RPAI - Earnings call transcript Q3 2019 | Retail Properties of America, Inc.

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Operator

Greetings and welcome to the Retail Properties of America Third Quarter 2019 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note this conference is being recorded.

I will now turn the conference over to your host Michael Gaiden, Vice President, Investor Relations, you may begin.

Michael Gaiden

welcome earnings Retail conference and third of operator XXXX quarter call. you to Properties the America Thank

In addition additional to our we results, have the the website press release a in supplemental distributed at quarterly www.rpai.com. package section with INVEST details our posted on on last evening

believes, On management's by such These laws. statements and usually identified prepared and answers may words your questions expects, securities today's statements under that such anticipates, similar federal use of call, the as of include expressions. constitute remarks words to forward-looking variations statements are or

described Actual guidance our results our may in set control, be and earnings of risk differ any and in last forth and are other XXXX including Form factors the factors night, statements materially affected SEC our from without issued beyond limitation XX-K, in in and a variety those risks most including will by forth release recent our XX-Q forward-looking for filings. those that set

statements as whether as reminder no information, publicly statements forward-looking a and of any otherwise. obligation result to management's of assume or XXXX XX, forward-looking future a new we As October update today represent events estimates

which our a financial supplemental non-GAAP comparable this may our website of on we can available quarterly our and www.rpai.com. definitions refer the are reconciliation numbers release measures at in financial GAAP non-GAAP find in to package measures, non-GAAP Additionally, these for measures call the you Investors directly certain section conference financial most these earnings of of and

and the to Chief and open Executive Vice Steve remarks, After will our Julie Officer; Swinehart, Shane Chief Financial call speakers up their Officer. and President, will call, prepared Officer today's questions. Chief Operating we Treasurer; your be Garrison, President On Executive Grimes,

now will turn to I that, the Grimes. over Steve call With

Steve Grimes

I'm year. above-plan half report streak everyone. in to Thank our as to continues our performance day first of proud that the of extend team and seen good you, Mike, the

big stronger of expansion the proven growth a core not In site time outline XX our retail at portfolio traded you have supplemented record all prospects highs company three achieved record to leasing leased with as our meaningful at our as our a GLA, and through. QX continued we for portfolio I path and redevelopment top as records, for our growth percentage diversification as Our on projects. XX.X%, and concentration position record low we this efforts RPAI publicly shareholders be by our never several to in performance well volumes pleased efforts as as within our key of percentage could more through for call. will be tenant including shine

summary, the achieve. our can value, performance quality platform our real QX tangible demonstrated and again estate high combined In

well accelerated us, XX.X% bode leasing volumes driven a rate of also Our our record for outlook. lease which portfolio have for

our lease up X.X% to trajectory So QX. jumps in XX.X% in spreads, which from too a blended does in QX

at Circle also to continue derisk our the will in commencements growth in late and we driven our East expect Shane We Downtown rent East, complementing Carillon rent to Circle portfolio. XXXX, and detail, as at Loudoun expansion One redevelopment projects to continue and begin and core base advance

on consumer up XXXX continues X.XX% results to centered our from housing Our raise They same-store X.XX% backdrop jobs and that quarter of highlights firing and on the NOI $X.X assumption share is per X.XX% aid economic on increased overall. FFO health fourth team sounds remain all to we deliver growth on $X.X operating earlier. to of to our diluted focused markets cylinders, in retail and X.XX% guidance executing to the

X.X adjusted to maintain quarter. expected in than net debt financial better-than-expected EBITDAre at quarter third third CapEx Our results times us to lower the and helped

hold a this announced remain ESG. We Earlier week, need opportunities of ESG governance issued of to our press than the the more condition balance expansion ongoing launch capital, we new features the rpaiesg.com. abundant diversity, fortress sustainability, to September programs all our new and focus and the site will implemented $XXX road at momentum with our and all-new our encourage of our of XX. to our continued successfully release capital Microsite liquidity that visit topics as for operational in we foreseeable human sheet million growth. no seat Combined outline. energy, driver's commitment external Julie that like to summary the With other and at you related corporate Microsite, to support on I

potential momentum RPAI over validated our much on on of beyond. the hold we enthusiasm firmly and thesis for and for capitalizing this remainder are results X.X, year-to-date positive the Our our year

The emerge parallel as being paths in come infectious team's before are truly to of be day-out unwavering our and today. coming eyes know is it. the see with commitment. moving with team day-in at the in to in we our to here sharing vision X.X you exciting together our an results, enthusiasm we'll growth years, Our we before delivered RPAI It

that With quarter over Julie I results. our to third detail call turn will to financial the

Julie Swinehart

we FFO Today share $X.XX will sequentially our $X.XX the the outlook above quarter, per per capital up to $X.XX count X.X% reduced result perspective, third XXXX. of QX, for primarily XXXX earnings in as or Steve. FFO a up share, of operating compared the our I diluted and remainder due of you, comparable third discuss three NOI XXXX. From in and a $X.XX, positioning quarters of as Thank our diluted quarter generated delivered we an year-to-date share results, operating growth to $X.XX

third the XXXX first previously fee communicated by growth NOI and this comparable a same-store XXXX a benefited of due quarter we of the expected as XXXX we call, our last to more for growth on rose difficult the from X.X% pace A same-store over X.X% the earnings increased driven half termination expansion deceleration third NOI earnings period. QX, quarter income. reduced with net QX $X.XX share Same-store metric $X.XX contributing by count share per in

we anticipated same-store this as magnitude our continues the first points basis power more occurred, and deceleration QX. categories small beats than to this adding While part business on broader contributing to to due growth, in our growth most XXX expansion lesser Similar expectations. internal to across our rent our it in was visibility compared half of in than to same-store results

percentage however while helped as increases served significantly the majority and with other occupancy specialty base rent lease as of NOI store also expansion, QX expenses Contractual the this recoveries increased of primary gains contributing, also same rent expected. spreads vast rent related growth income net offsets and in releasing our

other and lower also points by been Our contributing. year-to-date same-store bad related has also base growth approximately with which lease X.X%, income debt higher growth primarily NOI added generated rent XXX of basis

same-store Regarding debt, XX% had XX half full-year bad I of call debt last on bad quarter's noted in of points only of assumption basis the first of used been revenue XXXX. that our

tenant diversification our debt fourth health quarter in needed. is and that efforts available In The bad roll. a of our assumption leaves which the third quarter, for quality fallout portion year this as among of and used our of debt tenant full incremental in same-store year-to-date we as allocation, in amount bad digestibility if well bad the full-year fallout broadly credit another leasing of reflects merchants XX% toward ongoing debt rent the of visible XX% QX, recorded $XXX,XXX tenant both

us redevelopment year-end. lower expansion which net to to only million debt of planned and shape Due hand. the sits $XX at Liquidity spending Turning balance drawn sheet and group. times expect $XXX to our $XX positions with quarter-over-quarter the adjusted capital our to remains over X.X EBITDA, million unchanged in peer our also our of on structure, in robust by with on leverage remains tick do half ROE projects higher million and revolver cash slightly on we great

effect and a a swapped $XXX below loan. fix, leverage time XX year LIBOR-based million quarter objective as million loan, locking costs these on loan variable $XXX the current the and earnings, disclosed for grids took the five We at all-in term these for term year swaps on million on initial lowest $XXX our these pricing million, With during the of raised July our this million We in our well term or the $XXX goal. leverage million, remain placing us on debt above year our the X.XX% sheet based for year to raises committed million placement, seven with tallied tied six X.XX% at $XXX five term capital borrowings, $XXX balance points to we year August loans XX. from health rate seven aggregate $XXX stated of and in second loan

principal hold to $XX now by our indebtedness rate are secured aggregate an lower these to weighted than years. our and third year of just higher used a at mortgages, prepay we interest total of proceeds to basis to average overall XX, than expected average these an weighted increased less balance prepayments average prepayments expected an both in X.XX% of by approximately five five of lowered result, points X.XX%. maturity following attractive and approximately rate years the for As $XXX secured interest with XX These rate and balance our approximately compared average the weighted than million aggregate improved million of only debt our principal X% mortgages June quarter rates weighted portion our with one-third representing a a interest interest of debt and we to level

share QX, on of the and is as balance that now debt thus an to as press updated assumption prior to operating to $X.XX for $X.XX of detailed confident we our the remain the primarily $X.XX healthy midpoint our as for $X.XX warranted. operating that outlook acknowledge our another penny to night's there still diluted XXXX represents allocation far as guidance organization the our year-to-date if of guidance, delivering Turning through our operational full-year year focused expect half on range. remains results bad through quarter raised FFO execution and rates at by in XXXX This XX% which prior per keenly to our growth to to full-year year-end. agenda X.XX% rents from quarter same-store X.XX% in of the available FFO third done last turn up release, the half NOI from work remain be on range. X.XX% We We well We the fourth in the of upper of balance encouraged while year. our our over efforts X.XX% noting XXXX our

to now over the will call And I Shane. turn

Shane Garrison

combined hold of portfolio our record This in the the XX% our weighted Thank in new you, new achieving than million besting the percent a record volumes X.X our renewal and Julie GLA total leasing our square pricing as quarter, years, XXXX. term and retail of and XX.X metric today's signed of average new spread-on-comparable feet relevancy with underscores QX, more in approximately in at prior leases leases a depth set we which X%, power environment.

spreads broader the blended both of a quarter X% XX% Additionally, comparable in X% baseline X% to in the in the second accelerated existing preceding renewal row and for and on from to new second rising nearly leases up quarters. the quarter

In on overall XXX contractual basis total addition signings lease contain accretion growth rent these to portfolio profile. spreads of annual incremental the providing our increases contractual approximately key pushing double-digit our the visibility rent statistics also and quarter aggregate on for of further new in our points this northward average expanding

up leasing and efforts year-over-year. at high points traded a percentage sequentially leased record have points Our companies basis XXX retail our as XX our a XX.X%, for pushed portfolio publicly new to REIT basis

anchor portfolio statistics. multi-year overall this XX.X% a lease high rate, drive Our

just foot to of leased-up also and us This the of in For termination , open provides the growth through XXX focus portfolio QX. our term selective further million longer growth merchandising square not spaces fee opportunity we anchor provides income. continued for held compelling for at perspective across XX end on but only XX anchor XXXX boxes

further our in during growth same base narrow time performance helped first the quarter occupied plan points months. growth points accretive ABR and square of coming and power current to on we or these XXth. quarter. $XX.XX the is foot rents momentum million portfolio by basis as our This starting ABR $XX.XX as to our and in the should third we XXX At $X.X spaces pool XX the deliver third our The of per this basis continued leased above provide half operating time of sequentially spread rent September

roll XX at tenant diversity quarter. I'm rent We announce to to number XX Ulta for push Beauty entered top and pleased that stability this list our and continue

us a rent as roll. relevant This our top to company. and a roster, concentration and aggregate, for quality tenant low our we they top of retailers high add year-over-year slate diversify XX XX by moving XX.X% our the record XX tenant XXX further reduced publicly points to the continue new basis up basis solidify points sequentially typifies In have traded

tenants Our to list dividends. proactive stance watch to merchandising continues and pay

of a one we Union location Jersey Trader Joe's, week, Xth very backfilling at Shoppes compelling opened The last in Hill a For New spread. our Denville, example, Pier

location in exemplify quality. We spread. team's simultaneous positive Promenade improvements in also Main a lululemon mix, a drive Street at replacing at credit recently signed there our our fourth Downtown These J.Crew ongoing double-digit Naperville, upgrades ABR and effort

Turning project of momentum retail for importantly, late our on location project. and further our of XXXX. a early activity, recent prominent of of with the rent continues quarter Most corner multifamily signing to East. toward AvalonBay shell our our from expansion expectations retail the provides Shake move-ins of validation and Joppa in first leasing for Circle XXXX excellent commencements the at expectation QX year next this initial Dovetailing progress to the redevelopment delivery portion of and and mixed-use the portion Shack Road

and other look these like to home near with We also goods the native continue and categories deals we'll announce term. furnishings conversations soft digitally merchants in and

to In which existing XX% which multifamily is units to Pads feature over use leased Loudon, currently Loudoun multifamily Loudoun. focus late footprint enhance residential One in office. opportunity of mixed advance in will we construction at at open and expansion development to will of One extend current retail continue our spring will our project retail, G&H offer Downtown this XXXX, entertainment scheduled XXX street and offerings successful leased also component the This existing XXX% the

This and at on already demolition square to GLA levels statement drove quarter the the lower the project the sequential depreciation during we completed to the in quarter. the last in normalize in uptick item Carillon, third feet active income Carillon we third amortization Turning of this of of in demolition approximately line beside, fourth our bulk quarter. XXX,XXX and vacant our expect

compose construction which Crow we several University Medical active adjacent is joint with office medical discussions project opening will foot portion scheduled to the partner office, of total Center which square potential mixed-use the Region GLA XX% the XX% in with Carillon X. retail our medical under Trammell venture interested is in spring tenants already use Maryland of which have XXX,XXX mixed pre-leased, Phase building, This Capital for of Together for this now XXXX.

the And project we spring still expect start to XXXX. on early vertical in construction of

Downtown We East, toward our of expansion have One Crown. and and also flexible in for projects this that timing update we our Promenade provided commence With clarified updated information further Carillon. Loudoun projects outside supplemental our Street Circle our Downtown posture Main and at pipeline

that In the other overall size start and and several the set summary, process. we considerations. of date Promenade, Main will continue and current stabilization to and projects commence evaluate balance have Currently, sheet Street cyclical count optimal to no outside based on time for any three locations to expansion projects in Downtown we risk

explore capital pad portfolio the numerous and smaller, to to conditions green quarters. the assets, projects when development forward, we earnings to our to Going by expansionary our Thanks will look opportunities and and In accretive light continue we flexible growth. and well-positioned expansion we coming best to interim enjoy these in dictate. look approach we highly immediately we planning optionality increased more opportunities this the these hold development and entitle opportunities to our continue announce enhance will to right

$XX One third Loudoun acquiring Turning $XX at to total X-over-Xs a the and acquisitions for million well. million to roughly and year opportunistic Downtown total by divestiture front, our just Shake for the quarter in to under develop sale occupied the remaining Bringing million. single acquisition as dispositions closing and to $X Shack on at similarly Lake $X South parcel user approximately transactions we land million rights the of XX and on or the remain

of current for as ever was our both setting quarters delivered pipeline. When QX the on are delivered strength best combined embedded with well to a traded execution stage have teams productive the year-to-date within portfolio leasing our self-sourced positioned publicly and results operating we XXXX. build set very and development summary, for our we opportunity and the impressive the a project one continue company build growth In to

I back call to will over now turn Steve. the

Steve Grimes

and Thank Julie. you, Shane

execution us reasons confidence continued our As you brings year. many hear outlook of for the in our can the balance over crisp

investment abundant proposition million projects next on opportunistic combined our with us our $XXX approach provides lies three years curated assets straightforward strong of balance and XXXX portfolio to liquidity look sheet, operating forward our in and and in three acquisitions dispositions beyond. to reasons to what a two to XXX roughly anchored many ahead remaining the spend Our oriented active over growth for

With I will open questions. that call now the for

Operator

ahead. Instructions] Citi. [Operator from of Christy is The McElroy go question Please first

Christy McElroy

guys. Hey, thanks

of background a adjusting wanted in and decision how hold get What that follow capital of backdrop Just to projects, the like little the today? being decision Crown and your up start macro your capital much sort the context optimal it of that bit and the that, put Main to and off to makes a retail more Promenade rationale sense. was is economic view terms of time. on that what of Shane Street comments was to versus your matter of the -- of of Downtown in environment on behind work the how on much the If in looks cost sort your willingness your of

Shane Garrison

Hi, does. Christy. Good It morning.

optionality platform look want the on MSA our based of drivers and we an want we at right, and as ability to specific said the at we key think level. can for we is we've we plug-and-play always the kind to macro optionality I entitle So starts how to the maintain everything how look and at

horizon. on pulled building macro specifically it's opaque some to bit seems a based the back two there these -- So just we on the clouds be

economic non-retail macro specific. level, the at Just

given so is projects, the next on three our and our to it's of I years certainly but from demand -- balance remarks, back we of pick year year, looking here discussed well, we election $XXX So this is think in that's at projects. on time Love kind next million sheet -- prudent shots as of as lack as election purely everything over as well drivers. these the visibility or integrity at spending look an pull prepared what year here,

Christy McElroy

Okay with you working to where non-retail us made process. said you or list, on XX been tenants those of exposure of the and was others top look you specific ahead a and comments perspective a you recapture, horizon, out appreciate to headwind clouds give just about your do you building think year? and maybe next Could as the from reductions space guys it may tenant the sort but for have Dressbarn between, outside the XXXX sense you and like bankruptcy rent could what look fallout then

Shane Garrison

that couple we're think The for of but really a without a look, to XXXX think be I list I is as seen. of hasn't guiding, at frame remains watch but changed things important. reference

anchor So spreads at -- backfills there not 'XX, the we list we that with 'XX over growth tenants those XX call plus that are the my have have done tenants those certainly efforts. through XX XX because work and most forward And importantly, is of since watch today. flow of XX% is it different since those tenants feel, on going releasing one that diversity durability and we hopefully point greater and cash different

million and demand today. our of XX%, 'XX. have path we have would I the of in our point annualized XX.X% leased role and I we're XX those outrun actually today. lastly, to And of say into that then in leased XXX I on right the anchors see has secondly, I would anchors rent think next relates the And turn I 'XX. of leased talked And most about, half XX% as it in we're locations available, dynamic to honestly at expectations a in now. $X only we or North space, LOI the quarters also couple out our current could to

opening We year only in 'XX, finer of bit average feet that have rate, million point top we're lower of much the it, only and running a -- at we X.X our to on our role a in so there. tenants, have rolling half at of put X% just run XX,XXX is population. had We've rate rolling have run we're GLA we feet XX which in a

So of And and we ability the I That's we pre-lease drivers downtime we also think And an is back we the and to proactive is, put fifth we advance a handle were those are they leased demand what because a year. with know six months. think what get that, on. of my the quarter list boxes. also intend and in the have relatively we come a to pre-leased. months two down of to that for it have new boxes point four cutting dynamic -- watch which back pre-leased quarters box of next what five those those we are months exclamation this the we tenants we is have XX is quarters, traditional side, We demand call know three on on see but XX one, -- point to to nine ability months points

when we So, we those back such year or in take coming if online of and those boxes of back have next still back through we -- even it. rent comp some boxes take we some

overall be and efforts it will seen for what So portfolio roll a XXXX, up great and remains list volume significant and effect and I think platform to be. set the leasing rent quality us higher diversity, certainly watch more

Operator

Advisors. of from Green next Vince Tibone Please go The ahead. question is Street

Vince Tibone

place good that any Hey, in amount? development update Could on XXXX plans just expected the an for funding you morning. currently total provide and spend for

Julie Swinehart

Sure, Vince.

XXXX, So probably I'd million. for at are we looking $XXX say

them, over that year certainly communicating calling the with ramp we're projects. as last three Big that's So -- or ramp, associated and so the the a we've been

on room we this revolver, revolver done In year free $XX only million $XXX have of at terms so end. was it drawn work million we've of quarter lot to this our up funding, a

instrument. into temporarily our fund tap as of reminder, a to expect variable rate next but this, would just I that some year So revolver only is to our

recent incurring down that's down rate and way interest our go continue to take if to it's coming of to interest now, been very us. story quarters and would at that's continue in better it's attractive Right the for even environment. it advantage X.XX% So

that that year. would So very regard a affordable use and for temporary next in be again

Vince Tibone

sales the could maybe if the Well, the debt table credit most of or line funding low, rates potentially or most are asset for placement, be the option. and on to another likely interest

Julie Swinehart

in placement don't -- sit cash, the I or we which on not interest sitting I to debt and idle others an in have whole look to ahead would want and debt XXXX bearing another early any don't even coming due just, to even and is and is earn there one instruments if X%. going bank XXXX I at $XXX a prepay think just I million due that coming to think funds lot over X.X%

makes So not like -- standpoint. from it that's feeling sense my

Vince Tibone

those prepayment those 'XX? penalties, have in maturities Do

Julie Swinehart

Yeah, especially into interest its them an maturity, look rate implications not and as that would there'd so we'd with element, well, are have fixed early to through term consider once high, prepaying be hedge again loan accounting any with swaps I the so the rates penalties. but

Vince Tibone

a drilling further, or for the not just parties like Got the of like, It part why plan. there pretty bids then Okay. the it. strip markets centers. all And sales seems down little of asset liquid still are

-- there on cap even can So with lower -- the outparcels of quality rates asset the some get one may like some or some be debt lower single sales. why sell assets, stable supplement not you

Steve Grimes

it to perspective. this that to this through we carry essentially day keep availability we're -- And to There what development the should operating ramp the that spend, have out our want were of to terms Steve. We have in even very is acquisitions for I grow on in Vince, call and proceeds aspects assuming the earlier, is the to growth that So you pure development from in look prudent, portfolio what buy multiple do at the our an We're alluded preserve we very if well of have earnings as only in for spend what assets. further sell the buying, good complete in and our target what development position still math able our funding those reasons we We for for in directionally are possible for to the we're selling. at geography performing would markets. able embedded what but in and disposition given we're it move assets some capital non-core for is in think future cap and those that as direction a we're to rates horizon same to what and preserve that markets. especially are us strategy in

the separately sales, perspective, for prudent XXXX, development or we or and and air or or or would sell view converge a essentially they weren't they From if through two an us on proceeds when not to these right fund in monetization a now for use story, idle it's in in to world the going charts. pre-fund again, merge either not income self-funded off potentially and expansion to JV assets through earnings line all pads were small is further we cash a it when the be sit development from be perspective it makes situation the to different but right in the producing sense

be and it working, to plan, XXXX through continue to seems and XXXX our things when these which work, two for again bodes ultimately merge. and that's So well it will ramp the

Operator

is The from Derek Please next question of Johnston Deutsche go Bank. ahead.

Derek Johnston

Hi, everyone.

new very average it's on drove healthy versus, spread, were TIs mid check. in the think 'XXs kept the a lease range. what which I XX% On were basically

it? about going forward? drove spreads And what lease how should we new So think

Shane Garrison

we we feel you bit year to of about and specifically TIs this the wanted we they was showed a this couple . boxes. Derek of anchor are where in it a compelling It's recaptured Good We Look and which up quarter. can talked quarter the we're Shane. big elevated, but Hi in thought to morning. year get in the beginning

also deal. of XX,XXX the those rent mid North box call we not market that on that a in So Mid-Atlantic it two had was single-digits also strongest And comp. the we we count continues then one strongest, had a XX% rent to we deal, in have, of a and if growth we be XX%, foot which which was recaptured times Seattle,

deals specifically large as drove and well those footage as So spend comp. TI and the square two the were

Derek Johnston

to Okay. And just shifting then leasing trends.

So in general is I retailer in versus stacking up the and underwriting? redeveloped guess how interest projects

Steve Grimes

be great or We is indicator. to think, would talked sign up. Shack our a Towson So lead great have five other deals prominent we first teed four restaurant which about a Shake I corner was

still Towson the the it did deals and to raw construction mid forma XXs completion still very approved to in are costs proforma, we at we're cases up few from is but end are as bit a rent call lease net We much committee, some we rents as of move comfortable running a a standpoint. come range. in pro XX the through why We are are well very as so which holding

seen to category. up or from we stores our and that next years. XX in we we five expect native bit But within to that through is quarters. digitally space, demand a concepts footprint, We couple continues native what cadence with will We and standpoint from to brand picked In we long-term portfolio. over two. continue think think with small for deals the Towson shop last the the of one the what expansive build And and genres certainly alone have mixed-use provides a robust we a have standpoint, quite XXX new sector those now there the on have is that merchandising. which our expand leasing continue expanding the and on Towson basically be for day specifically we've space Digitally will carry to with demand both

on now, spot are demand very rents and overall, the we're happy drivers progress. are with considerable right early So

Operator

Hong go from is JPMorgan. Zhang Please question ahead. next The of

Hong Zhang

by guys. commenced further that do given you how hi XQ? large was especially to push Yeah, year-end the occupancy wondering expect growth occurred just in I much

Shane Garrison

-- spread we move would morning. top another of move would XX expect on I think as year-end, don't I the -- basis don't of line, compression assume significant deliveries points assuming the by good based maybe amount that the can I Hi, we top well. but on have a line left. a we the expect, we

hold gap So at maybe on we compression end, top XX XXX. bps the

Julie Swinehart

and rent about the in looks it occupancy but in spread, to than that occupied million terms being portion. And like color QX context little just add half ABR close so $X.X some of the paying, the a paying of starting be rent around different or would in leased it's question

Operator

Floris from Compass Dijkum ahead. is Please of question next Point. The Van go

Floris Van Dijkum

has going roughly your Clearly, bit. up a Thank million that have a look I as back and bit tick about $XXX three you at look will you. other you you'll guess, investments little forward? talked quick do but your at you your on capital -- relative something of buying your stock little particularly your spend, if about question follow-up projects. big before, your A of been, think additional How leverage on to spend cost

Steve Grimes

in back momentum look CapEx Hi many, think that most but well if Well, as I this stands as XXs, at how are in on earnings forward back shares that development math terms right compelling. where additive leasing XXXX. very, proceeds the the required out we're and have have we in what again, a just hopefully terms consider Floris, earmark it's good very Steve. time that that we've, now, be at we table, that a but if, we basis I the given leasing then plate much either it's than and prices wouldn't now -- pretty the space, on The could bought stock not of back progression not the equity it off in were have said buy trading. the that's more in you this the we hopefully willing at toward going we're to starting stock have to for high the efforts be will, any retract, but we penciling as or to is to growth relative proven being with that we not that the redevelopment of us think and additional on We bought dollar of it probably or right really pretty if

Julie Swinehart

is in And over remarks two just the to -- next so million as mentioned or prepared three to Steve $XXX his the $XXX years. over that million

coming expect once, grow. to period to I over to So continue and all would it's that time, not of at EBITDA same

ought be. and below leverage the staying relative six healthy again both to to or and So very, we and to feels think stayed times times time at very denominator we we stay to have moving. the projections, where -- review numerator and we committed to peers be X.X would And today all committed relative

Floris Van Dijkum

the your you likely the it, over tick And until income. just follow-up leverage a XX on up because clearly call to produce -- leverage months will next, investments start

You'll that six be in times monitoring your not closely view? but it above should go

Julie Swinehart

correct. That's

Operator

back Officer the closing Grimes, the the call have of remarks. Chief I question-and-answer Executive end to Steve over for We now session. will turn reached

Steve Grimes

you, thank joining today. all for operator and Thank us you

that's for very, calls think of know covering and couple and very were three you. a another I a if it's today time I the tomorrow all three there yesterday, busy of you're strips. only

L.A. of with forward NAREIT, appreciate of short weeks. today you many just to couple look us time in spent at a So, and and you the seeing

Thanks care take great and So have a again. day.

Operator

concludes you thank may your lines at this This today's your conference, disconnect you for time, participation.

Retail Properties of America (RPAI) 30 Oct 192019 Q3 Earnings call transcript