American Healthcare REIT, Inc.

and Healthcare REIT's first quarter 2024 earnings conference. 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, and if you would like to ask a question during that time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, just press star followed by the number one again. We ask that you please limit yourself to a single question with one follow-up when your line is muted unmuted excuse me thank you and with that i would like to turn our call over to alan peterson vice president of investor relations and finance with american healthcare alan you may be good morning thank you for joining us for american healthcare reads first quarter 2024 earnings conference call with me today are danny prosky president and ceo

Brian Pei, Chief Financial Officer, Gabe Wilhite, Chief Operating Officer, and Stefano, Chief Investment Officer. On today's call, Danny, Gabe, and Brian will provide prepared remarks discussing our financial position, results of operations, and other recent news relating to American Healthcare REIT. Following these remarks, we will conduct a question and answer session with covering research analysts. Please be advised that this call will include forward-looking statements. All statements made during this call, other than statements of historical facts, are forward-looking statements that are subject to numerous risks and uncertainties that could cause actual results to differ materially from those projected in these statements. Therefore, you should exercise caution in interpreting and relying on them. I refer you to our SEC filings for a more detailed discussion of the risks that could impact our future operating results, financial condition, and prospects. All forward-looking statements speak only as of today, May 14, 2024, or such other dates as may otherwise be specified. We assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. During the call, we will discuss certain non-GAAP financial measures, which we believe can be useful in evaluating the company's operating performance. These measures should not be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. Reconciliations of non-GAAP financial measures discussed on this call today to the most directly comparable measures calculated in accordance with GAAP are included in our earnings release and supplemental information package. You can find these documents as well as our SEC filings in the audio webcast replay of this conference call on our website at www.americanhealthcareread.com. With that, I will turn the call over to our President and CEO, Danny Prosky. Danny Prosky Thank you, Alan.

Good morning, everyone, and thank you for joining. Since the offering and listing of our common stock on the New York Stock Exchange in February, we've been busy focusing on optimizing portfolio performance and executing an opportunistic capital allocation. I'm continually impressed by and proud of the efforts of all of our staff here at AHR, as well as at our operating partners. Our focus remains on providing high-quality care and outcomes for our residents and tenants, in addition to maximizing the value of our real estate portfolio for our stockholders. 2024 is off to a great start. Property level performance across our diversified health care portfolio in all four of our segments is trending positively. We are encouraged to see strong year over year occupancy and NOI margin gains in the first quarter of 2024 within our integrated senior health campuses and shop segments, which make up approximately 60% of our pro rata NOI combined, and we expect this will drive our growth in 2024. Our outpatient medical buildings are faring well, and our asset management team is hard at work combating the headwinds we expect within that segment during this year. Finally, our triple net lease portfolio is proving its steady growth profile, with many of our tenants continuing to see improving coverage levels. As we look forward to the rest of the year and beyond, we believe that the supply-demand imbalance within the long-term care sector tees us up well to growth census within our buildings. According to the U.S. Census Bureau's population projections, from now until the end of the decade, the U.S. is expected to see growth within its 80-plus population of more than 4.5 million individuals. We believe this trend, along with longer life expectancies, growing care needs, and limited new supply due to constrained availability of capital and elevated construction costs, in aggregate, make for a positive environment where businesses like ours stand to benefit. Turning to the transaction market, as we have previously announced, we closed on an acquisition of 14 properties containing 856 beds in Oregon after assuming the debt associated with the properties of $94.5 million. This works out to attractive pricing of $110,000 per bed. We have brought in our operating partners at Compass Senior Living to manage the properties, and initial performance is trending positively. Utilizing our hands-on asset management expertise, these under-managed properties could allow us to further bolster our portfolio. We anticipate that more opportunities like this Oregon transaction will become available to us as many real estate sponsors face the reality of having to refinance indebtedness at lower LTVs and higher rates. Regardless, we will remain prudent and continue to be cognizant of our balance sheet metrics and cost of capital as we execute on these types of opportunities and seek to fund them primarily with disposition proceeds and free cash flow from organic growth. Before I turn over to Gabe and Brian, I'd like to emphasize that our three main areas of focus from now until year end are, number one, as always, quality care for our residents and positive health outcomes comes first. Number two, our commitment to delivering strong operating performance across our portfolio for our investors and proving to the investment community that as a newly listed healthcare REIT, we're committed to maximizing value for our stockholders. And number three, maintaining our measured capital allocation approach to further refine our segments and take advantage of the attractive risk adjusted returns available in today's market. With that, I will turn it over to Gabe, who will further dive into our operational results.