Peakstone Realty Trust

and welcome to Peakstone VLT Trust fourth quarter 2024 earnings webcast conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require 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, Mr. Steve Swett, Investor Relations, Thank you, Mr. Spett. You may begin.

Good afternoon, and thank you for joining us for Peakstone Realty Trust's fourth quarter 2024 earnings call and webcast. Earlier today, we posted an earnings release, supplemental, and updated investor presentation to the investors' page on our website at www.pkst.com. Please reach out to our investor relations team at ir.pkst.com with any questions. The company will be making forward-looking statements, which include any statements that are not historical facts on today's webcast. Such forward-looking statements are based on expectations that involve risks and uncertainties that could cause actual results to differ materials. For a further discussion of risks related to our business, please see our annual report on Form 10-K and subsequent filings with the SEC. 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 normalized EBITRE. You can find a tabular reconciliation of these non-GAAP financial measures to the most currently comparable GAAP numbers in the company's filings with the SEC. On the call today are Mike Pescolante, CEO and President, and Javier Bitar, CFO. With that, I'll hand the call to Mike.

Good afternoon, and thank you for joining our call today. The company had an extremely successful fourth quarter and full year. significantly advancing our strategic plan to shift our portfolio towards industrial, with our industrial ABR now comprising nearly 40% of total ABR. Over the course of the year, we acquired a premier 51 property infill industrial outdoor storage or iOS portfolio for $490 million. We divested $317 million of non-core assets, including the elimination of the entire Other segment, we achieved strong leasing activity with favorable leasing spreads, highlighting the strength of our operational capabilities. And we took another pivotal step in strengthening our capital structure with the amendment and extension of our credit facility. We were excited to enter the IOS subsector. IOS properties have a low building to land ratio or low coverage. which maximizes yard space for the display, movement, and storage of materials and equipment. This subsector is characterized by fragmented ownership, significant supply constraints, compelling operating fundamentals, and minimal capex requirements. Importantly, IOS assets complement our traditional industrial assets, which include distribution warehouse and light manufacturing properties. These asset types share similar market dynamics, tenant profiles, lease structures, and asset management responsibilities. The premier infield IOS portfolio we acquired in the fourth quarter has a 70% mark-to-market opportunity with the potential to achieve incremental yields as we stabilize the six redevelopment properties. This portfolio significantly enhances the company's growth profile. With substantial opportunities for sustained growth in the iOS subsector and our team's unique iOS expertise, we plan to concentrate our investment strategy on these types of assets, which we believe will drive long-term shareholder value. Turning to our dispositions, I'm very pleased that we achieved our stated goal of disposing of our other segment assets by year-end 2024. In the fourth quarter, we sold the remaining 10 assets in that segment, completing this important milestone. For the year, we sold a total of 19 assets for $317 million, including 17 other segment properties and two office segment properties. One of the key reasons our office property dispositions have been so successful is that our office buildings are generally newer vintage and contain functions that are central to tenant operations. Given these attributes, many of our tenants have expressed interest in purchasing the properties they lease, and we have been successful in closing these types of transactions. In 2024, tenant purchases accounted for approximately 44% of our gross disposition proceeds. As we continue to divest non-core assets in 2025, we will maintain a strong focus on engaging with tenants as potential buyers of our properties. Moving to leasing activity, we had a successful year marked by strong results. We leased a total of approximately 837,000 square feet with a weighted average lease term of 4.5 years and achieved favorable releasing spreads, 32% on a gap basis and 23% on a cash basis. Several of these leases were for other segment assets that were sold shortly after the leases were completed. In these cases, We strategically structured the leases to maximize potential sales proceeds and minimize out-of-pocket leasing costs incurred prior to the anticipated sale date. Our solid leasing activity for the year highlights our operational expertise and reflects the continuous strong demand for our properties in the market. As a result of our acquisition, disposition, and leasing activities in 2024, Our portfolio had the following key characteristics at year end. We owned a total of 103 properties reported in two segments, industrial and office. Our portfolio consisted of 97 operating properties and six redevelopment properties, which are properties we have designated for redevelopment or repositioning. Our operating portfolio includes 64 industrial segment properties, made up of 45 iOS locations and 19 traditional industrial assets. These properties span 18 states, 31 markets, and roughly 58% concentrated in coastal and Sunbelt markets. Our industrial segment ABR now accounts for nearly 40% of our total ABR, up from 25% at the beginning of 2024. Looking at our IOS assets specifically, the 45 IOS properties are approximately 100% leased with 47% investment grade tenancy, a wealth of 4.4 years, and a potential 70% mark to market opportunity. And our traditional industrial assets are 100% leased with 58% investment grade tenancy, a wealth of six years, and a potential 24% market market opportunity. Our operating portfolio also includes 33 office segment properties, which are 99% leased with 60% investment grade tenancy and a Walt of 6.9 years. These buildings are generally newer with an average age of 12 years and have minimal near term capital requirements. This segment, has limited near-term rollover with only 1% of the office segment AVR expiring in 2025 and 18% expiring over the next three years. Our redevelopment portfolio consists of six industrial segment IOS assets encompassing 82 usable acres across four states with targeted stabilized yields in the 7.5% to 8% range. Additional details about our redevelopment properties are provided in our quarterly supplemental. With that, I will turn the call over to Javier, who will review our financial results and capital markets activity. Javier?