Four Corners Property Trust, Inc.

Conference call will begin in approximately one minute. Hello and welcome to the FC-PT third quarter 2023 financial results conference call. My name is Lauren and I'll be coordinating your call today. There'll be an opportunity for questions at the end of the presentation. If you would like to ask a question, then please press start note by one on your telephone keypad. I'll now hand you over to your host, Gerry, to begin. Gerry, please go ahead.

Thank you, Lauren. During the course of this call, we will make forward-looking statements which are based on our beliefs and assumptions. Actual results will be affected by known and unknown factors that are beyond our control or ability to predict. Our assumptions are not a guarantee of future performance, and some will prove to be inaccurate. For a more detailed description of some potential risks, please see our SEC filings, which can be found at fcpt.com. All the information presented on this call is current as of today, November 2nd. In addition, reconciliations to non-GAAP financial measures presented on this call, such as FFO and AFFO, can be found in the company's supplemental report. With that, I'll turn it over to Bill.

Good morning. Thank you for joining us to discuss our third quarter results. I'm going to make introductory remarks. Patrick and Josh will comment further on the acquisition market, and then Jerry will discuss our financial results and capital position. We reported third quarter AFFO of 42 cents per share which is up a cent from our Q3 last year and in line with expectation. Our existing portfolio is performing exceptionally well with 99.9% rent collections for the quarter and 99.8% occupancy at quarter end. FCPT has had a record acquisition year already with $322 million of capital deployed year to date. That is up 13% from the full year of 2022, which was also a record acquisition year. We continue to see benefits of our investments in our people and the platform's capacity. These transactions were funded with equity raised in late 2022 and early 2023 at an average price above $27 per share and with our June debt offering where we benefited from hedge gains to lock in a 5.4% yield to maturity. Year-over-year sales for the restaurant sector as a whole remained positive in the third quarter in the 3% range, according to Baird Research. although the casual dining sector is seeing small declines off of a strong 2022. Darden was a standout from that trend, reporting same-store sales growth of 6.1% and 8.1% for Olive Garden and Longhorn respectively. Chili saw same-store sales rise 6%. As highlighted last quarter, restaurant margins are also improving as commodity and other labor inflation eases. Our EBITDA to rent coverage in the third quarter was 4.8 times for the significant majority of our portfolio that reports this figure. This remains amongst the strongest coverage within the net lease industry and is a reflection of our underwriting standards. Turning to capital sources, which Jerry will discuss in more detail, we issued $100 million of private notes in July and did not issue equity during the quarter. We now start the fourth quarter with $220 million of availability on our revolver and no near-term debt maturities and very attractive properties to sell to 1031 buyers if we choose to access this liquidity source. As we look ahead, the current capital market environment is making it challenging to deploy capital creatively. In this environment, we remain disciplined allocators of capital. Let me say that again. In this environment, we remain disciplined allocators of capital. Since our inception in 2015, we have established mental models and structured our team's incentives that discourages us from deploying capital just to grow the company's size without an increase in per-sure metrics of earnings or intrinsic value. Our compensation is not tied to acquisition volumes, and we have never given acquisition or earnings guidance. Finally, we benefit from low absolute and relative overhead costs and can be nimble and modulate investment activities up and down without negatively impacting the organization or employee morale. We believe that we are prepared to operate successfully in today's environment and expect to ratchet up activity when it is accretive to do so. With that, I will turn it over to Patrick to further discuss the investment environment.