you, with and my Thank remarks, our I'll significant prior quarters which Kim. after XXXX. two which lease-up are consistent discuss our exclude that non-GAAP undergoing conversion, is communities and renovation In measures,
measures impacted by communities Harvey. include the non-GAAP Our two Hurricane Houston
since of However, the we the Houston the meaningful. include that lease-up they exclude measures two to make results and the statistical them included are would release in measures statistical less these press communities in
the quarter of a point communities information, in we all will As first of XXXX. starting include
months But would financial XXXX. nine in to level growth long-term cause our the and the our for this that for first foundation of in with investments the disruption made future the some future and creating knowing eye made in been of investments financial year, and these the we've product, investments our In people results purposeful an creation. platform have performance value our building to impact
directors the and For our is directors communities. example, within communities important we've executive leadership for changes in refresh most plans in our revenue sales We've properly increase element our positions important necessary executive knowing critical sure and most We've made revised and at our motivated leadership to our sales directors. made certain success, high-impact areas NOI. that to capital to the are investments that communities, incentive directors make
and for VPs made wage communities. increased create at retain managers make sure our to improvements. are could sales excellence regional on managers increased that for present systems to operations our and present attract that drive repairs for added support our well improved communities We've to our greater our well and programs of market be We've managers number purposely create regional in the We've talent. maintenance and residents communities We've times. increased working and at and markets our spending benefit that certain critical the our adjustments communities operations frequently support of we've to sales to so our greater travel directors; more in cost all change
but impacted measures occupancy, we expense as expect in beginning revenue noted, financial to investments others impact we see and short and have suit. follow These Kim positively are physical to of investments our financial performance the term, soon like these and occupancy growth, – them other
lower our by revenue impacted our a over XXXX of are Declines of the to In came XXXX. items these as consolidated in $XXX,XXX sale related third $X.X to for of partially online decrease an of occupancy is on the decrease related quarter of the in decrease of of financial we reported Community company's by offset communities year-over-year third million X.X% quarter revenue related Hurricane two or XXXX. May million back incremental quarter Kokomo, from Indiana the The of to primarily this well which X. total July $XXX.X Harvey, $XXX,XXX the release morning, as third XXXX,
expense incurred that increase XXXX, to $X.X or to our Our insurance compared had million that million X.X% communities quarter two quarter the in at hurricane-impacted we adjustment. mostly operating related of $X are an credits then expenses due claims third third XXXX $XXX,XXX as less $XX.X interruption to business than million year, during million the of the the $X.X and of quarter in XXXX, third increased a to
mentioned, Kim PTO that. had to modernized we PTO policy, relate As we accrual to and our increased our
in quarter investments of maintenance, increasing last XX% a in and by the quarter, also over We increase these third repairs $XXX,XXX made the third costs year.
to $X.X The communities for steady hurricane-impacted in those third $XXX,XXX of business July XXXX. communities the occupancy. in two was in ended making compared third million Our quarter in reimbursements our XXXX are of interruption credit XXXX. Both the as of of quarter BI progress
$X.X of administrative and in for million $X.X to of third third XXXX general XXXX. expenses were million the Our the compared quarter quarter
third approximately have and positions. COO The of quarter XXXX our in $XXX,XXX related placement costs, to and separation mostly been the made changes CEO that included in
differences costs increased these the claims and communities, to and accruals in earlier, the as between with expense the managers and third Excluding third million having mentioned of periods. to compared travel transaction $X.X approximately two mostly related operations increased years, as our in on-site quarter expense, of in other more our from VPs higher cost, both health associated XXXX frequently regional G&A quarter XXXX, of I our bonus
in of revenue the percentage under management a as third X.X% quarter of was expense XXXX. G&A
adjusted of $X.X revenue, to of $XX.X of the $X.X third operating million third As adjusted quarter third of G&A XXXX, XXXX. in the of was quarter in million negative quarter discussed, million the third CFFO EBITDAR the compared compared to a and $XX.X our quarter in in the XXXX expense million was in and XXXX result changes
net XXXX case quarters negative XXXX. standard, lease the year of has January adoption in for $XXX,XXX of approximately accounting of in of been CFFO of impact CFFO to quarter third the X, the each new effective related Also, the the included this which a XXXX,
XXXX. decline the year, to basis monthly the last quarter was points of The rent same-community Looking XX.X%. as a on third same-community XXXX. in quarter our and average sequential compared X.X% of XXX of declined results, compared quarter We the same-community third XXX our second increase occupancy basis from basis of had at decreased points X.X% a to to modest revenues as our
in Our expenses increased of X.X%. XXXX third the same-community quarter
quarter that third the cost Our part in in increased our due rightsizing employee labor only large of the February X.X% workforce was our in of across of field XXXX, completed year. this to operations
of labor over the increasing contract cost XXXX, prior the third in did our labor, increased of contract XXXX X.X% we the year. quarter labor as quarter an in of However, the third compared see third our to about quarter increase $XXX,XXX. Including expense
As at markets. down is communities that a to adjustments Kim attract noted, labor come about most wage result, quarter. And the our $XXX,XXX quarter significant saw these second of pressure, which in the we've have a from we made wage number caregivers third us contract to the better as helping
Our in the as labor with the in our wage the primary net third cost – operating a to simultaneous occupancy the other food of of same-community lower third quarter, our were to me, and X.X% third the XX.X% income compared revenue drivers in decrease quarter adjustments increase contract costs third also in quarter the X.X XXXX of XXXX. utilities, large decreased quarter The decline year. same-store over last category, increased of X.X% excuse decreased and related in
Kim As of communities leased noted two transactions early October, the on closed nine we accretive two release, mentioned, as and in Healthpeak. now noncore termination communities also from and sale HCP, our in of an press
transactions optimize on These XXXX. eliminated to communities Missouri our in together million of capital net in million Illinois at in Peoria, $XX.X in price months our X the resulted foundation with million, the debt nine communities. had the $XX.X two October CFFO We work million position. combined a $X.X expenditures, communities sale of these proceeds. cash and we We on first and near-term the significant of avoided of The of our $XX.X Springfield, closed improve of noncore financial sale financial strengthen and which portfolio,
the On transition in we that on of October January triple-net the mature termination lease of into to communities underperforming agreement quarter. for around XXXX, XX, for mid marketed operators entered dates sale October the of lease half were master most to part new in the expected to closing of early of communities XX, an a late with nine other scheduled first are XXXX, XXXX. will and in being communities likely or second five Four
nine of will annual elimination approximately annual of nine improvement currently is each have $XX.X $X.X expect the to million which be community communities. we related These communities lease transitioned CFFO million sold, or expense, as cash eliminated of the and
this first which fee early in with of $X the of is unaffected We'll and lease remaining pay master termination to we'll XXXX, million HCP an HCP one XXXX, in have six-property quarter matures by transaction. that
portfolio, assets. to the in we normal strengthen of engaged of foundation and continue existing a divestiture considering course the additional be number the In including business, to our refinancing financial various similar of our owned of optimize activities limited and assets certain
ended quarter Looking briefly including equivalents, restricted cash. balance We of at the sheet. with million cash and $XX.X the cash
quarter, as in spent products third invest continue $X.X capital expenditures the growth. on our During to million we for future we
on the cash balance, attributable our the approximately XX, October increase the sale primarily to million, including cash, with noncore restricted of two communities At was X. $XX October
of fixed and long-term our loan XXXX. million debt Of a master $XX of loans our interest rates, was $XX $XXX.X majority $XX the totaled $XX bridge At for XX, X.X%. and bridge that of Our XX, of XXXX mortgage that rate was that at under debt debt in at bridge million rate approximately in July two facility. credit weighted except XXXX, September million loans, million two of a we an the interest matures September average balance variable at million bridge loan matures October have
to in September in with discussions assets active loans. extensions of positive occupancy month in that and experiencing in noted consecutive and bridge options We're part bridge both October. and/or with the we're in are are net physical August, lenders for remarks, current loans increases move-ins her considering regarding momentum Kim related refinancings
occupancy growth the quarter. and as financial to to expect physical increases third quarter translate We the fourth compared into sequential occupancy in same-store these
we're not sale we labor Kim improvement occupancy, While our quarter communities, will show as higher and third to cost. due to fourth to expect noted, committed seasonality, related utilities the our approximately CFFO expense quarter our contract $XXX,XXX same-store the reducing significantly the include of to lower to from two noncore results due
operations. of first is the taking remains in persistent results and stabilizing environment a on and investing actions of be will difficult months our work continue the nine stronger drive in the lot challenging, we the focus to We've in forward. to While year, fully going this done necessary our
We're to high-quality building a urgency will portfolio, that company working lead into diligently to the across confident financial We're have momentum fourth expect results which in sense continue consistent, operations build reliable operating its our the are tremendous to with a a quarter. will strong, product and we're that of and predictable.
Now I'll turn to back it over Kim.
