Good morning, ladies and gentlemen, and welcome to the Northwest Healthcare Properties Real Estate Investment Trust second quarter 2022 results and conference call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call you require immediate assistance, please press star zero for an operator. Also note that the call is being recorded on Friday, August 12th, 2022. Now I would like to turn the conference over to Mr. Paul Dalla Lana. Please go ahead, sir. Thank you, operator, and good morning, everyone. Appreciate you joining us today. I'm joined by Shailen Chande, the REIT's Chief Financial Officer. Together, we are pleased to share our results for the second quarter of 2022. First, I'd like to point out that during today's call, we may make forward-looking statements as defined under Canadian securities law. While such forward-looking statements reflect management's expectations regarding our business plans and future results, they are necessarily based on assumptions that are subject to uncertainties and risks, which could cause actual results to differ materially. We direct all of you to the risk factors outlined in our public filings. Now to the quarter. The REIT's high quality and defensive CAD 10 billion-plus portfolio delivered strong financial results, highlighted by an 8% increase in net asset value per unit growth year-over-year, driven by fair value gains exceeding CAD 450 million, and for the quarter, AFFO of CAD 0.20 per unit. Underpinning these results are the REIT's foundational pillars, which include a high-quality defensive portfolio delivering strong built-in growth, in this quarter, 3.6% constant currency and SPNOI, and supported by 97% occupancy and long-term inflation index leases. The REIT continues to execute on attractive growth opportunities with almost CAD 1 billion completed year to date, including CAD 775 million U.S. acquisition that closed in April in the quarter, which further improved geographic and tenant diversification as well as tenant credit quality. While the rising interest rate environment is tempering the REIT's short-term outlay for on-balance-sheet acquisitions, the REIT remains constructive on the long-term demand factors that drive value creation in healthcare real estate. The REIT has a large and growing pipeline, but in the moment, is increasingly selective with the opportunities it allocates capital to, and the preference to fund from fee-bearing capital vehicles rather than directly on-balance-sheet has increased. In terms of strategic capital formation, the REIT led a Vital capital raise of CAD 170 million in the quarter, providing CAD 50 million contribution at share. The raise supported Vital's next leg of growth, which is underpinned by more than CAD 240 million of committed development projects and a future pipeline of approximately CAD 1.5 billion. In addition, on May 10th, the REIT entered into a second Australian core hospital joint venture with GIC, its existing partner, that includes a total commitment of CAD 2.1 billion to continue building on the success of its first Australian JV that is now fully deployed or committed. These initiatives are key growth drivers of the REIT's management fee income. Despite macroeconomic uncertainty, the REIT continues to see demand for healthcare real estate and capital flows into the sector, and it continues to progress at pace its U.S. and U.K. joint venture initiatives. It is working closely with a short list of institutional investors to agree final terms and complete documentation, and that it will be in a position to announce the U.K. JV in Q3, with the U.S. tracking towards a Q4 closing in 2022. Building on its experience in investing in healthcare precincts, the REIT is also working on a new CAD 5 billion global healthcare development fund focused on the development of new generation assets at the intersection of healthcare, research, and education. The REIT is in early-stage discussions with institutional investors and has identified a seed portfolio with which to launch a fund. With respect to balance sheet optimization, year to date, the REIT has refinanced or extended more than 93% of its 2022 debt maturities, increasing its weighted average term to maturity to 3.3 years. At Q2, the REIT's proportion at LTV was temporarily above target following its strategic entry into the U.S. That said, leverage is expected to decline by approximately 900 basis points to approximately 45% post-completion of the U.S. and U.K. JV initiatives previously mentioned. Importantly as well, with fixed-term debt increasing to more than 70% of the REIT's total debt and weighted average interest rates expected to decline by approximately 40 basis points to 3.3%. The REIT continues to increase commitments and deploy capital in each of its joint venture platforms, with total commitments exceeding CAD 10.8 billion today, including CAD 4.4 billion in undeployed fee-bearing capital. Post-completion of the previously noted joint venture initiatives, deployed capital and total commitments are forecasted to increase to more than CAD 19 billion and CAD 7.4 billion respectively. With target ownership ranging between 20% and 30% across its global capital platforms, the REIT expects to generate significant uplift in both AFFO and NAV on a per-unit basis by leveraging this more capital-light model to fund future growth. For the quarter, our results were in line with expectations, with CAD 0.20 per unit of AFFO implying a payout ratio of approximately 100%. Same property earnings and accretion from investment activity was in line with expectations, although AFFO on a per-unit basis was reduced by higher cost and financing in place temporarily to support its U.S. acquisition. Additionally, transaction volume within capital platforms was relatively low due to a focus on the strategic U.S. entry and completion of the U.S. and the U.K. joint venture initiative. Finally, the appreciation of the Canadian dollar by approximately 4.4% relative to the REIT's average foreign currency exposure year-over-year similarly muted earnings by approximately CAD 0.01 in the FFO on a per unit basis. The impact of these items is viewed by management as a one-time in nature, and when reversed in the second half of 2022 per unit, FFO is expected to recover to trend. Critically, just isolating on the U.K. JV as an example, this will add approximately CAD 0.05 per unit in 2022 to FFO, and CAD 0.03 on a recurring basis thereafter, as well as reducing leverage by 460 basis points alone. Reported net asset value during the quarter or during the year increased 8% to 14.19 per unit, driven again by fair value gains across the portfolio and the expansion of the global asset management business. With respect to the liquidity, the REIT is well positioned with over CAD 125 million of available uncommitted resources today. This is expected to increase to more than CAD 300 million as the REIT cedes its current U.K. portfolio and future U.S. portfolio into JVs. Operationally, our results were in line with expectations, with accelerating SPNOI growth of 3.6%, largely driven by contractual rent indexation and again underpinned by high 97% occupancy and a long weighted average lease term of 14 years. In all regards, highly defensive. While the macroeconomic environment is creating uncertainty around inflation and interest rates, the REIT remains well positioned with more than 82% of its revenue indexed to local inflation measures, which include over 90% indexation in its international markets. Segmentally, I note the following. In Canada, we were on plan with portfolio occupancy remaining stable at 91% and SPNOI up 2.4% for the quarter. We continue to see a return to pre-COVID activity at our properties, including increased leasing activity quarter over quarter. Additionally, we are making progress on a number of life sciences and ambulatory care initiatives, which are gaining momentum and expected to become part of the business in the near future. In the U.S., our newest region, our portfolio is performing as expected with occupancy at 97% and an almost 10-year weighted average lease term. Northwest has successfully onboarded and integrated assets and respective management platforms and continues to progress on new and renewal leasing activities, including a 26,000 sq ft, 30-bed expansion of an existing hospital tenant. In Brazil, we were on plan, steady 100% occupancy and continued strong cash currency SPNOI of 10.7%. Operationally, we note that the REIT's major tenant in Brazil, Rede D'Or, continues to deliver exceptionally strong results and is among Brazil's top 10 companies by market capitalization. Europe continues to perform well with constant currency SPNOI growth of 3.7% and occupancy stable at 97.5%. We continue to find good investment opportunities in Europe, allowing us to not only increase scale and critical mass in our existing regions, but also to consider opportunities in adjacent markets. Finally, in Australia, our largest market, occupancy remains steady at nearly 100% and delivering constant currency SPNOI growth of 8.3% with a weighted average lease term of almost 16 years. I'm pleased with the progress we've made during the quarter and post-quarter, which advanced the REIT's strategic objectives and produced solid operating results. With deep strategic relationships, best-in-class regional operating platforms, and strong access to both public and private capital, the REIT continues to transition to a more asset-light business, a best-in-class global healthcare real estate investment manager. With that, I'll now ask the operator to open up for questions. Thank you, sir. Ladies and gentlemen, if you would like to ask a question, please slowly press star followed by one on your touchtone phone. You will then hear a three-tone prompt acknowledging your request. If you would like to remove yourself from the question queue, please press star followed by two. If you're using a speakerphone, we do ask that you please lift the handset before pressing any keys. Please go ahead and slowly press star one now if you have a question. Your first question will be from Sairam Srinivas at Cormark Securities. Please go ahead. Thank you, operator, and thanks for the color, Paul, in your opening comments. My first question is broadly on the macro picture. Considering the macroeconomic scenario you're seeing right now and probably even looking at the Chinese real estate market, are you seeing that any of that play into the thought processes that your institutional investor audiences are undertaking right now? If that has that to an extent changed their view on their allocation to real estate? Maybe, just, I think I understood your question, but if I could just bring some precision to it. Are we seeing global investors thinking differently about where they might consider capital allocation and of course where that might drive some of our initiatives? Is it simple as that? Yes. I mean, the last 90 days-120 days, of course, in terms of macroeconomic moments have been impactful. You know, that's coming off of a couple of years of COVID and you know, high uncertainty and volatility around those sorts of initiatives. I think what we're seeing when we're out talking to partners right now is there have been a short-term focus, obviously, very much towards inflation indexed or related investments. Of course, the overwhelming trend in the last 90 days has been increased inflation across the globe. I think we fall into that bucket, of course, in that we are, you know, highly linked to inflation. Of course, our business does have some caps and collars, so you know, it's not as pure and open as some segments, but still highly related and tracking to inflation growth. We're seeing that in our own portfolio, of course, today, as we see, you know, SPNOI roughly getting up to that 4% range, across the business. That is a big theme that we're seeing. Certainly, with this amount of volatility in the markets, although, you know, a little later in the quarter and in the moment today, I think we've seen a little more stability come through with perhaps some better visibility on what long-term rates might be. You know, we've certainly seen a little bit of pause in activities across, you know, all sectors. I think that's a theme that is probably pretty relevant. Although that hasn't impacted our thinking and our discussions around capital formation, in that I think broadly speaking, there's still a significant underweight in global capital pools into the, you know, quote-unquote, "alternatives space." You know, the big re-weighting that was going on continues. We're still pretty constructive on capital formation, and I think it's really, you know, a much longer term trend than the moment. Those would be some themes that we've seen at the capital level. At the operating level, I might just call out one theme which is, you know, really become pronounced, which is building on the, you know, the post-pandemic kind of momentum. That's really, you know, an incredible demand for health services, probably only muted by capacity, and that capacity is probably being very much driven by human resources more than anything else. We've never seen a moment where there's so much demand for health services, and as a result, you know, a lot of discussion with operators about how, you know, how we can help provide capacity and new capacity. You know, very big things. Fundamentally, healthcare is very strong. Again, muted really by human resources and the ability to provide services, you know, which there's lots of strategies on to grow and evolve. Those would be a couple of big trends that we're seeing coming through the quarter in general, which remain supportive to our business and really, you know, only a small amount of tempering around the edges in each case. Oh, just following up on your comment on the shortage of resources and especially overlaying that into the Canadian market. Has that moved your conversation with authorities here in terms of the opportunities you're seeing in this market? Yeah. Yeah. It's. No, I don't think it has. Again, you know, recall that we have quite a mature existing medical office building portfolio. Growth for us through that portfolio has always been a little more incremental and tuck-in, in that we've had, you know, again, almost 18 years if I count our pre-public time to build the MOB business across the country. Where we've been very focused is into newer segments, so in the ambulatory and outpatient space. Really, you know, as we talk about Canada and the pressure points in the health system in Canada, you know, we've never seen it as high. It's at the breaking point level. You know, ambulatory and outpatient is, you know, a real trend, and clearly it's a mature trend in other markets, like the portfolio we've acquired in the U.S. as an example, which is a, you know, much more evolved market. We are just seeing, you know, a lot of thinking around new formats and really getting as much healthcare as we can out of major acute hospitals so that they can do the major acute work and the more simple and, you know, less acuity and a better cost environment. That's a big trend. How to do that and where to do that, again, in a public system becomes a bit stylized, but we're in very active discussions in all of our regions with healthcare, you know, providers, you know, around how we can help them do that. We see that as a very fundamental trend in Canada growing. The other new segment that we've been looking at quite closely, and I think we will have announcements here in the third quarter, is into the life sciences space. It's a new segment for us, so we've been spending a lot of time thinking about it. You know, we have a number of initiatives that are close to fruition that will have, you know, both, I think really attractive investment opportunities for us long term. You know, partnering with educational and research and healthcare partners. You've heard our healthcare precinct strategy is very evolved in other markets, and so we're hoping to bring that back to Canada here and certainly in the second half of the year. You know, those are two Canadian thoughts in that market, like any markets is very active and quite a secular story around life sciences, of course. Thanks for that color, Paul. That's really great. My final question is on G&A. Obviously in this quarter we saw a bit of an uptick in G&A. From a modeling perspective, would you say that's something which we should be keeping in mind going forward, or is this not representative of steady state? Yeah. Hey, good morning, Sai. You have Shailen here. Thanks for that question on G&A, and I would call out that Q2 traditionally for us aligns with Vital's year-end. I think what you're referring to is our consolidated G&A numbers. As part of Vital's year-end, you see things like their AGM, their annual reports, and Q2 G&A tends to be inflated by the tune of about CAD 1.5 million-CAD 2 million or so, as a lot of those expenses are year-end loaded, I mean, at Vital. I would call out that on a run rate basis, we see, you know, that Q2 number come down about CAD 2 million, and that's representative of what you'd see in Q1 and Q3 and Q4. That's brilliant. Thanks, Shailen. I'll join back. Thank you. Next question will be from Frank Liu at BMO Capital Markets. Please go ahead. Good morning, Paul and Shailen. Hi. Morning. Just wanna touch on the U.S. JV side. That still expected to be closed in Q3 or it could be like a Q4 event? Yeah, I think we've messaged it Q4 for the U.S. and Q3 for the U.K. Thank you. I think in your MD&A, specifically, like the U.S. portfolio is currently classified as held for sale. You're gradually going to sell like properties to your JV partner in the U.S.? We think, as with other initiatives that we've done in the past, that the U.S. initiative will be portfolio based as opposed to asset based, and that we'll do it, you know, en bloc with a partner. I guess that would be some precision to that comment. Got it. Also just switching gears to the new CAD 5 billion global healthcare fund. I'm just curious, like, which geography would that fund focus on? You know, I mean, the assets, are you looking to seed, like, your existing assets or looking to buy new assets and seed into the JV? Yeah, sorry, some precision here required. That initiative is our development core fund. It will be principally Australia based, although possibly include New Zealand. Yes, we will see that with a number of our existing balance sheet initiatives, which are, you know, long-term, you know, healthcare precinct developments, which we've been assembling as a portfolio. You know, we have three today that are in that category. As I said, we're in advanced discussions with, you know, a small number of very significant partners to pursue that. Compared to our Australian core JV, as an example, it will be also equally long-term. Have more development, of course, since it's principally development oriented. You know, we expect to have some precision on that, you know, by the end of the year here, later in the fourth quarter, with a number of projects starting to enter into commencement of construction and master planning. Good progress happening on that initiative. Okay, perfect. That's all my questions. I'll turn back. Thank you. Thank you. Once again, as a reminder, ladies and gentlemen, if you do have any questions, please slowly press star followed by one on your touchtone phone. Your next question will be from Scott Fromson at CIBC. Thanks, and good morning, gentlemen. Just turning back to U.K., the hospital market there is clearly very highly prospective, but the JV timeline is taking longer than expected. Does this reflect things like the ongoing pandemic waves, economic slowdown, and/or deal complexity? Or does it reflect changes in the potential partner group, things like partners dropping out or changing their terms due to pressures in other parts of their portfolios? Yeah. Thanks, Scott. That's a super fair and good question. Let me go back in history a little bit. I think it's been a little bit of all of that over the last, you know, three quarters as we've announced this initiative and then been looking, you know, to bring it to conclusion. You know, maybe as a reminder, we started with a portfolio that had a heavy amount of asset management initiatives required to it. While we knew we were going to do the JV, we deferred, you know, sort of completion and execution of it through the completion of those asset management strategies, which have worked out very nicely for us and have really resulted in some significant value creation for the business. That's really the 2021 story. Through the balance of this year, I think what I'd say is that our JV process moved forward successfully and as expected. That we made a decision you know late in this quarter to extend that process to allow a potential strategic partner to become involved with a slight you know potential to you know let's just say evolve the JV that we originally had in mind. It was done you know very consciously. We're actively working at that, which we think will improve sort of the breadth of the JV initiative going forward. It's not complete, but we made a conscious decision, again, noting that we had a successful process through the JV and that, as I mentioned in terms of its quarterly and go-forward impacts really is important to the business on those three metrics of 2022 earnings and NAV as well as, of course, LTV. We made quite a conscious decision in the last 60 days to say, "Let's give this opportunity to see if we can broaden and perhaps even improve the quality and capability of the JV." We're also advancing that nicely. That's with, you know, a successful process behind it now and being in a position to move forward definitively once we're able to determine that. Still a little work to be done here over the next 30 days-60 days on that strategic angle to the JV. It was a difficult decision for the business, again, noting the importance of the underlying JV to our results and our strategy. We felt in the long term and in the possibility of doing something that would make it even more compelling and, you know, market leading in a number of ways that it was the right decision. A little bit of flavor there. Of course, you know, through our regular JV process, which we had an active advisor involved and a number of parties, you know, we probably had 125 different investors through that process and all sorts of variations to your earlier question of what was it like. In general, I think the themes that you've heard me talk about high interest and long-term indexed cash flow, you know, the stability of the U.K., particularly with its, you know, overarching NHS underwrite, and, you know, the high-quality portfolio that we had with three of the four top operators and, you know, long-term contractual, you know, best-in-class leases and arrangements was very compelling. You know, I think we've found it you know very productive to go out and meet with a number of investor groups, and we narrowed that field down to a very short list of what we could consider you know the highest investor kind of long-term partners that we might find. I think we were able to get to that point successfully. We've initiated this small extension to allow it to just evolve a little bit, and it's carried over through the quarter end. But we're quite constructive on bringing it to conclusion now. Again, we understand its importance in the overall business, of course. Thanks, Paul. That's a very comprehensive answer. Not to put you on the spot, but could this evolution of the process involve effective deployment of the capital at an earlier point than you would initially anticipated? It could, but I'd be reluctant to sort of commit to that at this point. That's the type of thing that makes it strategic enough to warrant the extension that I mentioned. Has the extension brought in other potential partners? New potential partners? I think it could, but I think we still see clarity with the parties that have, you know, ended up at the success end of our original process. We're not imagining that it's going to be, you know, overly complicated and larger in that sense. We're still keeping it to a relatively, you know, small group. Okay, thanks. Just a quick question on acquisition valuations or asset valuations. Have you seen any change, any expansion of cap rates across the portfolio in terms of what vendors are looking for? Are they holding firm on the basis of long-term prospectivity? Yeah, that's a great question. So, you know, listen, I think in the moment, and certainly, you know, what we have seen is a bit of a liquidity premium or from a vendor perspective, perhaps a liquidity discount. It hasn't come through our discussions, but again, we do see that out there in terms of broad transaction land. I know the thought of, you know, interest rates being higher than they were, and that's for sure a noticeable trend, does drive the potential for some widening cap rates. I think the market talk that we hear and see could be, you know, in that 25 basis point range. That said, from our portfolio, one of the offsets against that, and we've been doing a lot of thinking about that, of course, is sort of built-in indexation. We sort of see, you know, our portfolio quite insulated from that type of change because we're seeing, you know, much higher indexation and rental growth coming through the portfolio. There's a natural offset. A few answers there, but for sure in the moment, you know, people are asking themselves what are long-term rates, and as a result, what am I doing about it. That's probably, as we know, at least in private markets, ended up in a bit of a bid-ask spread, which is prototypical. We do see some of those trends muting post-quarter, certainly with a little more rate stability in the long end of the curve coming into I think sort of more normalized levels. You know, things have already started to come back and tighten down. Those are some things that we're seeing. Obviously in our perspective, other than trying to be very opportunistic, we haven't seen any particularly opportunistic situations arise, given the core nature of what we do. You know, we see maybe a slowing of volume. We've done the same thing just to make sure we're comfortable about that long set of arrangements and to end up in a balanced place. Those are some trends that we've seen out there and how we're responding to them anyways. That's great. Thanks, Paul. I'll turn it back. Thank you. Next question will be from Mario Saric at Scotiabank. Please go ahead. Hey, good morning. I hopped onto the call a little bit late, so I apologize if some of this has already been discussed. Paul, I did wanna start with your most recent comment and the question on the extension of the UK Healthcare Fund and noting it serves to kind of improve the overall breadth and kind of the outlook of the JV. At the same time, it sounds like the ultimate kind of LTVs in the fund will be consistent with what you envisioned at the onset. If that is the case, I'm just curious if you can add a bit more color in terms of how the LP base breadth is improved or how the outlook for the JV improves with your proposed solution. Yeah, that's a good question, Mario. It might be a longer answer that we may need to take a little bit offline just given some of the comments that I've said. What I can say is that as with existing arrangements that we have in our existing JVs, you know, we've been looking for long-term partners that have the capability to do, you know, again, bigger than smaller things. As a reminder, the U.K., you know, the U.K. portfolio, if you will, is core and in a market that we, you know, wanna be in for the long term. You know, those sort of thematics underpin, you know, sort of our approach to what we might do. We've you know more typically been, as we said, you know, a small number of institutional partners as opposed to perhaps a fund, to say it a different way. That continues through the U.K. process that we ran, although we saw lots of alternatives in that direction. We sort of elected to continue in the structural format that we've been using so far. Again, with a strategic partner or the strategic element that I've just mentioned, I think it has the potential to increase both the size and perhaps you know the you know let's say the development or growth of the JV, the internal growth of the JV. That's kind of the thing that we've liked the most about it. You know, it's complementary to our existing business and to our existing arrangements. You know, but this is not done, and I'd just say that the existing JV, irrespective of, you know, if we're able to move this over the line, is you know, well-placed to complete. You know, we felt that it was worthwhile at the risk of having to have this expanded conversation with all of you in the right way, of course, to take that for the long-term opportunity set. You know, it's still, if I had to balance it, a 50/50 proposition today. You know, I think the expectation for the business is that, you know, in all events, we'll complete the underlying JV in Q3 and move on with what we said we're gonna do. There's a possibility that we can grow it and make it even more qualitatively better. You know, that's the decision that we took. It was a tough decision. I mean, we know that it's an important step in the business for us, and we've been talking about it for a while, so we didn't take that lightly. that was the moment that we came to. You know, excited about bringing conclusion to all of it, of course. It's, you're right to say sort of what are we doing? lots of good questions. You know, I think we're on the cusp of having that answer, and I expect that we'll have some, you know, some good news very shortly. Okay. No, I can appreciate the complexity and the short-term is the long-term tug-of-war for sure. The 50/50 proposition that you just made, the comment, Paul, sorry, is that in reference to the JV deal getting done, or is that in reference to something else? Yeah. To clarify. To the expanded JV, if we can say it like that. Yeah, no, 100% reference to the JV getting done. Just to be clear, that hasn't changed. Okay. Switching gears to the Global Precinct Fund and more specifically just to the development yield that you disclosed came down a little bit quarter-over-quarter, 10 basis points-20 basis points. I'm not sure if that was just FX driven or whether it does reflect the escalating cost structure that we're seeing across asset classes globally. How do required returns within this fund compare to kind of your predecessor funds in Australia? Like, you know, like what, like for like asset development versus a stabilized asset, how should we think about required returns in that fund and whether there'll be any notable changes in the fee structures within this fund relative to what you have today? Yeah, that's an excellent question. I'll let Shailen pick up on the narrow one of rate. Before that, I'll answer broadly. This would be in the core plus type return range versus core, which is our existing JV. You know, wider for sure. It is initially substantially development oriented. You know, markedly higher fees in the near term, obviously same fee structure in the long term as approximately the same fee structure, which is a combination of base asset management fees and property management and leasing and related fees. You know, probably what's noticeably different is it is in development. You know, that fund I think will be substantially development oriented initially and then migrate into, you know, a fee structure that looks like the core JV product that we have today. I hope that answers the question. In terms of the bigger theme of, you know, where are returns today and what are people looking for, you know, I think with long-term core investors, there's been some movement there. You know, and it may be, you know, what we're seeing, you know, could be in that 50 basis points-100 basis points. Certainly that's also driving people to look very much at the development process to generate opportunities given how hard it is to find, you know, core stabilized healthcare assets in general. I think, you know, we see the build to core fund more answering that opportunity, which is being able to provide, you know, new product, new generation product, you know, state-of-the-art facilities and, you know, attractive risk adjusted returns through the development process and so there's high appetite for that given the nature of the sector. As you recall, some of our most core assets in Australia were trading into the high three cap range, you know, as recently as this quarter, we see that. Actual evidence there. There's very strong demand to be able to find that product, you know, new built and with all the features that we like at a premium yield to that sort of baseline. That's the rationale behind the fund and of course, you know, the thing that we've brought to that is the precinct angle, which is that, you know, the investments and the development can be multi-phased over a long period of time as we build out large campuses with a variety of different users. The other element is that we'll joint venture or partner with experts in related types of assets that might be on a precinct. You know, it has quite a broad remit and we think really provides us with some tools to create that core product, you know, for a long-term investor base. You mentioned within the UK Healthcare Fund, there was 125 LPs that you kind of looked at over time. What's that process been like with this fund? If you had to take a guess, today, what ends up being kind of the size of the LP base within this fund? Yeah, it's a fair question. We're targeting a very small number of big investors that again, are capable of making, you know, 20+ year commitments and providing, you know, significant capital over that time. It's quite a selective group where they're well known to us and, you know, we think it'll be a very small club as opposed to a broad-based fund. Okay. My last question just comes to FX. You know, you had some a pretty decent fair value gain recorded this quarter, but it was like completely wiped out by a pretty significant FX loss. As these funds launch over time in the different jurisdictions, how do you think about maybe altering the FX strategy over time, if at all, as you kind of bring in new partners with different cost of capital and things like that? Does it change at all as you proliferate your asset management business? Yeah, I think from the earnings side, I think more as the business reaches this next level of maybe structural, you know, simplicity from our standpoint or just achieves its destination, then I think we look favorably to sort of bringing in tools on the earnings side that might, you know, reduce, you know, any interim volatilities. I think that would be prototypical to others in the industry that might be doing things, you know, in the, you know, one to two years sort of to smooth out anything. On the balance sheet, as you know, it's really hard to hedge the balance sheet other than using, you know, in-region financing and so, you know, the good news is that perhaps, you know, we'll be more diversified and spread across an even larger number of markets, and we'll let that, you know, continue to do work. I mean, we've certainly been out actively researching, you know, alternatives, but, you know, it's not easy to hedge a balance sheet as we know. you know, we don't have at the moment a plan to make a dramatic change there other than that we'll be, you know, reducing our look through ownership into that, you know, from where it is today, down to approximately 30% as we've been guiding to. that's the journey that we're on. I guess that will give us the ability to have more diversification and related things, you know, broader market exposure. We've added the US, which we think will provide some more stability. yeah, that's kind of the direction of travel, I think in the moment. Shailen might like add to that. Yeah. Hi, Mario. Paul, I think that covers a lot of the conceptual theories around FX. I think if I was to think about Q2 specifically, you know, the real FX pressure came from the pound versus the Canadian dollar. That's obviously a portfolio that we have on balance sheet and own 100% of. I think as we evolve to more of the capital platform, capital light platform strategy, what you'll see is just more equalization and relative FX. Right now, there's disproportionate weighting to on balance sheet assets relative to capital platforms, given our proportionate interest. We see that as being a stabilizing factor as we, I mean, as we execute on both the U.K. and the U.S., and bring a more balanced FX profile to the business. Right. Okay. That makes sense. From a disclosure standpoint, Shailen, is the intention to group the U.S., Canada, Brazil as the Americas going forward, or are you providing separate geographic disclosure? Yeah, most definitely into the Americas. You know, I think we'd had that Canada, Brazil breakout prior to entering into the U.S. and I think the U.S. really solidifies our Americas or Pan-American strategy. As we look at it going forward, it's into those three segments of Americas, Europe, and Australasia. Okay. Thanks, guys. Thank you. At this time, Mr. Dalla Lana, we have no further questions. Please proceed. Thank you. Yeah, no, appreciate everyone's involvement today. Maybe as a final point, and just coming back to some of the U.K. JV comments that we've said. You know, we made a conscious decision this quarter to extend our JV formation for a number of key reasons. Again, we do note that had we proceeded as we were in a position to do, you know, that our earnings this quarter and for the balance of the year would've been CAD +0.05 per unit higher and on a CAD 0.03 run rate basis for 2023. Obviously LTV would've been 460 basis points lower than it is today. You know, that is still a highly visible transaction that is coming through the business shortly. We made that decision consciously, you know, to permit a further exploration of a you know, an even more qualitatively superior JV opportunity. In all events, we expect to bring conclusion to that process, you know, in Q3. Just to bring a highlight to one particular item in the moment. Thank everyone. Thank you everyone for your time and appreciate your involvement. Have a great day. Thank you, sir. Ladies and gentlemen, this does indeed conclude your conference call for today. Once again, thank you for attending. At this time we do ask that you please disconnect your lines.