Thank you for standing by. My name is Novi, and I will be your conference operator today. At this time, I would like to welcome everyone to the Sunita Senior Living Q3 2024 earnings call. Please be aware that all lines have been placed on mute to prevent any background noise. I would now like to turn the call over to Jason Finkelstein, Investor Relations. Please go ahead.

Thank you, Operator. All statements made today, November 13, 2024, which are not historical facts, may be deemed to be forward-looking statements within the meaning of federal securities laws. The company expressly disclaims any obligation to update these statements in the future. Actual results or performance may differ materially from forward-looking statements. Certain factors that can cause actual results to differ are detailed in the earnings release the company issued earlier today, as well as in the reports that the company files with the SEC from time to time, including the risk factors contained in the annual report on Form 10-Ks and quarterly reports on Form 10-Q. Please see today's press release for the full Safe Harbor statement, which may be found in the 8-K filing from this morning, at the company's Investor Relations page found at www.sunitaseniorliving.com. Also, please note that during this call, the company will present non-GAAP financial measures. For reconciliations of these non-GAAP measures to the most comparable GAAP measure, please also see today's earnings release. At this time, I would like to turn the call over to Sunita Senior Living President and CEO, Brandon Ribar, for opening remarks.

Thank you, Jason. Hello, and welcome to our 2024 third-quarter earnings call. I am joined today by Kevin Detz, our Chief Financial Officer. Earlier today, we released our Q3 earnings and investor presentation, which will be referenced throughout this call as we discuss our strategic priorities and operating results, in addition to our view on the year ahead in 2025. You can find our latest presentation at sunitaseniorliving.com in the Investor Relations section if you would like to follow along. In addition, we have included supplemental earnings information within our investor presentation consistent with the prior quarter release. Q3 remained quite busy for Sunita. I am extremely grateful to our team who continue providing great care and services for our residents, resulting in ongoing growth in occupancy and margin. I will touch on these points in detail in a moment, but first, I would like to discuss several key capital allocation events that occurred since the end of Q2. First, we completed acquisitions of fourteen new communities with more than $160 million in total asset value. We expect to use Sunita's broad operating platform to drive significant value to these assets and have seen initial positive momentum as part of the Sunita operating system. Second, we put in place a new $150 million secured line of credit on advantageous terms. In addition, the company successfully accessed public capital in a broad overnight equity offering resulting in $130 million of new capital at a price of $27 per share. This is an important milestone for the company as the first registered overnight equity offering in more than a decade. Together with our new credit facility, Sunita has the tools in place to access capital and maintain balance sheet flexibility to take advantage of further acquisition opportunities. Finally, I am pleased to…

Moreover, we are accessing off-market transactions.

By leveraging our industry relationships under the leadership of our CIO, Max Levy, who was appointed earlier this summer. We believe our corporate structure as a pure-play senior housing owner, operator, and investor uniquely positions Sunita to access differentiated acquisitions and to deliver significant benefit to shareholders by fully controlling our operations and reinvesting cash flow into high-return investments. The combination of availability on our existing credit facility and our ability to access the equity markets when pricing is supportive allows us to aggressively pursue and complete acquisitions of new communities with significant operational upside and an attractive price per unit. We see meaningful NOI upside in our same-store portfolio and are focused on acquisitions that we believe will be accretive on a stabilized basis due to even more significant NOI upside from stabilization and/or wide going-in cap rates. From a capital structure perspective, we intend to manage the balance sheet to delever through both operational improvement and the funding of our acquisitions with lower leverage. In summary, Sunita's focus on results-driven operational strategies and capital allocation yielded another quarter of strong performance and meaningful portfolio expansion. Same-store revenue, community net operating income, resident rates, and occupancy demonstrated continuing gains year over year. The excitement across the entire Sunita team is evident as the company, fueled by operational excellence and a commitment to building strong teams and creating a differentiated resident experience and living environment. As the future unfolds, our goal is to continue delivering strong operating results and measured ongoing improvement in the newly acquired communities, further demonstrating the strength of our people and our platform. I will now turn it over to Kevin for a discussion of the financial results.

Thanks, Brandon. I will be walking through select pages of today's investor presentation, starting with slide five, hitting on some of our financial highlights. We achieved a fourteenth consecutive quarter of occupancy growth for our same-store portfolio. As a reminder, the same-store portfolio excludes the nineteen communities acquired over the past six months. On a year-over-year basis, same-store adjusted community net operating income, which excludes the nonrecurring impact of $500,000 in state grants received in Q3 2023, increased 18.3%. Beyond the increase in occupancy, the NOI growth was achieved through blended resident rate increases of 5.5% as well as continued optimization over the portfolio's variable operating. I will touch upon both rate and operating expenses in more detail later in the presentation. Earlier, Brandon referenced the company's execution on its strategic growth plan. Beyond our strong operating results, we are very pleased with two significant capital events that are foundational to our growth and the next phase of the company's development. In July and August, the company closed a senior secured credit facility for $150 million and raised $130 million of gross proceeds in a public equity offering. These transactions provided the company with capital for the acquisition closed in the fourth quarter and a discounted debt payoff that I will discuss in a bit, as well as providing additional dry powder for future bolt-on acquisitions. We expect that these transactions will be accretive to the company's equity value as we stabilize the communities acquired. Amid similar buying opportunities, an improving industry outlook, and continued improving same-store portfolio performance, we believe further delevering is achievable with a debt-to-EBITDA ratio goal of below 7x, consistent with public peers. Rounding out the highlights from this past quarter, in August, the company entered into a loan modification agreement with one of its lenders…

Thanks, Kevin. 2024 continues to present opportunities for Sunita to deliver on our differentiated approach to both internal and external growth. With two months remaining in the year, consistent year-over-year growth in our in-place portfolio remains a primary focus, with an expectation to achieve positive recurring cash flow by year-end, including the benefit of our recent acquisitions. Coupled with the ongoing identification and completion of accretive opportunities within our existing pipeline, it is an exciting time in our business. We firmly believe Sunita is positioned to fulfill our commitment to residents, employees, and shareholders to continue building a best-in-class owner, operator, and investor in senior living. Thank you all for participating, and this concludes today's conference call.

Ladies and gentlemen, you may now disconnect.