Retail Opportunity Investments Corp (ROIC) 2023 Q2 法說會逐字稿

Welcome to the Retail Opportunity Investments Second Quarter 2023 Conference Call. Participants are currently in a listen-only mode. Following the company's prepared remarks, the call will be open for questions. Now I'd like to introduce Lauren Silveira, the company's Chief Accounting Officer.

歡迎參加 2023 年第二季度零售機會投資電話會議。參與者當前處於僅監聽模式。在該公司準備好講話後，電話會議將接受提問。現在我想介紹一下公司的首席會計官Lauren Silveira。

Thank you. Before we begin, please note that certain matters which we will discuss on today's call are forward-looking statements within the meaning of federal securities laws. These forward-looking statements involve risks and other factors, which can cause actual results to differ significantly from future results that are expressed or implied by such forward-looking statements.

謝謝。在開始之前，請注意，我們將在今天的電話會議上討論的某些事項是聯邦證券法含義內的前瞻性陳述。這些前瞻性陳述涉及風險和其他因素，可能導致實際結果與此類前瞻性陳述明示或暗示的未來結果存在顯著差異。

Participants should refer to the company's filings with the SEC, including our most recent annual report on Form 10-K, to learn more about these risks and other factors.

參與者應參閱公司向 SEC 提交的文件，包括我們最新的 10-K 表格年度報告，以了解有關這些風險和其他因素的更多信息。

In addition, we will be discussing certain non-GAAP financial results on today's call. Reconciliation of these non-GAAP financial results to GAAP results can be found in the company's quarterly supplemental, which is posted on our website. Now I'll turn the call over to Stuart Tanz, the company's Chief Executive Officer. Stuart?

此外，我們將在今天的電話會議上討論某些非公認會計準則財務業績。這些非 GAAP 財務業績與 GAAP 業績的對賬可以在我們網站上發布的公司季度補充資料中找到。現在我將把電話轉給公司首席執行官 Stuart Tanz。斯圖爾特？

Thank you, Lauren, and good day, everyone. Here with Lauren and me today is Michael Haines, our Chief Financial Officer; and Rich Schoebel, our Chief Operating Officer. We are pleased to report that our grocery-anchored portfolio continues to perform well. Demand for space continues to be strong, coming from a growing broad range of necessity, service and destination tenants, all of which continue to seek out our grocery-anchored shopping centers.

謝謝你，勞倫，大家好。今天與勞倫和我在一起的是我們的首席財務官邁克爾·海恩斯 (Michael Haines)；和我們的首席運營官 Rich Schoebel。我們很高興地報告，我們以雜貨為主的產品組合繼續表現良好。對空間的需求持續強勁，來自越來越多的必需品、服務和目的地租戶，所有這些租戶都在繼續尋找我們以雜貨為主的購物中心。

Capitalizing on the demand and building on our record leasing activity in the first quarter, during the second quarter, we again posted a record amount of leasing. In fact, in just the first 6 months alone, we've already leased approximately 1 million square feet of space, which is a new record for the company.

利用需求並在第一季度創紀錄的租賃活動的基礎上，第二季度我們再次創下了創紀錄的租賃量。事實上，僅在前 6 個月，我們就已經租賃了大約 100 萬平方英尺的空間，這是公司的新紀錄。

For reference, at the start of the year, we had [859,000] square feet scheduled to mature during all of 2023. The fact that we've already surpassed that amount at midyear speaks to the success of our long-standing hands-on approach and the fundamental appeal of our grocery-anchored shopping centers.

作為參考，今年年初，我們計劃在 2023 年全年成熟 [859,000] 平方英尺。事實上，我們在年中已經超過了這個數字，這說明我們長期實踐方法的成功以及我們以雜貨為主的購物中心的根本吸引力。

Additionally, not only are we capitalizing on the demand to lease a record amount of space, we are also capitalizing on the demand to drive rents higher and to enhance the tenant mix at each of our centers. Importantly, our overriding objective is to continue enhancing the long-term competitive position of our portfolio and the long-term strength and stability of our portfolio's income stream and bottom line cash flow.

此外，我們不僅利用租賃創紀錄空間的需求，還利用需求推高租金並增強每個中心的租戶組合。重要的是，我們的首要目標是繼續增強我們投資組合的長期競爭地位以及我們投資組合收入流和底線現金流的長期實力和穩定性。

With respect to dispositions, we are currently on track to close in the third quarter, the property sale that we discussed on our last call. We are also currently planning to bring to market for sale in the second half of 2023 our 2 infill undeveloped land parcels in the San Francisco Bay Area that are slated for multifamily development. Altogether, we expect that the 3 dispositions could generate between $30 million and $40 million of proceeds in total.

關於處置，我們目前有望在第三季度完成我們在上次電話會議中討論的房產出售。我們目前還計劃於 2023 年下半年將位於舊金山灣區的 2 塊未開發地塊推向市場出售，這些地塊將用於多戶住宅開發。總的來說，我們預計這 3 項處置總共可產生 3000 萬至 4000 萬美元的收益。

In terms of acquisitions, during the first half of 2023, the broader market on the West Coast was relatively quiet as the market digested the impact from the increase in interest rates over the past year and the recent banking turmoil.

收購方面，2023年上半年，西海岸大盤相對平靜，市場消化了過去一年加息和近期銀行業動蕩的影響。

For the few transactions that did close involving sought-after stable grocery-anchored properties, pricing was in the high 5, low 6% range, driven in part by being all cash, no leverage transactions, typically with buyers that are passive institutional investors focused on long-term stability.

對於少數涉及受追捧的穩定的雜貨店錨定物業的交易來說，定價在高5% 和低6% 的範圍內，部分原因是全現金、無槓桿交易，通常是針對被動機構投資者的買家關於長期穩定性。

We're starting to see signs of the market potentially picking back up as there's been a bit of an increase here recently in the number of properties being brought to market, which will hopefully bring greater clarity in terms of pricing shifts. As it relates to off-market opportunities, we continue to be proactively engaged in seeking out transactions.

我們開始看到市場可能回暖的跡象，因為最近上市的房產數量有所增加，這有望使價格變化更加清晰。由於它涉及場外機會，我們將繼續積極尋找交易。

We currently have several interesting opportunities in the pipeline that we believe have significant long-term embedded growth. However, we're not there yet with the private owners in terms of initial yield pricing. So it's a bit too early to discuss specifics.

我們目前正在醞釀一些有趣的機會，我們相信這些機會具有顯著的長期嵌入增長。然而，就初始收益率定價而言，我們尚未與私人所有者達成共識。所以現在討論具體細節還為時過早。

Additionally, we continue to get a number of inquiries regarding potential OP unit transactions, which we are exploring as well. Now I'll turn the call over to Michael Haines to take you through our financial results. Mike?

此外，我們繼續收到許多有關潛在 OP 單位交易的詢問，我們也在探索這些問題。現在我將把電話轉給邁克爾·海恩斯，向您介紹我們的財務業績。麥克風？

Thanks, Stuart. For the 3 months ended June 30, 2023, the company had $82 million in total revenues and $28 million in operating income. For the first 6 months of 2023, the company had $161 million in total revenues and approximately $54 million in operating income. On a same-center cash basis, net operating income for the second quarter of 2023 increased 3.2% and increased 1.3% for the first 6 months. We continue to be on track to achieve same-center NOI growth for the full year that's within our guidance range.

謝謝，斯圖爾特。截至2023年6月30日的三個月，該公司的總收入為8200萬美元，營業收入為2800萬美元。 2023 年前 6 個月，該公司總收入為 1.61 億美元，營業收入約為 5400 萬美元。按同中心​​現金計算，2023年第二季度淨營業收入增長3.2%，前6個月增長1.3%。我們繼續有望實現全年同中心 NOI 增長，且在我們的指導範圍內。

GAAP net income attributable to common shareholders totaled $9.9 million for the second quarter of 2023, equating to $0.08 per diluted share. For the first 6 months of 2023, GAAP net income was $18.1 million or $0.14 per diluted share. Funds from operations for the second quarter of 2023 totaled $35.6 million, equating to $0.27 per diluted share. For the first 6 months of 2023, FFO totaled $69.4 million or $0.52 per diluted share.

2023 年第二季度 GAAP 歸屬於普通股股東的淨利潤總計 990 萬美元，相當於稀釋後每股收益 0.08 美元。 2023 年前 6 個月，GAAP 淨利潤為 1,810 萬美元，或稀釋後每股收益 0.14 美元。 2023 年第二季度的運營資金總額為 3560 萬美元，相當於稀釋後每股 0.27 美元。 2023 年前 6 個月，FFO 總額為 6,940 萬美元，或稀釋後每股 0.52 美元。

Turning to our balance sheet. As we reported on our last call, during the first half of 2023, we entered into swap agreements, fixing the interest rate on $150 million of our $300 million term loan, locking in the rate of 5.4% through August of 2024.

轉向我們的資產負債表。正如我們在上次電話會議中所報導的那樣，在 2023 年上半年，我們簽訂了掉期協議，將 3 億美元定期貸款中的 1.5 億美元的利率固定為 5.4%，直至 2024 年 8 月。

Taking into account the swaps at June 30, approximately 85% of our debt outstanding was fixed rate. Additionally, today, 96% of our total debt is unsecured and 97% of our total GLA is unencumbered. And in terms of net debt, we continue to focus on steadily lowering our ratio. So the second quarter, the ratio was 6.5x.

考慮到 6 月 30 日的掉期，我們的未償債務中約 85% 是固定利率的。此外，如今，我們總債務的 96% 是無擔保的，GLA 總額的 97% 是無負擔的。在淨債務方面，我們繼續致力於穩步降低比率。所以第二季度的比率是 6.5 倍。

With respect to the $250 million of senior notes that mature in December, our objective is to refinance the bonds through a long-term public bond offering, potentially a $400 million offering to also refinance $150 million of our term loan. However, in light of current market conditions, to be prudent, we are also evaluating several other refinancing strategies, including possibly a combination of medium and long-term public bonds or possible via private placement.

對於 12 月到期的 2.5 億美元優先票據，我們的目標是通過長期公開債券發行為債券再融資，可能發行 4 億美元，同時為我們的 1.5 億美元定期貸款再融資。不過，鑑於目前的市場狀況，為了謹慎起見，我們也在評估其他幾種再融資策略，包括可能結合中長期公債或可能通過私募的方式。

We're also considering utilizing some secured debt along with disposition proceeds and possibly some equity market conditions permitting to further lower our net debt ratio down in connection with the refinancing.

我們還在考慮利用一些擔保債務以及處置收益，並可能利用一些股票市場條件，進一步降低與再融資相關的淨債務比率。

Additionally, we're also considering utilizing prepayable, shorter-term unsecured debt in order to provide flexibility for the market conditions to become more settled. Now I'll turn the call over to Rich Schoebel, our COO, to discuss property operations. Rich?

此外，我們還考慮利用可預付的短期無擔保債務，以便為市場條件變得更加穩定提供靈活性。現在我將把電話轉給我們的首席運營官 Rich Schoebel，討論房地產運營事宜。富有的？

Thanks, Mike. As Stuart highlighted, demand for space across our portfolio is strong, coming from a broad range of both existing and prospective tenants. Leading the charge are destination tenants, most notably new health and wellness concepts that continue to expand on the West Coast, along with new children enrichment centers and a continuation of new quick-serve food concepts coming to market.

謝謝，邁克。正如 Stuart 所強調的那樣，我們的投資組合中的空間需求強勁，來自廣泛的現有和潛在租戶。引領潮流的是目的地租戶，最引人注目的是在西海岸繼續擴張的新健康和保健概念，以及新的兒童豐富中心和不斷上市的新快餐概念。

Additionally, traditional full-service restaurants continue to open multiple stand-alone smaller format to-go concepts, capitalizing on their established brand and following. These to-go concepts are borne out of necessity during the pandemic and since then have been steadily growing in popularity so much so that they could become over time a mainstream in-line tenant.

此外，傳統的全方位服務餐廳利用其已建立的品牌和追隨者，繼續開設多個獨立的小型外賣概念。這些外賣概念是在大流行期間出於必要而得到證實的，從那時起，它們一直在穩步增長，以至於隨著時間的推移，它們可能成為主流的排隊租戶。

We're also seeing neighborhood destination service tenants that were among the hardest hit during the pandemic and have been slow to rebound, now coming back strongly, again, seeking space in earnest across our portfolio. While these tenants typically have modest space requirements, they play an integral role as one of our core necessity and service-based tenants that draw daily neighborhood consumers to our centers.

我們還看到，在大流行期間受打擊最嚴重且反彈緩慢的鄰里目的地服務租戶現在再次強勁回歸，在我們的投資組合中認真尋求空間。雖然這些租戶通常對空間要求不大，但他們作為我們的核心必需品和服務型租戶之一發揮著不可或缺的作用，吸引了日常社區消費者來到我們的中心。

Additionally, they are flexible in terms of their space needs and configuration, so they are ideal for leasing that last bit of available space. From our perspective, we view these service tenants becoming active again, specifically seeking out space at grocery-anchored centers as an important positive trend.

此外，它們的空間需求和配置非常靈活，因此非常適合租賃最後一點可用空間。從我們的角度來看，我們認為這些服務租戶再次變得活躍，特別是在雜貨中心尋找空間，這是一個重要的積極趨勢。

Turning to our specific leasing results. As Stuart highlighted, we again posted a strong quarter. In terms of our overall portfolio lease rate during the second quarter, we maintained our high lease rate of 98.3%. Leading the way was our Portland portfolio, where 16 out of our 18 shopping centers in the Portland market stood at a full 100% leased at June 30, with the remaining 2 properties both at 99% leased.

轉向我們的具體租賃結果。正如斯圖爾特強調的那樣，我們再次發布了強勁的季度業績。從第二季度的整體組合租賃率來看，我們維持了98.3%的高租賃率。領先的是我們的波特蘭投資組合，截至6 月30 日，我們在波特蘭市場的18 個購物中心中有16 個購物中心的出租率為100%，其餘2 個物業的出租率為99 %。

And portfolio-wide, we also set a new record during the second quarter with 48 of our shopping centers being 100% leased. Additionally, our anchor space continues to be 100% leased. And as of June 30, our shop space stood at 96% leased.

在整個投資組合範圍內，我們在第二季度還創下了新紀錄，48 個購物中心的出租率為 100%。此外，我們的主力空間仍然 100% 出租。截至 6 月 30 日，我們的店鋪空間出租率為 96%。

With respect to our leasing activity during the second quarter, we leased 430,000 square feet of space, which is a new second quarter record for the company. Taking in our second quarter leasing activity together with our record leasing volume in the first quarter, for the first 6 months of 2023, we leased 989,000 square feet of space in total, again, setting a new record, and as Stuart highlighted, already surpassing what was originally scheduled to mature during the entire year.

至於第二季度的租賃活動，我們租賃了 430,000 平方英尺的空間，這是公司第二季度的新紀錄。考慮到我們第二季度的租賃活動以及第一季度創紀錄的租賃量，2023 年前 6 個月，我們總共租賃了 989,000 平方英尺的空間，再次創下新紀錄，正如斯圖爾特強調的那樣，已經超過原計劃在全年內成熟。

The bulk of our leasing activity continues to center around tenant renewals. In fact, During the second quarter, 79% of the square footage that we leased involved renewing value tenants, which was split roughly equally between anchor and nonanchor renewals.

我們的大部分租賃活動仍然以租戶續約為中心。事實上，在第二季度，我們租賃的 79% 的面積涉及更新價值租戶，其中錨定租戶和非錨定租戶的續約比例大致相等。

In terms of anchor renewals, during the second quarter, one of our long-standing national supermarket anchors approached us about wanting to not only extend the lease of theirs that was maturing later this year, but also wanting to explore possibly extending all of their leases in our portfolio.

在主力續約方面，第二季度，我們的一位長期擔任全國超市主力的人找到我們，不僅希望延長今年晚些時候到期的租約，而且還想探討是否可能延長所有的租約在我們的投資組合中。

We capitalized on the opportunity and successfully extended their leases out for another 8 years on average, while also increasing the overall base rent, notwithstanding some of their leases previously having flat renewal options. And we were also successful in removing property leasing restrictions.

我們利用這個機會，成功地將他們的租約平均延長了 8 年，同時還提高了整體基本租金，儘管他們的一些租約之前有續租選擇。我們還成功取消了房產租賃限制。

In short, the transaction enhances the long-term stability of each of the centers and enhances our flexibility to maneuver and optimize the tenant mix, going forward. Additionally, there were no TIs required on our part.

簡而言之，此次交易增強了每個中心的長期穩定性，並增強了我們未來機動和優化租戶組合的靈活性。此外，我們不需要 TI。

With respect to our non-anchor renewals, during the second quarter, we renewed 78 valued in-line tenants, achieving a 7% increase in cash base rent and again with essentially no TIs required on our part.

關於我們的非主力續約，在第二季度，我們續約了 78 個有價值的內線租戶，現金基本租金增加了 7%，而且我們基本上不需要 TI。

In terms of new leasing activity, during the second quarter, we signed 45 new leases, including 44 new in-line tenants, achieving a 13% increase in same pace base rent on average, and we signed one 18,000 square-foot anchor lease, where we achieved 127% increase in base rent. The new anchor tenant is an established national seasonal tenant that we signed on a short-term interim basis.

在新租賃活動方面，第二季度我們簽署了 45 個新租約，其中包括 44 個新入駐租戶，基本租金平均增長 13%，並簽署了 1 個 18,000 平方英尺的主力租約，我們的基本租金增長了127%。新的主力租戶是我們在短期臨時基礎上簽署的既定的全國季節性租戶。

We currently have a new long-term lease lined up with a national destination tenant to take the space following the seasonal interim tenant, and the new long-term lease has an initial base ramp that also represents a substantial increase over the maturing lease.

目前，我們與國內目的地租戶簽訂了一項新的長期租約，以在季節性臨時租戶之後佔用空間，並且新的長期租約具有初始基礎坡道，這也意味著比到期租約大幅增加。

Lastly, we continue to have good success in getting new tenants open and operating. During the second quarter, new tenants representing $1.9 million of incremental base rent on a cash basis, open and commenced paying rent. Together with the new tenants that opened during the first quarter, year-to-date, new tenants representing $4.1 million of incremental rent have opened and commenced paying rent.

最後，我們在吸引新租戶開業和運營方面繼續取得良好成功。第二季度，新租戶以現金方式增加基本租金 190 萬美元，開放並開始支付租金。加上第一季度開業的新租戶，今年迄今已有 410 萬美元增量租金的新租戶開業並開始支付租金。

In terms of new tenants that haven't yet opened, including those that we signed during the second quarter, as of June 30, the incremental amount stood at $7.2 million, the bulk of which we expect to commence as we move through the second half of the year. Now I'll turn the call back over to Stuart.

就尚未開業的新租戶而言，包括我們在第二季度簽署的租戶，截至 6 月 30 日，增量金額為 720 萬美元，其中大部分預計將在下半年開始實施今年的。現在我將把電話轉回斯圖爾特。

Thanks, Rich. Based on our results year-to-date and what we see on the horizon for the second half of the year, we continue to be on track in terms of our FFO guidance. Putting aside any acquisition activity, just based on our current leasing pipeline alone, should put us squarely within our guidance range.

謝謝，里奇。根據我們今年迄今的業績以及我們對下半年的預期，我們在 FFO 指導方面繼續走上正軌。拋開任何收購活動，僅根據我們目前的租賃渠道，我們應該完全處於我們的指導範圍之內。

Underscoring the consistently strong property operations and leasing results quarter after quarter, year after year is our proactive approach of constantly working to enhance our portfolio and tenant base.

我們不斷努力增強我們的投資組合和租戶基礎，強調季復一季、年復一年持續強勁的房地產運營和租賃業績。

Additionally, while parts of the commercial real estate industry are facing mounting issues, in distinct contrast, the long-term drivers of the grocery-anchored shopping center sector are not only fundamentally sound today, but as more and more diverse tenants and emerging concepts steadily gravitate the grocery-anchored shopping centers, we believe the sector in our portfolio specifically is well positioned to continue generating stable risk-adjusted returns long into the future.

此外，雖然部分商業房地產行業面臨著越來越多的問題，但與此形成鮮明對比的是，以雜貨為主的購物中心行業的長期驅動力不僅在今天基本面良好，而且隨著越來越多的多樣化租戶和新興概念的穩步發展由於受到雜貨店為主的購物中心的青睞，我們相信我們投資組合中的該行業處於有利位置，能夠在未來很長一段時間內繼續產生穩定的風險調整回報。

Lastly, we recently issued our fourth annual ESG report, which details our accomplishments over the past year. We are continuing to make steady, measurable progress at enhancing the long-term stability of our portfolio, along with continuing to implement long-standing employee advancement and community engagement programs. Now we'll open up the call for your questions. Operator?

最後，我們最近發布了第四份年度 ESG 報告，詳細介紹了我們過去一年取得的成就。我們將繼續在增強投資組合的長期穩定性方面取得穩定、可衡量的進展，同時繼續實施長期的員工晉升和社區參與計劃。現在我們將開啟電話詢問您的問題。操作員？

(Operator Instructions) Our first question comes from the line of Craig Mailman of Citi.

（操作員說明） 我們的第一個問題來自花旗銀行的 Craig Mailman。

It's Nick Joseph here with Craig. Maybe just starting on the transaction market. Obviously, it was quiet for you. It sounds like it was quiet pretty broadly. Are you starting to see it thaw at all? I don't know if you could maybe touch on where you think bid-ask spreads are and what we would need to see to start to see some deals actually get done.

我是尼克·約瑟夫和克雷格。也許交易市場才剛剛起步。顯然，這對你來說很安靜。聽起來似乎很安靜。你開始看到它融化了嗎？我不知道您是否可以談談您認為的買賣價差在哪裡，以及我們需要看到什麼才能開始看到一些交易真正完成。

Well, I mean, a function, obviously, first of all, is supply. And again, the market continues to be very tight in terms of looking at new transactions. It's starting to pick up a bit, as I said in my comments, but the bid-ask spread continues to be pretty far in terms of other types of properties that come to the market, not grocery-anchored.

嗯，我的意思是，顯然，首先，一個功能是供給。同樣，市場在尋找新交易方面仍然非常緊張。正如我在評論中所說，它開始有所回升，但就進入市場的其他類型的房產（而非雜貨店為主）而言，買賣價差仍然相當大。

And then the only other thing I could shed some light on, Nick, is that there was a transaction that is currently under escrow in San Diego that has traded in the low 5s. So that's been sort of the most recent comp. But the bid-ask spread has really -- continues to be why, but there's just not enough supply.

尼克，我唯一可以透露的另一件事是，目前在聖地亞哥託管的一筆交易的交易價格為 5 美元。這就是最新的比較。但買賣價差確實——仍然是原因，但供應不足。

And then you touched on kind of the potential of public bonds or private placement. Where do you think you could issue today, just kind of where are spreads and what's the all-in cost there?

然後您談到了公共債券或私募的潛力。您認為今天可以在哪裡發行，利差在哪里以及那裡的總成本是多少？

This is Mike. On a new 10-year deal, I would expect the price to be probably be in the mid- to high 6% range, and private is about that -- probably in that same general neighborhood, maybe a touch higher, mid- to high [6%] range.

這是邁克。在新的 10 年期協議中，我預計價格可能會在 6% 的中高範圍內，而私人的價格大約是這樣——可能在同一個社區，可能會高一點，中高[6%] 範圍。

And then just finally, what drove the higher other income in the quarter?

最後，是什麼推動了本季度其他收入的增長？

Those aren't really anything unusual during the second quarter. If we look at other income for the first 6 months, we're pretty much on par with last year.

這些在第二季度並不是什麼不尋常的事情。如果我們看看前 6 個月的其他收入，我們與去年基本持平。

Our next question comes from the line of Todd Thomas of KeyBanc.

我們的下一個問題來自 KeyBanc 的 Todd Thomas。

I just wanted to, I guess, stick with the transaction environment a little bit and ask about the dispositions. Stuart, you talked about the 2 undeveloped land parcels. But I think, Mike, you mentioned exploring additional dispositions as a source of capital to repay debt or refinance December maturity and/or the balance of the term loan.

我想，我只是想稍微了解一下交易環境，並詢問一下處置情況。斯圖爾特，你談到了兩塊未開發的土地。但我認為，邁克，您提到探索額外的處置作為償還債務或為 12 月到期和/或定期貸款餘額再融資的資本來源。

Is there anything on the disposition front being contemplated beyond the $30 million, $40 million discussed? I know you have 1 or 2 larger format centers, including Fallbrook, which in the past, you've sort of characterized as a little bit of a headache over time. It's one of the fewer boxier assets in the portfolio. Is that something that you contemplate selling in the current environment as larger-format products have performed well a little bit more recently?

除了所討論的 3000 萬美元、4000 萬美元之外，還有其他處置方面的考慮嗎？我知道你們有 1 或 2 個更大的格式中心，包括 Fallbrook，在過去，隨著時間的推移，你們認為它有點令人頭疼。它是投資組合中規模較小的資產之一。由於大型產品最近表現良好，您是否考慮在當前環境下銷售這種產品？

Yes. We really don't have -- outside of the Crossroads in Fallbrook, we really don't have what I would call large-format centers. But it really depends on whether or not the market activity picks up again in the second half, which we're starting to see signs of, but it's just too early at this point to know for certain.

是的。我們真的沒有——在福爾布魯克的十字路口之外，我們真的沒有我所說的大型中心。但這實際上取決於下半年市場活動是否再次回升，我們已經開始看到跡象，但現在確定還為時過早。

At this point, you're more likely sort of to see potentially more dispositions, but it's, again, going to be sort of the -- towards the fourth quarter of the year. But yes, we are looking at bringing more to the market, Todd, as we get through the balance of the year. But again, it's all relative to the transaction market and how active that gets.

在這一點上，你更有可能看到更多潛在的處置，但同樣，這將是在今年第四季度。但是，是的，托德，我們正在考慮在今年剩下的時間裡向市場推出更多產品。但同樣，這都與交易市場及其活躍程度有關。

Okay. And regarding those 2 assets, I guess, you've spoken a little bit more favorably about Crossroads and the value-creation opportunity there over time, but are either of those assets, assets that you would potentially look to sell and as a source of capital in the future?

好的。關於這兩項資產，我想，您對十字路口以及隨著時間的推移在那裡創造價值的機會更加有利，但是這些資產中的任何一個，您可能會尋求出售並作為其來源的資產未來的資本？

Well, I mean, I started the 2 assets around the Bay Area, which we are gearing up to put on the market. We are thinking about different things regarding the multifamily at Crossroads. Right now, the capital outlay for the balance of the year is not that much. It's very little left.

嗯，我的意思是，我在灣區周圍啟動了兩個資產，我們正準備將其投放市場。我們正在考慮有關十字路口多戶住宅的不同問題。目前，今年剩餘時間的資本支出還沒有那麼多。所剩無幾了。

So we're still contemplating long term what we do with the multifamily, whether we joint venture it or whether we build it ourselves or potentially selling it. So that's still on the table, but we haven't made any decisions yet because we're still getting through the permitting process.

因此，我們仍在長期考慮如何處理多戶住宅，無論是合資還是自己建造或可能出售。所以這仍然在討論中，但我們還沒有做出任何決定，因為我們仍在完成許可程序。

Okay. All right. And then if I -- just last question, I guess. You haven't had to discuss much around watchlist tenants really over the years recently, just given the composition of your portfolio. But Rite Aid has been in the news recently. They are your third largest tenant, a little under 2% of ABR.

好的。好的。然後，如果我——我想，只是最後一個問題。最近幾年，您實際上不必討論太多有關觀察名單租戶的問題，只需考慮到您的投資組合的構成即可。但 Rite Aid 最近出現在新聞中。他們是您的第三大租戶，略低於 ABR 的 2%。

Can you just discuss that space within the portfolio? Where you feel Rite Aid rents are versus market? How you feel about backfilling that space to the extent that you do get some back? And maybe provide just a little bit of color around that exposure in general.

您能討論一下投資組合中的這個空間嗎？您認為 Rite Aid 租金與市場租金相比如何？如果你確實能收回一些空間，那麼你對回填該空間有何感想？一般來說，也許只在曝光周圍提供一點顏色。

Sure, it's Rich. Yes, as you noted, Rite Aid-only accounts were about 1.7% of our total base rent, which comes from 15 leases we have, and that number will drop to 14 with the property we currently have under contract.

當然，這是里奇。是的，正如您所指出的，僅限Rite Aid 的賬戶約占我們基本租金總額的1.7%，該租金來自我們擁有的15 個租賃，而根據我們目前簽訂的合同，該數字將降至14 個。

And the majority of the Rite Aids we have are the newer prototypes. They -- we meet with Rite Aid on an ongoing basis. They're generating solid sales, and their rents are below market. And this big spread we had on the anchor lease is coming from a Rite Aid lease that we've replaced. So we see a lot of upside in these leases.

我們擁有的大多數 Rite Aids 都是較新的原型。他們——我們不斷與 Rite Aid 會面。他們的銷售額穩定，租金也低於市場水平。我們在主力租約上的巨大利差來自於我們替換的 Rite Aid 租約。因此，我們看到這些租賃有很多好處。

One moment, please. Our next question comes from the line of Lizzie [Doukhan] of Bank of America.

稍等一會兒。我們的下一個問題來自美國銀行的 Lizzie [Doukhan]。

I wanted to ask about -- I know on the last call, you all mentioned a onetime expense that was incurred from a net seller in the amount of about $300,000. Is there anything onetime in nature to mention this quarter with respect to bad debt? I'm just wondering if you're still on track with that guidance range put out of $3 million to $5 million for the year, does that mean 2Q bad debt came in a bit higher than expected because of that onetime cost last quarter?

我想問一下——我知道在上次通話中，你們都提到了一筆來自淨賣家的一次性費用，金額約為 30 萬美元。本季度有什麼關於壞賬的​​事情需要一次性提及嗎？我只是想知道您是否仍在遵循今年 300 萬美元至 500 萬美元的指導範圍，這是否意味著由於上季度的一次性成本，第二季度壞賬比預期略高？

Well, we did. You're right, Liz, we did have a onetime off in the first quarter, but bad debt continues to be well below our budgeted amount of 1.5% of total revenue. And bad debt continues to be in line with our guidance for the year. The bulk of our bad debt continues to center on various tenant account adjustments. [Others], the bulk of our debt is not related to tenant vacancies.

好吧，我們做到了。莉茲，你說得對，我們在第一季度確實有過一次休息，但壞賬仍然遠低於我們佔總收入 1.5% 的預算金額。壞賬繼續符合我們今年的指導。我們的大部分壞賬仍然集中在各種租戶賬戶調整上。 [其他]，我們的大部分債務與租戶空缺無關。

Historically, the first 6 months of each year tends to track a little bit higher, and it drops off in the second half of the year. And so on a run rate basis, even though we budget 1.5%, we typically wind up the year about 1% of total revenue or slightly better under.

從歷史上看，每年的前6個月往往會稍高一些，而在下半年就會下降。因此，在運行率的基礎上，即使我們的預算為 1.5%，我們通常會在這一年結束時佔總收入的 1% 左右，或者稍低一些。

Okay. Got it. And I wanted to ask because this kind of seems -- it become more topical lately with just the lack of overall growth we're seeing within strip. But what annual contractual rent bumps are you achieving on tenant now? Is this increasing? And where are you seeing both on the anchor and the nonanchor side? And how important do you think that, that is to overall same-store growth for the year? In terms of how that would affect being the lower to -- seeing the low end to the higher end of that range?

好的。知道了。我想問這個問題是因為這種情況最近變得越來越熱門，因為我們在地帶內看到了整體增長的缺乏。但是，您現在對租戶的年度合同租金上漲是多少？這是在增加嗎？您在錨點和非錨點方面都看到了什麼？您認為這對於今年的整體同店增長有多重要？就這將如何影響從該範圍的低端到高端而言？

So for shops tenants, we typically are still achieving the 3% annual increases on those leases, sometimes a touch higher. And then on anchor leases, it's typically 10% to 12% every 5 years. But that's obviously also offset by tenant who may have an option that's fixed or things like that. But those annual increases are fairly consistent with the historic...

因此，對於商店租戶來說，我們通常仍會實現這些租賃的每年 3% 的增長，有時甚至更高。對於固定租賃，通常每 5 年收取 10% 至 12%。但這顯然也被租戶可能有固定的選擇或類似的事情所抵消。但這些年度增長與歷史水平相當一致……

Okay. Great. And if I could ask one more just on the level of leasing activity, you said what led the way really with the Portland portfolio is -- could you speak more to the absorption you're seeing there? Like is it really a function of such limited supply for different dynamics and demand that you're seeing?

好的。偉大的。如果我能再問一個關於租賃活動水平的問題，你說波特蘭投資組合的真正主導因素是——你能更多地談談你在那裡看到的吸收情況嗎？這真的是您所看到的不同動態和需求的有限供應的函數嗎？

Yes. I think as you're touching on, it's really the limited supply. The Pacific Northwest is very difficult to develop new properties, virtually nothing's come online. Portland has always led the way in terms of that, but we're seeing those sort of same trends in the other markets as well.

是的。我認為正如你所提到的，這確實是供應有限。太平洋西北地區很難開發新的房產，幾乎沒有任何東西上線。波特蘭在這方面一直處於領先地位，但我們在其他市場也看到了同樣的趨勢。

So certainly, supply is having an impact along with the overall demand from the tenant side. It's a combination of both that is really pushing the velocity of leasing more than anything else.

因此，供應量肯定會隨著租戶方的整體需求而產生影響。兩者的結合才是真正推動租賃速度的因素。

Our next question comes from the line of Wesley Golladay of Baird.

我們的下一個問題來自貝爾德 (Baird) 的韋斯利·戈拉迪 (Wesley Golladay)。

Stuart, I just want to maybe go back to the debt questions. You have some debt maturities ['23] and ['24], and you kind of outlined last call about addressing over the next 2 years with 2 offerings. What is your appetite to do maybe a little bit more this year and remove the potential overhang for shares as we look into next year?

斯圖爾特，我只想回到債務問題。您有一些債務到期日['23]和['24]，並且您在上次電話會議中概述了有關在未來兩年內通過兩次發行解決方案的問題。您今年有什麼興趣做更多的事情，並在我們展望明年時消除潛在的股票過剩問題？

This is Mike. So as I mentioned in my prepared remarks, we're looking to potentially do a deal upwards of $400 million or up to $400 million, that would take care of the ['23s] and half of the term loan. It's a little bit too early to take up the ['24s] from a cost perspective. So what we're trying to communicate is doing a nice-size deal this year.

這是邁克。因此，正如我在準備好的發言中提到的，我們希望達成一項金額超過 4 億美元或高達 4 億美元的交易，這將解決 ['23s] 和一半的定期貸款。從成本角度來看，現在討論 ['24s] 還為時過早。因此，我們想要傳達的是今年要做一筆規模不錯的交易。

And then the other half of the term loan, which has been swapped through August of next year, becomes freely prepayable at that point, along with the ['24]. So kind of a back-to-back kind of strategy there.

然後，另一半定期貸款（已在明年 8 月之前交換）將與 ['24] 一起在那時自由預付。這是一種背靠背的策略。

But if we go to market, the appetite is there for our paper, then we could do maybe a potentially large deal and have a little bit more of the term loan or take whatever balance we have on the revolver and then pay that up as well. So there's some flexibility there.

但如果我們進入市場，人們對我們的票據有興趣，那麼我們可能會做一筆潛在的大交易，並獲得更多的定期貸款，或者採取我們在左輪手槍上的任何餘額，然後也將其償還。所以這裡有一定的靈活性。

Got it. And then you have mentioned you have a lot of options to pay off the debt. You did mention one of them being secured debt. You made a point over the last few years to remove a lot of secured debt. So is there a, I guess, a pricing differential that you would need to see in order to take on more secured debt?

知道了。然後你提到你有很多選擇來償還債務。您確實提到其中之一是擔保債務。您在過去幾年中提出了消除大量擔保債務的觀點。那麼，我想，為了承擔更多的有擔保債務，你需要看到一個定價差異嗎？

Well, secured debt, assuming it's about a 50% property leverage level and the [7-year] maturity, the rate would be probably in the low 6% range, low to mid-6%, so it's not that much different from where we think we could do a public deal. So I think there would have to be really a lighter gap where it makes sense because, as you know, we like to keep our properties unencumbered for maximum flexibility of the assets.

嗯，有擔保債務，假設其財產槓桿水平約為 50% 且期限為 [7 年]，則利率可能會在 6% 的低至 6% 的低至中的範圍內，因此與我們認為我們可以達成一項公共協議。因此，我認為，在有意義的情況下，差距必須更小，因為如您所知，我們希望保持我們的財產不受阻礙，以實現資產的最大靈活性。

Our next question comes from the line of Juan Sanabria of BMO Capital Markets.

我們的下一個問題來自 BMO 資本市場的胡安·薩納布里亞 (Juan Sanabria)。

Just a question on guidance, and how comfortable are you guys with same-store NOI and I guess, FFO on the high end, given the year-to-date results? And I guess, with regard to specific to same-store NOI, what has to happen, I guess, to hit the mid- to high end of that range there in terms of occupancy, given the occupied pipeline?

只是一個關於指導的問題，鑑於今年迄今為止的結果，你們對同店 NOI 和我猜的高端 FFO 感到滿意嗎？我想，就同店 NOI 而言，考慮到已佔用的管道，我想，要在佔用率方面達到該範圍的中高端，必鬚髮生什麼？

Well, our internal budget has same-center NOI growth ramping up as we move through the year because we track them on a quarterly basis. And at this point, we're on track to be within that guidance range of 2% to 5%. But where we end up in the range will largely be a function of how many new tenants open their stores and commence paying rent between now and year-end.

嗯，我們的內部預算隨著時間的推移，同中心的 NOI 增長不斷增加，因為我們按季度跟踪它們。目前，我們有望保持在 2% 至 5% 的指導範圍內。但我們最終所處的範圍很大程度上取決於從現在到年底有多少新租戶開設商店並開始支付租金。

As Rich discussed, as of June 30, we had just over $7 million of incremental rent from new tenants that are currently working towards opening. So that's going to drive that up, based on occupancy.

正如 Rich 所討論的，截至 6 月 30 日，我們從目前正在努力開業的新租戶那裡獲得了超過 700 萬美元的增量租金。因此，根據入住率，這將推動這一增長。

And tenant retention is high, very high. And so that will continue to help as well. It's just that if fundamentals continue to be as strong as they are, then we feel pretty comfortable getting into that range.

租戶保留率很高，非常高。因此，這也將繼續提供幫助。只是，如果基本面繼續保持強勁，那麼我們就可以很輕鬆地進入這個區間。

Is that 5% still in place for this same-store NOI or more comfort at the midpoint?

對於同店 NOI 還是更舒適的中點，這 5% 是否仍然存在？

It's hard to say. There's a lot of moving parts that are working their way into the same-store NOI, but we're sticking to that guidance range for now and see how the second half of the year plays out.

很難說。有很多移動部件正在進入同店 NOI，但我們目前堅持該指導範圍，看看下半年的情況如何。

Okay. And then one other question. You guys had a couple of buybuy BABY locations. What's the latest in terms of what's going to happen with those? And if there's any risk the rent falls out there with some of the proceedings that have happened?

好的。然後還有一個問題。你們有幾個buybuy BABY 地點。就這些而言，最新的情況是什麼？是否存在租金因某些訴訟程序而下降的風險？

Sure. Yes. We have 2 buybuy BABYs in the portfolio. One of the leases was acquired by a private investor. That lease actually expires next year, but it does have several renewal options remaining. So on that one, we should be made whole.

當然。是的。我們的投資組合中有 2 個 buybuy BABY。其中一份租約是由一位私人投資者購買的。該租約實際上將於明年到期，但確實還有幾個續約選項。因此，在這一點上，我們應該變得完整。

On the other buybuy BABY lease, half the space is leased to world markets. And so we're in discussion with world markets about putting a new long-term lease in directly with them. And then for the remainder of that space, we've been out marketing it for quite some time now, and we have good preliminary interest from a number of prospective tenants. So we feel pretty confident we'll have that filled.

在另一個 buybuy BABY 租賃中，一半的空間出租給世界市場。因此，我們正在與世界市場討論直接與他們簽訂新的長期租賃合同。對於該空間的其餘部分，我們已經進行了相當長一段時間的營銷，並且我們對許多潛在租戶產生了良好的初步興趣。因此，我們非常有信心能夠填補這一空白。

Our next question comes from the line of Michael Mueller of JPMorgan.

我們的下一個問題來自摩根大通的邁克爾·穆勒。

I apologize if I missed this, but did you say with the volume of the potential acquisitions that you're working on adds up to?

如果我錯過了這一點，我很抱歉，但是您是否說過您正在從事的潛在收購數量加起來是多少？

Well, we've guided the Street $200 million. We -- as we look through the balance of the year, given where the market is today, we're probably expecting to maybe lower that guidance a bit as we move towards -- depending on how the market changes, of course.

嗯，我們已經向華爾街引導了 2 億美元。當我們回顧今年餘下的時間時，考慮到目前的市場狀況，我們可能預計在我們前進的過程中可能會稍微降低這一指引——當然，這取決於市場如何變化。

But right now, we're certainly comfortable with about $75 million as we sit here today. And then we'll see how the rest of the year shapes up in terms of what we would call deal flow and access to capital in terms of growing the company.

但現在，當我們今天坐在這裡時，我們對大約 7500 萬美元當然感到滿意。然後我們將看到今年剩下的時間在我們所謂的交易流和公司發展方面的資本獲取方面會如何發展。

Our next question comes from the line of Dori Kesten of Wells Fargo.

我們的下一個問題來自富國銀行的 Dori Kesten。

When you think through potential acquisitions, CapEx projects or share repurchases, where do you think your greatest return lies today?

當您考慮潛在的收購、資本支出項目或股票回購時，您認為今天最大的回報在哪裡？

Well, the CapEx side is certainly continuing to fall because of how highly leased we are. And I think, as Rich touched on, not much is being given to these tenants, both in terms of renewals and new leases.

好吧，由於我們的租賃率很高，資本支出肯定會繼續下降。我認為，正如里奇所說，無論是在續租還是新租約方面，這些租戶都沒有獲得太多好處。

As it relates to buying stock back, we, at the present time, want to continue to monitor the market and make that decision as we move -- continue to move through the year. But more importantly, acquisitions is where we're focused in terms of growing the company.

由於這與回購股票有關，我們目前希望繼續監控市場，並在我們行動的過程中做出決定——繼續全年行動。但更重要的是，收購是我們發展公司的重點。

So if you were to prioritize those 3, I would tell you, acquisitions is at the top and buying stock back is probably the third choice, as you would say.

因此，如果你要優先考慮這三個因素，我會告訴你，收購是最重要的，回購股票可能是第三個選擇，正如你所說。

Our next question comes from the line of Linda Tsai of Jefferies.

我們的下一個問題來自 Jefferies 的 Linda Tsai。

Just a clarification. You said you normally have more bad debt in the first half of the year and less in the second half. Is this year consistent with prior years?

只是一個澄清。您說您一般上半年壞賬較多，下半年較少。今年與往年一致嗎？

Yes, I would say so. Yes, it seems to be kind of a trend. First to second quarter is usually higher and the back half is lower, but you get to that blended actual bad debt above 1% or less on an annual basis.

是的，我會這麼說。是的，這似乎是一種趨勢。第一季度到第二季度通常較高，後半季度較低，但混合實際壞賬年率高於 1% 或更低。

Got it. And then you have $7 million in incremental rent coming online this year. Do you have a sense of how much is coming online next year?

知道了。今年，您將獲得 700 萬美元的增量租金。您是否知道明年的上線量有多少？

[Advantage] perspective, of the $7.2 million, I believe, about 60% is supposed to start paying by the end of this year, another 25% or so by March, the balance and the rest of ['24].

[優勢] 的角度來看，我認為，在 720 萬美元中，大約 60% 應該在今年年底開始支付，另外 25% 左右應該在 3 月份支付，餘額和其餘部分 ['24]。

Got it. And then just one last one. In terms of your ESG report, are there any highlights to consider in terms of the progress you've made this year versus last year?

知道了。然後只有最後一張。就你們的 ESG 報告而言，與去年相比，你們今年取得的進展有什麼值得考慮的亮點嗎？

Yes. I mean we've made some very good progress. But I don't have the reports an right in front of me, but it certainly gives you the details in terms of the great progress this company has made. The good news is that we are certainly trending above the goals that we had set initially. In fact, we're -- and so from that perspective, things are going better than what we had anticipated.

是的。我的意思是我們已經取得了一些非常好的進展。雖然我面前沒有這些報告，但它確實向您提供了該公司所取得的巨大進步的詳細信息。好消息是，我們的趨勢肯定高於我們最初設定的目標。事實上，我們——所以從這個角度來看，事情進展得比我們預期的要好。

And I think you'll continue to see that progress as we move through '23 right now as it relates to ESG. It's been a big focus of management's time. And again, the progress is -- if you pick up the report and read it, I think you will see that the progress has been quite strong.

我認為，隨著我們進入 23 年，您將繼續看到與 ESG 相關的進展。這是管理層當時的一大焦點。再說一次，進展是——如果你拿起這份報告並閱讀它，我想你會發現進展相當強勁。

Our next question comes from the line of R.J. Milligan of Raymond James.

我們的下一個問題來自 R.J.雷蒙德·詹姆斯·米利根。

Stuart, you mentioned that CapEx is coming down for ROIC, but we are still seeing elevated TI CapEx spend for your peers. I'm curious, is that just a function of your high occupancy? Is it because it's more grocery-focused versus power centers? And I guess maybe if you could just give some comments on where you see the negotiating power in terms of between landlords and retailers as they're looking for new stores?

Stuart，您提到 ROIC 的資本支出正在下降，但我們仍然看到您的同行的 TI 資本支出有所增加。我很好奇，這只是你們高入住率的結果嗎？是因為它更注重食品雜貨而不是電力中心嗎？我想也許你能就房東和零售商在尋找新商店時的談判能力發表一些評論嗎？

Yes, I think that it is a function of the high occupancy. I mean, it makes -- we have multiple offers on these spaces. So we're able to go with the ones that were the strongest operators and the best overall terms. So that is, I think, what's the primary driver of that.

是的，我認為這是高入住率的一個原因。我的意思是，我們對這些空間有多個報價。因此，我們能夠選擇最強大的運營商和最好的整體條款。我認為這就是其主要驅動力。

And then maybe, I don't know if you could just expand on sort of where the pricing power is sort of in the market, maybe not necessarily for ROIC, given your high occupancy, but for the retailers, the key retailers that are looking to open new stores. How much pricing power do they have, maybe not necessarily for rents, but from a TI CapEx spend perspective?

然後，也許，我不知道你是否可以擴大市場上定價能力的範圍，考慮到你的高佔有率，也許不一定是投資回報率，但對於零售商來說，主要零售商正在尋找開設新店。他們有多少定價權，也許不一定是租金，但從 TI 資本支出的角度來看？

Well, costs have gone up. So I mean, the other thing you've really got to look at here as it relates to CapEx is two things. Number one, as Rich articulated, the overall demand/supply aspects as it relates to being grocery-anchored or other types of retail. But the other thing are the costs. I mean to retrofit the space today compared to pre-COVID, you're spending at least a good, let's call it, 30%, 40% higher.

嗯，成本上升了。所以我的意思是，您真正需要關注的與資本支出相關的另一件事是兩件事。第一，正如里奇所闡述的那樣，總體需求/供應方面與雜貨店或其他類型的零售業有關。但另一件事是成本。我的意思是，與新冠疫情之前相比，今天對空間進行改造，你的支出至少要高出 30%、40%。

So that had some impact in terms of CapEx. But the good news is that -- and I think, again, Rich touched on it, is that when you're this highly occupied, the pendulum, R.J., certainly swings to the landlord as it relates to spending those dollars. And that's what we're continuing to see as we move through '23. The AFFO, as you might say, aspect of our cash flow is continuing to get stronger.

因此，這對資本支出產生了一些影響。但好消息是——我想，里奇再次談到了這一點，那就是，當你如此忙碌時，鐘擺，R.J.，肯定會向房東擺動，因為這與花費這些美元有關。這就是我們在進入 23 年後繼續看到的情況。正如您可能會說的，AFFO 是我們現金流的一部分，它正在繼續變得更強。

Thank you. I'm showing no further questions at this time. I'd like to turn the call back over to Stuart Tanz for any closing remarks.

謝謝。我目前沒有提出任何進一步的問題。我想將電話轉回斯圖爾特·坦茲 (Stuart Tanz)，讓其發表結束語。

In closing, thanks to all of you for joining us today. As always, we appreciate your interest in ROIC. If you have any additional questions, please contact Lauren, Mike, Rich or me directly. Also, you can find additional information in the company's quarterly supplemental package and 10-Q, which are posted on our website as well as our latest ESG annual report. Thanks again, and have a great day, everyone. .

最後，感謝大家今天加入我們。一如既往，我們感謝您對 ROIC 的興趣。如果您還有任何其他問題，請直接聯繫 Lauren、Mike、Rich 或我。此外，您還可以在我們網站上發布的公司季度補充包和 10-Q 以及我們最新的 ESG 年度報告中找到更多信息。再次感謝，祝大家有美好的一天。 。

Ladies and gentlemen, this does conclude today's conference. You may now disconnect. Have a great day.

女士們、先生們，今天的會議到此結束。您現在可以斷開連接。祝你有美好的一天。