Company Overview and Strategy - Mobile Infrastructure owns a diversified portfolio of parking assets primarily in the Midwest and Southwest[6] - The company aims to improve revenue consistency and NOI margin by converting leased contracts to managed contracts[6] - Mobile Infrastructure leverages data analytics to drive revenue and NOI[6] - The company intends to become the acquirer of choice in the parking industry through a tax-efficient acquisition program[6] Financial Performance and Pipeline - Mobile Infrastructure's NAV is $725 per share[6] - The company has a $300 million pipeline of potential acquisitions[6] - For the quarter ended March 31, 2025, managed property revenue was $6545 thousand, while base rental income was $1459 thousand[51] - Net Operating Income (NOI) for the quarter ended March 31, 2025, was $4464 thousand, a 174% decrease compared to $5402 thousand for the quarter ended March 31, 2024[51] Market and Industry - The U S parking industry generates approximately $131 billion in annual revenue[31] - The U S has approximately 1 billion parking spaces[32]

Core Insights - European Residential Real Estate Investment Trust (ERES) reported its financial results for the three months ended March 31, 2025, highlighting significant strategic initiatives and operational metrics [1][5][21]. Strategic Initiatives Update - ERES has sold 415 residential suites in the Netherlands for approximately €90 million and has an agreement to sell an additional 1,446 suites for about €337 million, expected to close in Q3 2025 [5][6]. - The company aims to maximize net equity returns to investors through strategic wind-up, aligning management and Board of Trustees on this objective [5][7]. Operating Metrics - The same property portfolio's Occupied Average Monthly Rent (AMR) increased by 6.2% from €1,175 in Q1 2024 to €1,248 in Q1 2025 [6][12]. - Same property occupancy for residential properties decreased to 93.6% from 99.0% year-over-year, primarily due to intentional vacancies to maximize value [6][27]. - The same property Net Operating Income (NOI) margin decreased to 75.0% from 76.4% year-over-year, driven by increased repair and maintenance costs [27][22]. Financial Performance - Total operating revenues decreased by 51.6% to €11.8 million, and NOI decreased by 53.7% to €8.8 million compared to the same period last year, largely due to strategic dispositions [20][21]. - Diluted Funds From Operations (FFO) per Unit decreased by 53.8% to €0.018, while Adjusted Funds From Operations (AFFO) per Unit decreased by 54.1% to €0.017 [32][31]. - The liquidity position remained strong at €121.3 million, down from €132.8 million at the end of the previous year [42][40]. Financial Position and Liquidity - The adjusted debt to gross book value ratio improved to 35.2% from 39.7% year-over-year, indicating a stronger balance sheet [40][42]. - Debt service coverage ratio stood at 2.7x, and interest coverage ratio was 3.2x, reflecting compliance with financial covenants [40][42]. Distributions - ERES declared monthly distributions of €0.005 per Unit for the three months ended March 31, 2025, down from €0.010 per Unit in the same period last year [45][46].

Core Viewpoint - Hudson Pacific Properties, Inc. (HPP) is trading at a significant discount, approximately 30% of its Net Asset Value (NAV), but this discount may be misleading due to high leverage and the overall capital structure [1][12]. Valuation Metrics - The consensus NAV for HPP is $7.61, while the stock is trading at $2.32, indicating a price to NAV of 29.71% [2][4]. - The market capitalization of fully diluted common shares is $338 million, with a NAV implied common value of $1.109 billion [7][8]. Financial Structure - HPP's total liabilities, including preferred shares, amount to $5.379 billion, with total debt at $4.176 billion [5][6]. - The asset value at NAV is $6.488 billion, while the market price implied asset value is $5.717 billion, resulting in a discount of 12% from asset value [10]. Leverage Impact - HPP's high leverage means that an 18% decline in asset value could lead to common shares being wiped out, taking NAV per share to $0 [12][13]. - The leverage amplifies both potential gains and losses, making the investment sensitive to changes in asset value [16]. Investment Thesis - For HPP to be a viable investment, there must be a belief in a turnaround story, particularly in stabilizing occupancy and returning to growth in office assets [14][15]. - The potential for significant returns exists if the office market improves, as leverage could enhance the gains on common stock [16].

Financial Performance - The company reported a GAAP net loss of $0.29 per share[7] - Earnings Available for Distribution (EAD) was $0.17 per share[7] - The book value per common share decreased by 6.3% to $3.58, net of the quarterly dividend[8] - A dividend of $0.15 per share was declared and paid[8] - The company experienced a 2.4% total quarterly economic loss[8] Portfolio Metrics - The company's leverage ratio for the aggregate portfolio was 5.2x[8] - The net interest spread for RMBS was 3.6%[8] - The weighted average Constant Prepayment Rate (CPR) for RMBS was 5.8%[7] - The net CPR for Mortgage Servicing Rights (MSRs) was 4.1%[7] Asset Composition - As of March 31, 2025, 76% of the asset investment composition (excluding cash) was in 30 Year RMBS and 24% was in MSRs[15]

Financial Data and Key Metrics Changes - The company achieved record total investment income of $12,500,000 in Q1 2025, a 37% increase from the previous quarter and over 40% year-over-year growth [7] - Net investment income (NII) per share doubled to $0.40 from $0.20 in the prior quarter, primarily due to increased total investment income [7] - The first quarter distribution increased to $0.37 per share, a 5.7% rise from the previous quarter's $0.35 per share [7][14] Business Line Data and Key Metrics Changes - The CLO joint venture (JV) contributed significantly to the income, with cash distributions of $3,800,000 in Q1 2025, compared to $5,000,000 in Q4 2024 [10][36] - The corporate portfolio grew to nearly $250,000,000, with first lien loans comprising 71% of this portfolio as of March 31 [16] Market Data and Key Metrics Changes - The company's net assets as of March 31, 2025, were $132,000,000, down from $136,000,000 as of December 31, 2024 [13] - The NAV per share decreased to $11.46 from $11.79 over the same period [14] Company Strategy and Development Direction - The company is focused on enhancing portfolio strength by increasing secured debt positions and targeting high teens to 20% returns from the CLO JV [16] - A $100,000,000 at-the-market equity program was filed to provide additional capital flexibility [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to generate sustainable returns and deliver increasing value to shareholders despite market volatility [12][20] - The company anticipates that NII in Q2 2025 will exceed Q1 levels, supported by ongoing capital raising and deployment initiatives [8][36] Other Important Information - The company has zero positions on non-accrual as of March 31, 2025, indicating strong portfolio performance [19] - The company maintains a cautious approach to capital deployment, prioritizing credit quality and seeking investments with minimal risk of permanent capital loss [20] Q&A Session Summary Question: How does the portfolio and funds NAV perform with the widening loan market and private credit spreads? - Management noted modest markdowns in the portfolio but expressed confidence in the overall health of the portfolio, expecting unrealized losses to reverse as market conditions stabilize [26][28] Question: What is the expected ROE on the CLO investment? - The company targets high teens to 20% returns on the CLO investments [59] Question: What is the impact of tariffs on the portfolio? - Initial analysis suggests limited direct exposure to tariffs, with a predominantly domestic focus and minimal exposure to China [20][51] Question: How is the consumer segment of the portfolio characterized? - The largest exposure in the consumer space is to companies with private label products, which are expected to benefit from trade-down effects during economic downturns [54]

Core Perspective - The housing market presents contrasting views between homeowners and real estate professionals, with homeowners seeing high property values while realtors report declining transaction volumes [1][2][4][6] Market Dynamics - Real estate professionals are currently pessimistic due to macroeconomic changes, including tariff uncertainties and fluctuating mortgage rates, leading to postponed property purchases and a significant drop in commercial real estate transaction activity [6][10][11] - The Dow Jones REIT index has shown a correlation with declining transaction volumes, reflecting the negative sentiment from real estate professionals [11][20] REITs and Valuation - The market's perception of REITs is skewed by the gloomy outlook of transaction-driven professionals, despite the underlying real estate values and net operating income (NOI) remaining stable or growing [15][20] - REITs, as property owners, focus on operating income and property value rather than transaction volume, which is a key distinction in understanding their performance [14][20] Financial Metrics - The median REIT is trading at 77.9% of its Net Asset Value (NAV), indicating a significant discount compared to the actual asset values [20][21] - Funds From Operations (FFO) have shown growth post-COVID, with a modest dip in 2020, but overall trends indicate a recovery and growth trajectory [19] Investment Opportunities - The current market presents an opportunity to invest in REITs at a discount, as property values remain high while REIT stocks are undervalued [22][23] - Specific examples include purchasing apartments at approximately 75% of NAV and farmland at about 65% of its asset value, highlighting the disconnect between stock prices and asset values [23][26]

Financial Data and Key Metrics Changes - The company generated net investment income (NII) of $0.27 per share, consistent with the previous quarter but down from $0.38 per share in the same quarter last year [26] - The net asset value (NAV) decreased to $7.57 per share from $8.43 at the end of the previous quarter and $9.64 a year ago, primarily due to fair value adjustments and distributions [27] - Investment income for the first quarter was $25 million, slightly down from $26 million in the prior year period, attributed to lower interest and fee income [24] Business Line Data and Key Metrics Changes - The portfolio at the end of the first quarter stood at $690 million, with new debt investments totaling $100 million and equity investments of $2 million [11] - The debt portfolio yield was 15% for the quarter, compared to 15.6% in the same quarter last year, while onboarding yields were 13%, up from 12.6% in the previous quarter [24][12] - The company funded nine debt investments during the quarter, with a significant portion directed towards life science and technology sectors [11] Market Data and Key Metrics Changes - Approximately $92 billion was invested in VC-backed companies in the first quarter, marking a 19% increase from the previous quarter, driven largely by large AI deals [17] - The exit market for VC-backed tech and life science companies remains nearly shut due to tariff-related uncertainties, impacting investor sentiment [18] - The S&P Biotech Select Industry Index is down 14% year over year, reflecting cooling investor sentiment in the life sciences market [18] Company Strategy and Development Direction - The company aims to grow its portfolio while maintaining a focus on high-quality investments, particularly in the tech and life science sectors [10] - The management remains selective in originating loans due to the current macroeconomic environment, with a commitment to optimizing returns from stressed investments [15] - The partnership with Monroe Capital is expected to enhance capital access and operational support, aiding in portfolio growth [9] Management's Comments on Operating Environment and Future Outlook - The management expressed guarded optimism for 2025, despite macroeconomic headwinds impacting recovery from stressed assets [6] - The company anticipates that the venture debt market will remain active, providing opportunities for investment despite current challenges [10] - Management highlighted the importance of maintaining strong liquidity and a robust balance sheet to navigate the current environment [23] Other Important Information - The company declared regular monthly distributions of $0.11 per share through September 2025, supported by undistributed spillover income of $1 per share [7][26] - The company has a committed backlog of $236 million, providing a solid base for future portfolio growth [8] Q&A Session Summary Question: How is the company managing spillover earnings in the current uncertain environment? - The company plans to continue growing distributions through 2025 and will manage spillover earnings quarterly, with confidence in covering distributions over time [32][34] Question: What is the quality of deals currently being pursued? - The company is seeing a higher bar for transaction selection, focusing on companies with strong operational performance and quality VC backing [36][37] Question: Will the company raise leverage ratios to grow the portfolio? - The target leverage ratio is around 1.2x to 1.3x, with the current ratio at 1.29x, indicating a cautious approach to leverage [41] Question: Is there any discussion about cutting the base management fee? - The company’s base management fee is competitive with industry standards, and it is reviewed regularly [43] Question: How does the company plan to address the frozen market conditions? - The company is focusing on generating yield through higher returns from existing portfolio companies rather than relying on warrant expectations [55][52] Question: What is the impact of tariffs on the portfolio? - The primary impact of tariffs is the uncertainty they create, affecting market transactions rather than direct exposure to specific tariffs [63] Question: Has the partnership with Monroe Capital provided additional resources? - The partnership is expected to enhance operational support and focus on stabilizing and growing the business [66]

Financial Data and Key Metrics Changes - The company generated net investment income (NII) of $0.27 per share, unchanged from the previous quarter but down from $0.38 per share in the same quarter last year [27] - The net asset value (NAV) decreased to $7.57 per share from $8.43 at the end of the previous quarter and $9.64 a year ago, primarily due to fair value adjustments and distributions [28] - Investment income for the first quarter was $25 million, a slight decrease from $26 million in the prior year period, attributed to lower interest and fee income [25] Business Line Data and Key Metrics Changes - The total investment portfolio at the end of the first quarter stood at $690 million, with debt investments in 53 companies valued at $644 million and equity investments in 110 companies valued at $46 million [27] - New originations totaled $102 million, offset by $11 million in scheduled principal payments and $68 million in prepayments [27] - The debt portfolio yield was 15%, slightly down from 15.6% in the same quarter last year, while onboarding yields were 13%, up from 12.6% in the previous quarter [25][12] Market Data and Key Metrics Changes - Approximately $92 billion was invested in VC-backed companies in the first quarter, a 19% increase from the previous quarter, driven largely by significant AI deals [18] - The S&P Biotech Select Industry Index is down 14% year-over-year, indicating cooling investor sentiment in the life sciences market [19] - The exit market for VC-backed tech and life science companies remains nearly shut due to macroeconomic uncertainties, impacting the overall venture capital ecosystem [20] Company Strategy and Development Direction - The company aims to grow its portfolio while maintaining a focus on high-quality, well-sponsored tech and life science companies [20] - The management remains selective in originating loans due to the current macro environment, with a commitment to optimizing returns from stressed investments [16] - The partnership with Monroe Capital is expected to provide additional capital and scale, enhancing the company's ability to navigate current market challenges [9] Management's Comments on Operating Environment and Future Outlook - Management expressed guarded optimism for the year despite recent macroeconomic headwinds, including tariff-related uncertainties impacting recovery from stressed assets [5] - The company anticipates that as the macro environment normalizes, it will be positioned to grow its portfolio and increase NII to cover distributions over time [16] - Management highlighted the importance of maintaining a strong liquidity position, with $126 million in available liquidity as of March 31 [23] Other Important Information - The company declared regular monthly distributions of $0.11 per share through September 2025, supported by undistributed spillover income of $1 per share [27] - The advisor has agreed to waive a portion of its quarterly income incentive fees if NII falls below declared distributions [7] - The company is actively managing its portfolio to optimize returns and mitigate risks associated with stressed investments [15] Q&A Session Summary Question: How is the company managing spillover earnings in the current uncertain environment? - Management indicated that they plan to continue growing distributions through 2025 and will manage spillover earnings quarterly, reviewing them in discussions with the board [32][34] Question: What is the quality of deals currently being pursued? - Management noted a higher bar for selecting transactions, focusing on companies performing well operationally and backed by quality VCs, while being selective due to the current market conditions [36][38] Question: Is there a plan to raise leverage ratios to grow the portfolio? - The target leverage ratio is around 1.2x to 1.3x, with the current ratio at 1.29x, indicating a cautious approach to leverage [42][43] Question: How does the company plan to address the high dividend payout relative to debt yields? - Management stated that they review equity needs and funding pipelines quarterly, considering the balance between dividends and investment returns [47][48] Question: What is the impact of tariffs on the portfolio? - Management indicated that while there is some uncertainty due to tariffs, most portfolio companies have planned for potential impacts, and the overall effect has been more about market volatility than specific tariff issues [65][66] Question: What resources are available from the recent Monroe partnership? - The partnership is expected to provide support in stabilizing and growing the business, with ongoing collaboration to enhance operational effectiveness [68][69]

Core Viewpoint - The company has adjusted its net asset value (NAV) and share price for the periods ending 31 December 2024 and 31 March 2025 due to discrepancies identified in the fair value measurement of investment assets [1][2]. Group 1: Adjustments and Financial Impact - The total amount of identified discrepancies in NAV and share price is EUR 2,488,000 [2]. - As of 31 December 2024, the adjusted net asset value increased from EUR 98,222,908 to EUR 100,710,697, reflecting a change of EUR 2,487,789 or 2.54% [3]. - The share price as of 31 December 2024 was adjusted from 1.6745 to 1.7170, an increase of 0.0425 or 2.54% [3]. - The internal rate of return (IRR) for the same date was adjusted from 2.31% to 3.12%, a change of 0.81% [3]. - As of 31 March 2025, the adjusted net asset value rose from EUR 95,847,323 to EUR 98,334,499, a change of EUR 2,487,176 or 2.59% [4]. - The share price as of 31 March 2025 was adjusted from 1.6340 to 1.6764, an increase of 0.0424 or 2.59% [4]. - The IRR for this date was adjusted from 1.42% to 2.18%, a change of 0.76% [4]. Group 2: Reasons for Discrepancies - The discrepancies were attributed to inaccuracies in the valuation of investments using income and asset approaches, and errors in calculating working capital for assessed investments [5]. - The recalculation of net debt for the investment PL SUN sp. z o.o. contributed to the discrepancies [5]. - The investment UAB Žaliosios investicijos had managed assets that were not fully depreciated when forecasting cash flows, leading to further adjustments [5].

Financial Data and Key Metrics Changes - For Q1 2025, the company reported a net loss of $6.9 million or a loss of $0.27 per diluted share on total revenue of $63.2 million, compared to a net income of $26.4 million or $1 earnings per diluted share for the same period in 2024 on total revenue of $67.6 million [7] - Net Operating Income (NOI) for Q1 2025 was $37.8 million on 35 properties, down from $41.1 million for Q1 2024 on 37 properties, reflecting a decrease in same store revenues of 1% and a decrease in same store NOI of 3.8% compared to Q1 2024 [7][8] - Core Funds from Operations (FFO) for Q1 2025 was $19.1 million or $0.75 per diluted share, compared to $0.74 per diluted share in Q1 2024 [7] Business Line Data and Key Metrics Changes - The company completed two full and partial upgrades during the first quarter, leasing 201 upgraded units with an average monthly rent premium of $62 and a 16.1% return on investment [7] - Since inception, the company has completed 8,558 upgrades, resulting in an average monthly rental increase of $172 and a 20.7% return on investment [8] Market Data and Key Metrics Changes - Occupancy at the end of Q1 2025 was 94.4%, with significant growth in Nashville and Phoenix, which finished at 95.4% and 96.6% respectively [11] - The company noted that national absorption was strong, with over 38,000 units absorbed in Q1, marking a record first quarter leasing performance [13] - Effective rents ended the quarter at $1,495, up 30 basis points from Q4 2024, with six out of ten markets showing flat to positive rent growth [16] Company Strategy and Development Direction - The company is focusing on driving internal growth and recycling capital as supply continues to be absorbed later in the year, with an emphasis on rent growth initiatives in most markets [20] - The management is optimistic about the inflection of new lease growth, which is seen as a positive sign for the company's assets after several quarters of softness [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the leasing environment, noting that same store NOI is expected to improve over the remainder of the year despite a 3.8% decline in Q1 [12] - The company is monitoring the impacts of tariffs but has not seen a material effect on operations thus far, with most suppliers maintaining stable prices [18][19] Other Important Information - The company declared a quarterly dividend of $0.51 per share, which was 1.4 times covered by core FFO with a 68.3% payout ratio [8] - The company has initiated a share buyback program, purchasing 223,109 shares totaling approximately $7.6 million at an average price of $34.29 per share [10] Q&A Session Summary Question: Are there markets where cap rates are softer? - Management indicated that Atlanta and some areas in DFW are on the weaker side of the NAV guidance due to ongoing supply [25][26] Question: Could the company sell more assets to repurchase stock? - Management confirmed the intention to maintain a steady buyback program while being opportunistic in recycling capital [28] Question: Is the increase in core FFO guidance driven by share buybacks and swaps? - Management confirmed that the increase is primarily due to favorable swap rates and share buybacks [31][32] Question: What is the outlook for new lease growth? - Management expressed optimism about achieving a 2% growth in new leases for the year, driven by strong demand and limited supply [50][51] Question: What is the CapEx guidance for the year? - Management indicated a stable run rate for recurring and nonrecurring CapEx, with a target of around 300 interior upgrades in Q2 and Q3 [53][54]