Financial Data and Key Metrics Changes - The company reported a core FFO per share of $1.01 for 2024, an 11% increase from $0.91 in 2023 [43] - Same-store NOI growth was 5.1% for the full year and 5.8% for Q4 2024 [24][44] - The debt-to-EBITDA ratio improved from 9.2% in Q4 2021 to 6.6% in Q4 2024 [9] Business Line Data and Key Metrics Changes - The company achieved a same-store NOI growth of 5.1% for the year, with quarterly growth rates of 3.1%, 6.6%, 4.6%, and 5.8% respectively [24] - The average net effective base rent increased by 5% year-over-year to $24.51 per square foot [38] Market Data and Key Metrics Changes - Occupancy remained stable at slightly over 94% for the year [25] - The company operates in business-friendly states benefiting from population growth and job creation [15] Company Strategy and Development Direction - The company aims for consistent organic core FFO growth of 4% to 6% over the next five years, driven by same-store NOI growth of 3% to 5% [11] - The focus is on acquiring high-value, high-return shop spaces, with a disciplined approach to growth [7][12] - The company plans to increase redevelopment spending to boost same-store NOI growth starting in 2026 [17][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to adapt to changing demographics and consumer spending patterns [32] - The company anticipates continued strong demand for leasing, particularly in markets with evolving demographics [32][114] Other Important Information - The company raised its dividend by over 9%, achieving a CAGR of 6.5% since 2021 while maintaining a core FFO payout ratio of approximately 50% [22] - The company has approximately $15 million in cash and $125 million available under its credit facility [48] Q&A Session Summary Question: What are the redevelopment opportunities? - Management indicated that they are actively working on several redevelopment projects, with a focus on older centers that can be remerchandised [55] Question: How does the capital plan fit with leverage reduction? - Management emphasized a disciplined approach to growth, focusing on earnings and value growth while reducing leverage [57] Question: What is the competitive environment for acquisitions? - Management noted increased interest in their market but remains confident in their unique positioning and relationships [63] Question: Any one-time items in Q4? - Management confirmed higher percent rents and termination fees in Q4, which are typical for the quarter [67] Question: Update on the Regis lease negotiations? - Management highlighted the positive dynamics in the office market, particularly for mixed-use spaces [78] Question: What is the status of the Pillarstone liquidation process? - Management reported that the liquidation process is nearing completion, with properties either sold or under contract [81] Question: Expected capital spend on redevelopment in 2025? - Management anticipates a capital spend of $20 million to $30 million over the next couple of years for redevelopment [86] Question: What yields are being targeted for redevelopments? - Management targets double-digit returns and a 20% to 30% increase in rents from redevelopments [94] Question: Maintenance CapEx expectations for 2025? - Management expects a run rate similar to the average of the last two to three years for maintenance CapEx [96] Question: Impact of recent retailer bankruptcies? - Management confirmed no significant exposure to recent bankruptcies, as their tenant model focuses on smaller spaces [112]