CLI - Earnings call transcript Q4 2019 | Veris Residential, Inc.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, everyone, and welcome to the Mack-Cali Realty Corporation Fourth Quarter 2019 Earnings Conference Call. [Operator Instructions]

At this time, I would like to turn the call over to Michael J. DeMarco, Chief Executive Officer. Please go ahead, sir.

Michael DeMarco

thank call. joining and quarter Mack-Cali everyone, earnings XXXX morning, you the for fourth Good Mike CEO is This DeMarco, of Mack-Cali. CFO operation; I partners, am Smetana, multifamily Leasing. Marshall my Hilton, our David Tycher, Chairman EVP joined of Roseland, today of and Nick by our our

On of remind that the law. discussed I federal certain forward-looking statements must may this securities call constitute note, within a information legal everyone in the meaning

statements anticipated are give Although, will based SEC reasonable filed could we reflecting company. that believe refer cannot the the with impact factors assumptions, press and We assurance achieved. these that our release, results estimates be we the to quarterly risk the on you for annual reports

filed this We our quarter. supplemental have

As further always, please contact with David any suggestions.

Marshall to following Nick into is forward. As markets the to break performance We we the have sections. be the XXXX a will remarks; opening call our the done the will And operating and is mild constructions will the some discuss insight and operations, going believe make will Waterfront leasing velocity. going I regarding we're our and of I winter up down view with close David will comments. for weight shaping very before, in which recap our really market and benefiting multifamily of results; the year. some the strengthening good into provide

as sales, another and our allows We results operating that quarter had continue financings. had purchase executing operating a transaction We we and a with quarter plan delivered positive office great good to both multifamily in all metrics. deal us activity regarding very across of

to execute quarters as upcoming company. to robust the we We Waterfront our evolving plan on a equally just expect be

be play our largest of us continue could progress. efforts. of work the group and Waterfront, the the Class and to is multifamily markets. be for simply office in not vision Executing owner selected which have a core define our with make live, vision That our A with I to to happier We allow

Regarding as whether should approve as the XXXX, discussed of a government the before between be an not and Jersey the times, New certainty indicate of did size market, not continuation held, disagreement New regarding to the articles Grow is All several around programs. are be program. to and branches conversations democratically forthcoming. XX, New tour new June program, be ongoing expect scope there we've [reaching] branches I government they're new light Jersey and government in There direct the of compromised activity there of Jersey until the these legislative office the the is had incentive.

new weeks expect several have on marketplace that do the we However, we're deals or next in get XX or quarter so. and next in the the to pursuing

portfolio, have locations. the Regarding our we overall right and the have office right price

do XXXX, have intend due tenant suburbs, As we we in been still regarding exit expansions. we a the believe to strong making Waterfront XXXX, to mostly especially which I the

make Regarding brief our like Marshall. before partner, my platform, I'd multifamily comments to some

new to New a older level and developments. product renovating to able a City. for City per in transportation. to the our trend brand in have to with acquisitions and month of Jersey continue Rents of several becoming choice affordability are the product is delivered The we some multifamily XX light Jersey Jersey Waterfront monitor we which to X,XXX in overall are area live, quarter-to-quarter. holdings are The add the on year tenants and upcoming rented. very County We're invest continue first-class as push Hudson next We fully quarters the based place closely. units of supply for up in our City last apartments our in of and and business rents also to

in remodeling product the rents. to order higher buildings in are capture older our our We

We on. if Class A solid, been will to and products, elaborate accepting deliveries add forward which substantially look has Holdings. has date to happen started our return will already excellent, Marshall to to Our XXXX of not which

announce You Imperial can quarters. to also the us Jersey City towers, one in and three expect upcoming new two in in Port towers

totally in with Harborside retail before, in changes way and Jersey will completion expected our that product now and XXXX, I've XXXX the which from As continue and several site is Columbus, open development the restaurants we rapidly in X which deliver Plaza XXXX change XX rising to Foods, to its of Christopher inclusion the new looked rapidly which operation other be the planned in stated at. sky is Harborside will and starting coming is Whole to the both

expanding the locations be in will We in our restaurants upcoming quarters.

Imperial, in is and which last define Port that to Additionally, New impact market. opened continuing spring Marriott EnVue, positively

to necessary will our go the over. David which capital have We complete pipeline,

David about planned XXXX. talk that suburban exiting announced entirety. our we're We sales business its the will for in

of ahead are We schedule.

office We suburban for going every in are process making the very efforts assets of sale. well. These are

board and agreed sales additional March Parsippany definitive approval in beyond XXXX. We board transaction sales, Farms these these in to Pending expect progress our to be we the completed which by of Giralda expect a quarter sales December. if of they will has to present third

you these call. on efforts update our on next will We

the form tax The via Waterfront proceeds circumstances it. which credit bonds will will sales. sale, our situation XXXX future from to down will to year next if repayment the of we our be repay to warrants outstanding line then multifamily come certain and Therefore, and elaborate, in will a redeem in the for with the debt as only XXXX used plan be David of plan in reinvested in of continue

overview Nick I'd to an like leasing. of to to turn over partner my discuss

Nicholas Hilton

quarter a Across feet XXX,XXX rents our of fourth leased Core feet were finishing XX.X% feet were resulted or which Mike. and or in Waterfront portfolio XXXX, Of all per square year year-end. XX,XXX of basis, a XX% $X.XX basis transactions, portfolio, and X.X% on In at comparison basis transactions, cash we term. rents deals cash XXX,XXX on core X.X% last to per and committed XXXX square a on these XX.X% square renewals. XX.X% over per in basis year up new committed square solid signing posted per GAAP a just a square our Thank rolled XX% and at place approximately and in on GAAP you, leases our term. deals markets, QX we Across of lease year, our rolled we foot on foot lease on $X.XX up and

at XXXX overall XX.X% X.X% back and Looking portfolio at over Core Waterfront with respectively. transactions roll-ups signed square whole, feet and and as a of GAAP our XXX,XXX cash saw

do square we not we beat total leasing of projections on by formally XX%. guidance our feet XXX,XXX While activity, approximately provide internal

square finishing a the fourth just new specific at push transactions, GAAP to As continue feet of increases focus XX.X% on we Waterfront and our turn XX,XXX a the closed basis And XX% see basis. of quarter we on cash a markets, rent leased. XX.X% with positive the over to

Looking currently at co-working transactions our services, mix, in tenancy activity diverse shipping of current and pharmaceutical, few. new negotiations have across level, including a to a we XXX,XXX square active approximately feet financial name

have we our and translating activity. improvements are and make to development to touring interest made Waterfront within steady continue The

the continued square Looking have And ahead, Waterfront. result, we a the roll overall levels on expiring of to XX,XXX occupancy expect lease improve as we a with as we gains make feet limited XXXX. in amount only

Our suburban portfolio fourth posted also strong quarter. a

XX.X% feet square basis positive achieving executed on push GAAP XXX,XXX of increases a on over with a a X.X% rent transactions, of we and basis. Specifically, cash

XX,XXX which XXX,XXX that Morris square our expiring feet in vacate. included portfolios, year. XXXX, portfolios, feet Turning we our square over in Of or XX% portfolios, over be have suburban suburban XXX,XXX square we know which feet are sold County the in XXX,XXX to will will square this of our remaining feet

rollover as active We of in are confident negotiations this the we of portfolio. in are balance suburban square over transactions XXX,XXX addressing with the across already feet

to the call With to that, I'd like turn over Marshall.

Marshall Tycher

of unit NOI basis X.X% experienced modest X.X% same-store NOI, in annual and increase two-tenths increase increase GAAP a portfolio by a in X,XXX Place The contributors on a to Westchester. the Quarry a growth in quarterly as a NOI the in revenues, percent annual Roseland's Nick. Jersey portfolio increase of X.X%. in in Urby expenses. Largest City of generating revenue operating result were growth in offset Thanks,

NOI property, a increase renovation our growth XX.X% for our was revenues. in portfolio same-store Excluding X% with

a Initial areas units, Our active reflected XX% and been as achieving positive complete renovation that at modernizing Marbella amenities. units has common represents premiums. rent feedback the repositioning release programs and tenant by Monaco is

completed Suburban Boston Roseland from of asset the Liberty in and quarter, our to the the disposition and During Alterra City swap the completes at Chase geography. core Jersey which high-rise Towers community communities, residential unit XXX

with of improvements over the billion portfolio, swap $X.XX billion. Roseland an Following our Rockpoint Roseland's subordinate $XX in netting figure in in Waterfront, us share. and X% is frequently the $X.XX asset The NAV four NAV out last less of transaction reflect estimated the share of in NAV after Mack-Cali NAV assets interest. Mack-Cali's on the outstanding NAV. operating is per of XX% or this years in is is continued XX% of is and nearly participation composition has construction or than and discussed at in operating

tour deliveries of XX units the start in next building X,XXX we X rents recent Initial of forma. representing within pro at months, signed stabilized Overlook unit scheduled [AmREIT] X,XXX projected have at Initial company's XX% to since weeks our the Ridge. million of in portfolio of NOI. opening, generate construction $XX The of excess leases the is are XX including the lease-up

from in this flow, obligation quarter, portfolio As in in along the a $XX Roseland's Roseland's is down from of quarter. future combination to result fourth June. commitment sourced capital remaining select $XX million will a be and admitted refinancing last as proceeds, complete dispositions of requirements capital Rockpoint's invested obligation This with capital million, construction remaining cash

premier to X Short and and luxury at delivery both construction of one on Imperial in XXX Drive, currently The a Mall. in adjacent our Waterfront XXX Upton Hills Jersey The XX% tower, is Riverwalk Other Hills, at last is where New units RiverHouse properties Columbus Port leased XXX municipalities Short the in City's which include community Jersey's Charlotte, unit XX located in Christopher of RiverHouse unit the

highly Looking our three corporate headquarters adjacent here dozen XXX ahead have starts Harborside tower in X, XXXX, Harborside unit amenitized including Waterfront we X. in to scheduled

XXX successful degree of adjacent this our our Waterfront to housing with and phase of Urby, the New Through transactions River. City. The highest views of position commitments, luxury project community Parcel Manhattan. to the rents further in per pending Port Park And will proposed Jersey's construction unencumbered, XXX we access expand Jersey with market-leading square second active series Urby a unit Manhattan foot recent and the Hudson of excellent XXX Imperial, tower in at unit and

now will the over to I turn Dave. call

David Smetana

$X.XX that Mike. the I glimpse company expected some highlights have key and emerge of prior will after the were to suburban quarter fourth $X.XX We reported before in its assets. in The in $X.XX sale of a Included office related there FFO to Marshall. quarter the what call the trends of per of was Thanks, tax the came credit. over our the back share look a quarter of that turning the versus few continue largely brief core as FFO give disposition to for Urby like year.

X.X% this and we expected now we we as quarter NOI As above finished XXXX of our plus NOI to initial all the anniversary quarters and ranges effect move-outs. the and cash was turned savings. guidance X.X% revised in operating full than better projected, for Residential of the fourth positive Waterfront and have same-store tax quarter increased same-store due by that the

square Wood we quarter, million, $XX.X which occupied at per during New and occupied side, which closing for was only suburban fully traded the building at $XX office $XX the square at XX% X in Parsippany disposed Jersey foot for traded per and was million, transaction foot. in buildings of $XXX Hollow On Neptune and two a

closed of X.X suburban We assets feet part completed Boston for XXXX suburban $XX.X were in in square two parcels of sale the development reverse to million million. and December. office dispositions assets sale $XXX.X in quarter of Ridge the we and not multifamily These Alterra exchange develop million announced that with our chose for Overlook Philadelphia the in of the

Turning to the balance sheet.

with credit term During line. the our off loan sole remaining availability our on the paid we quarter,

and of million total our 'XX now Our million drawn 'XX credit debt and bonds of April consists for $XXX we on of; with May million ended our bonds the of corporate year $XXX line $XXX corporate of million our $XXX debt. a

at corporate our all sales the balances. NAV office our suburban suburban provide will would the current greatly assets of retire million of of that the of company's liquidity, to enhance Execution table $XXX midpoint debt The of enough asset sale the liquidity.

in XXXX. maturities have no principal We

was The Assuming the this EBITDA totaling X.X XX/XX/XX, begins is will costs. our times issues of corporate net the with retirement office times XXXX. of into proceeds, all five maturities remain And development to vacancy $X We projects, metric our stabilize until our as debt until billion outstanding line end. office suburban Marshall no or we have construction credit in to mentioned, XXXX we to of at the in bond debt therefore at exclusion sale maturity portion close with XX of this expect development in range loan were relived. construction to the and metric quarter pipeline

I X.X strategic to the the and now office second to million XXXX announced the The a of discontinued of portfolio. company result 'XX, through then that company want take office operations December walk shift. foot suburban exit would On accounting square to committee deemed as its shareholder portfolio sell value suburban our its entire that a guidance. the findings a is decision

reported be statement. in separately our And operations, accounting operations with results our income from continuing will discontinued therefore, GAAP accordance on for its

saw we properties the our in disposal items operations of show statement regards the continue night you to our supplement, will relevant all suburban the As income date. line to last hopefully with on until

Guidance.

renovation Our over point is XXX of been we've comprising share. basis and to which X.X% of resulting revenue the to X.X% on revenue about. drag of initial We talking $X.XX inclusive core growth estimated to that drag. at per includes residential X.X% of Monaco an activities X.X% assumes renovation the same-store FFO guidance growth model range an an from This side X.X% the in Marbella on $X.XX to NOI expense NOI guidance initial X.X%

in, our range which Based office, X% year in X.X benefit share of of Harborside assets, the is office by increased respect NOI, X% just for to see now Mack-Cali sign, believe available quarter With today, and prudent. driven third information a X. proceeds payments in of same-store and importantly coming at the from XXXX-XXXX of credits to occupancy and Waterfront rent we a blend tax the roughly cash our sale we full is at on Urby extend our X deals Harborside annual million on the modeling cash

within for the in think our occurring our office our NAV groupings. bulk -- the the to biggest swing portfolio of schedule conjunction suburban four is We the view We for range in closing $XXX.X square Now dispositions, now sales geographic and an March our under by XX of $X.X Parsippany support properties factor date with asset see are and non-core May portfolios X.X million out major our XX. and expected which bucket. from Giralda billion far. way feet The guidance best suburban with with other broken are between contract in sale the portfolios separately million

suburban our the and Metropark assets, of Bucket timing are Bucket fourth middle to Hills, toward one, County bucket, non-core million and we projected Bucket sale It's with square XXX,XXX part the bucket, the square to feet with Class touch on remaining Short one quarter. assets. Monmouth end timing, an part really square our Bucket four, our feet sales Bank. the of park. also QX. suburban of expected feet office It's XXX,XXX two, QX. suburban three, our timing mid-QX A of modeling has Red of or the X.X of I'll

are The in X under the property at totaling XXX,XXX single-tenant very of end These the Park close Today, million half close the the our properties totaling we made in retail and properties, of suburban of expected bucket The to or one be assets others bucket, Class QX. four are in remaining two Florham the in beginning of square to up Princeton [indiscernible]. year. should the Bridge one Wegmans have feet QX in two building and proceeds second GW $XX Princeton of property A around contract. sold quarter in gross both non-core suburban our end our and include;

our rates can long-term. individual cash. being the wide will office ourselves so We've quickly these cap cash a basis which possible stronger opportunistically, debt, we in not execute we as that average, basis give corporate the in-place we decent a in sales financial are the XX is to provided for we NOI given table as on NAV position and on While a we than the suburban sales negotiated, so crystallize corresponding short-term higher repay places believe act cap basis can the range, run XX company dilution, the about rates values moving a our GAAP points our points On -- despite guide. as

this average future. foreseeable effective of be will rental asset disposition with believe completion And positive will and NAV, we have our will final growth net After exercise, the be these million. we left $XXX properties the XX properties. six assets residential for of office operating operating the all of on that size midpoint Based

Chief Chief of Nick implementation navigating Lastly, I us Officer, through burdensome included that Accounting accounting to new and our and thank accounting for want system. a Officer, operations Mitarotonda year DeBari John Technology a discontinued

I to Mike. turn over that, it With back

Michael DeMarco

outlined, closing, from my solid to showing point In believe going up David. in view continue forward. we're you, XXXX colleagues Thank the results to I as have of an years set up with have execution a

do, good work every each which We deal have day. to are doing we a of and

David Our which business, Waterfront on our outlined, We to XXX% intend at great focus, transactions. those multifamily progress example. as joint had and made means the ventures is growing exit our for now DC

them have this to expect year. We done

marketed sales Philadelphia New suburban two expect don't land Jersey, sites land expected which upcoming We on to quarters. close the And sale the we have in currently build to in in with quarters. are last being several exited in

at development down Hudson goes selling available. in purchasing market. are of focus do, multifamily this to our County to of forward we And assets or to Boston the Hudson assets process development, year. remaining if this additionally on our our portions complement our is the County All additional fund contributes intend to We to look we really of down focus debt which pay what but the on

excellent confident on development office, remodeling continue efforts with that about products. and our short in the grow a see and I'm the Mack-Cali. how and total everywhere will developers we long-term our of effect returns look. The portfolio of real place excellent on other Waterfront. multi we excited in efforts change the plan assets real plus and coordinated retail from our are the the We We of is creating can the weak to our -- key for to and from new produce operating sense very

more and the decades may point, all our birthdays. turned One We wish happy last Bill XX Chairman, have healthy Mack best he and today. him of

know, while ago. continue part the our we will to not this to took a years Unfortunately, wealthy serve Bill and age be XXXX to will and age, for of His personal able As his be the retirement Bill best is tell of care for his of him quite mandatory on after XX he of old will all which today Annual Acxiom, he you can means make the subject directors wit replace. going charm very On policy Meeting forward. difficult I intelligence, wish very a board our Shareholders. note, missed, We to

With I questions. could that please. take Operator, some

Operator

sir. Bank first ahead. go our We'll now from America. [Operator of Feldman Instructions] Please take question Jamie you, Thank from

James Feldman

we you, all the collect good information. easy and all to you morning. appreciate that it and details Thank guys And wasn't seems -- color. It like the

your about out be your to just of week, side I us the same-store of kind of occupancy you. to sense of numbers? seeing I done a volatility starting give when What's a think baked in guess you lot guess, the guidance. in? you fears needs market on better where with kind the thank So this of a there, hit What's can office lot

you you've these can and kind I sales, but of you do you laid handicap just And kind market pretty with to on asset if or could given I how out about to certainty contract, Parsippany the Giralda some some the you under then buckets, through -- changing rapidly? And said Farms mean close of we the other of similarly of other the four got five be that? talk seems feel know how

Michael DeMarco

our will David of first I'm same-stores. going strategy. part about go and the was this to answer Jim, questions the Well

the in done didn't minute last the to anticipation we was the strategy want to Our that sell suburban till assets. of fact wait

year you think replacement income about multifamily. next from it, the is If coming

and a this think be lesser leasing flow was with forth That especially be we for an on of better a has the will somewhat about be the thought in a that view moving them, earnings. year, because format, building up So cash great people it year the But the into a with so political that really disruptive. so if take have brand the you're new. multi, from curve. if and had set of dip CapEx, timing asset took the We to front potential XXXX effect, will relatively high end election we signing we what it the which base wanted is to on it's of when high in point income view cost back effect associated

step the So we advance let's assets income. the bold saying took in replacement the sell of of

Regarding been deposit. Parsippany and Giralda, higher has close, talked to the I is we biweekly. He's his have finance a not if he arranged. confident, buyer weekly

We expect it few to the close months. next in

and the On view on. that we the same the have, Wegmans Washington other Bridge, have I the George sales

One Princeton University got hit buildings of buy-sell. by the on the

that we So will close. think

ones, some wants low With to degree very to it remains to the actually buyer dropped open go as have into close groups. I spreads rates market narrowed to nobody and other still have financing, The income. unbelievable certain fixed for think will

the there. will think be I financing So

any We I from think I'll discombobulation have don't tenants. -- really

So quickly our as as as view is it as possible, get possible. done fast

because we We to a moved table, have dollars okay the to leave that a we're bit as better a we cushion. have of out, with a we few And pointed little level. on

have We debt XXX, call is amount. it our XXX, XXX

strategy. XX had the if million, this X% was basically We we about get place. take to have it. same But to a We

online. coming is CIP the With

got us. should then two is out, Revere, the City. Short the end Malden and in and be first projects should those Port all Imperial different And year Hills of for summer, next the As is winners Jersey and great Marshall delivered pointed multifamily summer be

his turn David it to I'll conversation. for now

David Smetana

Hey, Jamie.

office mark, feel on only as baked already we are And is always in to conservative we feet specifically signature. do. very respect XXX,XXX like guidance, which the said the midpoint we try a XX,XXX lease with for square execution, of to at of So guidance, out

we As of third only XX,XXX toward fourth the and weighted pointed of of that most this Nick out, year feet roll the quarters. have end and also square is

over also from one with is to that within XXX the lease good just we the It at we on hit what interesting square looking XXX and XXX,XXX our that feel the from much a XX, feet, And the deals based get same-store get is NOI to Nick's would guidance. year of pretty for in-place. our baked guidance cash or pretty about we already have pipeline signed

James Feldman

do And lower distribution you about that do very after And That's level? run new on AFFO of helpful. to get -- or Okay. if then at think how thoughts then look have FFO? rate you might dividend what coverage like any this you

Michael DeMarco

Mike lower commissions but it's net income assets a not as Jamie, suburban level, greatly high which business poor. of probably had because as always will I FFO leasing AFFO, sometimes which the was again. affected and then and was in earlier, because as said be you're vacancy, selling capex the would

we So $X.XX. pay

clearly for I foreseeable the for the We great for think We pay distribution $X.XX our year. reasons the cover model margin. XXXX, need by look continue next we'll future. $X.XX $X.XX at to for tax we

a expect XXXX. to is us slight which blip in gets have a So this in change Don't policy. XXXX recouped dividend in

Operator

[Operator now Korchman question from Instructions] take Emmanuel Please from next We'll go our Citi. ahead.

open. line is Your

Emmanuel Korchman

Hey, good guys. morning,

yielding actually that come leverage, higher do are the about. to slated these How irrespective talked you not that online now you are bring down -- fact with of the and Harborside? especially leverage capex new the just assets developments about at thinking Just

Michael DeMarco

the some do that future. event to to talked So would needed about once it need we I've to the we had set. in that argued we always Manny, do we recap portfolio always some time need recapitalize We basically do at our a to company.

be close having the we're that I portfolio getting will think moment set. when very to

sell XX can So to after will we're that acquisitions. excellent market numbers will actually good or down to look with that results, primarily is multifamily the goes performer, been say, a has maybe assets, the XX XX we It to and everything, continue some be hey, this at the other grow. it

will believe Waterfront the listed. its sale point in we way, also just turning have Waterfront the by We currently not, is for two If for buildings -- grow. the and have record, at the we up also also

will at be higher. multifamily that price NOI the looking we're be a in numbers well your we public basis, private, the exiting looking So business. a are, and each have the that XX% And one. you'll At we either bit that can point if stand-alone of a maybe that get say recap that's okay, at into a right point, portfolio is you

always, results both five But in rental question velocity great over the a has cash getting to be excellent invested the was experience in and we it our numbers result. the office improve was from When it last four and GAAP for were growth years, to mean that years business in able was because for to we'll had be right the We tenants. doesn't and business quarter-over-quarter a difficult appeal transact. The Waterfront years.

think we'll going business forward be a on. we that's So that highly levered

level, but that estate real real hodgepodge be to partners of or take in down we company it number ventures we flex, it to business was joint opposed out. through thought we issuance suburban, the business you can additional equity it'll pieces a a in have debt a a We real pay to and either can a a just that take ventures despaired want off invest wasn't equity included that and with get as can of that

get I with to we're you can point getting So while there, to but a it deal the that now the think took forward. us leverage going

Emmanuel Korchman

the year have be that a sales like assuming tough And year though XXXX you do been will all got not How that be starting, going guys these lower even of AFFO, sort going going Thanks. for FFO, are forward? think think developments some not trajectory it lower? it delivering. just to Is year XXXX and on you've Dave, sounds we AFFO? be to but a Is through about but the

David Smetana

Manny. Thanks, Yes.

half first know, as So the that asset during bad. sales sold of the the we on of we depending XXXX year, if in wouldn't be all timing everything

going the million coming executed billion at that projecting is a won't we'll about into our about the when of you you But of we're on. X.X% Marshall be is So in be that this what's we as get are year, to thing high that affect factor talked yield that developing next projecting the get debt $X $XX rates, question we're first year. online $X.XX given we NOI current FFO. little head sales and with pipeline about But going really probably on will a what is But AFFO. correct, our

So of really on our it X numbers, some think in big on of picture rate. have FFO lose to the you debt run organic assets We're of $X.XX at way office suburban around Mike sold going FFO, if we'd a down bring and $X.XX back apartment a paid see at -- let's growth. G&A about billion $X cap, X, is, I savings

as on you $X.XX we'll XX to our real million this on $X.XX $X.XX. trying a And forward. replace what dropdown million XX drive that Mike's to some savings to side, FFO annual FFO to that maybe is go then a $X.XX in or On of share residential to AFFO from So home he $X.XX and with basis point, apartment year NOI an was you EBITDA. portion go it's tops as to

'XX we becomes yes, if would then So trough year. sell late, the

as could much AFFO up and a year. see But So get we to these levels be basis, stable sale 'XX come today. then very that timing the to But let's higher year. developments the on are of stabilized, of they than well wait definitely are trough this that online

Operator

Deutsche take our question Bank. from now next ahead. Derek go from We'll Johnston Please

Derek Johnston

I this much everybody, the conservative of you morning, as question guess does Any talk of traction good But least with couple thank that back leasing, companies? XX,XXX news and is feet discuss? quickly will time it. lease didn't or mentioned above really a front guidance just on the Waterfront And this about how square I expirations, you've too occupancy half of be science to life at other mean leasing with be, times, only getting Hi, you. can that would around?

Michael DeMarco

question, Good Derek.

thought was appropriate. a a to Given conservative going numbers everything we on, take we that's bent which did

people not on years more. we've hit to have common -- thoughtfully been exceeded or the and aggressive our them We but do numbers, us leasing in last aggressive several expected and

exiting were of Waterfront this which So very, jaundiced suburban sales very of the took the obviously year leasing. given nature portfolio, the we a view dramatic given

on. a of lot going things There's

If minute update. you a two, some I'll give or you give me

has move jobs close trade So a basically stay, is to that market, large We square in but AIG, going they're Goldman division, building. but were very as we know, the for York, some that. New but have but feet feet York. them, think if to didn't building. extended very extended it's person from expanding They to Bank decided which XXX,XXX [indiscernible] and the get is I felt the take complete, XXX,XXX is look contiguous period Street's the Sachs New good [rumor] to part deal is did, Goldman them a time. we into Trust about out basically Columbia square of renewed, a half of you Bank operation, we of Property building clears of nearby in which

building showed what incredibly we well price know was. point the Our and

how then platform. couple like call forth. AIG into Jersey New they market which and the think and suburban they're at institutions from and and I was then a to back Express financial and And jobs moving knew that All a sold Street, what Financial of City. So trades understood a are guy the Pine you who knew doing going as the then world I I is the a the moving building of Goldman Jersey signs. Center the moving look ferry good a business, build using and to off means

forward in place, year We expanding on to XX couple tenant our XX, significant. are wanted announce to are People our XX deals. which which do books going have we'll of expansions, a

We have also growing. signed a couple have halfway of here. tenants that we spaces that are four, companies Quarter smaller

people they by or Some expand to want two. floor have indicated

have. past those numbers have felt our and not not We given into really it's We announced just them to guidance. have than put history, that announce better

we we've your a also actually other easily have downside. about make hope answer potential given all than band, on planned and our numbers more noise feel to wanted we and So questions, it, upside to conservative the

Derek Johnston

don't specifically, the plan you That's and we can great. on then much development And talk the that and really land about? of potential helpful. And priorities. bank just residential if opportunity address the the multifamily Okay, that

Michael DeMarco

Right.

metropolitan we go So one good areas continues up in. the thing land is that deal in the price of to

New partnership it's to prices total almost gone going XXX%. XX,XXX whether have first rentals modernize York, XXX,XXX. straight There and this land So was not condos. Hoboken, by in probably think, Weehawken we West City, Jersey when up XX,XXX over XX,XXX were started And I together,

Derek, to as from rents why years. has partner ask $XX five is? that in gone our Well, shipped have experience may a the last in $XX You

base a rents the of If have up, you construction you pay land. to gives with even costs, still gone $XX which it take for room more on lot

built Imperial. a County ones what be and have deals we obviously going the build Port concentrated around we've in to holdings, Harborside England foreseeable for out the Our older ones New the next in And development Hudson we're in area. will around

go visited the for X, approval pointed we a building to those city outside out, unit. office, XXX as there is the we my Plaza So, with who've from got forward windows office a called

spectacular that great project, time. long Urby We to really the of returns. a is piece Urby. for next a project period want which So of land X, land,

site We place We which about where to plan and forth. from already just guidelines going want back getting already so new we that approval, have have exits worry has been egress it's baked, a and the about about pre-approved. city the zoning to to view means the starting the site been getting and the

away. and the the likely projects. around XX states parks, yards pools, It's XXX quarter-mile Weehawken Plaza station in called great Hoboken Those maybe project that Port X, Plaza a that Morgan, next the forth. this light-rail to York forward, fields a job built City. the did Weehawken Marshall and is Renewable end which of soft the finish New XXX done It be we'll getting literally maybe views becomes four of Park, so public the Imperial XXX improvements a it's is degree seems three and in winner, [indiscernible] for ball one has next Whole side years. three Foods that to from After of moving maybe site. XXX basically unit project and a are swimming of of the real in out and series a a couple

Operator

from take Please Evercore. now We'll ahead. next our Steve go question Sakwa from

line Your is open.

Steve Sakwa

Mike, but names back wanted on just confidence about the financing to suburban leverage of talked just know circle sales. you buyers, you can't these? maybe those and Jamie's the the just of mention I maybe, I level Thanks. types question some how equity I they're -- of pools that getting is purchase to different and using that about buyer pool of for and deep the

Michael DeMarco

them half The but relatively XX deep. names, with pool a is XX done business deep We've actually maybe I not of names. dozen, like a like truly before. mean, number

on box. remarks, buildings sales have Of a have mentioned it Parsippany. we So various in about Stephen. accomplish. And key history Giralda contracted we and with The billion and in in chunk totality, over have we for when other is been a do We can what far, can't look that we knowing already million done year. the $XXX to past remaining, that David had already several about of Farms have we've to the started. at his $X.X big as we And

billion, take. million the we or remaining of So have about give $XXX done $X.X

assuming XX% stay. the category. That's below we're So the contracts

Princeton, One serious a with for on us to arrange of which others them hit have deposits buy-sell, people is financing.

last I really to The last buy wants group. a buyer an got good XX%. So at I first call night X:XX XX%, from the asset who about feel a

think -- of really That's have only to to down another asset it's XX going we like get kind We buildings. done. we

meeting, I six. leave to And us that seven I think six six would feel by about. good to we can with committed the board next which get still very

a process. good we have think I

point judiciously. buildings, last market, to other. I bring not to XX. with We get down or to We done, in started We've we've we started this the never a year five we ago, XXX a team. going years as one we out, they're been building would worked on the way sold get a it it it

feel good. So I still

Steve Sakwa

be Okay, as I maybe to Mack-Cali's think to thanks. sort your step of at taking a And then forward? mortgage 'XX. construction just go think some you of wanted next you two XXXX, will or after about is spend needs. back I cash financing. looking the realize maybe, think this years, But share But development as just about and David, what trying

Michael DeMarco

last quarter. going million over to We quicker David it's disclosed million to, go this quarter, return $XX Stephen. had I'm $XX than disclosed

flow. we down by $X a goes month, So cash about $X million, it million which handle through

through We're that's in of does as done projects. -- already. the that aside, three basically then I'll about that let get talk capital. ground put as David And finished all far So what's the

David Smetana

Hey Steve.

with Roseland remodeled wave of we our sat and out we all development. what next closely So the partners call

the come, X. in our what's $XXX beyond million to pipe, another share So roughly have that's Urby we

the You all Park window know in X Imperial guys Urby makes Port up Weehawken. Plaza Parcel out and

commitment. Boston DC. within So non-core entire Rockpoint based sales things have our bucket without we Jersey, hotels, on call down what think of kind our even equity additional covered this We equity that so asset residential aren't drawing we that and in that includes

joint of on developments. and in NAV NAV core that's we think equity to our the you we have of side in assets and the out So place. wave cash that at venture the next sell geographies, capital when that develop within in from equity recycling flow not Roseland at assets

Operator

We'll now go from John take Please from Stifel. question our Guinee next ahead.

Your open. is line

John Guinee

imply five will tax reinvested asset for then XXXXs via this assets, be of of I XX office A Great. seen Thank have to Casablanca and protection. get to before. like have you. necessary assets, Basically acquisitions or little guys going or say multifamily movie million to that tax much because Waterfront, bit you you of protection? on the how sales, assets six David, the $XXX you're six down of

Michael DeMarco

bit XX% may out paid we under to to million It's XX% million maybe to XX% much the where It's Mike. debt. more. little $XXX of struggling have taxes that like It's It's about issue about or it's of going we're billion We of a invest. to out, $X.X have XX% come may be with. $XXX a maybe the

John Guinee

also implied six five you acquisitions... But then or

Michael DeMarco

I a the XX, to may We'll I that And No, much may get would John, we XX total of asset down. the we said think multifamily assets Waterfront I -- tax not may gets day implications. have didn't so office say more. that that assets, forward. building XX, sell six had a have at XX to down buy end that. of we and us XX assets,

John Guinee

you're protection, protections. the talking there is REIT two common about tax store... tax And shareholders via protecting when tax is the One

Michael DeMarco

a Not move They're These common. expensive more we a assets. XX all we John. started to -- the it's we for unit, owned It's you're things that about at deals end, common, because are give all get talking John, and basically have around. I it answer. look, When to first easier years

get else. select your have were problems REIT into deal I've just unit. the couple a issue, of sell have not not not something it. from we've I those it I I a unit you with REIT, basis years few, When move if the move now last still same problem, have to deal, but It's issue to a big done few. you which a I three to just to as tax down ago. a If dozen, that postpone

John Guinee

you getting discussion asset. do -- you're I'm in to your out capital only a and ends $XXX a gains. that your basis, of a a protection of of XXX% into told new dividend want of out, protect we the XXX% you a only special capital million be the a have to is dividend at this terms when there me But to Yes. about is how transfer, huge what correct? And difference and the is a reinvest you uses. up tax XXXX really -- is, is the that to do $XXX between And you or your you or sources dividend can't going being When is, much what million, two

Michael DeMarco

It Max. That's less. could be correct, John,

John Guinee

EBITDA to it the And to XX% how times EBITDA to the or total X do down in enterprise second want a a net to get world. think company A-list you I debt that is, invest in real mentioned on usually be takes to That's multifamily value. really debt or to you world XX% a will what someone debt will get In TEV? to below? you Then it multifamily which the means get less in. do net thing debt the times the How X to

Michael DeMarco

we in to we sequential. close weren't But be company. point. everything the Excellent When done John, is multifamily started, even

now actually have like a a like that multifamily multifamily portfolio leverage. So that performs looks company, a company we a

excellent our those me several relatively I right? that. grant yields used we've think and last We markets least In have rent at we growth expect had the in points, will over the past, solid to development you good years.

acquire comes is The was up, capital, us of right be not term? a assets. to preserve If a will rent answer get company, they acquired own would is, with We'll entity rather grow private billion the suburban and question we'll right or it But do we'll of us The leverage? FFO, company to it then What's and have the structure. billion NAV, What's us. it will sold suburban -- AFFO which $X.X bunch the We've by suburban assets be when the not able grow do been we'll point perfect $X.X and you no. right sequentially. a public stay spot. we're the

has box like which to assets, may term only has sell a which suburban, exit need So is land to less stabilize. gone a the larger or use from or CAP to maybe a item gating you I'd six we CAP one multifamily the have that is portfolio get to to two, Waterfront and

help shareholders. them number waiting for John? someone now point the I for been Thinking a actually beneficial someone to that a a has And says, I'm at you never hey, will around to good is strategy. purchased

John Guinee

All right. Correct.

that's So great segue. a

towel? goal, Everybody going your shareholders' price on timeframe share every Do goal, have a capital this asset it's there an acceptable run get cost get give or of goal. in call's you're at everybody the value business. goal, it's you the NAV, to see the to board's to it's you wants either throw So is your net up which to

Michael DeMarco

made a John, I it the we The I defeat, steps. a it's wouldn't little throwing call what is. right it's it think question is, towel,

talked company took suburban that point. the and companies one-to-one when year, doing get predecessor touted, business about the that over. largest in on the have one done to suburban sell a suburban, of would statement. we're the exiting my Exiting that. At the of were job approval that degree think that's space bold couple We and point, basis we I of made certainty. We the fact business. Hersh, of square it excellent to in going I largest a We're it would a Mitch times So the we we're suburban an and a inflection building portfolio million XX whatever. feet. XXXX we multi-out. went asset last pruning I said

the suburban Waterfront out the as but multi-business with has markets if maybe potential, you done business, for and you're not left point which and excellent public When a leased is so maybe hopefully really or inflection, up use the growth it's eloquently wouldn't don't good, we're it's we've rent to it I salable cut little where call that's or perfect income, if therefore inflection the it just down a bit you point. the towel, producing but mind.

John Guinee

it point is gotten you So as towel, look right inflection will in point NAV and is throwing time, NAV towel that usual you've alternative your sort of north in is of but your continue the not let's XXXX? XX in XX the or that by throw kind business end of you to not the in you different of of say at the at XXXX, say that fair sold of assets suburban supplemental north the

Michael DeMarco

XXX%.

XXX% it. on correct. XXX% You're

David Smetana

that used But for foot metric That's suburban. That $XXX has valued us before. -- square we to by We $XXX started, square worth gone. a how that can math gives footage. us. When a a little you John, with I people foot, judge done they square do me you've

that Let's We've assume the of office. we're we debt the the rid and and left we're really and sold agree done, right? got with NAV just Roseland we

a do simple math. Let's

of million We have feet Waterfront office. X square

Picking a time feet, lower it have X.X. $XX,XXX foot, which $XXX NAV, is At then we up, it's it's XX%. than X $XXX with substantial, which it's is charge, let's square say we million

million of $XXX debt. have We secured

We because $XX NAV at all debt we explained, will of gone. have no has other other already debt $XXX. That's the

have people a plus good number, it's is. XX Roseland number. XX you Okay. $XX, you you indicated is $XX a which It think XX. my it number, gets add if

me say Whacked. we're Mike, my NAV I is I what you're worth to to I Where think Let's an $XX, the X.X buy means on actually you the buying $XX. don't pipeline company cap for unbelievable $X,XXX, the want case, and that a if multi the tell say, okay. yield. trading that a that's good okay, if at it's Roseland at you Waterfront take but said worth? think is where Well, at robust. I'm I With you're

next I value. to firms station We a can the get you're picture. They we're clearer and modeled down view of station someone have I reports your to to you a normalized exit the listed or $X.X start a agreed, is a Stock But to which train came us a become a of business, suburban point, they billion them two NAV, under one, said to it better Exchange. by New longer that. names gave buy That suburban. advocating, and better. have gone. I suburban trading this been It's York has this, going to It's at and clearer it. have had but that It's in, either company you're doing have is no It's of two It's and strategy. about saying not both

Operator

go Street next We'll now ahead. Daniel take from Please question Green Ismail Advisors. our from

Daniel Ismail

Thank you. Great.

about up -- given deal following a level of this appetite the out details? question, full on the can NAV Just for last you there just talk

Michael DeMarco

couldn't Danny. Jim. sorry, I I'm you, hear

time, say speak You need please? to -- more it one

Daniel Ismail

disposition question, on deal talk out follow-up market days? To Can just the appetite level about there entity an plan. headlines the in last these you in the for Yes. given the the recent

Michael DeMarco

all that us everyone my and me who to say we We want We we get makes come do ask in is inquiries say, four for it. as meet. when tells with open -- people come took see to with takes in want don't and us they sense calendar We meeting don't people to and a get anyone us. they we meetings because get they that questions

that equity range The a good your you are four it And simply; well, spend we is replace That's it will deal. any a to debt NAV. it and most the most. to importantly, way in is want when can sourced, who price, where estate something we've answer to will say, pretty we what's assume never structure, fourth, very committed, amount is we trade up. or corporate want your is have run And of the your this questions to we real Where got shareholders get out, questions the the get a anyone people correctly. value, come not --

it end with and should We start cash. think

take this off Someone coming getting it's we'll you expect, business. and dollars something getting for you're rational, say, the XX, discount, burden, but than of is it's less, here totally instead a earlier a open your price, couple of we're

will no and that when not a of easier million consequence, them and this But and great bid it averaging no exit Probably M&A JVs, done I job that and up. available more to all the business major a us thing of $XXX complicated. interests. in because becomes cleaner REIT we the in ground deals Danny, right? of general analyze, to creating leases and been activity XX any XX as deals, of you think no know, subordinated hasn't We've suburban the over it ton make space clearer people more

Daniel Ismail

shareholder now, NAV? just company's your believe is table, your a a the let's the liquidation battling company And say, discussed trading from on or I different at still NAV. wondering you've not value I'm if at potentially, the believe not it's two words were committee, trading the year before I

Michael DeMarco

that to inherited XXX%. XX. We've originally I those right we to five create getting was it. gone not have strategy or think commitment to view XX, multifamily a mean, get strategy, the used just it company. that from inside I with. assets business a and completely ones was board started we Of a we look It's number. of has only at are our XXX highest the The a said I we to that We've different John. four it resources the suburban it NAV.

times. order to couldn't thing be paid equity we And needed though leverage we'll time. level, issued have box, even first we proof, got debt. a, one in because able covered say, started. long fortress was we're covenant leverage. debt secured, The lot we interest but down We haven't be the three a higher and than I by say XX correct to it when what will based, right, this a We've walls we coverage are to in times wouldn't do no to out

Daniel Ismail

office Can from should you trend same-store overall expecting same-store you expenses one NOI a on And Dave expense about continued talk benefit for and how are maybe growth? guidance. just on a basis

David Smetana

Thanks, Danny. and Yes, clarify read prepared note my so one, I tried to remarks. your

the it's it's really same-store XXXX, guidance not the and driven are And For by in savings. just for NOI, line, revenues expenses Waterfront. expense

I or inflation year see expense X% to what X%. growth Next be a inflation about should

Operator

Jamie question Please take from follow-up a Feldman Bank America. go ahead. of We'll from now

line Your is open.

James Feldman

talked dig some said Jersey? holdup the in the signed just on to those deals about you a up little contingent of deeper bit the guys or Great. finally size Thank what you. into I you've talk come mentioned, is Can those see think and the is Waterfront is there do just something you shipping. leasing of wanted of pipeline I co-working, you financial Grow services, into about decision making? we deals that like? them else all it get Because think if I effect, New And And holding past. pharma,

Michael DeMarco

floors just The based go about company while. company to them for designated the take tenant two on their And on ours very another have that that that's it. to to It's of was three co-working a feet, XXX,XXX, decision. it's they but making fell commitment. so This A paper already port company a process. in of are hanging Jersey. on Jersey them. decent clearly is we've They're those. square trading that headquarters XX,XXX been just The City. We're pharma is I'll moving out them the We've expand. over to Elizabeth, of its wants They want relatively strategically to Grow close building one across to a It's few in the just around Nick time. others city for Port board, a a to of been Jamie. in XXX,XXX a minute. Mike. shipping They've New couple A it expansions maybe is turn

commentary? long. if to So Nick, relatively want my we're add you But

Nicholas Hilton

Sure.

expand about We've David north a range. foot of sort as square floor of that financial about we it's, obviously to low-end, talk to, engineering, as we all the mentioned, got As high-end, looking call technology, they're to move pharmaceutical, alluded in toward services Mike feet. two. online construction, shipping, gaming, XX,XXX square it or by XX,XXX And then XX,XXX the

financial we also right? renewals good there. feel services. pretty expansions And insurance then at looking we technology, in the new that sector, some be would So leases, are And and

for the just positive. -- So we that's reason the

Michael DeMarco

up feet. want Brownstone one area, business last also a XX,XXX to coming of the commute. that who comment in about that a in Jamie, their or good is first six I've moved XX,XXX, run We people for Jersey And from live here, close XX,XXX from square to which time about to and had either Nick. Hoboken City significant which add feet, bid square have a to the those getting We're tenants smaller into been add

expansion companies operate that had in the area. gaming also their We this from platforms

Operator, tenants of DraftKings Hill, others us. seeing next That's lately. had I and the William we're think. question expanded type So with

Operator

now ahead. follow-up a Korchman question from Please Citi. go take from We'll Emmanuel

is open. Your line

Unidentified Analyst

assume and you recently, a down the private real went of road comments estate company with here just two more in Board bit the the Michael were parties that to an company had in parties here it's and why two Hey, you think Mike, were a sort potential I Bilerman to about, and in that were little bit multifamily potentially Manny. your and said, I talked we little Can considerations? answer you a which that decided go examining process what on not you transaction. elaborate through

Michael DeMarco

your advisor both also To has the been thing, advised and was go about of talked committee. Both came answer Merrill the was of to two been it's who decision still the office, that made leasing through Goldman had company. the made suburban solicited worthy and problem. Both to wide is marketplace was I'll did the happy No board people back committee made process. to answer. what and came suburban But why had it. excuse advice. the Merrill been gating on that suburban interest ours Goldman from and way special question Actually item we Goldman me. strategy to basis that -- not I always and consultants said. the exit degrees had the be an Michael, whole the market -- had I firmly announcement. and recommendations basically the presented it a in That the it special of and an me gave Merrill, valid, the advised already

price, never willing him meetings asset you've me identify to deal said before your he has you've to Rizk, asked four they sources I've But us the equity could that assets, was it. in with I yet. approached what talked him it's Regarding questions alluded Tell earlier. with Sunday. last a moment. an to I I also about them buying what Rizk the in wasn't very published bought came from was to I you. gave that had see about by him going I documented simply, us. happened you we're I'd letter raise at please Tom Tom, to since love

Debt, think was it his him I have the to could over and returned That expressed do I real so on to Bill is he so not to his forth. bank. wanted I else also a deal. he someone Mack He to alluded Mack, position in speak and and trying would is their probably a complicated and something would of structure but tell the a is he would idea to over probably a the for about possibility. fortunate I have the really that don't been equity non-starter. get he tax stay with thought from estate And roll Bill you high fact commented what get question Mack's interest

actually never they've name that formally I won't their REIT mentioning, mention was acknowledged. The because I

document. privacy. spending the audacity, they quality Rizk in never saw that said, Rizk. I company That is think interesting the It preserved Tom -- I should here I a but hey, CCed basically document have was say picture. was being term of this the sheet. the somebody, is their the never had wouldn't to

on money. And the at for had one guy a it hostility. wanted bankers missing letter this all shouldn't for -- and very it. who is spent a put spoken on if in of This association he he Right the at of this who didn't being is idea number front term I go I'm words, actually distribution, to a junior signed want with has all be career in is who exhibits sending of portfolio. a not respect look, expert. Michael, he a sheet to And great said, pretty CMBS letter $X.X but out, I And he front and a not is The actually less of sheet. was my mine, to billion, good told have Merrill now, said at long was term it wrote and this actually a the my had bank run, anything in blanks were me I out can which a right? lot the of goodbye Sunday. say it. Look, had on have no by said goodbye out It you I hostile,

for right? sent M&A letter wanted willing which to is the here's He That you his do more have sent so. as authority said, It practice. we would reason. sent he ask for any is serious, letter have have may sorry awaiting good someone question in If into an take That a is in. parties response. to the board to didn't published we letter that than welcome letter Tom it, standard the to does it release to comes identified a release and publish saying letter will doesn't be get a them serious press and we -- as basically we tomorrow And offer you'll the is that the that we email a a probably

rules. is Here the

group which going is real money. left start that raise conversations it deal, is and from. be We some really is process the answer need convoluted we'd behind it's me. your You a equity Where to want debt and importantly, more problems these have a deal with rather our that. come questions. they is to to assets a than coming deal let do normative who without which your more transaction, with open which or buyer how can't is the has you knowing board we'll than have But own and corporate is or you estate a spin your And in, XXX%

Unidentified Analyst

Sort guy know guy knows a who be to of thing like, that I a may guy who this I knows able get a done?

Michael DeMarco

just Yes. a open. have the it, rational you look, be we're would as a But that with I He comment. candid And that's He But get me. wasn't cover meeting was one you the response the to immediately. got it I as industry a thing meeting long and know, did process.

as Street. did Kushner As did Bow

call up. You

for make say is you have the You I no come my got there to a and to But you in compensation. want Otherwise, talk, to you. schedule real deal. open reason have

Unidentified Analyst

then? And

Michael DeMarco

I'll is The I'm you. -- Please. sorry. after other go point we

Unidentified Analyst

going downsizing are to the seat you're too. I his vacancy that board? going Are Mack Bill a new add to birthday or you wish you where member be is a board happy at to the going --

Michael DeMarco

basically it's a under it. allowed purely not Maryland of to law We're out a board, downsize

be will Mack's So Bill seat that nominating be new open, for we'll someone spot.

Unidentified Analyst

become not an or independent seat? Will is it going that be to insider

Michael DeMarco

nominating committee. the the speak for I governance board. can't not I'm

extremely would highly personal would I ask note, a an there you If be insider, unlikely me on be unlikely.

Unidentified Analyst

today Okay. think Jersey a And a executing or Roseland not office do potential get sell may everything to all you to then who recapitalization want rather sell office you to to why asset of you seek be once? ultimately strategic you to other their today at become sort I'm see of to is Is sale try relative and pursuing then about buyer or in not NAV? why effectively the the to to the business why as wouldn't Waterfront that there sort potential multifamily of Waterfront and than Jersey of suburban that try pieces stock wait there, a suburban company. wondering, If a where holdings? know sales just do see the reason the any spin or

Michael DeMarco

That a complicated, aside, little it. do would to serious some Putting be that can't tax lot are do. a that there implications you

a like tax get million that problem you $XXX the out that to is million. which of XX basis has So we've and assets have have, -- which we for a in like I $XXX of need, years of XX, sit the building order value owned

either at sale You at the a need same time sale to or same a on a time. do spin and the sale

complication the other. had You can't both. do one We've and with

suburban, Goldman then and Get came other Merrill, the advisors with to you'll options. of the situation. same left rid back

do. sell, we either think what the we're normally You which sell and to and is would is sell three of But becomes stay, spin, salable? an one -- options, because it do planning option we XXX%. Roseland

shareholders paid to the most as Do the first. to No. basically thought be on the spin it and covenants considered the paid the is I way right has This cut devote and have the right because the the spot. I from wait able off, the Waterfront I've to a -- XXX%. I suburban and to Can to other salable? it rid so wouldn't I then been to need do on to of bonds the the sale we've do one down suburban? sale means now and direct it think well the we independent easiest banks office debt the forth. so proceeds get We them under unless to doing out, which do that and of of get

Unidentified Analyst

relating from roll -- perspective, protection to million have to just tax a you Danny's $XXX And this from question. right. All an is

roll... You have to

Michael DeMarco

have billion, it. Roseland dissolution has tax opposed roll tax and Roseland rolled a mean You series the to problem. sold we part already XX of to of goes spin issues, right? it we we wouldn't But into we and lands a say a the we deals deals, that billion. lot have got we Michael, is -- issues, sale bit mean which That's $X.X as Roseland I possibly. I already $X.X had So today sell need to deals bought little about right? of a we in rolls. into If someone keeping which that why I with a let's just said the a very Roseland we get or as

is We a that be we my $X.X CFO mounting. get would as as on $X could very much billion, large billion bill. and would It grows tax be pay will NAV

the money about can't the million, sell the If number. time the shareholders don't means bill it's behind. which will you by think paid that to dissolution, be it's you. right at the entity And it and at I you left $XXX it pay tax because and level, and give it distribute I but it's it's I sell tax same I

The other basis picks up guy issue. the

Unidentified Analyst

Okay. I color, the appreciate Mike.

Michael DeMarco

Got it?

Unidentified Analyst

Yes.

Michael DeMarco

a hope you great planning have music week next I And week.

Unidentified Analyst

all I got look for forward I it it. to you, Mike.

Operator

any would over and Ladies like for session. concludes or additional Mr. back to question-and-answer gentlemen, the DeMarco, I yourself call hand this today's to remarks. closing

Michael DeMarco

Thank at As always, to next for Everyone we'll us. we weekend. weather We everyone in. you. seeing Hopefully thank it's We be look all hopefully we know will a a joining mood. investors week time-constraint Citibank. world be perfect have and our live the in forward perfect great a

Operator

Thank today’s and Ladies gentlemen, concludes this for you your participation. call.

You may disconnect.

Veris Residential (VRE) 28 Feb 202019 Q4 Earnings call transcript