Realty Income Corp (O) 2022 Q2 法說會逐字稿

Good afternoon and good morning, and welcome to the Realty Income Second Quarter 2022 Earnings Conference Call. (Operator Instructions)

下午好，早上好，歡迎參加 Realty Income 2022 年第二季度收益電話會議。 （操作員說明）

Please note, this event is being recorded.

請注意，此事件正在記錄中。

I would now like to turn the conference over to Andrea Behr, Manager of Corporate Communications. Please go ahead.

我現在想將會議轉交給企業傳播經理 Andrea Behr。請繼續。

Thank you all for joining us today for Realty Income's Second Quarter Operating Results Conference Call. Discussing our results will be Sumit Roy, President and Chief Executive Officer; and Christie Kelly, Executive Vice President, Chief Financial Officer and Treasurer. Also joining us on our call is Jonathan Palm, Senior Vice President, Corporate Finance, together with our 1 team leaders.

感謝大家今天參加 Realty Income 第二季度經營業績電話會議。總裁兼首席執行官 Sumit Roy 將討論我們的結果；以及執行副總裁、首席財務官兼財務主管 Christie Kelly。公司財務高級副總裁喬納森·帕姆（Jonathan Palm）以及我們的 1 位團隊負責人也加入了我們的電話會議。

During this conference call, we will make certain statements that may be considered forward-looking statements under federal securities law. The company's actual future results may differ significantly from the matters discussed in any forward-looking statements. We will disclose in greater detail the factors that may cause such differences in the company's Form 10-Q.

在本次電話會議期間，我們將做出某些陳述，根據聯邦證券法可能被視為前瞻性陳述。公司的實際未來結果可能與任何前瞻性陳述中討論的事項有很大差異。我們將在公司的 10-Q 表格中更詳細地披露可能導致此類差異的因素。

I will now turn the call over to our CEO, Sumit Roy.

我現在將把電話轉給我們的首席執行官 Sumit Roy。

Thank you, Andrea. Welcome, everyone. Cultivating strong and enduring relationships with all our stakeholders is foundational to the success of our business.

謝謝你，安德里亞。歡迎大家。與所有利益相關者建立牢固而持久的關係是我們業務成功的基礎。

And I'd like to thank everyone listening for your continued support. Additionally, I would like to express my appreciation to all my Realty Income colleagues who continue to make significant contributions towards our growth initiatives while serving our clients and all stakeholders as one Realty Income team.

我要感謝大家一直以來的支持。此外，我要感謝我的所有 Realty Income 同事，他們繼續為我們的增長計劃做出重大貢獻，同時作為一個 Realty Income 團隊為我們的客戶和所有利益相關者提供服務。

We are pleased with the momentum across all areas of our business amidst an uncertain macro environment, which we believe once again demonstrates the stability of our business model and its ability to thrive irrespective of the economic cycle. The strength of our global investment pipeline has allowed us to invest over $3.2 billion in high-quality real estate in the first half of the year, including approximately $1.7 billion during the second quarter.

在不確定的宏觀環境中，我們對所有業務領域的發展勢頭感到滿意，我們相信這再次證明了我們業務模式的穩定性及其在不受經濟周期影響的情況下蓬勃發展的能力。憑藉強大的全球投資渠道，我們能夠在上半年投資超過 32 億美元的優質房地產，其中包括第二季度的約 17 億美元。

Given this momentum, we are increasing our 2022 acquisitions guidance to over $6 billion. On the topic of acquisitions, I'd like to mention 2 key developments that we are observing in the marketplace. First, as demonstrated by the weighted average 5.7% cash cap rate, we were able to achieve on our investments in the second quarter. Cap rates are moving higher in our target markets. Our second quarter cap rate ticked higher compared to the 5.6% and 5.4% cap rates we achieved in the previous 2 quarters. The positive correlation between cap rates and interest rates is also evident in our acquisition pipeline. Second, as a coronary to rising debt and equity costs that have impacted much of our competition, the pipeline of acquisition opportunities materializing for us at accretive spreads continues to grow.

鑑於這種勢頭，我們將 2022 年的收購指導提高到超過 60 億美元。關於收購的話題，我想提一下我們在市場上觀察到的兩個關鍵發展。首先，正如加權平均 5.7% 的現金上限率所示，我們能夠在第二季度實現投資。我們的目標市場的上限利率正在走高。與我們在前兩個季度實現的 5.6% 和 5.4% 的上限率相比，我們第二季度的上限率略高。上限利率和利率之間的正相關性在我們的收購渠道中也很明顯。其次，作為影響我們大部分競爭的不斷上升的債務和股權成本的冠狀病毒，以增值利差為我們實現的收購機會管道繼續增長。

As a reminder, we report our cap rates on a cash basis. On a straight-line basis, we estimate our second quarter cap rate to be approximately 6.2%. And generally, the difference between cash and straight-line cap rates ranges between 50 and 70 basis points in any given period.

提醒一下，我們以現金為基礎報告我們的上限利率。在直線基礎上，我們估計我們的第二季度上限利率約為 6.2%。通常，在任何特定時期內，現金和直線上限利率之間的差異在 50 到 70 個基點之間。

Transaction flow remains strong with sourcing volume totaling approximately $26 billion in this quarter, bringing year-to-date sourcing volume to approximately $60 billion. We remain selective as we have acquired approximately 5% of sourced volume year-to-date.

交易流依然強勁，本季度採購量總計約 260 億美元，使年初至今的採購量達到約 600 億美元。我們保持選擇性，因為我們今年迄今已獲得約 5% 的採購量。

During the second quarter, as a percentage of revenue, approximately 39% of acquisition volume was leased to investment-grade rated clients. We remain committed to our underwriting principles of partnering with well-capitalized clients who are leaders in their respective industries. Our international investment volume continues to comprise a significant percentage of our total volume, representing 41% of global volume in the second quarter at a cash cap rate of approximately 5.8%.

在第二季度，按收入百分比計算，大約 39% 的收購量租給了投資級客戶。我們仍然致力於我們的承保原則，即與在各自行業中處於領先地位的資本充足的客戶合作。我們的國際投資量繼續占我們總投資量的很大比例，佔第二季度全球投資量的 41%，現金上限率約為 5.8%。

We are encouraged that our size, scale and access to well-priced capital provides us with the platform and currency to actively deploy capital as we build continued momentum heading into 2023. It was also an active quarter with regard to dispositions. We sold 70 properties, generating net sale proceeds of $150 million at an unlevered IRR of approximately 9.3%.

我們感到鼓舞的是，我們的規模、規模和獲得價格合理的資本為我們提供了積極部署資本的平台和貨幣，因為我們在 2023 年建立持續的勢頭。這也是處置方面的一個活躍季度。我們出售了 70 處房產，產生了 1.5 億美元的淨銷售收益，無槓桿內部收益率約為 9.3%。

Year-to-date, we have sold 104 properties with net sales proceeds totaling $272 million, generating an unlevered IRR of approximately 9.4%. Capital recycling continues to be a value accretive activity for us. And importantly, the unlevered returns we have been able to deliver speak to the attractive risk-adjusted investment profile of our properties that have gone through our full investment cycle.

年初至今，我們已售出 104 處物業，淨銷售收入總計 2.72 億美元，無槓桿內部收益率約為 9.4%。對我們來說，資本回收仍然是一項增值活動。重要的是，我們能夠提供的無槓桿回報說明我們的房產經過風險調整後的投資組合具有吸引力，這些房產已經經歷了我們的整個投資週期。

Our diligent underwriting process, exposure to high-quality credit clients and the inherent quality of our real estate continued to deliver consistent performance. At the end of the second quarter, our occupancy was 98.9%, the highest occupancy rate we have achieved in over 10 years. Based on our current occupancy rates and client profile, we are increasing our year-end 2022 occupancy guidance to over 98%.

我們勤奮的承保流程、對優質信貸客戶的接觸以及我們房地產的內在質量繼續提供穩定的業績。在第二季度末，我們的入住率為 98.9%，是我們 10 多年來達到的最高入住率。根據我們目前的入住率和客戶資料，我們將 2022 年年底的入住率指引提高到 98% 以上。

During the second quarter, we re-leased 193 leases and achieved a rent recapture rate of 105.6%, bringing our year-to-date recapture rate to 105.9%. At quarter end, 43.2% of our portfolio's annualized contractual rent was generated from investment-grade rated clients. Further, our properties leased to clients on our portfolio watch list represents less than 4% of our portfolio's annualized contractual rent, which is largely consistent with the low percentages we have seen so far this year.

第二季度，我們重新出租了 193 份租約，實現了 105.6% 的租金回收率，使我們的年初至今回收率達到 105.9%。在季度末，我們投資組合的年化合同租金中有 43.2% 來自投資級客戶。此外，我們出租給我們投資組合觀察名單上的客戶的物業占我們投資組合年度合同租金的不到 4%，這與我們今年迄今為止看到的低百分比基本一致。

Finally, our same-store rental revenue increased 2% during the quarter and 3% year-to-date. With the continued strong operations performance of our portfolio, we are increasing our guidance for same-store rent growth to approximately 2% for 2022.

最後，我們的同店租金收入在本季度增長了 2%，今年迄今增長了 3%。隨著我們投資組合的持續強勁運營表現，我們將 2022 年同店租金增長預期提高至約 2%。

At this time, I'll pass it over to Christie, who will further discuss results from the quarter.

在這個時候，我會把它交給克里斯蒂，他將進一步討論本季度的結果。

Thank you, Sumit. During the second quarter, our business generated $0.97 of AFFO per share, representing 10.2% year-over-year growth.

謝謝你，蘇米特。在第二季度，我們的業務產生了每股 0.97 美元的 AFFO，同比增長 10.2%。

The growth engine of our company revolves around accretive acquisitions. Our investment goals are supported by our well-capitalized balance sheet and favorable cost of capital which remain competitive advantages for us in the net lease industry. We finished the quarter well within our target leverage ratios with net debt to annualized adjusted EBITDAR of 5.3x or 5.2x on a pro forma basis, giving annualized effect to net investment activity during the quarter.

我們公司的增長引擎圍繞著增值收購。我們的投資目標得到我們資本充足的資產負債表和有利的資本成本的支持，這對我們在淨租賃行業仍然具有競爭優勢。我們在本季度的目標槓桿比率內很好地完成了本季度，淨債務與年化調整後 EBITDAR 的比率為 5.3 倍或 5.2 倍（在備考基礎上），對本季度的淨投資活動產生了年化影響。

It was another active quarter for us on the capital raising front as we issued approximately $1.8 billion of long-term and permanent capital, including nearly $1.1 billion of equity through our ATM program and a GBP 600 million private placement note offering, which priced at a weighted average fixed interest rate of 3.22% with a blended tenor of 10.5 years.

這是我們在籌資方面又一個活躍的季度，因為我們發行了約 18 億美元的長期和永久資本，其中包括通過我們的 ATM 計劃發行的近 11 億美元的股權和 6 億英鎊的私募票據發行，定價為加權平均固定利率為 3.22%，混合期限為 10.5 年。

As a result, we finished the quarter with approximately $1 billion of commercial paper and revolver borrowings, net of cash. Our outstanding CP and revolver borrowings essentially represent our only variable rate debt exposure across a total debt principal balance of almost $16 billion. As Sumit mentioned previously, our ability to access well-priced capital is a competitive advantage and we took steps during the quarter to further bolster this capacity. As previously announced in April this year, we recast and upsized our multicurrency revolving credit facility from $3 billion to $4.25 billion.

結果，我們在本季度結束時有大約 10 億美元的商業票據和左輪手槍借款（扣除現金）。我們未償還的 CP 和左輪手槍借款基本上代表了我們在近 160 億美元的總債務本金餘額中唯一的浮動利率債務敞口。正如 Sumit 之前提到的，我們獲得價格合理的資本的能力是一種競爭優勢，我們在本季度採取了進一步加強這種能力的措施。正如之前在今年 4 月宣布的那樣，我們將多幣種循環信貸額度從 30 億美元重新調整併擴大到 42.5 億美元。

Subsequent to quarter end, we upsized our U.S. commercial paper program from $1 billion to $1.5 billion and established a euro commercial paper program with a capacity of $1.5 billion. The combined $3 billion commercial paper programs for which our revolving credit facility serves as a liquidity backstop will give us the flexibility to efficiently finance our short-term funding needs at materially lower rates than comparable facility borrowings.

在季度末之後，我們將美國商業票據計劃從 10 億美元擴大到 15 億美元，並建立了一個容量為 15 億美元的歐元商業票據計劃。以我們的循環信貸工具作為流動性支持的 30 億美元商業票據計劃將使我們能夠靈活地以比可比工具借款低得多的利率有效地滿足我們的短期資金需求。

Given the momentum we continue to see in our investment activities in Europe, the establishment of a euro program was a strategic goal of ours this year, and it will serve as an efficient tool for us to take advantage of the comparably lower all-in commercial paper rates in the euro market. With the health of our portfolio and investment progress achieved year-to-date, balanced alongside the timing of capital deployment and continued capital markets volatility, we affirm our previously announced 2022 AFFO per share guidance of $3.84 to $3.95, representing nearly 9% annual growth at the midpoint.

鑑於我們在歐洲投資活動中繼續看到的勢頭，建立歐元計劃是我們今年的戰略目標，它將成為我們利用相對較低的全資商業的有效工具歐元市場的紙面利率。由於我們的投資組合和投資進展今年迄今取得的健康狀況，與資本部署的時機和資本市場的持續波動相平衡，我們確認我們之前宣布的 2022 年 AFFO 每股指引為 3.84 美元至 3.95 美元，年增長率接近 9%在中點。

From a dividend perspective, as the monthly dividend company, consistent quarterly increases in dividend reflects the confidence we have in the cash flow generating capacity of our business. In June, we increased our dividend for the 116th time in our company's history. And last month, we declared our 625th consecutive common stock monthly dividend.

從分紅的角度來看，作為月度分紅的公司，分紅的季度持續增長反映了我們對業務產生現金流的能力的信心。 6 月，我們在公司歷史上第 116 次增加了股息。上個月，我們宣布了連續第 625 次普通股月度股息。

From a sustainability perspective, further in June, we published our green bond allocation report, and I'm pleased to report that the net proceeds from our inaugural green bond offering have been fully allocated to eligible green projects in accordance with the criteria outlined in our Green Financing Framework.

從可持續發展的角度來看，在 6 月份，我們發布了綠色債券分配報告，我很高興地報告，我們首次發行綠色債券的淨收益已按照我們在綠色融資框架。

From a merger perspective, lastly, I'm pleased to report that we have completed the integration of our VEREIT merger, which culminated in the conversion to a single ERP system for the combined entities during the second quarter.

最後，從合併的角度來看，我很高興地報告我們已經完成了 VEREIT 合併的整合，最終在第二季度為合併後的實體轉換為單一的 ERP 系統。

This could not have been accomplished so seamlessly without the commitment and dedication of our talented One Team. And finally, we remain on track to achieve the expected $45 million to $55 million of annualized run rate cost synergies we initially shared over a year ago when we announced the merger.

如果沒有我們才華橫溢的 One Team 的承諾和奉獻精神，這不可能如此無縫地完成。最後，我們仍有望實現一年多前我們宣布合併時最初共享的預期 4500 萬至 5500 萬美元的年化運營成本協同效應。

And now I would like to pass the call back to Sumit.

現在我想將電話轉回給 Sumit。

Thank you, Christie. Coming off a record 2021 from an investment standpoint, I'm proud that our team has only accelerated the momentum this year. Most importantly, we believe the future is bright as our positioning to further gain market share in the investment arena grows. Indeed, the advantages afforded to us given our size, scale and access to well-priced capital, have rarely been more pronounced than they are today, and we look forward to continuing to capitalize on this in the days ahead.

謝謝你，克里斯蒂。從投資的角度來看，從創紀錄的 2021 年開始，我很自豪我們的團隊今年只加速了這一勢頭。最重要的是，隨著我們在投資領域進一步獲得市場份額的定位不斷增強，我們相信未來是光明的。事實上，鑑於我們的規模、規模和獲得價格合理的資本，我們所獲得的優勢很少比今天更明顯，我們期待在未來的日子裡繼續利用這一點。

At this time, we can open it up for questions. Operator?

這個時候，我們可以打開它來提問。操作員？

(Operator Instructions) Our first question is from Michael Goldsmith with UBS.

（操作員說明）我們的第一個問題來自瑞銀的 Michael Goldsmith。

First question is on cap rates moving higher, the market is getting a little bit better. You have a larger acquisition team due to the VEREIT merger. How can you be a little bit more aggressive or take advantage of the improving markets, just given that combined with there are some uncertainties in kind of the borrowing markets as well.

第一個問題是上限利率走高，市場正在好轉一些。由於 VEREIT 合併，您擁有更大的收購團隊。考慮到借貸市場也存在一些不確定性，你怎麼能更積極一點或利用正在改善的市場。

That's a good question, Michael, because there are competing variables in this market today. You're absolutely right that cap rates are moving in the right direction.

邁克爾，這是一個很好的問題，因為當今這個市場上存在相互競爭的變量。你說的完全正確，上限利率正朝著正確的方向發展。

They are adjusting a lot quicker than I had originally anticipated. We do have a much bigger team and with the VEREIT merger of some of the team members that we have inherited, they are definitely producing and focusing on a certain area of the high-yield market that is actually resulting in transactions for us. The offset to that, however, is the capital market. Look, on a relative basis, we are doing very well. If you look at our 10-year unsecured bond spreads, they have moved, I would say, approximately 85 basis points.

他們的調整速度比我最初預期的要快得多。我們確實有一個更大的團隊，並且隨著我們繼承的一些團隊成員的 VEREIT 合併，他們肯定正在生產並專注於高收益市場的某個領域，這實際上為我們帶來了交易。然而，與之相抵消的是資本市場。看，相對而言，我們做得很好。如果你看看我們的 10 年期無擔保債券利差，我會說它們已經移動了大約 85 個基點。

You look at our peers, our net lease peers with a BBB rating, it's moved 120 to 150 basis points. If you look at our cost of equity, it is essentially unchanged from the beginning of the year. But if you look at our net lease peers, they've dropped by about 1.8x. So those are the positive momentum, but it is true also that our cost of capital overall has also increased. And the question really is around can we generate the right spread to move the needle on the overall AFFO per share growth. And the answer is yes. But as you know, there is an adjustment period which is why we have increased our acquisition guidance to over $6 billion from over $5 billion as a testament to what we are seeing in terms of benefits accruing to us based on some of what I just discussed.

你看看我們的同行，我們的淨租賃同行，評級為 BBB，它移動了 120 到 150 個基點。如果你看一下我們的股本成本，它與年初相比基本沒有變化。但如果你看看我們的淨租賃同行，它們已經下降了大約 1.8 倍。所以這些都是積極的勢頭，但我們的整體資本成本也確實增加了。真正的問題是，我們能否產生正確的價差來推動每股 AFFO 的整體增長。答案是肯定的。但如您所知，有一個調整期，這就是為什麼我們將收購指導從超過 50 億美元提高到超過 60 億美元，這證明了基於我剛才討論的一些內容，我們所看到的收益方面.

We are starting to see a lot more transactions coming back to us, those that we were not willing to price at the levels that the sellers were expecting when they initially brought it to us, are now coming back with an adjusted cap rate, which works. It is also true that the overall team has been able to just source more. And those are sort of shown in the sourcing volumes that we have shared with you of $60 billion year-to-date.

我們開始看到更多的交易返回給我們，那些我們不願意按照賣家最初給我們時所期望的水平定價的交易，現在以調整後的上限率返回，這很有效.整個團隊也確實能夠獲得更多資源。這些都體現在我們與您分享的今年迄今為止 600 億美元的採購量中。

But with interest rate movements and more importantly, the velocity at which these interest rates have moved, the spreads continue to be right around at 110, 111 basis points year-to-date, which is slightly below our overall average. So that's the reason why that this positive momentum is being reflected in higher acquisition volume, but not necessarily translating into higher earnings guidance.

但隨著利率變動，更重要的是，這些利率變動的速度，利差今年迄今仍保持在 110、111 個基點左右，略低於我們的整體平均水平。因此，這就是為什麼這種積極的勢頭反映在更高的收購量上，但不一定轉化為更高的盈利指引。

Very helpful. And then a follow-up. European acquisitions were about 40% this quarter, and so that represents a bit of an acceleration from what we've seen.

非常有幫助。然後是後續行動。本季度歐洲的收購量約為 40%，因此這與我們所看到的情況相比略有加速。

So is 40% kind of the right mix for next year or at least the second half into next year? Like how are you thinking about the U.S. versus Europe mix going forward?

那麼 40% 是明年或至少到明年下半年的正確組合嗎？比如你如何看待美國與歐洲的未來組合？

Yes, Michael, it fluctuates. I mean there have been quarters actually where the international acquisition number has been north of 50% of the overall volume.

是的，邁克爾，它會波動。我的意思是，實際上有幾個季度的國際收購數量超過了總交易量的 50%。

And as we start to grow into newer markets, et cetera, obviously, the total addressable market continues to increase for us. And as we become much more mature in each one of these newer markets, the sourced volume as well as which translates to closed volume will increase.

隨著我們開始進入新的市場等等，顯然，我們的總目標市場繼續增加。隨著我們在這些新市場中的每一個市場變得更加成熟，採購量以及轉化為封閉量的數量都會增加。

But I wouldn't go so far as to say that at this point in time, we should be thinking anything north of this 40% number, 41% is what we achieved in the second quarter as being -- should be the guiding composition of the overall acquisition numbers going forward.

但我不會說，在這個時間點上，我們應該考慮這個 40% 數字以外的任何事情，41% 是我們在第二季度取得的成果——應該是未來的整體收購數量。

There will be quarters where we'll do more, just like we've done in the past, but 40% seems to be the right number.

有些季度我們會做得更多，就像我們過去所做的那樣，但 40% 似乎是正確的數字。

The next question is from Nick Joseph with Citi.

下一個問題來自花旗的 Nick Joseph。

You touched on cap rates, obviously, expanding a bit. Wondering if you could break that out between international versus the U.S., where you've seen more expansion where you've seen more stickiness or any differences between the 2?

你談到了上限利率，顯然，擴大了一點。想知道您是否可以在國際與美國之間打破這一點，您已經看到了更多的擴張，您看到了更多的粘性或兩者之間的任何差異？

Sure. That's a great question, Nick, and welcome back to our space. I would say that the movement in cap rates here in the U.S. are certainly much more pronounced than what we have seen in the international markets.

當然。這是一個很好的問題，尼克，歡迎回到我們的空間。我想說的是，美國的上限利率變動肯定比我們在國際市場上看到的要明顯得多。

And it is largely a function of the Fed being a lot more aggressive than the ECB or the Bank of England have been. Having said that, we just saw an announcement earlier today that the Bank of England has moved its interest rates 50 basis points. So we do see that translating to higher cap rates in the U.K. as well as in the rest of Continental Europe. So just to quantify some of these movements, I would say that depending on the product and when I say retail, you can go from groceries, which have moved the most because they had become the most aggressive they've moved up about 100 basis points to some of the other industries that we focus on within the retail space, I would quantify that movement as being right around 25 to 50 basis points.

這主要是因為美聯儲比歐洲央行或英格蘭銀行更加激進。話雖如此，我們今天早些時候剛剛看到英格蘭銀行將利率上調 50 個基點的公告。因此，我們確實看到這會轉化為英國以及歐洲大陸其他地區更高的上限利率。因此，只是為了量化其中一些變動，我會說取決於產品，當我說零售時，你可以從雜貨中選擇，因為它們變得最激進，所以上漲了大約 100 個基點對於我們在零售領域關注的其他一些行業，我將這一變動量化為大約 25 到 50 個基點。

And you should start to see that being reflected in the subsequent quarters and the acquisition cap rates, cash cap rates that we're going to share with the market going forward. In Europe, we have also seen movement, but it hasn't been quite as pronounced, maybe 5 to 10 basis points. On the industrial side, the movement has been a bit more visible, 25 to 50 basis points, similar to what we experienced here in the U.S.

你應該開始看到這反映在接下來的幾個季度和收購上限率，我們將與未來市場分享的現金上限率。在歐洲，我們也看到了波動，但並沒有那麼明顯，可能是 5 到 10 個基點。在工業方面，這種變動更加明顯，25 到 50 個基點，類似於我們在美國所經歷的情況。

But I would say the industrial market has continued to see an expansion on cap rates. And I would say, from beginning to end, maybe circa 50 basis points of movement on average. Now obviously, there are certain markets where the movement has been a lot, lot less than that Inland Empire comes to mind. But the more secondary tertiary markets, you have seen a more pronounced movement than it could be even north of 50 to 75 basis.

但我想說的是，工業市場的上限利率繼續擴大。我會說，從開始到結束，平均可能會有大約 50 個基點的變動。現在顯然，有些市場的運動已經很多，比想到的內陸帝國要少得多。但是，在二級市場越多，你看到的波動甚至比 50 到 75 基數以北更明顯。

That's very helpful. And then you mentioned deals coming back. Did those fall out of contract, did they -- did the seller just not get the pricing.

這很有幫助。然後你提到交易回來了。這些是否超出合同，他們是否 - 賣方只是沒有得到定價。

What are you seeing broadly as those as you get a second crack at some of them?

當您對其中一些進行第二次破解時，您會廣泛地看到什麼？

Yes. It's largely buyers that rely on the debt capital markets, either the CMBS market or the bank loan market. You're in New York, you know what the money market. The big banks, the BFAs, the JPMorgans, the Wells, I'm not going to say that they have a moratorium on new loans, but it is much more difficult for them to create new bank debt or increased revolvers, et cetera, for more distressed credit.

是的。主要是依賴債務資本市場的買家，無論是 CMBS 市場還是銀行貸款市場。你在紐約，你知道什麼是貨幣市場。大銀行，BFA，摩根大通，威爾斯，我不會說他們暫停新貸款，但他們更難創造新的銀行債務或增加左輪手槍等等，因為更苦惱的信用。

So the overall debt market has sort of become a lot more expensive for some of these levered buyers. And that's what we've seen, is that they are no longer being able to honor the original cap rate that transactions were being struck at. And of course, we chose not to pursue those transactions at those given pricing. And so when they do come back to us, and as long as we like the transaction, it was just a pricing discussion. We are being able to now either all of the cap rate that we had or even expand out those cap rates to reflect current market conditions, but the fact that the surety of close has become so much more important for the sellers today, is clearly prevalent in a lot of the discussions that we are having with the sellers today.

因此，對於這些槓桿買家中的一些人來說，整體債務市場已經變得更加昂貴。這就是我們所看到的，他們不再能夠兌現交易所達到的原始上限利率。當然，我們選擇不以給定的價格進行這些交易。所以當他們真的回來找我們時，只要我們喜歡這筆交易，這只是一個定價討論。我們現在能夠要么我們擁有的所有上限利率，甚至擴大這些上限利率以反映當前的市場狀況，但事實上，對於今天的賣家來說，收盤的保證變得如此重要，這一事實顯然很普遍在我們今天與賣家進行的許多討論中。

The next question is from Connor Siversky with Berenberg.

下一個問題來自 Connor Siversky 和 Berenberg。

I'm curious on this cap rate discussion. And I appreciate your comments that you have a correlation between rising rates and subsequent impact on cap rates. But I'm wondering if you've ever been able to establish what the lag looks like, for example, with a 25 basis point increase in rates, how long does it take for that to reflect in cap rates?

我很好奇這個上限率討論。我很欣賞您的評論，即您在利率上升和隨後對上限利率的影響之間存在相關性。但我想知道你是否曾經能夠確定滯後的情況，例如，利率增加 25 個基點，這需要多長時間才能反映在上限利率中？

And then second to that, are you seeing that relationship accelerate given that you are seeing some of these lending partners shut down their operations?

其次，鑑於您看到其中一些貸款合作夥伴關閉了他們的業務，您是否看到這種關係正在加速？

Yes, it's a great question. And unfortunately, if we were in a lab where we could control all variables that sort of drive this correlation, it would be a lot easier of an answer to give you.

是的，這是一個很好的問題。不幸的是，如果我們在一個實驗室中，我們可以控制所有驅動這種相關性的變量，那麼給你答案會容易得多。

Historically, when we've done these correlations, we have found that the lag to be anywhere between 9 to perhaps even as long as 12 months. I was a lot more skeptical coming into this particular situation coming into this year and seeing the rising interest rate environment.

從歷史上看，當我們完成這些相關性時，我們發現滯後在 9 個月到甚至可能長達 12 個月之間。我對今年進入這種特殊情況並看到利率上升的環境持懷疑態度。

Just because of the sheer volume of capital that has come into our space on the institutional side. And I was a bit hesitant to continue to say, "Hey, it's going to be this 9- to 12-month lag before cap rates start to reflect the new environment because of this worth of capital." However, what I didn't take into account was the debt markets adjusting as quickly as they did. And even this new capital that has come into our space, both on the private equity side as well as on the public side of the equation, the debt markets adjusted a lot faster.

僅僅因為在機構方面進入我們空間的大量資本。我有點猶豫要不要繼續說，“嘿，由於資本的價值，在上限利率開始反映新環境之前，這將是這 9 到 12 個月的滯後。”然而，我沒有考慮到債務市場的調整速度如此之快。即使是這些進入我們領域的新資本，無論是在私募股權方面還是在等式的公共方面，債務市場的調整速度都要快得多。

And therefore, the pullback from these newer buyers in our space has been a lot more acute, which has resulted in cap rates adjusting a lot faster. I mean we've had a rising interest rate environment now for the last 6 months, and we are already starting to see cap rates adjust 25 to 50 basis points.

因此，我們領域這些新買家的回調更為劇烈，這導致上限利率調整得更快。我的意思是，在過去的 6 個月裡，我們的利率環境一直在上升，我們已經開始看到上限利率調整 25 至 50 個基點。

And like I said, in the grocery sector, we saw sale leasebacks being done in the low 4s that are now coming back and being done in the low 5s to mid-5s. So it's not a constant, Connor, that I can point to. It is a reflection of the environment that you are faced with, but it's a good thing for us, truth be told that cap rates can adjust as quickly as they have in a rising interest rate environment. I just hope that the corollary is not true.

就像我說的，在雜貨行業，我們看到銷售回租在低 4 年代完成，現在又回來了，在低 5 年代到 5 年代中期完成。所以康納，我可以指出這不是一個常數。這反映了您所面臨的環境，但這對我們來說是一件好事，說實話，上限利率可以像在利率上升的環境中一樣迅速調整。我只希望推論不是真的。

The next question is from handle St. Juste with Mizuho.

下一個問題來自與瑞穗一起處理 St. Juste。

So I guess, I'm curious of your assessment of the non-high-grade portion of the market right now. Curious, I understand it's not a focus of yours, but you do dabble and you have exposure, they are curious of the relative attractiveness of high-grade versus perhaps non-high-grade. And if there was a scenario, perhaps enough premium of a return to perhaps make you do a bit more on the non high-grade side?

所以我想，我很好奇你現在對市場中非高檔部分的評估。好奇，我知道這不是您的重點，但您確實涉足並且有曝光度，他們對高檔與非高檔的相對吸引力感到好奇。如果有一種情況，也許有足夠的回報溢價讓你在非高檔方面做得更多？

Haendel, yes, this is a narrative that continues to be out there that we are not focused or that we are disproportionately focused on the high-grade side of the equation.

亨德爾，是的，這是一個持續存在的敘述，即我們沒有專注於或者我們不成比例地專注於等式的高端方面。

Just look at what we did this quarter. I mean 62% of what we did was sub investment grade or non-rated. So it is -- I don't believe true to say that all we focus on is investment-grade credit and that particular product. What we have tried to share with the market clearly unsuccessfully so is that we focus on risk-adjusted returns. There are points in time where the risk-adjusted returns on investment grade credit is far superior to what we were seeing on the noninvestment-grade side, and we pivot there and we try to do those transactions.

看看我們這個季度做了什麼。我的意思是，我們所做的 62% 是低於投資級別或未評級的。所以它是 - 我不相信說我們只關注投資級信貸和特定產品。我們試圖與市場分享的顯然是失敗的，因此我們專注於風險調整後的回報。在某些時間點，投資級信用的風險調整回報遠遠優於我們在非投資級方面看到的回報，我們在那裡轉向並嘗試進行這些交易。

And then there are other times where the exact opposite is true, where sub-investment grade is allowing you to capture risk-adjusted returns that are far superior. And so we find ourselves in that period today where we are finding very good opportunities on the non-investment-grade side of the equation. And as such are being able to get a lot of those transactions over the finish line, i.e., 62% in the second quarter.

在其他時候，情況正好相反，次級投資級別允許您獲得遠超風險調整後的回報。因此，我們發現自己處於今天的那個時期，我們在等式的非投資級方面發現了非常好的機會。因此，能夠在終點線獲得大量此類交易，即第二季度的 62%。

So we are indifferent to the credit ratings. What we focus on is looking at the totality of that particular opportunity to then ascribe a return profile that makes sense for the risk that we are undertaking. And that will continue to vary. We don't target investment grade. Investment grade tends to be a byproduct of the underwriting. So hopefully, that clarifies the question you asked.

所以我們對信用評級無動於衷。我們關注的是查看該特定機會的總體情況，然後歸因於對我們所承擔的風險有意義的回報情況。這將繼續變化。我們不以投資級別為目標。投資級別往往是承銷的副產品。因此，希望這可以澄清您提出的問題。

Sure, sure. I certainly appreciate the color, the perspective. Any update with Encore still on track to close, I believe, in the fourth quarter, how is the regulatory and licensing coming along?

一定一定。我當然欣賞顏色，視角。我相信，Encore 的任何更新仍有望在第四季度完成，監管和許可進展如何？

Still on track. We are quite optimistic. We've continued to stay very close to the MGC. We are working very closely with them. So we are very optimistic that it will close by the end of this year in the fourth quarter.

仍在軌道上。我們相當樂觀。我們繼續與 MGC 保持密切聯繫。我們正在與他們密切合作。因此，我們非常樂觀地認為它將在今年第四季度結束時關閉。

The next question is from Brad Heffern with RBC Capital Markets.

下一個問題來自 RBC Capital Markets 的 Brad Heffern。

Christie, one for you, I guess. On the new guidance, can you just talk about the moving pieces that kept the AFFO per share number unchanged despite the higher acquisition total. I know Sumit said, potentially tighter spreads versus the cost of capital, but I'm curious if there was an FX impact or interest expense impact or anything else?

克里斯蒂，我猜是給你的。在新指南中，您能否談談儘管收購總額較高但保持每股 AFFO 數量不變的因素。我知道 Sumit 說，與資本成本相比，利差可能更小，但我很好奇是否存在外匯影響或利息費用影響或其他任何影響？

Yes. I think, Brad, just to start off, Sumit had started to touch on this in terms of some of the moving pieces given the fact that we had increased our acquisition volume to over $6 billion. But kept as you observed our AFFO per share guidance the same and reaffirmed it.

是的。我認為，布拉德，剛開始，鑑於我們已將收購量增加到超過 60 億美元，Sumit 已經開始在一些活動方面觸及這一點。但是，正如您觀察到我們的每股 AFFO 指導一樣，並重申了這一點。

And there are some factors there in terms of, first, the volatility in the capital markets, as we've discussed the overall rate hikes and the magnitude of those hikes and any future actions that may be taken, both in terms of the European and U.S. environment. We also, to the point that you were making, we do actually hedge from the perspective of FX to protect our international income as well as we've got hedges in place to lower our effective interest rates, and we'll touch on that a bit more in a second.

首先，資本市場的波動性方面存在一些因素，因為我們已經討論了整體加息和這些加息的幅度以及未來可能採取的任何行動，無論是在歐洲還是美國環境。我們也，就您所說的而言，我們確實從外彙的角度對沖以保護我們的國際收入，並且我們已經進行了對沖以降低我們的有效利率，我們將談到這一點一秒鐘多一點。

But the other thing too is that just the general timing of the investment volume, the team has just been doing a great job. We've got really strong momentum as Sumit discussed in the market. And the acquisitions that we close from now towards the end of the year, while are attractive are really going to be setting us up nicely for 2023.

但另一件事也是，只是投資量的一般時機，團隊剛剛做得很好。正如 Sumit 在市場上討論的那樣，我們的勢頭非常強勁。我們從現在到年底完成的收購雖然很有吸引力，但確實將為我們在 2023 年做好準備。

So the timing of that isn't as beneficial for the year in AFFO as it will be for the full year impact next year. And I think, to the upside, we still have some clients on cash accounting, that have just started under their deferral arrangements. And so we'll be monitoring them for continued consistent payment performance, and make the appropriate calls and alignment with our policy and guidelines as to when we may be taking them off of cash accounting. But I'd love to turn it over to Jonathan to talk a little bit more specifically about hedging and the impact.

因此，這樣做的時機對 AFFO 的這一年並不像對明年全年的影響那麼有利。而且我認為，從好的方面來說，我們仍然有一些現金會計客戶，他們剛剛在他們的延期安排下開始。因此，我們將監控它們以確保持續一致的付款表現，並就何時可能將它們從現金會計中刪除，做出適當的調用並與我們的政策和指導方針保持一致。但我很想把它交給喬納森，更具體地談談對沖和影響。

Thanks, Christie. Yes, Brad, you've seen us obviously issue a lot of local currency debt in the sterling market that's intentional, obviously, much lower haul in rates there. But certainly, from a natural hedge perspective, having interest expense denominated in the same currency where we're now getting rent limits the exposure that we have in volatility. And then we have a cleanup methodology where we hedge a portion of AFFO that is unhedged.

謝謝，克里斯蒂。是的，布拉德，你已經看到我們顯然在英鎊市場上發行了大量本幣債券，顯然是有意降低那裡的利率。但可以肯定的是，從自然對沖的角度來看，以我們現在獲得租金的相同貨幣計價的利息費用限制了我們在波動中的風險敞口。然後我們有一個清理方法，我們可以對沖一部分未對沖的 AFFO。

And so from that dynamic, we feel like we've mitigated the range of outcomes, upside and downside, but there is still some unhedged exposure. About 60% of our foreign-denominated AFFO is unhedged. So for every 10% move in the dollar, for instance, you're looking at maybe $0.015 of volatility on an annualized basis. So we're not completely hedged, which can lead to upside if we see some mean reversion here in the dollar. But just a little bit of conservatism that we're taking here sitting here in August.

因此，從這種動態來看，我們覺得我們已經減輕了結果的範圍，包括上行和下行，但仍有一些未對沖的風險敞口。我們約 60% 的外幣 AFFO 未對沖。因此，例如，對於美元每波動 10%，您可能會看到每年 0.015 美元的波動率。所以我們沒有完全對沖，如果我們看到美元出現一些均值回歸，這可能會導致上行。但只是我們在八月份坐在這裡的一點保守主義。

Okay. I appreciate all the color. And then, Sumit, some of your peers this quarter have talked about portfolios trading at a discount to single assets. Is that something that you've seen? And are you interested potentially in pursuing more portfolio deals?

好的。我欣賞所有的顏色。然後，Sumit，本季度您的一些同行談到了以低於單一資產的價格交易的投資組合。那是你見過的東西嗎？您是否有興趣尋求更多的投資組合交易？

No more than in the past, Brad. Portfolio deals generally do tend to trade at a discount, especially in times like this when the cost of capitals have gone up. And a lot of these potential buyers of big portfolios are sort of sitting on the sidelines. So this is essentially reverted back to where it was, where we would get a discount on portfolio transactions.

不比過去更多，布拉德。投資組合交易通常確實傾向於以折扣價交易，尤其是在這種資本成本上升的時期。而這些大型投資組合的許多潛在買家都處於觀望狀態。所以這基本上恢復到原來的狀態，我們可以在投資組合交易中獲得折扣。

And so if you look at our volume today, about 62% of what we did were portfolio transactions. So that actually accrues to our benefit, Brad, and we are certainly seeing exactly the same scenario as some of our peers have commented.

因此，如果您查看我們今天的交易量，我們所做的大約 62% 是投資組合交易。所以這實際上對我們有利，布拉德，我們當然看到了與我們的一些同行評論的完全相同的情況。

The next question is from Wes Golladay with Baird.

下一個問題來自 Wes Golladay 和 Baird。

I got a question also maybe on the FX, more so on the future hedging, I guess. As you buy more properties overseas, would you do more, I guess, CP issuance tip for the hedging?

我也有一個關於外彙的問題，我想更多的是關於未來對沖的問題。當你在海外購買更多的房產時，你會做更多的，我猜，CP 發行小費以進行對沖？

And could we see the U.S. issuance of CP maybe go down to 0 and unusual full capacity overseas?

我們是否會看到美國的 CP 發行量可能會降至 0 並且在海外異常滿負荷？

Wes, it's Jonathan. I'll take that one. You may have been our Euro commercial paper program establishment recently, $1.5 billion equivalent together with the upsizing of our U.S. dollar commercial paper program.

韋斯，是喬納森。我會拿那個。您最近可能是我們的歐元商業票據計劃的建立，相當於 15 億美元以及我們的美元商業票據計劃的擴大。

Focusing on the Euro CP side, we absolutely intend to utilize that to the extent that we have a use of euro currency. But right now, obviously, interest rates are much lower comparatively. We could probably issue 1 year, year-old CPA in a 25 basis point context and that compares to revolver borrowings that are 75 basis points or so. So certainly, having a liability and a very cheap liability at that denominated in euros will be additive on all fronts, limiting the amount of derivatives that we have to engage with to hedge our exposure and lowering the old interest rate that we have to pay on your borrowings.

專注於歐元 CP 方面，我們絕對打算在我們使用歐元貨幣的範圍內利用它。但現在，顯然，利率相對要低得多。我們可能會在 25 個基點的背景下發行 1 年的 CPA，而左輪手槍借款是 75 個基點左右。因此，當然，以歐元計價的負債和非常便宜的負債將在所有方面都具有附加性，限制了我們為對沖風險而必須使用的衍生品數量，並降低了我們必須支付的舊利率你的借款。

Wes, having said all of that, we will be leaning towards permanently financing our acquisitions as soon as possible. I mean this is really a mechanism for us to provide the surety to the market and take advantage of our A-/A3 rating. But this will continue to not dominate our overall debt profile. If you look at what our outstandings are today, it's about 7%. And that is how you should think about us running up business going forward.

韋斯說了這麼多，我們將傾向於盡快為我們的收購提供永久融資。我的意思是，這確實是我們向市場提供擔保並利用我們的 A-/A3 評級的一種機制。但這將繼續不會主導我們的整體債務狀況。如果你看看我們今天的傑出表現，大約是 7%。這就是您應該如何看待我們在未來開展業務的方式。

Got it. Then I want to go back to that comment about why do you need cap rates. I'm just curious if you're seeing any difference between sale leasebacks, marketed assets, developer takeouts, any of your channels that you look at?

知道了。然後我想回到關於為什麼需要上限利率的評論。我只是好奇您是否發現銷售回租、營銷資產、開發商外賣以及您查看的任何渠道之間有什麼區別？

Yes. It's not a function of the channel. I would say, Wes, it is much more a function of the overall market. If you are starting to see cap rates move in portfolio transactions, whether the portfolio comes from another seller or from a sale-leaseback avenue it's going to be reflective of markets. Does relationship play a hand? Sure, it does.

是的。這不是頻道的功能。我想說，韋斯，它更多地是整個市場的功能。如果您開始看到投資組合交易中的上限利率發生變化，無論投資組合來自另一個賣家還是來自售後回租途徑，它都將反映市場。關係會發揮作用嗎？當然，確實如此。

But those are 5 to 10 to maybe 15 basis points at best. But it is really the market that dictates what those cap rates are going to be, not so much the channels.

但這些最多是 5 到 10 到 15 個基點。但實際上是市場決定了這些上限率，而不是渠道。

The next question is from Joshua Dennerlein with Bank of America.

下一個問題來自美國銀行的 Joshua Dennerlein。

So now that you've kind of completed the integration of the VEREIT merger, what -- how are you guys thinking about additional M&A?

既然你們已經完成了 VEREIT 合併的整合，那麼你們如何考慮額外的併購？

Josh, we've always said that, look, as far as M&A is concerned, we are always open for opportunities. But it is not easy to facilitate an M&A trade. You need willing partners, you need the market environment to be conducive you need to be able to look at the other portfolio to figure out, is there a massive amount of overlap in terms of strategically what we would have gone after had this entire portfolio been available.

喬希，我們一直說，看，就併購而言，我們總是對機會持開放態度。但促成併購交易並不容易。您需要有意願的合作夥伴，您需要有利的市場環境 您需要能夠查看其他投資組合以弄清楚如果整個投資組合在戰略上我們會追求什麼，是否存在大量重疊可用的。

You then have to take into consideration social issues. There are so many things that sort of have to align before you can help facilitate an M&A trade. But having said all of that, and this is very consistent with what we've said in the past, we are always looking. And if the right opportunity presents itself, we're not going to shy away from it. So we've shown that we can do it. We've done it a couple of times now. And we'll keep looking and keep working hard, like you said, Josh.

然後你必須考慮社會問題。在您幫助促進併購交易之前，有很多事情需要調整。但是說了這麼多，這與我們過去所說的非常一致，我們一直在尋找。如果合適的機會出現，我們不會迴避它。所以我們已經證明我們可以做到。我們已經做過幾次了。我們會繼續尋找並繼續努力，就像你說的，喬希。

And then I think you mentioned grocery anchors. It sounds like the cap rates moved like 100 basis points higher. Were there any other asset classes or property types where you're seeing that kind of magnitude of a move?

然後我想你提到了雜貨店主播。聽起來上限利率上漲了 100 個基點。是否有任何其他資產類別或房地產類型您看到了這種幅度的變動？

Yes. The industrial, I would say, not across the board, but some industrial, the movement has been quite pronounced as well, don't know if it's 100 basis points, but it wouldn't be far to say, 50 to 75 basis points.

是的。工業，我想說，不是全面的，而是一些工業，運動也很明顯，不知道是不是100個基點，但說不遠，50到75個基點.

I just felt like the grocery market decelerated, i.e. the compression of the cap rates was so immediate. from where we used to buy grocery here in the U.S., in the high 5s, this was the best-in-class grocery, it accelerated down to the low 4s. And this was absolutely a testament to the amount of capital that had come into our space and the cost of debt available that allow these buyers to essentially hit the yield that they required on a cash-on-cash basis. And the unwinding was as quick, partially driven by what the Fed chose to do, partially driven by how that translated into the debt market.

我只是覺得雜貨市場減速了，即上限利率的壓縮是如此直接。從我們過去在美國購買雜貨的地方，在高 5 秒，這是一流的雜貨店，它加速到低 4 秒。這絕對證明了進入我們領域的資本數量和可用債務成本，這些成本使這些買家能夠在現金基礎上基本上達到他們所需的收益率。平倉也同樣迅速，部分原因是美聯儲選擇做什麼，部分原因是它如何轉化為債務市場。

And then the withdrawal of some of this capital that relied on the debt markets. So I think that phenomena is very unique to that particular sector of retail. And we didn't see that compression in any other sector that I can think of.

然後撤出一些依賴債務市場的資本。所以我認為這種現像對於特定的零售行業來說是非常獨特的。我們沒有在我能想到的任何其他領域看到這種壓縮。

The next question is from Ronald Kamdem with Morgan Stanley.

下一個問題來自摩根士丹利的 Ronald Kamdem。

Just a couple of quick ones staying on just staying on the theme of large acquisitions, maybe M&A, but just even just bigger portfolio deals, I remember, one of the benefits that sort of having a larger platform is being able to do these larger sale leasebacks. Just any update on how that pipeline is building and when can we see sort of more of those deals come through?

我記得只有幾個快速的，只是停留在大型收購的主題上，也許是併購，但甚至只是更大的投資組合交易，我記得，擁有更大平台的好處之一就是能夠進行這些更大的銷售回租。只是有關該管道如何建立的任何更新以及我們何時可以看到更多此類交易的完成？

Yes, Ron, I'll tell you, the pipeline is big. And we are in discussions on fairly sizable opportunities. Again, similar to my comments with regards to M&A, I think it's difficult.

是的，羅恩，我會告訴你，管道很大。我們正在討論相當大的機會。同樣，類似於我對併購的評論，我認為這很困難。

Sellers are still a bit anchored on the past in terms of where the market was literally 5 to 6 months ago, and their willingness to sort of recognize the current state of affairs is what's going to dictate as to whether these conversations and these pipeline opportunities translate to under contract opportunities.

就市場在 5 到 6 個月前的實際情況而言，賣家仍然有點沉迷於過去，他們願意承認當前的事態將決定這些對話和這些管道機會是否會轉化根據合同機會。

But I can tell you, Ron, that our pipeline has never looked stronger. And a lot of that makeup is from bigger portfolio transactions. And so we are hopeful that a few of these will get over the finish line. And if it does, you'll be the first to know.

但我可以告訴你，羅恩，我們的管道從未如此強大。很多構成來自更大的投資組合交易。因此，我們希望其中一些能夠越過終點線。如果確實如此，您將是第一個知道的人。

Great. And if I could just ask one quick one on the guidance. Just what's the assumption for -- and sorry, if you covered this already, but what's the assumption for bad debt and then that changed at all? Because it seems like that's been pretty low.

偉大的。如果我能快速問一個關於指導的問題。假設是什麼 - 抱歉，如果您已經涵蓋了這一點，但是壞賬的假設是什麼，然後完全改變了？因為它似乎已經很低了。

Yes. Jonathan or Christie, you should take that.

是的。喬納森或克里斯蒂，你應該接受。

Yes. In terms of -- around of bad debt, yes, there was no specific change as it relates to bad debt. And in terms of the impact, for example, we've talked a lot about the clients that we still have on cash accounting and the fact that the deferral arrangements for a good approximately a handful of those that were primarily impacted during COVID in the theater and health and fitness space.

是的。就壞賬而言，是的，與壞賬相關沒有具體變化。例如，就影響而言，我們已經談了很多關於我們在現金會計方面仍然擁有的客戶，以及大約少數在劇院 COVID 期間主要受到影響的客戶的延期安排。和健康健身空間。

Their deferral arrangements started in July. And so we will be looking at their continued strong collections performance and make the appropriate calls in relation to our policies and things as we continue through this year and determine if we will be taking any of those clients off of cash accounting. And some of that impact, Ron, is also one of the variables that we factored in as it relates to the upper end of our guidance.

他們的延期安排於 7 月開始。因此，我們將關注他們持續強勁的收款表現，並在我們今年繼續進行時就我們的政策和事情做出適當的呼籲，並確定我們是否會將這些客戶中的任何一個從現金會計中剔除。羅恩，其中一些影響也是我們考慮的變量之一，因為它與我們指導的上限有關。

Just, Ron, I would just add in terms of the remainder of the year guidance, we're really looking at more of a normalized assumption. So first half of the year, we've actually benefited from some paybacks on deferral agreements that have actually resulted in flat or even negative bad debt expense.

只是，羅恩，我只想補充一下今年剩餘時間的指導，我們真的在看更多的標準化假設。因此，今年上半年，我們實際上受益於延期協議的一些回報，這些回報實際上導致了持平甚至負的壞賬費用。

So a little bit of conservatism in the back half of the year just given the macro environment, and uncertainties, but definitely assuming just a normalized run rate in a pre-pandemic year.

因此，考慮到宏觀環境和不確定性，今年下半年有點保守，但絕對假設只是大流行前一年的正常運行率。

The next question is from John Massocca with Ladenburg Thalmann.

下一個問題來自 John Massocca 和 Ladenburg Thalmann。

So as we think about the competitive environment, you face in the Europe versus the U.S. I mean how sensitive are your European competitors to rising rates. And I guess if we can see continued upward pressure on U.K. and EU rates, could it push certain competitors out of the market kind of similar to what you've seen in the U.S. year-to-date.

因此，當我們考慮競爭環境時，您在歐洲與美國之間面臨著競爭。我的意思是您的歐洲競爭對手對利率上升有多敏感。我猜如果我們能看到英國和歐盟利率持續上漲的壓力，它是否會將某些競爭對手趕出市場，就像你今年迄今為止在美國看到的那樣。

Absolutely. Not trying to be flipping here, John, but that is exactly what we expect to see happen. I think I mentioned that the BofA has just raised their interest rates by 50 basis points to 1.75%. We should start to see the cap rates adjust, but a lot of the levered buyers and those happen to be quite a few there, will start to fall by the wayside. We've already seen that on a few transactions that we've been pursuing in the international markets. And again, this certainty of close is what gets amplified at times like this.

絕對地。約翰，不要試圖在這裡翻轉，但這正是我們期望看到的。我想我提到過美國銀行剛剛將利率提高了 50 個基點至 1.75%。我們應該開始看到上限利率的調整，但很多槓桿買家以及恰好在那裡的不少買家將開始被淘汰。我們已經在我們一直在國際市場上進行的一些交易中看到了這一點。再一次，這種關閉的確定性有時會被放大。

And we've had transactions that literally have come back to us in the international markets because they recognize our ability to close on especially large transactions. And so I expect what we are seeing happen here in the U.S., a similar storyline to play out in the international markets. And given that the level of competition that we face there, John, is actually a lot less. We expect those advantages to be even more enhanced in quarters to come.

我們的交易在國際市場上確實回到了我們身邊，因為他們認識到我們有能力完成特別大的交易。因此，我希望我們在美國看到的情況會發生，類似的故事情節也會在國際市場上演。鑑於我們在那裡面臨的競爭水平，約翰，實際上要少得多。我們預計這些優勢將在未來幾個季度進一步增強。

And I guess, if we think back to kind of 3Q and 4Q of last year, I mean, how important was the nonpublic levered buyer in the European markets versus the U.S.? Is it kind of a bigger portion of the competitive set? Or is it equal, less?

我想，如果我們回想一下去年的第三季度和第四季度，我的意思是，與美國相比，歐洲市場的非公開槓桿買家有多重要？它是競爭組合中更大的一部分嗎？還是相等，更少？

Yes. That's very difficult to quantify. But if I had to guess, I would say that there are more of the buyers in Europe that rely on the debt markets. And what makes it challenging is that the debt markets are potentially not quite as mature as we have here in the U.S. the circa fewer people that we were competing with for the kind of product that we've been pursuing.

是的。這很難量化。但如果我不得不猜測，我會說歐洲有更多的買家依賴債務市場。使其具有挑戰性的是，債務市場可能不像我們在美國那樣成熟，我們為我們一直在追求的那種產品競爭的人大約更少。

And this is consistent with one of our strategic reasons to expand into Europe is the lack of similar kinds of competition that we see here in the U.S. and more of an amplification of our inherent advantages in that particular market. And we are certainly starting to see that more so recently.

這與我們向歐洲擴張的戰略原因之一是一致的，即我們在美國看到的類似競爭的缺乏，更多的是我們在該特定市場的固有優勢的放大。我們最近肯定開始看到這一點。

Okay. And I know it's a relatively recent phenomenon, but as you think about tenant credit, both with acquisitions and the in-place portfolio. How are you thinking about sellers of kind of hard goods versus more services-oriented tenants given some of the recent shifts in consumer demand?

好的。而且我知道這是一個相對較新的現象，但是當您考慮租戶信貸時，無論是收購還是就地投資組合。鑑於最近消費者需求的一些變化，您如何看待硬商品賣家與更多以服務為導向的租戶？

Yes, it does depend on the type of hard goods. I will tell you, Walmart just came out with another announcement today, they're getting pressured. But do I see Walmart struggling to pay the rent? I don't.

是的，這取決於硬商品的類型。我會告訴你，沃爾瑪今天剛剛發布了另一個公告，他們受到了壓力。但我看到沃爾瑪在努力支付租金嗎？我不。

Do I see -- now if we were to look at categories, do I see apparel companies suffering a little bit more, especially if discretionary income continues to get pressured? Absolutely. Do I see quick service restaurants suffering the same? I don't. We saw this play out in the great financial crisis, where some of the service-oriented businesses actually thrived. The movie theater business did very well. The health and fitness business did quite well because especially the lower cost health and fitness concepts, because they tend to attract the more value-sensitive consumer base at times where alternatives have become a lot more expensive.

我是否看到 - 現在如果我們看類別，我是否看到服裝公司遭受更多痛苦，特別是如果可自由支配收入繼續受到壓力？絕對地。我是否看到快餐店遭受同樣的痛苦？我不。我們在金融危機中看到了這一點，一些以服務為導向的企業實際上蓬勃發展。電影院業務做得很好。健康和健身業務做得很好，尤其是成本較低的健康和健身概念，因為在替代品變得更加昂貴的時候，它們往往會吸引對價值更敏感的消費者群。

I do expect casual dining to feel a little bit more of the pressure. But again, the concepts are important, who the operator is, is important, their balance sheet strength, their ability to take lessons learned from the pandemic where there were a lot more click and collect and delivery that they were able to pivot to in terms of their business model.

我確實希望休閒用餐會感受到更多的壓力。但同樣，這些概念很重要，運營商是誰，很重要，他們的資產負債表實力，他們從大流行中吸取教訓的能力，在那裡他們能夠轉向更多的點擊、收集和交付他們的商業模式。

Those, I think, will hold them in good stead for the ones that survived and were able to institute those types of changes to their business model. But it's very much specific to the particular vertical and the environment we find ourselves in.

我認為，對於那些倖存下來並能夠對他們的商業模式進行這些類型的改變的人來說，那些人會為他們提供有利的環境。但它非常特定於特定的垂直領域和我們所處的環境。

The next question is from Chris Lucas with Capital One.

下一個問題來自 Capital One 的 Chris Lucas。

Just a follow-up question on the commercial paper program. I guess I'm just thinking about it, so you've got USD 1.5 billion denominated and EUR 1.5 billion denominated. Was there a specific reason why euro-denominated rather than pound-denominated related to efficiency depth of market, future uses? Just trying to understand why euro, not pound.

只是關於商業票據計劃的後續問題。我想我只是在想，所以你有 15 億美元和 15 億歐元。以歐元計價而不是以英鎊計價與市場效率深度、未來用途相關是否有特定原因？只是想了解為什麼歐元，而不是英鎊。

Sure, Chris.

當然，克里斯。

Chris, it's Jonathan. There's a nuance in the commercial paper market. The storage market is really not that big. So you don't really see a lot of stand-alone sterling programs. The Euro commercial paper program does give us the flexibility to issue in sterling.

克里斯，是喬納森。商業票據市場存在細微差別。存儲市場真的沒有那麼大。所以你並沒有真正看到很多獨立的英鎊程序。歐元商業票據計劃確實為我們提供了以英鎊發行的靈活性。

And so to the extent there is demand in that market, we'll be able to tap into it. But by and large, this market is dominated by dollars and euros.

因此，只要該市場有需求，我們就可以利用它。但總的來說，這個市場以美元和歐元為主。

Okay. Great. And then Sumit, just kind of taking a step back, sort of talk a little bit around the foreign exchange issue that's occurred this year. You've seen a pretty meaningful move in both in terms of the dollar appreciation relative to the euro and the pound.

好的。偉大的。然後 Sumit 稍微退後一步，就今年發生的外匯問題談了一點。就美元相對於歐元和英鎊的升值而言，你已經看到了非常有意義的變化。

And if you kind of look historically back at this other than really like a week during COVID in March of '20, you have to go all the way back to the rate of administration to find sort of this relative value on both the pound and on the euro impact that far, but in terms of the dollar strength. So my question is, does that impact at all your view about where to allocate capital at this point? Or are you completely agnostic to the exchange rate?

如果你從歷史上回顧這一點，而不是像 20 年 3 月 COVID 期間的一周，你必須一直回到行政利率，才能找到英鎊和美元的這種相對價值歐元的影響如此之大，但就美元的強勢而言。所以我的問題是，這是否會影響您對此時在哪里分配資金的看法？還是您對匯率完全不可知？

It would be unfair to say, Chris, that we are agnostic to the exchange rate. Obviously, this is something that we have an acute focus on -- like we said, we are not 100% hedged. That wouldn't be economically prudent to do so. We are about 40% hedged on our income stream. And we have instituted strategies to sort of mitigate fluctuations in the foreign exchange market.

克里斯，說我們不知道匯率是不公平的。顯然，這是我們非常關注的事情——就像我們說的那樣，我們不是 100% 對沖的。這樣做在經濟上是不明智的。我們對我們的收入流進行了大約 40% 的對沖。我們已經制定了一些策略來緩解外匯市場的波動。

Having said all of that, we did exactly the same analysis, Chris, to figure out at which point in time were these exchange rates at current levels and concluded the same that, look, again, I might look foolish in 3 months from now. But this looks like the low point in terms of foreign exchange between the GBP in the U.S. and the euro in the U.S. And you're starting to see with increases in interest rates by the Bank of England, similar to the ECB, you're starting to see that correct itself and start to revert a little bit more to the mean.

說了這麼多，克里斯，我們做了完全相同的分析，以確定這些匯率在哪個時間點處於當前水平，並得出同樣的結論，再看一遍，從現在開始的 3 個月後我可能看起來很愚蠢。但這看起來像是美國英鎊和美國歐元之間的外匯低點。你開始看到英格蘭銀行提高利率，類似於歐洲央行，你是開始看到它本身是正確的，並開始恢復到更多的平均值。

So that could potentially act as a tailwind. But not knowing and not trying to take a forecast on where these things are going to play out. That's the reason -- one of the main reasons why we kept our range exactly the same, but we believe that we are very well situated currently. Ultimately, this is a long game. And what we want is to let the product and the acquisition opportunities dictate with us, with an eye on the exchange rate, dictate how we build out our portfolio. So totally not fair to say we would be agnostic, but it is something we keep in mind, but doesn't necessarily drive our strategy in its entirety.

因此，這可能會起到順風的作用。但不知道也不試圖預測這些事情將在哪裡發生。這就是原因——我們保持範圍完全相同的主要原因之一，但我們相信我們目前處於非常有利的位置。歸根結底，這是一場漫長的比賽。我們想要的是讓產品和收購機會由我們決定，著眼於匯率，決定我們如何建立我們的投資組合。所以說我們不可知論是完全不公平的，但這是我們牢記在心的事情，但並不一定會推動我們的整體戰略。

The next question is from Harsh Hemnani with Green Street.

下一個問題來自 Green Street 的 Harsh Hemnani。

A quick one for me. When you think about the investments in Europe, what percentage of them are sale-leaseback originations versus acquisitions of existing leases? And how does that compare to your investments in the U.S.?

對我來說是一個快速的。當您考慮在歐洲的投資時，其中有多少百分比是售後租回發起與現有租賃的收購？這與您在美國的投資相比如何？

I don't think that there is a major difference between the compositions. If you look at what we did on the sale leaseback side, Harsh, it was right around 28% year-to-date. And we've had quarters where it's been as high as 75% and we've had quarters where it's been as low as 20%. And so it really is a function of what's available, when is it closing in a given quarter, et cetera, that dictates the sale-leaseback piece.

我不認為作品之間有很大的不同。如果你看看我們在售後回租方面所做的事情，Harsh，今年迄今為止大約是 28%。我們曾經有過高達 75% 的季度，也有過低至 20% 的季度。因此，它確實是可用的功能，它何時在給定的季度關閉等等，這決定了售後回租部分。

Having said that, I think when we do decide to pursue sale leasebacks in a meaningful way. It is possible that some of those transactions would be much larger in size. For instance, if you think about our inaugural transaction that we did when we first went into the U.K., it was a sale-leaseback that we did with Sainsbury's. That was $0.5 billion.

話雖如此，我認為當我們決定以有意義的方式進行售後回租時。其中一些交易的規模可能會大得多。例如，如果您考慮一下我們首次進入英國時所做的首次交易，那是我們與 Sainsbury's 進行的售後回租。那是5億美元。

If you think about the gaming industry and the sale leaseback we've done with them, it's going to dominate that particular quarter because it's a $1.7 billion transaction. And we see similar types of opportunities where when and if those close in a given quarter, it's going to dominate that particular quarter. And I don't think it's unique just to the U.S. I think it will be consistent between the U.S. and the international markets.

如果您考慮一下游戲行業以及我們與他們進行的售後回租，它將在該特定季度佔據主導地位，因為這是一筆 17 億美元的交易。而且我們看到了類似類型的機會，如果這些機會在特定季度關閉，它將主導該特定季度。而且我不認為這對美國來說是獨一無二的。我認為這將在美國和國際市場之間保持一致。

The next question is from Linda Tsai with Jefferies.

下一個問題來自 Linda Tsai 和 Jefferies。

In terms of the 2% growth in same-store revenue, I saw health and fitness and restaurants and materially theaters contributed to the positive change in second quarter same-store. When did the strong comps start to normalize? And is that partly dependent on cash basis payback?

在同店收入增長 2% 方面，我看到健康和健身、餐廳和影院對第二季度同店的積極變化做出了貢獻。強陣容什麼時候開始正常化的？這是否部分取決於現金回報？

It is. It's when we start to sort of take a lot of these clients off of the cash basis and get them back on accrual basis. You're still going to have a period of about 12 months where there's going to be this mismatch. And some of these higher same-store rental growth that you're seeing is essentially a byproduct of moving some of these cash accounts back to accrual account. And once all of this normalizes, you should expect us to be back in that 1% to 1.5% same-store growth.

這是。那時我們開始將這些客戶中的很多從現金基礎上拿走，並以應計基礎讓他們回來。你仍然會有大約 12 個月的時間出現這種不匹配。您看到的這些較高的同店租金增長中的一些本質上是將其中一些現金賬戶轉回應計賬戶的副產品。一旦所有這一切正常化，您應該期望我們恢復 1% 到 1.5% 的同店增長。

But right now, it's a period where we are now starting to recognize and move some of these clients and case in point AMC back to accrual accounting, and that's disproportionately impacting the growth rate in a very favorable way.

但是現在，這是我們現在開始認識到並將其中一些客戶和 AMC 案例重新轉向權責發生製會計的時期，這以非常有利的方式對增長率產生了不成比例的影響。

That's helpful. And then I think previously, you talked about putting some money into vacant properties to redevelop to help re-leasing prospects. Is this something you're still pursuing?

這很有幫助。然後我認為之前，您談到將一些資金投入空置物業以進行重新開發以幫助重新出租前景。這是你還在追求的嗎？

Very much so, Linda. And I think that is being captured in some of our re-leasing spreads that we've -- that I'm so proud of the asset management team, over 105% essentially net with 0 TI dollars. A lot of that -- not a lot, but some of it is certainly driven by our repositioning. One of the highest recapture percentages that we had was taking a quick service concept and converting it into an alternative retail concept largely driven by a predictive analytics tool, saying that the best and use for this particular location is not a quick service restaurant, but this alternative concept. And we went down that path and we're able to recognize north of 200% in terms of recapture rates.

非常如此，琳達。我認為這在我們的一些再租賃利差中得到了體現——我為資產管理團隊感到非常自豪，超過 105% 基本上是淨值 0 TI 美元。很多——不是很多，但其中一些肯定是由我們的重新定位驅動的。我們擁有的最高回收率之一是採用快速服務概念並將其轉換為主要由預測分析工具驅動的替代零售概念，並表示該特定位置的最佳和使用不是快速服務餐廳，但是這替代概念。我們沿著這條路走下去，我們能夠識別出 200% 以上的重新捕獲率。

And we share all of that information in aggregation with you on our supplemental so you can track some of that. But that is absolutely very much a focus of ours, Linda, and we hope that, that will continue to become a bigger and bigger portion of the value driver of our growth going forward.

我們在我們的補充中與您共享所有這些信息，以便您可以跟踪其中的一些信息。但這絕對是我們的重點，Linda，我們希望，這將繼續成為我們未來增長的價值驅動力中越來越大的一部分。

This concludes our question-and-answer session. I would like to turn the conference back over to Sumit Roy for any closing remarks.

我們的問答環節到此結束。我想把會議轉回給 Sumit Roy 做任何閉幕詞。

Thank you all for joining us today. I hope everyone enjoys the rest of the summer, and we look forward to speaking with you again soon. Thank you.

感謝大家今天加入我們。我希望每個人都喜歡這個夏天的剩餘時間，我們期待很快再次與您交談。謝謝你。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連接。