Whitestone REIT (WSR) 3 May 232023 Q1 Earnings call transcript

Greetings, and welcome to the Whitestone REIT First Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce our host, David Mordy, Director of Investor Relations.

sir. begin, may You

thank Conference joining Call. and Quarter REIT's XXXX Earnings you morning Whitestone for First Good

and Financial Joining Holeman, Christine Officer; Chief on Executive Hogan, me today's Officer; Mastandrea, call Chief Officer. are Dave Scott Chief Operating

including Please may not deemed and are this historical number from materially some those note Actual due may results of filings to Whitestone's refer statements to recent a the earnings with that other the XX-K and statements. and during call SEC, made forward-looking and discussion factors. differ Please XX-Q be uncertainties detailed of forward-looking statements most factors. news Form risks, company's a release for these

news call fact time, The information this that includes a this that as and website data quarter be in information. third be may our may our period be the to published accurate and it's Relations the webcast been the today's XXXX. on to of important which filed today. first financial have Investor to XX, package afternoon, only date, May slides the section. highlight release for and obligation update Whitestone's this available website on time XXXX with Acknowledging discussed topics We also of earnings SEC are company sensitive call that no undertakes quarter supplemental yesterday note operating

Officer. I will now Holeman, Executive turn to Chief over the call our Dave

earnings conference morning David. Good and thank quarter you call. you, XXXX Whitestone's Thank joining for first

drivers to have solidly year FFO pleased the we deliver of guidance results are our key on the communicated. are We achieve and quarter previously underlying and multiple to strong on another track fronts for

seems our shown XXXX the real demand spaces estate sector of often for slowdown year category of leasing by QX. leasing terms one is activity, In evidenced as in record It many was in a spreads no today. centers, in leading headlines our commercial for and us has XXXX in

spaces lost. to Simply that has desirable the real commercial markets, put, also know, Whitestone a estate in our point benefit leasable the So, that same. work less not is most and to get and tenants, their to from from And make time seems types I wanted the as sometimes in-demand in and and markets. job investors more population time the limited supply neighborhoods. growth all continues and consumers urban of right hybrid but straightforward and offices continues at to in in centers and benefit size home is flexible spend most of strong

is greatest been our The service in in lane the smaller specialize for we've spaces We demand decade and today. in oriented what exactly populating is last with businesses. centers

and continue a of new on increase As our a see straight Texas leases XX.X% accelerating signed to not the basis. in a just the first cash we over strong, basis prior In blended quarter, drivers and on line fundamental we people the XX.X% increase remaining Arizona, but environment. are business and to current at the migrate renewal leases

And strong variable exposure we growth, balance we quarter, reducing and same and achieved $X.XX. per share NOI improving top liquidity. grew rate revenue FFO growth, first strengthened X.X% produced our the X%, over During debt store our to of line our our sheet

greater rent Christine results a and quarter annual in financial operating XXXX. XXX will and from from detail foot comments. activities effective up points occupancy our X.X% and per up XX.X%, our year Our ago and of $XX.XX, net was at basis was base Scott end their provide square

building results. delivered delivery will and strong on remainder through team and with new We our shareholder growth the value results of our of of The financial be five share the FFO per managed FFO for operational value are growing focus year and has performance, of XXXX pleased understands share those to and start results. consistent the quarters --

the balance of of value to on have focus and We a capital capital. leverage with leverage stewards of years XXXX recognize will sheet to reaching of the the balance remain we debt and set. milestones strong disciplined We improvements and future recognize and we importance the in cost continue sheet

recycling to We capital. continue focus of will on accretive

we highlighted in funded of the made As call, improve Lake that on acquisition XXXX fourth allowed our we leverage. dispositions us to strategic quarter number a Woodlands debt and our

the investment to probably similarly We are the focus accretive underperforming will continue finally, on targeting venture few next within monetizing activity we in about of Pillarstone. same And quarters. our magnitude joint

a quality, our positioned our and to a high based respective to clear is and aligned, flow basis from daily consistent their convenience confident business necessity are and add focus ability growth. drive centers great and we is team serve cash open communities in of air, Our portfolio are unique model on value a that

With will turn over I Chief Officer, our now Operating to the Christine. that, call

morning, Good everyone.

we Dave XXXX our achieving with on track and As internal goals. mentioned, and remain are terms in of confident our objectives quarterly monthly

leases efforts the little quarter, previous quarters. signed leasing were very in lower a actual Our remain than although the strong

the expect terms show signed, occupancy. first very active quarters in results to in leases overall We and positive future of spreads leasing quarter

number XX%, slightly of quarter high a result of as and at the a positive quarter. a basis year see efforts, decade upon the acted leasing trends. overall remerchandising from of spreads capitalize renewal quarters those X.X% It really that of combined in XX% XX.X% just working spread the new well. we're under leasing we of points is are achieved to and ago last up in recent on from the hard gratifying Occupancy We which XXX remains trends spreads and ago to going down a for accelerated

that center and the this we order in for allow our with tenants. us important that paves going to both skating Getting centers. philosophy allow right in our In providing our us terms the rate the is the businesses tenant activity shorter of the with additional to be for most and a neighborhood. allows to in centers traffic investors optimizing us are our to our surrounding better inflation. nimble are against refresh much protection more mix best select mix leases Probably success we're to the for active service the tenants, mix is every do our communities. ensure successes, the for underpins drives the where thriving It puck of share to managers Where ensure tenant leasing shorter centers road their renewing new better of leases in turn, shorter by we and

being those how continually Whitestone were do. Proactive demand management of our businesses to and local know designed meeting if we take met customer the better verifying we needs. requires that performing are and We're is not tenant action that business

a tenant mix number tenants dispersed with box low very big stores tenant concentration. outside minimal a have We of and of grocery risk

makes our news rent. Bath of & tenant X.X% only In Bed have largest Our one up the base recently, we Beyond.

entertainment offerings. Our restaurants, mix self-care, education medical, instead focuses and on

our & Joe's centers, a averaged a center box high or tenants forward regional anchored very we center and growing either and this center back high demand. and rate in we The We've providing just look by combination Beyond our Bed space Dallas McKinney, have high by tons located it and Instead grocery fast XX traffic tenants. have we Often tenants. for Texas per is we investors. restaurants of high north entrepreneurial Trader in of over have is power of franchises to of risk Bath retention corridor. of dispersion anchored we've The Platinum big as the having very already is

arises with that within tenants good on we advantages Texas the of have a that is and our the business the we pulse from closeness markets. remains environment have Arizona. Consumer our strong that current demand very in One very

an low either Arizona. become center capital our Additionally, if are oriented up out tied eye have seeing capital conditions currently or in businesses evidence We're businesses concern, no many keeping Scott? within inventory. a service see they don't but credit Texas we're to because in

good morning. and Christine, you, Thank

quarter the of strength spreads same evidenced quality high store results positive by first NOI solid robust demonstrate Our our and of as leasing properties portfolio growth.

versus share diluted same per for equity of stock. figures $X.XX the operations Notably, was $X.XX XXXX. $X.XX of quarter from restricted benefit funds compensation forfeiture NAREIT include year's for in last a period from the Our

higher base rate growth, $XXX,XXX, quarter strong results interest by were higher cost. first due Our to of driven offset rent NOI by largely

addition, spreads joint increased occupancy. lower store FFO approximately Same a increase positive from by X.X% venture our and In NOI was year-over-year fueled leasing strong rata pro was $XXX,XXX. by

our rate million in furthering we on $XX target addition, last day the entered ability of on interest variable narrow reducing XX% rate total or In rate and swap risk, into of interest quarter, an to the guidance minimize on $XX our to million debt debt our our debt. of variable rate approximately

well flatten fall or would the are interest we higher to soon, duration. SOFR rate While sustain positioned market a rates indicate will curve

results. on positively G&A X, rates earnings, As estimate and NOI contribute be growth we to expect store of same interest drag XXXX to higher infrastructure a our Slide to we XXXX scaling shown on while

with and sheet balance lower our strengthen $X interest variable lower debt from exposure. rate debt to improved continue EBITDAre net in leverage We with million increased

X.X improved year end. a stock our at debt ratio XX% XX% total to year as as EBITDAre a improved from Our and rate X.X excluding compared forfeiture variable of turns percentage XXXX benefit debt in to to turns ago

position they with three continue well us strengthening as expect years to opportunities due occur. next stack laddered to our and a have for position the debt We coming maturities limited financial we to over on focus

Let me my XXXX prepared guidance. reaffirming conclude year remarks our full by

year track results and XXXX our expectations Christine for targets. quarterly line and on and are with have well As monthly our Dave internal said, in full our both us achieving

we'll And the for questions. with open that, line

you. Thank

a session. conducting Instructions] Anthony [Operator comes Hou Securities. first be We from Please will Our question-and-answer with ahead. go now question Truist

and please bit getting more back the Bed the space Beyond the morning, market And interest initial you the [indiscernible] Bath there? the a what's provide guys guys. opportunity & mark to Can guidance? on little on Good color space

Anthony. the question, the call. Thanks for for Thanks

-- that sized So, Trader market. for space. well a couple its of a the it’s nice right regarding Joe's. a across It's It's size, by things from

heavily there. interest to something kind say It an of at, we're very, getting really. looking traffic space, Trader goes fitness taking The which broad from we a from very of splitting a the it's we're It's center. that space. well splitting Joe's I for premium. look whenever range possibly does we're the a do a So a would

traffic since just think can Bed ever challenges we and has for much In bit addition, trouble that & been the just a inquiries right Bath tell it's [furniture] since And opportunities, -- happening user. beginning that's blend the us important the Trader with we the has the from evaluate little And that that I been Beyond, one so being the of full those (ph), with year. pick all receiving with parking has to Joe's center appropriately I best lot mix. of for so because there are the you

And to to respond Scott is that. of in guidance? our Anthony, let Hey, second part going the your included I it's it question was, Dave. think I'm

upside. There is & answer be re-tenanting Beyond Bath NOI. small the but in Yes, not guidance. view a that as short Bed might that's to no, anticipate the our didn't no, that but bankruptcy, of we period, Very percentage we

of you time, caps small, as we to also number at opportunity like it -- one, It's the but Number get when well. a this. box well-placed was on look same heavily forward a restricted and it had we of the

when we're think we upside. see I this, So turn to going some

you to quantifying upside? market Do that mind mark

think I premature it'd be No, do to that. probably

there All are but looking kind other, each of upside. is feel of we that us very strongly

As Scott granular. said, it's

If a you concentration. nicely base tenant really with we no diversified risk have tenant huge remember,

that center Bed large do So a going our when and it's part Bath positive but tenant upside biggest re-tenant a Beyond not that & so the be one a we confident revenue, we X.X%, tenant is is to positive is feel space. to of

you. it's And hybridized right space I as space. the Windsor think Got at XX,XXX Because now office a was Park? how Whataburger

the well? space as for what's Just interest there for the and space what's plan curious that that

in it’s nature. So, similar

look when when when Let me EoS. walk explain spaces how last similar very to we back. replaced Randalls get these -- with It we just year at the we was back and an we

the type make all, merchandising the means -- is market. at say, what then that, That's that not and at necessarily lend in utilize appropriate whether comp that need to it thing do demising so an it here we set the we directly the missing current in what but so -- way, not it market. we to comp set what does or infrastructure space. at the the itself third we need right is get we mean What as look for that the to of we look compete do premium look First space far we're in the keeping center with with the to that mix? do change it demand do one. look now that as to to of space what's is, at thing the -- space the in having we best extreme Number And value we what first the

bit a we case, this type in of different portfolio. normally our in this have space is that little So

very, put So should selective we're there. we who very as being in to

this more space. case, into a So of this built in the already because little we're infrastructure might be, selective the than

have we I normal evaluate rather interest because So I'd And little portfolio. making what's be right but at in it's again think decision choice. longer these tend in it, our to than making right the a leases the bit

just factored the add vacancy is that that I'll And into guidance.

I'll one Whataburger its move one University, plans add This had we've to a training space Anthony, they out. thing. Dave. known was, more This this. knew for obviously, that is

feel now re-tenanting will we think in once And of so, be good part once was re-tenant space, the this guidance positive known the was this the efforts. We our a for very and and re-leasing. again, it it it, about is included that we but

when lease center. office depot expires that And at this does

of I what? office does little do when depot think I heard bit it, a

the expires at Lease center?

Windsor The lease office at San Center our depot Antonio… in

out. couple think that's I a of years

really So been seven highways very that entrance in. center two ago. very Antonio that that It's ago. it's was I stable -- I turn ever -- has yes, at established That's to years San about center of since. not is occurred with years major stable. sort XX hasn't in into gateway well mean center coming that think And the and Really had

office really of center of portfolio. time. it So a of has it -- there it's our but tenants location. been a part those a desirable us. PetSmart, a center And they've an legacy generally has again, has little have [indiscernible]. the It's depot, it's quite It's not bit speaking, it unusual type But for the for some

stable type relatively So again, little mix. of our for a center unusual

my for taking Got guys. you. Thanks question,

Thanks Anthony.

question comes go next Our JMP Germain Mitch Please from ahead. with Securities.

morning. good Hey,

as points. the Just basis about remerchandising it But I back decline we're you occupancy, in a characterized at to efforts. think XXX

more provide specific can you So anything there?

Yes.

so focus walk what the understanding into little current to COVID through our were And and looking really rather successful, portfolio their tenants COVID of I'm has forward. revenue at think I this a then started this back diving and performance we quality really of but and on going look to been going bit, during during type serving tenant well performing than taking if that's the this nurse making successfully, along, attended if really stance the in faster leasing taken market roles agents as find that quicker you active they're the don't changes them, leave I community role active not and an a on an than they we've not against should. because rather

changed our worked for It's And so philosophy. we really well us.

showing why be time for our I'll portfolio. think I about and really data the retention around healthy is next some this

has actively I pushed have number last space that out Because hot rather so, stance the a tenants quicker I'd market very of taken than those a we've think normally the we And year probably marketed active now. very, in right over would. some

such first first But hot quarters. It unusual not had we a last to unusual. The years, that first in normally, that, we track a demand have little it's in this of said, for always was But theme out addition have bit a of where quarter. we In be on It's two we're being quarter. the with do little the expect right that the we us. year. not for to on falloff

entire the Yes, and look do Scott just forecast, first we quarter tenants mention those the just terms a forecast occupancy. that out above X,XXX for we're our year. here. forecasting, I'll bit all for in little Mitch. we of when actually It's And

nothing where right we there's So are now. with unexpected

Or you the bit is can that plan like of uncertainty lower of of midpoint there are the Bed that confident because a the Bath? toward or the you a progresses? maybe some the -- still the evolve point, year To unknowns that as are bias little to Scott,

that think we end the we're I we're expected confident midpoint going around of to up where guidance. the

me. for Okay. Last one

curious this market, last Just kind pipeline part quarter? that Christine said of the obviously, Dave or like maybe it's of was the just smaller versus I about pipeline the or time demand, looks kind looks year -- about is maybe tenant curious of -- today I'm this it how said, spot sweet versus but think

clarify, Let Mitch. me you just talking the pipeline? about leasing Are

please. Yes,

I'll Okay, that. great. Thank Christine on comment you. let

in that, seeing What what that's are and Yes. market stronger active we operators the we're is prefer. the very, very

So rather which haven't restaurant very with a thing same this I'd for last pull our you restaurant have a our I restaurants in that second seen we've back spaces, demand we've if weak have the replacing. to again quarter all. tenant, which had at space, market if active generation available been we have

those In are scale. types operators those fact, have developed well we're seeking still it's locations are again, what that increasing. of is finding quality, And that

the we less to continuing that business the are with there's haven't experience. less strong the would exception market have change little So to say, new strength markets, coming seen it's with anything, that strong If those businesses our been entrepreneurs of know of, I a consistency grow. with -- and

there one should anything I term of? one. Last saw Great. Is quarter? aware was timers fee. think we I lease be a Scott, that there this any

the term store No, not list reconciliation. really. lease We our in out same fees

So you on can see a If forecasted. the that. upside we rates, lock might interest versus interest little anything we in to bit where of will rate look have

think really so, to that out. one I need call any no, And of can't we timers

Great. Thank you.

Thanks, Mitch.

from Kucera, go comes Riley B. Please Securities. question next Craig Our ahead.

guys. morning, good Yes,

Pillarstone You've had significant results. a amount your variability of in

Pillarstone but there there think I how -- specifically there? Pillarstone us give guess, I on will were year. Thank adjustments this weren't timers, you. And mentioned to Whitestone the resorts know any results, you from Pillarstone away you share any speaking or take about contribute was about color it think should what per year-over-year. some $X.XX we maybe you I can know, one

more one things a we've for thanks it. with I'll we to for to relationship it communicated out financially comment. We've talk Hey, But the about may start is of expect like the Scott our over then to is said and I and Craig. hand underperforming Dave, returning not Good your monetize Pillarstone. JV morning. This is exit is to goal for what we'd that, our And us asset shareholders.

of a company but that as to the That's we toward in a time, exiting through lot ways, system are So committed we this court that that are working at partnership. partnership. exiting toward largely

few the now, SEC we public is quarters. to our That delinquent a estimate performance. in is for company Pillarstone right best their I said, are doing a think financial and filings

that's available. but doing so information underperforming toward exit is we communication -- using want And the you estimate working best anything? investment committed an significantly that having and we're add to it, We're our and to Scott, some of are that. toward

Yes, I we XXX% embedded Pillarstone it's about so. last and There's from not this legal that some cash fees we costs would or do just upside at that are our G&A in perspective, coming a add for from us have when flow Pillarstone think point. year distributions for

some cash when So no we're flow in future, there, thought be we and while from exiting, sheet the flow than we'll some see legal it of the a a exit so there's fees upside going -- to out we to as to of other investment that And we But I able amount monetize G&A from it. see monetize GAAP think in loss now. right balance think that when of try improvement on basis, cash I to ought should right perspective. have

guess, you I this in curious And are quarter. kind to know sort what environment current we're Dave, But, And thinking seeing? and on and thoughts recycling would are it. year you're capital the successfully this transact able be of in I again. your Got what about of fourth

again, Craig. once market transaction continues be The shallow. to Yes, Dave,

probably theme you've think that others. I from heard

of in but a are We little movement cap not seeing rates, bit lot. a

targeted we're -- much very targeted in. we're markets at are in the We

looking are opportunities. for we deeply So

Texas get predictability. there's, rates a to the did contribute or buy But last a think million some in I as dispositions. recycled proceeds those for great our need to interest as as we about well we acquisition $XX use to last We deleveraging. in year, obviously, Woodlands, stabilize year

stock, our year. is the So this I expect opportunities. at each right and you for look it's look the a to actively the like portfolio just of when portfolio time about to would time same do important that think and sell continuing think we asset recycle, We're to to to we We're own. if is when looking right

sell do of but with So accretive year being new in last assets assets not you and balance similar buy strengthening us as are the from to and perspective a amount, one sheet. big future, well probably that contributing kind the recycling of a saw as goals more day to the to

the more feel changing that your as be of just as number they you there strength Okay, themes QSRs year, sort year getting a pretty for Whitestone see thematically categories. are looking circling there's I last any in I'd moving if is where either kind to last the rid great. some me. of that restaurants guess And other consistent of or was environment? curious far positive are back on you a the remerchandising Christine, of and what I and this theme if versus And efforts, one maybe of fitness. with were in like tenants

still hot is this not with proactively if is this year. restaurant we're a I We It thing, space that's shift have QSRs. has that not It's at that very a mean, in slowed making changes to again, do. would restaurant making active the No, believe why the community else you that better being serve same well thing all. market. and performing in right that because its this tenant somebody down

worked for affordability the we serve look well that factor I ticket that think a comes Restaurants works that consistent families, to client back us. that the for addition stickiness a that that In works for. price to often it's range we're really that's and still for within staying as really QSRs, and

are so going which a are with coming use have seeing it's fills our again, a It's and just tend but some we very horizontal, It when is have maybe square component. of clean -- up, anything, change this up that feet something addition, that little and quickly we horizontal have to interesting businesses of started ready, available I it Little that not I'm very, an our the call, workforce range them into daytime owners we -- XXXX re-carpet but in again when to space unusual. have lease space our watching on been of focus be same talent just of they're has in that centers, the up than seeing deeply, back attract paint sometimes, this they up, It's those -- some they've kind they it to markets. more we're mixed In [indiscernible] always which unusual, this up, but well that sizes occupied and space. them too but space, bit to at something been with office about something maybe want small, of and XXXX we drives them leasing our traffic. centers

important being Being So saw closer we year the that we've Again, and to look is is as where last last convenience really we really at suburbs. interesting had well. quarters quarter trends there. as -- this two really out, last the and quarter, some important first amortization

of are market. the have, about good lease, seen to that we've in addition, say spaces XXXX it's not little just again think strong normalized. bit pretty in it. pullback XXXX again just all And of easy last a square demand, that's was such year I size groups, the because feet, demand fitness, which I demand we that a flexible across think just to of In shift I'd But to especially a for our towards there the

thanks. Great,

Mehta comes from Gaurav EF Please question with next go Hutton. Our ahead.

morning. ask on Good wanted asset I comments recycling Yes, you thanks. your to again.

this if dispositions? So acquire by were funded that you any we year, should would properties to be expect match

Thanks is question. Hey, This Dave. your Gaurav. for

those disposition balance. was your to side, your I should acquisition Is that question in question? the we think be expect on

Yes.

Yes, Okay. that's I absolutely correct. think

given But we market capital standpoint, are right aware what's now that Obviously, us through the now, believe from that and And position opportunities we is disciplined acquisitions do. allocation. those. funding an given perspective, on that very marketplace of look targeted we've conditions, in the now right from recycling right We be for recycling. an best we're acquisition identified current given continue we've and the to for our disposition to

Okay.

your line? to note that wanted with in expect that we you the you're debt on XXXX, that ask I replace you expiring for question X.XX% Second June. credit maturity will Should

likely into that's think reason most of I right than likely more $XX the scenario. million locked XX% and debt that maturities gives that and facility now ability now options, on coming be right these in to look the the of floating which the to handle us debt. it down but three use are to revolver. We're we all We'll rate due side. smaller flexible years It's the we'll the at the down refinancing roll part are

where And notes? are fixed the rates today rate for Okay.

didn't I'm I understand sorry, the question.

were the note? notes What versus you a are fixed issue the credit if rates for line, to rate new

revolver is rate at the Credit line is So while the we're credit priced are Scott's looking, rates versus a variable SOFR at about I I XXX think the question was -- plus, that what the think rates is fixed -- today. line?

is that's So I SOFE I in the around think believe. four-ish,

be Fixed looking it X% rates, Scott's at the X% should in our data. to you from from able range. So to and give sub that

note rate is expiry around X%. or Yes, is that's and fixed XXXX closer X.XX% it the X.X% to like XXXX looks

that of way the bit curves. factored a So guidance is rate, to using roll an we've into on the facility and increase into the our the it forecasted is but SOFR that

Okay. Thank you.

Thanks, Gaurav.

Group. next go from Diana Our Michael Please Maxim ahead. with comes question

Dave. Hey,

redevelopments? I on is developments have any partly your you -- recycling about update talked your on outparcel or when plant. But there think any may you answered recycling -- this

you question. I'll Thanks on going quick Dave. I'm then thought more and give give a for Hey, ask to Michael. It’s your maybe just it. Christine to

sites to the is really future that one for the value looking past, land parcels opportunity acquired that things has Whitestone add. centers, the in communicated we've as as of we bought a As some value when and embedded few far we develop pad

I'll it bit little an of and to to activities? on update continue over turn a those give to have So those Christine

demand is The there.

and it's with I been city, aspects working again we're the -- taking really quicker, takes aspects work as what are cities moved to timing has the a is would project and with long not been early a It's pre some through very of you pipeline think with the the COVID a of from approval development pre would a with you as challenging during it's frustratingly that say, what has engineers. project slow the pre-construction for, project. development architects twice -- would for of It It lack as what it I a would think consider but that just pre through normally with your the of the be the rights of little been working finding started approvals. demand. and of

Once are that are you little -- those. finding so a though bit and costs down for coming we

So that's been just these approval very been it sluggish that working things But the good. through process. has

But that of return we it Dunking we've think of in kind a think XXXX in think those at to of I double perspective. were side that but to and sell the we similar, pad few site about in portfolio was able of -- our I built at return had recycled from the pad that we probably built of rate probably cost or half XX% our can on that we Donuts. got terms closer the for one do it assets about a We've cap

got number the amount, we've pad of sites. small So

is, think There's see smaller Christine there to are I that on some use interesting perspective, continue pad folks out things even that before the has sites. really sites. commented of doing one a from we smaller

our continues properties of because less to take space to increase up and the potentially those put on parking. our they So less ability

for Thanks update. the Great.

Thanks, Michael.

sir, for now questions Dave like turn further this at Please, closing no Chief ahead. Holeman, are the I to over floor There back would Executive go to Officer time. comments.

appreciate to have in to (ph) as the upcoming that Whitestone. to meeting at the to really Board skills she strong Julia your XX% our interest and We're Thank and going is Julia's of in of like our pleased to shareholders, a for to share Whitestone all would a May brings on to year Julia. Directors after strengthen and our strengthen of upcoming welcome call investing society Board. wanted today's continue year governance, we senior customers prudential really debt, annual be our third addition [Julia our you new Board reflection to structured subordinated better a and will shareholders joining and board our nominee our excited and really addition Board to Bussmann] making we're with and thanks to our Board our since representation very alignment career, our I of on last XX really XX. female equity beginning for largely. super with continue debt with

call day. And Thank I great with will a wish now you. the everyone conclude and that,

teleconference. today's concludes This

time. you may You for your your lines participation. disconnect at this Thank