Paramount Group Inc (PGRE) 2025 Q2 法說會逐字稿

Good day, ladies and gentlemen. Thank you for joining us on Paramount Group's second-quarter 2025 earnings conference call. (Operator Instructions) Please note that this conference call is being recorded today, July 31, 2025.

女士們、先生們，大家好。感謝您參加派拉蒙集團 2025 年第二季財報電話會議。（操作員指示）請注意，本次電話會議將於今天（2025 年 7 月 31 日）進行錄音。

I will now turn the call over to Tom Hennessy, the Vice President of Business Development and Investor Relations. Please go ahead.

現在我將把電話轉給業務發展和投資者關係副總裁湯姆·軒尼詩 (Tom Hennessy)。請繼續。

Thank you, operator, and good morning, everyone. Before we begin, I would like to point everyone to our second quarter 2025 earnings release and supplemental information, which were released yesterday. Both can be found under the heading Financial Results in the Investors section of the Paramount Group website at www.pgre.com.

謝謝接線員，大家早安。在我們開始之前，我想向大家指出我們昨天發布的 2025 年第二季財報和補充資訊。這兩份報告均可在派拉蒙集團網站 www.pgre.com 的「投資者」部分的「財務結果」標題下找到。

Some of our comments will be forward-looking statements within the meaning of the federal securities laws. Forward-looking statements, which are usually identified by the use of words such as will, expect, should or other similar phrases are subject to numerous risks and uncertainties that could cause actual results to differ materially from what we expect.

我們的一些評論將屬於聯邦證券法含義內的前瞻性陳述。前瞻性陳述通常使用諸如將、預期、應該或其他類似詞彙來表示，這些陳述受多種風險和不確定性的影響，可能導致實際結果與我們的預期有重大差異。

Therefore, you should exercise caution in interpreting and relying on them. We refer you to our SEC filings for a more detailed discussion of the risks that could impact our future operating results and financial conditions. During the call, we will discuss our non-GAAP measures, which we believe can be useful in evaluating the company's operating performance.

因此，您在解釋和依賴它們時應謹慎。請您參閱我們向美國證券交易委員會提交的文件，以便更詳細地討論可能影響我們未來經營業績和財務狀況的風險。在電話會議中，我們將討論我們的非公認會計準則指標，我們認為這些指標有助於評估公司的營運表現。

These measures should not be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. A reconciliation of these measures to the most directly comparable GAAP measure is available in our second quarter 2025 earnings release and our supplemental information.

這些措施不應被孤立地考慮，也不應被當作我們按照 GAAP 編制的財務結果的替代。您可以在我們 2025 年第二季的財報和補充資料中找到這些指標與最直接可比較的 GAAP 指標的對帳。

Before we begin our prepared remarks, I want to briefly address an initiative we announced shortly after our last call. In May, our Board of Directors initiated a review of strategic alternatives to maximize shareholder value. That review remains active, and we will provide updates when appropriate.

在我們開始準備好的發言之前，我想簡要地談談我們在上次電話會議後不久宣布的一項倡議。五月，我們的董事會開始審查策略替代方案，以實現股東價值最大化。該審查仍然有效，我們將在適當的時候提供更新。

However, given the ongoing nature of the review, we will not be commenting further or taking questions on the matter today. We appreciate your understanding and respect for the confidentiality and integrity of the review. With those ground rules in place, let's turn attention back to the main agenda and introduce today's speakers.

然而，鑑於審查的持續性，我們今天不會對此事發表進一步評論或回答問題。我們感謝您對審查的保密性和完整性的理解和尊重。有了這些基本規則，讓我們把注意力轉回主要議程並介紹今天的講者。

Hosting the call today, we have Mr. Albert Behler, Chairman, Chief Executive Officer and President of the company; Peter Brindley, Executive Vice President, Head of Real Estate; and Linda Berberi, Executive Vice President, Chief Financial Officer and Treasurer. Management will provide some opening remarks, and we will then open the call to questions.

今天主持電話會議的有公司董事長、執行長兼總裁 Albert Behler 先生、執行副總裁兼房地產主管 Peter Brindley 和執行副總裁、財務長兼財務主管 Linda Berberi。管理層將發表一些開場白，然後我們將開始提問。

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

說完這些，我將把電話轉給阿爾伯特。

Thank you, Tom. Good morning, everyone. We delivered a strong second quarter with core FFO of $0.17 per share exceeding consensus by $0.03. The results were driven by robust leasing activity, continued operational discipline and a focused approach to capital allocation. Our performance reflects the strength of our Class A portfolio, the resilience of our markets and the depth and execution excellence of our team.

謝謝你，湯姆。大家早安。我們第二季業績表現強勁，核心營運現金流 (FFO) 為每股 0.17 美元，較市場預期高出 0.03 美元。強勁的租賃業務、持續的營運紀律以及專注的資本配置策略推動了這一業績。我們的績效反映了我們 A 類投資組合的實力、我們市場的彈性以及我們團隊的深度和執行力。

The key driver of that momentum is leasing. We executed over 400,000 square feet of leases in the quarter, our highest quarterly total since 2019. This brings our year-to-date total to approximately 690,000 square feet.

這一勢頭的關鍵驅動力是租賃。本季我們執行了超過 40 萬平方英尺的租賃，這是自 2019 年以來最高的季度總額。這使得我們今年迄今的總面積達到約 69 萬平方英尺。

Notably, leasing this quarter was well balanced across our 2 markets with 52% in New York and 48% in San Francisco. That's a meaningful shift from recent quarters, where activity was more concentrated in New York. This balanced performance highlights the continued strength in New York and the growing traction we are seeing in San Francisco and the broad-based appeal of our portfolio. It also speaks to the tireless efforts of our leasing team, enduring quality of our assets and the sustained demand for high-quality space in premier submarkets. Our pipeline remains in good shape, and we are well positioned to carry this strength through the second half of the year.

值得注意的是，本季我們兩個市場的租賃情況均衡，紐約為 52%，舊金山為 48%。這與最近幾季相比發生了顯著變化，當時的活動主要集中在紐約。這種均衡的表現凸顯了紐約的持續強勁、舊金山日益增長的吸引力以及我們投資組合的廣泛吸引力。這也體現了我們租賃團隊的不懈努力、我們資產的持久品質以及對主要子市場高品質空間的持續需求。我們的管道狀況良好，我們已做好準備，將這種優勢延續到今年下半年。

As a result of our strong first half performance and the momentum we are seeing across the business, we are raising full year guidance across all key metrics, including core FFO, leasing volume, cash NOI and year-end leased occupancy.

由於我們上半年的強勁表現以及整個業務的良好勢頭，我們提高了所有關鍵指標的全年預期，包括核心 FFO、租賃量、現金 NOI 和年末租賃入住率。

Let me now turn to our markets, starting with New York. The city continues to demonstrate remarkable strength and depth, while headlines often focus on challenges in the broader office sector, what we are seeing on the ground tells a different story, a clear and sustained flight to quality. Tenants are prioritizing well-located, highly amenitized buildings that support their in-office strategies and reinforce their brand and culture. This dynamic plays directly to our strengths and continues to drive leasing velocity across our portfolio. Our performance this quarter reflects that alignment.

現在讓我談談我們的市場，從紐約開始。這座城市繼續展現出非凡的實力和深度，儘管頭條新聞往往關注更廣泛的辦公領域所面臨的挑戰，但我們在實地看到的情況卻講述了一個不同的故事，即明顯而持續的質量飛躍。租戶優先考慮位置優越、設施齊全的建築，以支持他們的辦公室策略並強化他們的品牌和文化。這種動態直接發揮了我們的優勢，並繼續推動我們整個投資組合的租賃速度。我們本季的業績反映了這種一致性。

Our New York portfolio is now 88.1% leased, the highest level since early 2022.

我們紐約的投資組合目前出租率為 88.1%，為 2022 年初以來的最高水準。

Leasing was broad-based with strong activity across several of our flagship assets, where we continue to secure long-term commitments from high credit tenants. At 1301 Sixth Avenue, we welcomed a nationally recognized legal tenant to the tower floors and subsequent to quarter and we welcome the leading financial services company to the base. This brings leased occupancy to over 97% at the building. At 900 Third Avenue, we saw an expansion from another tenant, a global law firm that increased that buildings leased occupancy to 94%. These transactions underscore the continued demand for our high-quality space and highlight the strategic value of our portfolio to high-quality tenants.

租賃業務廣泛，我們的幾項旗艦資產租賃活動強勁，我們繼續從高信用租戶那裡獲得長期承諾。在第六大道 1301 號，我們迎來了一位全國公認的合法租戶，入駐大樓各樓層，隨後又迎來了一家領先的金融服務公司。這使得該建築的租賃入住率達到 97% 以上。在第三大道 900 號，我們看到了另一個租戶的擴張，這是一家全球律師事務所，它將大樓的租賃入住率提高到了 94%。這些交易凸顯了對我們高品質空間的持續需求，並凸顯了我們的投資組合對高品質租戶的策略價值。

The key differentiator in the success continues to be the Paramount Club. This amenity has proven transformative, not only in attracting new tenants but in fostering a vibrant workplace community that enhances tenant satisfaction and retention. It exemplifies our commitment to delivering our hospitality caliber experience in a commercial setting, and it's a major reason why our buildings remain top of mind for tenants seeking best-in-class space.

成功的關鍵因素仍然是派拉蒙俱樂部。事實證明，這種便利設施具有變革性，不僅可以吸引新租戶，還可以培養一個充滿活力的工作場所社區，從而提高租戶滿意度和保留率。它體現了我們致力於在商業環境中提供一流的酒店體驗的承諾，這也是為什麼我們的建築對於尋求一流空間的租戶來說仍然是首選的主要原因。

We continue to have a very robust leasing pipeline in New York, which Peter will cover in more detail shortly. I'm incredibly proud of how our team continues to execute in this environment, which is why we remain confident that we are exceptionally well positioned to continue capitalizing on the trends in the market. Shifting to San Francisco, the market remains in a period of recalibration.

我們在紐約繼續擁有非常強大的租賃管道，Peter 很快就會對此進行更詳細的介紹。我為我們的團隊在這種環境下繼續表現感到無比自豪，這也是為什麼我們仍然相信我們處於非常有利的位置，可以繼續利用市場趨勢。轉移到舊金山，市場仍處於重新調整期。

While overall leasing volumes are still below long-term averages, we are beginning to see encouraging signs of stabilization. Sublease space is being absorbed, and we are seeing renewed interest from tenants in sectors like AI, legal and professional services particularly for high-quality space in prime locations. That demand is translating into real activity. This quarter, we executed over 190,000 square feet of leasing in San Francisco, an acceleration that reflects both the quality of our assets and the improving sentiment in the market.

雖然整體租賃量仍低於長期平均水平，但我們開始看到令人鼓舞的穩定跡象。轉租空間正在被吸收，我們看到人工智慧、法律和專業服務等領域的租戶重新產生了興趣，尤其是對黃金地段的高品質空間。這種需求正在轉化為實際活動。本季度，我們在舊金山的租賃面積超過 190,000 平方英尺，這一加速反映了我們資產的品質和市場情緒的改善。

Our buildings in the financial district, particularly One Market Plaza, 300 Mission Street and One Front Street remain highly competitive with tenants drawn to the location, infrastructure and flexibility. In this environment, our portfolio continues to outperform. While the recovery in San Francisco is gradual we believe it is steady, and the long-term fundamentals remain intact.

我們在金融區的建築，特別是 One Market Plaza、300 Mission Street 和 One Front Street 仍然具有很強的競爭力，其地理位置、基礎設施和靈活性吸引了許多租戶。在這種環境下，我們的投資組合持續表現出色。儘管舊金山的復甦是漸進的，但我們相信它是穩定的，長期基本面仍然完好無損。

The city continues to attract world-class talent and innovation, and we are confident that demand for best-in-class office space will continue to follow. Our team on the ground has done an exceptional job navigating this environment and we remain focused on capturing our share of demand.

這座城市持續吸引世界一流的人才和創新，我們相信對一流辦公空間的需求將持續成長。我們的實地團隊在應對這一環境方面做得非常出色，我們將繼續專注於滿足我們的需求份額。

As we look across the portfolio, our capital allocation strategy remains grounded in discipline, flexibility and long-term value creation. We continue to evaluate opportunities to unlock value through selective dispositions, joint ventures and reinvestment into our highest conviction assets. Our recent transactions at 900 Third Avenue and One Front Street are strong examples of this approach, allowing us to crystallize value while maintaining operational control and upside participation.

縱觀整個投資組合，我們的資本配置策略仍以紀律性、靈活性和長期價值創造為基礎。我們將繼續評估透過選擇性處置、合資和對我們最有信心的資產進行再投資來釋放價值的機會。我們最近在第三大道 900 號和前街一號進行的交易就是這種方法的典型例子，它使我們能夠在保持營運控制和上行參與度的同時實現價值的實現。

At the same time, we remain focused on preserving balance sheet strength. We ended the quarter with over $534 million of cash. This liquidity gives us the flexibility to be opportunistic while also positioning us to navigate an evolving macro environment with confidence. With debt markets functioning again, especially here in New York, we are actively pursuing the refinancing of 1301 Sixth Avenue. Given the asset profile and the leasing success we have had there.

同時，我們仍然致力於保持資產負債表的強勁。本季末，我們的現金餘額超過 5.34 億美元。這種流動性使我們能夠靈活地把握機會，同時也使我們能夠自信地應對不斷變化的宏觀環境。隨著債務市場再次運轉，尤其是在紐約，我們正在積極尋求第六大道 1301 號的再融資。鑑於資產狀況和我們在那裡取得的租賃成功。

We expect a smooth process, and we look to share the results with you all on our next call. More broadly, we continue to take the long view. We own and operate some of the most iconic office assets in two of the most dynamic cities in the world. We believe deeply in the enduring value of these markets, and we are committed to managing this portfolio with the same discipline, creativity and conviction that has defined Paramount for decades.

我們期待一個順利的進程，並期待在下次通話中與大家分享結果。更廣泛地說，我們繼續著眼於長遠。我們擁有並經營著世界上最具活力的兩個城市中最具代表性的一些辦公資產。我們深信這些市場的持久價值，並致力於以派拉蒙數十年來秉持的紀律、創造力和信念來管理這個投資組合。

With that, I'll hand over to Peter.

說完這些，我就把麥克風交給彼得。

Thank you, Albert, and good morning. During the second quarter, we leased approximately 405,000 square feet, 52% of which occurred in New York and the remainder in San Francisco. This brings our year-to-date total to approximately 690,000 square feet leased, well ahead of our original guidance and providing support for our decision to raise full year guidance to 1.3 million square feet at the midpoint.

謝謝你，阿爾伯特，早安。第二季度，我們租賃了約 405,000 平方英尺的空間，其中 52% 位於紐約，其餘位於舊金山。這使得我們今年迄今的總租賃面積達到約 69 萬平方英尺，遠遠超出了我們最初的預期，並為我們將全年預期提高到中期 130 萬平方英尺的決定提供了支持。

The weighted average term for leases signed during the second quarter was 12.9 years, with starting rents in both New York and San Francisco above $90 per square foot. At quarter end, our same-store portfolio-wide leased occupancy rate at share was 85.4%, down 80 basis points from last quarter, driven primarily by the scheduled lease expiration of Google at One Market Plaza in San Francisco.

第二季簽署的租約加權平均期限為 12.9 年，紐約和舊金山的起始租金均超過每平方英尺 90 美元。截至季末，我們同店組合的租賃入住率為 85.4%，較上一季下降 80 個基點，主要原因是谷歌在舊金山 One Market Plaza 的租約到期。

In New York and San Francisco, tenants continue to prioritize premier centrally located amenity-rich buildings. We remain focused on further developing our tenant relationships, delivering market-leading hospitality, securing renewals for upcoming lease expirations and filling our vacant spaces.

在紐約和舊金山，租戶繼續優先考慮位於中心位置、設施豐富的優質建築。我們將繼續致力於進一步發展與租戶的關係，提供市場領先的服務，確保即將到期的租約續簽，並填補我們的空置空間。

Year-to-date, 45% of our leasing activity has occurred on vacant space, 27% on space scheduled to expire in 2025 and the balance has served to derisk lease roll in 2026 and 2027. Our pipeline remains robust with more than 275,000 square feet of leases in active negotiation or advanced stage proposals, more than half of which are for vacant space and the balance for space scheduled to expire in 2025, 2026 and 2027.

年初至今，我們 45% 的租賃活動發生在空置空間，27% 發生在計劃於 2025 年到期的空間，其餘部分用於降低 2026 年和 2027 年的租賃風險。我們的租賃儲備仍然強勁，目前有超過 275,000 平方英尺的租賃合約處於積極談判或後期階段的提案中，其中一半以上為空置空間，其餘為計劃於 2025 年、2026 年和 2027 年到期的空間。

Beyond that, our pipeline continues to grow. And it is notable that in San Francisco, we have seen the number of tours and tenant proposals continue to accelerate this year. In the New York market, Midtown's leasing activity, excluding renewals, during the second quarter was 3.8 million square feet, 10% ahead of the five-year quarterly average.

除此之外，我們的產品線還在不斷擴大。值得注意的是，在舊金山，我們看到今年參觀和租戶提案的數量持續增加。在紐約市場，第二季中城的租賃活動（不包括續約）為 380 萬平方英尺，比五年季度平均值高出 10%。

The second quarter marked the seventh consecutive quarter leasing activity has outpaced the five-year quarterly average in Midtown. And when combined with the first quarter, resulted in the strongest first half of the year since 2018. Availability continues to decline, particularly in Midtown's core submarkets and net absorption remained positive for the fourth consecutive quarter.

第二季是中城區租賃活動連續第七個季度超過五年季度平均水準。與第一季相比，這是自 2018 年以來最強勁的上半年。供應量持續下降，尤其是在中城核心子市場，淨吸收量連續第四個季度保持正成長。

Robust leasing demand, coupled with conversions of select office buildings, limited new development and the ongoing reduction of sublease availability has resulted in a scarcity of high-quality availability in Midtown's premier buildings. We continue to gain momentum and expect the ongoing absorption of quality space in our submarkets to support improved deal economics moving forward.

強勁的租賃需求，加上部分辦公大樓的改建、有限的新開發案以及轉租供應的持續減少，導致中城優質辦公大樓的供應稀缺。我們將繼續獲得發展動力，並期望我們子市場中優質空間的持續吸收能夠支持未來交易經濟的改善。

The second quarter in New York was largely defined by the completion of 121,000 square foot new lease with the law firm Benesch at 1301 Avenue of the Americas. In addition, and subsequent to quarter end, we completed two significant transactions within our New York portfolio, neither of which are included in our pipeline. At 1301 Avenue of the Americas, we completed 136,000 square foot lease with Piper Sandler on two full base floors in the building that were previously vacant.

紐約第二季的主要特點是與 Benesch 律師事務所完成了位於美洲大道 1301 號的 121,000 平方英尺的新租約。此外，在季度末之後，我們在紐約投資組合中完成了兩筆重大交易，但這兩項交易均未包含在我們的計劃中。在美洲大道 1301 號，我們與 Piper Sandler 簽訂了 136,000 平方英尺的租賃協議，租賃範圍涵蓋該建築內之前空置的兩個完整底層。

At 31 West 52nd Second Street, we completed a 133,000 square foot lease with a professional service firm on a block of floors that were also previously vacant. We are proud to welcome both companies to Paramount portfolio. At quarter end, our New York portfolio was 88.1% leased on a same-store basis at share, up 70 basis points quarter-over-quarter. Our lease expiration profile in New York is manageable with approximately 141,500 square feet or 2.6% at share expiring by year-end.

在西 52 街 31 號，我們與一家專業服務公司簽訂了一份 133,000 平方英尺的租賃協議，該協議涵蓋了之前空置的幾層樓。我們非常榮幸地歡迎這兩家公司加入派拉蒙集團。截至本季末，我們紐約的投資組合以同店租金計算的租賃率為 88.1%，比上一季成長 70 個基點。我們在紐約的租賃到期情況是可控的，到年底約有 141,500 平方英尺或 2.6% 的份額到期。

Turning to San Francisco. Market-wide leasing activity continues to steadily improve as year-to-date leasing in San Francisco puts calendar year 2025 on pace to be the highest annual leasing total since 2019. While overall market conditions remain challenging, availability has started to decline, down 110 basis points quarter-over-quarter.

轉向舊金山。整個市場的租賃活動持續穩定改善，舊金山年初至今的租賃情況使 2025 年有望成為自 2019 年以來最高的年度租賃總額。儘管整體市場狀況依然嚴峻，但供應量已開始下降，季減 110 個基點。

San Francisco-based companies across a variety of industry have become increasingly engaged in reviewing their real estate strategy as evidenced by the increasing number of tours and proposals in our portfolio. This is particularly true of AI-based companies which have accounted for more than 55 deals or 800,000 square feet of leasing year-to-date and have become an increasingly large percentage of the tenants in the market profile.

總部位於舊金山的各行各業的公司越來越多地開始審查他們的房地產策略，我們投資組合中參觀和提案的數量不斷增加就證明了這一點。對於基於人工智慧的公司來說尤其如此，這些公司今年迄今已達成超過 55 筆交易或 80 萬平方英尺的租賃，並且在市場格局中佔據越來越大的比例。

These companies acknowledge the importance of the office and continue to raise significant venture capital funding. In fact, approximately 68% of the AI-based demand in San Francisco originated from companies that are new to the market further reinforcing San Francisco's growing importance as an AI hub.

這些公司認識到該辦公室的重要性，並繼續籌集大量風險投資資金。事實上，舊金山約 68% 的人工智慧需求來自新進入市場的公司，這進一步鞏固了舊金山作為人工智慧中心日益增長的重要性。

During the second quarter, we leased approximately 193,000 square feet to leading tech and financial service companies and law firms. We remain laser-focused on the continued backfill of the former Google space at One Market Plaza and the portion of the JPMorgan space at One Front Street that expires later this year.

第二季度，我們向領先的科技和金融服務公司以及律師事務所租賃了約 193,000 平方英尺的空間。我們仍將重點關注位於 One Market Plaza 的原始谷歌辦公空間以及位於 One Front Street 的摩根大通辦公空間（將於今年晚些時候到期）的繼續填補。

As previously mentioned, planning is underway to deliver exceptional amenities at both One Market Plaza and One Front Street. We intend to leverage our experience from the Paramount Club and are confident our amenity plan will resonate with existing tenants and prospective tenants alike.

如前所述，我們正在規劃在 One Market Plaza 和 One Front Street 提供卓越的設施。我們打算利用派拉蒙俱樂部的經驗，並相信我們的便利設施計劃將引起現有租戶和潛在租戶的共鳴。

At quarter end, our San Francisco portfolio was 75.1% leased on a same-store basis at share, down 720 basis points quarter-over-quarter, driven primarily by the known Google move out at One Market Plaza. Our lease expiration profile in San Francisco remains elevated with approximately 255,000 square feet or 19.7% at share expiring by year-end.

截至本季末，我們舊金山投資組合的同店出租率為 75.1%，比上一季下降 720 個基點，主要原因是谷歌撤出 One Market Plaza。我們在舊金山的租約到期情況仍然很高，到年底約有 255,000 平方英尺或 19.7% 的份額到期。

With that summary, I will turn the call over to Linda, who will discuss the financial results.

有了這份總結，我將把電話轉給琳達，她將討論財務結果。

Thank you, Peter, and good morning, everyone. Yesterday afternoon, we reported core FFO of $0.17 per share for the second quarter, exceeding Wall Street consensus estimates by $0.03. In the second quarter, we executed 14 leases totaling approximately 405,000 square feet with weighted average starting rents of $92 per square foot and an average lease term of 12.9 years.

謝謝你，彼得，大家早安。昨天下午，我們公佈了第二季核心營運現金流（FFO）為每股0.17美元，超出華爾街普遍預期0.03美元。第二季度，我們簽訂了14份租約，總面積約40.5萬平方英尺，加權平均起始租金為每平方英尺92美元，平均租期為12.9年。

Mark-to-market on the 205,000 square feet of second-generation space was down 5.4% on a cash basis and up 2.6% on a GAAP basis. At quarter end, the lease occupancy rate of our same-store portfolio at share was 85.4%, down 80 basis points from the first quarter. By market, New York increased 70 basis points to 88.1%, while San Francisco was down 720 basis points primarily due to the previously discussed scheduled lease expiration of Google at One Market Plaza.

205,000 平方英尺的第二代空間的市價以現金計算下降了 5.4%，以 GAAP 計算則上漲了 2.6%。截至季末，我們同店租賃入住率為 85.4%，較第一季下降 80 個基點。按市場劃分，紐約上漲 70 個基點至 88.1%，而舊金山下跌 720 個基點，主要原因是先前討論的谷歌在 One Market Plaza 的租約到期。

Given our strong year-to-date performance and the momentum we expect to maintain through the remainder of the year, we are raising guidance across several key metrics. First, we are increasing and narrowing our full year core FFO guidance to a range of $0.55 per share and $0.59 per share with a midpoint of $0.57 per share. This represents a $0.03 per share increase from prior guidance at the midpoint.

鑑於我們今年迄今為止的強勁表現以及我們預計在今年剩餘時間內保持的勢頭，我們正在提高幾個關鍵指標的指導。首先，我們將全年核心 FFO 指引上調並縮小至每股 0.55 美元至每股 0.59 美元的範圍，中間值為每股 0.57 美元。這意味著每股收益比先前中點預測上漲了 0.03 美元。

Second, we are raising our full year leasing guidance to a range of 1.2 million to 1.4 million square feet or 1.3 million square feet at the midpoint. This represents an increase of 300,000 square feet or 30% from our previous midpoint. Lastly, we are increasing our same-store lease occupancy guidance to a range of 86.9% and 88.9% with the midpoint of 87.9%. This represents a 250 basis points increase from our previous guidance and reflects the continued strength of our New York portfolio, where we are seeing sustained leasing velocity and the manageable lease exploration profile.

其次，我們將全年租賃指引範圍上調至 120 萬至 140 萬平方英尺，或中點上調至 130 萬平方英尺。這比我們之前的中點增加了 30 萬平方英尺或 30%。最後，我們將同店租賃入住率預期提高至 86.9% 至 88.9% 之間，中間值為 87.9%。這比我們先前的指導增加了 250 個基點，反映了我們紐約投資組合的持續強勁，我們看到了持續的租賃速度和可管理的租賃勘探狀況。

As we noted on prior calls, occupancy in New York has stabilized and is now in an upward trajectory. In contrast, we expect to see near-term softness in San Francisco driven by volume of upcoming lease expirations. That said, we remain confident in the long-term recovery of that market supported by improving tenant sentiment and early signs of stabilization.

正如我們在之前的電話會議中指出的那樣，紐約的入住率已經穩定下來，目前呈上升趨勢。相較之下，我們預計舊金山近期將因即將到期的租約數量而出現疲軟。儘管如此，在租戶情緒改善和早期穩定跡象的支持下，我們仍然對該市場的長期復甦充滿信心。

Turning to the balance sheet. We ended the quarter with approximately $534 million in cash and restricted cash improved in part by the partial equity sales completed earlier in the year. This strong liquidity position provides us with meaningful flexibility as we move forward.

轉向資產負債表。本季末，我們持有約 5.34 億美元的現金和受限現金，部分原因是今年稍早完成的部分股權出售。這種強大的流動性狀況為我們前進提供了有意義的靈活性。

Our total debt, excluding our noncore assets stands at $3.2 billion with a weighted average interest rate of 4.3% and a weighted average maturity of 2.4 years. Importantly, 73% of this debt is fixed at a weighted average rate of 3.5%, and our floating rate exposure is largely hedged, reducing our effective floating rate debt to less than 1% of the total.

我們的總債務（不包括非核心資產）為 32 億美元，加權平均利率為 4.3%，加權平均期限為 2.4 年。重要的是，其中 73% 的債務固定為 3.5% 的加權平均利率，而我們的浮動利率風險敞口大部分都已對沖，從而將我們的有效浮動利率債務降至總額的 1% 以下。

We have no core debt maturities until 2026 and our largest upcoming maturity, the $860 million loan on 1301 at the Americas is backed by high performing over 97% leased assets on a pro forma basis in a liquid and well-functioning debt market. We are on track to refinance the asset and look forward to sharing more on our next call.

我們的核心債務直到 2026 年才到期，而我們最大的一筆即將到期的債務，即美洲 1301 號的 8.6 億美元貸款，在流動性強且運作良好的債務市場中，以備考基礎計算，由超過 97% 的高績效租賃資產作為擔保。我們正在按計劃對資產進行再融資，並期待在下次電話會議上分享更多資訊。

As part of our ongoing capital strategy, we also completed the sale of a 25% equity interest in One Front Street during the quarter at a gross asset value of $255 million. The transaction included a $40.5 million in seller financing and generated $11.5 million in net proceeds. The transaction allowed us to bring in a partner to help reposition the asset and unlock long-term value.

作為我們正在進行的資本策略的一部分，我們也在本季完成了 One Front Street 25% 股權的出售，總資產價值為 2.55 億美元。該交易包括 4,050 萬美元的賣方融資，並產生 1,150 萬美元的淨收益。此次交易使我們能夠引入合作夥伴來幫助重新定位資產並釋放長期價值。

Finally, with respect to Market Center, one of our two noncore assets in San Francisco. We designated the property as noncore in early 2024 and have since worked closely with the lender to facilitate a resolution. That process is now complete. The property has been formally disposed of and both asset and its associated debt have been removed from our portfolio statistics.

最後，關於市場中心，這是我們在舊金山的兩個非核心資產之一。我們在 2024 年初將該資產指定為非核心資產，並從那時起與貸方密切合作以促成解決方案。該過程現已完成。該財產已被正式處置，資產及其相關債務已從我們的投資組合統計資料中刪除。

This outcome is fully aligned with our strategy to preserve balance sheet strength focusing on core assets and maintaining flexibility to pursue value-accretive opportunities. We remain disciplined in our capital allocation strategy with a clear focus on preserving liquidity, derisking the balance sheet and investing selectively within our portfolio.

這一結果完全符合我們的策略，即保持資產負債表實力，專注於核心資產，並保持靈活性以尋求增值機會。我們在資本配置策略上保持嚴謹，明確注重保持流動性、降低資產負債表風險、在投資組合中進行選擇性投資。

This includes targeted leasing capital, strategic redevelopment and high-impact enhancements also the potential addition of a Paramount Club in San Francisco, all aimed at driving long-term value. With strong liquidity, prudent asset level leverage and a high-quality portfolio, we are well positioned to execute on our priorities and remain agile as market conditions evolve. With that, operator, please open the line for questions.

這包括有針對性的租賃資本、策略性重建和高影響力的增強，以及在舊金山增設派拉蒙俱樂部的可能性，所有這些都旨在推動長期價值。憑藉強大的流動性、審慎的資產水準槓桿和高品質的投資組合，我們完全有能力執行我們的優先事項，並在市場條件變化時保持靈活性。接線員，請打開熱線來回答問題。

(Operator Instructions)

（操作員指示）

[Manas Abic], Evercore ISI.

[Manas Abic]，Evercore ISI。

Thanks for taking the question. Can we maybe talk a little bit about 1633 Broadway. I saw obviously, you had very great leasing in the quarter. I was just wondering what the tenant demand is for this specific building, how far you are along with covering maybe the Showtime Networks move out early next year. And what maybe the asking rents are that you asked for that specific building? Any color would be great.

感謝您回答這個問題。我們可以談談百老匯 1633 號嗎？我明顯看到，本季你們的租賃業務非常好。我只是想知道這棟特定建築的租戶需求如何，你們的報道進展如何，也許 Showtime Networks 會在明年年初搬走。那麼，您對該特定建築的租金要求是多少？任何顏色都很好。

Good morning, Manas. It's good to have you. 1633, we have active showings and the building, as you know, has been solidly leased for the last over 10 years. And the retail is performing well. We are having in the retail segment, the last store that getting built out for a nice Italian restaurant. And then it's fully leased. Din Tai Fung in the retail is doing fantastically.

早安，瑪納斯。很高興有你。 1633，我們有活躍的展示，而且如你所知，該建築在過去 10 多年裡一直保持著穩定的租賃狀態。零售業表現良好。我們在零售領域的最後一家商店正在為一家不錯的意大利餐廳建造。然後它就全部租出去了。鼎泰豐在零售業的表現非常出色。

It's apparently the highest grossing Din Tai Fung as we can hear in the group. And with regard to office, Peter is actively showing, and he will give you more details.

據我們所知，這顯然是該團體中票房最高的鼎泰豐。關於任職事宜，彼得正在積極表現，他將向大家提供更多細節。

Yes, [Manas], thanks for the question. So we are heavily focused on 1633 Broadway, slightly more than half of our lease roll in New York occurs at 1633 in 2025. Same applies to 2026 lease expiration. So we are contending with a little bit of lease roll. But as Albert mentioned, I think we did really very well procuring the retail mix that's now in place at the building.

是的，[Manas]，謝謝你的提問。因此，我們將重點放在百老匯 1633 號，到 2025 年，我們在紐約的租賃合約中，超過一半的合約發生在 1633 號。2026 年租約到期時同樣適用。因此，我們正在應對一些租賃費用。但正如阿爾伯特所提到的，我認為我們在採購目前大樓內的零售組合方面做得非常好。

The building shows really very well. Asking rents range from, call it, $70 to $90 per square foot and activity at the moment feels very good. We're trading paper on that Showtime block of floors specifically. And we recognize that it's one of a very few block -- one of very few spaces in New York of that size, of that quality, and that's part of the reason we have the type of demand that we have currently. So more to come from us with regard to 1633, but we generally feel very good about our prospects.

這棟建築確實看起來非常好。租金範圍從每平方英尺 70 美元到 90 美元不等，目前的活動感覺非常好。我們專門在 Showtime 樓層交易紙張。我們認識到，這是紐約為數不多的幾個具有這種規模和質量的空間之一，這也是我們目前有這種需求的原因之一。關於 1633，我們還有更多要說，但總體而言，我們對我們的前景感到非常樂觀。

Okay. Great. And we started, obviously, the concessions came in at around, I think, $200 a square foot for the average leasing activity that you did in the quarter. We were just wondering if this is kind of like where you think going forward, that's kind of like where the price is currently for deals to be made or if that was maybe like artificially high in the quarter, just kind of like a trajectory here on like the kind of like going forward second-gen capital spending would be interesting to hear.

好的。偉大的。顯然，我們開始時的優惠幅度約為每平方英尺 200 美元，這是針對本季進行的平均租賃活動的。我們只是想知道這是否有點像您對未來的看法，這有點像目前交易的價格，或者這是否可能是本季度人為抬高的價格，就像這裡的軌跡一樣，未來的第二代資本支出將會很有趣。

Are you referring to San Francisco, Manas?

您指的是舊金山嗎，瑪納斯？

I mean kind of broad across, but you can also divvy up to San Francisco, New York.

我的意思是範圍很廣，但你也可以分割到舊金山、紐約。

Yes. So in New York, we've said this now several -- for several quarters, concessions have certainly stabilized we expect net effective rent in New York to increase going forward, starting with the rental rate appreciation and then followed by, we think concessions starting to come in a little bit as the market continues to tighten. San Francisco TIs are varied.

是的。因此，在紐約，我們已經說過幾個季度了，優惠肯定已經穩定下來，我們預計紐約的淨有效租金未來將會增加，首先是租金上漲，然後，我們認為，隨著市場繼續收緊，優惠將開始增加。舊金山的 TI 多種多樣。

But if you look at our portfolio, TI as a percentage of initial rent went down in the second quarter as compared to the previous two quarters. And that was partly a function of New York coming down a little bit. But I think what you're probably referring to is San Francisco being elevated to some extent.

但如果你看一下我們的投資組合，你會發現第二季 TI 佔初始租金的百分比與前兩季相比有所下降。這在一定程度上是由於紐約的銷量略有下降。但我認為你可能指的是舊金山在某種程度上被提升了。

And what we would say about that is that activity in San Francisco is revving up. The market continues to define itself. We did complete several long-term deals with terrific companies and law firms in the second quarter. We gave a little bit more in TI to secure those long-term transactions to secure occupancy in two buildings that we have two known move-outs in the current year and also to stoke momentum. And we think we've achieved that.

我們要說的是，舊金山的活動正在加速。市場繼續自我定義。我們確實在第二季度與幾家優秀的公司和律師事務所完成了幾項長期交易。我們在 TI 中投入了更多資金，以確保這些長期交易，確保兩棟建築的入住率，我們今年已知有兩棟建築搬出，同時也激發了發展勢頭。我們認為我們已經實現了這個目標。

We have a number of proposals at both One Front Street and One Market. When we look at our pipeline, it's becoming increasingly balanced between activity in both New York and San Francisco. And so that was some commentary around what I think you're asking about.

我們在 One Front Street 和 One Market 都提出了多項提案。當我們審視我們的管道時，我們發現紐約和舊金山的活動變得越來越平衡。這就是我認為你所問的問題的一些評論。

Perfect, thank you.

非常好，謝謝。

Blaine Heck, Wells Fargo.

布萊恩·赫克，富國銀行。

Hey, thanks. Good morning. So I appreciate your commentary and transparency on the '25 and '26 large move outs, especially in the presentation, very helpful. You talked about Showtime, but I was hoping you could provide some commentary on any incoming interest on the other specific spaces you laid out, also including whether you'll be implementing any large-scale renovations on these spaces? And any color on the potential time line for those being ready to take on new leasing?

嘿，謝謝。早安.因此，我很欣賞您對 25 年和 26 年大規模搬遷的評論和透明度，特別是在演示中，非常有幫助。您談到了 Showtime，但我希望您能對您佈置的其他特定空間的任何新興趣提供一些評論，包括您是否會對這些空間實施任何大規模的翻新？對於那些準備接受新租賃的人來說，有什麼潛在的時間表嗎？

Yes. So Blaine, this is Peter. Thanks for the question. Big move-outs. So in 2025, the largest known move-out is Charter at 1633 Broadway and then you referenced Showtime, which is also at 1633 Broadway in 2026.

是的。布萊恩，這是彼得。謝謝你的提問。大規模搬遷。因此，到 2025 年，已知最大的遷出劇院是位於百老匯 1633 號的 Charter，然後您提到的 Showtime 劇院也將於 2026 年遷至百老匯 1633 號。

We are making some improvements to improve the ground floor experience at 1633 Broadway that we think has certainly resonated with prospective tenants. But as I mentioned, when Manas asked the question, the lion's share or at least more than 50% in 2025 and again in 2026 of our lease expirations in New York will occur at 1633 Broadway.

我們正在進行一些改進，以改善百老匯 1633 號底層的體驗，我們認為這肯定會引起潛在租戶的共鳴。但正如我在馬納斯提問時提到的那樣，我們在紐約的租約到期的大部分或至少超過 50% 將在 2025 年和 2026 年發生在百老匯 1633 號。

And so we do have opportunities. We are active with a number of prospects. I think you've seen the way in which we've executed elsewhere in the New York portfolio. More broadly, the demand in Midtown just continues to accelerate. It feels really very strong, and we think 1633 will be the beneficiary of that before too long.

所以我們確實有機會。我們積極地尋找眾多潛在客戶。我想您已經看到了我們在紐約投資組合中其他地方的執行方式。更廣泛地說，中城區的需求持續加速成長。這種感覺確實非常強烈，我們認為 1633 很快就會從中受益。

Okay. That's helpful, Peter. Albert, I was hoping you could comment on the political situation in New York. There was a pretty clear negative initial reaction to the Democratic primary results, but it seems as though the leasing commentary on this call has remained generally positive.

好的。這很有幫助，彼得。阿爾伯特，我希望你能評論一下紐約的政治局勢。人們對民主黨初選結果的最初反應明顯是負面的，但似乎租賃方面對這一呼籲的評論總體上仍然積極。

So wanted to get your thoughts on any potential headwinds that could come from the results of the mayoral race and whether you've seen any signs of hesitation from prospective tenants to sign significant leases driven specifically by concern around those potential changes at city hub?

所以想聽聽您對市長競選結果可能帶來的任何潛在阻力的看法，以及您是否看到任何跡象表明潛在租戶猶豫是否簽署重大租約，特別是由於擔心城市中心的潛在變化？

Blaine, we have been through -- Paramount is in existence since over 40 years, and we have worked with all the administrations that New York had and there is a lot of discussion about it always before the mayoral race, and we are willing to work with whatever comes at us. And we haven't realized any kind of hesitation with regard to making long-term leases or staying in the city.

布萊恩，派拉蒙公司已經成立 40 多年了，我們與紐約歷屆政府都有過合作，在市長競選之前總會有很多討論，我們願意接受任何挑戰。我們還沒有發現對於長期租賃或留在城市有任何猶豫。

Okay. Great. That's helpful. And sticking with you, Albert, I understand you're hesitant to provide commentary on the progress made on the strategic review before it's kind of finalized and likely also the investigation into internal controls. But I was hoping you might be able to comment on whether the SEC investigation has any impact on the strategic review from a timing perspective or otherwise?

好的。偉大的。這很有幫助。阿爾伯特，我堅持你的觀點，我知道在戰略評估尚未最終確定之前，你不願意對戰略評估的進展發表評論，而且很可能也不願意對內部控制調查發表評論。但我希望您能評論一下美國證券交易委員會的調查是否從時間角度或其他角度對戰略審查產生影響？

Blaine, the facts with regard to the SEC inquiry is all laid out in the 10-Q. It's reviewing certain historical disclosures I don't expect that this has any significant impact at all to the strategic review.

布萊恩，有關美國證券交易委員會調查的事實均已在 10-Q 表中列出。它正在審查某些歷史披露，我認為這不會對戰略審查產生任何重大影響。

Great. I appreciate that.

偉大的。我很感激。

You're welcome.

不客氣。

Tom Catherwood, BTIG.

湯姆·卡瑟伍德，BT​​IG。

Good morning, everybody. Maybe starting with Albert or Peter, some of your peers have noted that San Francisco office leasing outside of AI tenants has been primarily exploration-driven as tenants look for refreshed space. Has that been your experience? And if so, how are you adjusting your leasing strategy to capture this demand?

大家早安。也許從艾伯特或彼得開始，你們的一些同行已經注意到，舊金山除人工智慧租戶之外的辦公室租賃主要是探索驅動的，因為租戶正在尋找更新的空間。這是你的經驗嗎？如果是的話，您如何調整租賃策略來滿足這項需求？

Thanks for the question, Tom. San Francisco, in general, I would say, has really picked up across the board. It's very refreshing to see how the new city administration is securing -- I mean, building up security, cleaning up the city and working with commerce and being really positive towards business.

謝謝你的提問，湯姆。我想說，總體而言，舊金山確實全面復甦了。看到新市政府如何確保安全，清理城市，與商業合作並對商業採取積極態度，這令人耳目一新。

And I think that has created the tremendous increase in demand and viewings and lease transactions. And our portfolio will be the beneficiary of it. We are in prime locations as you know, in San Francisco and Peter will give some more details on it with regard to tenancy. But we see activity across the board, not just AI, we see activity in legal and finance.

我認為這導致了需求、瀏覽量和租賃交易量的大幅成長。我們的投資組合將從中受益。如您所知，我們位於舊金山的黃金地段，彼得將提供有關租賃的更多詳細資訊。但我們看到了全方位的活動，不僅是人工智慧，我們還看到了法律和金融領域的活動。

And it's really refreshing and positive to see that after the last couple of years, especially since the pandemic, I think San Francisco was very hard hit and you know the vacancy and -- but the city has the ability -- first of all, it's relatively square footage-wise, a smaller market than New York significantly smaller, maybe 20% of it. And it turns around very quickly. And so I'm optimistic about San Francisco.

看到這一點真的令人耳目一新，也很積極，過去幾年，尤其是疫情爆發以來，我認為舊金山受到了嚴重的打擊，你知道空置率很高，但這座城市有能力——首先，從面積上看，它的市場比紐約小得多，可能只佔 20%。而且它轉得非常快。因此我對舊金山持樂觀態度。

Yes, Tom, we are seeing quite a bit of relocation opportunities, which is really very encouraging. And to Albert's point, it's not just AI, while that's a really encouraging component of this market. We, in the most recent quarter, transacted with tech, law firms, two law firms, financial services.

是的，湯姆，我們看到了相當多的搬遷機會，這確實非常令人鼓舞。正如阿爾伯特所說，這不僅僅是人工智慧，儘管它是這個市場的一個真正令人鼓舞的組成部分。最近一個季度，我們與科技公司、律師事務所、兩家律師事務所和金融服務公司進行了交易。

So we're seeing a real nice diverse range of industry activating in this market out looking for space, considering their real estate moving forward. And so we think that's really very encouraging, not to mention these tenants are willing to enter into long-term deals as reflected in our own metrics. So we think it's really very encouraging.

因此，我們看到各種各樣的行業在這個市場上活躍起來，尋找空間，並考慮房地產的發展。因此，我們認為這確實非常令人鼓舞，更不用說這些租戶願意達成長期交易，正如我們自己的指標所反映的那樣。所以我們認為這確實非常令人鼓舞。

I can say in the last four to six weeks, the number of tours and proposals has increased significantly. And as we look at our pipeline beyond what we have defined as sort of leases out or advanced stage, it's becoming increasingly balanced between New York and San Francisco in terms of proposals that we're aiming to advance and so forth and so on.

我可以說，在過去的四到六週內，參觀和求婚的數量顯著增加。當我們審視我們的管道時，除了我們所定義的租賃或高級階段之外，在我們旨在推進的提案等方面，紐約和舊金山之間的平衡越來越強。

So San Francisco is beginning to heal. Availability was down 110 basis points quarter-over-quarter. There are certain data points that suggest things are really starting to percolate. But just as it relates to the experience we're having in the field, we are very active and things seem to be turning, which is encouraging.

舊金山正開始復甦。供應量較上月下降 110 個基點。一些數據點表明事情確實開始滲透。但正如我們在該領域的經驗一樣，我們非常活躍，事情似乎正在轉變，這是令人鼓舞的。

Got it. Appreciate those thoughts. And then, Peter, looking back to New York, given that leased occupancy and a few of your Midtown assets is now well into the 90s. Where are you pushing rent? And are there buildings where you've started to test lower concession offerings? Or is that part still a ways off?

知道了。感謝這些想法。然後，彼得，回顧紐約，考慮到租賃入住率和您的部分中城資產現已進入 90 年代。你要把租金推到哪裡去？您是否已經開始在哪些建築物中測試較低優惠政策？或者說這部分還有很長的路要走？

Yes. So it's interesting. Of the 38 million, 39 million square feet of availability in Midtown, 80% of it is concentrated on floors 24 and below. And so I think it's a byproduct of the flight-to-quality phenomenon that we've experienced. In other words, there's just a real scarcity of high-quality upper floor type product. And we are exercising pricing power in every instance, just about in our Midtown portfolio and starting to push rents. That will be the first, I think, component that drives net effective rents upward.

是的。所以這很有趣。中城的可用面積為 3,800 萬至 3,900 萬平方英尺，其中 80% 集中在 24 樓及以下。所以我認為這是我們所經歷的品質飛躍現象的副產品。換句話說，高品質的上層樓面產品確實稀缺。我們在每一個案例中都行使定價權，幾乎在我們中城投資組合中都開始推高租金。我認為，這將是推動淨有效租金上漲的第一個因素。

In terms of concessions, they have remained fairly flat. Our expectation is that maybe free rent comes in a little bit followed by TI. But whatever the case, they have remained fairly flat, but we certainly are identifying in buildings that are now well leased when and where we have an opportunity to start to sort of leverage our high occupancy to improve the overall economics of these deals. But suffice it to say, when and where we have availability on upper floors, we are really starting to push in all of our Midtown properties.

就讓步而言，它們保持相當平穩。我們的預期是，TI 之後可能會有一點免費租金。但無論如何，它們一直保持相當平穩，但我們肯定會在現在租賃良好的建築物中確定何時何地我們有機會開始利用我們的高入住率來改善這些交易的整體經濟效益。但可以肯定地說，只要我們在較高樓層有空房，我們就會開始大力推廣我們所有的中城房產。

Got it. I appreciate the answers. Thanks everyone.

知道了。我很感謝大家的回答。謝謝大家。

Thank you, Tom.

謝謝你，湯姆。

Thank you, ladies and gentlemen, as there are no further questions, I would now like to hand the conference over to Albert Behler, Chairman, Chief Executive Officer and President for the closing comments.

謝謝各位，女士們、先生們，由於沒有其他問題，我現在想將會議交給董事長、執行長兼總裁 Albert Behler 作最後發言。

Thank you all for joining us today. We'll be speaking again when we report third quarter results. Goodbye.

感謝大家今天的參與。當我們報告第三季業績時，我們會再次談論此事。再見。

Thank you. Ladies and gentlemen, that brings us to the end of the call. You may now disconnect your lines. Thank you.

謝謝。女士們、先生們，本次通話到此結束。現在您可以斷開線路了。謝謝。