CLI - Earnings call transcript Q1 2021 | Veris Residential, Inc.

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Operator

Good day, everyone, and welcome to the Mack-Cali Realty Corporation First Quarter 2021 Earnings Call. Today's call is being recorded. I would like to take a reminder to everyone, that certain information discussed on this call may constitute forward-looking statements within the meaning of the Federal Securities Law.

Although we believe the estimates reflected in these statements are based on reasonable assumptions, we cannot give assurance that the anticipated results will be achieved. We refer you to the company's press release, annual and quarterly reports filed with the SEC for risk factors that impact the company. now Executive call Officer. will Nia, to I Chief Mack-Cali's, that, hand over the Mahbod With

Mahbod Nia

Smetana, like Good quarter impact on I'm David everyone's XXXX and that earnings CFO. morning, welcome months personal call. joined to the past professional today have acknowledging and start by to our XX first our the I'd had by lives.

vaccinated, begin point a and economic reopening the should to fundamental the aspects may at third in economic also we live work. economy With by Jersey's a anticipated of we office government most growth this the the to markets. of stimulus, ahead. and months backyard the and accelerate fully start the certainly New our and recovery. will COVID-XX an year, fueled pent-up reevaluation of life which Nearly appears the that pandemic recovering of U.S. We in forcing an It that inflection sizable how help labor of be return are at inhabitants demand

are signs, largely persist, represents cognizant the are and optimistic we that ahead uncertainties territory. significant path unchartered these While

operational challenges As later. leasing number signing transformation projects: balance momentum multifamily capturing for include and an control. generating leases to platform and value properties, Despite construction the our suburban strengthening Harborside a simplifying business, strategic while about advancing Capstone, two more solid Upturn We initiatives remain and the RiverHouse Charlotte, of our on active continuing of and unprecedented our start efficiency. shareholders these the developing by XXXX, by our and at are we These at Mack-Cali's office within X quarter further our while optimizing the our monetize focused such, that XXXX. advanced we our sheet, the had to

formerly of by square in Ameritrade lease X, was departure The of was of feet known vacated partially offset Our XXX,XXX quarter, the March asset in leases primarily Harborside to This completed compared as our feet driven relates who which was or XX,XXX announced assets. of feet XA. waterfront extensions occupied the drop TD square move year-end, XX,XXX XX.X% new the during as occupancy XX. to by as Plaza of XX.X% portfolio square previously

leasing have country rates, remains subdued, a the started office quarter, see throughout market, in New historically are vacancy market which the to Jersey While cautiously tenant the the recorded and optimistic including marked high we inquiries. improvement during

update alike, employees, where Next week, develop demand the working are hard by we'll solutions visitors of office destination for the have recovery, premier campus, and amenities. that smart locals new we meet tenant life. We latest and high-quality market tenants secure to design amidst and vaccinations the we increasing introducing for to be been office and Harborside unveiling space to our reinvigoration well-positioned a believe

sheet million with recourse were were with line proceeds, the million These Overlook these quarter, Center of portfolio. XXXX the of approximately Princeton valuation exited for $XXX through the net sales completed sale strengthening the of XXX sales made year-to-date, disposal of concluded year-end foot suburban simplifying $XXX in we have quarter, debt. substantially which our our our and outstanding net sold $XXX loan $XXX During repayment assets, bonds, of square with million used properties. having internal further us feet repaying the asset assets the toward market approximately balance office net and provided pre-pandemic our noncore Metropark $XX We through square of also the to million significant value. progress of over X.X toward we In corporate the million our million, total, the approximately portfolio our costs. office after Short portfolio and Hills sale or of million XXX,XXX office first the two-thirds generating by representing of proceeds continued values $XXX sold Subsequent retirement

since of multifamily we've to the an seen start portfolio, the our momentum. improvement year, Turning in leasing

Our from our of as the leasing We've a assets, operating strong across eventually reducing number seen and anticipate concessions. of XX% allow multifamily eliminating XX% to activity quarter year-end. leased, which portfolio will up finished we continue us

development end at achieved XX% to Capstone a quarter The unit was and targeting May front, a Imperial. On affluent Port up community as the from New in XX% XXX quarter Jersey in XX% communities have end. we're and leased unit opened XX% Short occupancy project Upton the The residential two January: Hills, [indiscernible] upscale X. XXX is The at of Northern leased, Upton, pleased in Capstone, in

in development remaining highlighting responsible, that the to for scheduled more like inclusive across several which a Nations United unit located RiverHouse Charlotte, units, Global the quarter, Climate-Related global have of second our building XXX unit the of a XX Jersey our endorsed Last formed myself, projects a principles formally in initiatives, comprising sustainable, include delivery City's Force to the manner ESG on Disclosures. commitment our apartment an XXX equitable sustainability Imperial, in tower X the I'd Committee renewed The X,XXX including turn portfolio. Financial operating and Compact Board ways July, and Task and Directors, including to Our the ESG on we of and efforts, Waterfront. our now in Port evolution

and improvements, a from the a X efforts from and our October October of for of environmental, respectively. of score a was XXXX, ISS X including enhanced an policies, result quality disclosure X in social in governance, score As both ESG up new X Mack-Cali for of and XXXX, up awarded X introduction internal and

benchmark of one an within based one to subcategories across scores seven a for the of quality segment. only score to social achieve of all highest on REIT X REITs XX, These of score scale out X XXX with approximately ISS being the a score. also are are We

that, With Chief website. those our Smetana, it during and you over in on going more David? still to hand with report, quarter. on performance David to our Officer, the done, interested encourage financial to to work to available learning we've tremendous I'm our the would Financial will is update there made who review While be is pleased which I'm XXXX CSR progress date,

David Smetana

anchor QX Thanks, management FFO reflects for per impact Mahbod. the the per share. share to pandemic reported compared core of interest high our FFO $X.XX year. the and platforms, office on note from $X.XX move reduction sales and share multifamily CEO prior change. a impact the adjustment Lower-than-expected had led an G&A out expenses that $X.XX sales and operations. of and $X.XXX The of waterfront capitalized core of per per office due budgeted our X, year-over-year to guidance result a a lower well in hotel, range interest year-over-year better $X.XX our expense suburban expense share versus as both previously decline end the the at of the The We offset cash the to multifamily on our expense restructuring included than of same-store better XX.X%, parking portfolio related onetime as quarter the income program to Please share to X.X%. by savings announced parking timing, and Harborside attributable largely less per asset tenant asset to of

at including to We expire to XXXX, feet have remaining X. Harborside waterfront and of the to Harborside XXX,XXX Natixis related campus square related feet square the square X, leases feet XX,XXX at Ameritrade move-out in our remaining XXX,XXX office move-outs TD

multifamily a showing metrics. our detailed, of Mahbod number positive As is portfolio trends across

to Hyatt normalized remained quarter, anniversaried were revenues of our Imperial, to XX the dual-flagged X.X%, Residents fully remainder portion be depressed operations our the Although Hotels the in the net operations from the Port concessions. Notably, quarter. of We basis subdued Hyatt showed decrease lower a the expenses limited effective and as only hotel estate breakeven. as Transient at sequentially basis in repair basis continued increase were from pre-COVID revenue April maintenance same-store occupancy the anticipate we fourth Inn these run points to operational year-over-year increased hotel sequential and are on with and points and a NOI taxes revenues both and of XXX a quarter, the Envue fourth the and near for the which contribution quarter slight sequential XX.X% off May. and as stabilized opening year. the EBITDA for again, real our to from We rents due Envue now last by of

repay in quarter, reduced Hills will on our portfolio, the with balance the along balance and our proceeds sale carried to on used remain quarter we debt sheet, retired proceeds, Turning zero of be to sheet of until million our the and line X. corporate on end. June at balance These to bonds balance the cash $XXX sheet will the are the Short from

a million on on $XXX multifamily provide our our remainder now couple mortgage in $X.X We term on entered flexibility platform. to This the remaining like I Yesterday, maturity facility XXXX. while efforts of surrounding to and announce Waterfront within intend small condo us which a happy highlights a a a one revolving loan. invest mortgage we the Roseland, and our in to lease the with refinance. continuing provides outlook a growth into would million to portfolio retail XXXX, new $XXX facility of agreement for credit I'm have we million only

rate sold April like we portfolio on net portfolio it Hills the based annualized cash XX. XX, we our sold X.X% Short everyone on X.X% cash at entire Metropark thereafter, would quarter on at that we for nearly was First, of held our to rate cap cash Shortly income. and operating March remind cap a QX a our

for in and the bonds, our cash to of payments. a As bond condition will calling the days to second XX make-whole be required hold quarter we redemption fund

of and not of sales, the recognized in year. our believe this XX% the asset half of for the expect yet we by NOI approximately the is multifamily our accomplishment, a from notable back to market. completion upon operations Importantly, suburban We portfolio derive XX% office remaining

with on for conclude time. like transformation a line our prepared moment recovery this providing company take to please guidance With we'd to economic up evolving, the remarks. the both touch will that, at guidance. will Q&A. Operator, open that our be not And you we and can Finally,

Operator

[Operator Instructions]. you Thank

first now ahead. Steve question from from go will Evercore. take Sakwa We our Please

Steve Sakwa

leasing. there's Thanks. million largely the of so mirror, I left sell, waterfront guess the we sales kind with can of suburban Good or on I morning. maybe focus now the in guess, $XXX kind maybe just to rearview

more cheaper Are some could speak New on incentives. companies made comments Jersey some Grow as the Manhattan to these changing alternative? us of looking tenants maybe you the that programs maybe you you're about native to these And the a seeing and types at Can Jersey just guys moving Are demand. update Jersey You just waterfront? New companies seeing?

Mahbod Nia

Hi, a you good Steve, thank one. for question. It's the

we Waterfront, great high-quality a been we've that going of - After progressing of and there. this Harborside, comment package, for point understand planned got inquiries, be well significant, to only extremely ultimately, worst the the to that, is office think which just of We've we've the $XX in be the in been potentially vaccine rejuvenation appeal a that you got So of us. external the and tune through on assets square the we actually. been in that is I rollout like tenant the waterfront offering $XX team investing that the of And tenants. add return to only the of a amenities from be as feel those location whole foot that, through about to then enhanced offer. can best-in-class set, a that space. that place the We tenant now is leasing it's quite pace and appeal that's incentive focused internal varied made on also vacant to the going will feel on. mentioned, over we And the got leasing we've qualifying And to improve office. behind a the of really Kind quality

move looking into Waterfront the sign, in near area, a been it's hopefully effort that Some that for future. incumbents, encouraging that and portfolio of very I validation to that's early would say, into the leasing all positioning but some gone

Steve Sakwa

then And to turning residential Thanks. second, Okay. the just maybe portfolio.

what are you of parent's demand folks coming trend uptick Maybe nice homes. front versus happening just concession ago? York into a packages two Folks the continuing saw on what's obviously their and leaving with today as you talk And are May? kind maybe area. guys You to the to are of about seeing demand uptick that three months What Is seeing? April sequentially. New back kind are

Mahbod Nia

Yes.

with return So of of more the of seen vaccine and again, to the the seems demand the be, to return return remnants normality, some believe, to working the conditions. living in the - certainly uptick broad-based, is somewhat the of to linked, you've and rollout but we kind ordinary beginning what and

quarter, good going been we're It's again, optimistic. So we and to and great continue, that, assets have hopeful that's there. we're a

of So what's part Steve? second question, the your

Steve Sakwa

get you a for I a was points. to maintenance think, - sense of just trying showed, couple I

Mahbod Nia

Concessions?

Steve Sakwa

just in and did April the May? trends concessions and of, Yes, kind continue

Mahbod Nia

Yes. quarter occupancy increase What's actually been actually is on certain been concessions, cutting and concessions. while we've interesting back able the continue first to in eliminating to completely assets

really the got. quality to of signs positive we that believe, the So all again, we've again, and assets testament,

Steve Sakwa

That's Thanks. Great. for it me.

Mahbod Nia

Thanks, Steve.

Operator

We take our ahead. go Feldman Jamie of Please will now question, Bank from next America.

Jamie Feldman

Thank question. Steve's you. A on follow-up

the more thinking know Just interest past. you're of who's terms in assets? you in granularity looking can And have the about and sizes Is you the what Just kind guys talked bit kind in something still of provide a about? life little possibly? I that tenant science waterfront of

Mahbod Nia

Yes.

this looking really give not stage. at guidance So any to

it's very that again, package with and think what of what ago. we looks assets, inquiry couple whole to a feel reposition to too quarters doing between where a is like building to to at it office, provide the would planned and early we the that's already was us, is that's is that. we on be worst return to like But coming X, I those the feel which seems there widely what Plaza you pretty the behind from. are Harborside tenant the only say, and look I really different it that And

And that quite this at are the varied sciences, positive In you very know that's looking perspective. it's early signs but As a tenants fairly in for, space I demand area mentioned, relation time. of really group. size our from an all to it's varied life also there's that considerable obviously

into we've and space at continue that been feed to the so that able And to be conversion strength. some to evaluate of of looking potential

Operator

Citi. take question from from will our next We now Manny Korchman

Please is ahead. line open. go Your

Manny Korchman

of Mahbod, have that, have Jersey at try the to they you changes pandemic, in those everyone. as tenants weren't place, the City? months Hey, that what attract new tenants those to Good new now speak over they looking market? find doing What made morning. necessarily before few sort you to to that team leasing specific to are last arguably, that

Mahbod Nia

speak to the you, way. for good Manny, question. by Thanks the with

look, prospective is point products when is is are my either the the usually, the tenant and at And to typically seeking or landlord, not it providing something chain right So right between tenant that stubborn worse, right from it's lease, landlord either. experience, it's even price assets broken. somewhere in the means not not product, and the

could I establish we've So relationships been looking community. way really benefit over I that. move we've we think is gone to believe this reaching a tenants what We've done to out we've the been And feel long with like location. again. to the done proactively really we've that from that chain And brokerage to reestablishing really

we're the inquiries improving seeing that product, we're the I I believe And And intact, with outreach. why so investment sort got And been we've the into coupled right the seeing. think the product. the and chain's that's we've of

creating hope to So levels has competitive we're that assets, be quality I given demand in move that forward. our change Leasing fair it, to just looking and which, of that are a those to we'll we and tenants share location happening. be we capturing will that believe been offer been just the to attract able I again, to these rent space. mean, of going haven't product

Manny Korchman

more earlier, the now just least this at office. that. Dave's keep the needs suburban, discussion your where office? for you as larger for core a the do multifamily or Waterfront any selling portfolio? year maybe some is to lot journey Thanks to you've embarked there than scale then to be sell of that it Or And as to think is Is a the of on plan comment any a piece, that

Mahbod Nia

Board that the mean given and think shareholders, to so we value instance, Well, know, goal be to your we in absolutely. creating consider I for to our how continue in with the And this like options seats highly within we're we've And at stage, on will the question, this our particularly in available complex. that this evaluate that look, Having point, are I focused, come at as obligations. answer initiatives, office we'll are are to consistent that in. highly that, fiduciary that, believe would management focused on those be we're including control. you achieving us said things all of value-enhancing rejuvenation the—what something Waterfront

Manny Korchman

Thanks very much.

Mahbod Nia

Manny. Thanks,

Operator

from Securities. Our Lewis, question next Michael Please ahead. Truist go

Michael Lewis

Great. Thank you.

square ask much think there target? Following about we I for hasn't up about along quarter-after-quarter you those to leasing. is do lines, There that How talked pipeline. the question And inquiries. about on leasing. been office you to the of footage an of pipeline wanted out earlier kind

are because to it Are are the What's to And tenants prospects ending up? looking, the of been where are to extent pandemic? of kind ground the just there? So Has Sun Belt? going they halt they that a headwind choosing Manhattan? the

Mahbod Nia

say the subdued we've actually, to Harborside. during at that and office that when repositioning to the involved really I'd leasing got has started really kind referring across of So been U.S. we're timeframe look

That's subdued. what and difficult But but leasing and that this don't been to very plates, good Very And lead been office think option that elected I Jersey been tenants How we've office to has to cost. the to a really missed as large quality, to the we're the significantly of that and volume. seeing want lower that is return been have Manhattan, flexibility tenants looking are generally that the point. should at assets there's what are of just City, say to just case It's with hasn't we the a is floor accessibility opportunity? go form seeing, to that encouraging of signs been the because it have us elsewhere. significant changing. at it's So a leasing we I believe said, much provide firms alive, is an location, some in that

believe many you incentive As we said, of qualifying the new be interest package, to in particularly which I when factor will tenants.

Michael Lewis

That about balance are rest strategy time at from the where developments and do that so, if the now maybe XXXX, think a to into And deliver XXXX makes company think starting you the is? be sense. on is you then hamstrung to in side, the of sheet do And apartment kind good - window? you of the how all apartment

Mahbod Nia

question. good a It's

clear to business. wanting potential that of balance multifamily the constraints, So within about with and we've the unlock been capital just Roseland the grow to part flow. got We've cash

And so all considerations strategy. go-forward the to being determine now contemplated those right are really ultimately

decision its yet looking use decision to will as capital at, us determining looking that ultimately, to been no what in be, be we'll decisions So allocation that's highest and and development. relation and the broader a available at But has made future with it would be. currently capital best

Michael Lewis

for just Okay. And then lastly me.

call multifamily out office doomed their pieces the with thought a the CEO, about sheet where earnings buyers delever after question. they almost kind trying that and options waterfront Or different two company. headed? you Street, different you that are ago, any view And lined they asset wanted first buy promise done focused with strategy, suggest the noncore The years balance were strategy. I noncore about a you with the will Or think company the are ask the when of Back to the thought slide of have on on sales. and leasing be asset and deck, that you noncore way still strategy different do to then a a to is finish which new of deliver about Bow the the anything is all on the strategy? sort what that? see they sales, broader on to soon, seemed of then When they do playbook was you put up or the have view And selling the

Mahbod Nia

going unlock comment again, for It's in value believe approach would that, to I is of be available our that thoughtful. shareholders. look, any And decisions the that I'll decisions create so options make continue all shareholders. we us to to point, more Well, at going evaluate be and be measured. to general But say, we to be best will this make to we interest

strategy are the make the I we the value retention. we and have. of strengthening operate that that It's can the it's which is It looking now, and tenant mentioned, believe there. that sheet. can of And that are further further focus will, at ways as things leasing value operational focus focusing, over at create near-term really balance at business For the could to on whether we on our initiatives Those I that That within company involve best And create control, ultimately, there's time. and great enhance the shareholders. simplification have things believe when direction the value. broader in means within enhancements believe to - looking will direction we on ultimately, of the efficiency that that looking we clarity on our will be as we interest would today determine value-enhancing the we

Michael Lewis

Thank you.

Operator

Catherwood BTIG. from Tom

open. is ahead. Please line Your go

Thomas Catherwood

Excellent. days, and you you for just to you mechanical XX the heard If have for sounds morning, in have the like as mentioned. balance bonds everyone. question. you sheet good your cash Thank I a it right, Dave,

cash obviously, the and term draw sales, new the your recent down you loan. credit have, So line you from of secured

for in - interest redeeming them June. into You'll of that obviously is time? pay period you're the that we get period you going on have roll it to XX does June? that, Or How of in? we after be Do the do process as bonds where a days a kind over redeem

David Smetana

Tom. for Thanks Yes. that,

issues, million, another both the last the actually, night, bond payment. for redemption make-whole we $XXX plus contemporaneously So $XX million credit the approximately of close funded facility, entire the with of

days. T kind a So actually trade works, plus that it's how of like XX

to combined XX issues do the next X% pay for interest have we the our on continue So to days. bond

for that So analysts. to in the absence the wanted of you other just highlight and guidance, I

Thomas Catherwood

Bank carrying good on close the assume balance about think of that the hand, Perfect, And after sale Hills, the part a you chunk cash then of of on line with obviously, you'll still sheet, paid that you down as have gets unsecureds. part Red but it, be perfect. Short the the out some if And even get quarter seems bulk the current And as ones kind sold other are your of near-term of like assets I 'XX. maybe of thought sale pace? but sold. that impression on the kind and last was Red portfolio might Bank contract. got the was the It the slip others gets event, under a What's we into I early a

David Smetana

Yeah, thanks.

right you're on think I it.

the can loan there's see loan, You line and term in about structure term $XXX of a the million outstanding. the

asset the the close said hopefully So you expected point of second Bank, release and as out Red contract in we sales is end to around which the quarter. one, the under right the is

the and from You other noncore care total of land those couple have your [indiscernible] assets with the pieces portfolio a of loan. should take left in some term

the loan. with asset some it's all of So and of as suburban that noncore, of pieces be couple focused we assets proceeds the really match. last you reduce the Monmouth on, to culmination term be as of again X ventures that period and our retire again is kind two X Giralda used our over and to longer And office of Gatehall time again the sale land the a joint program the should

Thomas Catherwood

And your Dave. it. really it. then it coming agree along. with does I Harborside comment X, Appreciate on that, look like Mahbod, Got it's Got

it different the space, Harborside be X kind different Whole X, be these of blocks portfolio, some effectively going that kind would different potential new what or this, in the to office it's the approaching few and laying it about of thinking to of groupings segmenting into office X. to maybe and space? There's you Harborside different and space, of X. about There's There's segments. seems targeted marketing then types at there's me a high-rise opportunities kind you're those all chunks think approaching tenants some and X in of back Foods. space seems and it When Harborside what's step above, creative are out brand-new available, I kind As

Mahbod Nia

our I space that's the great Yes, a of prospective degree, that's expect, one available And strengths correct. that tenants. flexibility and that's question. you'd also large say of space yes, to But think the as is that I would to of of range a offering

range vacancy right again, plates the there but But of the location, that that's that we've assets, of and will I lower that have rise soon So you'll fundamentally, building, are if guess, offering great great in needs. you available amenity to got is you're tenants' benefits, the a small you've in offer. quite got is options want that wide floor you're the and one of suit on a location,

Thomas Catherwood

of timeline Got much up, ready it. Harborside could white and box And then the in be X, terms how until wise, longer that's show ready buttoned to market?

Mahbod Nia

will fourth these be well. certainly, to occupy. our that, things, quarter It's I expectation would to hate early date a end on that but progressing put ready quarter, I say, toward the of is third the

Thomas Catherwood

for me. Thank it you, That's Excellent. everyone.

Mahbod Nia

your Great. questions. for Thanks

Operator

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

Derek Johnston

good and Hi morning, everyone.

incentives some New Sorry legislative this, vantage get on or New on can York but tax appetite New Any if missed an we Jersey your update the to I update from from relocations Jersey? are for hearing we've on feel for on this. again, sorry guys you discussed this like but I what seems of kind I ground? if time, Once elusive. timing, the possible missed comments it

Mahbod Nia

it Well, already is approved.

And so already it a already in approved. time was it's the been making, but - long actually it was

basis, tenants, much tenants. available of And to qualifying be qualifying I believe, mid-$XX incentive But very foot to that sorry. comment just was type dollar made that a it we $XX per tenants is, figures today. between square available it really qualifying incentive for could the So earlier that package be it for an meaningful can quite a it's about on is

Derek Johnston

Okay.

is it's so - right timing be the leases so And to and signed away. approved thumbs timing up the for

Mahbod Nia

Correct.

Derek Johnston

fire. as On CBD far optimistic. And on were peers as think that office, went certainly off your very came York I saying so quarter this one New things

that pipeline new Any helpful. we see occupancy you expect be could Jersey especially leases add you some you event? when if since be would may that inflection and on see Given a City do commentary, an thoughts side, been the 'XX the point, maybe late positive have bit did a challenged, little

Mahbod Nia

think. Yes. has a frame those to on this the and I year nature tenants. trend, inquiries level certainly, Look, put And time it's very these the specific difficult to us things, encouraging of is that been trend. of terms in of the What's positive

So we incentive we've about. location and those. compelling and to feel be confidence have And the work the package optimistic that's in a quality the tenants. positioning putting cautiously of what We provides again, the that that with we're we're the those assets strong proposition got to

Derek Johnston

just of I then outlook for mean, bookings to or pent-up the for high late is any fall? it's a Or larger pretty small any summer pie. are for early suburban And Okay. the know But weddings, and gets which the hotels? demand return Great. as shrinks, I I maybe there what maybe lastly, margin? are guess And events, piece

Mahbod Nia

only certainly of - majority Envue, but to the at looking certainly So the we've more looking happening at reopened opened the just sector, hotel business-oriented. what's seems than consumer-oriented in the the - be revenue

hope, the for rebalance, one call hotels. composition office, latter toward should normalized a of part So would that return see this the to to with anticipated year revenue we of

Derek Johnston

Thanks, everybody.

Mahbod Nia

you. Thank

Operator

Feldman Please now follow-up Bank from will take America. of We go Instructions] Jamie from [Operator ahead. question a

Jamie Feldman

then of if there? able space? been site has does I'm of the thoughts leasing all? like users looks just other that any you're And how make to types of the tenants, or It The Upton. rents at on what push pretty that be sale rethink you to curious, you. Thank what types then seem you at leasing And - strong

Mahbod Nia

those for that seem be Thank questions. morning. you space. your empty majority to are nesters Good that of taking The

traction question? getting surprised, pleasantly is to part that, second second feel it's the think comments that that the it's look, that great - back part say the we sorry, good whether to No, been of view? So for I'm was your changes deserves. been that us. allocation. what I development on been it our asset We've I won't I go made but capital and is see I the

forward. the would We've and really to I the TBD. that think and today is determine at for of down what going available us to allocated got capital all that look capital is and how highest best use be sit really

no that decision has really made this been forward, so going And point. on at

Jamie Feldman

that for you're the site marketing actually So hotel? still second

Mahbod Nia

No.

are We not.

Jamie Feldman

cap David, you those then, a you Okay. think GAAP you I providing asset the basis? for appreciate on said And Do sales. All cash? right. the I rates have

David Smetana

Yes.

cash, So the points would rates of arrive GAAP on at you XX the this. added on both basis to those, cap if you

Jamie Feldman

Okay. Any have over big you I just guess is just this that things Mahbod, back things the surprised call think that leadership you, taking And to think kind taking perspectives of seat. are of then the in picture, your company? first you're challenging the role, more been that I over have conference as - after

Mahbod Nia

I really. Not the was this fortunate was months I to mean role. several in a that on taking Yes. for I position Board prior

into is ease the able I and seat now the It say, under particularly of to I myself troubling. position. this in surprising being different detail having ability anything looked to So hood. had or wouldn't be a level no, the there's

simplify looking capital the ways I at and using I said, do we possibly and and value. operational and have to focus areas time, human will how best at further of that in resources can looking in create the that way us, aligned business to the efficiency really we internally organized over we be As for we're think that, near-term

Jamie Feldman

Thank Okay. you.

Mahbod Nia

Thanks.

Operator

at this or no to remarks. speakers are turn I questions to for further any there the like would back call your closing time, additional As

Mahbod Nia

today, look keeping you updated for Well, thank due and we forward again you joining to in very us course. much, everyone,

Operator

Ladies Thank Thank call. disconnect. you. and conclude your That today's may will you now you gentlemen, conference for participation.

Veris Residential (VRE) 9 May 212021 Q1 Earnings call transcript