Federal Realty Investment Trust (FRT) 7 Aug 192019 Q2 Earnings call transcript

Good morning, ladies and gentlemen, and welcome to the Federal Realty Investment Trust Second Quarter 2019 Earnings Conference Call. [Operator Instructions] As a reminder, this conference call is being recorded.

I would now like to turn the conference over to your host, Ms. Leah Brady. Ma’am, you may begin.

everybody. morning, Good joining XXXX for for Realty’s Federal Thank Conference us Call. Quarter Earnings Second you today

Joining the Melissa Berkes; at Wendy be me G; to the Seher; Dan on available prepared Dawn call conclusion are of Becker; remarks. your and take Solis. our will Wood; They questions Don Jeff

Reform on A within the of the discussed may Act XXXX. deemed this Litigation of reminder, that certain to be meaning Private call matters be statements Securities forward-looking

statements as to or projected information anticipated statements or expected Forward-looking any events well or include annualized as referring results.

no Although Federal differ expectations be can operations reflected Federal forward-looking we information such assurance and on in attained. give forward-looking from future materially based reasonable that Realty believes our these Realty’s may the statements and in are expectations performance the its actual statements, assumptions, can

earnings Risk that provide our reporting and report financial operation. on that website. Form yesterday, our available results and issued more and a These our supplemental in-depth disclosure filed documents of on we Factors other our are other may of – affect annual XX-K financial condition documents release The package discussion

Don? with I And call begin results. our turn over discussion that, of the quarter second Wood Don our to will to

just was year’s over per recorded charges couple The last No bottom Thank quarter debt expectations, point share, the everybody. to a in growth. you, course, favorably line internal our quarter per consecutive and compared our with time. disappoint. X.X%. of Continuing Leah. share remains Street, results, of quarter that FFO line quarter. and last over reliably Good headwinds didn’t grow despite increased second excuses, excluding Growth morning, XXth of FFO focal year’s bottom the prepayment of $X.XX $X.XX

Muji starts a termination X.X%, Los of Third largely with on at Jardines Anthropologie, income from Street little Row, the Bethesda property rent lease fees. help result Comparable and re-leasing Furniture Promenade initiatives proactive Bob’s like big grew some at from

When as of When numerous in retailers not in clearly for negotiating plethora to business advantageous Lease plans, and economically in second do. cases million are were points the increasing, we some contributed year’s quarter in reasons. million are last quarter, don’t. number. number the it’s termination comparable fees if a engage, property Lease basis compared and termination not, re-evaluating with the in amount than to us XX income fees to $X.X it’s $X.X second we out

but which all cash includes comparison, our part flow is of presented, of integral the strength an clear the level our of plan periods business Sometimes contracts. negative, in demonstration property it’s sources positive, of sometimes all always it’s and

fact, in Lots the done and three-month quarter, of leases we’ve is There pushing in second clearly rent comparable pressure on in any before. deals ever at than more done $XX.XX XXX,XXX paid renewed at for by previous period XXX feet space but overall, leases good success. an pretty having a we’re overall, represented higher Those the X% the tenant. average than square rent foot, of XXX very $XX.XX being new

leading have market success well you expect, being the redeveloped their for repositioned along As it most and meaningfully in or position. as rents might are centers those shopping increasing sustaining been had

the where adjacent Row Properties in Miami net rent, Coconut center CocoWalk Center, the the that capital has coming in neighborhood. like adjacent the property higher Power the a of way. increased by the the Or Grove clearly the Assembly is redeveloped quarters value. on new into in both translating power of to Assembly mixed-use Square completely of come success More and anticipation where at its community

value of shopping back to more but rates, in roll at in create base the for center other time the the got fact, examples, examples where since long-term any always than timeframe, solidification XXXX, XXXX We we’ll start the overall. merchandising

the today. retailer’s pretty never that serve a The to location and retailer product environment a being us more center place strong We shopping been from of the a raised for has of on importance retailer. the examples leasing decision. and critical hear offered been microcosm good as bar Those has after

The $X computer change half roughly G&A more share, that, in to this quarter a due of the in the $X.XX rest strategic the is accounting attributable substantial of better people spike it million, cost, is is of at year the capitalization systems. about investments in effecting while to and and leasing our efficient

Row, update a talk & Phase and Pike a growth CocoWalk, quick III, about XXX let’s So Row on and Rose future III. Santana generators Phase Santana Assembly bit West

and find CocoWalk, on increasing at scope First importantly, way and of of we anticipated. quarter. we had with possibility get news all the We’ll five left know remain of than to That’s the by all, side can there. a if the profitability center and next budget good on to schedule earlier

positioned minutes. All few three underway in balance with just Dan well five so, billion capital Santana the next years. require West to are in that talk over handle is $X.X and recently a total about how the nearly sheet well will

$XX flow out So annual incremental to new established communities. PUMA’s great foundation from full break office Capital’s tenants headquarters tenants, million retail as the serve million those side. $XX Splunk’s at building will Boyne mixed-use residential concept, North CocoWalk lease even deal, Space from and $XX from tenants Regus' Federal the on and investments as initial already American come these headquarters, from office Realty’s a cash million-or-so $XX of roughly million

we’ve side, we’ll assembly, serve XA+ for as at pre-leasing continued nurtured and retail that enhancing demand product building at that places On unabated confidence be all at projects indications our gives all residential these the created locations. confidence the and of strong success us

was and location, overall quality in to. hotels by type the travel the May, stayed of leisure. the the food hotel our you hotel’s at the worth was certainly Investor of of in and Boutique the and Row Hotel way, Assembly named of best just the one Day that The Pretty we ranking during world Row in and that service, many facilities, value. that cool, based representative aspire on recognizing By

Darien Okay. What’s Well, new? what else? in Connecticut.

to rental apartments year with redevelopment center. above. plan forward mixed-use retail Board XXXX. XXX,XXX for shopping The in Groundbreaking XXX committee with is square floor approved our newly ground investment later Our with expected this calls foot environment a Darien merchandised and $XXX stabilization million moving

We on expect cost or Noroton train hugely place in affluent than a the upgraded cash yield station create suburb. and at this to at X% directly better

more progress a few this As quite expect familiar with than of you you’ll we on our location, call this monitor are that closely.

$XXX from have our XX.X XX-acre agreement condemnation San Altos At of sell an to California, in San seen Mountain have of Antonio for Los Antonio shopping documents we Center that some the of district View under threat to roughly the you school California public million. center

of about the by the that will what land that school Please the public value ago. $XX financed six primarily says four years bonds. XX-acre implied with Valley. and tech-centric sink the of in will paid Silicon be acres be for a shopping XX.X let site that cap at a million new center about terms entire municipality That We in,

responsibility won’t pay a site, existing school. able will by to keep We out the new tenants entire the ultimately is on displaced be to to it the use $XXX as portion our million who be

this that tenants, will the As time, million we’re expected on – we with late this late significant. but be payment won’t this at $XXX year. active Closing in it is estimate negotiations those

getting we’re of In dispositions, active. acquisitions more and terms

of to we in Grocer of a Bowie, combined buyer on a X-acre million. the portion to State $XX Shopping proceeds quarter, Philadelphia Lidl the Northeast and Center During second sale private both of Free closed Center Maryland for Shopping in

We to also a million. of sales in the quarter $XX for third expect nearly California the combined close of assets on two proceeds

prospects. a six proceeds that’s below totaled, disposition developments $XXX and acquisitions identifying cap better million growth about all far So in deployed being with

completely side, in the as joint one expected got the are of $XXX tied assuming be we’ve detail West phase, and when due existing venture. in in all and for and to a Coast through is up on both year million, rationale our few On Primestor acquisition diligence which the deals due able a combined markets goes diligence this go later expected. we on will Closings more East

about very We’re opportunities. excited those

it for remarks today my quarter. And the prepared that’s for about

additional turn now the questions. for Dan over line it your me and then Let to to open some color

our to up per things I’m start share increasing per That quarter X% annually, per $X.XX dividends our and a dividend, of my roughly at morning. year order good At Federal. $X.XX increased again, Don, usual remarks share $X.XX meeting we increase. Thank my going dividend. or consecutive Board by you, and with to Federal’s marks change XXnd of yesterday, the

that in. sink Let

year is excuses. I importance of sector of level the growth could year the consistency Federal and exceptional ebbs retail, points driving in line those bottom and in going. keep dividend and growth X% has cycles, its of annual a That’s every been increasing year XXXX, compounded since flows of rate excess economic no in through critical to years. hyperinflation, recession, REIT This XX out, at the and in growth over unparalleled

we pipeline as the are outlined development now capital May. move sheet. But to From business and billion a we on plan onto extremely perspective, positioned well in our fund diversified let’s Investor on balance our move execute that early roughly structure $X.X Day the to growth-focused ahead we

are times end, at XQ. liquidity and X.X debt-to-EBITDA credit years. as they’ve as our metrics net strong Our in quarter been At at versus stood X.X

of versus our fixed end hand. XQ. on we is We’ve our nothing years. We quarter million weighted to coverage X.X times Our at credit $XXX to and had debt X.X had extended facility XX up charge on at average ratio drawn maturity over cash

raising note any achieved these shares to And I that without common like during the would levels improved leverage quarter. we

long-term A-rating As line about we’ve credit long-term the debt-to-EBITDA our over previously, charge over we and X.X metrics intend the fixed with outlined keep times. coverage net with in four times our to below

financial cycles balance our to organically created As inevitably to have business. face in meaningful position Federal capacity. you excess the the throughout outperform we can We see, managed we sheet

of a net roughly successfully year-end, of positions another derisks net fives. from million meaningfully condemnation materially and the for XXXX, the cost capital rate roughly condo Center have balance asset our and our $X.X would X%. development which $XXX that down in by and – blended pipeline. with net Including under This the rate sale totaled our during sales of expected $XXX sector-leading $XX the roughly blended of contract proceeds bring another the proceeds, executed cap below San $XX million outlined, asset and expected combined Pike enhances an we which prospects & Don million the activity Assembly Rose, cap executed at Dan under Antonio as billion at contracted for million As sales quarter in sales with we high

Rose. on sale contract, projects. units, of As at to Row successfully mentioned, we I to under further with just & the have seven the of just both left Assembly and of leaving continue closed four mixed-use units execute Pike total signature of demonstration sell, another strength Of XXX the condos these XXX

million $XXX debt on Markets our the in that XX-year unsecured front floating due at opportunistically term of recently, active loan million rate coming paying also X.XX%, November. $XXX We’re Capital was issuing notes off

Further, with base. ultimate facility revolving our out million to interest we extending spread $X recast also from to $XXX rate rate borrowing cap the while unsecured the size options in until and maturity reducing XXXX, July, our credit increasing lowering its on its billion,

higher our capital and review second lower the quick another proactive numbers the taxes could be in offset of redevelopment for our record continued $X.XX and the by A comparable solid and quarter above and demo both leasing structure remerchandising of from the continued uncomfortable G&A primarily The reported which positioned. driven initiatives highlights $X.XX properties of per from tools. drag better and term the benefit was setting in Our quarter share, were by expense not consensus. for estate numbers real activity, fees, quarter FFO

comparable As quarter ahead X.X% as half at the Don POI second first of entire year, metric came the of for well well the our expectations. in for as our mentioned,

boosted We fees activity result and points basis basis XXX a had points. the XX leasing had better proactive a boost from benefit of from XXXX, was forecast. versus modest by we XQ Net than term

payments from points. bankruptcy tailwind XX of basis a had also We Mattress Firm

L.A. like Although we repositioning highlight El headwinds our round. from in of on almost also, drag larger again, points that let programs Huntington and Segundo me Plaza XX the assets of the at basis faced of some

from forecast FFO strong guidance, range As our to respect to we our per to range with we’re of another result, a X%. share. $X.XX With are X% to affirming a of about $X.XX quarter, increasing X%

me Let commentary add some here.

quarter the the I of timing of call. just back XXXX. the lining discussed straight first pushed Santana of been into you on has rent point quarter’s this wanted that We all start the last to of XXX remind

the in is XXXX. actual there in no third rent remains However, the cash change which of quarter start,

of Given opportunities the versus additional side additional west our at CocoWalk balance the of alluded Don CocoWalk that on we drag year. forecast to, for the the expect

$X.XX completed sales dilution, modest expect a be This our the reflected will contract, was and from $X.XX not some of which of million will will which $XX in dilution we roughly have the Plus, in $XX asset close or guidance. million we XQ. initial under

– on comment was the G&A, during me quarter. Let for the second which up

However, expect $XX million million there were run $XX per some initial guidance to G&A one-timers our in February. per there. quarter We to still in at

Q&A, call FFO FFO growth, quarters, fact Before our on to the the points fact by sectors, drives bottom the which top of Shopping this to of consecutive is will line XX grown the consecutive versus once years annual again, and the management call. per Bloomberg the let to our FFO give me our Index. growth Center us focus group, I consecutive earlier on peer Federal’s for consistent specifically what XX turn that of in I build in have that we growth share The guidance reflects alluded one performance

growth per annum. has exceeded years, Over the by in last X.X% share per our three index peers FFO the

last outperformance line bottom growth Over years, as represents of annum years shouldn’t higher instructive, simply numbers much. metrics, over per FFO the XX similar. few matter the Other while growth. years, XX X.X% X% that Over are

line with questions. can for open operator, And that, you the

Goldfarb question our comes of line O’Neill. And first Instructions] Sandler the with [Operator from Alexander

questions. Just few

iPic appreciate could to you’re recently how your balance potential the the that in Bath’s of comments leasing and about debt you the talked address over past the been Bed And news bad for few the bankruptcy. you about, a maybe come news guys the just months. certainly year, First, few but of obviously in notably tenants thinking has then just

how So year-to-date balance you the thinking what thinking you of versus and are for of about are debt bad budget the guys year?

I bad the out of was kind consistent our beginning the at year, debt think playing is with Alex. what of guidance

got this to. those just that a that we’re think there’s year next from But even impact that than tenants think at any Bed a we think alluded caution look, I balance little for had of out balance & we hit the news the getting point you we’ve outlined of less of Bath and there the forecast. some probably year near-term because for some But I year. I tenant of a lot like expect bit into and the Beyond don’t

will I when you iPic, swirling though, for you around tell raise that’s a name obviously been it’s Alex, months.

if think know from think through there real us do in hope We it. companies for long. extent be great space. product, have hope it’s we’ll I I for that a work it issue again, won’t the but be have doesn’t, had them to well, that that estate any is And that vacant I other happen, – it don’t you proactive also it coming won’t to does they it vacant know

here residential. about on Okay. change just guys And then the mixed-use Meadows rent second thinking about is talked have question, Fresh you densifying with Clearly, Don, a New regulations York. of in

sort And are your San guys about that condemnation. these highlighted – the have those increasingly at your may longer-term matters projects of Antonio? may of you where land you at regulations? or others as guys feel comfortable asset? speaking Antonio some the just just view Santana mean those then thinking residential change if you Or plans for about plans changed had have plans your broadly residential redevelopment may I pretty Is you that – change your thinking San So with municipalities residential the or more fresh banked look

Yes.

both Let’s very things. talk about different those They’re obviously.

the entitled, Queens, plan would Meadow, that. The not plan, all be, we’re of point it would it identified in – are simply and Investor that it. of Fresh on the a discussion priced, at in how to all, that looking how use of First be hard of developed to intensify was Day able be the what all have something at all piece we would at terms that at discussion identify be that or of

amazing piece to able in happen an early How that to development. stages it’s Obviously, do will specifically of be land is of the that.

New York, that not or control the retrofitted else anything something conversation play happens be that with later has stages, to into early rent whatever in So in will on.

wouldn’t in to the in head, time if but back more of your you mind. So come put

are of San two Boston off markets. in in of them. Silicon of investments Yes, another. is that those Antonio activity Center, look, Valley this charts. the Obviously, simply our economic two total great Obviously, terms that’s few areas is one country where that In there a largest are is

with on place. And of effectively of a amount and happen be with educated Things great that are trying in moving threat school they town where means exceeds went market land demand I’m condemnation Los Mountain is. to neighboring value. what that in course, people markets an wanted. couldn’t what that supply. give that not you the And that’s find XXX need Altos primary of but through to the their a look, needed system, They View, They economics

that a more used worth again of market lot what in one are else, I’m more like factors of statements I land that’s particular than know, that, Federal what market when the Whether a whole other not we what future what happens none And how cost our you’re lot investment for certainly general that that stuff that And into be, – it to shows pointing we really properties. it not company. but company we whole don’t in – being like paid – feel value than anywhere is unusual. or to. values that or exceptional, any that But of every about concept it basis is is on places Realty’s is financial while in

from line on is to be Christy going McElroy Citi. our with And question next the

& little as I maybe it the color that square retail the from about on feet more the And Or on metro for to Don, be checking train one retail? a people passes. of bit obviously stop. I Darien do you and redevelopment fleets? the of upgraded those given I’m XXX,XXX of provide Stop what on thought part Will just Shop be you heard going new location adjacent something could what complex there? makes the envision that’s

Yes.

cannot this, you, to serve we Shop Stop & will community. particularly Christy. deal be them be deal your – – what tell as were to again, trying about obviously Let’s with re-leasing. cut which not causes dilution us are how and leave, And excited able we’re because We that happens, I to long-term proactively the them your neighbors have of there. part a Basically,

But at I Georgetown amazing tremendous that’s a about because and the and here and Bethesda. old Wildwood type you if I’ve we Shopping through lifestyle, you is which at community-oriented of talked Darien. know I see other I’ve to Democracy similarities terms shown in will, of center you Wildwood corner it at are you to Center in or walked And the factors and know high-end demographics higher-end that economics,

as So there middle that deal at and right of part Equinox Darien will in it’s being our now redone the here. completely remain

see a You’ll here. Walgreens

You’ll not, see the the shops train is doing. at and just way, might specialty just going by conjunction that’s what which see hope, awesome you’ll grocer, rebuilt see, a same is like Wildwood. you directly is some or it Darien, If a town we’ll that great timing at station we restaurants which of here, get if we’re redone by cool along and Noroton, to there the case I of the be completely see, and in

and as it suburban on like tray those different. is whole is the a all community be The just surface about think and parked, lot be than a a community apartments that apartments as above Darien. which to will retail that ground-floor your make going underneath feel underground gets all you will parked Wildwood, place the so it, different does XXX convenient If that

and now. going about excited pictures So this weeks, we I’ll of the underway few this we’re I forward look is hope what go for that’s share plans of next to as the absolutely like late but some enough getting year. really

the of and That’s QX range, how X% still QX And originally Dan, helpful. you same-store new QX? question to thinking I debt Alex’s somewhat in to there? about to had just a bankruptcy obviously in think a expectation changes. the closer loss, credit and basis you known dip guidance? with think are expecting follow-up I XX to light changed seeing of growth points the then look bankruptcies expected forward you then had Are another that originally And and of of you I XXX reserve. bad new impact had regard XX with How then basis for an the has on points

comparable go includes to to metric. Christy, everybody that like talks, Dan, make different growth. It’s want before that stuff. know POI. it a not ahead. else. that, please Dan is sure I make to just that it’s I clear just I same-store comparable to you’re But know you’d you want our other not. That’s this It’s concept

bit I did components to there, outperform. a you give of think on think, little just of we some color I the

into some of Some was was expense a quarter. bringing – things had were is it quarter. pushed other We that like out the timing of demo pushed forward,

see you’ll in the have little quarterly same-store in what the currently a handle on one we a have So quarter model. of the third – bit on Probably my basis course of something I – what the growth with our is year. the balance yielding over of

on the terms something in of handle really to from the that two did handle, of the think with forth, with I for fourth year bankruptcies in quarter kind maybe any And we have difference vacancy, quarter unexpected us. year and a of balance. see in debt. quarter, we – the had a fourth what last I high of terms bad last the in don’t trajectory impact, regards the remains in rent relief, the two with so the Or impact late of

some release progress, spaces, of to it’s making working but slow. those we’re As

in of we coming And getting we Bad forecast. debt of kind as I we’re kind also, think the way expected. hit is

think don’t year. playing the see we’ll the see that balance difference how for out in much I we of So

line going Craig the with from question to of Bank next America. our is Schmidt be And on

Cynwyd any & down? Lord set if, the if conversation wonder had & Taylor thinking is Hudson division in have about Lord opportunity gets Taylor what you Bay? guys I fact, with Bala the And and I’m

– don’t Hudson into the Craig, that at we’re to with point. this it’s go that deals about at I talking Bay Don. want

talking. We are

It We site we are on of before place in avenue. are the in is working that about what list. need our squared for to Rest there. Avenue with in the question that that that most more is that us we of a than environment, of do if it. It’s And do very assured leaseholder we as land one piece portfolio, underutilized no – wonderful talk onto going in There we’re is away is up through to urban make high on the deal. to you – certainly it City will, is this is about do. lower pieces land Merion, or across the right it sits directly sure

next [Operator Vince Instructions] Street with Advisers. Green Our comes Tibone from question

few the discuss, this fees, you the expecting causing fees can level is then a there the you you also the receive on some And beginning categories fees? to provide of term the the were to could I’ve year tenant lease or the retailers, of extent fall at termination out? merchandise unexpected

Sure, Vince.

So about in this talk let’s of ways. a couple

use to allocating and There’s is of a the a tenant. this First the particularly fee don’t of a all, businesses. of And taking always be. termination of More a effectively direct failing reposition whole their I make to see. it companies than a lot the lease is do that what money There’s reasons distinction today. are reasons, whole – it used lot that to pile

I the me this, a out D.C. wrong their Vince, – or couple allocate is got whether Washington, getting to – one right and that find are change. a company a case here know want don’t from the parts out they today and of willing restaurant to seems good to that more of here where plug there’s market. – it And is company that or I because size interesting money particularly a pull to So it grew but in that business I’ve from the seems I’m on me companies – regions of

even from wasn’t few they a out as and – my more little things working I to through as of more to they bit able Whereas, thought some a ago, really there it maybe move perspective, a out. well worked be seems it can. to that’s subjective a if feeling, be years

do I that. yes, seeing of So think more we’re

you’ll Now you deal Depends. think And we really strong. Because look, – I contracts a them? Mostly, our to you do find have you statistic no. pretty interesting. mostly, are that if give sit let with and me I

the the terminations of that XX to lease not months there the we we’ve by are agreed way, many all agreed and that too. Over last have

that. about didn’t we all million of that now them of pass effectively, But fees. we to rent this do three we’re It’s them, okay? at nearly up point, $X we’ve lease – right? given to, leased million, a So $X of quarters of agreed $X out of talking termination almost And million

still makes incrementally There Now that’s to we’re rent termination capital rent, that rent sense those conversations. with we months of going replacing going forward. lease in wouldn’t be won’t fees away, the more it more those and with engage termination are and fees, where therefore, equate other more than case XX

around is and – a business through that money plans in just changes little more hope you and almost gives retailer get contracts. color I view at be about least, So to tenant, every to more at restaurant and going company about failing a what of it throw more of to really is likelihood not it’s out that my today able to kind

you that them is agreement lease? and say early, with versus say on would the follow-up time forcing when kind One a an work would reach leave to in carry you tenant them of percentage helpful. what out I requests the to general really just That’s of

We a I policy. to Yes. that don’t have a don’t question. percentage. know don’t have the answer I

a have how to estate value mantra. We create real on

conversation of if one we mean, – wouldn’t spot. where is something are, we willing are, do all at and now. each was to get those, we Darien be a now lease the expiration. it & as great get I that Shop certainly it the about through do choices effectively to consider before cared it, we example. that backfills look comparable – the at can So we we’re POI, out Certainly, able are Stop about really have We taking & XXXX Shop Stop what

those and of is I it kind sound different. – And simple of one straightforward, to the listen every So sometimes just all conversation, I that’s which I reality. think makes when don’t

Great, thank you.

question Wells our from next line of Donnelly the with And comes Fargo. Jeff

open. is line Your

morning, Good guys.

actually question one Plaza, is, Anne’s asset, First actually Queen a it’s near on me. specific

behind You think strictly to to is site of land zoned chunk a that it I’m property there really this retail? marketed excess residential I an been behind opportunity development, just outparcel that guys and wondering or for but put is have shopping it’s on center

would But township question. that First to asking to That I or IRR the very And to incrementally an you Thank a first XX excess can that is don’t love is it’s work in work. the to us but of that – my sense, we’re it’s we it’s to perspective, answer know it’s And to numbers looking that an all, I again, Well that. a Plaza. Jeff, hearing yet, there make question whether that you Because there absolutely from asked is got there land. don’t you is importantly, not, it. Anne funny about that Queen – invest. interested community congratulations. got But for you ask and have be there in from got a years – yet. –

what’s fee and some that centers case-by-case, like densification? of is facing And issues same creative some to broadly, of that you’re in days counterparties. of you more municipalities the their and maybe municipalities? factor of many flexible are change? as finding change, don’t a have found protect facing follow-up, And redevelopment maybe but zoning these a as mall the in more I speaking know base have and know tax resistant or even I municipalities but are cousins to reaction reaction probably you these or way been to what’s the planning are it’s somewhat types the boards nevertheless, same you your improve the probably Have of that – to

Massachusetts, municipalities and with I a – standard things and ago asked when Yes, and years couldn’t. same on standard type how termination incredible minutes When give harder Vince Street a you’re to answer an an fees economies, I and on been answer where answered the I the Rockville, where well during yes. probably of today, out. ago, can partnership has Maryland to few in give it I it’s work the Somerville, you not example been example an give lease about I even aware And mean, that between. It’s of respective incredible can Green partnership. I an at in you

necessary answer critical which So unless I – build we to not the that it from really relationships really help absolutely really for you’re don’t but unless you’re got for company local, decentralize there, hard, critical you is entitlements some that’s need you that question the business in on you everybody you your it outside and it effectively sure – those was it bit hard say in else, that can about is really get us, right an was make maybe that and critical faceless, more but us us community in. to for yes, what to were to does national company the trying a G&A, will to – depend you’re unless little I do what that big paying it’s is the

So out I the estate a cop can it little real answer, It sounds to you’re like of And, you a all is as sure it make really is but as can true. bit as close very is possibly dependent. know be. you an do

guys. thanks Great,

with our And question Markets. next from is BMO Metz Capital Jeremy

open. Your line is

mixed-use obviously Thanks. sources differentiator driving. Don, other the various and is the centers the of for big a you’re revenue company

look are comp It’s XX% under the obviously understood. the uses growing today. those we challenges, in As well the average think a I retail, they’re at non-retail POI, little

you opening talk maybe them hoping sources. outlook growth about was other I the for those talked in can your about remarks. You

there? some seeing terms to X% POI we in revenue it recovering as seems like comp your We’re solid we comp increase impact residential about think so rent, drivers figure. can POI those in XXXX, really other that X% Any color of on the this year, about think

point we there, long listening to a love a of well, get way, happen half fully we and all, this time but the projects, to would to don’t been exactly Day. you think it – – a lot I to the Absolutely, in, this have let’s and love understand I you really phase, you sit on were have spent I might during – put Yes. first this to and Investor Jeremy, of that be I do time big spend on period would mixed-use of the decade it decade this. or the time stuff. in does in

where ground that floor. filling And means daytime And for residential is search of in created – around place the ground are Xst-phase. above the place phase absolutely We’ve which created. it’s that the filling started now with the in in often we’ve office. floor where it’s likely about that the in the population, we’ve are on We we

over And Santana so adding decades, period look where today office at almost is are Row, more clearly Row market. that Santana two if in we particularly at the you

from We’re not adding retail. to run office away

XX/X to office that to the Assembly adding same applies created. the We’re & we And the the and to same place applies Rose. have supplement place, Pike

specifically dispositions that includes more It what comparable sure, those making and That’s rest things GAAP, on so into entire be there company, redeveloped. the company not minus that is – of not goes acquisitions and are see about we’re things as out the of it. POI You’ll our will selective are uses. that. All and being it. – in the all decisions Sure,

of mixed-use be to want – what that the don’t are in office building our they That’s us I those or are it’ll them. running of that’ll and resi parts retail we’re where So but gestation you period to just XX-year think away from developments be, solely.

guys. differentiation Definitely that. an here wasn’t for you more think I Appreciate suggesting just highlighting important that,

Antonio going that did second for out to like sounds San as just me be It so some will And mention pay anyways here. away you thought tenants. the having

think in a from lost how of should of So we NOI kind that terms that an perspective about center? from NOI

Yes, income, the term so. we a clearly, we get when fee lose

San center. Antonio

the okay. Center, sell we’ll from San XX.X tenants Center, we the That income when asset. Oh, San lose the acres. Antonia will be on Antonio

the it put million, Jeremy. let’s below income is $XXX lost way, this So a two cap.

we As incredibly be And I accretive. be out, to we’ll think are have but want you we give extremely numbers pay negotiating. it’ll because they’ll still to pay – creative. out we still what don’t

just value. we’re loss will of in So Shop be there yes, & But going to okay. quarters. news of some like about things great you Stop there over But for Darien NOI to couple terms be there’ll other next the tell in the and us that’s

All right, thanks.

our from Thank next question is Michael from you. Mueller And JPMorgan.

is line open. Your

the been, if you’re year, offers, the so has the about been pools big the wondering plate when and out assets? been, selling be buyer it’s on how getting you was interest knocked can just a little you’ve this kind what of the talk far I dispositions may what have like you multiple have bit what

Yes. like. strong. asset that rates shopping center very was some very not I’ll sell on that of in rates, that of significant was and basic size, interest buyer And the And we one jump asset you way Jeff give Maryland best would most not the giant-anchored we’ve cap in pool would The example, at at and for just one The a was sell State, shopping which feel sold. wherever Bowie, can but hoped. centers. Free shallower thin. had it’s Dan cap our and which actually that they that’s closed we we a than was interest with

somewhat that big well traded a there’s years. not in change little bit. on think Similarly, just deterioration, assets some number boy think I do at are only located, traded Santa a extremely been been no that past boy, And one Clara that’s that out of there. of in oh couple old I County, certainly actually coming the is over out There’s Campbell one there

easily the asset, et The of more from perspective. smaller they’re have assets So more it assets on some really cetera. them, depends have in interest more the financeable, type my – easily digestible,

– that or? Jeff if differences. of will, you third a of kind so that’s bucket, And

into I no, I And feel is assets. different, feel in but is think price good each executing about kind valuations, underlying process we us we despite about though, pricing capital I our good pricing met which higher-yielding think, of prices higher think, very our Yes. them. like for for We dispositions. and think and we’re – really turn attractively relative expectations this the long-term redeploy us in IRR these to to we yes,

So growth the we’ll this take creation to kind that dilution and short-term of that. out of forward comes look

Got it.

Okay, you. that’s helpful. Thank

Thank our you. Steve from is question next Evercore. Sakwa with And

is line open. Your

you bit in the at Thanks, a but quite redevelopment good too potential, the type I flavor potential, buy get of could us can’t assets of looking to densification Don, little have? sort you give into many the that terms for morning. specifics, know upside you’re a might you opportunities the of of that

that business similar There;s Steve. to store at plan More different, asset all that’s plan. have. They’re we that strategic prime looking Yes. what a that – we’re of

land, one really stuff Here street adjacent take that the can something the business get of under of lot. you will, off one over as To And in we a development – like serve like, we some for can own arm that what that beginning we of we redevelopment have can hope one a that contract already we another piece retail that we our transit. we have that on markets to is extent that that better we of creates if it. the

business estate three three different how part all all we they’re value. create and of stated So they’re plan real of our

to still bidder, trying figure things you these be out quite obviously winning differently mean, at think do just are you look guess, play I Are you I And competitive I’m how mean, into that ultimately stock does these see trying you come I think that to do what I a and the your as assets currency – guess there value? differently think things than others? create in sought-after highly or but

growth. that got the of that without it. that couldn’t turns adjacent there happen we also it, within the it that property, that And one. – effectively with the will, beats of street it on into that, on asset of up opens sense internal is because make so stuff, of community rent IRRs group think some hope growth the that to ownership, Latino and prime particular it you get hopeful the again, that with more that store, product the we’re that Arturo we rent redevelopment running retail Well, right, free can we store beats Of we’ve we type – if see the prime growth and local

all including And attractive. of see some on any for that debt associated those, don’t we paying initially issue of of is it. every use equity with know terms tool, us, we In to you assuming assets need those that’s

in. row they’ll right So

Okay. Great, thanks.

I’m And questions. showing Thank you. any not further

now over I’ll Brady Ms. the So Leah call to back remarks. turn for closing

fall. Thanks a for we and of summer, you us today. joining great see rest this the will Have

gentlemen, the does this Ladies and program. conclude

You a great disconnect. weekend. now may Everyone, have