Ladies and gentlemen, greetings and welcome to Seaport Entertainment Group Second Quarter 2025 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Matt Partridge, Chief Financial Officer. Go ahead.

Thank you, operator and good morning, everyone. With me today is our Chairman, President and CEO; Anton Nikodemus. As outlined in our earnings announcement press release from a few weeks ago, we solicited questions ahead of today's call and we've incorporated many of those questions and answers into our prepared remarks. If you have additional questions after today's call, please contact IR at seaportentertainment.com. Before we begin, I'd like to remind everyone that many of our comments today are considered forward-looking statements under federal securities law. The company's actual future results may differ significantly from the matters discussed in these forward-looking statements and we undertake no duty to update these statements. Factors and risks that could cause actual results to differ materially from expectations are disclosed from time to time in greater detail in the company's Form 10-K, Form 10-Q and other SEC filings. You can find our SEC reports, earnings releases and more recent investor presentation on our website at seaportentertainment.com. With that, I'll now turn the call over to Anton.

Thanks, Matt. Good morning, everyone. We had a busy second quarter and start to the third quarter as our team has worked diligently to make measurable progress on the priorities we outlined at the beginning of the year. Those priorities include working closely with our partners at Jean-Georges to evolve the Tin Building experience to meet guest needs while improving financial performance, programming and leasing the existing vacancy throughout the Seaport neighborhood to drive improved cash flows, frequency of visitation and customers' length of stay, monetizing limited or noncash flowing assets such as 250 Water Street through outright sales or strategic partnerships, optimizing the utilization of the Las Vegas Ballpark through unique relationships and special events and improving our organizational infrastructure to allow us to operate more efficiently. First and foremost, I want to provide an update on the 250 Water Street process. We've had a tremendous amount of interest from potential strategic capital partners, developers and investors as we explore the long-term path for the project. We're evaluating all options to maximize value for the company and there are still a number of items to work through before we can disclose potential terms of a transaction. Furthermore, I'll caveat that this is a progress update and not an indication that a transaction will be completed. Having said that, we are optimistic we will be able to provide a further update in the near future. Once completed, this will be another positive step forward in our effort to reduce our cash burn and achieve operational breakeven sometime in 2026. As we seek to create operational efficiencies within the organization, we recently announced a number of structural changes to finalize the internalization of the food and beverage operations at Seaport, which was a key for our long-term strategy. These changes were…

Thanks, Anton. Before I get into the company's second quarter financial performance, I would like to highlight a few recent updates. In June, we successfully uplisted Seaport Entertainment Group from the NYSE American to the New York Stock Exchange and the company was recently added to the Russell 2000 and Russell Microcap indexes. We're hopeful the uplisting and the index inclusions will be positive catalysts leading to improved visibility and increased trading volume for the long-term benefit of our shareholders. As I talk to our second quarter results, it's important to remember certain year-over-year comparisons are influenced by factors such as new business launches, business closures, separation-related expenses related to our spin-off from Howard Hughes and other operational changes. These dynamics can make comparisons less meaningful in assessing underlying business performance trends and in some cases, require adjustments to prior financial reporting practices to reflect the evolving nature of our reporting segments. In 2025, the Sponsorship, Entertainment and Events segment was renamed Entertainment to better reflect the distinct operating dynamics of the underlying businesses. In connection with this change, sponsorship and event revenues and expenses were reallocated to the business units most directly driving those results. Furthermore, with the internalization of the food and beverage team at the beginning of the year, we consolidated the Tin Building into our Hospitality segment. In the prior year, it was accounted for as an unconsolidated joint venture with our share of results reflected in the equity and earnings or losses from unconsolidated ventures line item on our consolidated and combined statement of operations. To provide investors with more meaningful year-over-year comparisons, we will refer to the 2024 Hospitality segment results on a pro forma basis, reflecting the inclusion of the Tin Building as a wholly owned consolidated entity. 2024 segment results will also…

Thank you, Matt. As I reflect on this past quarter and our first full year at Seaport Entertainment Group, I'm most proud that our team is delivering on the commitments we outlined at the time of our separation from Howard Hughes, which were further detailed in our inaugural earnings call. While progress may not always be as fast or as smooth as we would like, I'm truly encouraged by what we've accomplished. We have strong momentum and we're committed to unlocking the full value we all believe is inherent within these assets and our individual businesses. Once again, I want to thank our team, partners and shareholders for their dedication and support. We look forward to updating everyone on our progress in the coming months.

Thank you. Ladies and gentlemen, the conference of Seaport Entertainment Group has now concluded. Thank you for your participation. You may now disconnect your lines. Thank you.