Global Medical REIT Inc (GMRE) 2025 Q1 法說會逐字稿

Greetings and welcome to the Global Medical REIT first quarter 2025 earnings conference call. (Operator Instructions)

問候並歡迎參加全球醫療房地產投資信託 2025 年第一季財報電話會議。（操作員指示）

It is now my pleasure to introduce your host Stephen Swett, Investor Relations. Thank you, sir. You may begin.

現在我很高興向大家介紹主持人、投資人關係部 Stephen Swett。謝謝您，先生。你可以開始了。

Thank you. Good morning, everyone, and welcome to Global Medical REIT first-quarter 2025 earnings conference call. On the call today are Jeffrey Busch, Chief Executive Officer; Alfonzo Leon, Chief Investment Officer, and Robert Kiernan, Chief Financial Officer.

謝謝。大家早安，歡迎參加 Global Medical REIT 2025 年第一季財報電話會議。今天參加電話會議的有執行長 Jeffrey Busch；首席投資長 Alfonzo Leon 和財務長 Robert Kiernan。

Please note the use of forward-looking statements by the company on this conference call. Statements made on this call may include statements which are not historical facts and are considered forward-looking.

請注意公司在本次電話會議上使用了前瞻性陳述。本次電話會議所作的陳述可能包括非歷史事實且被視為前瞻性的陳述。

The company intends these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1,995, is making this statement for purpose of complying with those safe harbor provisions.

該公司希望這些前瞻性聲明能夠受到 1995 年私人證券訴訟改革法案中前瞻性陳述的安全港條款的約束，做出此聲明的目的就是遵守這些安全港條款。

Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond the company's control, including without limitation, those contained in the company's 10-K for the year ending December 31, 2024 and its other SEC filings.

此外，實際結果可能與前瞻性聲明中所述的結果有重大差異，並將受到本公司無法控制的各種風險和因素的影響，包括但不限於本公司截至 2024 年 12 月 31 日的 10-K 報表和其他 SEC 文件中包含的風險和因素。

The company assumes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, on this call, the company may refer to certain non-GAAP financial measures such as funds from operations, attributable to common shareholders and non-controlling interest, adjusted funds for operations attributable to common stockholders and non-controlling interest, EBITDAre and adjusted EBITDAre.

本公司不承擔公開更新任何前瞻性聲明的義務，無論其是否由於新資訊、未來事件或其他原因。此外，在本次電話會議上，本公司可能會參考某些非公認會計準則財務指標，例如歸屬於普通股股東和非控制權益的營運資金、歸屬於普通股股東和非控股權益的調整後營運資金、EBITDAre 和調整後的 EBITDAre。

You can find a tabular reconciliation of these non-gap financial measures to the currently comparable GAAP numbers in the company's earnings release and filings with the SEC. Additional information may be found in the investor relations page of the company's website at www.globalmedicalreit.com.

您可以在公司的收益報告和向美國證券交易委員會提交的文件中找到這些非差距財務指標與當前可比較 GAAP 數據的表格對帳表。更多資訊請參閱公司網站 www.globalmedicalreit.com 的投資者關係頁面。

I would now like to turn the call over to Jeffrey Busch, Chief Executive Officer of Global Medical REIT. Jeff.

現在我想把電話轉給全球醫療房地產投資信託基金執行長 Jeffrey Busch。傑夫。

Thank you, Steve. Good morning and thank you for joining our first quarter 2025 earnings call. Our high quality diversified portfolio continues to produce steady results. At the end of the first quarter, portfolio occupancy was 95.6% with a weighted average lease term of 5.6 years and portfolio average rent coverage ratio of 4.4 times.

謝謝你，史蒂夫。早安，感謝您參加我們的 2025 年第一季財報電話會議。我們的高品質多元化投資組合持續產生穩定的績效。第一季末，投資組合入住率為 95.6%，加權平均租賃期間為 5.6 年，投資組合平均租金覆蓋率為 4.4 倍。

For the first quarter, net income attributable to common shareholders was $2.1 million or $0.03 per share compared to $800,000 or $0.01 per share in the first quarter of 2024. AFFO attributable to common shareholders and non-controlling interest in the first quarter was $0.20 per share and unit, down $0.01 from the prior year quarter. AFFO attributable to common stockholders and non-controlling interest was $0.22 per share and unit, down $0.01 from the prior year quarter.

第一季度，歸屬於普通股股東的淨利潤為 210 萬美元，即每股 0.03 美元，而 2024 年第一季為 80 萬美元，即每股 0.01 美元。第一季歸屬於普通股股東和非控制權益的 AFFO 為每股 0.20 美元，比去年同期下降 0.01 美元。歸屬於普通股股東和非控制權益的 AFFO 為每股 0.22 美元，比去年同期下降 0.01 美元。

Regarding our acquisition activity last year we entered into a purchase agreement to acquire a five property portfolio of medical facilities for an aggregate purchase price of $69.6 million at a 9% cap rate. These properties are a great strategic fit to our overall portfolio given the procedure-based nature of the tenants' specialties, the close proximity of the buildings to the hospital campuses, each of which promotes tenant retention, and that almost 70% of the leases are triple net leases.

關於我們去年的收購活動，我們簽訂了一份購買協議，以 9% 的資本化率收購五處醫療設施物業組合，總購買價為 6,960 萬美元。這些物業與我們的整體投資組合具有很好的戰略契合度，因為租戶的專業以程序為基礎，建築物與醫院園區距離很近，每個園區都有利於租戶保留，而且近 70% 的租約都是三重淨租賃。

During the first quarter, we closed on the first tranche of this acquisition consisting of three properties for $31.5 million and subsequent to the quarter end in April, we completed the acquisition of the remaining two properties. We are pleased about the addition of these assets and will continue to monitor the transaction market and remain disciplined in executing our acquisition strategy.

在第一季度，我們完成了此次收購的第一部分，包括三處房產，收購價格為 3,150 萬美元，並在 4 月季度結束後完成了剩餘兩處房產的收購。我們很高興能加入這些資產，並將繼續專注於交易市場，嚴格執行我們的收購策略。

Turning to this positions during the quarter, we completed the sale of two medical properties, generating aggregate gross proceeds of $8.2 million resulting in an aggregate gain of $1.4 million.

在本季度，我們完成了兩處醫療地產的出售，總收益為 820 萬美元，總收益為 140 萬美元。

Finally, I would like to update everyone on the progress we made in our CEO succession plan. The nominating and corporate government Committee has done an excellent job conducting multiple interviews with highly qualified candidates to become the company's next CEO. The committee has narrowed the candidate pool to a few final candidates and expects to have a new CEO in place by June 30, 2025.

最後，我想向大家通報我們的執行長繼任計畫所取得的進展。提名和公司管理委員會做得非常出色，對公司下一任執行長的候選人進行了多次面試，這些候選人都非常合格。該委員會已將候選人範圍縮小至最終幾名候選人，並預計將於 2025 年 6 月 30 日之前任命新執行長。

As this is my last earnings call as I transitioned from my role as CEO, I would like to thank the entire GMRE team for their dedication and contributions to our success over the years. I am deeply grateful to have served as CEO and founder and proud of what we have built together, and I'm confident in where the company is positioned today and look forward to continuing in my role as Chairman.

這是我卸任執行長後的最後一次財報電話會議，我要感謝整個 GMRE 團隊多年來為我們的成功所做的奉獻和貢獻。我非常榮幸能夠擔任執行長和創辦人，並為我們共同創造的一切感到自豪，我對公司今天的定位充滿信心，並期待繼續擔任董事長一職。

We have built a highly experienced team, robust infrastructure, and maintained our core focus on generating consistent results and creating value for our shareholders.

我們建立了一支經驗豐富的團隊和強大的基礎設施，並始終專注於持續創造成果和為股東創造價值。

With that, I turned the call over to Alfonso to discuss our investment activity and the current market conditions in more detail.

說完，我把電話轉給阿方索，更詳細地討論我們的投資活動和當前的市場狀況。

Thank you Jeff. As Jeff mentioned, in February and in April, we closed on a previously announced five property 487,000 square foot portfolio for an aggregate purchase price of $69.6 million with an aggregate annualized base rent of $6.3 million equating to a 9% cap rate.

謝謝你，傑夫。正如 Jeff 所提到的，我們在二月和四月完成了先前宣布的五處 487,000 平方英尺的房產組合交易，總購買價為 6,960 萬美元，年化基本租金總額為 630 萬美元，相當於 9% 的資本化率。

At this pricing, we acquired this portfolio at approximately $143 per square foot, which is substantially below replacement cost. Relative to the condition of the properties, note that we acquired these properties from the original developer who has maintained them to institutional quality standards. In addition, these properties are each approximately 100,000 square feet outpatient facilities, all of which are on campus.

以這個價格，我們以每平方英尺約 143 美元的價格收購了這個投資組合，遠低於重置成本。就房產狀況而言，請注意，我們從原始開發商處獲得了這些房產，而原始開發商一直將這些房產維護到機構品質標準。此外，這些物業均為約 100,000 平方英尺的門診設施，全部位於校園內。

Following are some additional details on the properties. In the February closing, we acquired two on-campus multi-tenant medical facilities located in Tucson, Arizona, with Saint Joseph's Hospital as a primary tenant at one of the facilities.

以下是有關該屬性的一些其他詳細資訊。在二月的交易結束時，我們收購了位於亞利桑那州圖森的兩家校園內多租戶醫療設施，聖約瑟夫醫院是其中一個設施的主要租戶。

Saint Joseph's Hospital is part of Pennant Healthcare, a publicly traded healthcare system. Services performed at these facilities include cardiology, oncology, urology, and orthopedics. In addition, we acquired one off campus multi-tenant medical facility located in Slippery Rock, Pennsylvania. Services performed at this facility include physical therapy, musculoskeletal, and orthopedics.

聖約瑟夫醫院是彭南特醫療保健集團（上市醫療保健系統）的一部分。這些機構提供的服務包括心臟病學、腫瘤學、泌尿學和骨科。此外，我們也收購了位於賓州斯利珀洛克的校外多租戶醫療機構。該機構提供的服務包括物理治療、肌肉骨骼治療和骨科治療。

In the April closing, we acquired two on-campus multi-tenant medical facilities located in Des Moines, Iowa with Mercy One as a primary tenant. Mercy One is a credit rated hospital system ranked as the number two hospital in Iowa per US News and World Report. GMRE has extensive relationships with Mercy, which represents 55% of the portfolio. Services performed at these facilities include gastroenterology, orthopedics, cardiology, oncology, and endocrinology.

在四月的交易結束時，我們收購了位於愛荷華州得梅因的兩家校園內多租戶醫療機構，其中 Mercy One 是主要租戶。Mercy One 是一家信譽良好的醫院系統，根據《美國新聞與世界報道》排名，在愛荷華州醫院中排名第二。GMRE 與 Mercy 有著廣泛的關係，後者佔了其投資組合的 55%。這些機構提供的服務包括胃腸病學、骨科、心臟病學、腫瘤學和內分泌學。

I would also like to mention that the portfolio was approximately 92% leased upon acquisition, and we are working to lease up the acquired vacancy, which will provide additional returns above the 9% in place cap rate at acquisition.

我還想提一下，該投資組合在收購時已出租約 92%，我們正在努力出租所收購的空置空間，這將在收購時 9% 的現有資本化率之上提供額外的回報。

We are very excited about this transaction, as most of these facilities are on campus with a good tenant mix of procedural-based practices that squarely fit within our investment criteria. We believe this transaction showcases our ability to find accretive acquisition opportunities in a higher cost of capital environment.

我們對這筆交易感到非常興奮，因為這些設施大部分都在校園內，租戶組合良好，採用基於程序的實踐，完全符合我們的投資標準。我們相信，此次交易展現了我們在更高資本成本環境中尋找增值收購機會的能力。

On a disposition front during the quarter, we closed on the sale of two medical facilities for gross proceeds of $8.2 million, resulting in a gain of $1.4 million. Included in these dispositions was a facility located in Coos Bay, Oregon. Receiving gross proceeds of $7.2 million resulting in a gain of $1.3 million and reflecting a cap rate of 6.7%. This sale was part of our capital recycling strategy, and we are pleased with the outcome of this transaction.

在本季的處置方面，我們完成了兩處醫療設施的出售，總收益為 820 萬美元，收益為 140 萬美元。這些處置包括位於俄勒岡州庫斯灣的設施。獲得 720 萬美元的總收益，帶來 130 萬美元的收益，反映資本化率為 6.7%。此次出售是我們資本循環策略的一部分，我們對此交易的結果感到滿意。

Looking ahead, we remain persistent and disciplined in seeking opportunities that align with our investment strategy and underwriting standards or would be attractive additions to our joint venture with Heitman. We plan to leverage our competitive advantages of scale, capital access, and OP unit structuring capabilities to secure high quality acquisitions that allow us to grow our portfolio while maintaining our commitment to quality.

展望未來，我們將繼續堅持不懈、嚴謹地尋找符合我們的投資策略和承保標準的機會，或對我們與 Heitman 的合資企業具有吸引力的機會。我們計劃利用規模、資本獲取和 OP 單位結構能力的競爭優勢來確保高品質的收購，這使我們能夠擴大我們的投資組合，同時保持對品質的承諾。

I'd now like to turn a call over to Bob to discuss our financial results. Bob.

現在我想把電話轉給鮑伯來討論我們的財務表現。鮑伯。

Thank you, Alfonso. At the end of the first quarter of 2025, our portfolio consisted of gross investments in real estate of $1.5 billion included $4.9 million of total leasable square feet, 95.6% occupancy, 5.6 years of weighted average lease term, 4.4 times rent coverage, with 2.2% weighted average contractual rent escalations in the first quarter of 2025.

謝謝你，阿方索。截至 2025 年第一季末，我們的投資組合包括 15 億美元的房地產總投資，其中包括 490 萬美元的總可出租面積、95.6% 的入住率、5.6 年的加權平均租賃期限、4.4 倍的租金覆蓋率，2025 年第一季的加權平均合約租金上漲 2.2%。

Our total revenues decreased by approximately 1.4% compared to the prior year quarter to $34.6 million and our total expenses for the first quarter of 2025 were $32.2 million compared to $32.8 million in the prior year quarter. Our operating expenses for the first quarter of 2025 were $7.6 million compared to $7.4 million in the prior year quarter.

我們的總收入與去年同期相比下降了約 1.4% 至 3,460 萬美元，2025 年第一季的總支出為 3,220 萬美元，而去年同期為 3,280 萬美元。我們 2025 年第一季的營運費用為 760 萬美元，而去年同期為 740 萬美元。

Regarding the first quarter of 2025 expenses, $5.2 million related to net leases where the company recognized the comparable amount of expense recovery revenue and $1.4 million related to gross leases. G&A expenses for the first quarter of 2025 are $3.6 million compared to $4.4 million in the prior year quarter. The decrease primarily resulted from a decrease in non-cash LTIP compensation expense related to the accounting treatment for Jeff's unvested LTIP awards pursuant to his transition and separation agreement.

關於 2025 年第一季的費用，其中 520 萬美元與淨租賃有關，公司確認了可比金額的費用回收收入，140 萬美元與總租賃有關。2025 年第一季的 G&A 費用為 360 萬美元，去年同期為 440 萬美元。減少的主要原因是，根據傑夫的過渡和離職協議，與傑夫未歸屬的 LTIP 獎勵的會計處理相關的非現金 LTIP 薪酬費用減少。

Cash G&A expenses, excluding CEO transition related costs for $3.4 million in the first quarter. And looking ahead, we expect our run rate for comparable cash G&A expenses to range between $3.4 million and $3.6 million on a quarterly basis for the remainder of 2025.

第一季現金一般及行政開支（不包括執行長過渡相關費用）為 340 萬美元。展望未來，我們預計 2025 年剩餘時間內可比現金 G&A 費用的季度運行率將在 340 萬美元至 360 萬美元之間。

Relative to non-cash LTIP compensation expense based on grants to date and the impact of the accounting treatment for Jeff's awards, we expect to recognize $4.2 million of non-cash LTIP expense over the remainder of the year, including $1.8 million in the second quarter. Also during the first quarter, we completed two property dispositions that generated aggregate gross proceeds of $8.2 million resulting in an aggregate gain of $1.4 million.

相對於基於迄今為止的授予的非現金 LTIP 薪酬費用以及 Jeff 獎勵的會計處理的影響，我們預計在今年剩餘時間內確認 420 萬美元的非現金 LTIP 費用，其中包括第二季度的 180 萬美元。此外，在第一季度，我們完成了兩筆財產處置，共產生 820 萬美元的總收益，從而獲得了 140 萬美元的總收益。

Net income attributable to common stockholders in the first quarter of 2025, $2.1 million or $0.03 per share compared to $800,000 or $0.01 per share in the first quarter of 2024. FFO attributable to common stockholders and non-controlling interest in the first quarter of 2025, was $14.8 million or $0.20 per share and unit compared to $14.9 million or $0.21 per share and unit in the first quarter of 2024.

2025 年第一季歸屬於普通股股東的淨利為 210 萬美元，即每股 0.03 美元，而 2024 年第一季為 80 萬美元，即每股 0.01 美元。2025 年第一季歸屬於普通股股東和非控股權益的 FFO 為 1,480 萬美元或每股和單位 0.20 美元，而 2024 年第一季為 1,490 萬美元或每股和單位 0.21 美元。

AFFO attributed both the common stockholders and now controlling interest in the first quarter of 2025 to $16 million or $0.22 per share and unit compared to $16.5 million or $0.23 per share and unit in the first quarter of 2024. Regarding capital expenditures on the portfolio in the first quarter of 2025, our cash spend was approximately $2.6 million with approximately 27% of that related to tenant improvements. Currently we're projecting full year 2025 capital expenditures of approximately $12 million to $14 million.

AFFO 將 2025 年第一季的普通股股東和現有控股權益歸因於 1,600 萬美元或每股和單位 0.22 美元，而 2024 年第一季為 1,650 萬美元或每股和單位 0.23 美元。關於 2025 年第一季投資組合的資本支出，我們的現金支出約為 260 萬美元，其中約 27% 與租戶改善有關。目前，我們預計 2025 年全年資本支出約為 1,200 萬至 1,400 萬美元。

In terms of tenant-related items, on January 11, 2025, Prospect Metal Group filed for Chapter 11 bankruptcy reorganization. At that time, Prospect had approximately $2.4 million for outstanding lease payments related to three of our healthcare facilities, including $2.2 million related to our facility in East Orange, New Jersey, which had been accounted for on a cash basis since the fourth quarter of 2023.

在租戶相關事項方面，2025年1月11日，Prospect Metal Group申請第11章破產重整。當時，Prospect 有大約 240 萬美元的未償租賃款項與我們三處醫療設施有關，其中包括 220 萬美元與我們位於新澤西州東奧蘭治的設施有關，這些租賃款項自 2023 年第四季度起一直按現金基礎記賬。

As of year in 2024, prospect represented 0.8% of our of our total ABR. Regarding our exposure to Prospect Medical, we entered into a stipulation and agreed order with the bankruptcy courts whereby Prospect rejected its lease at our East Orange facility. In accordance with the order, we received all posts petition. Amounts due from prospect from January 11, 2025 through February 28, 2025, totaling $250,000.

截至 2024 年，潛在客戶占我們總 ABR 的 0.8%。關於我們對 Prospect Medical 的投資，我們與破產法院達成了一項協議和一致命令，據此 Prospect 拒絕了其在我們東奧蘭治工廠的租約。按照命令，我們接收了所有帖子的請願。2025 年 1 月 11 日至 2025 年 2 月 28 日期間潛在客戶應支付的金額總計 25 萬美元。

In addition, effective in April, we gained access to the property, allowing us to work directly with existing subtenants and market the remainder of the facility for leasing. As of May 6, 2025, Prospect had not decided that it was going to accept or reject its remaining leases with us.

此外，從四月開始，我們獲得了該物業的使用權，從而可以直接與現有轉租人合作，並將剩餘的設施推向租賃市場。截至 2025 年 5 月 6 日，Prospect 尚未決定接受或拒絕與我們簽訂的剩餘租約。

During the first quarter of 2025, we had 115,000 square feet of expiring leases and we were able to reduce 71,000 square feet, or 62% of these expiring leases. For our expiring leases for the full year 2025, we expect to retain 75% on a square foot basis. Other activities impacting occupancy during the quarter, including absorption, tenant bankruptcies, as well as the impact on vacancies from acquisitions and dispositions, largely offset each other.

在 2025 年第一季度，我們有 115,000 平方英尺的租約到期，我們減少了 71,000 平方英尺，即其中 62% 的到期租約。對於 2025 年全年到期的租約，我們預計將按平方英尺保留 75%。本季影響入住率的其他活動，包括吸收率、租戶破產以及收購和處置對空置率的影響，在很大程度上相互抵消。

Moving on to the balance sheet. As of March 31, 2025, our gross investment in real estate was $1.5 billion. Additionally, we had $681 million of total gross debt with a weighted average remaining term of 1.8 years. 75% of our total debt was fixed rate debt, our leverage ratio was 46.1%, and our weighted average interest rate was 3.84%. As of today, the current unutilized borrowing capacity under the credit facility is $187 million relative to equity, we did not issue any shares of our common stock under our ATM program during the first quarter or to date in the second quarter of this year.

繼續討論資產負債表。截至 2025 年 3 月 31 日，我們在房地產的總投資為 15 億美元。此外，我們的總債務為 6.81 億美元，加權平均剩餘期限為 1.8 年。我們總負債的 75% 為固定利率債務，我們的槓桿率為 46.1%，我們的加權平均利率為 3.84%。截至今天，信貸安排下未使用的借款能力相對於股權為 1.87 億美元，我們在今年第一季或第二季迄今未根據 ATM 計劃發行任何普通股。

Turning to our guidance, we are reaffirming our full year 2025 AFFO per share and unit range of $0.89 to $0.93. As a reminder, our 2025 guidance assumes no additional acquisition or disposition activity other than what has been either completed or announced, and no additional equity or debt issuances other than normal course revolver activity. AFFO guidance excludes one-time expenses related to the CEO's succession plan.

談到我們的指導，我們重申 2025 年全年每股 AFFO 和單位 AFFO 範圍為 0.89 美元至 0.93 美元。提醒一下，我們的 2025 年指引假設除了已完成或宣布的活動外，沒有其他收購或處置活動，並且除了正常的循環信貸活動外，沒有其他股權或債務發行。AFFO 指導不包括與 CEO 繼任計畫相關的一次性費用。

In conclusion, we believe that our high quality portfolio positions as well to navigate the current environment, while our liquidity allows us to selectively acquire properties that align with our strategic objectives. We remain confident in our disciplined execution of our business strategy and look forward to sharing our continued progress with you throughout the year.

總之，我們相信，我們的高品質投資組合能夠很好地應對當前環境，而我們的流動性使我們能夠選擇性地收購符合我們策略目標的資產。我們對我們嚴格執行業務策略充滿信心，並期待全年與您分享我們不斷取得的進步。

This concludes our prepared remarks. Operator, please open the call for questions.

我們的準備好的演講到此結束。接線員，請打開電話詢問。

Thank you. We will now be conducting a question and answer session. (Operator Instructions)

謝謝。我們現在將進行問答環節。（操作員指示）

Our first question comes from the line of Austin Wurschmidt with KeyBanc. Please proceed with your question.

我們的第一個問題來自 KeyBanc 的 Austin Wurschmidt。請繼續您的問題。

Thanks, good morning, everybody no it's still pretty early in the process, but can you just talk about, the potential time line and amount of rent that you'd expect to collect upon releasing the East Orange facility?

謝謝，大家早上好，現在還處於早期階段，但是您能否談談在發布東奧蘭治設施後您預計收取的潛在時間表和租金數額？

So you said the East Orange facility?

所以您說的是東奧蘭治工廠？

Yes, correct.

是的，正確。

So, go ahead

所以，繼續吧

Yeah, so, right, the first step we have to take, and just to kind of outline the timeline that we're going to have to go here is convert the subtenants that are in there to direct tenants, and that's going to take some time. It's in process. We're also working to get a budget prepared for the property and also looking to get taxes reassessed.

是的，我們必須採取的第一步，也就是概述我們要採取的時間表，就是將其中的轉租人轉變為直接租客，這需要一些時間。正在進行中。我們也正在努力為該房產準備預算，並希望重新評估稅收。

We've hired a broker to help us with the leasing effort. The hospital next door is in the process of getting a new operator that has a lot of surgical facilities in the area, which is very positive. They've expressed interest in leasing space in our building. There's been a group that's reached out to us that also wants to take a nice amount of space in the building. So we're pretty encouraged with the activity that we're experiencing in the facility and roughly rents in that building, are in the mid-thirty's on a gross basis and so if we can get expenses in line, our hope is to get a net rent in the mid 13,14,15 range for that building which would get us pretty close to where we were before, but it's going to take time to kind of work through all this activity and.

我們已聘請一位經紀人來幫助我們處理租賃事宜。隔壁的醫院正在尋找一家在該地區擁有大量外科手術設施的新營運商，這是非常積極的。他們表示有興趣租用我們大樓的空間。有一個團體與我們聯繫，他們也想在大樓裡佔用大量空間。因此，我們對設施內正在進行的活動感到非常鼓舞，該建築的租金大致在 35 美元左右，因此，如果我們能夠控制支出，我們希望獲得 13、14、15 美元左右的淨租金，這將使我們非常接近以前的水平，但完成所有這些活動需要時間。

We're not expecting it to change over the next few months dramatically, but you know as we approach year end, I think we're feeling pretty encouraged that we're going to build the NY and that property back up again and you know by next year, then it should be at a point that's approaching where we were before.

我們並不期望它在接下來的幾個月裡發生巨大的變化，但是你知道，隨著我們接近年底，我認為我們感到非常鼓舞，我們將重新建造紐約和該物業，你知道，到明年，它應該會達到我們之前的水平。

So is it fair to assume that there's nothing in guidance related to releasing this facility, one, and then, more broadly related to the other prospect facilities in Connecticut? I mean, is it your sense that the outcome there might be tied to what ultimately happens with the operations or real estate for other, hospitals, prospect leases within that region?

那麼，是否可以公平地假設，指南中沒有任何內容與發布該設施有關，並且更廣泛地與康乃狄克州的其他潛在設施有關？我的意思是，您是否認為那裡的結果可能與該地區其他醫院或潛在租賃的營運或房地產的最終情況有關？

I mean, first on in terms of the guidance, the impact of prospect and the releasing that Alfonso mentioned is factored into our guidance, it's not a significant component of our of our outlook for this year and in fact it's relative to an overall and why, again, very limited overall perspective. So I mean that that's. From an East Orange perspective as it relates to the to our properties in Vernon, I mean to this point, I mean, we have not had any indication of the lease rejection and I don't know if there's more we could say about the outlook for prospect strategy relative to those to those facilities, but to this point from our perspective, there hasn't been any new activity.

我的意思是，首先就指導而言，阿方索提到的前景和發布的影響已計入我們的指導中，它不是我們今年展望的重要組成部分，事實上，它是相對於整體而言的，而且，同樣，整體視角非常有限。我的意思是就是這樣。從東奧蘭治的角度來看，就我們在弗農的房產而言，我的意思是，到目前為止，我們還沒有收到任何租約被拒絕的跡象，我不知道我們是否可以更多地談論與這些設施相關的前景戰略前景，但從我們的角度來看，到目前為止還沒有任何新的活動。

Understood. And then I'm just curious, Jeff, if you can speak to it sounds like you have a successor in place, but just curious, moving towards the path of announcing that here soon, but curious, you had mentioned last quarter that the board is always evaluating other strategic options, curious if you went down that path and if there's anything you can share on that front as well? Thank you.

明白了。然後我只是好奇，傑夫，如果你能談談聽起來你已經有繼任者了，但只是好奇，即將宣布這一消息，但好奇，你上個季度提到董事會一直在評估其他戰略選擇，好奇你是否走了這條路，以及在這方面你是否也可以分享什麼？謝謝。

Yes, Austin, we always evaluate various options out there and it's always potential, given, the low price of the stock, the market, the value of our assets and our belief are well above what it's trading from, so that's always a potential out there. On the, transition, we are in the process of having multiple good candidates. We're in the process of evaluating them, and we do expect, in a very relatively short time to have a final candidate that we pick. So the nomination committee has been very active with it. We're excited about bringing in somebody to add new skills and others. I'm going over to be the Chairman, so I'll still be involved with what I bring to the table. So I'm very excited what goes on in the future.

是的，奧斯汀，我們總是評估各種各樣的選擇，而且總是有潛力的，因為股票的低價、市場、我們資產的價值和我們的信念都遠高於它的交易價格，所以這總是有潛力的。在過渡期間，我們正處於擁有多位優秀候選人的過程中。我們正在對它們進行評估，我們確實希望在相對較短的時間內選出最終候選人。因此提名委員會對此非常積極。我們很高興能引進人才來增加新技能和其他技能。我將擔任主席，因此我仍將參與我所要做的事情。所以我對未來發生的事情感到非常興奮。

Appreciate the time and thanks for the thoughts all the best to you.

感謝您的時間，感謝您的想法，祝您一切順利。

Our next question comes from a line of Wes Golladay with Baird. Please proceed with your question.

我們的下一個問題來自貝爾德 (Baird) 的韋斯·戈拉迪 (Wes Golladay)。請繼續您的問題。

Hey, good morning, guys. So maybe just sticking with prospect for the 250,000 you're going to get, did you record anything in the first quarter for that? Or is it going to be in the second quarter?

嘿，大家早安。因此，也許只是堅持您將獲得的 250,000 的前景，您在第一季記錄了什麼嗎？還是會在第二季？

There was 150,000 in the first quarter and the 100 will be in the second quarter.

第一季有 15 萬個，第二季將增加 100 個。

Okay, and we can maybe talk about the outlook for this positions and overall, you may be capital markets activity for the second half to get the line balance. You keep it at the same level, will you take it down, I guess how are you thinking about that as well?

好的，我們也許可以談論這個職位的前景，總的來說，您可以透過下半年的資本市場活動來獲得線平衡。你會保持在同一水平，你會把它降低嗎，我想你也是怎麼想的？

Just on the disposition side, I mean, we have regular discussions with the asset management team and with Bob and Jeff in terms of just seeing where we are as a company and seeing if it makes sense to sell assets. So that's ongoing, but in the near term what we have is what we've put in a press release, just roughly $8 million in process and nothing in the near term that we're planning on selling, but it's something that we discuss regularly.

僅在處置方面，我的意思是，我們定期與資產管理團隊以及鮑勃和傑夫進行討論，以了解我們作為一家公司的現狀以及出售資產是否合理。所以這仍在進行中，但就短期而言，我們在新聞稿中提到，正在進行中的項目只有大約 800 萬美元，短期內沒有計劃出售，但我們會定期討論。

Okay, and then I guess on the line balance will you just keep it at the same level as you look to maybe term it out with some another term loan? What do you think in there?

好的，那麼我想問一下，您是否會將線下餘額保持在同一水平，因為您可能希望用另一筆定期貸款來償還這筆貸款？您覺得那裡怎麼樣？

So relative to the financing side, we've been in active discussions with our lenders on, updating and extending the facility and including the term loan that that comes up next year. So all that is on the table, at a high level, the CEO's succession plan is really driving our timing a bit on that, and we would look to execute. Something in that, in the 3rd quarter, early 4th quarter type of time frame to move forward, with those, but I think we'd be looking to do something relatively consistent with what we have today.

因此，就融資方面而言，我們一直在與貸方進行積極討論，更新和延長貸款額度，包括明年的定期貸款。因此，從高層來看，這一切都在影響我們的時間安排，我們希望能夠執行。在第三季或第四季初的時間範圍內，我們會採取一些措施來推進這些工作，但我認為我們會尋求做一些與今天的情況相對一致的事情。

Okay, and then, just one last one, I think in the original guide you had I think $4.5 million to $4.7 million per quarter, but it was ex, the L tip I believe. So how are you thinking about GAAP GNA for the back half of the year?

好的，然後，最後一個問題，我認為在最初的指南中，我認為每季的收入為 450 萬美元到 470 萬美元，但我相信這是 L 小費。那麼您對今年下半年的 GAAP GNA 有何看法？

Oh, so from a GAAP in perspective, it would, again it'll be a little bit, from the perspective, of the swing in stock -- compensation, but it could, from with the cash DNA running in that in that 34 to 36 and with -- again, or two of -- LTIP compensation expense, it'll be, from the second quarter will be elevated into the, call it, 5,1 to 5,3, type of range, and then perspectively to be back in that range that we talked about previously of the kind of the four to five to four to seven type range.

哦，所以從 GAAP 的角度來看，從股票薪酬波動的角度來看，它會有一點波動，但是，從 34 到 36 的現金 DNA 來看，以及——再次，或者兩個——LTIP 薪酬費用，從第二季度開始，它將提升到，我們稱之為 5.1 到 5.3 類型的範圍，然後從我們的角度回到我們之前討論過 4 到 4 到 474 到 474 到 474 到 474 的範圍。

Got it. Thank you so much.

知道了。太感謝了。

Our next question comes from line of Juan Sanabria with BMO. Please proceed with your question.

我們的下一個問題來自 BMO 的 Juan Sanabria。請繼續您的問題。

Hi. Just curious as part of the search process and Justin will stay on the board hoping you could give some insights here how you guys are thinking about the dividend? I mean, has it necessarily been covered if you think about, CapEx, which was some guidance was given for so how are you thinking about the sustainability of that and the ability to do acquisitions when leverage is high just curious on the discussions.

你好。只是好奇，作為搜索過程的一部分，賈斯汀會留在董事會，希望你能在這裡提供一些見解，你們是如何考慮股息的？我的意思是，如果您考慮資本支出，它是否一定被涵蓋，這是給出了一些指導，那麼您如何看待它的可持續性以及在槓桿率高時進行收購的能力，只是對討論感到好奇。

Well, we've been interviewing people for, the CEO position, and that is in line with everything else we are doing at the time. It's I mean dividend discussion. Which is happening in almost all the res that refinanced at, very low rates is happening, but it's sort of being held off until we know our direction, some of our strategic direction, which we're sort of excited about from some of the candidates, is in line with what we do, the refinance is in line with what we do, so there's multiple factors in there.

嗯，我們一直在為 CEO 職位面試人員，這與我們目前正在做的其他事情一致。我的意思是關於股利的討論。幾乎所有以非常低的利率進行再融資的房地產都在發生這種情況，但是這種情況被推遲了，直到我們知道我們的方向，我們的一些戰略方向（我們對一些候選人感到興奮）與我們所做的一致，再融資與我們所做的一致，所以這裡面有多個因素。

Understood, fair enough. And just curious on the first quarter, it seemed like retention was a bit lower than what you're expecting for the balance of the year. Just curious if you can give any insights on to why that was the case and if there's any known move outs we should be kind of thinking of kind of looking forward?

明白了，夠公平。我只是對第一季感到好奇，似乎保留率比你對今年剩餘時間的預期要低一點。只是好奇您是否可以解釋為什麼會發生這種情況，以及是否有任何已知的搬遷，我們應該考慮期待什麼？

Sure, one. So in the first quarter you have retention at that lower 60% was lower than our typical and if I look at the 40,000 or so square feet that didn't renew in the first quarter, just note about 80% of that is progressing, well toward releasing. So overall, again, we're going to start to trim back a little bit with again the specific expirations that were there. In the first quarter, but relative to the overall occupancy percentage, when we talked at your end, we expected there to be some volatility in this number from quarter to quarter this year based on our outlook on expiring leases, and we factored that into our guidance from our AFFO guidance for the full year and you know as we look ahead.

當然，一個。因此，在第一季度，您的保留率低於 60%，低於我們的典型水平，如果我看一下第一季度未續約的 40,000 平方英尺左右，請注意其中約 80% 正在取得進展，即將發布。因此，總的來說，我們將再次開始稍微削減現有的具體到期日。在第一季度，但相對於整體入住率，當我們與您交談時，根據我們對到期租約的展望，我們預計今年各個季度這個數字會有一些波動，並且我們將這一點納入了我們對全年 AFFO 指導的指導中，您知道我們展望未來。

In the second quarter there will be a negative impact of things like the acquired vacancy from the portfolio acquisition that they'll be there in Q2. We have a 50,000 square foot lease that's expiring in the second quarter that that is not expected to renew. So there's going to be some volatility in in in the number from period to period and Expect that to go into again probably into the 94% to 95% range in the 2nd and third quarters, but really as we get traction, those events and those activities, we expect that to move back up as we as we progress toward the back part of the year and you know look to have that back above 95% with the goal to be at 96% again at year end.

在第二季度，諸如投資組合收購所獲得的空缺等因素將產生負面影響，這些影響將在第二季度出現。我們有一份 50,000 平方英尺的租約將於第二季到期，預計不會續約。因此，各個時期的數字會有一些波動，預計第二季度和第三季度的數字可能會再次進入 94% 到 95% 的範圍內，但隨著我們真正獲得動力，這些事件和活動，我們預計隨著我們進入下半年，這個數字會回升，你知道，希望這個數字回到 95% 以上，目標是在年底再次達到 96%。

Thanks. And when you said that the 80% is progressing towards releasing, does that mean you there was a short term extensions because it did look like the 26 expirations picked up. I'm not sure if there was some shorter term extensions or just hoping you could give a little bit more color on that?

謝謝。當您說 80% 正在朝著釋放的方向發展時，這是否意味著存在短期延期，因為看起來確實有 26 個到期日。我不確定是否有一些短期延長，或者只是希望您能對此提供更多說明？

Oh, sure. I that -- what -- is -- those were two leases that have termination options in them. So that really was the short term renewal. These are two leases that have that have that have termination options. And so those were in because that termination option was could have affected us in 2025, it was in our 2025 expiration or our lease expiration number. That is the least. Those are two leases that go out through 2029, but they have termination options that are that are in them and so we continue to put them again that's now in the 2026 number. So that's the unusual activity that you're that you're seeing in in that line.

哦，當然。我認為那是兩份帶有終止選項的租約。所以這確實是短期更新。這是兩份具有終止選項的租約。這些都是因為終止選項可能會在 2025 年影響我們，這是我們 2025 年到期或租約到期的數字。這是最少的。這兩份租約的有效期至 2029 年，但它們有終止選項，因此我們繼續將它們放在現在的 2026 年數字中。這就是您在那條線上看到的不尋常的活動。

Thank you. Good luck with everything and and congratulations and best of luck with everything, Jeff.

謝謝。祝你一切順利，恭喜你，祝你一切順利，傑夫。

Thank you, appreciate it.

謝謝，感激不盡。

Our next question comes from a line of Gaurav Mehta with Alliance Global Partners. Please proceed with your question.

我們的下一個問題來自 Alliance Global Partners 的 Gaurav Mehta。請繼續您的問題。

Thank you. Good morning. I wanted to go back to your balance sheet, maybe touch upon leverage again, at 46.1%. If you were to find right acquisition opportunities this year, how are you willing to take that leverage?

謝謝。早安.我想回到你的資產負債表，也許再次談到槓桿率，即 46.1%。如果您今年找到合適的收購機會，您願意如何利用這項優勢？

And we're really not looking to take the leverage very, much higher than where we are. I think when you factor in the second, the acquisitions that we closed in the second quarter that will move us up into 47% from an overall perspective and our target leverage remains 40%. 45, but for moments like this and for opportunities like the grand portfoliour we're willing to go above that that target range, but again, we don't really, we're not looking to move materially outside this this band that we're in right now. From going high they tend to go significantly higher than where we are.

我們確實不希望將槓桿率提高到比現在更高的水平。我認為，如果將第二點考慮進去，我們在第二季完成的收購將使我們的整體槓桿率上升至 47%，而我們的目標槓桿率仍為 40%。 45，但對於這樣的時刻和大投資組合這樣的機會，我們願意超越這個目標範圍，但同樣，我們實際上並不打算實質性地超出我們目前所處的這個區間。從高處看，它們往往會比我們現在的位置高得多。

Okay, and then maybe follow up, on the acquisition market hoping get some some color on how your pipeline is looking?

好的，然後也許跟進一下，在收購市場上希望了解你的管道狀況如何？

Sure, so, The investment market started off pretty upbeat at the beginning of the year and really is a combination of many factors like the transaction volume has been relative to past years quiet in '23 and '24, down significantly depending on what data set you look at, down 70%, 80%.

當然，投資市場在年初開始相當樂觀，這實際上是多種因素共同作用的結果，例如交易量相對於過去幾年來說在 23 年和 24 年比較平靜，根據你看的數據集，下降幅度高達 70%、80%。

At its worst and so there was an uptick at the end of '24, and the fact was that the bit as spread has narrowed. There is a lot of money sitting on the sidelines, and there's the expectation that there's going to be a lot more volume this year, at least more than there was in '24. There's been an uptick in portfolios that are coming to market. And there's optimism in that regard in the month of April with the tariffs and the volatility in the market, it seems like there was a few weeks when there was concern among participants in the market, but it seems like there's just a lot of demand, and I think there's sort of renewed optimism that there's going to be a good amount of transactions this year.

在最糟糕的情況下，24 年底出現了上漲，事實上價差已經縮小。有大量資金處於觀望狀態，預計今年的交易量將會大幅增加，至少會比2024年更多。進入市場的投資組合數量增加。四月份，由於關稅和市場波動，人們對此持樂觀態度，似乎有幾個星期市場參與者感到擔憂，但似乎需求很大，我認為人們重新燃起樂觀情緒，認為今年的交易量將會很大。

So there is a lot of supply that's in the market and what's interesting is the spread in terms of cap rate from higher quality assets and the lower quality assets that spreads about as wide as I think I've ever seen it where the really higher quality assets are in some cases trading even below six. And on the lower end of the spectrum there are some assets that are trading in the high sevens and even eights, so it's a pretty widespread, in terms of the assets that would fit our portfolio, there's a pretty good supply, in that high seven cap range that we've targeted in the past. So but our acquisitions. Contingent on our cost of capital, so we continue monitoring the market.

因此，市場上有大量的供應，有趣的是高品質資產和低品質資產的資本化率差距很大，我認為我從未見過如此之大的差距，而真正高品質資產在某些情況下的交易價格甚至低於 6。在較低端，有些資產的交易價格在 7% 甚至 8% 左右，因此，就適合我們投資組合的資產而言，這是一個相當普遍的現象，在我們過去瞄準的 7% 左右的高市值範圍內，供應相當充足。但我們的收購也是如此。取決於我們的資本成本，所以我們會繼續監控市場。

There is good supply and to the extent that we have the cost of capital to pursue, then we'll take our share and do what we've done in the past.

如果有良好的供應，並且我們有資本成本可以追求，那麼我們就會承擔自己的份額並做我們過去所做的事情。

Yeah. Alright, that's all I have. Thanks for taking my questions.

是的。好的，這就是我所知道的全部。感謝您回答我的問題。

Our next question comes from line of John Masoko with B. Riley. Please proceed with your question.

我們的下一個問題來自 B. Riley 的 John Masoko。請繼續您的問題。

Morning. Yeah kind of maybe with that last question in mind, I guess, is there opportunities then to move a lot of that potential deal flow into the Heitman JV or is that, are there any kind of other dating factors on. Maybe that being a source to where you pursue some of the stuff you traditionally would have weird cost of capital, not kind of where it is today?

早晨。是的，也許考慮到最後一個問題，我想，是否有機會將大量潛在的交易流轉移到 Heitman JV，或者是否存在其他約會因素。也許這就是你追求某些傳統上會產生奇怪資本成本的東西的來源，而不是今天的情況？

Yes, absolutely, we're pretty active looking for opportunities for them and are actively pursuing opportunities and you know our hope is that we can try to get some deals with the high venture for sure.

是的，當然，我們正在積極地為他們尋找機會，並且正在積極地追求機會，你知道我們的希望是，我們肯定能夠嘗試與高風險企業達成一些交易。

And then, we talked a lot about prospects, but I know it's the non-Beaumont element of the portfolio is pretty small, but anything, any update on releasing of the kind of the other steward assets or former stewart assets?

然後，我們談了很多關於前景的事情，但我知道投資組合中非博蒙特的部分相當小，但是，關於釋放其他管家資產或前管家資產有什麼最新消息嗎？

So, yeah, the other steward assets in Hermitage, Pennsylvania, those are about 23,000 square feet and we're actively, working to get those under lease and are optimistic that that will be done, by June 30. The impact of those properties is really minimal from an overall perspective.

是的，賓州赫米蒂奇的其他管理資產面積約為 23,000 平方英尺，我們正在積極努力將其租賃出去，並樂觀地認為這將在 6 月 30 日之前完成。從整體角度來看，這些屬性的影響確實很小。

And then anything you're seeing on the policy front, it's either kind of a, the government policy front, it's either kind of a positive or negative for the tenant credit tenant health. I know there's not, life science isn't really a big focus, but that's been called out kind of competitor calls. Same thing maybe kind of you can provide about how the macro is impacting how your tenants are performing, positive or negative?

然後，您在政策方面看到的任何內容，無論是政府政策方面，還是租戶信用健康方面，都是積極的或消極的。我知道沒有，生命科學並不是真正的重點，但這被稱為競爭對手的叫法。您是否可以提供相同的東西，關於宏觀因素如何影響您的租戶的表現，是積極的還是消極的？

Well, the great thing about our portfolio is one being relatively recession proof and also being the type of tents we have, we're not a Medicaid-based portfolio where we have more Medicare, which is not being touched. Medicaid is being debated, but that's very limited.

嗯，我們的投資組合的優點在於它相對來說能夠抵禦經濟衰退，而且就我們擁有的帳篷類型而言，我們不是一個基於醫療補助的投資組合，我們擁有更多的醫療保險，而醫療保險不會受到影響。醫療補助計劃正在討論中，但範圍非常有限。

The most interesting thing to learn about our portfolio is when the pandemic occurred. And our tenants couldn't operate or anything else. We still collected 99% of the rent, and that shows the strong portfolio. So in a recession, I do expect us to be a safety investment at that time also.

關於我們的投資組合，最有趣的是了解疫情發生的時間。我們的租戶無法營業或做其他任何事情。我們仍然收取了 99% 的租金，這表明我們的投資組合非常強大。因此，在經濟衰退時期，我確實希望我們也能成為一項安全的投資。

Yeah, that's it for me. Thank you very much.

是的，對我來說就是這樣。非常感謝。

Thank you. We have reached the end of the question and answer session, and with that the conclusion of today's call. Thank you for your participation.

謝謝。問答環節已經結束，今天的電話會議也跟著結束。感謝您的參與。

You may disconnect your lines at this time and have a wonderful day.

此時您可以斷開線路並享受美好的一天。