Flagship Communities Real Estate Investment Trust

Hello, ladies and gentlemen. Thank you for standing by. Welcome to the Flagship Communities REIT first quarter 2025 earnings call. At this time, all participants are in listening mode. Following the presentation, we will hold a brief question and answer session for analysts and institutional investors. I would like to remind everyone that this conference call is being recorded. Today's presenters are Kurt Keeney, Flagship's President and Chief Executive Officer, Nathan Smith, Chief Investment Officer, and Eddie Carlisle, Chief Financial Officer. Please note that comments made on today's call may contain forward-looking information, and this information by its nature is subject to risk and uncertainties. Actual results may differ materially from the views expressed today. For further information on these risk and uncertainties, please consult the company's relevant filings on CDAR. These documents are also available on Flagship's website at FlagshipCommunities.com. Flagship has also prepared a corresponding PowerPoint presentation, which it encourages you to follow along with during this call. And now I'll pass the call over to Curt Keeney. Kurt?

Thank you, operator. Good morning, everyone. Thank you for joining us today. After what was a record year for Flagship in 2024, we are pleased to have picked up right where we left off in the first quarter of 2025. Early in the year, we got to work on refinancing our near-term debt at a low fixed interest rate, resetting our interest rates for another 10 years. Refinancing our debt at more attractive terms speaks to the confidence our lenders have in both Flagship and the MHC industry, while helping us solidify our balance sheet. We continue to have a conservative, low-debt profile financial position and continue to generate strong financial results. We were pleased with our first quarter 2025 results, which showed strong progress in many of our key metrics. Our rental revenue increased by 24% over the same period last year. Our NOI improved by 23% over the last year. And our FFO adjusted per unit and AFFO adjusted per unit increased by 5.2% and 8.8% respectively over last year. We also continued to see double-digit growth in our certain same-store community metrics in the first quarter of 2025. Our community revenue and same community NOI each grew by almost 13% over last year, while same community NOI margin remained at 67% unchanged relative to last year. Our financial results provide a good sense of the current state of our business and of our growth plan, but ultimately, we are in the business of affordable home ownership, and Nathan and I have been in that business for 30 years, which I will speak to more in my closing remarks. By being in the affordable housing business, sustainability is at our core. From resident wellbeing to ethical corporate governance, we have increasingly built a strong sustainability track record that complements our strong financial and operational results. We've highlighted these initiatives in our fifth annual ESG report, which is available on our website. We are proud of the progress we have made in ESG, especially in the area of resident safety, where we unveiled two new initiatives this past year. The first are flocked security camera systems. We deployed flocked security camera systems in approximately 25% of our community. Our goal is for all of our communities to have these systems within the next three years. These cameras are connected to local police departments to work in concert with city and county police operations. And in partnership with a local municipality, We established a storm shelter to support the local emergency management system. In order to build the storm shelter, we decommissioned two lots so that both our residents and the general public can access the shelter in case of emergency. We hope to replicate this model with other municipalities going forward. With that, I will now turn it over to Nathan for his remarks. Nathan?

Thanks, Kurt. Good morning, everyone. After completing the largest acquisition in our history, our focus for this year is to continue integrating these assets and executing on our home sales strategy in those markets. This business model is the same one that Kurt and I used on our existing portfolio for the past 30 years. While we would always consider external opportunities that adhere to our discipline criteria, Our focus is always on optimizing our existing portfolio and being the best operators we can be for the MHCs that we own. Typically, we have done this through maintaining stable occupancy rates. Our total portfolio occupancy and same community occupancy for the first quarter both grew compared to last year. Our ability to grow occupancy rates coupled with predictable rent collections enable us to grow our existing business while allowing us to focus on being strong operators. Being a strong operator also entails making sure that our customers take pride in their homes and enjoy living in our communities. we are always looking to improve the living experience of our residents. One of the ways that we do this is by adding amenities such as pickleball courts, municipal grade playgrounds, shuffleboard, and basketball courts. We are always providing extensive holiday and seasonal events such as our back to school program, that our residents look forward to and enjoy as a community. Over the past year, we have been successful in growing our existing portfolio in other ways, which we expect to continue in 2025. The first is through ancillary revenue and the cost containment initiatives. Through bulk purchasing, we provide certain amenities that allow our residents to save money while providing us with a means for additional revenue. We've also been successful implementing submetering technology and water recapturing programs across our MHCs that allow us to detect water leaks in real time. And the second is through our lot expansion strategy. Lot expansion enables us to add more housing opportunities within certain existing communities for a modest capital investment. Last year, we added 112 lots to our portfolio, and we have begun our land clearing for our lot expansion in Ellesmere, Kentucky, which will include a new amenities package that we believe will benefit all of our residents in the community. I'll now turn over to Eddie, our CFO, to talk about our financial performance for the quarter. Eddie?