Corphousing Group Inc.

Greetings. Welcome to Corp Housing Group's second quarter 2022 financial results conference call. At this time, all participants are in listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero from your telephone keypad. Please note, this conference is being recorded. At this time, I'll turn the conference over to Devin Sullivan with the Equity Group. Devin, you may begin.

Thank you, Rob. Good morning, everyone, and thank you for joining us for Corp Housing Group's 2022 Second Quarter Financial Results Conference Call. Our speakers for today will be Brian Ferdinand, Chairman and Chief Executive Officer, and Shanoop Kothari, the company's Chief Financial Officer. Before we begin, I'd like to remind everyone that during this call, we will be discussing forward-looking statements, including with respect to the expected closing of noted lease transactions and continued closing on additional leases for properties in the company's pipeline, as well as the company's anticipated ability to commercialize efficiently and profitably the properties it leases and will lease in the future. These forward-looking statements are subject to a number of risks, uncertainties, and assumptions, including those set forth under the caption risk factors in the prospectus forming part of the company's effective registration statement on Form S-1, file number 333-262114. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology, such as plans, expects, or does not expect, is expected, budget, scheduled, estimates, forecasts, intends, anticipates, or does not anticipate, or believes, or variations of such words and phrases that may contain statements that certain actions, events, or results may, could, would, might, or will be taken, will continue, will occur, or will be achieved. Forward-looking information may relate to anticipated events or results, including but not limited to business strategy, leasing terms, high-level occupancy rates, and sales and growth plans. The financial projections provided herein are based on certain assumptions and existing and anticipated market, travel, and public health conditions, all of which may change. The forward-looking information and forward-looking statements contained in this call and the press release we issued last night are made as of the date of this call and the company does not undertake to update any forward-looking information and or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. Management will also be discussing non-GAAP financial metrics. A reconciliation of these non-GAAP financial measures to the most comparable GAAP measures can be found in the company's second quarter press release. With that said, I'd now like to turn the call over to Brian Ferdinand, Chairman and Chief Executive Officer.

Brian, please go ahead. Thank you, Devin, and thanks to each of you for making time to join us this morning on our first quarterly conference call. We began our journey in 2017 focused on building a portfolio of short-term rental and multifamily properties in destination cities across the United States. However, in 2021, we identified unique opportunities born out of the COVID-19 crisis as hotels in the United States and abroad were shuttered with no apparent timetable to reopen. In response, we quickly pivoted to focus almost entirely on the hotel industry. We now utilize a master lease agreement structure, some for as long as 25 years, to acquire hotels that have been dislocated due to the global pandemic's impact on the travel and accommodations industry. Once we acquire a hotel, we leverage technology to cost effectively manage and market the rooms to business and vacation travelers under our customer-facing brands, including Lux Urban. Customers around the world can find our properties listed on dozens of third-party travel and booking sites, including Marriott Homes and Villas, Booking.com, Expedia, VRBO, Airbnb, and directly through our own portals. Over time, we intend to supplement our marketing and sales engagements, by having our guests book repeat stays directly through our proprietary platforms to reduce commissions and increase our profit margins with additional revenue streams. At present, there are 10 hotels in CHD's portfolio consisting of 1,037 total units under long-term lease in seven cities. We are laser focused on executing our post IPO scaling strategy and are currently assessing a robust property pipeline, which includes thousands of high quality hotels, units located in our current markets and new destination cities. We look forward to announcing the consummation of several additional acquisitions in the coming weeks. As mentioned above, CHG enhances operational efficiencies by employing and leveraging technology across the business to increase occupancy rates, ADRs, and RevPar with our asset-light, lease-not-owned model. Combined, this supports predictable revenue streams and expanding operating margins, which we believe will improve over time as more efficiencies are realized. During the month of August, we hosted approximately 12,338 guests across our portfolio of seven active hotels. Based upon recently announced acquisitions and our expected timeframes, for getting these properties operational. We anticipate hosting in excess of 50,000 guests per month in 20 hotels beginning in 2023. While we certainly have a lot of work to do to make these projections a reality, our operations team led by Marine Lieutenant Colonel David Gerfine continues to ensure effective new property launches while enhancing operational efficiencies across our portfolio. We are extremely confident in our scaling strategy that will position us well to generate higher revenues and improve margins beginning in the fourth quarter and continuing throughout 2023 and beyond. Although CHD is currently a relatively small player in a significant global market, we believe the combination of our access to quality properties available with favorable terms our existing operational and revenue management expertise, and the reemergence of global travel provides us with a unique opportunity to accelerate our growth and capture a disproportionately large amount of the business and vacation travel market. Thank you again for your attention. And I'd now like to turn it over to Shanoop Kothari to provide an overview of our second quarter financial results.