Postal Realty Trust, Inc.

Greetings and welcome to Postal Realty Trust's second quarter 2023 conference call. At this time, all participants are on a listen-only mode. A 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. I would now like to turn the conference over to your host, Jordan Cooperstein. Thank you. You may begin.

Thank you. Good morning, everyone, and welcome to the Postal Realty Trust second quarter 2023 earnings conference call. On the call today, we have Andrew Spodek, Chief Executive Officer, Jeremy Garber, President, Robert Klein, Chief Financial Officer, and Matt Brandwein, Chief Accounting Officer. Please note the use of forward-looking statements by the company on this conference call. Statements made on this call include statements that are not historical facts, and are considered forward-looking. These forward-looking statements are covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. 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 latest 10-K and its other securities and exchange commission filings. The company does not assume, and specifically disclaims, any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, on this conference call, the company may refer to certain non-GAAP financial measures, such as funds from operations, adjusted funds from operations, adjusted EBITDA, and net debt. You can find a tabular reconciliation of these non-GAAP financial measures to the most currently comparable GAAP measures in the company's earnings release and supplemental materials. With that, I will now turn the call over to Andrew Spodek, Chief Executive Officer of Postal Realty Trust.

Good morning, and thank you for joining us today. We are pleased with our results in the second quarter as they demonstrate the ongoing success of our business model, and showcase our management team's ability to execute in all environments. We enhanced our total liquidity position by exercising the accordion feature on our term loans and issuing equity through our ATM program during Q2 and subsequent to quarter end. As a result, we have strategically set ourselves up to execute on our pipeline for the remainder of the year without having to access the capital markets and while maintaining conservative leverage. As of August 2nd, we had a fully undrawn revolver and 100% fixed rate debt. We acquired approximately $16 million of properties at a weighted average cap rate of 7.3%, which is accretive to the company and has also above the midpoint of our previously stated cap rate range. As always, cap rates in any given quarter are based on the specific mix of assets, geography, and market conditions. Entering the second half of the year, we remain optimistic that deal activity will begin to pick up relative to first half levels. We are maintaining a judicious investment strategy and continue to target $80 million in acquisitions during 2023. Within our market, there is still a disconnect between buyers and sellers, and prospective sellers continue to take time to adjust their price expectations. As I've shared in the past, the postal real estate universe is unique and has lagged the broader commercial real estate markets throughout all economic cycles. Transaction levels in our space have historically been largely un-correlated to financing conditions, as assets are typically held long-term and owners are not pressured by debt maturities. While the current level of activity has been lighter, with our leadership position and long history of transacting in the space, we remain confident in our ability to source deals and to continue maximizing long-term shareholder value. I'll now turn the call over to Jeremy to discuss our operating metrics.