Global Medical REIT Inc.

Greetings and welcome to Global Medical REIT 4th Quarter 2024 Earnings Call. At this time, all participants are on a listen-only mode. A question and answer session will follow the formal presentation. If anyone requires operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Steve Sweat, Investor Relations. Thank you. Please go ahead.

Thank you. Good morning, everyone, and welcome to Global Medical REIT's fourth quarter and full year 2024 earnings conference call. On the call today are Jeff Bush, Chief Executive Officer, Alfonso Leon, Chief Investment Officer, and Bob Kiernan, Chief Financial Officer. Please note the use of forward-looking statements by the company on this conference call. Statements made on this call may include statements which are not historical facts and are considered forward-looking. The company intends these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and is making this statement for purpose of complying with those safe harbor provisions. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond the company's control, including, without limitation, Those contained in the company's 10-K for the year ended December 31st, 2023, and its other SEC filings. The company assumes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, on this call, the company may refer to certain non-GAAP financial measures such as funds from operations, adjusted funds from operations, EBITRE, and adjusted EBITRE. You can find a tabular reconciliation of these non-GAAP financial measures to the most currently comparable GAAP numbers in the company's earnings release and in its filings with the SEC. Additional information may be found on the investor relations page of the company's website at www.globalmedicalreit.com. I would now like to turn the call over to Jeff Bush, Chief Executive Officer of Global Medical REIT. Jeff. Thank you, Steve.

Good morning and thank you for joining our fourth quarter and full year 2024 earnings call. Our high quality diversified portfolio continues to produce steady results. At the end of the fourth quarter, portfolio occupancy was 96.4% with a weighted average lease term of 5.6 years and a portfolio average rent coverage ratio of 4.5 times. For the fourth quarter, net income attributable to common shareholders was $1.4 million, or two cents per share, compared to a net loss attributable to common stockholders of $800,000. or one cent per share in the fourth quarter of 2023. FFO attributable to common stockholders and non-controlling interest in the fourth quarter was 15 cents per share and unit, down four cents from prior year quarter due primarily to $3.2 million of severance-related costs. FFO attributable to common stockholders and non-controlling interest was 22 cents per share and unit, down one cent from the prior year quarter. Regarding our acquisition activity during the year, in the spring, we entered into a purchase agreement to acquire a 15 property portfolio of outpatient medical real estate properties for an aggregate purchase price of $80.3 million. During the third quarter, we closed on the first tranche of this acquisition, consisting of five properties for $30.8 million. And during the fourth quarter, we completed the acquisition of the remaining 10 properties for $49.5 million. These properties are fully leased under triple net or absolute triple net leases and the acquisition was completed at a cap rate of 8%. Additionally, in the fourth quarter, we entered into a purchase agreement to acquire five property portfolios of medical outpatient facilities for an aggregate purchase price of $69.6 million at a 9% cap rate. Subsequent to the year end, we closed on the first tranche of this acquisition, completing the acquisition of three properties for $31.5 million. We expect to complete the acquisition of the remaining two properties during the second quarter of 2025. The transaction market continues to present promising opportunities in our asset class, and we are pleased with the recent addition to strengthen our high-quality portfolio. As we focus on growing our business, we remain committed to maintaining a strong balance sheet through our strategic asset recycling program. During the fourth quarter, we completed the sale of four medical facilities, generating aggregate gross proceeds of $40.5 million, resulting in an aggregate gain of $5.8 million. Of these $40.5 million of gross proceeds, $35.2 million were related to the sale of two properties to a joint venture with Heitman, a premier real estate investment firm managing over $48 billion in assets. In this joint venture, we maintain a 12.5% ownership stake and serve as its managing member, while Heitman holds the remaining 87.5% interest and through its voting interest controls the joint venture. We are excited to partner with Heitman and feel the joint venture allows us to capitalize on our acquisition and asset management platforms to continue to acquire assets, earn ancillary fees income, and gain a new capital partner. Lastly, in early 2025, we announced my succession plan as CEO. Over the past eight years, I have had the privilege of leading GMRE through both successes and challenges, working alongside many wonderful partners, associates, industry professionals, and are friends in the investment community. This transition creates an opportunity to bring fresh perspective to our growing strategy. I have the utmost confidence in our board's ability to select a successor who will lead our experienced team and leverage our robust infrastructure to create value for our stockholders. I am confident this transition will be seamless, and I'm deeply grateful to everybody who has been part of this journey. With that, I turn the call over to Alfonso to discuss our investment activity and the current market conditions in more detail.