Financial Data and Key Metrics Changes - The company reported earnings of $0.28 per share, exceeding expectations, with same-store NOI growth of 5.4% for the quarter and 6.6% year-to-date, on track to exceed the initial guidance of 4% to 6% for the full year [18][19][26] - Cash collections remained strong at 98%, aligning with pre-pandemic levels, despite one Regal location's temporary rent payment issues due to Chapter 11 filing [24][25] Business Line Data and Key Metrics Changes - The street retail portfolio outperformed, with cash leasing spreads exceeding 20%, and specific locations like SoHo achieving cash spreads of 40% [6][21] - Sequential physical occupancy grew by 70 basis points, with leased occupancy increasing to 94.3% as of September 30, up from 94.1% in the previous quarter [20] Market Data and Key Metrics Changes - Strong demand was noted in key markets such as SoHo, Gold Coast of Chicago, and Melrose Place in LA, with luxury retailers showing increased commitment [8][9] - Retailer sales in certain corridors exceeded pre-COVID levels, with M Street in Georgetown reporting sales over 20% higher than before the pandemic [11] Company Strategy and Development Direction - The company plans to add $30 million to $40 million of NOI to its core portfolio over the next three to five years, focusing on aggressive leasing and internal growth [14][26] - The strategy includes self-funding capital needs and minimizing exposure to rising interest rates, with a focus on opportunistic asset sales to close the gap between private real estate values and stock price [15][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued strong leasing momentum despite macroeconomic headwinds, citing robust demand for space and the quality of locations [7][8] - The company anticipates 5% to 10% pro rata core NOI growth for 2023, excluding nonrecurring impacts from 2022 cash recoveries [27][28] Other Important Information - The company increased its 2022 guidance for FFO before special items to $1.28 to $1.30, reflecting a year-over-year growth of about 17% [26] - The company took a noncash GAAP impairment charge on three investments, primarily due to longer recovery times in specific submarkets [29][30] Q&A Session Summary Question: About the $30 million to $40 million of core NOI expected over the next three to five years - Management clarified that this figure does not include recent acquisitions or growth from City Point, with leasing expected to contribute significantly to this growth [43][44][47] Question: Conversations around long-term leases with retailers - Management noted that retailers are more inclined to lock in long-term leases now, especially in mission-critical locations, as they anticipate higher inflation and rent growth [50][51] Question: Financing fund investments and variable rate debt - Management indicated that financing strategies may change due to current market conditions, emphasizing flexibility in the fund business [54][55] Question: Update on Bed Bath & Beyond negotiations - Management described the situation as fluid, with ongoing negotiations to potentially rightsize the store, expressing cautious optimism about reaching a profitable conclusion [60][62] Question: Disconnect between asset values and stock price - Management acknowledged the disconnect, attributing it to market conditions and emphasizing the strength of their portfolio outside of underperforming areas [63][64][66]

Financial Data and Key Metrics Changes - The company reported second quarter earnings of $0.32 per share, exceeding expectations, with expected year-over-year FFO growth of about 15% at the midpoint of guidance [19][20] - Same-store NOI grew by 4.8% for the quarter and 7.1% year-to-date, driven primarily by the street portfolio, which grew nearly 7% in the second quarter [23][24] - Quarterly cash collections remained strong at 98% [19] Business Line Data and Key Metrics Changes - The street portfolio is experiencing significant growth, with anticipated 15% growth over the next two years, particularly in high-growth markets like Soho, which is expected to double its NOI [27][28] - The suburban portfolio remains stable, but the street portfolio is outperforming, contributing to the overall positive growth outlook [8][10] Market Data and Key Metrics Changes - Key markets showing strong rental growth include Soho (13% year-over-year), M Street in Georgetown, and various locations in Chicago, LA, and Dallas [9][10] - The company noted that affluent demographics in certain markets are maintaining strong pricing power despite inflationary pressures [12] Company Strategy and Development Direction - The company is focused on internal growth with expectations of 5% to 10% multi-year core internal growth, supported by strong leasing activity and tenant demand [10][24] - The strategy includes responding to market shifts by increasing ownership in high-potential assets like City Point, which is expected to provide significant long-term value [17][36] Management's Comments on Operating Environment and Future Outlook - Management acknowledged concerns about economic slowdown and inflation but emphasized the strength of their portfolio and the ongoing demand for retail space [10][13] - The company is optimistic about future growth, particularly in high-demand areas, and believes that the current market volatility may create compelling opportunities [17][18] Other Important Information - The company has added nearly $250 million in acquisitions year-to-date, including properties in Williamsburg, Brooklyn, and Dallas [15][16] - The refinancing of City Point has reduced borrowing costs and positioned the asset for future growth [22][30] Q&A Session Summary Question: Details on City Point's expected yield - The expected unlevered yield on the initial cost for City Point is 6%, anticipated to kick in within the next 12 to 24 months [39][40] Question: Potential for additional interest in City Point - Additional opportunities to increase interest in City Point are expected within the next 12 to 24 months [40][41] Question: Current market value of City Point - The current pricing is not indicative of the asset's high-quality value, with expectations for long-term value creation remaining strong [43][45] Question: H&M lease situation - The company anticipates regaining the H&M space in the second half of the year, which is factored into growth projections [49][50] Question: Pro forma leverage ratio expectations - The company is targeting a pro forma leverage ratio in the mid-6s by the end of the year [51][52] Question: Opening date for Primark at City Point - Primark is on track to open in the second half of the year, likely in time for the holiday season [62][63] Question: Additional leasing at City Point - The remaining leasing needed for stabilization is being actively pursued, with strong interest expected as surrounding developments complete [69][70]

Financial Performance - Total revenues for the three months ended June 30, 2022, were $84,259,000, an increase of 15.1% compared to $73,057,000 for the same period in 2021[10] - Rental income for the six months ended June 30, 2022, was $160,026,000, up 15.9% from $138,067,000 in the prior year[10] - Operating income for the three months ended June 30, 2022, was $25,648,000, compared to $12,923,000 for the same period in 2021, reflecting a significant increase of 98.5%[10] - Net loss attributable to Acadia for the three months ended June 30, 2022, was $(374,000), a decrease from net income of $3,711,000 in the same period last year[10] - The net income for the six months ended June 30, 2022, was $28,272, a significant increase from the net income of $1,149 for the same period in 2021[12] - For the three months ended June 30, 2022, Acadia reported a comprehensive income of $5,436, compared to a comprehensive loss of $(4,345) for the same period in 2021[12] - Comprehensive income attributable to Acadia for the six months ended June 30, 2022, was $63,918, compared to $35,510 for the same period in 2021[12] - The company reported a net income of $9.7 million for the six months ended June 30, 2022, compared to $6.0 million for the same period in 2021[61] Assets and Liabilities - Total assets as of June 30, 2022, were $4,438,884,000, an increase from $4,261,746,000 as of December 31, 2021[9] - Total liabilities decreased to $2,075,666,000 as of June 30, 2022, from $2,111,811,000 at the end of 2021, indicating a reduction of 1.7%[9] - Cash and cash equivalents increased to $23,921,000 as of June 30, 2022, compared to $17,746,000 as of December 31, 2021, representing a growth of 34.8%[9] - Acadia's total equity increased to $2,363,218 as of June 30, 2022, up from $2,149,935 as of January 1, 2022[20] - The total carrying value of properties as of June 30, 2022, was $203.8 million, with $12.9 million related to transfers out of Fund IV properties[63] Cash Flow and Investments - Net cash provided by operating activities increased to $64,759,000 in 2022 from $50,561,000 in 2021, reflecting a growth of approximately 28%[23] - The company reported a net cash used in investing activities of $141,888,000, a significant increase from $15,995,000 in the previous year[23] - The company acquired real estate worth $242,633,000 during the six months ended June 30, 2022, with proceeds from property dispositions totaling $156,783,000[23] - Proceeds from unsecured debt amounted to $574,783,000, a substantial increase from $49,295,000 in the same period last year[23] - The company disposed of properties in 2022 for a total sale price of $153.8 million, resulting in a gain on sale of $41.0 million[59] Dividends and Distributions - The company declared dividends/distributions of $0.18 per common share/OP unit, totaling $17,087 for the three months ended June 30, 2022[14] - The company paid dividends of $30,407,000 to common shareholders, up from $12,945,000 in the prior year, representing an increase of approximately 135%[23] - For the six months ended June 30, 2022, the net income was $11,808, with a distribution declared of $0.36 per Common OP Unit[159] Real Estate and Development - The Company’s real estate under development was reported at $203,036 thousand as of June 30, 2022, slightly down from $203,773 thousand as of December 31, 2021[49] - The Company’s construction in progress was valued at $12,494 thousand as of June 30, 2022, compared to $11,131 thousand as of December 31, 2021, indicating an increase of approximately 12.2%[49] - The company has ownership interests in five opportunity funds, with total distributions as of June 30, 2022, amounting to $172.1 million for Fund II[31] - The company recognized a bargain purchase gain of $1.2 million related to the Williamsburg NCI, included in realized and unrealized holding gains on investments[52] Debt and Financing - As of June 30, 2022, total indebtedness was $1,814.226 million, slightly up from $1,812.238 million at December 31, 2021[100] - Total mortgages payable decreased from $1,140.293 million at December 31, 2021, to $1,104.355 million at June 30, 2022[100] - The company has a $700.0 million senior unsecured credit facility, which includes a $300.0 million revolving credit facility and a $400.0 million term loan[104] - The company has fixed $989.9 million of variable-rate debt through interest rate swap agreements as of June 30, 2022[101] - The company was not in default on any of its loan agreements as of June 30, 2022[109] Stock and Compensation - The Company recognized Common Share and Common OP Unit-based compensation expense totaling $2.2 million for the three months ended June 30, 2022[140] - The Company issued 442,478 Common OP Units and 141,593 Series C Preferred OP Units to acquire Gotham Plaza, with Series C Preferred OP Units valued at $100.00 each and a quarterly distribution of $0.9375 per unit[164] - The company matches 50% of a plan participant's contribution up to 6% of the employee's annual salary under the 401(k) plan[199] - A total of 3,674 Common Shares were purchased by employees under the Employee Share Purchase Plan for the six months ended June 30, 2022[196] Market and Strategic Outlook - The company anticipates continued growth in rental income and operating performance, driven by strategic acquisitions and market expansion efforts[5] - The company has three reportable segments: Core Portfolio, Funds, and Structured Financing, focusing on high-quality retail properties and co-investments with institutional investors[178]

PART I - FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents Acadia Realty Trust's unaudited consolidated financial statements for Q1 2022, showing significant growth in net income and assets [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2022, total assets increased to **$4.50 billion**, driven by real estate investments, while total equity rose to **$2.41 billion** Consolidated Balance Sheet Highlights (in thousands of dollars) | Balance Sheet Item | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Total Assets** | **$4,496,181** | **$4,261,746** | | Net investments in real estate | $3,598,692 | $3,423,146 | | Cash and cash equivalents | $36,151 | $17,746 | | **Total Liabilities** | **$2,087,975** | **$2,111,811** | | Mortgage and other notes payable, net | $1,095,445 | $1,140,293 | | Unsecured line of credit | $194,405 | $112,905 | | **Total Equity** | **$2,408,206** | **$2,149,935** | [Consolidated Statements of Income](index=5&type=section&id=Consolidated%20Statements%20of%20Income) Total revenues increased to **$81.5 million** in Q1 2022, with a **$28.8 million** gain on property dispositions driving net income to **$16.8 million** Consolidated Income Statement Highlights (in thousands of dollars, except per share amounts) | Income Statement Item | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 (As Restated) | | :--- | :--- | :--- | | Total Revenues | $81,507 | $68,187 | | Operating Income | $40,042 | $8,752 | | Gain on disposition of properties | $28,815 | $4,612 | | Net Income Attributable to Acadia | $16,838 | $4,817 | | Basic and Diluted EPS | $0.18 | $0.05 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations decreased to **$26.5 million**, while investing activities used **$150.1 million**, and financing activities provided **$144.0 million**, leading to a **$20.5 million** cash increase Consolidated Cash Flow Summary (in thousands of dollars) | Cash Flow Activity | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 (As Restated) | | :--- | :--- | :--- | | Net cash provided by operating activities | $26,543 | $30,974 | | Net cash (used in) provided by investing activities | $(150,056) | $12,612 | | Net cash provided by (used in) financing activities | $143,980 | $(47,193) | | **Increase (decrease) in cash and restricted cash** | **$20,467** | **$(3,607)** | [Notes to Consolidated Financial Statements (Unaudited)](index=10&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements%20(Unaudited)) These notes detail the company's REIT structure, significant Q1 2022 real estate acquisitions and dispositions, total debt of **$1.82 billion**, and subsequent strategic acquisitions - The company operates through three reportable segments: **Core Portfolio**, **Funds**, and **Structured Financing**[28](index=28&type=chunk) - In Q1 2022, the company acquired properties valued at **$220.7 million**, including assets in New York and California[46](index=46&type=chunk) - Property dispositions in Q1 2022 totaled **$113.1 million** in sales price, resulting in a gain of **$28.8 million**[54](index=54&type=chunk) - Subsequent to quarter-end, the company acquired the Henderson Portfolio in Dallas, Texas for approximately **$85.4 million**[186](index=186&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=41&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's **188-property** portfolio, Q1 2022 investments, and financial performance, highlighting increased net income, **9.7%** Same-Property NOI growth, and improved FFO per share - As of March 31, 2022, the company owns or has an interest in **188 properties** with a total operating GLA of **13.8 million square feet** and an occupancy of **88.5%**[190](index=190&type=chunk)[191](index=191&type=chunk) - During Q1 2022, the company made three new consolidated investments and two unconsolidated acquisitions totaling **$292.2 million**[194](index=194&type=chunk) Q1 2022 vs Q1 2021 Performance (in millions of dollars, except percentages and per share amounts) | Metric | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Net Income Attributable to Acadia | $16.8M | $4.8M | | Same-Property NOI Growth (Core) | 9.7% | N/A | | Diluted FFO per Share | $0.36 | $0.26 | - The company sold **5.15 million Common Shares** through its At-the-Market (ATM) Program during Q1 2022, generating net proceeds of **$111.5 million**[200](index=200&type=chunk)[232](index=232&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=52&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company's primary market risk is interest rate exposure on its **$1.83 billion** debt, with **46.6%** being variable-rate, mitigated by swaps, and a **100 basis point** rate increase would raise annual interest expense by **$8.5 million** - The primary market risk exposure stems from changes in interest rates on the company's mortgage and other debt[246](index=246&type=chunk) Debt Composition as of March 31, 2022 (in millions of dollars) | Debt Type | Amount (in millions) | Percentage of Total | | :--- | :--- | :--- | | Fixed-Rate (incl. swaps) | $975.9 | 53.4% | | Variable-Rate | $850.3 | 46.6% | | **Total Debt** | **$1,826.3** | **100.0%** | - A **100 basis point** increase in interest rates would increase annual interest expense by approximately **$8.5 million** on the variable-rate debt portfolio[253](index=253&type=chunk) - The company's interest rate risk exposure increased, with variable-rate debt rising from **42.9%** of total debt at year-end 2021 to **46.6%** as of March 31, 2022[258](index=258&type=chunk) [Controls and Procedures](index=53&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were **not effective** as of March 31, 2022, due to a **material weakness** in internal control over financial reporting, for which remediation is underway - The CEO and CFO concluded that disclosure controls and procedures were **not effective** as of March 31, 2022[259](index=259&type=chunk) - The ineffectiveness stems from a previously reported **material weakness** related to an error in accounting for the consolidation of two Fund investments[260](index=260&type=chunk) - Management is actively remediating the material weakness by implementing additional controls and performing enhanced procedures[260](index=260&type=chunk)[261](index=261&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=55&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings, which management does not expect to have a **material adverse effect** on its financial position - The company is party to various legal proceedings incidental to its ordinary course of business[264](index=264&type=chunk) - Management does not expect these proceedings to have a **material adverse effect** on the company's financial position[264](index=264&type=chunk) [Risk Factors](index=55&type=section&id=Item%201A.%20Risk%20Factors) No material changes were reported to the risk factors previously disclosed in the company's Annual Report on Form 10-K for 2021 - No material changes were reported to the risk factors disclosed in the Annual Report on Form 10-K for the year ended December 31, 2021[265](index=265&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=55&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is not applicable for the current reporting period - Not applicable[265](index=265&type=chunk) [Exhibits](index=56&type=section&id=Item%206.%20Exhibits) This section indexes all exhibits filed with the Quarterly Report on Form 10-Q, including CEO and CFO certifications and XBRL data files - The report includes CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002[267](index=267&type=chunk) - Interactive Data Files (XBRL documents) are also filed as exhibits[267](index=267&type=chunk)

Financial Data and Key Metrics Changes - The company reported first-quarter earnings of $0.33 per share, exceeding expectations, driven by strong internal growth of nearly 10% and accretion from approximately $380 million of core and fund investments [20][21] - Same-store NOI grew by 9.7%, attributed to improved credit conditions, occupancy increases, and positive cash spreads on new leases [23][24] - The company conservatively increased its full-year guidance, projecting year-over-year FFO growth in excess of 13% [23] Business Line Data and Key Metrics Changes - The street and urban portfolio saw a sequential occupancy growth of 100 basis points, contributing to improved tenant credit and cash collections [21][22] - The company achieved core collections exceeding 98% for the quarter, reflecting strong tenant performance [22] - The street leases are expected to outperform suburban assets by approximately 300 basis points, with embedded rental growth exceeding 15% on signed but not yet opened leases [26] Market Data and Key Metrics Changes - The company noted a significant reduction in vacancies in key markets, such as Green Street and Soho, where vacancies dropped from 14 to 1 [10] - The Dallas market, particularly the Henderson Avenue corridor, is highlighted as a must-have market for retailers due to positive demographic shifts [15][16] Company Strategy and Development Direction - The company is focused on acquiring assets in high barrier-to-entry markets where tenant performance is expected to drive market rents higher [12][13] - The strategy includes a combination of accretive growth and long-term value-add opportunities, with a focus on retail corridors that enhance the shopping experience [12][14] - The company aims to maintain a strong balance sheet with ample liquidity and minimal upcoming core debt maturities [20][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strength of the job market and consumer spending, despite concerns about inflation and supply chain issues [6][8] - The recovery in physical retail is happening faster and stronger than expected, with many retailers reporting sales exceeding pre-COVID levels [11][56] - Management remains cautious but optimistic about the future, indicating that the current economic environment presents both challenges and opportunities [64][66] Other Important Information - The company has funded approximately $125 million of equity year-to-date, with various avenues to access capital for external growth [29] - The fund platform remains well-positioned, with a successful capital allocation strategy and ongoing discussions for Fund VI [32][35] Q&A Session Summary Question: Is there any change in updated guidance for core and fund investment activity? - Management confirmed that there were no updates to the individual detailed assumptions for investment activity [38] Question: Can you elaborate on the investment pipeline and any changes in investment hurdles? - Management indicated that the acquisition team remains active and expects to update on a quarterly basis, with a focus on opportunistic acquisitions [39][40] Question: What is the competition like for buyers of street retail assets? - Management noted that while there is competition, it is less intense compared to previous cycles, with many institutional investors focusing on defensive assets [51] Question: How are street retail tenants performing in terms of traffic and sales? - Management reported that retailers are experiencing positive sales growth, often exceeding pre-COVID levels, driven by a rebound in residential demand [56] Question: What is the expected investment opportunity in the Henderson corridor? - Management indicated that the investment could potentially double or triple, with a mix of redevelopment and incremental acquisitions [46][80]

Acadia Realty Trust (NYSE:AKR) Q4 2021 Earnings Conference Call February 16, 2022 12:00 PM ET Company Participants Joe Rizzoli - Property Accountant Ken Bernstein - President and CEO John Gottfried - Senior Vice President and CFO Amy Racanello - Senior Vice President, Capital Markets and Investments Conference Call Participants Floris Van Dijkum - Compass Point Todd Thomas - KeyBanc Capital Linda Tsai - Jefferies Ki Bin Kim - Truist Katy McConnell - Citi Mike Mueller - JPMorgan Craig Schmidt - Bank of Ameri ...

SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-12002 ACADIA REALTY TRUST (Exact name of registrant in its charter) MARYLAND (State or other jurisdiction of incorporation or organization) 411 THEOD ...

Financial Data and Key Metrics Changes - The third quarter earnings per share were $0.27, exceeding expectations and landing in the upper end of the guided range of $0.25 to $0.27 [17] - Same-store NOI increased approximately 7%, driven by improving occupancy and a reduction in credit reserves [21] - Cash collections were over 97% of core billings during the quarter, with each 1% increase in collections equating to approximately $500,000 in earnings [19] Business Line Data and Key Metrics Changes - Year-to-date, the company signed over $11 million in leases, with a pipeline of $6.5 million, indicating strong leasing activity [10] - Positive lease spreads were achieved in key locations, with cash increases of approximately 11% and GAAP increases of 19% [21] - The company anticipates $25 million in internal core NOI growth by year-end 2024, resulting in over $150 million of core NOI [22] Market Data and Key Metrics Changes - Tenant sales performance has exceeded expectations, with some locations seeing sales in the $2,000 per foot range [20] - The company is observing a recovery in the debt and equity markets, which should enable competitive acquisition costs [13] - The company noted that urban markets like SoHo and Melrose Place are showing strong recovery, while Chicago and DC are slower to reopen [60][61] Company Strategy and Development Direction - The company is focusing on both internal growth through lease-up and external growth through on-balance sheet investing and fund acquisitions [9][12] - The strategy includes acquiring out-of-favor open-air retail at substantial discounts to replacement costs, targeting mid-teens yields [27] - The company is optimistic about achieving pre-COVID NOI levels by late 2022 or early 2023 [23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about internal growth, projecting 5% to 10% same-store NOI growth per year through 2024 [36] - The company is seeing a resurgence in tenant interest and sales performance, which is expected to drive rental growth [43] - Management acknowledged the potential impact of supply chain disruptions but noted that it has not materially affected operations thus far [68][69] Other Important Information - The company has not issued any equity since the last call, maintaining a strong balance sheet with ample liquidity [26] - The fund platform is well-positioned with a successful capital allocation strategy, focusing on grocery-anchored properties for future dispositions [30] - The company is preparing to refinance the City Point project, which has seen positive momentum with increased shopper traffic and tenant sales [31][32] Q&A Session Summary Question: Expectations for quarterly earnings excluding Albertsons' gains - Management confirmed that the growth from the leasing pipeline will offset move-outs, with growth expected to accelerate in the second half of 2022 [34][35] Question: Trends in leasing momentum across the portfolio - Management noted that tenant interest continues to grow, with sales performance exceeding expectations, particularly in street retail [42][43] Question: Same-store NOI and lease spreads - Management explained that the same-store NOI was solid at 7%, driven by strong fundamentals and a narrowing gap between cash and GAAP spreads [47][49] Question: Interest in the Nordstrom Rack space in San Francisco - Management indicated strong interest in the space, which has been consistent pre- and during COVID [72] Question: Increases in leasing costs per square foot - Management noted that increases in leasing costs were primarily seen in suburban deals, while street deals remained stable [73][74]