Public Storage (PSA) 4 May 232023 Q1 Earnings call transcript

Ladies and gentlemen, thank you for standing by, and welcome to the Public Storage First Quarter 2023 Earnings Call. At this time, all participants have been placed in a listen-only mode and the floor will be opened for your questions following the presentation. [Operator Instructions]

It is now my pleasure to turn the floor over to Ryan Burke, Vice President of Investor Relations. Ryan, you may begin.

Britney. you, Thank Hello, everyone. for us first XXXX joining quarter our call. for earnings you Thank Tom Joe with here Boyle. Russell I’m and

supplement Before we forward-looking want These during meaning begin, we the statements of forward-looking economic we this matters that to obligation assume of forward-looking to call as statements become today, because speak or untrue discussed that risks statements events. certain are and uncertainties. may May certain of subsequent securities no update, only All constitute federal X, statements subject and revise XXXX, the to within laws. remind you

A measures included reconciliation this to in GAAP provide is of the non-GAAP call we financial our release. earnings on

publicstorage.com. press of that you We You our release, can limited replay report, initially keep an this your SEC find two. on reports questions call audio at do and conference to ask supplemental website our

Of jump you to questions, back feel in course, free have if additional queue.

With to Joe. that, the over I’ll call turn

for good remain Storage and and Public joining enhancing operating thank today. you, model, leading on and transforming focused to Thank start digital our the self-storage own the you Ryan, evolution, us portfolio. industry’s very XXXX. growing a had We

Program, more in XX% by across delivered In customers and our in driving over of be key demand-driven three largest XX pool, completion operating X,XXX Storage mobile exceeding our we at the properties acquisition XXX our several choosing XXX on of $X to putting least next NOI on development of pipeline over than complete two an at XX% the XX% Enhancement property Tomorrow which properties non-same-store billion property to the excess platform, next online years, XXX customer included digital development the properties and installations to of months. of the within industry’s the of to growing achieved quarter, initiatives, lease, eRental the Public new milestones through us installing move on eclipsing downloads our of million app, track solar reaching

We existing nearly a revenues quarter, and strong particularly with are volume had the Length XX% up were up strong same-store in year-over-year. XX%. stays well first performing move-in customers of operating nearly performance same-store and

large outperform development store overall nearly now to well. as portfolio the acquisition non-same Our continues exceptionally pool XX% and of

needs-based economic a and that is drivers are self-storage multidimensional with fluid business demand cycles. Fundamentally, throughout

continue also from time to at to stay. which hybrid more here with benefit increasing home, remote We permanence spending people work has and

Additionally, patterns seasonal activity with of movement we to seeing the more into second currently continued an uptick has are demand, also the quarter. in return that

find well, poised continue also and to pipeline We to with years come. to as good generate in opportunity growth a vibrant for redevelopment development

Our unique pressures, ability interest to landscape. serves weather concern their over activity municipal due higher processes cost us other well, macro while slowed have difficult and to economic the near cycles particularly term developers rates,

acquisition to to financial Now discuss market performance. call Tom I’ll the over turn and

track for has transaction to expectations. feel contract or the The quiet and right relatively environment, higher our seller start said, macro closed as and $XXX been the Joe. the on the out million million are rates nearly for between Thanks, buyer to year spread have acquire year. under market potential we outlook That $XXX sellers interest

portfolios. of majority primarily our More vast by in inbounds, increase encouraged year off-market done have to we’ve which recently, The quietly. been acquisitions small this an medium-sized been are

We’re in our with a great advantages NOI given to industry-leading position and paired to capital acquire our cost today access margins.

performance. financial Now on to

of XX.X% the XXXX, from representing excluding we reporting core FFO quarter, growth mentioned, quarter for year the $X.XX over PSB. the of the first Joe As contribution started strong

season the existing length strong our revenue sitting compared remained In same-store, components. and move-in stays with peak quarter into up tenant the quarter records. the volumes to the strong our the leasing Looking at increased XXXX. We at during of of first X.X% drove XX% heading base

for income were operations of for operating of stabilized same-store the the quarter. total leading net growing cost Same-store pool up properties XX.X% X.X%, to

in in growing In facilities the of recently acquired the year. and a remained the quarter developed lease-up XX% the performance compared addition same-store, standout to to last

to by our assumptions. the revenue driven We increasing Shifting our lifted year, same-store outlook the for outlook.

macro been encouraging. has remains environment uncertain, performance to the While date

second set We’re well quarter. up heading into the

but Last capital position solid. remains our least, not and rock liquidity

allocation cash Our the X.Xx, with move very $XXX million combined position net leverage of puts for through hand a strong us year. of at quarter-end, on in we capital as

Now it I’ll to Joe. back turn

Thanks, Tom.

create competitive for platforms, entire Public and we balance with to our brand focus have poised delivering sheet shareholders. advantages across the continually enterprise. and people, current and to environment Storage We growth technologies, the be have will are opportunity and Our execute on in enhanced the value strengthen see and

and go the call ahead for questions. Let’s open up

question And we first Markets. our from will Instructions] Sanabria Capital BMO take Juan with [Operator

Good depending from April to Hi. terms March some Tom, you in market or exposure. I Joe and talked softness was Any peers could demand in out price speak or sensitivity customers hoping on April trends seeing and/or your what – some to morning. of have just their of you’re there?

just So what are seeing you across curious platform. your guys

the for thanks Yes, question, Juan.

hear we and remarks, system. the in into through As interest the continued you we in our and saw quarter strength it move could prepared volumes move-in

characterize we characterize and And April I as so through continued. move into March April, wouldn’t March as as but I strong. weak, trend that would

we volume margin through And into growth was so move-in strong move what we’ve April. a seen stronger accelerating a as

I’d our there highlighted And concerning line things with expectations. price. customer the sensitivity we anything very in of Price been was to has you note that also seen existing there. sensitivity One haven’t

volumes, And particular move-in so which seeing several into in good we against is encouraging as head that next the backdrop, months.

Property progress you deploying question, Thanks. capital. just spend, that made on the And Tomorrow of excellent for just guys have second then my on

CapEx you’re either of spent growth you that non-same returns you’ve that’s how generating store augmenting on the look and types the or curious at as same-store Just in the pool?

received program markets to couple Juan, over finish as point our back, we’re by step in where been years. well of up the completion and several both and our the next key of at full out the So, we’re that we actually program customers, employees quite the now has a getting market round

We’re where scale of particularly markets. we’ve very – just and and many, seeing meaningful many response a actually overall brand, image the the the got the to good lift again, power in

So we parts we in our to to of see market-to-market. good job and It’s attributes that that, the the in amount very to from with enhanced volume we completed. a And getting out presence we’re any a crisp team position And to has all figuring to that. excited or actually have with continue that, plus it about The benefits of than and a we’ll be to. elevated earlier nice program the our enhance be ways continue going track very very business. done brand the and year optimize in to minus intended nationally many play well pull continuing

Appreciate the time. you. Thank

you. Thank

Juan. Thanks,

Michael question next Goldsmith with UBS. our take will We from

Good lot My question. for a is taking afternoon. question on the first Thanks guidance. my

Thanks. trends You brought the low recession less declines first revenue of that that changes your occur? a year. and experienced supplemental – of in up reflection including this the the that in for in the guidance reflective saw of included you’ve that? anything more the end the Or year-over-year view that in revenue of the quarter? Is on low the of the potential quote that you’ve on scenario? increasing your half rates wide that Is to And based in second then likely end. already is growth first there was that full suggests quarter Is you your is that this, potential a within guided range outcome the

lift question, the is that quarter the in for really to of revenue the as Thanks end characterize quarter and Sure. would what’s Michael. assumption that leading that I first a component. strong low

the outlook hasn’t performance changed, There’s half certainly in been strength has how the encouraging, outlook highlighting increase talked that year. we year of in macro the range And outcomes the of the but is first to the for which the the within so back our potential quarter uncertainty date the leading we’ve wide characterize to to you’re quite embedded for year. in still

And which there Presumably, a and Or the points is question up this we quarter the market. NOI the in of and about have in growth modest is basis the it. rate Same-store added market? have you during XXXX, you restrictions gain of February reflecting strength be from my lap XX% year of that XXX LA the growth Got kind were of there – to was gain kind – coming of like quarter. more LA the there kind the But follow-up is second to a is all lifted Thanks. the of second should forward? overall up number. the used sustainability going the

Yes, Michael.

have or First new market, last the the performance owner’s by we’ve submarkets of We’ve we’re been it the presence. achieve been very commanding LA literally largest been so, we occupancies We’ve but is product being to competitive very good where also good over restrictions very and a your that point, in. to market a inherent we’ve lifted, where very any pleased to little year demand. of able all, the our got have coming competing got

a from But against that portfolio. So and the in ahead into we lift of of a comment very It $XX that awareness to tie go been We we continue put there. of is more market by about good million performance we’ve rest finished is the – we’ll market. much – that my the year-and-a-half got the pleased and that demand that to tomorrow, again some and little being into inherent over where quite certainly we’ve to to ago that good a we in think traction from good. to property back us, markets the go about standpoint, going of one brand the it portfolio timing see prominent XXXX

too the the is very one good itself measure getting quite of from receptivity Scores, we reaction well. the through customers ways Net is and again that Promoter playing of brand And

that with performance. good and demand continued good that So

you Thank much. very

Thank you.

next from Citi. our take with Rose We’ll question Smedes

Your line open. is

thank Hi, you.

I April trends the XX% but you across lower, almost the mentioned almost pace was move-in volume as of kept move-out the well. with but volume. similar was wondering if You volume saw kind quarter, in move-in a just first

Smedes. a That’s question, great

took during you anticipate. we occupancy So things the of that gain one quarter was place the as did

was from gained the April, occupancy XX year through another March end And XX up basis so basis we in And the points. of points.

see here starting that uplift into continue in really that May. So will to seasonal occupancy

growth move-in year-over-year the characterize of growth increased into trajectories volume and has we modestly the April, move-in as through has modestly move and i.e., quarter, i.e. move-out volume lowered being I’d the move-out growth favorable, the And as

an terms gaining year-over-year occupancy April month on actually occupancy gap the and was best closing So of our incremental basis. in

So again here head leasing peak season. as we encouraging trends the into

non-payments the And kind seen or to of anything Thanks. charges, read I’m just pace of a I growth customers economic picked just are you have rental duress? noticed suggest faster there’s that? – up would into pace the I anything under uptick at some that income. late on that if then of in wondering an kind And

Sure. to there there’s Yes, frame off year is this one components is are highlighting, it late if making customers two item. are The more that what payments that you last that But year. than which you’re line the last over over delinquency, a seeing multiyear low delinquency several years XXXX payments. you’re well period, time really there below but periods late coming levels of in we’re an remain time uptick really, and

interestingly, fact think also significant well. a And there to to line new they move-in that’s we leading as more the item contributed then fee that increase volume in administrative growth customers year-over-year with had when charged that move-in, our I

you. Thank Great.

Thanks, Smedes.

Thomas our take question next Markets. KeyBanc with Capital from We’ll Todd

out morning Good there. thanks. Hi,

is in First question just sheet shape. great investments. related balance to the Tom,

should seeing you’re see call your in I bit ahead? deal can from you increase pipeline Are little think to in owners. up build? be that And to the moving speak commented the in expect whether such seems a pricing favor you you an seeing volume we to inbound pick flow that pricing, quarters

Sure.

inbound know, relatively to to inbounds And this into start the the where So traditional second activity. recently. do is going to start healthy. it to in as light as think it’s first about I half pickup of year. see to see for we things volume assets been year. half encouraged half the or you to of more second have volumes you valuation we’re we we that that have have And transaction to the Todd, move lead more transaction volumes in started terms traded, And the to storage And that’s a receive a in think busier suspect have started and and as

and here point rates I of a wouldn’t So say, sit with for or amount X significant significant data to precision. Y to are cap that us an

but We’re it gap to of value continuing others. many instances, or good buyer and the remains find closing in in assets many wide and in that seller

through out and the given working interest still rates anticipate through that And environment. macro rest of to with that played so the year and we’re work through what’s the

last said have XXX us from I we the last numbers moved on To differently seen had And would the cap call, the it, from on rates basis would to about say think put anything lows. points direct over some I three any that you XXX haven’t that. up we months the

Okay.

then relative of Mike. a activity Yes, And little the just more Todd, to far. complexion the bit so

that So of number doing Tom deals been we’ve a mentioned off-market.

for So always, as as the those that so average far been for owners million of The are out well. about are $XXX we XX%. that transaction. has done an are of still occupancy looking kinds there There opportunities efficient clean looking we’ve

sense them make in and relative acquire So the if from platform we that likely part ultimate to upside can going that put once yields to that’s have assets. thematically achieve very our to those we our we’re similar properties objective where on

going the So of we’re those into year. kind the rest going see to we’re to of continue opportunities confident

environment finance a borrowers, and sort how and – versus and taken for the we’re the a of years a today, the through the place just several of platform Okay. seeing non-U.S. given to building And also some then you solution structured management amount tighter would compare of contrast build set but way that would you over activity would also the third-party as a that’s pipeline? at you And investment be U.S. consider to all then development last lending today? opportunity expand future out maybe financing program

Okay.

questions yes, of on a or couple that more statement. So,

So opportunities, are to which do from standpoint, border some speak we what consistent we’ve time, international today. nothing spoken first equipped say, to to we here well with that, of an would to consider all, we’re for as evaluate I to is continue outside and

the part border outside opportunities that doing that’s over mining how over of But inside we’ll the Clearly, long-term plays three last – in done question of the is intention holders that far is and come tight have borders. again, to part four reason we’re of into another out there’s development has cycle been of for that part time. overall the of years. assets. of been amount maybe And that by being no But the your or that see owners that’s both fact the those more a

to I’ll talk kind find a let around breeding platform be ground going cetera. So thoughts that lending continues for good to any us of Tom deals. about into et

a back step environment many your lending new if supply lower lead take point. and back on heading maybe could I’d challenged to around this more question gotten developers yes, But the it comment the because lending you forward. for at stepping certainly think It environment,

we’ll how plays to So out. see have that

have with smaller made capital some of that there found we equity continue that, in have we partners in In years a note to the to of parts value And terms lending other scale. deploying and our be some on of portion have risk to our participation very find over several capital the good I last of stack, adjusted in the addition the stack return. good a capital and been consistently investments

wheelhouse that something as So considering we forward. part our we’re as of move

right. Thank you. All

Thank you.

Thanks.

We’ll Keegan take next Research. Wolfe our with Carl question from

line Your is open.

below to levels your they should decent Thanks guys. particularly any at XXXX this those first in for the by based assets Hey, your margin, occupancy portfolio from here, release as completed are Maybe press time. but commentary. seems are if your It stabilized point pipeline, development XXXX. yet on average more just have color

market helpful. just if sort color driving specific it’s of and be what’s would So maybe any on

mean really right? demand period strong over has assets expectations. anything I’d they’ve pretty frankly, drivers. those our we that delivered been exceeding from the be to as characterize benefited Yes, And I time performance strong, of

occupancies, some I above certainly comments of a Your they’ll are under around those think, XX%. vintages touch stabilize but XX%,

to from is way the the one of remind rates and One we’re same-store the we part of is And the you assets maximize things do of that our certainly seeking stabilization same equation only revenue other. occupancy pool. pools I’d rental is those that of

exceptionally will likely to rate group and several from of that I importantly has growth the pool XX%, strong strong rate been more the growth occupancy has think ultimately of there same-store So get but compared over assets. more years

can the achieving continue to of that to risk-adjusted program return yields see desire the continues in leads we’re it there. strong to that And It increase you to forward. reinforce build moving and our

the So development billion $X program. to sitting grow pipeline over we now is as seek that

out. supplement, your card credit helpful. fees just That’s stood one And the in I on thing noticed then commentary

kind a rate Just the them people on auto there want using bulking you take just now those to risk pay curious, a better cards credit to offset charge do way on be is to given guys Or for of that? you customers? those tend of to higher

the for the revenues credit by and contribution. Yes, say part to far and that’s relates fees most away increase in I’d the the increase in card

So them, as higher. payment an customers From revenues one to increase, standpoint, be do operational spend but attractive also incentivize for patterns our processing you’re use to about payment ways us those we going may that to thinking to process. for time see fees cheaper go

an payments pay it in that’s that and move point, move-in in and kind we that ultimately of attempt process. so to focus achieve people your out and year to it’s is methods. through year than different love important to achieve ongoing more much But And auto operational the on to

Got Super it. time, the guys. Thanks for helpful.

from [Operator Instructions] Sakwa We'll take Steve our Evercore with next ISI. question

open. now is line Your

of keep change kind you Life guys Storage, M&A? the kind to size lead Thanks. this Great. with but for in of of in of do at large-scale I'm of that view you transactions to puts does Or sure kind your your pressure like about sort find are of feel disappointed industry? morning. Good the other outcome kind you all

and more, not different if we to feel continue to we positioned arise well grow bit, sizes. will Clearly, to Yes, confident in And forward. continue every are that going shapes opportunities Steve. all

we're So very on that. focused

different looking again, change to reset going by combination. virtue we are degree We of that, the landscape the end many it day, into the whatever happens But the at of competitive scenarios. opportunity doesn't ESR a LSI feel and the At sector the alternatives future from in standpoint.

things feel of and to have the that optimization, well, of part we things those our margins, time our industry-leading we've the in effectiveness things that good that and to through presence make but play we've one continue to other we'll shape we learned One that lead continue over the invest many as efficiency scales forward, in investments. we done going enhance brand, to confident own and we're market-to-market, of the very

And guess, I down development, to the hear given all lending secondly, Great. on continue development we in the then, be should challenges environment. that coming

You you you kind hurdles? I'm development guys changed you the framework you Have how the changing way guys today? I think, development have curious, projects? your the, evaluate Are and active anything new are you guess, of changing remained, just of sort underwrite I in

The periods in Yes. right? different et all of a out that of cycles, typically of you're can – and opening, kinds ranges – of actually plus long point go So looking first cetera, a put is development not a thinking game, about to easily without scenarios well economic all, question, total we're at I asset. at when you mean to time only property mark be asset of to stabilization, five-year but a

it been of headwinds was that many time costs. more easier today name seeing I even city-to-city, headwind, ago. availability market difficult takes talking years it two almost get everywhere. think, it's than is capital, and approval, today I around owners three we've of to a ever or a the timing where one, can't literally So environment that particularly amount is capital, And some component of front. on been it's than I different to about develop far this are mentioned where, in good cost again, for

properties a opportunity from So kinds In those to suited to less own our pipeline again, competition even pull the that. we're very through into those standpoint more of interesting of a of this repurposing those do you've environment, have feel work factors, kinds to kinds components. got or that be, where We to ready potentially demands or risk well land standpoint. seeing actually far

something environment. So team underwriting little opportunities. not process environment, But about always good well. is the some is that the we're I'll and finding a reflective working the as Tom talk long-term that's hard, how our bit but play current let only through

team that, our And of Yes. piggyback consistently just in we're with And data Day, you to our for – continue sites develop year of development processes our use try year talked think to science I We data team. new our looking those internally recall out. processes in underwriting advantages with to to Those be on leader about at tools that, and us that underway. try acquisition on adding to wealth and development. if give has helped some use and improve picking Investor to the

positive So is consistently in underwriting process evolving way. a

like, cost we In terms said on at do last and a the on that X% and expect is returns will point obviously, I'd you sites not as think of trend, the as context yield over years. changed plus and we consistent which we're capital the significantly development of a well relatively generate our that's But seeking circa build to delivery, several new that that and cost we acquisitions to of new the about capital in with hurdles of allocation. what that evaluate

Great. Thanks.

Thanks, Steve.

Steve. Thanks,

question We Bin will our with Ki from Kim next take Truist.

Your open. line is

provide Thanks. I guys Sorry you moving it. missed Good update rates? April an Did if morning. on

maybe No, think easier rents I record before which the the And sector been we but think I rents, get question, across been didn't. the pretty is depth in way I'd rates terms lower. significantly maybe in the move-in a this comp first on back characterize the move-in that's call, on and of The that half, move-in tough of question have we second first more well of been year we really given last to half the be documented. half, versus than the year with scenario that rents the Move-in in we've half comps the year, anticipate the first down comps. discussing

upper seeing quarter, and code. that digits in April kind ZIP we're to be of we that in down as we single double-digit move second type into to so moving anticipate rents, low And the

managed And shared now And well? as without Okay. Great. people? you any in or of are are in smaller just remotely do – places those are many stores have how tertiary stores that markets characteristics kind right different fully usually those

XXX every personnel. of put A sources we there's data what property broader predictive "remote." some the deploy Bin. now technological effective level whole test to customer-driven concept context Ki the done have includes is demand to still requires on-site have to and the what that a a things technological, of opening of and pretty of mentioned broader we What in in context we've way consider piece a a One would places come we and misnomer amount I continue even likely people the properties in daily that's managed. you on of both on monthly I remote is Yes, be based approaching got on to activity, tell property the you platforms, basis. comments, through is and weekly, on now we're remotely call a which property right of might the remote and also patterns requires my quarterly

or improving customer this even baseline in us is areas. And labor. first more maintaining level, something of help can a and in So areas. amount optimize It on-site It suburban foremost, can to really necessary around with which is service. remote we take all concept or built that, dense that's remote far can actually which of work work the different can that

some instance, with leg include of face-to-face time care kiosks Public which presence very employee. that from we So range the whole for there's center. effective customer and our include of some to which different that then whole components interact puzzle of way through platform, Storage a customers is a of another And a that

optimized we've lot that done part and of very the have being of and business. interesting some Very all a So we come. things, things about excited those to piece-by-piece, are more

the And said to the properties, you trying overall? apply do, all? you you have just like I am does X so guess, to go can impact X? I about if from X,XXX. you FTE understand And Or to XXX

yes. the as Yes, pure about platform, we're say the there the every have great same part I each the on. from it's components properties say strategy It's enough roadmap are overall of but impact wouldn't to one X,XXX the our to this. and

bit what Tom, optimize based little again, you what So property of employee economic can either to you'd you of the size dealing this, historic the we're benefits or from about staffing an can business. thing some with, of have level talk you're then we're like FTE standpoint. different on, the presence of And many types about remote that to more parts in continue than and to many said, because can deploying assets, see. far excited apply But likely a deeper great about I it that of just

Yes. I'd to Bin Ki to did objective is we that Day hours Investor the of add a The XX%. only And presentation, thing that labor set our and in reduce through efficient to labor our highlight in demand. get for reduction more target hours with we achieve hours this that reacting year. to Joe We'll is customer centralization is specialization and speaking the in labor

is that more think In fact, there we here. upside from

component margins get of our more how another So seeking just efficient higher. industry-leading and drive we're to

you. Thank

Great. you. Thank

Mueller with J.P. Mike from question next our take Morgan. We'll

Your open. line is

like over lower-term your of I customers hi. degradation have any two? you stay that seeing for the a of wondering, of are was signs Yes, year been length there or

Yes. the records sitting I of stay remarks mean, our prepared at is length we characterize earlier. in

of increase towards the of of and tenant continues really base The stay the quarters. seen sort ZIP now for – the move-outs generally to trend while strong. last of of around has Code today the that platform overall length XXXX over stay back be in portfolio we average XX have the months is so speaking, length sitting levels, And been several

they themselves customers is on two longer stay of continue where to the of was quite it the higher percentage well. years than customers they're length year. And of year-over-year terms In and greater than how behaving, basis, last a actually behave

of strength of that the component demonstrate to tenant continuing base. So

Got it.

Thank you. Okay.

will next question take our Allaway with We from Spenser Green Street.

Your line is open.

Maybe say would one percent expansion what the remind you to just us another topic. opportunity? But the can you. you has of development Thank portfolio similar just true

characterized ever we've What of leads as factors. that are think don't I specific those expansion several to opportunities Spenser, kinds Yes, number. a

years are We a have say, Gen have XX, single-story might of we XX better even have call within many locations, simple, magnify size and product. them X And properties which properties. what portfolio drive-up higher we typically many you properties that a that developed, of get make of larger of customer XX would potentially been hundreds much to the in those bigger. or property that have acquire in periods traditional to levels much far time, frankly, opportunities demand are our acreage those product of different of FAR great actually some There we and of would the ago amount once the

sizable a of there's types of So assets. those set

the cities and effort allow magnitude. Many to be that complex. Time that us to of that quite do won't expansions into certain goes

open multiyear that to a that, work to Some diligently. the That, may put actually, you will process. they through again, got very door through you've

we've a of efforts So number got speak. play in as we those

that already can expanded have on for additional as either too, the again, be or an property. hand at or thing we excess area developed assets, Another more extension in land some of many facility a parking into, instance, is modern that, what's

of they're go good that, We've dynamics demand we're virtue that to, very to. properties processes about unlock the that consistent to billion So pipeline, well and decades. going minus the is kinds but front, with areas, work, or is actually monetize opportunities several sites. better of of far a when And now news we originally evaluate plus fit and investment as to Today, team range our by things to amazing XX% demand have forward. going the the very on there's built again, those continue that that I'm for continuing that many whole speaking different of sites And got forward. development in the is to tied opportunity could to $X

One for markets things the well of work great in that clearly team ground-up of on that hats. about like-for-like, We're development the expansion they wear can is our looking They doing expansion. development as both development. many can as we're

any But the excuse you your as imagine, just increase has hats. and to than in dynamic market, perhaps little fact was what I there wear are the a bit personnel given I also granular, are more Okay. said, larger been just has or can sourcing like me, color. very the from just been was acquisitions That underwriting deals would really the to a personnel of dedicated And wondering, that sounds just multiple portfolios lack helpful it there normal.

Yes. transactions. point, $X.X only you our did to To maybe side where of we the XXXX, we an was large billion point, of that, unusual of year the it that give is just flip And context. very again, did. of though, to that a volume was that a couple unusual little half your

the of acquisitions half other knowledge smaller what's knowledgeable, been either to relationship or to a to a portfolio. of well owners placed that team, and that standpoint, be with dedicated knowledge very and kind important from efforts got has very traditional, dialogue asset will markets, grow much of for very our The relative continue comes very We've was single portfolios. the deep-seated to

a me, more acquisition – has or that than of lion share off-market from XXXX volume half Tom done excuse we've mentioned, in come transactions. half, As about the

to, and got part as think reputation just, got we're engage. we've alluding that leverage a team buyer, to going and go to right preferred We've again, the you're place as So in great to continue that. is out I a of

Thank you.

you. Thank Great.

this the Burke additional we program have for Ryan line I remarks. over appears to on or any further back no It closing the will questions at time. turn

day. Thanks, Britney, joining thanks for and a all of you us. to Have great

for does program. Thank conclude participation. This today's your you

at You may disconnect any time.