Industrial Logistics Properties Trust

Good morning and welcome to Industrial Logistics Properties Trust Second Quarter 2026 Financial Results Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the call over to Kevin Barry, Senior Director of Investor Relations. Please go ahead.

Good morning, and thank you for joining ILPT's second quarter 2026 earnings call. With me on today's call are President and Chief Executive Officer Yael Duffy, Chief Financial Officer and Treasurer Tiffany Sy, and Vice President Marc Krohn. In just a moment, they will provide details about our business and quarterly results, followed by a question and answer session with sell-side analysts. Please note that the recording and retransmission of today's conference call is prohibited without the prior written consent of the company. Also note that today's conference call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws, including guidance with respect to certain third quarter and full year 2026 financial measures. These forward-looking statements are based on ILPT's beliefs and expectations as of today, July 30, 2026, and actual results may differ materially from those that we project. The company undertakes no obligation to revise or publicly release the results of any revision to the forward-looking statements made in today's conference call. Additional information concerning factors that could cause those differences is contained in our filings with the Securities and Exchange Commission, which can be accessed from our website, ILPTREIT.com. investors are cautioned not to place undue reliance upon any forward-looking statements. In addition, we will be discussing non-GAAP financial measures during this call, including normalized funds from operations or normalized FFO, cash available for distribution or CAD, adjusted EBITDA RE, net operating income or NOI, and cash basis NOI. The reconciliation of these non-GAAP measures and net income is available in our financial results package, which can be found on our website. Lastly, will be providing guidance on this call, including estimated normalized FFO and adjusted EBITDA RE. We are not providing reconciliation of these non-GAAP measures as part of our guidance because certain information required for such reconciliation is not available without unreasonable efforts or at all. I will now turn the call over to Yael.

Thank you, Kevin, and good morning. Last night, we reported second quarter results that demonstrate the strength of our portfolio and our ability to convert operating momentum into shareholder value. Normalized FFO grew 51% year over year in line with our guidance and same property cash basis NOI increased 2%. These results were driven by a record leasing quarter in which we completed 5.4 million square feet at leasing spreads of 35%. It also marks our seventh consecutive quarter of double-digit rent growth and our fifth straight quarter of accelerating mark-to-market spreads. Based on this performance, we raised our full year 2026 guidance, which Tiffany will detail shortly. In May, we refinanced $1.6 billion of floating rate debt in our consolidated joint venture with fixed rate debt. As a result, 100% of ILPT's consolidated debt is now fixed rate with no maturities until 2029. Although leverage remains elevated, over the past year, we have materially reduced financial risk, eliminating our exposure to variable rates and locking in greater predictability of future cash flows. Among the quarter's achievements was resolving the two large vacancies within our portfolio. In Indianapolis, we signed a 10-year lease with FedEx on a 532,000 square foot property at a gap in cash roll-up in rent of 14% and 4%. We also completed a 53-year ground lease on 2.2 million square feet in Hawaii with a construction company at a gap in cash roll-up of 162% and 52%. As a result, consolidated occupancy rose 450 basis points to 99%. Together, these long-duration leases lock in a stable growing income stream for years to come and reflect the underlying quality of our portfolio. Capital expenditures for the quarter totaled approximately $14 million, of which $10 million was directly tied to leasing commissions. Costs and concessions averaged just 23 cents per square foot per year in line with historical trends. Earlier this month, we doubled our quarterly dividend to 10 cents per share. The increase underscores our confidence in the durability of our earnings and our commitment to delivering attractive growing returns to our shareholders. Our second quarter CAD payout ratio rose to 50% from 29% in the prior quarter, and is almost entirely a function of the elevated leasing commissions related to our record leasing volume. We believe the new dividend rate remains well covered by ILPT's underlying cash flows while continuing to provide ample capacity to fund our priorities. Importantly, the market has recognized our execution. ILPT shares delivered a total return of 63% in the first half of 2026 outperforming the Industrial REIT benchmark by 55 percentage points. Looking ahead, we remain focused on the drivers that compound value, including capturing the significant embedded rent growth across our portfolio, sustaining best-in-class tenant retention, and continuing to strengthen our financial position. With that, I'll turn the call over to Marc, who will provide additional details on our leasing activity and pipeline.