RPT - Earnings call transcript Q1 2018

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Operator

Greetings and welcome to Ramco First Quarter 2018 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] And as a reminder, this conference is being recorded. I would now like to turn the conference over to Dawn Hendershot, Senior Vice President of Investor relations. you. Thank ahead. go Please

Dawn Hendershot

during thank the earnings joining time, conference inform Litigation deemed of statements like and not Act which first may Reform of historical, management for the quarter to be made certain that XXXX call. statements you conference you morning call us are within for forward-looking Ramco's would this meaning Good XXXX. At Securities this Private

to quality of any the during are as this call the call. date of will Listeners statements should Additionally, by statements made passage replay of made that of understand itself the made. time diminish the the

expectations that Although detailed press quarterly I and believe remarks. are that Dennis in based would in reasonable release. to we turn opening for his now the to we After from questions. any open over risks forward-looking which, results statements the will are expectations reflected call for actual call could the factors assumptions, cause like on differ the to

Dennis Gershenson

and about talk Thank to is But have results. the of excited you, I'm at Dawn. Good taking that company, and place quarter information call the thank you last are I earnings my providing Ramco. joining the with our changes This about first first, us. for responsibility morning

both Our from of costs. interest contribution in Webster dilution per G&A $X.XX Place XXXX, last operating FFO Providence and from share, lower sales a acquisition was and $X.XX from and a impact asset $X.XX which includes the $X.XX year, the positive lower Marketplace

was Our same X.X%. redevelopment including growth property NOI

in was during the bankruptcies quarter growth Our XXXX. by impacted

dip a we growth. on property our mentioned As quarter, same anticipated last in

solid second backfill of this with leasing XXXX marketplace spreads X.X% feet and of our these approximately the $XX.XX. Woodbury Deerfield We number quarters on of year, second in an rent with and posted of square we redevelopments. first acceleration Lake average the and XXX,XXX complete an comparable growing spaces base as of half the During

X% quarters, of on been our reflecting leasing higher average spreads portfolio. past rents above the strength have base our the three For

to continue and We've release the to for we efforts lease half We the bankruptcy a Kauffman spaces K-Mart and within sports reasonably in anchor City the Charles Front our both to Fort XX substantially announce Gander our closings. River next with completing Village our Additionally, of expect space the our to Center at all days. at replacements impacted experience by positive of at Mountain and second momentum Property signed of leasing Collins, fill sports authority Range Colorado four locations. authority in store

in be assets. Harper with him operational excellence that believe in middle drive record a Brian of company's to slate opportunity him company the shopping be to the center our CEO. success of allocate pick June an track Brian's clean positions next company capital and the in the able comes future, as As the the leadership strong value our We as joining at industry. a has to will partners. who reputation to individual the will He and Brian affording his top,

business strategic affirming responsible as and in management's As was the result not it With prior plans. company mind, company a team the management feel is the encumber long-term updating Brian expectations, to short will be did developing and we new CEO, guidance. not with for that prudent or

future. to like excited proud look XX Ramco's and of I back now would operator the turn our to I'm years, incredibly the of about the for last questions. call over the promise I As accomplishments on I'm

Operator

from Todd comes line the [Operator Our of ahead with Please first question KeyBanc. Thomas your question. Instructions] go with Thank you.

Unidentified Analyst

seeing XQ you they curious at that the in I'm over mentioned still strong Drew your and continued just Hey, continue? that Todd do good if to for morning, remarks spreads guys. you prepared you expect volume and strength that This on [ph] pretty into Dennis, are is healthy all renewal are today.

Dennis Gershenson

during forward. Again, we're working in two I to three going mentioned morning, in on able as as Drew. we said that no to anchor remarks as deals the very I replacement do and rental quarter block this Good well also in the anchor planning not other we very some about healthy second important K-Mart Yeah, continue time. quarters, present talk releases my only on last to able reason being but increases be why the the as not for should Yeah. we're we see well

Unidentified Analyst

any And in specifically any were that? or of like geographic saw in markets strength there anything that the you regions

Dennis Gershenson

of an to across we think all I centers, who tenants opportunity continue the to a interest by in basically shopping those see Really, our had portfolio expand. healthy very

Unidentified Analyst

me And I be doing Got more from question, guys noticed the a Great. a other shops a there some lean about might you know kind project and redevelopment talk avenue that to small portfolio? little another that just are to then just project, speak for I see granular I opportunities the one can on maybe co-working of going about that wanted but it's if exist that in bit you it. Ramco space. for

Dennis Gershenson

of able shopping entire at on return to interestingly a an we were center the investment. opportunity our and a so state about a is see the never a There amount at mile very really office was been space with we And make and deal it shopping segment good from mile that that additional acquired to Sure. tremendous there utilized. shopping a before even some to a on one a And add really office potentially for lean we the center Ohio had and are a half center. interest second user office of shops we floor on to

the number footage ventures I pursue them put it's asset six over very give months in you're and continues four which So, Brian a square risk on opportunities next have a that's will about office of conversations little to of of to cost that think board joint it's majority is because the an that to putting that we'll and the to there amount place. we're ones see be is in downside user, here the tenant we because one limited going

Unidentified Analyst

congratulations, Dennis. And thank Great, you.

Dennis Gershenson

much. very you Thank

Operator

question of next from Please Con with coming your line ahead question. is with Raymond go the James. Mings Your

Collin Mings

Hey, good morning.

Dennis Gershenson

Hi, Collin.

Collin Mings

Again, wishes the you Dennis. you Hey to off to transition role. Chairman as first again best

Dennis Gershenson

Thank you. Appreciate it.

Collin Mings

Recognizing backfilling COO to Brian a you expect a Board to level little backfilling the discretion, about from as to just priority have maybe a talk process CEO but the do likely will bit to there's have well? of role coming anticipate as of kind or role just a well and kind you the continue CFO COO that

Dennis Gershenson

My of assets. will all it's thorough aspects to think our that to little of going He with to be way understanding move of that that comfortable COO a touching did role. choice. a the business, he's COO come ultimately will Brian conversation that needs to his a really relative the Brian's be gut decision is at have down about Well, immediately I it get-go fill and not We expect to get-go a the get role. all so he for a the does

Collin Mings

on of Okay. little level, higher side but move of from on CFO Brian again just the or And the things? board firm bit timeline just June, of maybe then talk maybe kind been again there CFO the pieces a in with recognizing just the a coming process search about here lot

Dennis Gershenson

onboard once the some contacted number him he's there say be and have believe I diligence. to people the position, obviously a CFO doing that juncture get interested We to who we expeditiously we've be can who expect But out been is one, we firm that a work and move we Brian's at number speed. by would identified in search the him and with past, they're to of to And this due going this up decision. secure in

Collin Mings

to a you step core just prior kind from to you But store well? to be feel you right comments ramp And the of kind same operation in out maybe pools I from kind that's just overall. and good about about enough. that year. of determined from a the guidance of have it same as at XQ guidance of Fair standpoint now store kind half I thinking from the you're there. of of then get expect is second results fair that what seeing the kind mean guidance a about previously any Or of think you and standpoint shift least NOI away some the still a decision say pretty kind

Dennis Gershenson

quarter absolutely line Well, were we in first the results we have planned. that believe certainly with

mentioned my I As have that number onstream. of redevelopments in prepared a coming remarks, will we be

to rents Brian seen just talking the continue at about we You've we've my is give pursuant it's pace. either remarks, center we FFO that to or expect strong just on a guidance same any hesitate And in increases to prepared and until onboard. that been

Collin Mings

is things. anything there be harder there to remarks else line press going last strategic along in going just And in those by the have that forward? think from lines of focus Are the to some help particular how the just going from the All with or focus me that on right. just is on conversations of way release just one Brian prepared as far and the back a there you a more as anything you

Dennis Gershenson

any got to strategy there But the employing get again, that be dramatic has I don't at changes. be strategy. will will at the go, least he think be Brian's

Collin Mings

on Again, here. thank transition Fair very congratulations again, And Dennis. the enough. much you

Dennis Gershenson

Collin. you much, Thank so

Operator

with with Our of next questions. George question Hoglund is from proceed the line Jefferies. Please your

George Hoglund

Dennis. morning good Hey,

have in you the question are stores of were some of one of market? below and you sense how above the many those T-Mobile have tenants. Do whether Just existing rents spring terms

Ray Merk

company's is this Accounting George, Chief Hey Ray Merk, Officer. the

George Hoglund

Hi, morning Ray. Good

Ray Merk

T-Mobile around XX,XXX on we've And on just about ABR currently leases that the got morning. XXX,XXX. feet. we've feet. over square well XX,XXX Good leases And five got is X square spread

George Hoglund

rent can then the And Okay. on those? give you

Ray Merk

around or ballpark. the right XXX in that think so Yeah, I average

George Hoglund

just then they are you Okay. in. upper portfolio? of and out in thanks. would are these or All and quality these spread lower the wise of right, of that of your of kinds in terms terms of end centers say kind And concentrated types

Dennis Gershenson

spread our would out. in I well our it's of commodity in It's that enters. And No, them Centers. pretty we have Town say number

there in one specific I So, is think groupings. concentration any those either don't of

George Hoglund

new general is or Thanks. And watchlist? there Okay. update just the then on tenants any

Dennis Gershenson

no the moment. that surprises Charmaine juncture is additions have Well, were to consistent we watchlist. put Charlies year were they beginning [ph], would [ph], or relative either at of the very on GNC the at experienced still have watchlist is the together to problems. The one Total Obviously the of this tenancies watchlist thing the our we that that say have watchlist with there I as

George Hoglund

the Appreciate Okay, thanks. color.

Operator

And from questions. our is of with JP Morgan. proceed the line next question with Mueller your coming Please Michael

Michael Mueller

hi. Yeah,

congratulations is the were and the two the transition on a little Brian First when also to why talk of about directly internal right departures but bit board? comes bringing options you versus can all, it Brian to choice related

Dennis Gershenson

complete Hendrickson John complaints the here a that Well, say have that I include about had important. came but Brian the when performance, very John's fine search he and of Ramco. Board did to absolutely was job do I committed experience first was no to of all external as want a extent candidates to not at internal but along Board felt a candidates does CEO, very just that

You'll we am business cashing in I to you've saw parallel get mine, forward. in had opportunity career this and background his know Brian speak Brian action extensive be seen would leasing, his me about I smartest an going this so think is enthusiasm, I to Michael, as move in based an that upon Brian is the and

Michael Mueller

Solid.

Dennis Gershenson

He not side West Geoff their as on pass and opportunity an this private I'm now going the as college off his is up got to wife, to and Geoff sorry relocate leaving. all Coast. of going kids the put to and so them Coast far to was an to opportunity. opportunity was excellent that the he West and on

appropriate his that pick And opportunity this was important again time own and and the to Brian I a that it and him took job. indeed it leave so team so, the he felt was very opportune have for was think he so to

Michael Mueller

Got it.

CFO coming announcement CFO, I we're that think to in Okay. to months on going Brian said June if mean the picking until in that essentially? he's a have And does after few you not board instrumental then a was going

Dennis Gershenson

to that after new long await but don't how be will Brian's will say the want CFO arrival. chosen, obviously I it Well, when

Michael Mueller

the of all guess right Got that just any I that quarter experiencing that? going the are in disruption is second any you're personal terms there on in operations ground it. And on given shift last of leasing question, just now this

Dennis Gershenson

very into pleased departure comes walk when team. Absolutely to strong a be expect Brian he'll Brian not. missed with They pleased he I'm say that very haven't will with or that in that that a of relative John Jeff inherent. beat, our to the organization either we and management the professionals

Michael Mueller

it. Got

was That you. Okay. it. Thank

Dennis Gershenson

Thank you.

Operator

comes with Vincent the your with line Instructions] Bank. of question Chao questions. go [Operator from ahead Deutsche Please you. Thank next Our

Vincent Chao

commencements good in in the be needing are how just the lower commentary opportunities know prior was quarter, versus guidance to that visibility I opportunities all a range to on in guess the things think sign congratulations guess or to it when close first of the Hey, old first the development I and at midpoint what here. not? were line have about we this waiting back think and I I morning anticipating. super guidance ready on think the but out much kind do don't bit about we go and least are you than in place need I to just to something and lower maybe the the to Dennis going transition expected guess come to quarter backfilling than XH that we being you of expected online get achieve I

Dennis Gershenson

cost Well, never cetera. anything we on handle had relatively leases historically the and boards we on good et a put that hadn't of the the significant or have leases majority most signed

a you on look our really we on everything we about the centers feel announced execute diversification that very at at number confident shopping relative So, dynamic that we're yet move and we is if to can centers. especially that we ahead haven't there of town supplement as opportunities our excited

tuned developments. stay for So, interesting some

Vincent Chao

not know stamp assume to place in we anymore. Should just you place? to then until pretty dispositions guidance kind nothing is does on the given sold I And in Again, he move and disposition you're of things, quarter. where the Brian Okay. in arrive that for the side are gets But that on the hold of really waiting company. the want on

Dennis Gershenson

all not of the the all relative or And will but company. understanding dispositions those the we elements take balance to just of sheet. want Brian to decisions where really acquisition Again, portfolio await. all

Vincent Chao

their last question of the And recent are the as more on if just Okay. of that curious bankruptcy toys in couple was portfolio well you the then I announcements. on Winn-Dixie. have the update some just you as having

Dennis Gershenson

couple get we're just only renewed spending Winn-Dixie and have of and lease Winn-Dixie of Well, we upgrade have store. about one they their money talking them the a to there

line they at visibility to in So, the -our concerned planned as is short-term. we for - stay two far as those that Winn-Dixie is there the least

originally, As whether options we far there there. be as or exercising longer-term plans, not when Winn-Dixie wonder would

We space. interested contracted a have number been of supermarkets quality by who will in

in Winn-Dixie So, we have decide no their concerns whatsoever about being able to to backfill that approach does if Florida. change

is But something within And that of pursuing of the is We then obviously at tenants As far as path understanding. Toys, the thought year it - the change we to replacement it to end the they're are we concerned. those talking this now disappointing that negotiations follow had understanding that that last we're at is. obviously moment. the history we

Vincent Chao

Okay. Thank you.

Operator

[Operator you. Instructions]. Thank

Please ahead. Hoglund from go Our of the comes Jefferies. with George next question line

George Hoglund

Yeah.

additional one any since changes the or announcement? staff Brian's any Just follow-up. been Has departures, there

Dennis Gershenson

additional been changes not now. any have There

George Hoglund

you near-term Okay. would changes? any other And anticipate

Dennis Gershenson

Brian again, those but we think in, I a coming good to obviously but Well will team. have is make have decisions. we

George Hoglund

And Dennis. to I it's thanks me. just well congratulations Okay, been as pleasure working like from with say you. a And

Dennis Gershenson

You're very George. kind. you, Thank

Operator

thank comments. turn to concludes session. back closing today's would the for I Okay, call question-and-answer management to you. like This

Dennis Gershenson

speaking number the of conference calls. been in we much earnings on you Dawn, have XX reflecting participated I've Thank over to very that had concerning operator. and I calls

an wish interact exact one thing every very you We it's luck. absolute is of each actually all with you. honor do And to I haven't that But the good I the logged number. to want say one been and

Operator

today's teleconference. Ladies and you. gentlemen, concludes Thank this

lines time. your disconnect your this participation. And you may for thank You at

RPT Realty (KIM+N) 4 May 182018 Q1 Earnings call transcript