location. They love it. Furthermore, both firms looked at a bunch of space. They looked at competing projects, and they considered that all to be commodity space. And when they got to one beach, they said this is different. This is the first one we've been willing to step up and and make an offer on. So we're encouraged by that feedback, and so. As Adam said, we're more positive about stabilization of both. We can't predict exactly when, but it's sooner than we would have said last time we talked.

有一個重要的租戶在兩個街區外簽了租約，確實為該地區帶來了一定的吸引力，有趣的是，我們採訪了這兩家競爭同一空間的公司的執行長。他們倆都住在附近。他們可以步行上班，所以這裡真的正在成為一個新的中心，而且地理位置優越。他們很喜歡。此外，兩家公司也檢視了很多地方。他們考察了競爭項目，並認為所有這些都屬於同質化領域。當他們到達其中一個海灘時，他們說這裡不一樣。這是我們第一次願意主動出擊，提出報價。所以，我們對這些回饋感到鼓舞，因此。正如亞當所說，我們對兩者的穩定都持更樂觀的態度。我們無法準確預測具體時間，但肯定比上次談話時所說的還要早。

Understood, yeah, I appreciate that color, Steve, I, well, I guess sticking with leasing, you guys are speaking about leases in the quarter. Any known move outs I guess as we look to 26 that we should be aware of?

明白了，是的，我很喜歡這個顏色，史蒂夫，嗯，我想繼續聊租賃吧，你們這季度都在談論租賃。我想問一下，在我們展望26歲生日之際，有沒有什麼已知的搬遷計畫是我們該注意的？

Oh sure there, there's, well they're not known yet, we've got some that we're forecasting. It's about 180,000 ft of of those tenants that that are up in the area, one case is, let's see.

哦，當然有，嗯，雖然目前還不知道，但我們正在進行一些預測。該地區大約有 180,000 平方英尺的租戶，舉個例子，讓我們來看看。

Genentech, they're in 3 floors currently. They're considering getting back a floor, although we question whether that happens. So that'll play out in the next 6 months or so. We've got a full floor health care clinic at Lloyd's 700, that we know is coming back. So we've got 108,000 ft that's that's up in the air. We don't know for certain how that's going to play out, but we've got really strong leasing activity behind it and so we've been able to really.

基因泰克公司目前佔據了三層樓。他們正在考慮恢復樓層，但我們懷疑這是否能夠實現。所以這件事會在接下來的六個月左右見分曉。我們在勞埃德700大廈有一整層的醫療保健診所，我們知道它將重新開業。所以我們現在有 108,000 英尺的高度，那是在空中。我們無法確定最終結果會如何，但我們有非常強勁的租賃活動作為支撐，所以我們能夠真正做到這一點。

Fight really well against against those those tides where we're we're swimming upstream so to speak, but we only went backwards 10 basis points this quarter after losing 70,000 ft of known known givebacks this quarter. So, our new leasing activity is accelerating and the known givebacks this quarter are down to about 23,000 or 24,000 ft. So we think that's going to flip in our favor from an occupancy standpoint next year.

我們與那些逆流而上的浪潮進行了頑強的鬥爭，可以說我們是在逆流而上，但本季度在損失了 70,000 英尺的已知退讓量後，我們只倒退了 10 個基點。因此，我們的新租賃活動正在加速，本季已知的讓步面積已降至約 23,000 或 24,000 平方英尺。所以我們認為，從入住率的角度來看，明年情況會對我們有利。

Perfect, I appreciate that. And then maybe Robert switching to you just real quick on the balance sheet just with leverage sticking up in the quarter, would you just provide some thoughts on the company's current leverage profile and, perhaps plans and a timeline to get back, to under 6 times on the net debt to top basis, closer to your long-term, 5.5 times long-term target.

太好了，非常感謝。然後，羅伯特，也許我們可以快速地從資產負債表的角度談談你，因為本季度槓桿率較高，你能否就公司目前的槓桿狀況談談你的看法，以及是否有計劃和時間表將淨債務與總資產比率降至 6 倍以下，更接近你的長期目標 5.5 倍。

Yeah, from our perspective, we have a plan on how to get there, and the plans really is leasing up one beach and Lol Commons 3, and with that, we'll have approximately $0.30 of additional FFO. We'll be back in the day and the, and all the debt ratios will get closer to 6%, if not below 6 by then. So we feel pretty confident about it. We've met with all three of the rating agencies, and they continue to give us a stable outlook, they understand, and even the rating agencies, all three of them have have commented in their own own information that they share with the public is that it's. It's generally the expectation from their standpoint is it generally 18 months out on leasing up office, high-quality office if it's commodity, forget it, but if it's high, high-quality office like our portfolio, we have a good shot of even beating that. So we'll see, we'll take one step at a time we feel positive about it. It's just the timing thing that's all it comes down to.

是的，從我們的角度來看，我們已經制定了實現目標的計劃，該計劃實際上是出租一個海灘和 Lol Commons 3，這樣一來，我們將獲得大約 0.30 美元的額外 FFO。將來有一天，所有債務比率都會接近 6%，甚至可能低於 6%。所以我們對此相當有信心。我們已經與三家評級機構會面，他們繼續給予我們穩定的展望，他們表示理解，甚至這三家評級機構都在他們自己向公眾分享的信息中評論說，情況就是這樣。從他們的角度來看，通常的預期是，辦公大樓租賃需要 18 個月的時間。如果是普通的優質辦公大樓，那就沒戲了；但如果是像我們這樣的高品質辦公大樓，我們很有可能超越這個預期。所以，我們拭目以待，我們會一步一步來，只要我們對此感到樂觀。歸根究底，關鍵就在於時機。

Sure, I appreciate the time guys thank you.

當然，感謝各位抽出時間。

(Operator Instruction). (Inaudible).

（操作說明）。 （聽不清楚）

Hey, good morning everyone, thanks for taking the question.

大家好，早安，感謝大家回答這個問題。

So I know you mentioned the multi-family portfolio having been weighed on by, higher deliveries in San Diego in addition to higher concessions just trying to get a sense of where you think that segment finishes out the year. Are you're expecting some relief on the concessions front. I believe you've mentioned some stronger leasing recently in the portfolio, so trying to get a sense of where same story I know I might finish the year out.

我知道您提到，由於聖地牙哥的房屋交付量增加以及優惠力度加大，多戶住宅投資組合受到了影響。我只是想了解一下您認為該板塊今年的最終表現如何。你是否期待在讓步方面有所緩解？我相信您最近提到投資組合中一些租賃情況有所好轉，所以我想了解一下，我知道今年年底前可能會出現類似的情況。

Yeah, I mean, well, just to start, the San Diego multifamily, we think that market remains fundamentally resilient, but as I mentioned, the near term NOI is impacted by the higher operating expenses and some of the elevated supply. We have had some incremental leasing success. Maybe Abigail can share that with you high level. I'm not sure that we've modeled that into a year-end NOI projections yet. So we just want to be careful about what we say on that front, but Abigail, do you have commentary perhaps on the incremental leasing we've seen over the past few weeks in our San Diego multifamily?

是的，我的意思是，首先，聖地牙哥的多戶住宅市場，我們認為該市場的基本面依然具有韌性，但正如我所提到的，近期淨營業收入受到營運成本上升和供應量增加的影響。我們在租賃方面取得了一些初步成功。或許艾比蓋爾可以和你分享一些高層次的訊息。我不確定我們是否已將此因素納入年終淨營業收入預測模型。所以我們希望在這方面謹慎發言，但是 Abigail，對於過去幾週我們在聖地亞哥多戶住宅租賃方面看到的增長，你有什麼看法嗎？

Hi, good morning. So we are currently 95% leased and at the end of the quarter, specifically over at Pacific Ridge, we have seen a recent uptick with USD students securing. Tenancies for their upcoming winter and spring semesters, which is really encouraging for us because going into what's traditionally a slower leasing season we're finding that people are securing their units earlier sooner rather than later and then also at our other communities we're finding that leasing is moving forward strongly, specifically over at low. Palisades and that Genesee Park leasing over there has picked up and we're upwards of 96 97% leased again in what's usually a historically slow leasing period for us. We really attribute that as Adam mentioned to well maintained communities. Our properties are in the best zip codes in San Diego and then we also have this incredible team members who are operating these communities, so. We remain optimistic with our leasing through the end of the year and the end of the quarter.

您好，早安。目前我們的出租率已達 95%，而且在本季末，尤其是在 Pacific Ridge，我們看到 USD 學生預訂的數量最近有所增加。即將到來的冬季和春季學期的租約情況非常令人鼓舞，因為在傳統的租賃淡季，我們發現人們會提前鎖定他們的單元，而且在我們其他的社區，我們也發現租賃情況正在強勁推進，尤其是在低地地區。Palisades 和 Genesee Park 的租賃情況有所好轉，在通常租賃業務較為緩慢的時期，我們的租賃率又達到了 96% 到 97%。正如亞當所說，我們認為這確實要歸功於維護良好的社區。我們的房產位於聖地牙哥最好的郵遞區號區域，而且我們還有一支非常優秀的團隊在經營這些社區。我們對年底和本季末的租賃前景依然保持樂觀。

Yeah, (Inaudible), we expect stability to improve as supply is absorbed and expenses normalized, so that's the expectation looking out.

是的，（聽不清楚），我們預期隨著供應被吸收和支出正常化，穩定性將會改善，這就是我們對未來的預期。

Yeah, 1 last question, Remy, you have all three of us talking here on this is that, in San Diego, remember that you have, the Pacific Ridge, which is right across from USC, so we do take a dip, on the move out of tenants from July, August, June, July, August. So that's our dip every year and then we generally come back strong after that. But it's, Abigail is doing a great job keeping the occupancy up, we're as we're as competitive as anybody in San Diego when it comes to rate, but I think overall I think people are feeling, that there is pressure on the operating expenses. It's not just us, it's other multi-family as well, and I think with the competition, especially with compared to Mission Valley. You know there are concessions, so we're doing the best we can, and I don't think we're dissimilar from any other multi-family out there.

是的，雷米，最後一個問題，我們三個都在談論這個問題，那就是，在聖地亞哥，記得你們有太平洋山脊，它就在南加州大學對面，所以我們在7月、8月、6月、7月、8月租戶搬走的時候會經歷一個低谷。所以每年我們都會經歷低谷，但之後通常都會強勁反彈。但是，Abigail 在保持入住率方面做得非常出色，我們在聖地亞哥的房價方面也和任何人一樣具有競爭力，但我認為總的來說，人們都感覺到運營費用方面存在壓力。不只是我們，其他多戶住宅也有同樣的問題，我認為，與 Mission Valley 相比，競爭尤其激烈。你知道，總是會有一些讓步，所以我們正在盡力做到最好，而且我認為我們與其他多戶住宅項目並沒有什麼不同。

Great, appreciate all that color and then maybe a question for Steve primarily good quarter on the office leasing front was hoping you could give some detail around which tenant industries you're seeing the most active in market that'd be very helpful.

太好了，很欣賞這些色彩。接下來我想問史蒂夫一個問題，主要是關於辦公大樓租賃方面，本季表現不錯，希望您能詳細介紹哪些行業的租戶在市場上最活躍，這將非常有幫助。

well, San Francisco, it's AI, and there, there's an emergence of new co-working operators in AI. So but it's really AI driven for the most part there we're seeing some of that in Bellevue as well, but we're also seeing a broad base of of other types of tenants. So we've got a, we got a technology firm that's in the legal industry that's that's in leases at Tower 3. We've got an insurance company I mentioned earlier at Tower 3 that's ultra high end. Network people, that they cater to, let's see, we've got, finance, we've got a company that's for a 4.5 and it's at first in Maine and in Portland, and, they just did a evaluation of the dental practice that we're doing an assignment on so it's interesting. It's just a broad swath of really good quality tenants, law firms, yeah.

嗯，舊金山，那裡是人工智慧領域，人工智慧領域正在湧現新的共同工作業者。所以，這在很大程度上是由人工智慧驅動的，我們在貝爾維尤也看到了一些這樣的例子，但我們也看到了其他類型租戶的廣泛基礎。所以，我們有一家科技公司，它從事法律行業，並且正在租賃 3 號塔樓的辦公室。我之前提到的，3 號塔樓有一家超高階的保險公司。他們服務的對像是網路人士，例如，我們有金融領域的，我們有一家評分為 4.5 的公司，它最初在緬因州和波特蘭開展業務，他們剛剛對我們正在進行一項任務的牙科診所進行了評估，所以這很有趣。這裡聚集了一大批非常優質的租戶，例如律師事務所等等。

Great, thank you for all the answers.

太好了，謝謝你們的解答。

Thanks.

謝謝。

(Operator Instruction) Ronald Kamdem, Morgan Stanley.

（操作說明）羅納德‧卡姆登，摩根士丹利。

Hey guys, this is Matt on Ferran. Was just curious, you guys talked a little bit about the tenant types that are interested in leasing space. Could you talk about the leasing trends between the different submarkets? Would you say there's any markets that are seeing more concentrated interest or if it's just kind of widespread?

大家好，我是Matt，這裡是Ferran的頻道。我只是好奇，你們之前稍微聊過對租賃空間有興趣的租戶類型。能否談談不同細分市場的租賃趨勢？您認為是否存在某些市場表現出更集中的興趣，還是說這種興趣比較普遍？

It's a flight to quality, so I wouldn't talk about it market to market. It's really every market's mixed, not all ships are rising, so it's really the activity is gravitating towards.

這是追求品質的過程，所以我不會逐個市場地談論它。實際上每個市場的情況都不一樣，不是所有船隻都在上漲，所以關鍵在於市場活動正在往哪個方向發展。

To the best properties but also space that's ready to go. That's the biggest trend I'm seeing is tenants don't want to wait for TIs. Every tenant rep broker we talked to, we tell them our strategy of spec suits and having spaces ready to go, said we're spot on, and the results speak for themselves. We've got about, I think 38% of the deals we've done year-to-date have been in spec suites. We're doing about 40% of our vacancy in spec suites, and these are smaller spaces. Our average space is 3000 to 4,000 ft. So it's low risk. We build them out. They're ready to go with minor modifications at most and that design will last longer than the tenancy. And if you look at our our TIs on our renewals, they're very low because we've built up the spaces and they don't require a whole lot of work to relet them.

既要有最好的房產，也要有即刻入住的空間。我看到的最大趨勢是租戶不想等待裝修。我們與每位租戶代表經紀人交談，告訴他們我們的策略是提供現成的公寓和隨時可用的空間，他們都說我們的做法非常正確，結果也證明了這一點。我認為，今年迄今為止我們完成的交易中，大約有 38% 是樣品屋專案。我們約有 40% 的空房是樣品套房，而且這些套房面積較小。我們的平均空間為 3000 至 4000 平方英尺。所以風險很低。我們把它們建起來。他們最多只需要做一些小的改動就可以採用了，而且這種設計比租期更長。如果你看一下我們續租時的租金收入，你會發現它們非常低，因為我們已經對空間進行了翻新，重新出租不需要做太多工作。

Got it thanks and then just as a as a follow-up to that, could you just talk a little bit about how we could think about the office occupancy trajectory over the coming quarters you guys are seeing momentum and leasing and just kind of wondering how that actually builds into the occupancy as we get into 26. Thanks.

明白了，謝謝。然後，作為後續問題，您能否談談我們如何看待未來幾季的辦公大樓入住率走勢？你們看到了租賃的成長勢頭，我想知道這實際上會如何影響我們進入 2026 年的入住率。謝謝。

New leasing is about 70% of our activity right now, so that that bodes well for making up any any known give backs that are coming. a Q3 is a light no good back quarter, so we should make good ground up and you know we've now recognized we're no longer looking at the same store. It's really that 82% is the whole portfolio, including Tower 3 and including one beach. So what it is.

目前，新租賃業務約占我們業務的70%，這預示著我們將能彌補任何已知的損失。第三季通常是業務淡季，所以我們應該能從頭開始扭轉局面。而且，我們現在已經意識到，我們不再關注之前的門市了。實際上，這 82% 指的是整個投資組合，包括 3 號樓和一處海灘。所以，它到底是什麼？

One beach alone will really put a big dent in that tower 3, as I said, the momentum is building, and I think 26 is going to be a real strong year. So I think we'll go positive. We'll go positive in 2026. I can't tell you how far we'll see how those known good banks play out, but the new leasing is strong. If you had to mention several 100,000 ft of proposals, that's the biggest number we've had that I can remember. And our current leasing activity for the year, if we finish out the quarter as expected, it'll be our second best quarter, second best year since I've been here since 2018.

正如我所說，僅僅一個海灘就能對 3 號塔造成很大的衝擊，勢頭正在增強，我認為 26 年將會是強勁的一年。所以我認為我們會取得正收益。我們將在2026年實現獲利。我無法預測這些知名銀行的表現會如何，但新的租賃業務勢頭強勁。如果要列舉幾個 10 萬英尺的提案，那這大概是我記憶中我們收到的最大數字了。如果本季租賃活動能夠如預期完成，這將是我自 2018 年來到這裡以來業績第二好的季度，也是業績第二好的一年。

Matt, we'll have more visibility into that with our next call in terms of occupancy expectations in the office sector. So we'll have dug in a little deeper on that through your end.

馬特，下次通話時，我們會更清楚地了解辦公大樓產業的入住率預期。所以我們會透過你們那邊對此進行更深入的調查。

Got it thanks for the time guys.

明白了，謝謝各位抽出時間。

Thank you.

謝謝。

And ladies and gentlemen, with that we'll be concluding today's question-and-answer session. I'd like to turn the floor back over to Adam for any closing remarks.

女士們、先生們，今天的問答環節到此結束。我想把發言權交還給亞當，讓他做最後的總結發言。

Thank you for your continued support. We hope you enjoyed the call as much as we did, and I hope you have a great day. Thanks, everybody.

感謝您一直以來的支持。希望您和我們一樣享受這通通話，也祝您今天過得愉快。謝謝大家。

And with that we'll conclude today's conference call and presentation. We do thank you for joining. You may now disconnect your lines.

今天的電話會議和演示就到此結束。非常感謝您的參與。現在您可以斷開線路了。