Regency Centers (REG) 29 Oct 242024 Q3 Earnings call transcript

Welcome to Regency Centers Corporation Third Quarter 2024 Earnings Call. [Operator Instructions].

As a reminder, this conference is being recorded. I would now like to turn the call over to Christy McElroy. Thank you, and over to you.

Good morning, and welcome to Regency Centers' Third Quarter 2024 Earnings Conference Call.

Nick Lisa Financial and Region Officer; Chief Officer; are Mike Executive President today President Operating Chief Region Mas, Alan and me Palmer, Investment Chief President Officer; and and Joining Chief West Officer. Wibbenmeyer, Roth, East

today's presentation are are our financial non-GAAP recent our filings reference will detail with our future reminder, in uncertainties. forward-looking XX-K contain are that make. current also on materials, market posted of Relations with earnings conditions. Investor information, may website company's including forward-looking our forward that cause beliefs statements possible on SEC, related more discussion may which risks and Please our in from materially most disclosures forward comparable and earnings included specifically presentation in GAAP financial may results management's and to risks these various to included XX-Q business these These could by from and measures. discussion It's filings. In including be The performance, in note a on materially in have statements website. this we we Form additional the are are differ and actual actual the and earnings to described views a that our those Factors differ As suggested about statements guidance. future results guidance may also we measures posted subject today, expectations quarter's financial today and and certain based

forward-looking these caution presentation statements on materials. to apply Our also

like ask X then follow-up ask do if have a today, and the to so. participants of your rejoin the who'd Lisa? we will question we question to additional to Finally, on and as a number limit the any This kindly everyone respectfully and you reminder, allow opportunity call queue questions. you that given have

Christy. Good everyone. you, Thank morning,

and our we've rent our hard fundamentals, continued tenant by This leasing which same-property proud in to growth. sizable quarter high accelerating shop [indiscernible] and of driven strength our results leased same-property record in of great are XX%, NOI our work another occupancy above strong including We sustained growth, really team the demand. robust evident for pipeline, rate, occupancy report another is operating

a our development current achieved now opportunities of continued we've year strong in but also to be million NOI strong of strength demand already the earnings second development more detail, team's X.X% annual year and a year. As active and success balance raising side, and consecutive X%. We've product we're same of new supported project portfolio, nearly platform. per across experiencing very result, go starts and will it are we sheet. property target and of our and for core growth another the our expect investment is into $XXX is tenant of Nick guidance through This on $XXX capital and expertise, our by relationships of redevelopment had growth of of million especially the starts sourcing our cost the share operating we've to

the areas group, portfolio. be a tenants same to ground-up unequaled other Regency our And amplifying further platform. to top impacts will their peer we grow our leverage for an look pipeline, development and partners to it for grocery high-quality expand NOI property across of total in our us space is opportunity increasingly our As trade further the differentiator as significant by, creating footprints, beyond and come growth hard

but operating results the current more fundamentals an investments organic shares. and our current Overall, deployed in positioning our the both reflect we million thrive we've our talent through development pipeline, team meaningful can portfolio in our as quarter our and environment $XXX growth sector the including the of well the capital portfolio, driving of repurchase today, accretive to nearly future. Yes, into exceptional of center strong importantly, Regency acquisitions addition transactions, creating quality robust our had our our as shopping XXXX, In value for and within through are of own cycles. in economic

assets are trade supply. located from Our suburban intentionally areas in benefiting strong new limited

and we Our our our what of quarter in and to forward superior high performance so merchandising to and for XXXX. to with placemaking marketplace. In we community the I of grocery-anchored into we and in service, consumers achieve retail of serve Alan? exceptional our positioning believe and competitive optimal value. grateful driving quality team centers looking quarter. can summary, careful is neighborhood results attention what with centers after our am connecting centers I communities efforts our look with delivering represent strong proud the provides format the convenience necessity, for the mix, heading And believe really

was our We the milestone ending to for since our expense record Thank you, results high same loss within NOI leasing time rent quarter another shop occupancy we largely activity, regard We to basis XXXX points. portfolio, at robust by XX property timing, to morning, and our the operating evidenced yet impact base another commencement accelerated Lisa, quarter and of quarter in first XX.X%. lower a higher occupancy, ended This the and same-property good rate, everyone. a favorable had recoveries due driven occupancy. With higher tenant our achieved rent up credit new of leased above shop retention, tremendous XX% leasing strong and growth. in

and and to reflective ability of anchor needle wellness, including continued a higher occupancy range in both is services. shop tenants demand robust off-price restaurants, categories, personal and move from of wide the Our grocers, health

million and strong at spreads rent today runway local continued we've work our points base a gotten pipeline rent to and and basis SNO incremental earlier of representing significant GAAP we've Our hard accelerating even tailwind commencing, collaboration leases SNO more rent our $XX rent, basis further and leasing than for dates commence cash of between as remains tenants looking XXX to in and through quarter X% blended occupancy nearly in same progress commencement ahead. We great the the high tenant move up third a pipeline, when teams. many our to It growth NOI points to demonstrating achieved saw the XX increases open drive But are also meaningful replenished success. rent our substantial as not rent rent property to our credit steps. with signed we quarter ability market the rate our this we but in commenced further contractual exceeding spreads embed leases and XX% marking only and to was

trends strong was our the embedding quarter, quarter centers same for quality rent to retaining above rent that positive tenants annual X.X%. renewal achieving experiencing. Due occupancy, are strong reserve ahead and with property generated performance also of had from reflective Our remains our retention that while historical expectations majority spreads excluding term of at are the growth, rate of great we period success our spreads, rent and the we've at over X%. increasing above-average These tenants, the renewal of XX% in average contribution COVID steps NOI the collections, our fees of base rent the our X.X%, coming and growth of

position the which from lower tenant positive strong had our and indicative of is of debt, contribution also health credit base. bad We

has from and reflective of improvement occupancy seen had team team are closing, contracts. In rate delivering and we've results, expense primarily for NOI am of ability I expense of our proud recovery growth in great to value higher our to an the the our in maximize the exceptional our further energized in XXXX. lease opportunities Nick? to operating drive work in and success also the due side, On managing our our expenses shop we

exceeding our Thank value you, than of on our Alan. grocery-anchored another start shopping at Good active Year-to-date, accretive morning, started of XX%. pipeline, everyone. blended million further creation the additional including high-quality centers. of quarter in-process we've and development X great ground-up activity, projects redevelopment We had development building of projects and projects, new more $XXX very investment acquisitions execution yields

starting For quarter of totaling more the we anticipate we developments. ground-up of those X ground alone, including started $XXX X million, with consecutive million the up second XXXX. In in roughly half new third over than costs with developments associated projects projects $XXX year,

retail quarter's a square Houston Jordan last master call, plan development HEB anchor on driving the community. discussed XXX,XXX which of new we Ranch, those as component foot of called serve will One in a

square project suburban trade attractive project Area started that the an we August. in called shops in Bay The will second ground-up serve This as XX,XXX this Safeway destination anchored is area. the in Oakley foot retail primary

also We million. earning $XXX great progress make executing profit our continue totaled now to pipeline, over which

blended season Next projects on [indiscernible] development redevelopment XX%. may ] exceeding currently both returns than and evolve more with average, the XX% [

leased strong completed we New this We've Jersey. over quarter, Green targeted now project extremely seen well. community with reception in Mobridge the tenants performing This development ShopRite-anchored ground-up to XX% Glenwood

a in estimated due expectations demand, meaningfully to and In leasing to XX increase resulting IRR the fact, underwriting stabilized enhancing strong basis we've the our outperformed yield. point our

development the I strong Regency's center program it to supported we by tailwinds many the to is Regency macro team, to earlier, be expect best a development years differentiator of be continues increasingly believe development of of sector-leading coming additive in experienced the peer shopping discussed Lisa hard as to our The component NOI As well growth projects program an the be success momentum which as these as for and key within our bring fully the online. group. total ground-up industry We the across in business. work

development an provide and Our particularly today, business flexible talent with with opportunities. balance and center sheet relationships, combined unequaled in flow with advantage shopping our free the cash ground-up us

we share to this our center East an bringing August, Austin Island, In we've $XXX [ $XX retail in year, than a [indiscernible]. also we to trade ] the $XXX prime activity addition market-leading successfully center end, shopping Greenidge, in by located more more million million acquisition in acquired quarter $XXX of area than completed of Subsequent node starts the and suburban grocery. year-to-date acquired a million. in million South investment centers. a In repurchases HEB-anchored Love anchored neighborhood strong to our of project of the

fit Our our benefits our excited to set. value but of creation be sourcing and forward that our actively team underwriting [indiscernible] and to engaged engaged is pipeline, the additional Mike? our We sourcing entire deals criteria. acquisitions. investment In larger seeing only team continued look also about closing, opportunity not success investment continues growing

NOI rents. Same-property and primarily and Thank fundamental share fees performance. outpacing $X.XX growth quarter. our period the majority Results the was earnings you, NAREIT quarter of share coming reported Nick, from $X.XX operating per term per and with that good morning, growth operating We driven COVID of strong everyone. excluding expectations reserve of X.X%, by collections, third FFO for core include results, base

NOI following coming in growth rates down a an expense basis growth is to rate XX we detail the expect had average a our our and impacts. at recoveries. represents earnings outcomes. highlighting debt same-property increase now the commenced same-property of XX midpoint guidance year core driver reducing XX from range our by basis now you now As as rest net from to in nearly to year-over-year X earnings presentation, X.X%, this ranges. We and some benefiting growth. refer continued The points increased a we're higher ranges favorable occupancy, primary both lastly, points the our increase retention year, our our by from loss term income commenced operating I'll primarily by in NOI excluding expect prior result Slides loss combination while outperformance of planned this core lower previous new the XXX downtime and to bad outlook the earnings raising uncollectible of range The lower higher elevated per bankruptcy range $X.XX shop key expectations NAREIT reserve to our deliver given due driven to and of occupancy to the of higher collections. We outlook or midpoint, XXX higher pipeline and our than for period points. And higher of a NOI on X% year, our Notably, was current fees this levels accelerated earnings we rates, year SNO X I described. Credit just FFO of share credit rent and commencement basis COVID also to maintain we these same-property lease also positive is changes. operating midpoint originally

our we results, our provided color future to will Looking earnings to ahead expectations. not as guidance February today, help initial that suite in we to next year, with of yet while we provide want QX have some with do full

recently area. For growth increased XXXX, at growth NAREIT X.X% NOI to for And year in very expect our we this be for FFO, we expect to same-property similar XXXX least the expectation X%. of

activity year full expenses absorb not million a will debt XXXX, for we of and this As refinancing in year's approximately merger-related the couple we repeat. this year's impact also reminders, from that will $X of know

X.X% We August completed credit. was balance line at our our million pay in used balance bond down issuance of which to a to of a $XXX the sheet. Moving coupon

our to than this X.Xx fueling $XXX EBITDA, target of expect of the more generate Following to and to debt transaction, of we remain range million flow pipeline. growth we within our year, development free this leverage Xx cash

position, and of advantage We ability value continue to of cost questions. capital proud our to providing create look be liquidity a with and that, we arise. With forward balance opportunities very to accretive when sheet Regency the your

Instructions]. [Operator

first Bank America. of The from question with is Spector Jeffrey

This Jeff. Reale for is on Andrew

leverage growth? refi range, you're the interest fund the plans credit what for balance no now rates your at sheet, has on Just XXXX. of reversal the Moody's wondering up end year. is until rating changed levering received the from And all? at low this your significant appetite just given you financing And to target upgrade needs your late in

Andrew. that's allocation in we to to on through growth consider at the stock. fact, an X.Xx take even year, we going we've demonstrated of take within I compelling and that appreciate on the see -- forward, ranges And think on important the it sheet across this we're peer range. for and that accretion our operating that remind when comfortable internal of something so forward. we accretive as use was and to lean to and our repurchase cash the group, year, when year with into earnings leverage continue And we it's have everyone continue this capital will providing And rate going see did I are $X.XX our accretive characterize own kind floating our that growth compelling to we capacity. we a we sheet basis, as within This opportunities. that, us, between would I'll see up we'll to about Xx another cash consistent of balance looking $X.XX the committed end our But capacity of Xx and our range. We question. free I might comparisons out balance our into we to very debt-to-EBITDA free look quality. the and area, do I extent opportunities the if the X.Xx upper our we'll at of midpoint. our external position future. To of think an that

next is The from Michael UBS. question Goldsmith with

X.X%. NOI took You this [indiscernible] growth expectation for 'XX to

pointing acceleration experienced number this of an a for first similar the You're and year. to you what in represents from half XXXX this

is and makes trying sustainable? are of Or come higher you accelerating caught what that what and it changed? of that there of play, starting to I and strength other feel the benefit NOI? kind that the level you're comfortable that the property to growth changed this that's I So reap guess leasing the market Is of like same up has and has about some factors guess, into more the understand environment now

through If of like a are that that Alan rent. One from pipeline perspective, We on to the and numbers really let would knew trough validated perspective. continued bit SNO would a and opine the as the of couple tailwinds rents has the launch event average but quarter, out NOI be a confident as growth changed this loud have for process commenced quarter it's fourth and and started the and results. following going also that really timing accelerated and through testament into a on. that We've quarters team's our a that third the we've earnings third profile those thought would originally coming in coming replenish that commence is percentage has changed in had would really year recovery testament the we're we kind by fee work be potential into we of quarter But team we growth that build and the market. a 'XX. that occupancy changes. our the to We the to of a future pretty continued into pipeline growth thing the we of productivity team SNO just -- a that tag-along year in emboldened can earlier been seeing from start. our from -- over nothing especially impact Michael, I'll past hard I projections thought of about as that has our

I the Yes, I'm Michael. happy question. in, appreciate to jump

been the we've date great our are proactively white for and acceleration tenants. it also paying off, we where partnerships boxing number a in on and terms focused said, of Mike appropriate. commencement there's And really As creativity of quarters rent at spaces with is now

normalizing are negotiating months And We in before plans leases interestingly, many, in permitting many terms. right a supply was are the getting really favorable start many aggressive tenants that plans and terms prosecuting norm ordering cases, pay collectively, the chain ago, starting not their signed, acceleration to equipment in of really and something tenants on and their lease advance commencement defaults now, it aren't we're to permits. more it's and of see be when rent us allowing is off And days. to

Let's transfect. make a

thing we're quality you're we We quality is as the team deliver really know our stable quality a occupancy little that's bit portfolio NOI And the And good team believe, most hard that's, is what of we're growth of be team talking will achieve. close I of said, with ago. mind, X% and set And bar all the about X Michael, basis. And that how seeing. on think occupancy, growth, If we XXXX, we're going on expected that felt say, and the the to to about what good you on will with portfolio, the quality And the same property steady of the familiar enable of we starting basis quarters a model are our through sustainable the we the Alan to redevelopment see a work to increasing people while as and And sooner. and the and we higher. and for XXXX us growth business to the platform Mike do our have higher higher both really the our don't began come again, it's the continues I there. call. fruits still

really good really feel I'm team. So we and results, our about of proud the

The next Craig from with Mailman is Citi. question

deployment that as at money head proceeds sense out feel we are $XX and Maybe on acquisition kind RNAV? like be is of there guys redevelopment make And a the the for this getting source the the kind out it least opportunity And win market, repurchase? to a that million reissue -- you from an does there's that as $XXX do the could or million at perspective take of on it above funding put kind share of you But accelerate acquisitions the front, at repurchases year. side, one-off the into you look you above capital to transactions and now to on share 'XX. going forward of to you're

Nick. on all second been we've and maybe across you've this really Mike fronts. then weigh Appreciate first the in Greg, But part. the is part active as take I'll question. the have indicated,

every lean we capacity year, again, the other when into And to meet we've as opportunities indicated our to will million call, in free program. indication to end Mike as in earlier in our $XXX redevelopment then of so last and and prioritize have prepared past, north cash in similar find to And remarks, alluded as our that year. And I we additional capacity we that continue we'll have criteria. flow our to the said this we development our program,

at we talked have do and ones capacity that when we that if as look consistent quality to we with profile, especially our acquisitions, so And as lean growth our about, things can we are find we've one-off fund we the accretively. in, identify

to the 'XX, continue or we throughout And we've is ability 'XX found year, see capacity great this. the layers opportunities. as we do in can and on you news those execute to so the those have identify And

Nick. me track our follow From We're capital proud let a Craig, very record. going we're be to you, sourcing perspective, there. up Thank allocation disciplined. capital of

We our of be we'll have the equity and cognizant capacity. our access And of deploy of when around sheet use we cost makes balance to understanding capital. if incremental it. that capital have sense. we very we'll when many But forms

have to access equity. We

throw just vehicle we newly with that in another we was equity also quarter closed form access that another $XXX me acquisition after capital our a Oregon. recommitment of of to of ] to That's Let of [ end from million form a partnership with new or Oregon. have the with XX-year-old capital expanded

a it So use forward. sources growing disciplined multiple We'll we have -- with per a mindset share basis of very of on capital. earnings going

Scotiabank. next The Greg question from comes with McGinniss

that a same-store fairly you NOI items Would it's maybe to the terms out contributing listed. in obviously the late be in rank of increase able increase Mike, substantial year. to this

you So trying the debt those higher be an just commenced recoveries, to how of kind And is rate of the or business occupancy in or side. contributors how tenants? as going terms factors and long-term bad terms the handling may on understanding to of and of leasing in retention you're which think associated get

Greg, appreciate Yes. it. I

You got the right. categories

rate to the a I would would loss pipeline combination translate retention XX% expectations of is that's XX of recoveries. of F&O they're debt run from and of August in -- higher the roughly our talked I'd into -- historical down both as and in back improvement, out rates, higher increase about that accelerated say past, ULI year-to-date commencements running be expense, from all credit So that our below leading that That's is basis on we've averages. our say margin. points. And the

roughly balance higher The retention a result. on is accelerated split as between Our that outcomes recoveries commencements, and higher XX% part is evenly bankruptcies component. of

compartmentalize how we that's So the change.

hearing closures. closures more it flow From or especially like more retailers a risk store more restaurant we're under sounds about perspective, and news

consumer a portfolio anything that about guidance, side? for As or bad for normalization not from what there we're particular the Or looking forward on is least, in bullish the debt XXXX, you're the into front. but you expectation looking seeing bit of the is more a on maybe kind at making for now

going We're credit guidance for plan offering loss Yes. suite roughly next of full a average of bad indicate it's think do that fair to I would of be this time. level in historical year. point and to at a we But debt short

bad recall output, bankruptcy expense to a provision. and credit debt basis that's basically that So point XX XXX loss

I So year. next color there's that want Alan, to for anything plan would from level perspective, a share? if you

I X mean, had we're I say filings X intensely Lobster, that Conn's, with we managing the as always Mountain just noted, all in you quarter that And through last we locations, Yes. portfolio. Greg, bankruptcy I would XX one of comment those Red made I X some of had had them. identified Sports Eastern

And those Beppo that well. now, anomaly I of has happened. have a QX with X filed, one Big has QX? in filings we thing look an [indiscernible] has as similar you as location think at has the filed, di all filed Buca so was and Lots

sales, that's quality I strength on really and but in right testament always feel that just our lawful about to and staying Lisa a good strength And markets qualification And to we mentioned, the think we're of really team so we're merchandising the committed operating the a the certainly of now, as the portfolio it. keeping the process. eye

question. are to as a limiting one reminder, we And just

a have Greg. people of Thanks, We queue. the in lot

from with KeyBanc The next Todd question Capital Thomas is Markets.

should where discussion you that will X majority this attributable you But was portfolio sort of us as when the portfolio same provide that the opportunities increase the quarter enter I mostly on stands ask remind just you for that's then been. has and it impacting pool? can the of how around an the And to and within that maybe about XXXX think we questions wanted just upside that. to same-store today? the UBP growth? Can guidance that store, about see update And

Yes. the I'll will by the activity let the [indiscernible]. maybe portfolio. I way. first take welcome Alan to within and Todd, party comment on the

year. We into QX property next of those will effective officially assets same with move

include year gates UBP the around year So same-store with we'll part come next portfolio. as out assets assets. growth would My our of next of comments those

the performance was area those consistent time. see into going the X.X% And in with include we next the Honestly, outlook the performance beginning [ ]. of year UBP. all growth would X.X% at at difference this in material from between the don't So agencies -- of that and point we assets had a month

the are the year-to-date was this bigger some just things through it's runway over lot, smaller people. of At a sort creations continue leases portfolio, parking well. We leasing mindset our XX% going But pad to the redevelopments. integration of really really Square some end, it of time now. in we [indiscernible] by great front XX% Todd, is to in [indiscernible] leased some of XXX a and as opportunity the and there, I'll signed some but the We renovations a think Alan. evaluate example. that got is to couple the the merger, at But a I as one Danbury use really lease. the good in going is percent you [indiscernible] grow on a and mid- been saying great long we've from perspective we'll would are term, be focus a acquisition since This it's hyper thing asked. we've do there's to

sort the the focused. of So mindset we're where that's and within portfolio, that's

be And redevelopment going we spending underwrote to expected. exercise if with did not announce thought. that that slightly we performed, expected, leasing going bit of it the And to we you when was we very the consistent and it as we're are ton a as a new amount leasing we'd that weren't we There of what as comment quality. to opportunities, party, and exactly did said, the little more anticipated at do our of expectations, is a Alan our merger, performing above time has the capital exactly because if

as rolled legacy we when well in same-property leased call Regency. leased, you still percent so not And the it's as

And So really is have property. opportunity in we what that you'll we're when there. building some same see still the

The next BMO Capital question is from Markets. Juan Sanabria with

commencement? Is of would Just your 'XX than obviously do of growth thoughts come little performance growth that about hoping sensitive been just this takes otherwise on think we rent pulling X.X% be Is the be we and give bit how early expected would on kind of is year? have you'd that earlier-than-expected a I a better next a should bit thought is would the question, you on forward year? could next And the floor 'XX. have recognize talk you thinking and about the puts color any helpful. you can but

for Yes. the is and Juan, indicating area you'll appreciate appreciate X.X% The I next we're question, what the year. response.

Listen, for and been I the your in for don't sooner. is like guidance next our a first to we the time, I support launched out question, transparency no, point 'XX. think of I as pull-forward. feel that's suite late launching anticipating the into next like a into I finer put some customarily it's And launch we're we'll this this full plan talking on we've enough still working to quarter, point. and do a feel we've 'XX that. But and just share growth of be edges about at for of And you, time. this of give year, point lot we'll think

in that [indiscernible] it last as that But you million Importantly, quarter $XX portfolio. million [indiscernible] we think replenished $XX was SNO, of ABR about roughly. our

back for in little sooner than the raising into up. that our $XX on a of us or what's of So we've anticipated 'XX. but we then kind right and it that's water 'XX average, level we filled million And compounding delivered eye level kind

from is Kesten question Wells next Dori with Fargo. The

beyond building us ] like your were [indiscernible] pushed the some office 'XX noncore guide. from into disposition that non-long-term Can looks if you sales Erste remain in assets [ remind of just those? there's other any It legacy

up, change got color And mentioned, you just or They're a Nick, so. if the I assets. noncore, of it talk we do like like to let would small please Dori, in, buildings it about had you'd as was [indiscernible] nonstrategic X a we move. -- that to bit very me guidance. X office

more disposition talking and think proceeds. come out I this in our so or year of that of We've to moved next guidance million we're total, $XX on year.

a quality the you There as and of what into are remind disposition they assets the kind disproportionate we forward. the result nothing program we withhold to that to of the merger. quarter. want going until time in won't next said is Erste I Regency We disproportionate about of of at merge them going

is question from next The Haendel St.

Securities. Mizuho with Juste

appreciate 'XX debt here. guide guess I is my the So kind the color of the initial on maturities posts. on I question

next so on $XXX X got them. maturing handles debt or You've year of with million

So outlook I'm And for your what's I there? curious FFO that thinking X% What is next growth you're plan? guess refinanced embedded Perhaps that within timing? year?

FFO The ] both and from 'XX Yes. head changes in impacts [indiscernible] the 'XX. the debt [ would include knot

was to what basically we this at all midpoint So actually in importantly, right year affected you which, with year, as the the the largest do June. of know, impact has financed

market at bond capture capital to We're capital we it's to favorable of very capital maturity [indiscernible] time. can. need will -- a going We're going incorporated as and use that next we selection in at we as long have right rate, into public So to cost that be windows the going refinance and to the with as into very a that work that knot. head we you tactical the our 'XX we markets we're that year. late have mentioned, as

with line Kamdem is question the from next Ronald Stanley. Morgan of The

This is for Matt on Ron.

lease You was this guys be strong demand next see going XX that percent that same-property thinking we to should How over mentioned months? shop could the and forward very XX about that in you the tenant number. quarter,

right at say for the pulling And strong. staying Alan. focused. now. is high you Demand recent would a not Matt, is off the But we set This I XX.X%. question. record on shop we're They're troops thank leasing

We on a just 'XX, not a now. are just Sephora, leases occupied signing not but just and J.Crew, spaces at still occupied to are in are engage, vacant right Farms, signing I'm willing looking tenants few EverBank, that in Mendocino spaces And naming also spaces, they're all seeing lot on leases XXXX. that of but

side So as set trying have XX.X%. number. focused to a I well, sight get particular don't drive we're that we peak to focused anchor of to forward. would and that as roughly to of on but process, continue we're levels shops, continuing on expect our back on our pushing my part the

there's runway committed. is and the believe So team we

say that consecutive the like didn't I'm disappointed Alan for it third quarter.

meant Records broken to are Lisa. be

question Samir Khanal Evercore with ISI. next from The is

accelerate the understand next not the I and year. to growth I on is just for for group but X.X% think expectation because want year, the Regency group Mike, only the to next

But something want So look, the of just occupancy. is next get make being anything sort here, rent a year? conservative sure commencements, better growth you're to there that's missing maybe the putting but I lid higher I on not I'm that here.

X.X% I this growth. Lisa's exceptional. be above-trend is This don't she actually is call, I would X stabilized is -- think was consecutive on that making mean, point the you're years missing earlier that anything, a considered I Samir. basis as in And

the points, of XXX points run. teams But Matt's by are of study would encourage that occupancy We from -- which really out. opportunity occupancy next -- are area that if a we about I good commenced. I as very as that as basis see the supporting change share and we're we XXX XX set XXX points anticipating everyone pushing north, them. day, with as moving year, take XX, to you that commence. Page proud will in frames And at the a head put of commenced by commenced and to single the fast I in we every are yours, very can look that in earnings you people -- percent -- about is on in moving element we And deck the that as move that's page, X.X% the basis pace percent to gains. as history a X healthy of the we benefiting -- question in from basis a you'll wanted to for knot

We've that got a question headwind, to We've space. We've can the directly, we're right your of the deliver possibly of as franklish proud very those doing as time. build well to lease we answer got what's And team. space. that got to out So I'm space. now.

is Floris Dijkum with Van The Point. next from Compass question

the XX% think, shop is than which typical pipeline but I from over coming ABR you to I a But here next this space? mean SNO more the look shop You percentage the from have coming there highest as typically and space anchor ABR of you're to -- months shop, of are rents XX I where your double in sector, XX%. at rent. XX% at shop of the have one think around going XX scenario is

portfolio specifics. and our necessary I into bring get we about well that you about a them of to to cumulate competitors going hope as our and making shop as that there as we're continue lease and our as not strategy, I anchors. some into long quality shop investment can commence remember, were just anchors when time I'm space. talking space our But when think even for at

rents We at is space. fact of to But just the rent have steps, growth typically shop shop better contractual We get not same a afraid We that like balance. time, it's you are pointed better. been higher. the space. Clearly, the the

much we -- space, need we centers, the to X portfolio. cash it. in of our it's -- But the didn't like COVID. stream flows the We also because that get flow it's to shop during shop dividend we been, X and format our that, continue the our to important and balance or I of you, anchors. I we the the factor, our sector. a very really And sustainability shopping we almost we quality We existing lean that's grow cut what, in But space, like NOI now. and appreciate we years acknowledge the and think that really really intend from steadiness, the remind cash of of that

The Tsai Jefferies. with from next comes Linda question

with In replenished you of year, million SNO pipeline, this you said think building elevated that do or stays and you compressive terms next replenishing $XX the year?

right? elevate. think indicated, blessing do going to Alan a a to into to I set lease it's perspective, we space and as We records, but continue also pipeline trajectory rent, will absorb continue Linda, from over right? time SNO and to commence that a more and want curse, want We and XXXX. new commence Well, to we're

As top we of running of out ends of we're -- because -- we're kind just percent hitting leased.

[indiscernible].

isn't You material our going should compress outlook significantly that us either. forward. for move-outs as to high expect

anticipate do It us averages going in I compress compressing So X won't to forward. year. historical that

page We here. and have internally on -- the same we're

and of rent than a more X pay year have of us increases ahead in disproportionate We growth of because occupancy. manner in

Alex The next Baird. is from Fagan question with

$XXX One on pipeline it's in that million. I'm It how year? get the development the next pipeline. curious big currently looks like at can

Yes. the I question, appreciate Alex.

development alluded, development as over total in-process you So now right our $XXX million. is and

continue an exceptional job has continuing of team next also just But online. [indiscernible]. to the So done bring projects

a ground online. Jersey As bringing New that plan I of remarks, job [indiscernible] in did project the a project mentioned the prepared team Woodgrain, completed, just we phenomenal

year started another projects. we've on year. just This as $XXX and future into as to of million $XXX We over indicated, pipeline so love of to we expect going And years we the bullish And they the in of continuing platform, lean projects deliver million $XXX move very future to ultimately a expect XXXX, and into year, we million $XXX continue it. over start million. to start and year a out. we're we're

next Mike Mueller from The Instructions]. JPMorgan. question [Operator with is

you saw, How to say, what time expecting you're what for new frames and compared does stabilization between development today the COVID? GFC

what operating end. would were development you, same online Yes, in portfolio doing terms about I we're of aggressively. and seeing to tell what similar tenants Alan's great question, Mike. on the the bringing the thing We're it's a remarks

I permitting is, call see would to stabilized. supply starting bidding are chain process We it,

online, to relates actually of point would project, as of little to to again, from the project good range, of I bringing ahead it so and a from Bridge not scale developments job depending I'd line. But did expect ground-up the X- team our NOI. to schedule in Old really -- on and time, the And budget commencement and and the X-year the construction -- time online, size ahead be construction coming the really commencement to example a of to it that nice only that a of starting on

time on to ability and these projects right we budget. deliver And have start our now confidence on in so them and

is The Kim with Ki from question next Bin Truist Securities.

rents curious drove Just a higher? level? of And more follow-ups here. going I'm other a if property What that's sustainable couple come

Ki real Bin, yes, quick.

that when ancillary ATMs, contributing temporary the plan initial items can signage, line items, property see higher insurance level not disclosure, streams centers in so their like cetera. for not lease, it storage, so We shopping third in our importantly, other settlements, area income a in fruition et you into coming tenants, factor we of area our they're that. There the just income. nature, did and it in lease insurance benefit, property -- So the settlements other quarter. as part income of the income between to in parking, settlements the is come was into year, because location generate lease-related but out other et right? is outlook cetera, it fees, income our contractual, know think increase And And that So our income differentiate is category. in qualities. within Other a quality we property the are the can other that of everyone's planned was items portfolio everything that is for drive other is so nature, will in consistently of zoom we the income because its in we year. What onetime but

elements. into Are to trying some causing that same-store some watching larger And at same-store better to might be back on 'XX, renew may that cushion any Okay. that not understand the X.X% going just commentary kind all just NOI of that detracting leases of number? you

a We're plan, Bin. the of aware leases. doing unique was 'XX bottom-up Ki very set we're of circumstances. mover a mean, needle I -- highly We're

that 'XX number. earlier a in So we basis XX a extent I more will big area year. any plan the pluses -- remind those or average would big have minuses of in comments in And in to we revised credit do my next to on basis. revised as we a historical loss leases, the captured in the everyone, from want year point be to XX call, anchor for

a XX is are that XXX averages historical remember, of So points. basis touch And headwind. a to

for I the Palmer conference like to closing hand over would now As remarks. there further Lisa no questions, to are

you. interest Thank Thank many hopefully, in your few of you I you see, think, just time. appreciate Regency, we and weeks all [indiscernible]. for I in, your will a

This conference. concludes today's

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