Financial Data and Key Metrics Changes - In Q1 2024, core FFO per share increased to $0.52 from $0.46 in the same quarter last year, reflecting solid operating growth and contributions from new centers [21] - Same center NOI grew by 5.2% in Q1 2024, driven by robust leasing and positive rent spreads [22] - The company increased its core FFO per share guidance for 2024 by $0.01 to a range of $2.03 to $2.11, indicating a growth of 4% to 8% over 2023 [28] Business Line Data and Key Metrics Changes - The company leased over 2.3 million square feet of GLA over the trailing 12 months, with rent spreads of 36% for re-tenanted space and 11% for renewals [14][15] - Portfolio occupancy remained stable at 96.5%, with the same center portfolio up 60 basis points [9] Market Data and Key Metrics Changes - Traffic in Q1 2024 was slightly up compared to last year, with sales per square foot increasing to $437, showing sequential improvement [11] - The company is benefiting from demographic, travel, and migration trends that are driving demand for its centers [10] Company Strategy and Development Direction - The company is focused on enhancing its portfolio through leasing, operating, and marketing efforts, as well as selectively pursuing external growth opportunities [7] - There is a strategic emphasis on re-tenanting and right-sizing stores to improve the overall merchandising mix and shopper experience [16] - The company aims to attract both tourist and local shoppers by diversifying its tenant mix, including adding food and beverage options and entertainment [17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about sales growth, driven by the replacement of older brands with more productive retailers and a balanced marketing approach targeting both tourists and local customers [85] - The company anticipates that its strategic initiatives will lead to continued occupancy and NOI growth, despite potential fluctuations in renewal rates [41][56] Other Important Information - The company amended its lines of credit, increasing liquidity and reducing borrowing costs, which enhances its ability to pursue growth initiatives [25][26] - A 5.8% increase in the annualized dividend to $1.10 per share was approved, maintaining a low payout ratio of 54% [27][80] Q&A Session Summary Question: Can you elaborate on enhancing the merchandising mix? - Management indicated that they are successfully bringing in new brands and diversifying tenant offerings, including sit-down restaurants and new categories [33][34] Question: What is the expected trend for tenant retention and occupancy? - Management expects some decline in renewal rates as they focus on re-tenanting, but they believe this strategy will enhance overall portfolio productivity [41][42] Question: How is the digital strategy impacting customer engagement? - The company is using digital tools to communicate offers and drive traffic, although they do not rely on digital data to value real estate [44][45] Question: What is the outlook for renewal spreads given current sales trends? - Management believes they can maintain positive renewal spreads by replacing underperforming tenants with more productive retailers [102][110] Question: How does retailer inventory strategy affect outlet demand? - Management noted that many brands use outlets to clear excess inventory, and they have implemented a pop-up strategy to accommodate this need [110]

United States SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 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 1-11986 (Tanger Inc.) Commission file number 333-3526-01 (Tanger Properties Limited Partnership) TANGER INC. TANGER PROPERTIES L ...

Financial Data and Key Metrics Changes - Core FFO for Q4 2023 was $0.52 per share, up from $0.47 per share in Q4 2022, with full-year Core FFO at $1.96 compared to $1.83 in the prior year, reflecting a 7.1% increase [23][36] - Same center NOI increased by 5.4% for the quarter and 6.2% for the year, driven by gains in occupancy and strong rent spreads [36][48] - The company maintained a net debt to adjusted EBITDA ratio of 5.8 times, which is expected to improve to between 5.2 and 5.3 times with a full year of EBITDA from new acquisitions [25][26] Business Line Data and Key Metrics Changes - Year-end occupancy was 97.3%, up from 97% at year-end 2022, but down 70 basis points from the previous quarter due to recent acquisitions [8] - The company executed 544 leases totaling over 2.3 million square feet in 2023, a 9% increase from 2022, with blended average rental rates up 13.3% year-over-year [41][40] Market Data and Key Metrics Changes - The company reported positive trends in leasing activity, with eight consecutive quarters of positive leasing spreads, indicating strong demand from retailers [40][41] - Retailers in categories such as athletic and family apparel saw continued gains, while discretionary categories faced challenges [19] Company Strategy and Development Direction - The company is focused on diversifying and enhancing the shopping experience by investing in dominant open-air retail centers in high-growth markets [12][21] - Future strategies include proactive re-tenanting to replace less productive retailers with more productive ones, which may impact near-term renewal metrics but is expected to drive long-term rent growth [18][79] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued sales and traffic growth into 2024, supported by the launch of the Tanger Digital Loyalty app [44][46] - The company anticipates recurring CapEx in the range of $50 million to $60 million for 2024, reflecting a higher re-tenanting rate and ongoing portfolio investments [28] Other Important Information - The company acquired three new centers in Q4 2023, investing over $400 million, with nearly $300 million deployed during the quarter [24][12] - The company has a largely fixed-rate balance sheet, with 95% of its debt fixed and no significant maturities until late 2026 [27] Q&A Session Summary Question: Can you provide more details on the criteria for future acquisitions? - Management indicated they are looking for dominant centers in markets with strong residential and tourism growth, leveraging their best-in-class leasing and marketing platforms [31][56] Question: What is the outlook for tenant sales productivity with the new leasing strategy? - Management stated they are focused on replacing less productive retailers with more productive ones, which is expected to enhance overall sales productivity [70][79] Question: How does the company plan to manage bad debt in the current environment? - Management noted that they have maintained a reserve for bad debt under 50 basis points and are in constant communication with tenants to manage risks [76][119] Question: What is the expected impact of re-tenanting on same-store NOI? - Management acknowledged that while re-tenanting may cause some short-term downtime, it is expected to lead to higher rents and improved NOI in the long term [102][84] Question: How does the company view the balance between outlet and lifestyle center acquisitions? - Management expressed confidence in both outlet and lifestyle center opportunities, noting synergies between the two and a strategic focus on enhancing the shopping experience [108][124]

[EXPLANATORY NOTE](index=3&type=section&id=EXPLANATORY%20NOTE) This note explains the combined unaudited quarterly reports of Tanger Factory Outlet Centers, Inc. and its Operating Partnership [Overview of Registrants](index=3&type=section&id=Overview%20of%20Registrants) This report combines the unaudited quarterly reports of Tanger Factory Outlet Centers, Inc. and Tanger Properties Limited Partnership, a REIT and its operating entity, noting key financial differences - The report combines unaudited quarterly reports for Tanger Factory Outlet Centers, Inc. (Company) and Tanger Properties Limited Partnership (Operating Partnership)[9](index=9&type=chunk) - The Company is a REIT that primarily owns partnership interests in the Operating Partnership, which conducts all business operations[10](index=10&type=chunk)[13](index=13&type=chunk) - Key differences between the Company and Operating Partnership financial statements are in noncontrolling interests, shareholders' equity, and partners' capital[15](index=15&type=chunk) [Index](index=5&type=section&id=Index) This section provides an index to the various parts and items included in the financial report [PART I. - FINANCIAL INFORMATION](index=6&type=section&id=PART%20I.%20-%20FINANCIAL%20INFORMATION) This part presents the unaudited financial statements and related disclosures for both Tanger Factory Outlet Centers, Inc. and its Operating Partnership [Item 1 - Financial Statements of Tanger Factory Outlet Centers, Inc.](index=6&type=section&id=Item%201%20-%20Financial%20Statements%20of%20Tanger%20Factory%20Outlet%20Centers,%20Inc.) This section presents the unaudited consolidated financial statements for Tanger Factory Outlet Centers, Inc. and its subsidiaries for the periods ended September 30, 2023, and December 31, 2022 (balance sheet) or September 30, 2023 and 2022 (income, comprehensive income, equity, and cash flows) [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets%20-%20as%20of%20September%2030,%202023%20and%20December%2031,%202022) This table presents the consolidated balance sheets for Tanger Factory Outlet Centers, Inc. as of September 30, 2023, and December 31, 2022 | Metric | Sep 30, 2023 (in thousands) | Dec 31, 2022 (in thousands) | | :-------------------------------- | :-------------------------- | :-------------------------- | | Total rental property, net | $1,684,175 | $1,630,909 | | Cash and cash equivalents | $188,459 | $212,124 | | Total assets | $2,205,303 | $2,217,665 | | Total debt | $1,426,832 | $1,428,494 | | Total liabilities | $1,692,873 | $1,703,731 | | Equity attributable to Tanger Factory Outlet Centers, Inc. | $490,671 | $491,643 | | Total equity | $512,430 | $513,934 | [Consolidated Statements of Operations](index=7&type=section&id=Consolidated%20Statements%20of%20Operations%20-%20for%20the%20three%20and%20nine%20months%20ended%20September%2030,%202023%20and%202022) This table presents the consolidated statements of operations for Tanger Factory Outlet Centers, Inc. for the three and nine months ended September 30, 2023 and 2022 | Metric | 3 Months Ended Sep 30, 2023 (in thousands) | 3 Months Ended Sep 30, 2022 (in thousands) | 9 Months Ended Sep 30, 2023 (in thousands) | 9 Months Ended Sep 30, 2022 (in thousands) | | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | | Total revenues | $117,346 | $111,446 | $336,930 | $326,152 | | Total expenses | $81,069 | $78,891 | $234,949 | $235,605 | | Net income | $28,877 | $24,345 | $79,037 | $66,626 | | Net income attributable to Tanger Factory Outlet Centers, Inc. | $27,624 | $23,276 | $75,367 | $63,699 | | Basic earnings per common share | $0.26 | $0.22 | $0.71 | $0.61 | | Diluted earnings per common share | $0.26 | $0.22 | $0.70 | $0.60 | [Consolidated Statements of Comprehensive Income](index=8&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20-%20for%20the%20three%20and%20nine%20months%20ended%20September%2030,%202023%20and%202022) This table presents the consolidated statements of comprehensive income for Tanger Factory Outlet Centers, Inc. for the three and nine months ended September 30, 2023 and 2022 | Metric | 3 Months Ended Sep 30, 2023 (in thousands) | 3 Months Ended Sep 30, 2022 (in thousands) | 9 Months Ended Sep 30, 2023 (in thousands) | 9 Months Ended Sep 30, 2022 (in thousands) | | :------------------------------------------------ | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | | Net income | $28,877 | $24,345 | $79,037 | $66,626 | | Other comprehensive income (loss) | $(3,610) | $(1,917) | $(6,020) | $6,807 | | Comprehensive income | $25,267 | $22,428 | $73,017 | $73,433 | | Comprehensive income attributable to Tanger Factory Outlet Centers, Inc. | $24,171 | $21,443 | $69,857 | $70,207 | [Consolidated Statements of Shareholders' Equity](index=9&type=section&id=Consolidated%20Statements%20of%20Shareholders'%20Equity%20-%20for%20the%20three%20and%20nine%20months%20ended%20September%2030,%202023%20and%202022) This section outlines the changes in shareholders' equity for Tanger Factory Outlet Centers, Inc. for the three and nine months ended September 30, 2023 and 2022 - Equity attributable to Tanger Factory Outlet Centers, Inc. decreased slightly from **$491,643 thousand** at December 31, 2022, to **$490,671 thousand** at September 30, 2023[23](index=23&type=chunk)[32](index=32&type=chunk) - Common shares outstanding increased from **104,497,920** at December 31, 2022, to **105,331,191** at September 30, 2023[23](index=23&type=chunk) - Key changes in equity for the nine months ended September 30, 2023, include net income of **$75,367 thousand**, other comprehensive loss of **$5,758 thousand**, and common dividends paid of **$76,298 thousand**[32](index=32&type=chunk) [Consolidated Statements of Cash Flows](index=11&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows%20-%20for%20the%20nine%20months%20ended%20September%2030,%202023%20and%202022) This table presents the consolidated statements of cash flows for Tanger Factory Outlet Centers, Inc. for the nine months ended September 30, 2023 and 2022 | Cash Flow Activity | 9 Months Ended Sep 30, 2023 (in thousands) | 9 Months Ended Sep 30, 2022 (in thousands) | | :--------------------------------------- | :--------------------------------------- | :--------------------------------------- | | Net cash provided by operating activities | $152,113 | $122,741 | | Net cash used in investing activities | $(87,139) | $(31,371) | | Net cash used in financing activities | $(88,324) | $(71,824) | | Net increase (decrease) in cash and cash equivalents | $(23,665) | $19,453 | | Cash and cash equivalents, end of period | $188,459 | $180,708 | [FINANCIAL STATEMENTS OF TANGER PROPERTIES LIMITED PARTNERSHIP](index=12&type=section&id=FINANCIAL%20STATEMENTS%20OF%20TANGER%20PROPERTIES%20LIMITED%20PARTNERSHIP%20(Unaudited)) This section provides the unaudited consolidated financial statements for Tanger Properties Limited Partnership and its subsidiaries, mirroring the Company's financial reporting due to their integrated operations [Consolidated Balance Sheets](index=12&type=section&id=Consolidated%20Balance%20Sheets%20-%20as%20of%20September%2030,%202023%20and%20December%2031,%202022%20(Operating%20Partnership)) This table presents the consolidated balance sheets for Tanger Properties Limited Partnership as of September 30,

Tanger Factory Outlet Centers, Inc. (NYSE:SKT) Q3 2023 Earnings Conference Call November 7, 2023 8:30 AM ET Company Participants Ashley Curtis - Assistant VP, IR Steven Tanger - Executive Chair Stephen Yalof - Director, President and Chief Executive Officer Michael Bilerman - Executive Vice President and Chief Financial Officer Leslie Swanson - Executive Vice President, Chief Operating Officer Doug McDonald - Senior Vice President Finance and Capital Markets Conference Call Participants Floris Dijkum - Comp ...

SC MYRTLE BEACH CHARLESTON HILTON HEAD SAVANNAH VT NASHVILLE ® BATON ROUGE SAN ANTONIO AUSTIN and Engaged Executive Team and Board Jessica Norman Executive Vice President, General Counsel and Secretary Steven B. Tanger Executive Chair of the Board Sandeep L. Mathrani Director Thomas J. Reddin Director Susan E. Skerritt Director Luis A. Ubiñas Director THIRD QUARTER 2023 7 Our Mission Our Vision To deliver the best value, experience and opportunity for our communities, stakeholders and partners Using custome ...

Financial Performance - Total revenues for Q2 2023 were $110,641,000, an increase of 4% compared to $105,838,000 in Q2 2022[26] - Net income for Q2 2023 was $25,300,000, up 21.3% from $20,819,000 in Q2 2022[26] - Basic earnings per share for Q2 2023 were $0.23, compared to $0.19 in Q2 2022, reflecting a 21.1% increase[26] - Comprehensive income for Q2 2023 was $26,154,000, compared to $20,643,000 in Q2 2022, marking a 26.7% increase[29] - Net income for the six months ended June 30, 2023, was $50,160,000, an increase from $42,281,000 in the same period of 2022, representing a growth of approximately 4.2%[36] - Net income for the six months ended June 30, 2023, increased by $7.9 million to $50.2 million compared to $42.3 million in the same period of 2022[165] - The company’s net income available to limited partners for the six months ended June 30, 2023, was $49,413,000, compared to $41,856,000 for the same period in 2022, reflecting an increase of 18%[40] - Net income attributable to Tanger Factory Outlet Centers, Inc. for the three months ended June 30, 2023, was $24,202,000, compared to $19,905,000 for the same period in 2022, representing a 21.5% increase[108] Revenue and Expenses - Rental revenues for the first half of 2023 were $208,170,000, a slight increase from $206,018,000 in the same period of 2022[26] - Property operating expenses for Q2 2023 were $33,712,000, up from $32,697,000 in Q2 2022[26] - Total expenses for the three months ended June 30, 2023, decreased to $77,405,000 from $78,246,000 in the same period of 2022, a reduction of 1.1%[40] - Rental revenues for the six months increased by $2.2 million to $208.170 million, with existing properties contributing $5.699 million to this increase[166] - Other revenues for the six months rose by $1.7 million to $7.378 million, driven by local and national revenue streams[169] - Property operating expenses decreased by $2.6 million to $66.860 million in the six months, mainly due to lower advertising costs and a mild winter[170] Assets and Liabilities - Total assets as of June 30, 2023, were $2,195,948,000, a decrease from $2,217,665,000 as of December 31, 2022[24] - Total debt remained stable at $1,427,391,000 as of June 30, 2023, compared to $1,428,494,000 at the end of 2022[24] - The company reported a total partners' equity of $507,743,000 as of June 30, 2023, down from $513,934,000 at the end of 2022[38] - The company’s accumulated other comprehensive loss increased to $14,160,000 as of June 30, 2023, from $11,750,000 at the end of 2022[38] - Total long-term debt as of June 30, 2023, is $1,427,391,000, with maturities including $625,000,000 due in 2027[88] Cash Flow - The company reported net cash provided by operating activities of $98,919,000 for the six months ended June 30, 2023, compared to $89,075,000 for the same period in 2022, indicating an increase of approximately 11%[36] - Cash and cash equivalents at the end of the period were $213,002,000, up from $194,190,000 at the end of the same period in 2022[36] - Net cash provided by operating activities increased by $9.7 million year-over-year, totaling $98.9 million for the six months ended June 30, 2023[212] - Net cash used in investing activities increased by $26.9 million, primarily due to capital expenditures related to new developments[214] Dividends and Share Repurchase - The company paid cash dividends of $50,459,000 during the six months ended June 30, 2023, compared to $40,255,000 in the same period of 2022, reflecting an increase of approximately 25%[36] - The company declared a cash dividend of $0.245 per common share payable on May 15, 2023[100] - The company declared a cash dividend of $0.245 per common share in April and July 2023, maintaining a consistent dividend policy[192][193] - The company authorized a share repurchase program of up to $100 million through May 31, 2025, with no shares repurchased in the first half of 2023[103] Investments and Developments - Additions to rental property for the six months ended June 30, 2023, were $71,830,000, significantly higher than $25,717,000 in the same period of 2022[36] - The company is developing a new outlet center in Nashville, estimated to cost between $143 million and $147 million, with $89.3 million incurred to date and projected to open in October 2023[69] - Capital expenditures for new outlet center developments and expansions increased by $40.2 million to $58.8 million in 2023 from $18.6 million in 2022[198] Joint Ventures - The company experienced a decrease in equity in earnings of unconsolidated joint ventures, reporting a loss of $3,641,000 for the six months ended June 30, 2023, compared to a loss of $4,740,000 in the same period of 2022[36] - The total assets of unconsolidated joint ventures as of June 30, 2023, were $375.227 million, compared to $388.735 million as of December 31, 2022[76] - For the six months ended June 30, 2023, net income from unconsolidated joint ventures was $7.442 million, down from $9.548 million in the same period of 2022[77] Ratings and Financial Health - Fitch Ratings assigned a 'BBB' long-term issuer default rating to the Company in May 2023, resulting in a 25 basis points reduction in the pricing margin on unsecured lines of credit and term loans[86] - The company believes its balance sheet is financially sound, but acknowledges economic uncertainty due to rising interest rates and inflation[222] - The company anticipates sufficient cash to fund operating expenses, debt service obligations, and dividends in both the short and long term[220]

Financial Data and Key Metrics Changes - The company reported core FFO of $0.47 per share for Q2 2023, up from $0.45 in the prior year period [20] - Same center NOI increased by 4.3% for the quarter and 5.9% year-to-date, driven by occupancy gains and strong rent spreads [20][13] - Blended average rental rates increased by 13.2% for the trailing 12 months ending June 30, 2023 [14] - The occupancy rate stood at 97.2% as of June 30, up 230 basis points year-over-year [32] Business Line Data and Key Metrics Changes - The company executed or was in the process of renewing 64% of leases expiring this year, consistent with last year [7] - The occupancy cost ratio increased by 50 basis points from 8.5% to 9%, still one of the lowest in the industry [8] - The company focused on enhancing portfolio NOI by reducing underperforming tenants and optimizing productive brands [8] Market Data and Key Metrics Changes - Traffic was largely in line with the prior year quarter, but there was a slight decline in average tenant sales [8] - The company noted that shoppers gravitated towards brands offering better promotions and everyday value pricing [34] Company Strategy and Development Direction - The company aims to elevate and diversify its tenant mix, drive total rents, and leverage its platform for growth [13] - The new digital-first loyalty program aims to enhance customer experience and retailer engagement [16] - The company is focused on organic growth through monetizing peripheral land and expanding select centers [36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to sustain growth despite macroeconomic pressures [36] - The company is optimistic about the second half of the year, expecting positive sales impacts [55] - Management highlighted the importance of maintaining a low watch list for bad debt and being mindful of the overall environment [45] Other Important Information - The company received an investment-grade BBB rating from Fitch, which will improve its cost of debt [22] - The Nashville shopping center is set to open on October 27, 2023, with 95% of leases executed [9] Q&A Session Summary Question: Factors driving Tanger to the top or bottom end of the guidance range - Management indicated that the majority of the range is driven by same-store guidance and other elements like G&A and interest [44] Question: Expected initial yield for Nashville and path to achieving full stabilized yield - The initial yield is expected to be in the 6% range, with a stabilized yield of 7.5% to 8% anticipated [46] Question: Ability to push rents despite sales being down - Management noted that they continue to see growth in re-tenanting and rent spreads, indicating room to push rents [85] Question: Sustainability of higher expense recovery income - Management expects the expense recovery rate to be lower in the second half of the year due to variable operating expenses [76] Question: Opportunities for external growth initiatives - Management is actively looking at various transactions and believes there is room to grow the outlet business across the country [80] Question: Impact of higher occupancy cost ratio on rent pushing - Management believes there is still headroom to push rents despite the occupancy cost ratio being at 9% [56] Question: Status of temporary tenants and their conversion to permanent - Management indicated that a significant portion of occupancy growth has come from converting temporary tenants to permanent ones [118]

SECOND QUARTER 2023 6 Stephen Yalof Director, President and Chief Executive Officer Retailer Value Proposition Safe Harbor SECOND QUARTER 2023This presentation contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities ...

Summary of Tanger Factory Outlet Centers, Inc. Conference Call Company Overview - **Company**: Tanger Factory Outlet Centers, Inc. (NYSE: SKT) - **Industry**: Real Estate Investment Trust (REIT) focused on outlet shopping centers - **Management**: - Stephen Yalof - President, CEO & Director - Michael Bilerman - EVP, CFO & CIO - **Portfolio**: 36 shopping centers in the U.S. and 2 in Canada, with a new center opening in Nashville, Tennessee in October 2023 [1][4] Key Points and Arguments Management Changes and Strategy - New management since 2020 has led to new strategies, including welcoming non-traditional retailers to increase tenant diversity [3][4] - The company is adapting to changing consumer preferences, particularly post-COVID, by enhancing food and beverage offerings to increase customer dwell time [5][6] Retailer Engagement - The profile of outlet centers has evolved; new brands like Nike and Polo Ralph Lauren are now essential tenants [7] - The Nashville center will feature 14 brands new to the outlet format, indicating a shift towards attracting diverse retailers [7][8] Temporary Leasing Strategy - Approximately 10% of the portfolio consists of temporary tenants, a strategy that has been in place for a long time [8][9] - Short-term leases allow flexibility and can lead to long-term relationships with brands that find success in the outlet format [10][14] Tenant Retention and Pricing Power - Tenant retention rates have improved to over 90%, with double-digit renewal spreads indicating strong demand and pricing power [16][17] - The company aims to optimize tenant mix by replacing less productive tenants with more profitable ones [17] Development Projects - The Nashville project represents a $146 million investment with expected yields of 7% to 7.5%, contributing to cash flow growth [25][29] - The company is exploring outparcel opportunities, such as restaurants and hotels, to enhance customer experience and increase revenue [24][26] Acquisition Strategy - The company is in a strong financial position with a net debt-to-EBITDA ratio of 5x and $242 million in cash, allowing for potential acquisitions [29][30] - The focus is on expanding into lifestyle or hybrid formats that align with the outlet business model [30][32] Market Conditions and Consumer Behavior - Sales per square foot have increased to approximately $450, reflecting a 15% rise since pre-COVID levels [47] - The company targets value-oriented consumers, positioning itself as a provider of branded products at competitive prices [49] Financial Health and Cost of Capital - The company received a BBB rating from Fitch, leading to reduced borrowing costs and an annual savings of about $1 million [40][41] - The balance sheet is robust, allowing for strategic capital deployment while maintaining a low payout ratio [34][41] Food and Beverage Opportunities - The company is shifting towards more bespoke food and beverage experiences, moving away from traditional food courts [55] - New partnerships with popular brands like Shake Shack are expected to drive traffic and enhance the shopping experience [56][59] Additional Insights - The company is actively monitoring tenant credit quality and has no significant issues with tenants on the watch list [51][52] - The addition of food and beverage options has positively impacted customer traffic and retention [59] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting Tanger Factory Outlet Centers' adaptive strategies in a changing retail landscape.