Strawberry Fields REIT, Inc.

Good morning. My name is Matthew and I'll be your conference operator today. I'd like to welcome everyone to the Strawberry Fields REITs second quarter 2025 earnings call. All lines have been placed on mute to prevent any background noise. After the speakers remarks, there'll be a question and answer session. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note that this conference is being recorded. I would now like to turn the conference over to Jeff Beitner.

Thank you and welcome to Strawberry Fields REITs Q2 2025 earnings call. I am the chief investment officer and joining me today on the call are Mois Shkugin, our chairman and CEO, and Greg Flamion, our CFO. Earlier today, the company issued its Q2 2025 earnings results, which are available on the company's investor relations website. Participants should be aware that this call is being recorded and listeners are advised that any forward-looking statements made on today's call are based on management's current expectations, assumptions, and beliefs about Strawberry Fields REITs business and the environment in which it operates. These statements may include projections regarding future financial performance, dividends, acquisitions, investments, returns, financings, and may or may not reference other matters affecting the company's business or the businesses of its tenants, including factors that are beyond its control. Additionally, references will be made during this call to non-GAAP financial results. Investors are encouraged to review these non-GAAP financial measures, as well as the explanation and reconciliation of these measures to the comparable GAAP results included on the non-GAAP measure reconciliation page in our investor presentation. And now, onto discussing Strawberry Fields REIT and our Q2 2025 performance. I wanted to start by sharing some key highlights. During the quarter, the company collected 100% of its contractual rent. On April 4th, the company completed the acquisition for a skilled nursing facility with 112 licensed beds near Houston, Texas. The acquisition was for $11.5 million, and the company funded the acquisition utilizing cash from the balance sheet. The facility was added to the master lease of an existing third-party operator, and the initial annual base rents are $1.3 million and are subject to 3% annual rent increases. On May 22nd, the company entered into a $59 million purchase agreement for non-skilled nursing facilities located in Missouri. Eight of the facilities will be added to the existing master lease of our tenant, the TIE group, and the ninth facility will be added to another of our tenants' master leases, Reliant Care Group. Combined, these facilities will have an initial annual base rent of $6.1 million and are subject to 3% annual rent increases. The company closed the acquisition on July 1st, 2025, and funded the acquisition utilizing working capital. On June 24th, the company issued 312 million shekels in Series B bonds on the Tel Aviv Stock Exchange, which is approximately $90 million. The bonds are unsecured and were issued at par with a fixed interest rate of 6.70%. Subsequent to this issuance, $30 million was used to pay down existing secured bank debt that had a higher interest rate. By making this pay down, the company will be saving approximately 100 basis points. A couple of other items I wanted to mention. During the quarter, the company continued to pay its quarterly dividend and on June 30th made a payment of $0.14 a share. For the upcoming quarter, we are excited to announce that the Board of Directors has approved increasing the dividend to $0.16 a share. This increase represents a 14% increase in the dividend payment and the company continues to maintain its dividend payout ratio below 50%. On the acquisition front, we closed on a couple deals since the quarter end. The first was a $59 million acquisition in Missouri that I mentioned earlier in my remarks. The second was closed earlier this week for an 80-bed skilled nursing facility near McLeod, Oklahoma. The acquisition was for $4.25 million, which the company funded utilizing cash from the balance sheet. The facility was added to an existing master lease for a tenant of ours in Oklahoma and the initial base rents are $425,000 and subject to 3% annual rent increases. I would now like to have Greg Flamion, our Chief Financial Officer, discuss the quarter end financials.

Thank you, Jeff, and welcome everyone to the Strawberry Fields Reads second quarter 2025 earnings call. Let's begin with the financial position for the quarter. Total assets are $897 million, an increase of $261 million or .1% compared to Q2 2024. The asset growth was driven by three factors, our 2024-2025 real estate acquisitions, the re-tenanting of the landmark master lease and the Kentucky master lease, as well as proceeds from our new bond series issued in late June. The additional cash on the balance sheet was used as a source of funds for the Missouri acquisition that closed in July 2025. On the liabilities and equity side, we saw corresponding increases due to the financing used for the acquisitions in foreign currency translation losses and other comprehensive income. As mentioned before, in July we acquired nine properties in Missouri for $59 million. This slide shows a pro forma balance sheet detailing the impact of this transaction. The acquisition strengthens our regional footprint and supports our long-term growth strategy. -to-date revenue through June was $75.2 million, up $18.1 million compared to the same time frame last year. That's a .7% increase that was driven by timing and integration of the 24 properties that we incurred over that time period and the landmark to Kentucky master lease re-tenanting that began in January 2025. While we experienced higher revenues, the income growth is offset by higher depreciation, amortization, and interest expense, which is driven by new property acquisitions. This results into a -to-date net income of $15.7 million, or $0.28 per share, compared to $13 million, or $0.26 per share in Q2 2024. Our quarterly performance has drivers consistent with those discussed in our full year results. Revenue growth increased by $8.6 million due to acquisitions and lease re-tenanting activity. Expenses increased through depreciation, amortization, and interest expense. The quarterly net income is $8.7 million, which represents an EPS of $0.16 per share. This compares to an income of $7 million in 2024 with an EPS of $0.14 per share. Finally, I'd like to end my presentation with some financial highlights. Projected 2025 AFFO is $73.4 million, up .5% versus 2024. The projected 2025 AFFO represents a .6% 2020-2025 compound annual growth rate. Projected adjusted EBITDA is $125.4 million, a .4% increase -over-year. This represents a .5% 2020-2025 compound annual growth rate. Our net -to-net asset ratio is current assets at 49.1%. As of June 30th, our dividend was $0.14 a share, representing a .3% yield. Our AFFO payout ratio remains at 44.1%, providing our shareholders with a healthy dividend while allowing the company room to make acquisitions. These results reflect disciplined execution to our company's strategy and a continued focus on shareholder value. With that, I'll turn it back over to Jeff Baitner, who will walk us through our portfolio highlights.