Sabra Health Care REIT, Inc.

Good day, everyone. My name is Regina, and I will be your conference operator today. At this time, I would like to welcome everyone to the Sabra Health Care REIT second quarter 2026 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you'd like to withdraw your question, press star one again. Lucas Hartwich, EBP Finance

and our expectations regarding our tenants and operators and our expectations regarding our acquisition, disposition, and investment plans. These forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially, including the risks listed in the Form 10-K for the year end of December 31, 2025. as well as in our earnings press release, including as Exhibit 99.1 to the Form 8K we furnished to the FCC yesterday. We undertake no obligation to update our forward-looking statements to reflect subsequent events or circumstances, and you should not assume later in the quarter that the comments we make today are still valid. In addition, 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 gap results included on the financials page of the investor section of our website at SovereignHealth.com. Our Form 10Q, earnings release, and supplement can also be accessed in the investor section of our website. And with that, let me turn the call over to Rick Matros, CEO, President, and Chair of Sovereign Health Care REIT.

Thanks, Lukas, and welcome everybody to our second quarter earnings call. First on to investment activity, we closed approximately 600 million in investments, including 100 million in skilled nursing, and we're closing on an additional 100 million in shop investments. Our pipeline is as active as it's ever been. The deals that we've done have been closed at attractive yields, and we've got an immense amount of deals that we're looking at, and we're able to remain competitive within the range of deals that we've currently announced. Going to operations. Consolidated, unconsolidated in the same store, shop, cash, NOI margins continue to grow. Our TripleNet skilled portfolio again shows increased rent coverage, as does our top ten in total. TripleNet senior housing did show a drop in occupancy and coverage, but that was specifically due to the transition of a high-performing asset from TripleNet to shop. Without that, the results would be still quite strong, but essentially be flat. We expect Medicaid rates taken together to come in around 2% as rates continue to revert to pre-pandemic levels as we have been articulating. Even at that level, rate growth continues to feed the momentum of improved performance. The final rule for the Medicare market basket came in at 2.4%, the same as the proposed rule, which met expectations. We don't see any regulatory changes that would create any new hurdles, and we're particularly pleased to see leverage drop to 4.61%. And with that, I'll turn the call over to Darrin.