艾芙隆海灣社區公司 (AVB) 2024 Q2 法說會逐字稿

Good morning, ladies and gentlemen, and welcome to AvalonBay Communities second quarter 2024 earnings conference call. (Operator Instructions). Your host for today's conference is Mr. Jason Reilley, Vice President of Investor Relations. Mr. Reilley, you may begin your conference call.

早安，女士們、先生們，歡迎參加 AvalonBay Communities 2024 年第二季財報電話會議。（操作員說明）。今天會議的主持人是投資者關係副總裁 Jason Reilley 先生。賴利先生，您可以開始電話會議了。

Thank you, Paul, and welcome to AvalonBay Communities second quarter 2024 earnings conference call. Before we begin, please note that forward-looking statements may be made during this discussion. There are a variety of risks and uncertainties associated with forward-looking statements, and actual results may differ materially. There is a discussion of these risks and uncertainties in yesterday afternoon's press release as well as in the company's Form 10-K and Form 10-Q filed with the SEC.

謝謝 Paul，歡迎參加 AvalonBay Communities 2024 年第二季財報電話會議。在我們開始之前，請注意，討論期間可能會做出前瞻性陳述。前瞻性陳述存在多種風險和不確定性，實際結果可能有重大差異。昨天下午的新聞稿以及公司向 SEC 提交的 10-K 表格和 10-Q 表格中討論了這些風險和不確定性。

As usual, the press release does include an attachment with definitions and reconciliations of non-GAAP financial measures and other terms, which may be used in today's discussion. The attachment is also available on our website at www.avalonbay.com/earnings, and we encourage you to refer to this information during the review of our operating results and financial performance.

像往常一樣，新聞稿確實包含一個附件，其中包含非公認會計準則財務指標和其他術語的定義和調節，這些術語可能會在今天的討論中使用。此附件也可在我們的網站 www.avalonbay.com/earnings 上取得，我們鼓勵您在審查我們的經營業績和財務業績時參考此資訊。

And with that, I'll turn the call over to Ben Schall, CEO and President of AvalonBay Communities for his remarks. Ben?

接下來，我將把電話轉給 AvalonBay Communities 執行長兼總裁 Ben Schall，聽取他的演講。本？

Thanks, Jason, and thank you, everyone, for joining us today. I'm here with Kevin O'Shea, our Chief Financial Officer; Sean Breslin, our Chief Operating Officer; and Matt Birenbaum, our Chief Investment Officer. I will start by emphasizing a number of key themes that are top of mind and that we believe are important drivers of our continued outperformance and then turn it to Kevin, Sean, and Matt go deeper. As usual, we will reference our investor presentation, starting on page 4 as we proceed through our prepared remarks.

謝謝傑森，也謝謝大家今天加入我們。我和我們的財務長 Kevin O'Shea 一起來到這裡。 Sean Breslin，我們的營運長；以及我們的首席投資長 Matt Birenbaum。首先，我將強調一些最重要的關鍵主題，我們認為這些主題是我們持續出色表現的重要驅動因素，然後由凱文、肖恩和馬特進行更深入的探討。像往常一樣，我們將參考我們的投資者介紹，從第 4 頁開始，我們將繼續進行準備好的評論。

Our operating momentum continued in the second quarter with us exceeding revenue expectations and also successfully managing operating expenses lower. Based on this momentum. We further raised our guidance for the year and are projecting sector-leading full year core FFO and same-store revenue growth among our closest peers. Our operating momentum through the first half of the year has been driven by better-than-expected demand with our core enter, the knowledge-based worker in a relatively strong position right now.

我們的營運勢頭在第二季度持續成長，收入超出了預期，並且成功地降低了營運費用。以此勢頭為基礎。我們進一步上調了今年的指引，預計全年核心 FFO 和同店收入成長將在最接近的同業中處於行業領先地位。我們上半年的經營動力是由好於預期的需求所推動的，我們的核心產品－知識型員工目前處於相對強勢的地位。

Sectors of the economy that encompass our core customer are at effectively full employment with stable job and income prospects. We also continue to benefit from customers strong tilt towards renting versus buying home, given the lack of for-sale inventory and unaffordability. And finally, as expected, we continue to benefit from the low levels of new supply in our suburban coastal markets, a dynamic that should continue to benefit our portfolio versus most of the rest of the sector for another 12 to 18 months at least.

我們核心客戶所在的經濟部門實際上處於充分就業狀態，工作和收入前景穩定。由於缺乏待售庫存且負擔不起，我們也繼續受益於客戶對租房而不是買房的強烈傾斜。最後，正如預期的那樣，我們將繼續受益於郊區沿海市場的低水平新增供應，這種動態至少在未來12 至18 個月內將繼續有利於我們的投資組合，而不是該行業的大多數其他公司。

Our strong internal growth is also being fueled by our continued progress with our operating model transformation. As we detailed at our Investor Day last November, our collective set of initiatives, from our investments and technology and centralization to our reimagined operating neighborhoods. Are driving meaningful operating efficiencies and allowing us to drive healthy increases in ancillary revenue streams.

我們的營運模式轉型不斷取得進展，也推動了我們強勁的內部成長。正如我們在去年 11 月的投資者日上詳細介紹的那樣，我們採取了一系列集體舉措，從投資、技術、集中化到重新構想的營運社群。正在推動有意義的營運效率，並使我們能夠推動輔助收入流的健康成長。

We're on track with these operating initiatives for 2024 with a strong runway of future earnings growth ahead of us. Importantly, we're also increasingly tapping these operating capabilities to drive outsized yields and returns on new developments and acquisitions. Further that point, our platform is uniquely positioned to continue to drive incremental earnings growth and value creation from our external investment activity. Our developments underway continue to outperform, during the quarter, we completed three new development communities at an impressive initial stabilized yield of 7.7%. As noted on slide 5.

我們正在按計劃實施 2024 年的這些營運計劃，未來獲利成長勢頭強勁。重要的是，我們也越來越多地利用這些營運能力來推動新開發和收購的巨大收益和回報。此外，我們的平台具有獨特的優勢，可以繼續推動外部投資活動的增量收益成長和價值創造。我們正在進行的開發項目繼續表現出色，在本季度，我們完成了三個新的開發社區，初始穩定收益率高達 7.7%，令人印象深刻。如投影片 5 所示。

We also incrementally more optimistic about new development adding two additional developments to this year's starts for a total just North of $1 billion. We're underwriting mid-6% yields on this set of new projects well within our strike zone of having 100 to 150 basis points of spread relative to market cap rates and our cost of borrowing.

我們對新開發案也越來越樂觀，在今年開工的基礎上再增加兩個開發項目，總金額略高於 10 億美元。我們為這組新項目承保了 6% 的中期收益率，完全處於我們的目標區域內，相對於市值利率和我們的借貸成本，利差為 100 至 150 個基點。

And as the final differentiator that I'll highlight upfront, we continue to actively reposition our portfolio for superior longer-term growth, heading from 70% suburban to 80% and 8% of our portfolio in our expansion regions to 25%.

作為我首先要強調的最後一個差異化因素，我們繼續積極重新定位我們的投資組合，以實現卓越的長期成長，從郊區的70% 增加到80%，在擴張區域的投資組合從8% 增加到25%。

We believe we are now moving into a more attractive environment to execute on this repositioning, particularly with the froth in rents and cap rates off in our Sun Belt expansion regions. We're also tailing our portfolio in our expansion markets with lower density and lower price point assets at an attractive basis.

我們相信，我們現在正進入一個更具吸引力的環境來執行這項重新定位，特別是在我們的陽光地帶擴張地區租金泡沫和資本化率下降的情況下。我們還在擴張市場中以具有吸引力的基礎，以較低的密度和較低的價格點資產來追蹤我們的投資組合。

At the bottom of page 5, $500 million of the $900 million of capital raised year to date has been from asset sales. At an average cap rate of 5.1%, which we are then reallocating into acquisitions in our expansion markets. The remaining $400 million was our prior unsecured debt deal with an effective rate of 5.05%, including the benefits of swaps we had in place, highlighting our relative cost of capital advantage.

在第 5 頁的底部，今年迄今籌集的 9 億美元資金中的 5 億美元來自資產出售。平均上限率為 5.1%，然後我們將其重新分配到擴張市場的收購中。剩下的 4 億美元是我們先前的無擔保債務交易，有效利率為 5.05%，其中包括我們現有掉期的好處，凸顯了我們的相對資本成本優勢。

Before turning it to Kevin discuss our updated guidance. Let me touch on a couple of the details of our Q2 results. Page 6 provides the detail of our $0.09 core FFO outperformance in Q2, broken down by category. And please take note that $0.02 of this $0.09 outperformance was timing-related and costs we expect to incur in the second half of the year.

在將其交給凱文之前，請討論我們更新的指南。讓我談談第二季業績的一些細節。第 6 頁詳細介紹了我們在第二季度 0.09 美元的核心 FFO 優異表現（按類別細分）。請注意，這 0.09 美元的優異表現中的 0.02 美元與時間相關，我們預計將在今年下半年產生成本。

Slide 7, zoom closer in our Q2 revenue outperformance with better than expected outcomes on lease rates, occupancy and other rental revenue partially offset by bad debt staying more elevated than we had hoped.

投影片 7，我們第二季的營收表現更加出色，租賃率、入住率和其他租金收入的結果好於預期，部分被壞帳維持在高於我們預期的水平所抵銷。

Other than bad debt, our revenue momentum was strong, which is a nice way to Kevin to discuss our updated and increased guidance for the year. Kevin?

除了壞帳之外，我們的收入勢頭強勁，這是凱文討論我們今年更新和增加的指導的好方法。凱文？

Turning to slide 7. You will see our updated 2024 full year financial and operating outlook. Based on our performance to date and our expectations for the remainder of the year. We are raising our projection for full year core FFO per share by $0.11 to $11.02 per share. This represents a year-over-year growth rate of 3.7%, which is a healthy [100] basis point increase relative to our outlook in April and a 220 basis point increase relative to our January outlook.We're also favorably adjusting our expectations for full year same-store revenue, operating expense and NOI growth.

轉到投影片 7。您將看到我們更新的 2024 年全年財務和營運展望。基於我們迄今為止的表現以及我們對今年剩餘時間的預期。我們將全年每股核心 FFO 的預測上調 0.11 美元，至每股 11.02 美元。這意味著同比增長率為3.7%，相對於我們4 月份的展望，這是一個健康的[100] 個基點增長，相對於我們1 月份的展望，增長了220 個基點。的預期全年同店收入、營運費用和 NOI 成長。

We now expect revenue growth of 3.5% and same-store NOI growth of 2.9% in 2024, which are favorable increases of 40 basis points and 80 basis points, respectively relative to our prior outlook in April. Lastly, our midyear forecast includes a strong increase in new development starts of nearly $200 million to just over $1 billion of new starts in 2024. Matt will provide additional details on this activity in a few moments.

我們目前預期 2024 年營收成長 3.5%，同店 NOI 成長 2.9%，相對於 4 月的預期，分別有利成長 40 個基點和 80 個基點。最後，我們的年中預測包括新開發案的開工量將強勁成長近 2 億美元，到 2024 年新開工項目的金額將略高於 10 億美元。馬特稍後將提供有關此活動的更多詳細資訊。

Slide 8 highlights the drivers of the $0.11 increase to our full year projected core FFO per share mid-point relative to our April outlook. Encouragingly and importantly strong performance within the same-store portfolio driving most of the increase. In addition, we are benefiting from outperformance at our lease-up communities. These amounts are partially offset by other items, including minor adjustments in capital markets activity and overhead.

幻燈片 8 強調了我們全年預計核心 FFO 每股中點相對於 4 月份展望上漲 0.11 美元的驅動因素。令人鼓舞且重要的是，同店產品組合的強勁表現推動了大部分成長。此外，我們也受惠於租賃社區的優異表現。這些金額被其他項目部分抵消，包括資本市場活動和管理費用的細微調整。

Slide 9 provides a road map from our second quarter core FFO per share to our third quarter projected core FFO per share mid-point. Looking at the components of the sequential quarterly change, we expect revenue growth from the same-store portfolio and NOI contributions from lease activity and other stabilized communities to drive $0.08 of sequential core FFO per share growth. These contributions will be affected by a combination of higher same-store operating expense growth in the third quarter, which we expect will increase about 6% on a year-over-year basis.

幻燈片 9 提供了從第二季度每股核心 FFO 到第三季度預計每股核心 FFO 中點的路線圖。從環比季度變化的組成部分來看，我們預計同店投資組合的收入成長以及租賃活動和其他穩定社區的 NOI 貢獻將推動核心 FFO 每股環比增長 0.08 美元。這些貢獻將受到第三季同店營運費用成長較高的綜合影響，我們預計同店營運費用將年增約 6%。

Adjustments in capital markets and transaction market activities which are primarily driven by recent net disposition activity in the last month, consistent with our sell first and buy later transaction strategy and by adjustments in overhead expenses.

資本市場和交易市場活動的調整主要是由上個月最近的淨處置活動所推動的，這與我們先賣後買的交易策略以及管理費用的調整是一致的。

In the fourth quarter, we expect reduced same-store operating expense growth. And for full year 2024, we now expect same-store operating expense growth of 4.8%, which is a 60 basis point decrease from our last quarter outlook and an 80 basis point decrease from our January outlook.

第四季度，我們預計同店營運費用成長將減少。對於 2024 年全年，我們目前預計同店營運費用將成長 4.8%，比我們上一季的預期下降 60 個基點，比 1 月的預期下降 80 個基點。

Based on our performance to date, and our projected core FFO per share mid-point for the third quarter, the implied projected core FFO per share midpoint for the fourth quarter of $2.84 per share. Notably, this strong sequential growth in Q4 is primarily driven by our growth from our same-store portfolio and our lease-up communities during the fourth quarter.

根據我們迄今為止的業績以及我們預計的第三季每股核心 FFO 中點，隱含的預期第四季核心 FFO 每股中點為每股 2.84 美元。值得注意的是，第四季度的強勁環比成長主要是由我們的同店投資組合和租賃社區在第四季度的成長所推動的。

I will now turn the call over to Sean.

我現在會把電話轉給肖恩。

All right. Thanks, Kevin. Turning to slide 10. Key portfolio indicators were strong during Q2, and we're off to a good start in Q3. In chart one, turnover remains well below historical norms in part supported by a lower level of move-outs to purchase a home. In Q2 specifically, turnover was down 600 basis points year-over-year or roughly 12%. And was lower than last year in every region. Lower turnover supported relatively stable occupancy and drove higher rent change as we move through the quarter. Effective rent change increased from 3.2% in April to 4% in June before moderating into the high 3% range during July.

好的。謝謝，凱文。轉到投影片 10。第二季的關鍵投資組合指標強勁，第三季我們有一個好的開始。在圖一中，成交量仍遠低於歷史正常水平，部分原因是搬出購屋的人數較低。具體而言，第二季營業額年減 600 個基點，約 12%。各地區均低於去年。隨著本季的發展，較低的營業額支撐了相對穩定的入住率，並推動了更高的租金變動。有效租金變動從 4 月的 3.2% 上升至 6 月的 4%，然後在 7 月放緩至 3% 的高點。

As expected, our East Coast regions delivered the strongest rent change in Q2 of 4.2% and with our Mid-Atlantic portfolio leading the way of roughly 5.5%. Our Northern Virginia and suburban Maryland assets continue to demonstrate strong momentum, but the District of Columbia is still lagging due to weaker demand which is in part due to the federal government's return to the office policies and ongoing supply, which is projected to be roughly 4% of existing inventory this year, before declining to approximately 2.5% in 2025.

正如預期的那樣，我們的東海岸地區在第二季度的租金變化最為強勁，達到 4.2%，而我們的大西洋中部地區的租金變化領先，約為 5.5%。我們的北維吉尼亞州和馬裡蘭州郊區的資產繼續表現出強勁的勢頭，但哥倫比亞特區由於需求疲軟而仍然落後，部分原因是聯邦政府恢復辦公政策和持續供應，預計供應量約為 4今年現有庫存的百分比，然後到2025 年下降至約2.5%。

Our Boston portfolio, which represents high-quality assets and predominantly supply protected suburban submarkets produced rent change in the high-4s during the quarter. New supply in Boston has declined from the low 2% range a year ago to roughly 1.5% this year. And is expected to decline to just above 1% next year for the urban supply projected to be substantially higher than suburban supply. Assuming a relatively static demand environment, the outlook for our suburban Boston portfolio remains quite positive.

我們的波士頓投資組合代表了優質資產，並且主要是供應受保護的郊區子市場，本季的租金變化在 4 左右。波士頓的新增供應量已從一年前的 2% 低點下降至今年的約 1.5%。由於城市供應量預計將大大高於郊區供應量，預計明年將下降至略高於 1%。假設需求環境相對穩定，我們波士頓郊區投資組合的前景仍然相當樂觀。

The Metro New York -- New Jersey portfolio two-third of which is diversified across various suburban submarkets in Westchester, [Long Island], and Central and Northern New Jersey, delivered 4% rent change during the quarter.

紐約-新澤西都會區投資組合的三分之二分佈在韋斯特切斯特、長島以及新澤西州中部和北部的各個郊區子市場，本季租金變化為 4%。

Recently, the strongest growth has occurred across the various submarkets in New York City, Northern New Jersey and Long Island. Some of the more distant locations in Central New Jersey have lag as employees increase their in-office workday requirements in the city.

最近，最強勁的成長出現在紐約市、新澤西州北部和長島的各個子市場。由於員工增加了在該市辦公室的工作日要求，新澤西州中部一些較遠的地點已經滯後。

The West Coast established regions produced rent change in the 3% range our [Seattle] portfolio, which is primarily located in east side and north-end submarkets, led the way with 6% rent change during the quarter. While there are some pockets of new supply in select suburban submarkets, most notably Redmond, most of the new inventory is concentrated in urban submarkets and is not competitive with our portfolio.

西海岸成熟地區的租金變化在 3% 範圍內，我們的[西雅圖]投資組合（主要位於東區和北端子市場）在本季度以 6% 的租金變化領先。雖然某些郊區子市場（尤其是雷蒙德）有一些新供應，但大部分新庫存集中在城市子市場，與我們的投資組合不具競爭力。

On the demand front, major employers like Microsoft and Amazon require more in-person work has supported the increased demand we've experienced throughout the first half of the year. Northern and Southern California lags Seattle with rent change in the mid-2% range. In Northern California, we had better momentum in San Francisco and San Jose, with 3.2% and 4% rent change, respectively, during Q2. However, the East Bay remains soft with the rent change of 50 basis points during the quarter.

在需求方面，微軟和亞馬遜等主要雇主要求更多的面對面工作，這支持了我們今年上半年經歷的需求成長。北加州和南加州的租金變動幅度為 2% 左右，落後於西雅圖。在北加州，舊金山和聖荷西的勢頭更好，第二季租金變化分別為 3.2% 和 4%。然而，東灣仍然疲軟，本季租金變動了 50 個基點。

Given the supply is projected to be below 1% of stock across the major markets in Northern California for this year and next year. Trends could continue to improve in the near future to the extent we realize a modestly stronger level of demand.

鑑於今年和明年北加州主要市場的供應量預計將低於庫存的 1%。只要我們意識到需求水準適度強勁，趨勢在不久的將來可能會繼續改善。

Moving down to Southern California, Orange County produced the strongest rent change at 4.2%, followed by San Diego roughly 3% and [LA] in the 2% range. Orange County and San Diego have been healthy markets year-to-date, but performance across the various submarkets in LA has been choppy and highly correlated with the volume of inventory returning to the submarket from non-paying residents.

向下移動到南加州，橘郡的租金變化最為強勁，達到 4.2%，其次是聖地牙哥，約 3%，[洛杉磯] 則為 2%。橘郡和聖地牙哥今年迄今一直是健康的市場，但洛杉磯各個子市場的表現一直不穩定，並且與非付費居民返回子市場的庫存量高度相關。

As it relates to bad debt, which is depicted in chart four on slide 10. While we're encouraged with the year-to-date trends in underlying bad debt across our same-store portfolio, results were choppy during the second quarter. We're still expecting bad debt to average roughly 1.7% for the full year 2024. At approximately 60 basis point improvement from 2023. As we've stated previously, pre-pandemic bad debt for our portfolio was 50 to 70 basis points. So to the extent we reach that level, we realized an incremental $25 million in revenue or more over the next several quarters.

因為它與壞帳有關，如投影片 10 的圖表四所示。儘管我們對同店投資組合中的潛在壞帳今年迄今的趨勢感到鼓舞，但第二季的業績卻不穩定。我們仍預期 2024 年全年壞帳平均約為 1.7%。較 2023 年提高約 60 個基點。正如我們之前所說，疫情爆發前我們投資組合的壞帳為 50 至 70 個基點。因此，如果我們達到這一水平，我們將在接下來的幾個季度實現收入增量 2500 萬美元或更多。

Transitioning to slide 11 to address our updated revenue outlook for the year. We now expect same-store revenue growth of 3.5% for 2024, an increase of 40 basis points from our most recent outlook. The increased outlook is primarily driven by stronger lease rates. As lower turnover and stronger occupancy in the first half of the year allowed us to achieve higher rental rates than originally anticipated, a trend we expect to continue.

轉到投影片 11 以闡述我們更新的今年營收前景。我們現在預計 2024 年同店營收成長 3.5%，比我們最近的預期增加 40 個基點。前景的提高主要是由於租賃利率上升。由於上半年較低的營業額和較高的入住率使我們能夠實現比最初預期更高的租金，我們預計這一趨勢將持續下去。

We now expect like term effective rent change in the 3% range for the full year 2024, up roughly 100 basis points from the 2% level we expected at the beginning of the year. We realized 3% rent change in the first half of the year and expect to produce similar performance in the second half. We've seen rent change begin to moderate to start the third quarter and consistent with seasonal norms expected to decelerate through the back half of the year.

我們現在預計 2024 年全年的同期有效租金變動將在 3% 範圍內，比我們年初預期的 2% 水準上漲約 100 個基點。我們在上半年實現了 3% 的租金變化，並預計下半年將產生類似的業績。我們看到租金變化從第三季開始放緩，並與預計今年下半年減速的季節性正常水平一致。

We expect renewals in the mid-4% range for the balance of the year, while new move-ins averaged roughly 1.5%. The near-term outlook for lease renewals remains healthy with offers in the low 6% range for August and September.

我們預計今年剩餘時間的續約率將在 4% 左右，而新入住率平均約為 1.5%。近期續約前景依然樂觀，8 月和 9 月的報價在 6% 左右。

Moving to slide 12. You can see where we're projecting stronger revenue performance relative to our prior outlook. In our established regions, we're expecting substantially stronger growth in New England, Mid-Atlantic and Pacific Northwest. We we're expecting modestly better growth in New York, New Jersey and almost no change in Northern and Southern California.

轉到投影片 12。您可以看到，相對於我們先前的展望，我們預期哪些地方的收入表現會更強。在我們已建立的地區，我們預計新英格蘭、大西洋中部和太平洋西北地區的成長將大幅強勁。我們預計紐約和新澤西州的成長將略有改善，而北加州和南加州幾乎沒有變化。

In our expansion regions, Denver and Southeast Florida are expected to perform slightly better than we originally anticipated, but our other expansion regions of Dallas and Charlotte are expected to be weaker primarily as a result of the continued challenging levels of new supply in those markets.

在我們的擴張區域中，丹佛和佛羅裡達州東南部的表現預計將略好於我們最初的預期，但達拉斯和夏洛特的其他擴張區域預計將表現疲軟，主要是由於這些市場的新供應水平持續面臨挑戰。

And then finishing on slide 13, we're on track to realize roughly $10 million of incremental NOI from our operating initiatives in 2024. You can see those results in our same-store portfolio in two areas. First, the expected contribution from other rental revenue, which is projected to increase by 14% year-over-year.

最後完成幻燈片 13，我們預計在 2024 年透過我們的營運計劃實現約 1000 萬美元的增量 NOI。您可以在我們的同店產品組合中的兩個區域中看到這些結果。首先是其他租金收入的預期貢獻，預計將年增14%。

And second, highly constrained payroll costs which have declined year-to-date and are expected to grow at roughly 1% for 2024, which is well below the average merit increase of approximately 4% and is related to a reduction in the number of on-site positions. These reductions relate to the enhanced efficiency of our teams, which is supported by our digital efforts and enabled by our new labor strategy.

其次，工資成本受到高度限制，今年迄今已有所下降，預計 2024 年將增長約 1%，遠低於約 4% 的平均績效增長，並且與員工人數減少有關- 現場位置。這些減少與我們團隊效率的提高有關，這得到了我們的數位化努力的支持，並得到了我們新的勞動力策略的支持。

From a broader perspective, we're on track with the Horizon 1 and 2 financial objectives we communicated during our Investor Day last year, which reflect generating an incremental $80 million NOI from our portfolio. At year-end 2024, we expect to have achieved roughly $37 million of that $80 million and look forward to producing the balance of it over the next few years. We'll continue to keep you informed about our efforts and achievements as we innovate further in the future.

從更廣泛的角度來看，我們正在實現去年投資者日期間傳達的 Horizo​​​​n 1 和 Horizo​​​​n 2 個財務目標，這反映了我們的投資組合產生了 8000 萬美元的增量 NOI。到 2024 年底，我們預計將實現這 8,000 萬美元中的約 3,700 萬美元，並期待在未來幾年內實現剩餘部分。隨著未來進一步創新，我們將繼續向您通報我們的努力和成就。

Now I'll turn it over to Matt to address recently set performance, development starts and capital recycling activities. Matt?

現在我將把它交給馬特來解決最近設定的績效、開發啟動和資本回收活動。馬特？

All right. Great. Thanks, Sean. Turning to our development communities, you can see slide 14 details the continued impressive results being generated by our lease-ups. The six development communities that had active leasing in the second quarter are delivering rents $320 per month or 11% above our initial underwriting, which is translating into a 40 basis points increase in yield.

好的。偉大的。謝謝，肖恩。轉向我們的開發社區，您可以看到幻燈片 14 詳細介紹了我們的租賃持續產生的令人印象深刻的成果。第二季活躍租賃的六個開發社區每月租金為 320 美元，比我們最初的承保高出 11%，這意味著收益率增加了 40 個基點。

And this performance is being supported by strong leasing velocity with these assets averaging [37] net leases per month which was an all-time company record driving our increased guidance for lease-up NOI for the year by roughly $4 million.

這項業績得到了強勁的租賃速度的支持，這些資產平均每月 [37] 淨租賃量創下了公司歷史記錄，推動我們將今年的租賃 NOI 指引提高了約 400 萬美元。

On the strength of these results and with the transaction market providing more insight into current asset values, we are also increasing our projected development start volume for the year, as shown on slide 15. We now expect to break ground on nine new communities this year for a total projected capital cost of $1.05 billion with the vast majority of these starts in either expansion regions or the Northeast and almost exclusively in suburban submarkets.

憑藉這些結果以及交易市場對當前資產價值提供更多洞察，我們也增加了今年預計的開發開工量，如投影片 15 所示。我們現在預計今年將破土動工九個新社區，預計總資本成本為 10.5 億美元，其中絕大多數在擴張地區或東北部開工，幾乎全部在郊區子市場。

Three of these starts occurred in the second quarter, with most of the others expected in Q3, based on today's rents, operating expenses and construction costs, these developments are underwriting to a projected yield of 6.4%, generating our target spread of 100 to 150 basis points over current cap rates. And we control a total development rights pipeline of roughly $4.5 billion, providing plenty of opportunities for future profitable growth in years to come.

其中三項開工發生在第二季度，其他大多數預計在第三季度開工，根據今天的租金、營運費用和建築成本，這些開發項目的預計收益率為 6.4%，我們的目標價差為 100 至 150當前上限利率的基點。我們控制著約 45 億美元的開發權總額，為未來幾年的獲利成長提供了大量機會。

Turning to slide 16. After several quarters, which were quiet, we have also been active in the transaction market recently, closing on five dispositions since our last call for aggregate sales proceeds of $515 million. All of these dispositions were in our established coastal regions and they priced at a weighted average cap rate of 5.1%, reflecting an average price per home of $475,000.

轉到投影片 16。經過幾季的平靜之後，我們最近在交易市場上也表現活躍，自上次呼籲總銷售收益達到 5.15 億美元以來，已完成五項處置。所有這些配置均位於我們已建立的沿海地區，其定價加權平均上限為 5.1%，反映出每套房屋的平均價格為 475,000 美元。

Three of the five sales were also in urban submarkets. Where we are seeing better investor interest after several years, where these locations were heavily out of favor with institutional capital. We've reinvested a bit less than half of this capital so far into three acquisitions in our expansion regions at an average price per home of $260,000. As we are starting to find attractive opportunities to buy the low replacement cost in submarkets and assets that we like.

五筆銷售中的三筆也發生在城市次級市場。幾年後，我們看到投資人的興趣提高，而這些地點嚴重不受機構資本青睞。到目前為止，我們已將其中不到一半的資本再投資到我們擴張區域的三項收購中，每棟房屋的平均價格為 26 萬美元。當我們開始尋找有吸引力的機會來購買我們喜歡的子市場和資產的低重置成本。

Our asset trading activity continues to move us closer to our long-term portfolio allocation goals of having 25% of our portfolio and expansion regions and 80% in suburban submarkets. We will look to redeploy more of those proceeds before the end of the year as well as bring several additional assets to market as we continue to focus on optimizing our portfolio as we grow.

我們的資產交易活動繼續使我們更接近長期投資組合配置目標，即 25% 的投資組合和擴張區域以及 80% 的投資組合位於郊區子市場。我們將在年底前重新部署更多的收益，並將一些額外的資產推向市場，同時我們將繼續專注於優化我們的投資組合。

And with that, I'll turn it back to Ben.

說到這裡，我會把它轉回給本。

Thanks, Matt. I'll wrap up on slide 17 with the highlights from our recent ESG report. Our efforts on sustainability are led by Katie Rotenberg and her team. But it is a full commitment across the entire organization that enables us to continue to make meaningful progress on these collective initiatives, from reducing our operating costs and environmental impact to making ABB more inclusive and diverse and to all of the time invested via volunteering by our local teams, a huge thanks to all AvalonBay associates.

謝謝，馬特。我將在投影片 17 中總結我們最近的 ESG 報告的要點。我們在永續發展方面的努力由 Katie Rotenberg 和她的團隊領導。但整個組織的全面承諾使我們能夠繼續在這些集體舉措上取得有意義的進展，從降低運營成本和環境影響到使 ABB 更具包容性和多樣性，以及我們通過志願服務投入的所有時間。團隊，非常感謝所有AvalonBay 員工。

And with that, I'll turn the call to the operator to facilitate questions.

然後，我會將電話轉給接線員以方便提問。

(Operator Instructions).

（操作員說明）。

Eric Wolfe, Citi.

埃里克·沃爾夫，花旗銀行。

Hey. Thanks. You mentioned in your remarks the strong growth you're seeing in the fourth quarter specifically. I was just wondering if that's a good run rate for us to think about as you go into 2025 or is there's something in that number that wouldn't maybe carry over like lower seasonal costs. Just because you brought up the remarks, I don't know if you were trying to signal something about not your earnings growth going forward?

嘿。謝謝。您在演講中特別提到了第四季的強勁成長。我只是想知道，在進入 2025 年時，這對我們來說是否是一個值得考慮的良好運行率，或者這個數字中是否有一些東西可能不會像較低的季節性成本一樣延續下去。僅僅因為你提出了這些言論，我不知道你是否想傳達一些關於你未來獲利成長的訊號？

Yeah. Eric, this is Kevin. I'll take a crack at this one, others may want to jump in. We weren't trying to signal anything about '25 in terms of our guidance yet. It's a little bit early at this point in the year to do that. Rather recently noting that the fourth quarter would be expected to have a sequential increase in earnings to get from that third quarter to mid-point core FFO per share guidance of $2.71. To the implied mid-point in the fourth quarter of $2.84. That 13% pickup is primarily driven by sequential growth from [3Q to] the fourth quarter in the same-store portfolio.

是的。埃里克，這是凱文。我會嘗試這個，其他人可能想加入。我們還沒有試圖就我們的指導發出任何關於 25 年的信號。今年這個時候這樣做還為時過早。最近指出，預計第四季度的獲利將比第三季連續成長，達到每股核心 FFO 指引值的中點 2.71 美元。至第四季的隱含中點 2.84 美元。 13% 的成長主要是由同店投資組合從[第三季到]第四季的連續成長所推動的。

Much of it is a seasonal decline in operating expenses, but some of it is a sequential continued increase in same-store revenue. (inaudible) that Sean alluded to in his remarks as well some other adjustments. So that was really all we're trying to signal and road map to investors is the growth from 3Q to 4Q and the components the sources of that being kind of coming primarily from same-store as well as continued growth from our lease-up portfolio as well.

其中很大一部分是營業費用的季節性下降，但也有一部分是同店收入的連續持續成長。 （聽不清楚）肖恩在演講中提到了這一點以及其他一些調整。因此，這確實是我們試圖向投資者發出的信號和路線圖，即從第三季度到第四季度的增長，其來源主要來自同店以及我們的租賃投資組合的持續增長以及。

Got it. That's helpful. And then in the presentation, you had some -- about the sort of unevenness in buy back. Can you talk about what you're seeing there, why you're seeing it, what you're seeing sort of suggests that it might be harder to eventually get back to that normal long-term average you typically run at?

知道了。這很有幫助。然後在演示中，你有一些關於回購的不均勻性。您能否談談您在那裡看到的情況，為什麼會看到它，您所看到的情況表明，最終恢復到您通常運行的正常長期平均水平可能會更困難？

Yes, Eric, it's Sean. Yeah. I mean, overall, what I'd say is you sit back and look at it relative to what we've seen in the last couple of years. Things are absolutely trending in the right direction, right? So it's 2.3% last year. We're looking in terms of underlying bad debt. We're expecting that to decline down into the roughly 1.7% range for 2024.

是的，艾瑞克，我是肖恩。是的。我的意思是，總的來說，我想說的是，你可以坐下來，對照我們過去幾年所看到的情況來看待它。事情絕對是朝著正確的方向發展，對嗎？所以去年是2.3%。我們正在尋找潛在壞帳。我們預計 2024 年這一數字將下降至約 1.7% 的範圍。

So it's moved in the right direction, each month, each quarter can be a little bit bumpy based on underlying activity. But I think we're trending in the right direction. We've not provided a precise forecast as to when we would expect it to get back to normal levels. Just based on the underlying activity that has to manifest itself in actually happening, which relates to court cases and various things like that. So we'll certainly provide our best insight as we turn the quarter towards 2025. But you feel good about the overall change from '23 to '24 at this point in time.

因此，它正在朝著正確的方向發展，每個月、每個季度都可能會根據基礎活動而有點坎坷。但我認為我們正朝著正確的方向發展。我們還沒有提供關於何時恢復到正常水平的準確預測。只是基於必須在實際發生中表現出來的潛在活動，這與法庭案件和各種類似的事情有關。因此，當我們將本季轉向 2025 年時，我們肯定會提供最好的見解。但此時您對 23 年到 24 年的整體變化感覺良好。

Got it. Thank you.

知道了。謝謝。

Austin Wurschmidt, KeyBanc Capital Markets.

Austin Wurschmidt，KeyBanc 資本市場。

Is it fair to say that based on the some of the lease rate growth data that you provided for what you expect for the back half of the year, I mean that 3%-ish range that the earn-in heading into next year should be around that mid-1% range, maybe a little bit below that heading into 2025?

可以公平地說，根據您提供的下半年預期的一些租賃率增長數據，我的意思是明年的盈利應該在 3% 左右的範圍內大約在1% 的中間範圍內，也許在2025 年之前會稍微低於這個範圍？

Yeah, Austin, it's Sean. Given where we sit here with kind of half the year left to go, it wouldn't be appropriate to make comments as it relates to what we think the earnings going to be in January. But you can sort of do some math based on rent change last year versus this year and try to reach your own conclusion on that.

是的，奧斯汀，我是肖恩。考慮到我們現在還剩下半年時間，現在發表評論是不合適的，因為這關係到我們認為一月份的盈利情況。但您可以根據去年與今年的租金變化進行一些數學計算，並嘗試得出自己的結論。

That's fair. And then so just based on maybe the projected acceleration in same-store revenue growth from 3Q to 4Q, you mentioned that picks up a bit, and you highlighted in the presentation. I know you don't want to provide too much on '25. But is that directionally what you'd expect then see heading into next year, just given kind of the growth you're getting in the back half of the year on lease rate growth, what you're seeing from a supply perspective? Or is there something specific in the fourth quarter that's causing that re-accelerate?

這很公平。然後，基於預計第三季到第四季同店營收成長的加速，您提到這一點有所回升，並且您在演示中強調了這一點。我知道你不想在 25 日提供太多資訊。但這是您對明年的預期嗎？或者第四季有什麼具體的事情導致這種情況重新加速嗎？

Yeah. I think for the most part, Austin, if you think back to Q4 of last year, we have a little bit softer comps when we get to Q4 of this year and that is in part producing the expectation for a slightly better revenue growth in Q4. As well as the continued activity in a couple of areas.

是的。我認為在很大程度上，奧斯汀，如果你回想一下去年第四季度，當我們進入今年第四季度時，我們的業績會稍微軟一些，這在一定程度上產生了對第四季度收入增長略好的預期。以及幾個領域的持續活動。

One, from an operating initiative standpoint, continue to drive other rental revenue. We continue to push that and see that increasing sequentially as we move quarter-to-quarter. And then consistent with my last comment, we do expect bad debt in the second half of the year, potentially by Q4 to be a little bit better as compared to where we've been. So there's a few things that are contributing to it. But I would say the softer comp from last year is really the primary reason.

第一，從營運主動性的角度來看，繼續推動其他租金收入。我們將繼續推動這一目標，並看到隨著我們每個季度的進展，這一數字將連續增加。與我上次的評論一致，我們確實預計今年下半年的壞帳情況可能會比我們之前的情況有所好轉，到第四季度可能會好一些。所以有一些因素促成了這一點。但我想說，去年的比較疲軟確實是主要原因。

Thanks for the time.

謝謝你的時間。

John Kim, BMO Capital Markets.

約翰金 (John Kim)，BMO 資本市場。

Thank you. Kevin, you mentioned that you expect on same-store expense to rise, I think, in the third quarter to 6% before monitoring back down again in the fourth quarter. Can you just explain that dynamic?

謝謝。凱文，您提到您預計第三季同店費用將上升至 6%，然後第四季再次下降。你能解釋一下這個動態嗎？

Sure. John, it's Kevin. Sean may want to jump in here a little bit. Essentially, what you've got going on in the second quarter, third quarter is a seasonal uptick in the number of the OpEx categories, particularly re-decorating utilities and marketing expenses as well as a timing-related increase in nonroutine expenses. So what you're seeing, you're going through the second quarter, third quarter, essentially $0.09 sequential increase in OpEx in the same-store portfolio.

當然。約翰，是凱文。肖恩可能想在這裡跳一下。從本質上講，第二季和第三季發生的情況是營運支出類別數量的季節性上升，特別是重新裝修公用事業和行銷費用以及與時間相關的非常規費用的增加。所以你所看到的，第二季、第三季同店投資組合的營運支出基本上連續增加了 0.09 美元。

And then in the fourth quarter, you see that reversal seasonally in the fourth quarter Europe going to be the sort of a $0.07 sequential decline from the third quarter -- fourth quarter in OpEx. So that's a little bit of the background on that.

然後在第四季度，您會看到歐洲第四季的季節性逆轉將是營運支出較第三季（第四季）連續下降 0.07 美元。這就是一些背景知識。

And then I wanted to ask about build to rent. It looks like you have a new project in this category in Dallas. I was wondering. How you look at this opportunity going forward and how you anticipate margins in the build-to-rent format versus multifamily?

然後我想問建租的問題。您似乎在達拉斯有一個此類別的新項目。我想知道。您如何看待未來的這個機會以及您如何預測建租模式與多戶型模式的利潤率？

John, I'll start with a couple of comments, and I appreciate you calling out that new project in Plano. The BTR space, when people talk about BTR, significant portion of it is townhome development, and that's a product that we're very comfortable with, one we've developed historically, one in which we own, operate and develop today.

約翰，我首先要發表幾則評論，感謝您提到普萊諾的新專案。BTR 領域，當人們談論 BTR 時，其中很大一部分是聯排別墅開發，這是我們非常滿意的產品，我們過去開發過這種產品，現在我們擁有、經營和開發這種產品。

So it's a product that we like the prospects of going forward, you think about demographics, population ships, you think about what's happening in the for-sale market. And so we've been active in the town home space, I'd say, increasingly active over the last couple of years, and it's some places where we're building town homes in conjunction with our apartment projects.

因此，我們喜歡這種產品的未來前景，你會想到人口統計、人口數量，你會想到待售市場上正在發生的事情。因此，我想說，我們在聯排別墅領域一直很活躍，在過去幾年中越來越活躍，在一些地方，我們正在與我們的公寓項目一起建造聯排別墅。

And we actually have some town owned projects that we built that are full townhome projects. As we go forward, the Plano project sort of fits that type of growth and our growth in BTR growth in townhome, you should expect to come through our similar channels of how we've been growing, which is some through our own development, some through funding of other developers, which is what this Plano project was as well as some potential acquisitions.

實際上，我們建造了一些城鎮擁有的項目，這些項目是完整的聯排別墅項目。隨著我們的前進，普萊諾計畫有點適合這種類型的成長以及我們在聯排別墅中BTR 成長的成長，您應該期望透過我們類似的成長管道來實現我們的成長，其中一些是透過我們自己的開發，有些是透過其他開發商的資助，這就是普萊諾計畫以及一些潛在的收購。

But as far as yields and operating margins, do you find it similar to multifamily?

但就收益率和營業利潤率而言，您認為它與多戶住宅相似嗎？

John, it's Matt. Yes, very similar. I mean, again, these are communities where it's 150 homes in one location with a small amenity package, including a clubhouse and a pool and the operating margins are very comparable to multifamily communities that we would have in that region.

約翰，是馬特。是的，非常相似。我的意思是，這些社區在一個地點有 150 套住宅，配有小型便利設施，包括俱樂部會所和游泳池，營運利潤率與我們在該地區擁有的多戶社區非常相似。

Thank you

謝謝

Jamie Feldman, Wells Fargo.

傑米·費爾德曼，富國銀行。

Great -- so I appreciate the color or the thoughts on the back half of the year in terms of your expected rent change renewals maybe to [4 to 1.5]. Can you talk more about by region, whether it's your major regions in the Northeast and the West or just kind of coastal versus Sun Belt, how you think that plays out? How do you feel about visibility this time at this time this year versus this time last year? Clearly, we're heading into the slower season, but what feels different to you?

太棒了——所以我很欣賞今年下半年在你預期的租金變化續約方面的顏色或想法[4至1.5]。您能否按地區詳細談談，無論是東北部和西部的主要地區，還是沿海地區與陽光地帶，您認為結果如何？與去年這個時候相比，您對今年這個時候的能見度有何看法？顯然，我們正在進入淡季，但您感覺有何不同？

Yeah. Jim, it's Sean. Why don't I take your second question first. Just from a macro perspective, I think we feel generally pretty good about the outlook that we provided. And I would say, just relative to last year, I mean, different things happening in terms of the general outlook, but I would say overall, each time we present our forecast, presumable we think is our realistic case for that forecast and the environment sort of dictates that.

是的。吉姆，我是肖恩。我為什麼不先回答你的第二個問題呢？僅從宏觀角度來看，我認為我們對我們提供的前景總體感覺良好。我想說，相對於去年，我的意思是，就總體前景而言，發生了不同的事情，但我想說，總的來說，每次我們提出預測時，我們都認為該預測和環境的現實情況有點規定了。

So I wouldn't say we're more or less confident this year than last year, there's a lot of things that are happening out there that you could point to that. You create concerns or you can create optimism, we try not to get caught up in that.

所以我不會說我們今年比去年更有信心或更少信心，有很多事情正在發生，你可以指出這一點。你可以製造擔憂，也可以製造樂觀情緒，我們盡量不陷入這種困境。

As it relates to the outlook for the market, I'll try to keep it at a high level as opposed to going through all the regions, but we do expect continued outperformance across our established East Coast regions in the second half of the year relative to the Sun Belt and relative to the West Coast regions, generally speaking, with one exception potentially to be in Seattle, which has surprised.

由於它與市場前景相關，我會盡力將其保持在較高水平，而不是遍歷所有地區，但我們確實預計下半年我們已建立的東海岸地區將繼續表現出色一般而言，相對於陽光地帶和西岸地區，西雅圖可能是個例外，這令人驚訝。

I think most of us to the upside in the first half of the year and expect a solid growth in Seattle in the back half of the year. So without going through every region, I would think of it as East established, West established, followed by the expansion regions in terms of the latter of performance.

我認為我們大多數人都看好今年上半年的成長，並預計西雅圖下半年將穩健成長。因此，如果不遍歷每個區域，我會認為它是東方建立的，西方建立的，然後是擴展區域，就後者的表現而言。

Okay. And then thinking about the Dallas or the Plano asset, just how are you thinking about putting capital to work in development through infusions in -- developer balance sheets versus on your own balance sheet? Is there something changing given rates are on their way down. It seems like the cycle people are getting more positive on late '25, '26 can look like? Do you think you pare back maybe some of these more capital infusion type investments versus just doing everything on balance sheet or keep the same thing?

好的。然後考慮達拉斯或普萊諾的資產，您如何考慮透過注入開發商資產負債表與您自己的資產負債表來將資金用於開發？鑑於利率正在下降，有什麼變化嗎？看起來人們在 25 年底、26 年底的週期變得更加積極，會是什麼樣子？您認為您是否會削減一些更多資本注入類型的投資，而不是僅僅在資產負債表上做所有事情或保留相同的事情？

Jamie, what I would call out is different going forward is we have, to a certain degree, institutionalized our programs are providing capital to third-party developers. And we think about that as additive to the external investment activity that we make through our own teams.

傑米，我想說的是，未來的不同之處在於，我們已經在一定程度上製度化了我們的計劃，為第三方開發人員提供資金。我們認為這是我們透過自己的團隊進行的外部投資活動的補充。

As we look out over next number of months and number of quarters, you can hear from us, we are incrementally more positive in and around the prospects on development. And we're excited for the DFP program because it potentially allows us to accelerate external investment activity, call it earlier in that development cycle.

當我們展望未來幾個月和幾個季度時，您可以聽到我們的消息，我們對發展前景越來越樂觀。我們對 DFP 計畫感到興奮，因為它有可能使我們能夠加速外部投資活動，在開發週期的早期稱之為外部投資活動。

Just one thing I'd add there, Jamie, just to be clear, whether we're doing it as an AvalonBay or DFP. They're both on balance sheet, we're both match funding them and they're being reported as consolidated communities. The only difference is that -- in one case, our development and construction teams are actually executing on it. And in the other case, there's a third-party developer. But from a capitalization point of view, they will be same.

Jamie，我想補充一件事，澄清一下，我們是作為 AvalonBay 還是 DFP 來做這件事。他們都在資產負債表上，我們都為他們提供配套資金，他們被報告為合併社區。唯一的區別是——在一種情況下，我們的開發和建置團隊實際上正在執行它。在另一種情況下，有第三方開發人員。但從資本化的角度來看，它們是相同的。

Okay. Thank you very much.

好的。非常感謝。

Adam Kramer, Morgan Stanley.

亞當‧克萊默，摩根士丹利。

Great. Just wondering where you guys are going out with renewals for August, December and maybe even October, if you have that?

偉大的。只是想知道你們會在哪裡續訂 8 月、12 月甚至 10 月（如果有的話）？

Yeah, Adam, it's Sean. We've mentioned that for August and September, renewals went out in the low-6s, which is the visibility that we have today.

是的，亞當，是肖恩。我們已經提到過，8 月和 9 月的續訂量都在 6 左右，這就是我們今天的可見度。

Got it. Helpful. And just on kind of a backward-looking basis, just thinking about kind of the cadence of particularly new and blended lease growth in May, June, and July. Looks like a nice acceleration into June and then a little bit of a decel into July.

知道了。有幫助。只是在回顧過去的基礎上，考慮五月、六月和七月特別新的混合租賃增長的節奏。看起來六月有一個不錯的加速，然後進入七月有一點減速。

Just wondering if you could kind of comment on kind of what happened, right? Was this kind of a typical seasonal pattern was this something different? Was this a pull forward of seasonality, just interested to kind of hear on a backwards basis, what happened in the last few months?

只是想知道您是否可以對發生的事情發表評論，對嗎？這是典型的季節性模式嗎？這是季節性的推動，只是想聽聽過去幾個月發生了什麼事？

Yeah. Adam, it's Sean again. I mean I think the way it lays out is pretty consistent with historical seasonal patterns where you think about where you start the year in January, asking rents typically rise up through kind of early July, spending in the market, I'm kind of picking the average here, 6%, 7%, then you see a decelerate in the back half of the year. Also consistent with seasonal norms.

是的。亞當，又是肖恩。我的意思是，我認為它的佈局方式與歷史季節性模式非常一致，你會想到一月份開始新的一年，要求租金通常會在七月初上漲，市場支出，我有點選擇這裡的平均值是6%、7%，然後你會看到下半年減速。也符合季節規範。

And so the acceleration that we saw was a combination of two things. One, the seasonal approach or seasonal factors. Second is just our overall revenue management approach. And what we saw early in the first quarter was better than anticipated occupancy, lower turnover.

因此，我們看到的加速是兩件事的結合。一、季節性方法或季節性因素。其次是我們的整體收入管理方法。我們在第一季初看到的入住率比預期，但營業額較低。

We hit the gas pretty hard as it related to asking rents. You saw that manifest itself in both renewals and new move-ins as we move through Q2. But as you see the seasonal peak in rents, and you try to make sure that you're maintaining stable occupancy, you start to see it begin to decelerate July, August time frame for the balance of the year.

我們非常努力，因為這與要價有關。當我們進入第二季時，您會看到這一點在續約和新入住中得到體現。但當你看到租金的季節性高峰，並且你試圖確保保持穩定的入住率時，你開始看到今年剩餘時間的七月、八月時間框架開始減速。

And so as you look at what happened, for example, from June to July, some markets were up a little bit, some markets were down a little bit. Overall, it was net down slightly 30 basis points from June to July, but it's not material in the whole scheme of things. But we would expect to see continued seasonal deceleration as we move through August all the way through the balance of the year.

因此，當你看看發生的情況時，例如，從六月到七月，一些市場上漲了一點，一些市場下跌了一點。總體而言，6月至7月淨下降了30個基點，但這對整個計畫來說並不重要。但我們預計，隨著八月持續到今年剩餘時間，季節性減速將會持續。

Great, thanks for the time.

太好了，謝謝你的時間。

John Pawlowski, Green Street.

約翰‧帕夫洛夫斯基，《格林街》。

Thanks, Matt, a question for you on, just to get a sense for how the economics of the development rights pipeline compared to the starts this year. So the when and started an additional $1 billion of starts, how would yield compared to the 6.4% you're expecting for 2024 starts?

謝謝，馬特，問你一個問題，只是為了了解開發權管道與今年的開工相比的經濟性如何。那麼，與您預計 2024 年 6.4% 的開工率相比，何時開始額外 10 億美元的開工，收益率會如何？

Yeah. John, it really is depending on the geography. So the next $1 billion versus starts what are those yields going to look like, it does depend on where they are. So we're finding yields basically from here in the mid-Atlantic North to Boston, the suburban kind of medium density to lower density product mid-to high 6s to even pushing 7s or even a little bit North of 7s and some of our (inaudible) starts.

是的。約翰，這確實取決於地理位置。因此，接下來的 10 億美元與開始的收益率會是什麼樣子，這確實取決於它們的位置。因此，我們發現基本上從大西洋中部北部到波士頓，郊區的中等密度到低密度產品的收益率中到高6s，甚至推到7s，甚至稍微偏北7s，我們的一些（聽不清楚）開始。

What we're seeing in the expansion regions is yields kind of around 6 -- low-6s. But again, cap rates are lower there as well. So that we still have that spread. And on the West Coast, it's hard to find deals that you can get a yield into the 6s which is why very little of the start activity is in those regions. So it would really depend on kind of the mix of business.

我們在擴張區域看到的收益率約為 6——低 6。但同樣，那裡的上限利率也較低。所以我們仍然有這種傳播。在西海岸，很難找到能讓收益率達到 6 的交易，這就是為什麼這些地區的啟動活動很少。因此，這實際上取決於業務組合的類型。

And then the other thing I'd say is hard costs are moving, and you don't know how much until you actually bring the jobs to bid. So some of the acceleration that we're seeing this year is, frankly, because hard costs are coming in a little better than we thought. So those deals are starting to pencil a little better than we thought.

我要說的另一件事是，硬成本正在發生變化，直到你真正將工作進行投標之前，你不知道會發生多少變化。坦白說，我們今年看到的一些加速是因為硬成本比我們想像的要好一些。因此，這些交易開始比我們想像的要好一些。

So and we have more visibility into that on the jobs that are closer to start than the ones that aren't. So there are some deals that aren't going to be ready to start for another year or two, where based on the hard costs we looked at 12 months ago, they might be in the 5s, but based on our hard costs today, they might be in the 6s.

因此，我們對即將開始的工作比尚未開始的工作有更多的了解。因此，有些交易要再過一兩年才能開始，根據我們 12 個月前的硬成本，它們可能在 5 美元左右，但根據我們今天的硬成本，它們可能在6年代。

Okay, that's helpful. But there's nothing unique or maybe a stale land basis that you've seen the 6.4% yield on 2024 starts. Is there anything unique that's inflating the expected yields on this year starts?

好的，這很有幫助。但 2024 年開工的 6.4% 的收益率並沒有什麼獨特之處，或者可能是陳舊的土地基礎。是否有任何獨特因素導致今年開工的預期殖利率上漲？

No. In fact, if anything, it's the inverse. The new deals we're signing up have a lower land basis that's more reflective of where today's market is.

不。事實上，如果有的話，那就是相反的。我們簽署的新交易的土地基礎較低，更能反映當今的市場狀況。

Okay. Great. Last question on acquisitions. Could you share the average cap rate on the three deals you acquired in recent months? What's a reasonable base case of acquisition volume we should expect this year?

好的。偉大的。最後一個關於收購的問題。您能否分享一下您最近幾個月收購的三筆交易的平均資本化率？我們今年應該預期的收購量的合理基本情況是什麼？

Yeah. So there -- the three we bought so far, the cap rates around five. And again, we sold the cap rate is just slightly North of that at five-one for that. So that spread has actually come in some. I looked at last year that it was more about. It was probably 40 basis points. So now that's one reason why we're looking to be more active because we feel like the trade is looking a little better.

是的。到目前為止，我們買了三個，資本化率約為五。再說一次，我們出售的上限利率略高於五比一。所以這種傳播其實已經出現在一些地方。去年看了一下，內容更多。大概是40個基點。所以現在這就是我們尋求更加積極的原因之一，因為我們覺得交易看起來好一點了。

We are hoping to do at least another $300 million or so of acquisitions before the end of the year. We could certainly do more. We have more assets that we're going to bring to sale in the disposition market as well. But it depends on if we find assets that we like.

我們希望在年底前至少再進行 3 億美元左右的收購。我們當然可以做得更多。我們也將在處置市場上出售更多資產。但這取決於我們是否找到我們喜歡的資產。

Thanks, Matt.

謝謝，馬特。

Josh Dennerlein, Bank of America.

喬許‧丹納林，美國銀行。

Yeah. Hey, guys. Thanks for the time. Looking over the ESG slide, and I noticed you highlighted like solar sites, your team has activated in 2023. Could you remind us of just your goal on that front? And then any of that income from those solar sites is included in that $80 million of incremental NOI from the operating model transformation? Or is that something else or in addition?

是的。嘿，夥計們。謝謝你的時間。查看 ESG 幻燈片，我注意到您突出顯示了太陽能站點，您的團隊已於 2023 年啟動。您能否提醒我們您在這方面的目標？那麼這些太陽能站點的收入是否包含在營運模式轉型帶來的 8,000 萬美元增量 NOI 中？還是別的什麼或額外的？

On the second part, Josh. That's a separate bucket of activity. So that's not in the operating model of $80 million target. It's part of a NOI enhancing pool that also has the sustainability benefits associated with it. And so when we talked at the Investor Day around our increased menu and opportunity set to be investing back into the portfolio in the 10% to 14% of range. Those solar projects were a component of that.

在第二部分，喬許.這是一個單獨的活動。因此，這不屬於 8,000 萬美元目標的營運模式。它是 NOI 增強池的一部分，也具有與之相關的可持續性效益。因此，當我們在投資者日討論我們增加的菜單和機會時，我們將重新投資於 10% 至 14% 的投資組合。這些太陽能項目是其中的一部分。

Okay. I appreciate that. And then I just want to follow up on Eric's first question on the seasonality of expenses. You mentioned 4Q is a lower quarter, could you remind us like the cadence throughout the year? And if there's anything we need to like kind of watch out for on a go-forward basis?

好的。我很欣賞這一點。然後我想跟進埃里克關於費用季節性的第一個問題。您提到第四季度是較低的季度，您能提醒我們全年的節奏嗎？如果有什麼我們需要在未來的基礎上留意的事情？

I wouldn't (technical difficulty) anything to watch out for going forward. I mean, typically, and Kevin went through this earlier, but in terms of the sequence of OpEx, you do see a spike in the third quarter historically. And as Kevin noted, for this year, that spike from Q2 to Q3, about a third of that in utilities based on seasonal increases in energy and water and sewer and things like that, about a third in [RAM] seasonal increase in turnover, which is historically the case and some projects from the first half to the second half and then kind of this and that's and then things slow down as you get into the fourth quarter. So I think that's normal. I think the pattern has changed materially.

我不會（技術上的困難）任何需要注意的事情。我的意思是，通常情況下，凱文早些時候就經歷過這一點，但就營運支出的順序而言，你確實會看到歷史上第三季的高峰。正如凱文所指出的，今年從第二季度到第三季度，這一數字激增，其中大約三分之一是基於能源、水和下水道等季節性增長的公用事業行業的增長，大約是[RAM]營業額季節性成長的三分之一，從歷史上看就是這樣，有些項目從上半年到下半年，然後就是這樣，然後當你進入第四季時，事情就會放緩。所以我認為這很正常。我認為模式已經發生了重大變化。

What you should see going forward that would be different, and we have explained before, is that as it relates to the absolute level of OpEx growth. We have a number of things happening that will begin to dissipate in terms of the impact on the portfolio in 2025.

您應該看到未來會有所不同，我們之前已經解釋過，因為它與營運支出成長的絕對水平有關。我們正在發生的許多事情對 2025 年投資組合的影響將開始消散。

So our OpEx guidance for the full year is the [rate] we identified, but there's about 160 basis points of unusual activity embedded in that, about 80 basis points from the burn off of various pilots, mainly 421 days and then the net impact of the operating initiatives, primarily in utilities category with both telecom, Internet, things of that sort.

因此，我們全年的營運支出指引就是我們確定的[比率]，但是其中包含大約 160 個基點的異常活動，大約 80 個基點來自各種試點的消耗，主要是 421 天，然後是營運舉措，主要是公用事業類別，包括電信、網路等。

So kind of the organic run rate is closer to 320 basis points for this year. And some of those elevated activities that I just mentioned will begin to dissipate as you get into 2025. So without providing specific guidance, there's a little bit more of a tailwind as we get into '25 related to those various categories, but the seasonal patterns won't really change if you think about it from quarter-to-quarter.

因此，今年的有機運行率接近 320 個基點。隨著 2025 年的到來，我剛才提到的一些高強度活動將開始消散。因此，在沒有提供具體指導的情況下，當我們進入 25 世紀時，與這些不同類別相關的順風車會更多一些，但如果你按季度思考的話，季節性模式不會真正改變。

Thank you.

謝謝。

Michael Goldsmith, UBS.

麥可‧戈德史密斯，瑞銀集團。

Good afternoon and thanks for taking my question. Are you seeing any changes in resident behavior across markets? Or any sort of price sensitivity among your tenants?

下午好，感謝您提出我的問題。您是否發現各個市場的居民行為有任何改變？或者您的租戶對價格有什麼敏感度？

Yeah, Michael, it's Sean. In terms of sort of movement, if you want to describe it that way, nothing terribly substantial. The only thing that might be worth noting that has continued in Q2. We saw the same thing in Q1 is that in the tech markets, particularly in Northern California and Seattle. The percentage of new move in from a more distant location within that same region is a little bit elevated.

是的，邁克爾，我是肖恩。就運動的種類而言，如果你想這樣描述的話，並沒有什麼特別實質的。唯一值得注意的是第二季仍在繼續。我們在第一季看到同樣的事情在科技市場，特別是在北加州和西雅圖。從同一區域內較遠的位置搬入的新人口的百分比略有上升。

So people that may have moved to second, third ring out or some rural locations. During COVID over the last year, they have started to come back and closer. It wasn't like to move 1,500 miles away, but they moved 150 miles that type of thing. So that's the only thing of note as it relates to movement.

因此，那些可能已經搬到第二、第三環或一些農村地區的人。在去年的新冠疫情期間，他們開始回歸並變得更加親密。這不像是搬到 1,500 英里之外，但他們搬到了 150 英里之類的地方。所以這是唯一值得注意的事情，因為它與運動有關。

And then your second question, just in terms of other resident behavior in terms of reasons for move-outs, the percentage of move-outs related to rent increase is above historical norms, not surprised just given the inflationary pressures we've seen across the economy over the last couple of years.

然後你的第二個問題，就搬出原因方面的其他居民行為而言，與租金上漲相關的搬出百分比高於歷史正常水平，考慮到我們在整個國家看到的通脹壓力，這並不奇怪。幾年的經濟。

But on the sort of flip side, you got to move out to buy a home is way, way below historical norms. And so renting is still the more affordable option. Particularly in our markets where the spread between kind of medium-priced rent and medium price for home is equivalent to more than $2,000 a month is a big number in our established regions. Renting is still the most affordable alternatives. So people are potentially making different choices and other parts of their daily life. But that's the only thing of note.

但另一方面，你必須搬出去買房的情況遠低於歷史標準。因此，租房仍然是更實惠的選擇。特別是在我們的市場中，中等價格的租金和中等價格的房屋之間的價差相當於每月超過 2,000 美元，這在我們成熟的地區是一個很大的數字。租房仍然是最實惠的選擇。因此，人們可能會在日常生活中做出不同的選擇和其他部分。但這是唯一值得注意的事情。

Got it. Thanks for that. My follow-up question is, it seems as though there's been a push for more supply in New Jersey, suburban markets. Is there a risk that similar supply growth could pop-up in some of your other suburban markets? Thanks.

知道了。謝謝你。我的後續問題是，新澤西州郊區市場似乎一直在推動更多供應。您的其他一些郊區市場是否有類似供應成長的風險？謝謝。

Hi Michael, it's Matt. It's an interesting question. For sure, in Jersey, the last round of Mount Laurel kind of affordable housing allocations was more aggressive than the prior three rounds, and we've been the beneficiary of that with an increase in very high-yielding development opportunities.

嗨，邁克爾，我是馬特。這是一個有趣的問題。當然，在澤西島，最後一輪勞雷爾山型經濟適用住房分配比前三輪更加積極，隨著高收益開發機會的增加，我們成為了受益者。

But it is there will be more supply in some of those [inland] suburban markets than we've seen in the past. We haven't seen that Boston, by contrast, the [40B] framework has been the same for the last 30-years. There's actually a lot of towns that are kind of at their [40B] threshold now.

但其中一些[內陸]郊區市場的供應將會比我們過去看到的更多。相較之下，我們沒有看到波士頓的 [40B] 框架在過去 30 年來一直保持不變。實際上有很多城鎮現在都處於 [40B] 門檻。

So as Sean mentioned, the suburban supply in Boston is pretty muted and I would expect it to stay that way. Long Island is another place where they don't really have the ability to force supply on some of these recalcitrant jurisdictions.

正如肖恩所提到的，波士頓郊區的供應量相當低，我預計它會保持這種狀態。長島是另一個他們實際上沒有能力強制向這些頑固的司法管轄區供應的地方。

The governor tried and got her head handed to ourselves. So I would say Jersey is probably the biggest example. The one that people talk about a lot is California. Where the state legislature is trying to do things that would push jurisdictions to approve more housing.

州長試圖把她的頭交給我們。所以我想說澤西島可能是最大的例子。人們經常談論的一個是加州。州立法機關正試圖採取措施推動轄區批准更多住房。

What we've seen so far is those attempts haven't been as effective as I think the advocates had hoped because it's still really, really difficult to make the economics work in California. So I wouldn't be concerned that there's going to be a sudden onslaught of supply there anytime soon.

到目前為止，我們所看到的是，這些嘗試並沒有像我認為倡議者所希望的那樣有效，因為要讓經濟在加州發揮作用仍然非常非常困難。所以我不會擔心很快就會出現供應突然激增的情況。

Thanks very much. Good luck in the back half.

非常感謝。祝後半程好運。

Alexander Goldfarb, Piper Sandler.

亞歷山大·戈德法布，派珀·桑德勒。

Hey. Good afternoon and thank you. Two questions. Just first, going back to the bad debt was really interesting that you guys presumably would have a higher more affluent renter base and yet the bad debt remains elevated. It's certainly above like what Mid America was commenting on their call.

嘿。下午好，謝謝。兩個問題。首先，回到壞帳確實很有趣，因為你們可能會有更高更富裕的租戶基礎，但壞帳仍然很高。這肯定高於中美洲對他們的電話的評論。

And specifically, two markets that jump out are Metro New York, New Jersey, and Mid-Atlantic with rival Southern [Cal]. So can you just give a sense of overall why your renter base, which assuming has pretty good jobs. One has higher delinquency. And then two, what's going on in Metro New York, New Jersey and Mid-Atlantic that's causing the delinquencies to be as high as they are?

具體來說，兩個脫穎而出的市場是紐約大都會區、新澤西州和大西洋中部地區，其競爭對手是南方地區[卡爾]。那麼，您能否大致了解一下您的租戶基礎的整體情況，假設他們有很好的工作。其中一種犯罪率較高。第二個問題，紐約大都會區、新澤西州和大西洋中部地區發生了什麼原因導致拖欠率如此之高？

Yeah. Alex, this is Sean. Happy to take that one. In terms of trying to compare bad debt across companies, one, I'd say it's probably a little bit challenging just because we don't know everyone's policies. What I mean by that is everyone bills different amounts for different things.

是的。亞歷克斯，這是肖恩。很高興接受那個。就嘗試比較不同公司的壞帳而言，我想說這可能有點具有挑戰性，因為我們不了解每個人的政策。我的意思是每個人對不同的事情收取不同的費用。

So when someone doesn't pay us, for example, we bill them for everything. We bill them for the rent, we bill them for the late fees, billing for utilities, there's lease break fees, there's legal cost. There are a lot of things that we bill for and through our customer care center, at Virginia Beach.

例如，當有人不付錢給我們時，我們就會向他們收取所有費用。我們向他們收取租金、滯納金、水電費、租約終止費和法律費用。我們透過位於維吉尼亞海灘的客戶服務中心為許多事情付費。

We track it very carefully. So I don't know if everyone is the same or not, but differences in policies can impact what the level of bad debt is. So I don't know if there was the same or not, but no differences and policies can unpack. What's the level of bad debt side? it's hard to comment on specifically different customers.

我們非常仔細地追蹤它。所以我不知道每個人是否都一樣，但是政策的差異會影響壞帳的水平。所以我不知道是否有相同或不同，但沒有差異和政策可以解開。壞帳方面的水平是多少？很難對具體不同的客戶進行評論。

As it relates to the markets that you mentioned, yeah, New York, New Jersey is an example. It's only 23% of the outstanding accounts that we have. but it punches way above its weight in terms of dollar value. So it's about a third of the outstanding receivables that we have -- they we're trying to chase down.

因為它牽涉到你提到的市場，是的，紐約、新澤西就是一個例子。這僅占我們所擁有的未清帳戶的 23%。但就美元價值而言，它的影響力遠遠超出其重量。因此，這大約是我們所擁有的未償應收帳款的三分之一——我們正在努力追查這些帳款。

And the main issue there as you may know, from being there, is just the pace at which the courts are moving. It is the slowest jurisdiction by far in the country. And so we have almost 400 accounts out there in the greater New York Metro area, and a lot of them have been sitting out there for more than a year. In terms of their current time sort of in the eviction process, which continues. So we continue to see mass faster movement in primarily in New York City, but it does extend to places like Long Island and Westchester.

如您所知，那裡的主要問題是法庭的進展速度。這是該國迄今速度最慢的司法管轄區。因此，我們在大紐約都會區擁有近 400 個帳戶，其中許多帳戶已經存在了一年多。就他們目前的情況而言，驅逐過程仍在繼續。因此，我們繼續看到大規模的快速運動主要發生在紐約市，但它確實擴展到了長島和威徹斯特等地。

And then in the Mid-Atlantic, a lot of that is tied to accounts in the District of Columbia and Montgomery County, two areas that have also been slow and also have taken steps to try to give renters more time through free legal advice, delays in court cases and things of that sort.

然後在大西洋中部地區，其中很大一部分與哥倫比亞特區和蒙哥馬利縣的帳戶有關，這兩個地區的進展也很緩慢，並且也已採取措施，試圖通過免費法律諮詢、延誤等方式為租房者提供更多時間在法庭案件和類似的事情。

So there's sort of a combination of factors that have led to. Where New York, New Jersey, the Mid-Atlantic and Southern Cal, are kind of all in the general same range. And what we've seen some movement, we need to see faster processing and sort of the relaxation of some of these other supportive benefits to prospective -- cases kind of dissipate to allow the process to continue to move.

所以這是多種因素共同導致的。紐約、新澤西、大西洋中部和加州南部都在大致相同的範圍內。我們已經看到了一些進展，我們需要看到更快的處理速度，以及對潛在病例的一些其他支持性福利的放鬆，以允許流程繼續進行。

(multiple speakers) John?

（多位發言者）約翰？

Yeah. Second question is, on dispositions. Obviously, Darien jumped out given that you established a pretty good renter base there. But in looking over your Metro New York portfolio, you have a lot New Jersey, a lot Long Island and Connecticut, you really only down to two, just New Canaan and Wilton, used to have Shelton, Stanford, a bunch of other markets.

是的。第二個問題，關於處置。顯然，鑑於您在那裡建立了相當好的租戶基礎，達里恩（Darien）跳了出來。但在審視紐約都會區的投資組合時，你有很多新澤西州、很多長島和康涅狄格州，實際上只有兩個，只有新迦南和威爾頓，過去有謝爾頓、斯坦福和其他一些市場。

So is Connecticut just not a desirable market or you saw an opportunity where disposition IRRs were just way too good to pass up, and your intent is to re-bulk up in Connecticut versus the New Jersey and Long Island?

那麼，康乃狄克州是否只是一個不理想的市場，或者您看到了一個機會，處置內部收益率實在太好了，不容錯過，而您的意圖是在康涅狄格州與新澤西州和長島相比，重新擴大規模？

Yeah. Alex, it's Matt. No, it is -- we are almost complete with exiting the Connecticut market completely. You're right. If you go back, I think we probably sold 15 assets in Connecticut in the last six or seven years. And once you're on that path to have a couple becomes very operationally inefficient.

是的。亞歷克斯，這是馬特。不，是的——我們幾乎已經完全退出康乃狄克州市場了。你說得對。如果你回顧過去，我想我們在過去六、七年裡可能出售了康乃狄克州的 15 項資產。一旦你走上這條路，擁有一對，操作效率就會變得非常低。

So you're right. I mean those -- the ones that Darien was among kind of the absolute most desirable of our Connecticut portfolio, but we've kind of made the decision that we're exiting that market. And so when you only have two or three assets left, it's kind of not worth it.

所以你是對的。我的意思是那些——達里恩是我們康乃狄克州投資組合中絕對最理想的那些，但我們已經做出了退出該市場的決定。因此，當你只剩下兩到三項資產時，這是不值得的。

Okay. Thanks.

好的。謝謝。

(Operator Instructions).

（操作員說明）。

Omotayo Okusanya, Deutsche Bank.

Omotayo Okusanya，德意志銀行。

Yes. Good afternoon, everyone. I just wanted to ask a question on the regulatory front as you're kind of heading into the election cycle, if you're hearing anything at the state level and maybe some thoughts regarding the Biden proposal to have national rent control?

是的。大家下午好。我只是想問一個關於監管方面的問題，因為你即將進入選舉週期，你是否聽到州一級的任何消息，或者可能對拜登提出的全國租金管制提案有一些想法？

Yeah, this is Sean. Happy to take that one. We will save profit front, there's a lot of different things happening across different states. So without being specific, I would just say that the various associations that we're involved with and others are very active in engaging with the local political folks as it relates to what's happening, what's being proposed ballot initiatives, various things like that.

是的，這是肖恩。很高興接受那個。我們將節省利潤，不同州會發生很多不同的事情。因此，在不具體說明的情況下，我只想說，我們參與的各種協會和其他協會都非常積極地與當地政治人士接觸，因為這涉及到正在發生的事情、提議的投票倡議以及諸如此類的各種事情。

So there's a lot of engagement there to manage that activity, most importantly, to educate people as it relates to the pros and cons of various policies. I think the trend we've seen, generally speaking, is that both political entities and individuals are sensitive to Matt's earlier point about doing things that will impact the future supply of housing in a negative way. And I think that's something that has been good for the industry over the last couple of years.

因此，有許多參與來管理這項活動，最重要的是，教育人們，因為它與各種政策的優缺點有關。我認為，總的來說，我們看到的趨勢是，政治實體和個人都對馬特之前關於做會對未來住房供應產生負面影響的事情的觀點很敏感。我認為這在過去幾年對這個行業來說是件好事。

The topic of regulatory control might challenge, but we understand the policy and its impact is absolutely the wrong policy. And for that same reason, there is plenty of engagement not only with the advised administration, but the potential two candidates, particularly through the National Multi Housing Council and others as it relates to any kind of national policy, which likely putting a lot of teeth to it.

監管控制的議題可能會帶來挑戰，但我們了解該政策及其影響絕對是錯誤的政策。出於同樣的原因，不僅與建議的政府進行了大量的接觸，而且還與潛在的兩位候選人進行了大量的接觸，特別是通過國家多元住房委員會和其他機構，因為它涉及到任何類型的國家政策，這可能會產生很大的影響到它。

First off, is the States, but just the harm as it relates to the supply of housing, which is actually what they're trying to solve for. So I think there's slightly a road map there for other policies to promote some housing in areas where it's needed. That is not direct control in nature. But obviously, can't predict exactly what people may talk about in an election environment.

首先是各州，但只是與住房供應有關的損害，這實際上是他們試圖解決的問題。因此，我認為其他政策有一個路線圖，可以在需要的地區推廣一些住房。這本質上不是直接控制。但顯然，無法準確預測人們在選舉環境中會談論什麼。

That's helpful. And then if I may ask one more. In your expansion markets, are you seeing anything different just in regards to how the competition is kind of behaving in light of kind of supply deliveries. And I know we have kind of had the classic use of concessions, but anything unusual in regards to this business practices to kind of shore up their financials that you may be seeing?

這很有幫助。然後我可以再問一個嗎？在您的擴張市場中，您是否看到競爭在供應交付的表現有何不同？我知道我們已經使用了特許權的經典做法，但是您可能會看到這種商業做法有什麼不尋常的地方來支撐他們的財務狀況嗎？

Not necessarily. This is John again. I mean it's a typical concessions, two months, three months, depending on the lease term in the sort of hyper supplied market like part of Austin as an example, or maybe some of the (inaudible) places like that, our field people with positive stuff like that, and nothing a typical from what you typically see in this kind of environment where there are pockets of supply commensurate impact on lease ups.

未必。這又是約翰。我的意思是，這是一個典型的讓步，兩個月，三個月，取決於供應充足的市場的租賃期限，例如奧斯汀的一部分，或者可能是像這樣的一些（聽不清楚）地方，我們的現場人員積極主動諸如此類的事情，與您在這種環境中通常看到的情況不同，在這種環境中，有少量供應對租賃上漲產生了相應的影響。

Okay. Thank you.

好的。謝謝。

Rich Anderson, Wedbush.

里奇安德森，韋德布希。

Thanks. Good afternoon. Thanks for hanging out a little bit longer. So in terms of your Sun Belt expansion, obviously, you're not getting any bargains there today. And if you're listening to Mid-America call, things are trending in the right direction, at least eventually. Do you feel a sense of urgency to move more now than ever. And in part two of that same question is. Can you characterize the nature of your sellers? And are you talking to any of the REITs in the cases where you are expanding through acquisitions?

謝謝。午安.謝謝你能多待一會兒。因此，就您的陽光地帶擴張而言，顯然，您今天在那裡沒有獲得任何便宜貨。如果你聽到中美洲的呼聲，事情正在朝著正確的方向發展，至少最終是這樣。您現在是否感到比以往任何時候都更需要行動的迫切感？在同一問題的第二部分是。您能描述一下您的賣家的性質嗎？您是否正在與任何房地產投資信託基金洽談透過收購進行擴張的情況？

Rich, this is Ben. I'll handle the first part, and Matt can talk to the seller dynamics. On the first part, and we think it is an opportune time to effectuate the trade. And Matt talked to earlier, sort of the upfront dilution has gotten pretty narrow as we think about selling older, slower growth assets out of our established regions and then reallocating that capital.

里奇，這是本。我將處理第一部分，馬特可以與賣家討論動態。關於第一部分，我們認為現在是完成交易的好時機。馬特早些時候談到，當我們考慮將舊的、增長較慢的資產從我們既定的地區出售，然後重新分配這些資本時，前期稀釋已經變得相當狹窄。

The other part that comes to mind is I'm not a believer that, that window is closing. I think when you look at the supply dynamics that are going to continue to be a wait on operating fundamentals in a lot of those markets as well as that we're still a certain degree of the front wave of refinancing activity. I expect the window of opportunity to be with us for a while.

我想到的另一部分是我不相信那個視窗正在關閉。我認為，當你觀察供應動態時，將繼續等待許多市場的營運基本面，並且我們在一定程度上仍處於再融資活動的前沿。我預計機會之窗會伴隨我們一段時間。

And Rich, in terms of who the sellers are. What we're finding at least the assets we've been buying and then some of the others that we bid on and maybe haven't been successful. There's a lot of kind of institutional owners that are in funds where the funds are limited like vehicles, may be reaching the end of their 7 or 10 year fund life. And they're just in a position where -- and frankly, they're sitting on a lot of gains on those assets if they bought them back in '14, '15, '16, even though not as much gain as what it would have been if they have sold it two years ago, they're still in a fine position. And so they're going to meet the market.

還有 Rich，就賣家是誰而言。我們至少發現了我們一直在購買的資產，然後是我們競標的一些其他資產，但可能沒有成功。有許多類型的機構所有者所持有的基金的資金像車輛一樣受到限制，可能即將結束 7 年或 10 年的基金壽命。坦白說，如果他們在 14 年、15 年、16 年回購這些資產，他們將獲得大量收益，儘管收益沒有現在那麼多。所以他們將迎合市場。

Again, that's not the majority of the market, and that's why there's still plenty of assets that are not trading and sellers that are still holding out for yesterday's prices. But that's the typical buyer profile, it's usually a fund sponsor with institutional capital who's three funds later now, and they're closing out this one.

同樣，這並不是市場的大部分，這就是為什麼仍然有大量資產沒有交易，賣家仍然堅持昨天的價格。但這是典型的買家概況，通常是擁有機構資本的基金發起人，現在已經成立了三支基金，他們正在關閉這筆基金。

But not your REIT [brethren] down there?

但不是你的房地產投資信託基金[兄弟]在那裡？

No, we haven't really anything that another REIT was selling.

不，我們實際上沒有任何其他房地產投資信託基金在出售的東西。

Okay. Second question. I think the townhome model is interesting when you consider millennials, building families and so on. Is that model work better in the expansion markets in general? Or is it sort of across the board sort of thinking in terms of that building out that product? Thanks.

好的。第二個問題。我認為當你考慮千禧世代、建立家庭等時，聯排別墅模式很有趣。整體而言，該模式在擴張市場中效果更好嗎？或者說這是在建構該產品時的一種全面思考？謝謝。

Yes. It's an interesting question. It really does depend on the land economics. So you do see more of it in some of our expansion regions because land is cheaper there and the zoning is more flexible. So you're seeing a lot of it in North Carolina, we're seeing a lot of it in Texas, not so much in Southeast because that looks a lot like the Northeast in terms of where rents are in land values and very little in California because again, kind of land values.

是的。這是一個有趣的問題。這確實取決於土地經濟。因此，在我們的一些擴張地區，您確實會看到更多這樣的情況，因為那裡的土地更便宜，而且分區更靈活。所以你在北卡羅來納州看到了很多這樣的情況，我們在德克薩斯州看到了很多這樣的情況，而在東南部則沒有那麼多，因為從租金以土地價值計算的角度看，那裡看起來很像東北部，而以租金計算的則很少。

The other key factor is what's the relative price of home versus the rent. And when you get into California where the homes are seven figures, it just doesn't pay to build rental townhomes there. It does pay in some of these other regions, and those economics are a lot closer.

另一個關鍵因素是房屋與租金的相對價格。當你進入加州時，那裡的房屋價值七位數，在那裡建造出租聯排別墅根本不划算。它確實在其他一些地區帶來了回報，而且這些地區的經濟狀況也更接近。

Okay, great. Thank you.

好的，太好了。謝謝。

Thank you. There are no further questions at this time. I would like to hand the floor back over to Ben Schall for any closing remarks.

謝謝。目前沒有其他問題。我想將發言權交還給本·沙爾 (Ben Schall)，讓其發表結束語。

Thanks, everyone. Thanks for joining us today, and we look forward to speaking with you soon.

謝謝大家。感謝您今天加入我們，我們期待很快與您交談。

This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.

今天的會議到此結束。此時您可以斷開線路。感謝您的參與。