GLPI - Earnings call transcript Q4 2019 | Gaming and Leisure Properties, Inc.

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Operator

Greetings, and welcome to Gaming and Leisure Properties Fourth 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]

I would now like to turn the conference over to your host, Joe Jaffoni. ahead. go Please

Joe Jaffoni

and joining Stacy, earnings everyone, thank and and Thank and good Leisure for Gaming XXXX Properties' you webcast. you, morning, fourth call quarter

Relations is The the On www.glpropinc.com. Private defined Act may management's answers Reform on yesterday contain release and call, our of afternoon Securities remarks your press the site Litigation distributed today's Investor XXXX. in to section prepared at forward-looking of Web as available questions statements

that uncertainties cause are today. subject to to Forward-looking from actual statements address differ and results matters that risks may those discussed

income include financial financial Forward-looking related and statements may those as such as to AFFO. non-GAAP revenue, as operating and well FFO guidance, measures

As the contained in company future. of related in release. SEC a non-GAAP financial estimates statements the current company's obligation more to contained as statements encourage forward-looking the filings company's reconciliations forward-looking and as management's definitions listeners earnings to statements well detailed assumes the We in reminder, discussions review the to the with forward-looking represent the no update measures any and

Investments. this call Vice Accounting Finance; joined Brandon Leisure Carlino, Matt Ladany, Also Executive Moore, today's Vice and President, and Chief Counsel Gaming Burke, Desiree Snyder, of by and Chief Demchyk, Officer Properties. are morning's Steve call, Chairman Officer; and Chief Vice General President, and joining Peter President Financial On and Senior Senior Senior are we at Steve Senior Officer; VP Secretary;

to turn my call pleasure Carlino. that, With to it's the over Peter Peter?

Peter Carlino

good you, Joe, and Well, everyone. morning thank

shareholders. performance to market. effective job. that better story a was I in to good, job do year for outreach used weren't and feeling in our getting better get because report And I as We the added are but we out terrific end of it do the was of shareholders, course people of can't no satisfied the a end and goal a a Dangerfield tell XXXX and a set was quarter clearly Rodney a respect say I and to delighted more to of GLPI great

our story particular actual with in I in the you cash flows would regional that most effectively attractive gaming some So effective the and recognize that was of excellence market and the to satisfied offers most eventually more performance, in or marketplace. come risk of sharing adjusted all our

As revenue I like stable and that make beginning unique. And today speak want than has And is inherently they are we will that XX occupied today. market revenue. I from is we gaming to be And and also expect that we remind XX occupied our with, Las more appreciate to that's that. Vegas regional that folks the XXX% to from XXX% strip today years years just the point think properties

pretty markets that are market and are The appreciated. telling, be to think people serious beginning but story where to we've been recognize in have leaders are cases that's properties many these in we the come I our properties just

and attractive For We and not XXXX, all transactions to focused outreach our always. refine story. of may year and continue who others this as totally generating accretive on to you yet remain we'll our to know safe

decades been having two that capital. of worked attack on said on value. though, we have our just have a we boost over not I cost compete to think and abilities That equity our demonstrated we our can prong

hang to are that committed only continue going ratings, and rate, remaining time it. we onto at the debt improve of we're remind part is outreach term heard And that our look investment our the to for REIT just profile, that holds the opportunity gaming you on grade those You've debt to it. side, to rating same

a buyers many our the heard disciplined building not ambitions who monument we're building steady But though future. tough in for cash are the standards with of that business. have flow and out rather permanent of that you me goal manage point should our I say

compounded delivered by years. philosophy, six at has our over total a Penn XX% the XX.X% over of was years this last tenants for over compounded team National the return And that plug way, XX while in annually. shareholder major Following this get

So I value record good. think long-term our has of been delivering

So, we'll remain aggressive, beyond. and we but look to and XXXX disciplined as

So it with that turn to Steve, I'll you. over

Steve Snyder

Great. Thanks everyone. morning Peter, and good

Just more a little couple go into bit of housecleaning matters a before I detail.

out seen It report annual probably XX-K was file evening. As effective our if you've anyone did this the last follow-up so questions. degree to SEC you by that's Form now, there on for morning, have we

our dividend saw on the share, you our on yesterday declaring a Board is shareholders which quarter also which March Secondly, X. of release evening press after record to rate per payable XXXX March morning at first call of pre-open this XX issued we $X.XX

strongly the Moving fee really quarters forward quarter most that items, EBITDA charges We in by or very some exceeded was business the quarter compared our it in anything Peter GLPI. feel template we've an no impairment that X%. and unamortized financing revenue as AFFO, hit guidance our write-offs, mentioned, for modestly of and adjusted stride and a quiet no for and to quarter our did were really nearly really. the as opportunities no our our operating guidance exceed there the future We goodwill set actually recent non-recurring we

very it quarter So was the in measures, successful for by all economic company. a

guidance, the earnings when year, modestly National just ago not escalator full a year realizing full our master with of exceeded but though our pinnacle fractional headwind established of issued even high-end the of report, faced the AFFO out we amended we Penn we a XXXX Gaming. actually we escalator, which For the the year-end lease

mutually resorts. lease during relationships both our have portfolio attractive, the Boyd anniversary been Eldorado on both the And for very quarter, touch been sides, beneficial both to they've and with those relationships we did quickly, parties. real Just

unfolds. to of mutual I think going time start you're see more those benefits as some

into Belterra their owned that The last call move going facility our night. in one estate to did get it Park hit Boyd category. and recently upon to first just you're approval We real see earnings the

order bridge expressed were concerns that mechanism time the at mortgage used satisfy by to we the commission. Ohio recall, racing You'll financing, the in financing a

to of In the from a and the we with that that Ohio happy mortgage folks. year, facility to cooperation and exists the this the approve the report commission, an benefit facility transfer Boyd highlighting January own mutual I'm racing did

Also comments relates to as in capital by assets, Ameristar two earnings last their commented on it their invest desire Kansas resort encouraged property. Boyd refresh night in very projects assets, the the their City call the Belterra to of our as they on and room

four evidence So, of the to performance portfolio. the continued the to and continued benefit and that management approach interest us is property that continued Boyd

required finding in the real are discussions Lumiere ownership the We're to regulators actively Eldorado. purchase did by Missouri a Missouri loan relates the I to working that quarter it real we our business. continuing estate facility. the Eldorado of property. the for Eldorado, the was as regulators, during the with As as mortgage said, we replacement extended estate satisfy on a release Eldorado We loan with on to for And/or that

As the pressing property matters you them Lumiere remain couple other last they imagine, front replacement these master they've can into constructive do But of in had of engaged lease. some months. Tropicana over dialogue on the the a of in

see the in master the our you're removal the or property two the the that lease, on XX-K removal reduction in XX in -- I'll With you're on stream, And of stream pointed with used property removal or going our release. out, then, mortgage by conjunction Penn from of our by so in any no Lumiere you count result I we This property else Tunica casino whatsoever to count seeing our those to just of properties. earnings in point rental impact master that in did of the the resorts income a anything surprised the what aren't out, see.

payment it master in full the November. master full anniversary under We last brought the with amended realize on lease escalator quarterly the to for escalator pinnacle as lease, partial the lease, During well as the realized attention the anniversaried which your and you quarter, lease we of the master the call. our as we Meadows Meadows shared on Penn the catch-up

as replacing fact are heard the spite that bar, a In now great by you have construction in center deal of invested has them. Penn and new at received renovating patrons from the court behind food a well sports well building in book very disruptions been facility. that as capital facility of significant the the concept Meadows, bar, They some sports our been of which there as

Casino payment. a Queen are There pay has on, continued their Moving to occupancy costs. respect to issues with no

you As coverage they their ratio. default know, have been below

at of that for monitor closely. attention fact We gaming meeting the was to board, XX, bring of agenda item the the there Casino the the continue ownership to the Queen. transfer the January to We'd request an your situation Illinois

future the the has the active and described will that to active So more in more the much Queen. entity become much ownership you past management in the we've the become of Casino that in in

encouraged reports growth down see the which appear that that fourth there the Gaming in that improvements pretty revenue saw that revenue in quarter the it terms coverage standpoint. during realizations that lease did year-over-year seeing this because calculations the based performance We we under now they revenue issue. from Illinois those by did of significant process preliminary are quarter. on Commission I'm the We're the did the a earlier just on week we received the drilling of is in flow doesn't through

at a of Casino what's on So working get we management be understanding going new will team there. with the Queen better to

a team and management taxable managing nearly exceeding subsidiary Baton And Perryville managing Rouge, our the great continued businesses, their of their both on and TRS the job businesses. was to TRS, REIT Finally, outperformer our expenses guidance quarter a [indiscernible] by do during the in $XXX,XXX. they the pleasant very the

landside We have will at over investment, approved are regulators a plans landside develop Rouge you looking the those as process and coming the Baton the move modest now in Louisiana in the inform quarters. that potential of move

we the EBITDA costs We sheet, million net earnings net the our leverage XX saw of issuance drawn of with unamortized that X.Xx X.XXx XX closed trailing EBITDA. at on months gross balance XX.XX. XX months the leverage had quarter of On we release had in trailing We revolver.

the in that will year. this rate. our and of bring just have in next XXX notes called we million X% in did due the the the was November At quarter, March to million year of of X.XXX% debt have we still the our for redemption notes under XXX recently early fact April end X.XXX% attention of floating your of I

that expense the not that of on people duration for and call we will is revolver, out be reducing point extending our fund current even we anticipation, the if our on debt. would I the which interest

convention tremendous date of early evidenced the But of those end, quarter and flexibility an activity everyone an ATM, of a part to notes. of -- are as the ourselves the rationalization the accounting we opportunities the result the continued structure call there and for at wanted the company on that really how our in So that settlement redemption standpoint. was amount at that was with capital for equity for continued provided it. There we've improvement let program the use just know do of from of have know immaterial to because market we quarter

as the well have XXXX. guidance established first we of a our Finally, as full XXXX year quarter guidance for for

Our which master lease, lease, the leases variable in will are guidance to Meadows Eldorado reflects will in Penn and May biennial resets in the which the resets XXXX. October. master Those Boyd the rent and lease, master that of Ford pinnacle rent variable both being be the be in the subject amended

monthly so estimates for made what the in XXXX. properties the performance data we follow variable reset from our company we've that So input well as respect tenants will conservatively we've of reflected those rent those be impacts we with as that the that gotten based to on

the Eldorado And side year. the last inclusive the low for default range range on point the trigger given escalator, we've X.Xx. guidance, The I'd is which make a has on of the a of

master lease going finally So the then the to the it high-end range, we're for Meadows Boyd we've November, in Eldorado the escalator. the October. its hits course, master comfortable. on master in master or of lease that included Meadows the And anniversary and in very We're lease of escalators the lease lease May, when realize lease Penn

it turn assembled over So questions group. to with the that for would I operator,

Operator

Zeniuk go Please Scotiabank. Thank comes you. first [Operator from Instructions] with Nick Our question ahead.

Greg McGuinness

Greg is Steve, equal. everyone. this Hey, I'm with all else Nick. McGuinness. morning Good being

for your availability What's that fit is leverage financing how you in there If metric through actually near the about the a may and you the underwriting think try future, find were that funding process that hit to a acquisition GLPI of deal you deal? company sizeable today target would financing? to strict

Steve Snyder

something grade a us the have the it glide we're leverage of up to at guidelines investment down we get X.X, the below took as funding we adhered with path, we X.X level up. our his to taking we quarter, not we north Look, achieved set XXXX X.X comfortable to board and leverage we've transaction, us, We time comfort taken market comfortable the the at right which where leverage, that to But said the so time, going with up them do is Peter saw for leverage as to we're at comments, it's getting issue, the of presented mentioned fourth crossover depending on to with, slightly X the agencies of have to rating has to X.X. years in of certainly as X on the going time. all stretching transactions, were the into give opportunities closing that are what that a

calendar as equity Peter that into you with result value mentioned our a we've shareholders. entered throughout XXXX we've engagement seen beneficiary, a We've been impact the of the

our substantial You're spreads. in also seeing credit improvements

XXXX on dated plus now long depending look you which down XXX to maturities treasuries at. deal Our about are

So been equity to the us. credit The have to markets been markets good us. have good

You think as on and every looking as neutral possible. of should us as accretive acquisition, financing leverage basis at

Greg McGuinness

spoken Steve. much VG? your have very then potential merger I'm curious, public initial commentary? buildings you after you And then with their suggestion Peter, Landon And are that with Thank right. what All regarding thoughts just

Peter Carlino

Well, yes, I we mean did.

a said we've they we that conversation had understood those folks think and were I in. interested with what

see us has balloon doing, to something always look, to kind terrific argument But took own frankly interest. that for that to are ours. have been Look, shareholders the that their My think advantage do plans, now. I our particular if is so are out VG. we you performance of be, pressing look they them. their I with you in like no always air that have those for transaction would ought guys of what

guess discussion is, see And look certainly -- today, I I further and we're you've our And it's the line no and shareholders. If that. them. will in about doing maintained the we've advantage you who healthy we like dialogue. And what with end we I are a all all for bottom producing as sit to no value own maintain, at us we more the think had

Steve Snyder

Yes.

approach earlier comments, what's to think covered the we've I amongst think is the three inherent that over ultimately companies Greg, than at people gaming been public value got more a in There's arguing us unique months clear of XX upside and amongst been the day, we've the more end of since our talking appreciate appropriate all this on anyone. portfolio for the structures. and that really that really people about regional out REIT last differentiated you and and with ground them Peter's merits put assets to as be multiples when

the you with management point, duplicate. the And that then assets, couldn't when about platform company, scarcity track inherent back the other you team, record that value and value Peter's think with our with to you and get

Atlanta the we, us of they would stock. seem or if it's doesn't the case not transaction a And look year-to-date. get that's in upside you made I billings that a lot both whether performance there's think there I necessary at helps think originally the agree that like

Operator

next question Our Please with Joe from JPMorgan. go Greff comes ahead.

Joe Greff

just comments. you guys, quick release the and for information Hey, in two both prepared Thank these all the questions.

the that in of how question, be compare quarters? First some pipeline of things true to broadly, last what and about, the terms that can question, of talk old did the and in you tried your couple size pipeline how be might that activity-wise, might

of in you. Steve debt, you're appear question, to for all two doesn't just second guidance, that's clarification, point factoring in your And from then, those that any benefit just us to pieces calling me. and clarify on Thank my a that of it

Steve Snyder

Yes, Joe.

Let start the with latter. me

You are absolutely correct.

than ago the think, or I or to seeing being, more assets including of are all the about a have to revolver redemption looking we two duration options the available in X.XXX even year interest expense. be our watching We financing respect capital long seem We're basis, it reasonably as a given we're to really at and obviously, that of markets. thought to relates that But would ourselves, we've on called. conservative our tenors X.XXX permanent probably We're the never guidance with that obviously issuers, the considered.

of correct are terms you guidance. in the So

we earlier Peter pipeline everyone of call, of Your phone everything question. look I said, at this question on And I has everyone the evermore we response terms look as look, in you'll creative the us. way the that get same commend moves. mean, an from same at, asking

team We regional The is building been they've I a consolidate management a business. them but sale and them of in Keith United their opportunities. that now and phone is over their what operating the have helping said expect to a really in that that that we on not comes and in And with industry their are partner and obstacle, we've transactions. we the leaseback in call with explore has on Eldorado We're opportunities gaming facilitator. This those to might've operators, an with them the in tremendous year that that proven leverage experience continue those Josh continuing relationships focus financing of are a to States. see Boyd plus Penn tenant to facilitator an had the spite grow leading business our terms

thought compressed peer for the really rates with us that different. Obviously, cap you leave our would in I sets. So there's nothing have

has and sellers to you aware Our should ability operators grown. that. that And are pay of assume

Operator

go Katz comes question ahead. David Please from with Jefferies. Our next

David Katz

So, two questions, if I may.

Bellagio, the in, occurrence answer speaking and good at of some that we've have or for and the are that look of those are like for If can are positive you? the they surmise quarterly would Are those scale a First, for strip price. assets I'm conference model occurred we we you is at couple seen whether specifically about asked larger frequently interest those good a last deals deals, those things business since the be call, assets and usually deals of you?

Peter Carlino

Well, encourage look, long-term. makes table sure that asset at it others on capital an put that. there's source the let in me around -- our to a What institutional you a has unique to unique at quick some think all take that is for these in I stand that underscores terrific. speak know I of opinions a and of property it's I looked light then But team shot sense be the sort a reflected Bellagio, the judgment that if think highly I made case, we that's us will it's valuable and transaction. And of up.

are this that Look, think this about And has with important these appreciate always started we it about market time been that market space the safe REIT, always assets that in special is segment, to that gaming long-term -- enduring was anything value. from the these are helpful. getting our I suggests happens

So, what sense. we're delighted. have paid paid, those would can't but I It's look, folks say we makes unique. it

do know want you with time this some I Matt, because slide. spent you comment, to

Matt Demchyk

with of a one land over fact that and dig the other more on cash flow made it merits this parts at scarcity the assets. concept much time. there's estate, that. of in on it's in a of cash state the you but of mean lower Las important enduring I and to I case Peter. flow you of institutional of that you trying barriers class for volatility relevant asset is don't entry look a ultimately the of the really of Vegas, as add, the be bounds in more some And think people as the that's solve are price to and also thing validation locations over and value I put they're of just Ohio And think I dig well side our mean, capital clearly valuable like state meets there's in you was there's extremely have really real that that the to actual high can I ours, years, the into for I build would a cost, portfolio mean And put sure. you those constitution.

There's dig path, We good is in how end that know, get step some to people to signposts that but will value the enduring this ultimately of as for takes recognized there and path. along that sure. a long be it don't

Peter Carlino

of your institutional to beneficial no to those answer Matt my opportunities of continues short and the mentioned as that state mean nature continue be as toll government. are to for absolutely question is facilities The to is they -- and a class. will greater mentioned, David. the look basically our regional Yes. in there question is, mind transactions appreciation Peter capital at asset There gaming these and bridge what greater

pretty performance gets secondly, we've and the everybody fit does finish, right. first So, perform? thing look on and How the then does and And side. caught it always up how been

David Katz

as in others. now, right. your for strategies to me somewhat what All lost your and exists question, second on on stock intend you how performance my sort to and anyone. And be can And you opinion continue of gap? certainly lost differential that is the of have not you shouldn't thoughts What's a that. on or you close the level, what my relative that part. about your It's to second, There thank certainly why still hard trading earned believe I two

Steve Snyder

middle with I same competitors, at able we're of as use correct of calendar post We're the what at one on of metric but one actually cap you on with XXXX, top rates We're lab the you. class, we're competitors. of to and I on to depending into the the through our XXXX I quite on think everybody. not but our same need and other do here of based been the we've performance the think that not head the are course we the of Yes. pack. over

capital equity you undertaken what is both significant I really see with the which we've to of to that the engagement the side. respect starting the debt are markets on So benefits on mentioned, think Peter markets capital investors and

not day in but well-taken. that be investors focused educate It's So over. work with continue and work day little value I a it's bit on the progress to conclusion, would your that It's to in these of cash toll bridges point in flows of produce markets. we the in a regional terms and these out a is continuing your disagree on

Operator

you. Thank

Anderson from question comes next Please go Our [ph]. Rich ahead.

Unidentified Analyst

you're I I as and able are a to on of costs think create So, away accretion, inefficiency mean it develop reminds a which connotation. exploiting guy basically there's me you of or being what's a gaming when a exploiting and though this the me others an feel space, investing long that in and where don't going REIT to you spread of create time went ago comes ultimately Gaming things REIT way, capital now had between when wide to it the other I spread do rates REIT cap space, with having in a negative but not REITs opportunity and accretion. are guy,

you're and about marinade? your curious look about we're not if classes? about if and underwriting? you scale? portfolio but other at So Would values interest let comes. you in your adjust good, worry coming thinking be something envision stock rates a pace. is, to events your you you down, eyes, my question all and adjust if up, price close that we'll do? it's inclined don't it's Would time property or you Could I'm a rate today when you of here, just the asset now it similar redevelop Would cap would to commensurate chain worried environment just happening What something

Peter Carlino

And And We'd what but with else that always hour have future And worry always no, to gaming might suggestion players field there's an are do? course, not going looking some that's gaming. States we in be. stick Really still the Any not of example. we're where to over be you of being an look, years guys We might someplace that question I get we before significant love, asleep. the can implying we're to to the else. for something about looking gaming kind to next hold you're as do. There may long that What hard react constantly. Well, is at really has ahead. one, yet example. Georgia occurred. I approve as runway know is as love that I we're think

down of I'm the the things work. make burning daily possibilities, Steve and That's looking what various around we're determine oil at maintain, we midnight looking table a at And Ladany kind that Steve process. we could and

think and imagine the we're a away throwing So towel we've think what you from do Steve? good bit got, I in

Steve Ladany

Jay universe all of all, and you've put welcome Thanks coverage first is and answer what moving asset you energy the our you easy. really for the mean, pretty to to effort enumerated. Rich, curve. and the our It's to welcome question your up all I learning class. into of you

shareholder that our in you've Our responsibility capital. have accretively to him as refer our Chief as given opposed to in as and Chairman chief terms the the of is first It's a that and management heard and all ownership as family and here foremost in sheet the to manage company, as his easy prudently particularly balance team is Peter stakes efficiently deploy Executive. me or and we

of is assured the same going be mentioned You all that that enhancing existing you developing or to can discipline that rest applied portfolio. to the alternatives

looking gaming, beyond opportunities this as for opportunities class continues to asset at at mature. development regional Looking

Peter Carlino

that deal no I have that the said point building why very in not underline I that have have and we're made if followed it those that's monument can years, aggressive we there's to folks I businesses just who but us do. again, the for we're

the being is anything to good all simply So that true. I'm who people and investments, before the to building our not more about The Shepherding we value look It that who profile. is do that it nothing smart matters added a the or folks get added said maybe end just me. and with it's increase value, to properties investment next I'm business. shareholder what simply the trying value nothing generally value, our risk we bonus philosophy. a because that in in to Steve else. are we not three us flow cash isn't stick value. it's It and We're deal. even

sell that's worse, for what better, we for aggressive. So

Unidentified Analyst

of know Omni-channel and gambling becomes mentioned online kind term we next Penn, a for talking Do is operators. gambling you the mortar sports Barstool kind business role the do don't to then think what and up. underlying as bad Okay. have next the that willing but, on a we of and of good of it's connection And report, is sort bigger and in thing thing playing about phase a me a you your betting we and just of wondering A is operations adjust? And sports to I your can were the of major like that, the pretend knew to that me I'm from the and business? the if of what what's betting bricks participate brought generation second I'm or and conversation online was the part our wrong of courtesy launch operators the you years GLPI several standpoint over a or correct

Peter Carlino

comes game newer the and not it's it's slot incremental building. sales, beverage where the more of into first reported of of going from talk to-date betting yet Rich, operators games, the all, visitation, result the their or whether that one operators reported I'm incremental sports that play, have seen are it's the the perspective, incremental buildings people lift a entitled. that food incremental every in the about sports table a play to the report, a that sure have they've betting, just coming the and Whether and not demographic as from

So of these in has it's betting Pennsylvania, Indiana, markets been New the those businesses. Virginia, Jersey, West really in in in Mississippi, in uplift it for sports a nice impact approved been where in

been casinos in internet state piece, approve to New the past, In terms Jersey. has talked as the online internet of the the piece, mean, I we've first

have online regulated. sports this. real the those But And an casino as New the is easier will the of in and the to others the infrastructure operators because are said in particular. appreciate that and call the infrastructure come can Pennsylvania the to already also that more to facilities it's infrastructure an to online Jersey in Now estate followed tied investors an be this tax it's It's on of casinos, model, casino books they're tied we've past, facilities.

a operators on a gambles responsible population and because is issue every social gaming have that gaming, And state and their those in terms know States whether beyond online. gaming recognize small or experiences portion in be keeping and every backgrounds regulators that come KYC, it's is databases new the that there an customer jurisdiction your with the are those of people do have those means. responsibility those that to Gaming a in mortar as lead these internet in of have the going brick facility always

that I a Jersey think interactive has it online a now our So framework foresee, There I is not business? two correctly, heard incremental tool the into you very does I is is New remain gaming Correct. risk an asking and there and activity. facility. just social Amazon and the facility the One from I you're casino And proven regulatory proven respects. has two draw a dated the identify in and don't physical attract very as longest if customers question, mentioned to is to

Unidentified Analyst

follow-up great. I has one my Okay, question. And colleague think Jay

Unidentified Analyst

Hi. the Yes, taking question. thanks for

quick. Penn coverage the is not the that which or last include X.XX for real above threshold this accounting rose discussed was that? Just with Does inclusive adjustment number Pinnacle coverage of rent the quarter, the escalator East

Steve Snyder

on XXXX. through number it would realized end on a that based in flowing trailing April, the that of basis be April when escalator was May, XX No, of

Operator

Robin Farley Please with comes go from question ahead. UBS. Next

Robin Farley

transactions a seen there other that so months, four to that questions is, to a you we've two last kind first topics related to do you of are that, might've One just already out or have able angle. something three but you've that six in different the been is, little bit are the covered, I months of at to for it multiples do it ago? are seller that point make expectations raising would that that they're a actually high harder they are

Steve Snyder

Look, Both Robin, if and Bellagio for them I are speak the can't But, one people their assets. the of try. I'm I think sellers the unique partnerships compare hope going could digits stereotype. to These I would there count Vegas that will yes, on to are I any on I estate on of unique hand. that very think very the These circumstances. planet don't not these Las strip, anybody real

would next of is convince I they their the if illustrative the from try will importantly, stretch retained not those banker, being as are More transactions and multiples. of at sellers get two that the Bellagio or But by can them they bankers look three imagination. price any discovery

Peter Carlino

yet. the not I'll mean seeing what We're at, flatly. I we are that say reaction. of things we're looking that not seeing kind

Robin Farley

with gaming ask pieces. elements My Park expansions seen we've I to of additional kind those guess but and Well, I related want of monetizing also kind NGP question Penn or like that, Barstool, to then is of a what a an MGM that's great. improvements to sort is, precedent non-gaming with where Okay, sold are Thanks. other deal REIT, helpful. the

with talking there way Barstool, when buy is part and wondering for a for cash is sort opportunity precedent additional of the with about physical seen the Pam? that if deal we've property renovated, or creates is the And restaurants I'm opportunity to this, in of adding they're So expanded there with GLPI bars. deal that where that the flow, non-gaming if an Barstool deal then

Peter Carlino

a stretch would we compare where would as it's that the the mentioned by precipitate imagination food comments from see Park not that my Monte Barstool Penn. seen regional they've announcement MGM we in question. the fair of have ever out What rolling anything I at any anything now. been them. new courts earlier would markets in Carlo the the No, of into the conversion I

to the their continuing They up at eatery opened in invest they're they Meadows. new I fifth. think to the their And just out are businesses.

put businesses to the had grow have it aren't these past look conversations hotels as well adding excess there I to for at there's when opportunities Those hotels where frankly, acknowledged they've Parks We beneficiary maybe with and land. by know in them the where by to we are adding indirect but businesses. capital invest us opportunities RV quite their become work, to they in do

will of which by in those -- hotel at them They Kansas is that's after I at Ameristar, they beneficiary. this value of the Boyd the commented going the stuff, the and of think beneficiary They undertaking part last to going will the not magnitude, in they City over and had do. to they kinds in us. something answer and will the there, I they're we biggest And are conversations. night or to relatively to back anything hotel or going A Look, renovations order to ultimately room those we Indiana, projects. internally can hotel wouldn't be fund call modest see that of listening be time doing be why Belterra obviously in resort

the looking continue make excess That does sort some of markets. are very in We I but which land various at of some to they'll -- sense, thing think makes happy. us

properties. to put they our him. want in said, God money Steve As bless

a got they Now business becomes we kinds universal of branded with end kind of some things, expanding barstools. aspire. or hotels a if can Barstool started and around brand studios those pretty They all Barstool massively have

So anything's possible.

Operator

Spencer comes ahead. Allaway question Advisors. Please Next Green from Street go with

Spencer Allaway

color achieving just your the regarding since guys health in upon Form-XX. range rent little remarks, those a on confidence resets bit the provide to can the Obviously you a more are based prepared today you that the on touched 'XX, subject operator's guidance assumes in of outcomes leases but resets in your

Peter Carlino

welcome and as our Spencer coverage universe. you well morning, to Good Yes.

thank and appreciate time and properties of it those lot a several you've efforts. visited of our we invested and for you You've

many we four that In should terms say disclosed disclose own so on the their of four resets everyone the on that's a our coverages they're frankly basis. one we I the sort what for wall judgment where of why wall on call of coverages It's quite escalators, we why that value reasons likelihood the can of the make leases the is. this trending, based phone do each

We've year one all moderated the on had the bit that of a guidance, particular master this performance escalators low incorporate the just lease. You high year on saw end end based which of no last had on the escalators.

I So very those that are the likelihood high in low we will feel the with realizing we've between, the the bounds think of set the estimate somewhere that comfortable lie answer but reflective bumps. and of

Spencer Allaway

back land G&A and about to maybe then have you maybe any And or or can just -- just position a stock, your discussed governance question but the on asterisk? composition potential Okay. and can buildings, that you changes or by to a M&A, may side in going of suggested been talk earlier an

Peter Carlino

Yes. that, There's answer. I'm no changes that's Yes. no are is that and anticipated any to asks nothing trying specific anything, just think, probably we no, the there And just in area may. there really best

Steve Snyder

all on commented remarks, opening throughout we've XXXX that Peter's he engagement the In had with investors.

factor we with better to dialogue we with had that much that number we and we've to and into dialogue interact an account informed this business. the and as of everything opportunity as an growing land So ever there use be buildings is to do manage really nothing unique and investors very appreciate continue just

Peter Carlino

There's We general would most anywhere. that Brandon, are well You nothing requested. pretty our -- at we governance, think in significant ask has governance. I about counsel. really? issues any been rated measures don't Actually have I'm we looking for Do

Brandon Moore

any issues shareholders been think quarter. governance I to past us. the raised No, have In have by specific that don't we

qualified our I nature think was it that. we the of to quite about of lack add to time board, regulated did our a a our recently we're board, excited that which to us be board takes of because have, and on holds director did One some the candidates. it female what the of female a find director very quality took we But on

that had I think that we mouth shareholders filled. the was biggest we request from that

Operator

The Barry next with question comes Please Jonas ahead. go from SunTrust.

Jeff Stantial

Barry. is this questions. our guys, on Thanks Hi Jeff taking for for

terms which have you're First less us of for can just more off, disciplined terms you are in maybe future walk you areas and on guys your the though? leases been what maybe flexible of -- fairly deals, through setting

Steve Snyder

be we unique of for to business the We Look because want every lease negotiation choice. dialogue the landlord unique a our tenants. be to want is choice partner of is a

in to to of portfolio market gotten that So be tenants we've not of multi-billions needs it's certainly lesser quality, most do a with we now difficult to cap, if because to comment. be leases. Anything stereotype. my with cases, point going all, but credit earlier I dollars a in equity of would the master back obviously it's accretive,

be expect to going we're compensated the So anything to on if spectrum, we're to to for be that going -- it. we do, move going risk out we're

that asking on. impossible you're So, comment is to hypothetical a really

Peter Carlino

Jeff. add just I'll

our If aspects that tweak we are highest it the to you happy look said. the win-win time, win, the you is historically of IRR comes down to possible. our like if But do done at be there we what to tenant we'll Steve the apply get ways, lease to can it goal And them. all and we've then really and current economics,

Jeff Stantial

past. that Is Great. considering? still you've then lastly from mentioned Thanks. us, something opportunities in the international you're And some

Peter Carlino

at capital. we Yes. I I we said look look as earlier, at, is deploy opportunity any our mean bottom our accretively line shareholders, to

Operator

comes from go Please DeCree question Gaming. with Union John Next ahead.

John DeCree

get in of question at here least think to in Vegas Las regional just strip you've valuation and kind the you've cyclicality Las to clarity that all on kind them kind spoken versus peer less kind twice. thoughts, of about a of strip of pile at Vegas regionals. more resilience moving Vegas at underwriting of with Las accretive, your resiliency or the some wanted But look for when addressed I kind And length we stay just already there be of you've kind in risk little there would you focused a standards if strip existing was And an strip was or I on the of interested of regionals? opportunity it's you in of question. a more guess your portfolio. in kind given kind bit regional have approach Vegas stringent Las reward Would then,

Peter Carlino

Toledo, it's Look, it which a with or one thing no more caution. in to answered Ohio you've and property I we built say have remember spectacular Ohio, And operate lot a Columbus, think hotels.

say hotel as with nightclubs goes to it. along X,XXX entertainments a room compared with property everything As and that other

in Vegas to would and been downturn be have demonstrated. effect the a can downturn will will be it that You in neighborhood that store. than know That's property safe a larger Las coverage the be much, than strip imagine would pretty profoundly the much your more satisfied we we clear. It's we

again, think are many a with be sometimes look at property, chosen. called, but at yes, are so no, anything. thrilled few look good And it would we'd And I but would sensible wide but will we mean say open. to I some eyes approach, like we be underwriting to

Operator

John Massocca question Please ahead. next comes with Thalmann. go Our from Ladenburg

John Massocca

guess that on below potential maybe of prepared future well equitize over your in mentioned activity any given any of stock, target to kind kind bring of needful not in fund leverage the of your remarks kind performance basis. you a leverage sense You would would to levels. kind But acquisition I make recent it want transaction to

Peter Carlino

line the we that in are levels earlier at the are in balance don't the but John It is, that any point leverage night that your remarks, assets comfortable wasn't taken. are an The well at question. flows we the given bottom was response to opening sleep cash with. is over for sheet produced company of I very lose GLPI.

would've asked a time. and GLPI And capital over years opportunities looked market circumstances looking long markets my to as might So at we you crazy. everything like about -- available be based ago exists at of some right in did what me point -- remarks, environment you're look, determination two in you'd if at is fact you're the on that debt equitizing looked dated your opening say at now, I

will both So should existing as we to that as you at balance the with acquisitions. all structures well look assume capital prospective respect sheet

John Massocca

variable quantify maybe And you one quick XXXX question. change assumptions the just baked guidance? are Okay. rent that Can then into detail

Peter Carlino

we and down disclosing that suggest tenants front do we our -- back drilled should that not we not have tenants. We've importantly, not something we're to And don't want not want more run only our disclosed. because come to say that

rent do each are can So which is, good of into we but at monthly the feel a front the looking good database insight lease, variable resets We not tenants. have resulting run for very be. prefer maintain that again, those, revenues our to will and we've in get our property is in sense what to a except for there every That market Mississippi portfolio reports and very guided monthly Nevada, you what Colorado. located, revenue buy people

John Massocca

Okay. But of changes is, baked just guidance, to into some your correct? level clarify that

Peter Carlino

absolutely. Yes, I'm sorry.

Operator

Adam comes Daniel Please question Nomura. next go ahead. Our with from

Daniel Adam

approved you legislation? so is pass questions before could in have year. properties, my the and/or Should betting I if have one of Louisiana have of in could answered. this much. a TRS Maryland particular regulations sports if that draft place. on Maryland just Thanks wondering strategy But ask I'm been Most My sense November

Peter Carlino

in The has gaming to Daniel. Maryland, Thanks go any the in to answer voters. expansion

this now were there approval go to legislature referendum a voters, is gaming in question that must would any the sports wagering the if right ballot, were Maryland that. the bill allow in that in in So change it change future. the on regulatory the of But to-date would for

and What to may But is the with to for tax. answer imagine Louisiana as discussions. Rouge same TRS are enabling your not comments Maryland it's happens question as But on both the have had in as of cut happens With and respect can have absolutely. our you not legislation very Annapolis several what sports in as So Baton to respect assets, your different is dried we wagering. suggested.

management both been you are have engaged property be participate. very at Our vendors states cause imagine of what the a of can locations actively at as they number looking next out teams there can how will and

Operator

from Our the Bender ahead. Group. with go Jordan next Please question comes Macquarie

Jordan Bender

JV quantify the you without would and So a balance need entertain had in form the that don't you in guys something space it the investment is there's mentioned you Rouge? Could that the And follow-up. my but flux, sheet. a Thanks. quarter, totally offset, you we saw for during if this the is value, Baton move larger

Steve Snyder

we really no built real that land-based We've three there's million off that services in to down it question. the riverboat deliver matter a of story latter in growth under coming purpose involved how be revenue a the are because there take $XX being efficient I'll to more opportunity. It's told and all a of Yes. people it's facility.

easy question. So that's an

Peter Carlino

they're we nothing revenue not definable all but saving, landside going They're that's Maybe material. Yes. see no the limited. cost insignificant, but growth

venture joint to notion… As the

Matt Demchyk

this I'd and certainly we historically, through underwrite sense, in been Historically a say things for play appreciation leverage. we've the Yes. if look acquisitions could with with made it is the role future structure but Matt. an our creative would

the appropriate for an an the in to any question for incidentals potential structure. is your kind point of our think it complexity, future. of I avenue would appreciation and discount with But other interesting transactions with also come or that that

Peter Carlino

we've bottom is, about I talked it. mean, line the

Operator

to session. Thank the We've end you. the Q&A of come

Peter Carlino

I been pretty hope this and and sudden, much. Thank look with next forward has so but you to finite all that's helpful we'll Well, quarter. to again all speaking you

Operator

This teleconference. concludes today's

You time your and participation. at may your disconnect thank for license this you

Gaming and Leisure Properties (GLPI) 21 Feb 202019 Q4 Earnings call transcript