Inventrust Properties Corp (IVT) 2023 Q2 法說會逐字稿

Thank you for standing by, and welcome to the InvenTrust second-quarter 2023 earnings conference call. My name is Carla, and I will be your conference call operator today.

感謝您的耐心等待，歡迎參加 InvenTrust 2023 年第二季財報電話會議。我叫卡拉，今天我將擔任您的電話會議接線生。

Before we begin, I would like to remind our listeners that today's presentation is being recorded, and a replay will be available on the Investors section of the company website at inventrustproperties.com. (Operator Instructions)

在我們開始之前，我想提醒我們的聽眾，今天的演示正在錄製中，並將在公司網站 inventrustproperties.com 的投資者部分提供重播。 （操作員說明）

I would now like to turn the call over to Mr. Dan Lombardo, Vice President of Investor Relations. Please go ahead, sir.

我現在想將電話轉給投資者關係副總裁 Dan Lombardo 先生。請繼續，先生。

Thank you, operator. Good morning, everyone, and thank you for attending our call today. Joining me from the event trust team is DJ Busch, President and Chief Executive Officer; Mike Phillips, Chief Financial Officer; Christy David, Chief Operating Officer; and Dave Heimberger, Chief Investment Officer.

謝謝你，接線生。大家早安，感謝您今天參加我們的電話會議。與我一起參加活動信託團隊的是總裁兼執行長 DJ Busch；麥克‧菲利普斯，財務長；克里斯蒂·大衛，營運長；戴夫‧海姆伯格（Dave Heimberger），首席投資長。

Following the team's prepared remarks, we will open the lines for questions. As a reminder, some of today's comments may contain forward-looking statements about the company's views on the future of our business and financial performance, including forward-looking earnings guidance and future market conditions.

在團隊準備好發言後，我們將開始提問。提醒一下，今天的一些評論可能包含有關公司對未來業務和財務表現的看法的前瞻性陳述，包括前瞻性盈利指導和未來市場狀況。

These are based on management's current beliefs and expectations and are subject to various risks and uncertainties. Any forward-looking statements speak only as of today's date, and we assume no obligation to update any forward-looking statements made on today's call or that are in the quarterly financial supplemental or press release.

這些基於管理層當前的信念和期望，並受到各種風險和不確定性的影響。任何前瞻性陳述僅代表今天的情況，我們不承擔更新今天電話會議上或季度財務補充或新聞稿中所做的任何前瞻性陳述的義務。

In addition, we will also reference certain non-GAAP financial measures. The comparable GAAP financial measures are included in the quarterly earnings materials, which are posted on our Investor Relations website.

此外，我們也將參考某些非公認會計準則財務指標。可比較的公認會計準則財務指標包含在季度收益資料中，這些資料發佈在我們的投資者關係網站上。

With that, I will turn the call over to DJ.

這樣，我會將電話轉給 DJ。

Thanks, Dan. And good morning, everyone. The InvenTrust portfolio continues to deliver solid operating results, highlighted by strong leasing activity and record occupancy. Our consistent performance is indicative of our simple and focused strategy, owning and operating premier necessity-based shopping centers in growing Sunbelt markets.

謝謝，丹。大家早安。 InvenTrust 投資組合持續帶來穩健的經營業績，強勁的租賃活動和創紀錄的入住率凸顯了這一點。我們一貫的業績體現了我們簡單而專注的策略，在不斷發展的陽光地帶市場擁有並經營一流的必需品購物中心。

Significant demographic trends continue to be an important tailwind in the Sunbelt, which is experiencing some of the healthiest market rent growth across the US. A major catalyst is the lack of institutional quality retail space across the sector and the absence of meaningful new development.

顯著的人口趨勢仍然是陽光地帶的重要推動力，該地區正在經歷全美最健康的市場租金成長。一個主要的催化劑是整個行業缺乏機構級優質零售空間以及缺乏有意義的新開發案。

Inflated construction and labor costs continue to be a hurdle to any new projects, creating a compelling backdrop for our business. Our strong internal growth prospects are complemented by our low levered balance sheet, which allows us to look for external growth opportunities without having to access the capital markets.

高昂的建築和勞動力成本仍然是任何新項目的障礙，為我們的業務創造了引人注目的背景。我們強勁的內部成長前景與我們的低槓桿資產負債表相輔相成，這使我們能夠在無需進入資本市場的情況下尋找外部成長機會。

We are comfortable with our capital position to support future acquisitions while still maintaining a prudent and low levered balance sheet with a net-debt-to-EBITDA target of around 6 times on a forward-looking basis and net leverage ratio of around 35%.

我們對支持未來收購的資本狀況感到滿意，同時仍保持審慎和低槓桿的資產負債表，前瞻性的淨債務與 EBITDA 目標約為 6 倍，淨槓桿率約為 35%。

That said, an uncertain rate environment continues to keep deal volume relatively low, and we'll remain disciplined and patient in our capital allocation plan.

也就是說，不確定的利率環境繼續使交易量相對較低，我們將在資本配置計畫中保持紀律和耐心。

InvenTrust closed on one acquisition in the quarter, the Shoppes at Davis Lake, located in our target MSA of Charlotte, which is approximately 90,000 square feet anchored by Harris Teeter in a strong retail corridor experiencing population and income growth with significant residential development in the immediate area.

InvenTrust 在本季完成了一項收購，即戴維斯湖購物中心(Shoppes at Davis Lake)，該購物中心位於我們的目標夏洛特MSA，面積約為90,000 平方英尺，由Harris Teeter 主導，位於一條強大的零售走廊，人口和收入不斷增長，近期將有大量住宅開發區域。

Finally, InvenTrust published its annual ESG report in June. We have set five-year energy, greenhouse gas, waste, and water reduction goals for areas under our operational control and are working with our tenants to optimize operations through our green leases.

最後，InvenTrust 在 6 月發布了年度 ESG 報告。我們為營運控制範圍內的區域設定了五年能源、溫室氣體、廢棄物和水減少目標，並與租戶合作，透過綠色租賃優化營運。

Investing in our properties is a fundamental part of our business plan as we strive to create best-in-class shopping experiences and improve our communities. We believe that our investment in sustainability will continue to provide appropriate returns and position our company and assets for the future.

投資我們的房產是我們商業計劃的基本組成部分，因為我們努力創造一流的購物體驗並改善我們的社區。我們相信，我們對永續發展的投資將繼續提供適當的回報，並為我們的公司和資產的未來定位。

With that, I'm going to turn it over to Mike to walk everyone through our financials and guidance for the quarter. Mike?

接下來，我將把它交給麥克，讓大家了解我們本季的財務狀況和指導。麥克風？

Thanks, DJ. InvenTrust had another solid quarter of results, and we are positioned for a strong finish for the remainder of 2023. Same-property NOI for the quarter was $38 million, growing 3.7% over the second quarter of last year. Year to date, same-property NOI was $71.8 million, growing 3.5% over the first six months of 2022.

謝謝，DJ。 InvenTrust 又取得了穩健的季度業績，我們預計將在 2023 年剩餘時間內取得強勁業績。該季度的相同房產 NOI 為 3800 萬美元，比去年第二季度增長 3.7%。今年迄今為止，同物業 NOI 為 7,180 萬美元，比 2022 年前六個月增長 3.5%。

The year-to-date increases were primarily driven by base rent and spread equally between rent bumps, occupancy, and spreads. Stripping out the prior-period collections headwind of 100 basis points from cash-basis tenants, same-property NOI growth would have been 4.5%.

今年迄今的成長主要是由基本租金推動的，並且在租金上漲、入住率和利差之間平均分配。剔除現金基礎租戶上期收款 100 個基點的逆風，同一房產 NOI 成長率將為 4.5%。

We reported a NAREIT FFO of $57.2 million or $0.84 per diluted share and core FFO of $56.4 million or $0.83 per diluted share for the first six months of the year. This anticipated decline for the first half of the year is primarily due to higher interest rate expense from the private placement debt funded in the third quarter of last year at a blended interest rate of 5.12%.

我們報告今年前六個月的 NAREIT FFO 為 5720 萬美元，即稀釋後每股 0.84 美元，核心 FFO 為 5640 萬美元，即稀釋後每股 0.83 美元。上半年的預期下降主要是由於去年第三季私募債務的利率費用較高，混合利率為 5.12%。

InvenTrust continues to maintain a strong and flexible balance sheet. We ended the quarter with a net leverage ratio of 28%. Net debt to adjusted EBITDA is 5.4 times on a trailing 12-month basis, which we do expect to decline as we benefit from the income generated by the acquisition of our joint venture in January.

InvenTrust 持續保持強勁且靈活的資產負債表。本季結束時，我們的淨槓桿率為 28%。過去 12 個月的淨債務與調整後 EBITDA 比率為 5.4 倍，我們預計這一數字會下降，因為我們受益於 1 月收購合資企業所產生的收入。

Our weighted average interest rate is 3.9% with a weighted average maturity of 4.3 years and only 2% variable rate debt. One important note, InvenTrust has $92 million of debt that expires in November of '23. This debt has two one-year extension options, which we plan to exercise. This debt will roll the variable rate upon initial maturity in November, increasing our total variable rate debt to approximately 10%.

我們的加權平均利率為 3.9%，加權平均期限為 4.3 年，浮動利率債務僅 2%。值得注意的是，InvenTrust 擁有 9,200 萬美元的債務，將於 2023 年 11 月到期。該債務有兩個為期一年的延期選擇權，我們計劃行使。該債務將在 11 月首次到期時滾動浮動利率，使我們的浮動利率債務總額增加至約 10%。

At quarter end, we had approximately $434 million of total liquidity, including a full $350 million of borrowing capacity available on our revolving line of credit. With one of the lowest levered balance sheets in the shopping center space, we remain prepared for the challenges and opportunities that may arise. And finally, we declared dividend payment of $0.215 per share, which is a 5% increase over last year.

截至季末，我們的流動資金總額約為 4.34 億美元，其中包括循環信貸額度上可用的 3.5 億美元的全部借款能力。我們是購物中心領域槓桿率最低的資產負債表之一，我們仍為可能出現的挑戰和機會做好準備。最後，我們宣布派息每股 0.215 美元，比去年增加 5%。

Turning to guidance, we're revising our 2023 core FFO range to $1.61 to $1.64 per share. This increase is due to stronger-than-expected first-half same-property NOI. Our NAREIT FFO range will remain at $1.64 to $1.69, driven primarily by non-cash GAAP adjustments related to the acquisition of our joint venture in Q1 of 2023.

至於指引，我們將 2023 年核心 FFO 範圍修改為每股 1.61 美元至 1.64 美元。這一增長是由於上半年同地產 NOI 強於預期。我們的 NAREIT FFO 範圍將保持在 1.64 美元至 1.69 美元，這主要是受到與 2023 年第一季度收購我們的合資企業相關的非現金 GAAP 調整的推動。

We are also raising our same-property NOI growth guidance by 25 basis points at the midpoint and narrowing the range to 4% to 5%, mostly driven by higher-than-expected occupancy and recovery rates. Our full-year guidance assumptions are provided in our supplemental disclosure filed yesterday.

我們也將同物業 NOI 成長指引中位數上調 25 個基點，並將區間縮小至 4% 至 5%，主要是由於入住率和回收率高於預期。我們的全年指導假設已在昨天提交的補充披露中提供。

And with that, I'm going to turn the call over to Christy to discuss our portfolio activity.

接下來，我將把電話轉給克里斯蒂，討論我們的作品集活動。

Good morning, everyone. For the first six months of 2023, our leasing team stayed busy as we leased 601,000 square feet with a multitude of additional leases in our pipeline in various stages of negotiation and discussion.

大家，早安。 2023 年前六個月，我們的租賃團隊一直很忙碌，我們租賃了 601,000 平方英尺，並且我們正在各個階段進行談判和討論，還有大量額外的租賃。

Our anchor space leased occupancy finished at 98.6% and our small shop increased to 92%. As of June 30, InvenTrust's same-property portfolio ABR was $19.18, an increase of 2% compared to June 30, 2022.

我們的主力空間租賃率達到 98.6%，我們的小商店則增加到 92%。截至6月30日，InvenTrust的相同房產投資組合ABR為19.18美元，較2022年6月30日成長2%。

Our leasing spreads year to date were 6.3%, and our retention rate remains high at 92%, driven by increases in small-shop retention, which continues to be one of our most effective strategies to grow rent while limiting our capital commitments and downtime.

今年迄今為止，我們的租賃利差為6.3%，在小店保留率增加的推動下，我們的保留率仍然高達92%，這仍然是我們在限制資本承諾和停機時間的同時增加租金的最有效策略之一。

We should note that overall occupancy, which stands at 96.2%, will fluctuate as the process of taking back and releasing Bed Bath & Beyond space continues to unfold. That said, the uptick in recent bankruptcies is providing us with a unique opportunity to upgrade our tenant mix at favorable rates.

我們應該注意到，隨著 Bed Bath & Beyond 空間收回和釋放過程的不斷展開，整體入住率（96.2%）將會出現波動。也就是說，最近破產的增加為我們提供了一個獨特的機會，以優惠的價格升級我們的租戶組合。

As I mentioned last quarter, retail is and always will be an evolution of new exciting concepts coming in and others falling out of favor as we are seeing with a few troubled tenants in our portfolio. Starting with Bed Bath & Beyond, the team has been working on backfilling these locations and had multiple offers for each of the five locations.

正如我上個季度提到的，零售業始終是新的令人興奮的概念的演變，而其他概念則逐漸失寵，正如我們在我們的投資組合中看到的一些陷入困境的租戶一樣。從 Bed Bath & Beyond 開始，團隊一直致力於回填這些地點，並為這五個地點中的每一個地點提供了多個報價。

While the Bed Bath & Beyond bankruptcy is still very fluid. We have recently received clarity on each space. In late June, one lease was acquired at auction by a known national retailer. One location was rejected as of July first, and we immediately identified the replacement tenant and proceeded to finalize lease terms.

而 Bed Bath & Beyond 的破產情況仍然非常不穩定。我們最近收到了每個空間的清晰訊息。六月下旬，一家知名全國零售商在拍賣中獲得了一份租約。截至 7 月 1 日，有一個地點被拒絕，我們立即確定了替代租戶並著手敲定租賃條款。

For the remaining three locations, we received notice last week that we would regain possession of those boxes as of today. We are currently selecting the best tenant to complement each center and moving each deal towards lease execution. As for Party City, the bankruptcy is ongoing, but we anticipate that both of our locations will be assumed by the tenant.

對於其餘三個地點，我們上週收到通知，從今天起我們將重新擁有這些盒子。我們目前正在選擇最佳租戶來補充每個中心，並將每筆交易轉向租賃執行。至於 Party City，破產正在進行中，但我們預計我們的兩個地點都將由租戶接管。

Our results this quarter highlight the proven ability of our centers to attract tenants as well as our team's ability to capitalize on the opportunities presented during this high demand, low supply leasing environment. The current market dynamics bode well for our business as is shown by the occupancy levels and the broader operational performance throughout the sector.

我們本季的業績凸顯了我們的中心吸引租戶的能力，以及我們的團隊利用這種高需求、低供應的租賃環境中出現的機會的能力。目前的市場動態對我們的業務來說是個好兆頭，整個產業的入住率和更廣泛的營運績效就顯示了這一點。

Operator, this concludes our prepared remarks. Please open the line for any questions.

接線員，我們準備好的發言到此結束。如有任何問題，請撥打電話。

(Operator Instructions) Paulina Rojas, Green Street.

（操作員說明）Paulina Rojas，格林街。

Good morning. My question is about bad debt. So it seems you're running below what we expected at the beginning of the year that [you have] provided. So do you have updated expectations at this point for the year?

早安.我的問題是關於壞帳的。因此，您的運行情況似乎低於我們在年初提供的預期。那麼您現在對今年的預期有更新嗎？

Hi, Paulina. It's Mike. Good morning. We do feel comfortable in the range. We haven't updated our range of bad debt. And you're right, we've only taken about 15 to 20 basis points of bad debt year to date. But most of that you'll see in the back half of the year with the Bed Bath & Beyond fallout, and that will take up most of it in the second half.

嗨，寶琳娜。是麥克。早安.我們確實在這個範圍內感到舒適。我們尚未更新壞帳範圍。你是對的，今年迄今為止我們只減少了大約 15 到 20 個基點的壞帳。但其中大部分你會在今年下半年看到 Bed Bath & Beyond 的影響，而這將在下半年佔據大部分。

[Hi, Paulina]. Good morning, this is DJ. The majority of the bad debt that we're still reserving for is really already spoken for. It's just you're looking forward to the back half of the year with the Bed Bath & Beyond spaces. We do have a small contingent though of just small shop.

[嗨，寶琳娜]。早上好，我是 DJ。我們仍然保留的大部分壞帳實際上已經被償還了。只是您對下半年的 Bed Bath & Beyond 空間充滿期待。我們確實有一小支隊伍，儘管只是一家小商店。

I wouldn't call it conservative, but we have seen a couple of small tenants that we've had our eye on that we want to just make sure we're accounting for as well.

我不會稱之為保守，但我們已經看到了一些我們關注的小租戶，我們想確保我們也考慮了它們。

[Helpful]. How would you frame or help us understand how much buffer you're including guidance for potential tenant disruption that hasn't occurred yet?

[有幫助]。您將如何建置或幫助我們了解您為尚未發生的潛在租戶中斷提供了多少緩衝指導？

I'm sorry, Paulina. I was having trouble hearing you. Can you repeat the question?

對不起，寶琳娜。我聽不清你的聲音。你能重複一下這個問題嗎？

Yes, I am wondering if you could help us understand how much buffer you have included in your guidance for potential tenant disruption that -- yes.

是的，我想知道您是否可以幫助我們了解您在針對潛在租戶幹擾的指導中包含了多少緩衝——是的。

Yes, so you said buffer. I would say, just based on my last comment, I would say that there's about 25 basis points or so of unforeseen fallout, whereas the rest of it is obviously stuff that we already know that's going to be imminent in the second half, just mostly due to the bankruptcies that -- mostly Bed Bath beyond actually.

是的，所以你說的是緩衝區。我想說的是，僅根據我最後的評論，我會說大約有 25 個基點左右的不可預見的影響，而其餘的顯然是我們已經知道的事情，這將在下半年迫在眉睫，只是大部分由於破產——其實主要是床浴。

So I wouldn't call it a buffer. I think that's just kind of normal course. The small shop has been lighter than expected. But just given the overall environment, we're just trying to be mindful.

所以我不會稱之為緩衝區。我認為這只是正常的過程。小店比想像中清淡。但考慮到整體環境，我們只是想保持警惕。

Perfect. And then one last one, if I may. Regarding the properties you acquired, can you provide some color about the circumstances, the level of competition and pricing, and also interest by the lease rate. It's a pretty highly leased center. So where do you see the potential to squeeze more juice from these assets?

完美的。如果可以的話，還有最後一張。關於您購買的房產，您能否提供一些有關情況、競爭水平和定價以及租賃利率利息的資訊。這是一個出租率很高的中心。那麼您認為從這些資產中榨取更多收益的潛力在哪裡呢？

Yes. Maybe I'll let Dave add a little bit more color as far as the competition because although deal volumes have been lower for obvious reasons, the properties that we like to try and acquire, obviously, in our markets, there is still a decent level of competition.

是的。也許我會讓戴夫在競爭方面添加更多色彩，因為儘管交易量由於顯而易見的原因而較低，但我們喜歡嘗試收購的房產顯然在我們的市場中仍然有一個不錯的水平的競爭。

Obviously, Charlotte is a target market for us. This is our fourth asset in that market in the broader MSA. It's a market that we've really enjoyed the rent growth at our other properties. We were excited to find one with a very strong anchor in a corridor that we had liked and able to get it done. But maybe Dave can give you a little bit more color around the competitive process at that asset.

顯然，夏洛特是我們的目標市場。這是我們在更廣泛的 MSA 市場中的第四項資產。在這個市場上，我們確實很享受我們其他物業的租金成長。我們很高興在走廊上找到一個具有非常強大的錨點的東西，我們喜歡並且能夠完成它。但也許戴夫可以為您提供有關該資產的競爭過程的更多資訊。

Yes, sure. So I think with anything you see, Sunbelt grocery anchored under $25 million can be healthy competition. It runs the gamut of different buyers or capital sources from other REITs to private buyers, even 1031 exchange money.

是的，當然。因此，我認為無論你看到什麼，價格低於 2500 萬美元的 Sunbelt 雜貨店都可以是良性競爭。它涵蓋了從其他房地產投資信託基金到私人買家的不同買家或資金來源，甚至包括 1031 兌換貨幣。

So it's pretty competitive with this one. I definitely see it as an opportunity for us to re-merchandise the mix, grow some rents, and kind of get ahead of where the market's going.

所以它與這個相當有競爭力。我絕對認為這是我們重新推銷產品組合、提高租金以及領先市場發展方向的機會。

There's a lot of residential development in the immediate area. It also clusters nicely with our other assets in the north side of Charlotte. So we really like the deal, but it is competitive out there. With lower volume comes more attention to certain attractive deals. But we're happy to get this one.

附近地區有很多住宅開發案。它也與我們在夏洛特北部的其他資產很好地聚集在一起。所以我們真的很喜歡這筆交易，但它具有競爭力。隨著交易量的減少，某些有吸引力的交易受到更多關注。但我們很高興得到這個。

Paulina, just one thing to add too, when you noted from the high-level of occupancy already in place, when we're looking at these deals, we'll certainly look at some value-add deals, where we can get to a higher net operating income in a quick manner, but it doesn't have to be.

Paulina，還有一件事要補充，當您從已經到位的高入住率中註意到時，當我們考慮這些交易時，我們肯定會考慮一些增值交易，在這些交易中我們可以獲得快速提高淨營業收入，但這並不是必須的。

And if you think back to some -- many of the most recent acquisitions we've done, a lot of them have been fully leased. It's because we like the position of the asset, and we think we can grow rents long term.

如果你回想一下我們最近完成的許多收購，其中許多已經完全出租。這是因為我們喜歡該資產的地位，並且我們認為我們可以長期提高租金。

So if we think that it's in a pocket where market rent growth is going to outpace what otherwise would be the case, maybe the national average, we'll do that even if it is fully leased. And it may take a little bit more time to get to some of those leases. We just believe in the underlying real estate.

因此，如果我們認為市場租金成長將超過其他情況（可能是全國平均水平），即使它已完全出租，我們也會這樣做。並且可能需要更多的時間才能獲得其中一些租約。我們只相信基礎房地產。

Thank you.

謝謝。

Cesar Bracho, Wells Fargo.

塞薩爾·布拉喬，富國銀行。

Hey, good morning. Thanks for taking the question. One follow up from Paulina's questions on the property acquisition. Can you talk a little bit about the economics of the deal, what may be the going-in cap rate and what kind of NOI growth you see for an asset like this that it's more fully leased?

嗨，早安。感謝您提出問題。寶琳娜關於財產收購的問題的一個後續。您能談談這筆交易的經濟意義嗎？對於這樣的資產，如果它的租賃更加充分，那麼其投入資本化率可能是多少，以及您認為 NOI 的增長是怎樣的？

Hey, Cesar. This is DJ. Good morning. We don't -- we're not going to provide the initial going-in yield, but the way I would think about it is in today's environment, our targeted unlevered returns are in the high sixes and low sevens. So this asset falls squarely in that area.

嘿，塞薩爾。這是DJ。早安.我們不會——我們不會提供最初的投入收益率，但我的想法是在今天的環境下，我們的目標無槓桿回報率是高六低七。因此，該資產正好落在該區域。

So the underlying growth is something that we are comfortable with. The going-in cap rate we thought was reflective of the current environment.

因此，潛在的成長是我們感到滿意的。我們認為資本投入率反映了當前的環境。

So we're happy to move forward, underwrite it, got comfortable with the underwriting and the long-term growth prospects, and move forward. We have been a lot more prudent in that process, right?

因此，我們很高興繼續前進，承保它，對承保和長期成長前景感到滿意，然後繼續前進。我們在這個過程中更加謹慎了，對嗎？

So this is obviously one of many, many deals that comes through our transactions team's pipeline, and many of them don't hit those standards, whether or not the price is a little bit too aggressive or just doesn't fit our core competency.

因此，這顯然是我們交易團隊管道中的眾多交易之一，其中許多交易沒有達到這些標準，無論價格是否有點過於激進或只是不符合我們的核心競爭力。

But those are -- that's kind of the framework on the way we look at it. And obviously, it is a fully leased asset. But like I said earlier, we do see some embedded growth opportunities as we look to re-merchandise space over the next couple of years.

但這些是——這就是我們看待它的方式的框架。顯然，它是完全租賃的資產。但正如我之前所說，當我們希望在未來幾年重新銷售空間時，我們確實看到了一些內在的成長機會。

Yes, thanks. Thanks for the color. A different question on Bed Bath & Beyond, I think you commented in the prepared remarks that there will be three locations coming back in Q3? And can you talk about the interest for those locations, perhaps in detail on what type of users? And is there any takeaway from the lease that was acquired in the auction in terms of pricing or on -- just any comments from that?

對了謝謝。謝謝你的顏色。關於 Bed Bath & Beyond 的另一個問題，我想您在準備好的評論中評論道，第三季將有三個地點回歸？您能否談談對這些地點的興趣，也許詳細說明什麼類型的使用者？在拍賣中獲得的租約在定價或評論方面有什麼收穫嗎？

Yes. I'll just I'll touch on the last comment you made on the one that was acquired at auction. The auction process is a very interesting process, but it really just comes down to the economics.

是的。我只想談談您對拍賣中獲得的那件物品所做的最後評論。拍賣過程是一個非常有趣的過程，但它實際上只是歸結為經濟因素。

So you have a long duration lease in place where a retailer can come in and take that, there's value to it because it is a below-market lease, and then they can make the economics work as it relates to the capital that they want to put into it. I think that's where we saw the most activity.

因此，您有一個長期租賃，零售商可以進來並接受它，它是有價值的，因為它是低於市場的租賃，然後他們可以使經濟發揮作用，因為它與他們想要的資本相關放入其中。我認為那是我們看到最多活動的地方。

And then we also saw some retailers that were just making sure that they could get access to locations to fit their own growth plans.

然後我們也看到一些零售商只是確保他們能夠進入適合自己成長計畫的地點。

And through that auction process, there's probably lease negotiations that will happen throughout -- across the board as well. But we had one, and we were very comfortable with the retailer that acquired it. But maybe, Chris, you can touch a little bit on the [three that] we got and some of those opportunities.

透過拍賣過程，租賃談判可能會貫穿整個過程——全面進行。但我們有一個，而且我們對收購它的零售商非常滿意。但克里斯，也許你可以談談我們獲得的[三個]以及其中的一些機會。

Sure. Cesar, before the -- we have the one that was purchased at auction. And then we actually have four other locations, one that was rejected and we received back as of July 1. And then three others that we actually receive effective today.

當然。塞薩爾，之前——我們有在拍賣會上購買的那一件。然後我們實際上還有其他四個地點，其中一個被拒絕，我們在 7 月 1 日收到回覆。然後我們實際上收到了另外三個，今天生效。

So with respect to the one that we received in July, we have already been able to identify the new tenant, and we are in finalizing the lease terms on that deal, finalizing the lease negotiation and moving towards getting that executed.

因此，就我們 7 月收到的合約而言，我們已經能夠確定新租戶，並且我們正在敲定該交易的租賃條款、完成租賃談判並朝著執行的方向邁進。

With respect to the three that we are taking back possession of today, we have multiple LOIs for each of those locations. And at this point, the team is just working on identifying the absolute best deal with the best tenant mix for us at each asset. And again, we will try to get those moved into lease execution by the end of the year.

對於我們今天要收回的三個地點，我們對每個地點都有多個意向書。目前，團隊正在努力為我們的每項資產確定絕對最佳的交易和最佳的租戶組合。再次，我們將嘗試在今年年底前將這些內容轉移到租賃執行中。

Okay. Yes, thanks. And then one more comment. It sounds like from the prepared remarks that in the raise in same-store NOI growth, guidance is really driven by higher occupancy than you expected as the bad debt seems to be unchanged. Is that right? Or what can you comment on what's the key driver of the guidance raise in NOI?

好的。對了謝謝。然後又一條評論。從準備好的評論來看，在同店 NOI 成長的提高中，指引實際上是由高於您預期的入住率所驅動的，因為壞帳似乎沒有變化。是對的嗎？或者您對 NOI 指導上調的關鍵驅動因素有何評論？

No, I think I think that's exactly right. I mean, if you think about last quarter, we still are in a very -- we're in flux on what we -- what was going to happen with Bed Bath & Beyond and Party City and Tuesday Morning, although our exposure to those latter two tenants is fairly de minimis.

不，我想我認為這是完全正確的。我的意思是，如果你想想上個季度，我們仍然處於一個非常——我們正在不斷變化的狀態——Bed Bath & Beyond、Party City 和 Tuesday Morning 將會發生什麼，儘管我們接觸到了這些後兩個租戶相當微不足道。

Having said that, as Christy said in her prepared remarks that the two Party City locations look like they'll be assumed by Party City itself. And then there were some timings of the Bed Bath & Beyond. If you think about some of our peers, some of those -- many of those leases were rejected slightly earlier in the year, whereas we just got all of ours back now.

話雖如此，正如克里斯蒂在她準備好的演講中所說，兩個派對城的地點看起來將由派對城本身佔據。然後還有一些「床浴及其他」的時間安排。如果你想想我們的一些同行，其中一些——許多租約在今年早些時候被拒絕了，而我們現在才收回了所有租約。

It's a blessing and a curse, right? We had a little bit more income and -- but we wouldn't have minded getting those back sooner rather than later, so -- because of the amount of demand that we're seeing. Luckily, our locations are our prime locations. And we've been very, very happy with the demands thus far. But it really --it's those two pieces, it's timing and then slightly better outcome as it relates to some of these bankruptcies.

這是祝福也是詛咒，對吧？我們的收入多了一點——但我們不介意早點收回這些收入，所以——因為我們看到的需求量很大。幸運的是，我們的地點是我們的黃金地段。到目前為止，我們對這些要求非常非常滿意。但它確實是這兩部分，它是時機，然後是稍微好一點的結果，因為它與其中一些破產有關。

Got it. Thank you.

知道了。謝謝。

Floris van Dijkum, Compass Point.

弗洛里斯·範迪庫姆，羅盤角。

Hey, good morning. I guess a quick question. It looks like you're somewhat unique in the sector that you see accelerating same-store NOI growth in the second half of this year based on your guidance. Is that because you've got your [signed not-opened pipeline] coming online? Is that's what's causing it? Because presumably there's going to be a drag in terms of occupancy and in terms of rents from the Bed Bath space.

嗨，早安。我想這是一個簡短的問題。看起來你們在這個行業中有些獨特，根據你們的指導，你們看到今年下半年同店 NOI 的成長加速。是因為你的[已簽署的未開放管道]已上線嗎？是這個原因造成的嗎？因為床浴空間的入住率和租金可能會被拖累。

And maybe if you can touch on the timing for that for the new leases commencing in your numbers based on your latest discussions on those four spaces that haven't been assumed or haven't been bought out of bankruptcy.

也許您可以根據您對這四個空間的最新討論，在您的資料中談到新租約開始的時間，這些空間尚未被假定或尚未因破產而被購買。

Yes. Good morning, Floris, a good observation. So the way I would frame it -- there's a couple of things. So the sign -- our pipeline is pretty consistent, and we're really comfortable as I think of the --

是的。早上好，弗洛里斯，觀察得很好。所以我的框架方式——有幾件事。所以標誌——我們的管道非常一致，而且我認為我們真的很舒服——

We have about $5 million in our pipeline right now, and about 60% of that will come online in the second half of the year.

目前我們的籌措資金約為 500 萬美元，其中約 60% 將在今年下半年上線。

Right. So call it $3 million is going to come online in the back half. So obviously, we're going to get a nice pickup from that. But really, the big driver is if you recall last -- the second half of last year, we did have some -- we did have elevated expenses due to a lot of the pre-leasing activity that we're doing in the portfolio to really set up the leasing pipeline to kind of accelerate.

正確的。所以說，後半段將有 300 萬美元上線。顯然，我們將從中得到很好的回報。但實際上，最大的推動因素是，如果你還記得去年——去年下半年，我們確實有一些——由於我們在投資組合中進行了大量的預租賃活動，我們確實增加了費用。確實建立了租賃通路以加速發展。

And so we're benefiting from that process because of all the leases we sign and then also expenses coming down to more normalized run rate. So those two pieces are going to really up set off the acceleration of same store in the back half?

因此，我們從這個過程中受益，因為我們簽署了所有租約，然後費用也下降到了更標準化的運行率。那麼這兩件單品真的會掀起後半段同店的加速嗎？

And then if you can maybe comment on the $75 million of mortgage debt that's coming due at the end of this year and talk about where that's going to get refinanced at, and what kind of potential insight do you have on the on the debt markets maybe as well?

然後，如果您可以對今年年底即將到期的 7500 萬美元抵押貸款債務發表評論，並討論這些債務將在哪裡獲得再融資，以及您對債務市場有哪些潛在的見解還有？

Yes. So I think Mike touched on it in his prepared remarks. We do have two one-year extension options on that. We're planning on extending at least for one year as we monitor the debt markets. Our swap will burn off, so there will be some variable rate that will go variable in November, which is obviously fully implied in the rest -- in the guidance for this year.

是的。所以我認為麥克在他準備好的演講中談到了這一點。我們確實有兩個為期一年的延期選項。我們計劃在監控債務市場時至少延長一年。我們的掉期利率將會耗盡，因此 11 月將會有一些可變利率，這顯然完全暗示在今年的指導中。

So that will put us at about 10% variable rate debt. We're still fairly comfortable that it gives us optionality to pay down a portion of it if we don't find other uses for our proceeds as we grow cash flow.

因此，我們的浮動利率債務將達到 10% 左右。我們仍然相當放心，如果我們在現金流成長時找不到其他收益的用途，那麼我們可以選擇支付一部分。

So we're looking at all that, but because of where the debt markets are now and where the way that the curve is sitting, we're happy to take a wait-and-see approach, and we're lucky to be in that position.

因此，我們正在考慮所有這些，但由於債務市場現在的情況以及曲線所處的位置，我們很樂意採取觀望態度，而且我們很幸運能夠參與其中那個位置。

Thanks. That's it for me.

謝謝。對我來說就是這樣。

Thanks, Floris.

謝謝，弗洛里斯。

(Operator Instructions) Lizzy Doykan, Bank of America.

（操作員指令）Lizzy Doykan，美國銀行。

Hey, good morning, everyone. I just have a question on the maintenance CapEx this quarter. It seems like it picked up a bit, just that $6.6 million amount. I just want to see what kind of drove that pickup.

嘿，大家早安。我只是對本季的維護資本支出有疑問。看起來好像有所回升，就那 660 萬美元。我只是想看看這輛皮卡開的是什麼樣的。

Yes, I think it was just landlord work. And I don't think -- there's nothing really to read into. I think it's just the timing of some of the projects that were coming through the pipeline. And then some of that also obviously has to do with our leasing pipeline as well.

是的，我認為這只是房東的工作。我不認為——沒有什麼真正值得讀的。我認為這只是一些正在醞釀中的項目的時機問題。其中一些顯然也與我們的租賃管道有關。

Okay, great. And how will you (multiple speakers)

好的，太好了。你會怎樣（多位發言者）

Sorry -- go ahead -- no, I'd say one thing I would add, though, is like our -- when you look at our capital spend, it will be elevated as our signed not-opened pipeline comes online. You'll see those capitalized costs come through others, landlord or tenant capital.

抱歉 - 繼續 - 不，我想說我要補充的一件事是，就像我們的 - 當你看看我們的資本支出時，隨著我們簽署的未開放管道上線，它將會增加。您會發現這些資本化成本來自其他人、房東或房客的資本。

So that will be accelerated. And I'm assuming it's going to be the same across the space because of the amount of leasing activity that's coming online over the next several quarters.

所以這將會加速。我假設整個空間的情況都會相同，因為未來幾季將會出現大量的租賃活動。

Great. That's helpful. And I just wanted to ask on the on the blended rent spread achieved this quarter. It kind of settled more in the -- more of a mid-single-digit range and still leasing activity.

偉大的。這很有幫助。我只是想問一下本季實現的混合租金利差。它更穩定在中等個位數範圍內，租賃活動仍在繼續。

And that rent growth, it's still pretty strong and steady. But I just wanted to see if we should anticipate more of a slowdown here, or if you could speak more to the level of confidence you have in sustaining that level of pricing power you've spoken to last quarter.

租金成長仍然相當強勁且穩定。但我只是想看看我們是否應該預計這裡會出現更多的放緩，或者您是否可以更多地談談您對維持上個季度談到的定價能力水平的信心程度。

No, It's a great question and I'll tell you. So the primary driver of that settling closer to the mid-single digits as opposed to kind of our target, longer-term target, which is high single, low double-digit blended spreads is we had three large anchor leases that were options.

不，這是一個很好的問題，我會告訴你。因此，與我們的目標、長期目標（高個位數、低兩位數混合利差）相比，價格接近中個位數的主要驅動因素是我們擁有三個大型錨定租賃，這些租賃是選擇權。

Those options were lower than the average that you see. So just three big leases on a small sample set pulls that number down. Otherwise, the leases that were true renewals without that option were more in line with what you've seen in the past.

這些選項低於您看到的平均值。因此，僅僅對一個小樣本集進行三筆大租約就可以降低這個數字。否則，沒有該選項的真正續約的租約更符合您過去看到的情況。

Great. And I just wanted to confirm also on the average rent escalators you're able to achieve or your first thing from the past quarter. I think last quarter, you mentioned 3% to 4%. And is this on -- overall in the portfolio? Is this higher on small shop, just seeing how aggressive you are staying on rent escalators?

偉大的。我只是想確認您能夠實現的平均租金自動扶梯或您上個季度的第一件事。我想上個季度，您提到了 3% 到 4%。這在整個投資組合中嗎？看看你在租金手扶梯上停留的正面程度，小商店的價格是否更高？

Yes, so the 3% to 4% is absolutely our target. That is our small-shop target. The anchors tend to be -- they tend to have a more flatter period, and then you get your rent bumps every five years or so.

是的，所以3%到4%絕對是我們的目標。這就是我們小店的目標。錨點往往是——他們往往有一個更平坦的時期，然後你的租金大約每五年就會上漲。

That hasn't changed as quickly. We've been successful in some of those ones, but there are -- some of the larger junior anchor tenants are still at that cadence. The small shop is where we've had a lot of success, and that 3% or 4% is now delivering on an annual basis, call it 150 to 200 basis points of our same-property NOI growth.

這種情況並沒有那麼快改變。我們在其中一些方面取得了成功，但也有一些較大的初級主力租戶仍然保持著這種節奏。小商店是我們取得很大成功的地方，現在每年可實現 3% 或 4% 的成長，稱之為我們同一飯店 NOI 成長的 150 到 200 個基點。

Great. Thanks for the time.

偉大的。謝謝你的時間。

Thank you.

謝謝。

Thanks, Lizzy. We have no further questions registered at this time, so I'll now hand back to your host, Dan Lombardo, for final remarks.

謝謝，麗茲。目前我們沒有其他問題，所以我現在將交給主持人 Dan Lombardo 進行最後發言。

Thank you, operator. In the first half of 2023, we've continued to execute on our focused Sunbelt strategy, producing strong operating results. Our investment grade balance sheet provides us the flexibility to be both patient and opportunistic when we look to continue to grow our asset base.

謝謝你，接線生。 2023 年上半年，我們繼續執行以陽光地帶為重點的策略，並取得了強勁的經營業績。當我們希望繼續擴大我們的資產基礎時，我們的投資等級資產負債表使我們能夠保持耐心和機會主義的靈活性。

InvenTrust is a unique investment opportunity for folks that are looking for a concentrated strip center portfolio with a geographical focus in the Sunbelt. So as always, if you have any questions, please feel free to reach out to our IR team. Have a wonderful rest of your day.

對於那些正在尋找集中在陽光地帶的地帶中心投資組合的人來說，InvenTrust 是一個獨特的投資機會。因此，與往常一樣，如果您有任何疑問，請隨時聯繫我們的 IR 團隊。祝您有個愉快的一天。

This concludes today's call. Thank you for your participation. You may now disconnect your lines.

今天的電話會議到此結束。感謝您的參與。現在您可以斷開線路。