HR - Earnings call 3 2023 | Healthcare Realty Trust Incorporated

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Operator

Hello, and welcome to the Healthcare Realty Trust Third Quarter Earnings Conference Call. My name is Harry, and I'll be your operator today. [Operator Instructions] And I would now like to turn the call over to Ron Hubbard, Vice President of Investor Relations, to begin. Please go ahead.

Ronald Hubbard

Thank you for joining Healthcare Realty's Third Quarter 2023 Earnings Conference Call.

call Todd the and Kris on Hull. Rob me today Meredith, are Douglas, Joining

except for historical forward-looking for the that uncertainties. reminder A the more are in estimates, the XXXX. a the filed risks Form company's specifically SEC call These with filed involve quarter risks December XX, matters ended the with XX-K information this in may year XX, for that contain statements assumptions, and discussed within, contained ended XX-K September discussed the SEC Form the XXXX, and

this as may normalized These available call The per share, forward-looking EBITDA non-GAAP company's FFO to The per distribution, normalized for the any and statements FFO, FFO operating financial material. as update this in adjusted also disclaims or measures represent such income, funds contain of matters judgment the this share, discussed forward-looking certain FAD, funds or net from date of NOI, EBITDA. company obligation FFO, call. operations,

measures now these September XX, comparable company's press for over company's are ended quarter of available found Form GAAP the and Todd. earnings The call I'll press on reconciliation company's the information be may to website. release, XXXX. earnings in A turn XX-Q measures the release financial most supplemental to the the

Todd Meredith

us Thank joining like also to you, thank us few and XXXX in Ron. for ago Call. Good you Raleigh. weeks Investor I would Day thank joined morning you, for who Quarter everyone, a from at Nashville, of Earnings our our Third those

and the a with as reel and see videos Investor the well would posted If materials you website section to Relations long-format content not of encourage go you presentation included as our of short We've videos. our day. I attend, highlight did the to

gains, relationships. our proven expansion Investor our our occupancy cluster we're showcased leasing model. market how drive we strategy. and A approach enhances through these We is focus competitive within the illustrated of key The growth scale long-term our leasing our Day advantages was and to and differentiator how of using Realty's market advantages Healthcare of and strategy

X the first fully Leasing across mobilize Post it of up leasing the in XXXX. the took and us about brokerage merger, team quarters partners quickly combined quarter portfolio. momentum our to picked internal

we've upside Now the properties leasing includes opportunity. feet. new quarter, square third the multi-tenant we XXX,XXX generated feet volume record have in This of at most the where XXX,XXX HTA square

Looking is our XXXX. setting occupancy table and momentum current leasing the for gains growth NOI ahead, in

represents road total bridge year a map providing we're full our NOI the outlines expectations XXXX. Today, The and both that bridge for and properties occupancy multi-tenant and growth fourth quarter the in portfolio.

Our I'll single-tenant occupied have of consistent properties most growth. upside. with the properties my fully comments are multi-tenant on NOI where we focus

is XX.X%, X.X%. a and currently our running As baseline, multi-tenant NOI currently our at is growth occupancy year-over-year

multi-tenant XX we the the but mid-X% quarter of of ended. will In of points. back gains to since growth is expected XX basis expect level, occupancy 'XX, they not reflective be to the fourth NOI gains occupancy improve to fully

occupancy into 'XX, half year. gains occupancy. the of we recurrent of first In half, second into our cumulative the to of split points first bridge expect we Looking basis XX XXX the and

We expect to a NOI growth range to of to X%. X.X% elevate

XX.X%. XXX expect occupancy In to multi-tenant gains XXX occupancy compared half, to basis the points current cumulative second of of we

expect second half. We multi-tenant to in X.X% NOI X.X% the growth range to the accelerate to

the the I'm deliver team confident reaching we best a X% on run into in focused industry part latter the second to we're in build approximately X over 'XX. rate be expected is tremendous in X% velocity Folding to going of improvement to is NOI in Occupancy What in of single-tenant this providing properties, expected have the half quarters. to the the most X% the X% 'XX, to next NOI upside. growth is 'XX.

drive will We're gains and laser-focused on NOI that occupancy expense controls in leasing momentum, tenant retention 'XX. and

Stepping two integrate companies. we've of the the largest context, hard back MOB and done the merge to to work broader

choice in the pure-play We to company. MOB invest safe a are high-quality, now

We tangible secular have a operational upside tailwinds. sites, bolstered our in by

MOB is health demographics, systems supply-demand aging margins tightening accelerating picture the favor, fundamentals in as for and improve. MOBs our are from in are plans is expansion sound. Demand their reengaged

second Turning our share. to FFO We're XX results. Same-store basis expectations pleased improved in of growth line NOI quarter. the with fronts. $X.XX was quarter points on X.X% to to third to number per our compared a met have expectations Normalized the at

higher X.X%, In-place above leasing to contractual cash jumped spreads incrementally our well X.XX% and range. rent escalators to guidance moved

our our to proceeds funding improve. are We also couple of rate sold by capital we reducing X counterbalanced These properties quarter $XXX and where plans debt. a spots net of over floating for million, have requirements areas the in bright

operating expense rate of goals. end We're actively a growth working where to third well need materially X.X% expense second the This from but down cost of to X.X% NOI run to quarter. initiatives is quarter, we growth be Operating in 'XX. the was a by meet reduce of to above our the reduction number on

area is retention. key Another tenant

Retention to or retention the properties of lower quarter at of XX% long-term our below Third has than XX% HR properties. been HTA higher. the running expectation was XX% about X%

have actively Our lift HTA properties, expect our already we retention improved in 'XX. Tenant historical customer satisfaction and follow range. team retention survey is improving to service and at tenant tenant into to scores the

Q&A. provide After some Rob, we to additional before back to shift comments Kris circle I'll and

Now it over to discuss Kris? Kris results. I'll turn to financial

J. Douglas

higher was by on key for fourth pleased We're FFO FFO $X.XX. of were a to expected for Normalized share as quarter consistent improvements modestly, quarter per savings. several to per quarter expense share Todd. with results third is the utilities quarter fronts. grow the Thanks, second This G&A report generating was the offset with $X.XX. steady and interest seasonal

year full at range. FFO guidance expect end low we result, a our As of the

square Year-over-year, NOI in-place basis Trailing our point growth quarter. XX-month rent we a X% was contractual particular, same-store by improvement quarter. In incrementally feet contractual NOI leases of the XX quarter. from of last over in drivers. increased The X.X%. that grew improvement future commenced million quarterly now averaged X driven second increases up X.X%, X.XX%, improved X.X the increases basis points for Annual

at X% our from expected averaged quarter. the Cash X.X%, was of retention last Tenant significantly range. end leasing up bottom spreads

down As sequential occupancy a was XX modestly by basis result, points.

Looking which moderate, move-outs volumes. positive to from leasing will we new drive help expect absorption significant forward,

more executed will total XX.X%. discuss point basis feet a XXX,XXX the new to in This XX Rob detail, of improvement percentage square the we in As in leases drove quarter. portfolio lease sequential

continued X.X% growth our XX% a labor operating quarter expense primarily combined of of personnel and X%. categories Operating was which inflation were comprise in expenses, driven expenses. and janitorial These two by the up

was increased to improve goal properties. and service by expense operating Excluding a them, at expenses primarily janitorial driven X.X% The year-over-year. legacy overall HTA the higher personnel

We second to XXXX. will as growth we $XXX X.Xx, 'XX. XX with start overall debt Net June the reduction move quarter. cost we debt the in lower to at expect into quarter. to lap in Net X% million below was early the was with consistent expense XX half operating initiatives, bring sales September back than from of these $XXX higher million adjusted EBITDA comps Together of asset

the are asset quarter. We have of that $XXX in under expected fourth to close million sales contract

of currently year-end or are properties we by to In XXXX. $XXX that addition, early under close LOI have million expected

and leverage our development We debt range sales commitments X our target rate to X.Xx. within as reduce to to asset fund of expect overall well variable as these

venture HR We're assets. a seed on portfolio of with joint existing also continuing to work a

we that the expect be of Investor the in market, Given a size $X JV announced the range we lower our at at $XXX million of the our end to target Day Raleigh to volatility of billion.

to million $XXX proceeds million. to of We $XXX generate expect

X% the range. last higher to moved over interest have few have As rates increased also cap X% rates upper to months, the

this cap we'll XXXX. the debt over now recent rates how Of moving into see does have I'll Rob delve see turn pullback in course, success. and it not that rates this Rob? how week. leasing consider to to to financing -- further through to into plays And

Robert Hull

Kris. Thank you,

the in We favor tilting are seeing landscape the supply-demand is The of in strong MOB sector. underlying landlord. fundamentals

the demand is demographic tightening Health improving. is what providers trends On are and supply a to trends come secular picture. also runway. And beginning a operating really are care long have accelerating side, through

for created have new lower some hurdle a will suggesting starts larger MOBs. backdrop Higher from This occupancy existing capital time. construction favorable improving supply, and for a presents costs remain in

leasing leases team over our the This feet, XXX,XXX first third totaling XX% square up year. quarter of a for the leasing time company. new our our -- XXX quarter, is signed record During this

for mostly multi-tenant our XX portfolio Almost occupancy quarter will over in represent the new points top portfolio. are leases of total that XXX is properties year. quarters. commence leases, next the first non-occupied basis These points same across X markets XX% XX% leases, or up Signed XXX in of of these markets. from of This the currently this snow the represent basis future

basis we points particularly XXX points for the NOI within leases. snow points properties, HTA growth of occupancy, quarter future up XXX and basis have and represent attractive At snow XXX the redevelopment from of our first leases opportunity properties, where occupancy is basis a in

In leasing million square is addition, from at million I X.X our X.X currently feet, that prospective up Investor over our Day. pipeline reported

the the phases, is proposal Almost in and the lease-out pipeline documentation is XX% of and LOI XX% another in phases.

in turn the balance active the With phase.

drive quarters this in bridge leasing presentation this morning. X XX our on provided XXXX. our Collectively, that referred investor pipeline The that visibility gives occupancy updated Todd was Page that is about to of of will us new

see XXXX and In end bridge quarter, multi-tenant the steady occupancy the multi-tenant beginning quarter our for expect XXX level the basis in NOI of to will This occupancy to fourth are gains of points XXXX. drive expected occupancy the positive to absorption mark that fourth and current these we occupancy XXXX. XXX of includes the runs of Cumulatively, gains above XX.X% properties. throughout through

activity the of about leases our expect new leasing In quarter. lease first square snow is per feet expected of new new we commencements as the replenish half Strong XXX,XXX year, pipeline to commence.

half equation. to the about Vacating square XXX,XXX quarter. we expect the the per increase footage of the XXX,XXX of side square second feet other to year, this absorption pace to Over is

move-outs for about square correlate vacates consistent first our a both that per HR a be time. as in with in of our product of XXs, schedule. project high of averages and expiration a feet historical half the to In of mid- to number the bridge, HTA. expirations during percentage expect expirations with the year, we Move-outs quarter of XXX,XXX We greater

per we lease XXX,XXX To goals, the our half to second XXX,XXX feet commencements. [ quarter. preventing as critical year, decrease achieve this new pace occupancy expect the the XXX,XXX just volume as move-outs square feet to square ]. of of about Over is to

our confident and deliver place the are occupancy levels. in people processes am I to right targeted

into XXXX. success NOI Todd? XXXX up expect range continued growth for us and move the move second set to We the X% to into into in to the X% NOI half -- of

Todd Meredith

Rob. Thanks,

we of before I'd to Now Q&A. key a move like to points hit couple

our First, dividend. comment I'll on

dividend. current Our potential and our on upside XXX% Board of our to Directors is committed keenly focused is maintaining

expect as an ratio we to occupancy extremely bullish payout we as ratio gains, have to elevated our invest While beyond remain our payout on we in ability we 'XX. improve look

stress In makes sense and maximize to not discipline new we selective We're allocation. existing remain want where development we only pursuing sellers. we it environment, this net are capital Second, assets of starts, pursuing redevelopments avoiding around acquisitions, to value. we're

will continue funding through asset We debt development earmarked proceeds nonstrategic excess for obligations and current our meet repayment. with to sales

the further shifted Once balance repayment not repurchase that stock. will We full tackling we're operational post-merger now have within work comfortably including of by the redeployment, major accretive us us that's merger complete. our allows behind to environment. upside the We and target quarters driven rate deliver with with capital phase the blocking range, X we interest leverage to integration debt

on through the control. range. to occupancy We are and tenant remain accelerating NOI expense growth to achieving retention operating committed in focused improved X% X% growth gains, We NOI

growth X% the elevate in range to to gives tremendous expect our This going X% We us second run the 'XX. rate velocity 'XX, reaching NOI into half. throughout

our NOI With and the sense create externally. investors, and internally and of heightened our and today, is around objectives, visibility aim both goals bridge occupancy a for to provided accountability

the forward morning, turn look to you Thank our discussing the of over now for Harry? in to and this and it portion you We our with listening of bridge Q&A map the this road call. further, we'll weeks. for many operator coming

Operator

first today of Michael the Griffin question [Operator Citi. of Instructions] is Our line from

Unknown Analyst

[indiscernible] saving costs be in great. Kris, your opening I you're remarks, for on the This your how trending you on on is operating Michael know versus just you expectations? touch but would cost Griffin. And can touched you initiatives undergoing, that are this on could if expand

J. Douglas

the Yes. last where we term. made but to still like them to since some long like They're see. compared quarters, still than we improvements elevated We've X higher

As lot personnel the do I mentioned, that inflationary to a of with of items has janitorial kind side. and on

service some bring of the start we given fact that to as also year to But be levels. looking level. the attempting known that can cost were at lap service of And the that we that structure we was last down had costs. some we ways kind we're of improve those comps We'll to from going throughout some improve

So more below towards expense is with that, the see X%. that as the looking half but do we trending we likely more of into year back before next can levels we get move operating historical lower year, to back

Unknown Analyst

That's helpful.

a for Just quick follow-up.

wondering the occupancy provided assumed Just is you Is in and in bridge rate the the retention XX%... what deck? NOI that that

Robert Hull

We it that the XXs mid- was used On yes. was levels. of -- was for we used percentage the use Yes. deck different as And a in -- a rate move-outs to the percentage, the expirations. move-out high

Operator

line the Connor Siversky from Fargo. of Wells of is today question next Our

Connor Siversky

or should in leases move out X.X% looking can leases and hit range? how we the occupancy to you figures those such thinking spread to guide that that between natural terms Just leasing, the about be have that you new of presentation get the at new and X.X% versus in XXXX figures

Todd Meredith

is the 'XX. see this through the and if next new I the a starting reached clearly, second think Connor, the XXX,XXX at come walked in talked to in and certainly That's but fourth the towards move bridge We've our range half. really see you we square stride through volume in Presentation, in about out quarter half, starting that. second Yes. provided about Todd. the level it in We that XXX,XXX quarter, our that range half really throughout and Investor that new that to leasing of I hit our would from that in laid XXX,XXX sort XXX,XXX the leases pretty foot you then we we level look Rob bridge first building feet. of into high you per quarter quarter, this then that say

us and that will -- a as and leasing numbers, volume this the really at quarter starts critical was asked really level Rob the that a really gain. of just are at on Investor our leasing that's it's just the But amount as vacate touched So mentioned puts level third this new we Day, produce move-outs to drive as on, plan occupancy critical.

the third was I were in needed. as mentioned it frankly, my And quarter, higher move-outs -- in high the remarks, than we

be. quite not we need So our retention where them levels were to

retention. place of discussed, increase we to putting as a are So we lot measures in tenant our

surveys on So seeing we That's the side, play there. about, been expect through. clearly we've improvements that HTA are talked a we're which weakness to and and nice already improvements. We've done seeing

Hopefully, at from expect you our as are to to of in XXX expirations, mid- we to show where So out these with point move when is range. third that gain we our you occupancy points basis in that which, bridge, XX% XXX, our starting the high levels, end helpful, come And move-outs line more in do quarter. math, Connor. running the into the our that's

Connor Siversky

like just for I taking looks in set be business. next indication would past but assume on-campus we're slice a market appreciated. I of looking on medical. comments the the you the And allocation addressable that the on maybe appreciate But that outpatient only that I mean does or responsible any color like the at what a when maybe really broader smaller what of assets, so. just out would pie, look look appreciate there. capital I XXXX, view year Yes. opportunity longer-term

Todd Meredith

market. of heads was to and have certainly quite pieces is one merger a we gives that Sure. of We At on it's that actually compelling in the touched a Ryan X up who addressable Investor a little on together analysis many buses the was runway. very of the lot you And put to total the hospital-centric, have as I And large, his can least that as expand. better and and acquisitions team especially the the companies go clusters bit of on, are specific that Crowley, mentioned, us Day. one that

on focused it XX much, can larger in we expand and go our than very it's today. markets as XX our we're where So exists clusters, company to much

to but And from are it they be sort complement a existing our of in radius a long a So it grow. even yes, us certainly, further hospital our of X-mile still little would that comfortable hospital-centric, but gives away clusters expanding clusters. hospital, we're runway and the

billion very were, runway. we interest elevate that when ability, do addressable rates a all that that the Obviously, path frankly, being We as we're markets have that volume the now, target richer So merger. on can markets and this plus. in. post-merger, target see just we doing but not lower total about $X talked really we to to see acquisition during back we're And and pre-merger, were we clusters a than market and addressable we given and that able

Operator

line today question is next Anderson Rich of of Wedbush. from the Our

Richard Anderson

what So Like all talked creating we've guess, on question. more I why medical the now? something -- of about, office. bridge, some is my out growth about this is

you just think at business curious you could at you set years. I faster the in if Realty that its comment it starts probably Healthcare on Is I'm you along you why with talked you that. about do mainly, now. opportunity to think nauseam for as maybe XX entirety And happen Or it event? think I'm starts well, curious the we've a pace. to grow

Todd Meredith

would to both. -- Sure, Rich. is I Good to answer hear from the would short you. We say yes

are as going being COVID part opportunity will. And some question that the And certainly guess, HTA little really to a think leasing teams as a the at property few merger, up. for trends why occupancy get well bright they short, we bit broader quarter. We lost and fair us, on we our management, of tide, I gain improving of certainly, your of our with lack we now more occupancy a I here management years. we in think and lift properties. really to a But expected asset turn occupancy focus that. to frankly MOB think didn't that if a do we you opportunity it that relates with as see get specifically, there secular things discussed, around the model there. really third post -- quite of It, our as is in

but wasn't next starting tenant we Our high quarter. see enough, that retention improving

quarter. with not it's frankly, happening, should and little now? So disappointed a this It just be why already move-outs the we're

So the leasing side is meeting expectations. our

So next really the real 'XX putting beginning quarter. is in story that and together

it So range, run coming have and hit specifically, 'XX this we as of we the lot to I do period has I then sector us think broadly is tailwinds of sustained that's beyond speaking, broader and think, our target in where But think that way. X% our into X% well. a can move a sort even its MOB to try rate I

Richard Anderson

rent A other lot kind Once just of because gains, of as you growth NOI of side it is the -- the back have are also effort you conditioning well the tenants this achieved... higher through sustainability of X% occupancy in for I wonder about same-store XXXX. on but growth

Todd Meredith

forever, right. up obviously. can't your point. mean Right, I to Occupancy Yeah. go

So our we understand that. the But for we think at XX% we've bar portfolio. multi-tenant set

at So today. we're XX-ish

that our you other saw, cash end be XX% the quite gives we're sustaining of equation us to levels year, that spreads But generating is leasing through you're XXX to growth and that now the years rent XXX to getting multiple runway And rental were of rate to us gives growth. gains. growth right, occupancy between as X.X%. high So if next a

MOB some well. pretty across seeing as numbers other You're strong companies

probably see a primarily piece But there. is focus frankly, we on that So do we be there pricing where dynamic a occupancy can, We'll second to really model we think story. we that's our opportunity. tailwind will pushing here. where really the And

you've sort for another time, been but You know -- see pushing of phase to that really we've leg us that a or while, us known for a effort. long this as

it around opportunity the think is for X So the But further. more focused I or years really practically do occupancy can us next gain. carry X speaking,

Richard Anderson

percentage mid-XXs Last move-out expirations. a of you mentioned for Okay. Rob, me. as percentage

Just does mean retention? I understand, definitionally, so not sub-XX% that

Robert Hull

we're been historical is whereas mid- high It think it of that out to The include a we're looking at is way include this the percentage our sub-XX%, numbers they that put that and holdover as does holdover levels in analysis the do bucket, we've move you I bucket. running retention reporting, not that levels. XX% but Yes. expirations it's

So there is a difference...

Richard Anderson

mid-XXs move-outs to or your apples mid retention interpret in XX%, below it's running oranges? as shouldn't we bridge tenant So

Todd Meredith

difference. That's correct. There's just definitional a

the way tenant does is or that So get benefit of the month-to-month retention well. calculated as holdover

add to tends retention your X-plus that so to percent And rate.

Operator

is JPMorgan. question Mueller from of of line Our next today the Mike

Michael Mueller

Curious, more or where to is but expecting be where going in it's I occur? bit tenant you're anything portfolio most you geographies outsized tied terms to there a demand? lease-up are the notable categories seeing to in know of HTA, of

Todd Meredith

Day, great we that's bit markets, of but Sure. the Mike, little our at resources, the it in where which certainly, most the sort to say, I most we that. touched because a disproportionately is this on best reiterate see capture would Investor to obviously top see upside, teams that in place certainly we

We Houston. So that a -- attractive place see about like like and other a a other lot market markets But great Denver of of plenty Nashville, and markets. bit. opportunity. We've that's talked certainly

be larger those sure. it's higher But markets last the And XX%. you group the it -- So HTA markets would for about portfolio in again, to of properties. larger properties pointed occupancy definitely you piece our would talking if markets, at out, the be on characterize that's obviously, look closer in probably redevelopment And or much where those have and to we larger as disclosure, have focused those our scale.

upside where Rob of not touched leasing. XXX there's on points there basis the there. And signed between of difference potential occupied lot occupied and a So

major properties occupancy. capital change We're and to as TI of So where shifts well on. going momentum That's more as volatile reinvesting repositioning a we're some are seeing group there. that

as pent-up of well. lot a there So opportunity

Michael Mueller

significant QX? of thinking And announced Got outside current dispositions thinking in outside dispositions can So how the what's what's so of then formation been QX and expected and to in beyond far, if XXXX? it. be on JV the what's close we're

Todd Meredith

this and quarter. net Kris and is either tend still another we I but million for fourth will that this It's flip putting haven't under say of sellers, and to our sales. lean side contract you nonstrategic think in about we are the could would year, us something of visibility that through that, going to and more to a this adjust continue could neighborhood $XXX did as of at close year. what asset are to scheduled guidance but that we on behind balance. cap and expect kind interest 'XX, year, think, out put million XXX continue into $XXX evolve, get the is which I which to Yes. see out directionally, we talked as currently, is view the starting rates first and I we And rates maybe we'll would up

to so the to, pay debt we as where So generate incrementally Day, on the upside. things. that have trying that, the trying focus but articulated certainly One our portfolio, proceeds, of at push portfolio improves Kris frankly, to down refine continuing Investor team also And quality and the refining that forth, to use the is of two it do portfolio.

lean we'll in for into So this continue to that sure. environment,

Michael Mueller

the effectively as you're being are a potentially And separate you the this is a it. the about ignoring just to this an being a from JV? JV starting inclusive is When year, that talking all about disposition? number thinking of one point Or of talking Got similar clarification. JV,

Todd Meredith

the JV. Ignoring

assets about a would strategic separate. JV think more seed in the completely about really sales, be just much whereas it asset I portfolio. nonstrategic So

Operator

from [Operator Instructions] of question Juan And of BMO Capital is our the next line today Markets. Sanabria

Unknown Analyst

not questions the signed to multi-tenants It's the questions here? HTA [indiscernible] delta, XXX? I to here wanted at Most of spread on some help this the for with at of I just addressed have historical XXX are NOI now. occupied opportunity follow the points better on been up kind prepared of Also, basis contextualize my Juan. but remarks appreciate in the and What's just bridge.

Todd Meredith

for The or than historical spread around points. more XXX was really less basis premerger XXX HR

Realty about portfolio the is Healthcare piece -- XXX the Healthcare of today, million. So

So XXX our above And that's than historical above well more just double obviously, at the side as trending HTA historical on, touched our you norms. is trends. --

a So to it. context little that gives

Unknown Analyst

obviously, the on just from the rate then compare feet, how does this the And levels? what's pipeline? square historical And historical conversion Okay. million up your pipeline Investor on to X.X Day, then of the

Robert Hull

Yes.

if worth the I that, an at looking in of view Investor does put place, and -- I of over in leasing team that's the at would we now quarters' year. you of the there. from really the our our flow processes at current and pipeline pipeline say when that X.X. saw levels. Day, uptick looking up It consistent total, say we year. and the year, at of you activity. course But next ebb would X as said -- the out if levels I some it it's about look first in has think It's it's I X.X million I It's pretty been at those kind the this look been

remain new to consistent the and leasing going that levels So is enough it's probably to continue of to pretty those drive seen. levels at we've

comfortable of and the optimistic very So the we're pipeline right now. with level

out that square feet. view equates That would percentages XX% the to those of that -- We documentation over they'll phase. I of, about that, of XXX,XXX probable in I a say little threw of that I currently level of terms a that's highly highly, conversion got you've the all portfolio. the convert. probably will hey, as pretty rate, of percentage think and In that's about the lease-out continuous do

that out XX% total at looking of generally pipeline. we're to so XX% And about

executed the that the get as do think it well in same out lease-out find of piece, forward I quarter. and that and that we we LOI So generally of pull some

new or targeted, XXX,XXX the new feet. pipeline leasing So that continuing some will that's square of to about that we've feed XXX,XXX leasing activity

Operator

any And no for to the hand I'd so remarks. to further management this we in like queue at back closing team time, have the questions

Todd Meredith

available joining Thank a you, today. you, to Have otherwise. other look at lot you Harry, earnings a us We be of of everybody, and weeks, seeing NAREIT I a couple is for busy and know in Thanks. forward with great day. today well. thank we'll as a day companies

Operator

call. concludes all today's conference This you joining. for Thank

disconnect lines. You your may now

Healthcare Realty Trust (HR) 3 Nov 232023 Q3 Earnings call transcript