Greetings, welcome to the Postal Realty Trust Second Quarter 2026 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question- and -answer session will follow the prepared remarks. As a reminder, this conference is being recorded. I will now like to turn the conference over to your host, Mr. Jordan Cooperstein, Senior Vice President of Finance and Capital Markets. Welcome, Jordan. Thank you, good morning, everyone. Welcome to Postal Realty Trust second quarter 2026 earnings conference call. On the call today, we have Andrew Spodek, Chief Executive Officer; Jeremy Garber, President; Steve Bakke, Chief Financial Officer; and Matt Brandwein, Chief Accounting Officer. Please note, the company may use forward-looking statements on this conference call, which are statements that are not historical facts and are considered forward-looking. These forward-looking statements are covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those described in the forward-looking statements and won't be affected by a variety of risks and factors that are beyond the company's control, including, but not limited to, those contained in the company's latest 10-K and 10-Q, and its other regulatory filings with the SEC. The company does not assume, specifically disclaims, any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, on this conference call, the company may refer to certain non-GAAP financial measures, such as funds from operations, adjusted funds from operations, adjusted EBITDA, pro forma adjusted EBITDA, pro forma annualized adjusted EBITDA, net debt, adjusted net debt, portfolio occupancy, same store cash NOI, same store cash revenue, and pro forma adjusted net debt. You can find the definitions and, to the extent available, tabular reconciliations of these non-GAAP financial measures to the most currently comparable GAAP measures in the company's earnings release and supplemental materials. With that, I will now turn the call over to Andrew Spodek, Chief Executive Officer of Postal Realty Trust. Good morning, and thank you for joining us today. In the second quarter, we experienced strong momentum as we closed $45 million of acquisitions at a 7.3% weighted average cash cap rate. This was the highest volume quarter since June 2022. Our current improved access to capital allows us to expand the breadth of acquisition targets, including larger assets and portfolios that have strong postal specs and attractive growth profiles while maintaining a very attractive spread. A recent acquisition in San Diego is a perfect illustration. We acquired a $9.6 million facility located west of Interstate 805, locking in an attractive basis for a below-market lease with meaningful growth potential in coastal California. Our disciplined approach to acquiring properties has not changed. We target properties that are day-one accretive and offer embedded upside over time. With an improved cost of capital, we now acquire a broader universe of these high-quality assets, supporting the strong internal growth profile we have consistently delivered. Year -to -date through July, we have acquired $88 million at a 7.4% cap rate. As a result of our acquisition volume so far this year and our visibility into a large pipeline of opportunities, we are increasing our acquisitions guidance to $150 million-$160 million. We have increased our acquisition guidance by 30% so far this year. We will update you later in the year as our pipeline progresses. The $110 million of equity we have sold through July sets us up to fully fund our acquisition pipeline. In addition, we recently increased the size and reduced the borrowing cost of our revolving credit facility, adding to our financial strength. Our decades of experience in the postal real estate market continues to fuel our growth and consistency. By marking rents to market, securing 3% annual escalators on new leases, and extending leases to 10-year terms, we have driven strong performance. We have delivered 5.5% average same-store cash NOI growth over the last five years inclusive of this year, which is tracking to a range of 6%-7%. Most recently, we have used our unique operational approach to solidify a same-store cash revenue growth outlook for 2027 of approximately 6.5%. Alongside this growth, we are achieving robust retention and occupancy rates that exceed 99%. The North Star that guides our efforts is delivering robust AFFO growth per share, which has been 6.2% annually over the last five years. With the AFFO per share guidance increase we announced yesterday, our midpoint for 2026 implies growth of 7.6%. With our expanded access to capital, the momentum we are seeing in our acquisition pipeline, and the strength of our team, I've never felt more confident in our ability to scale the platform accretively. With that, I will turn the call over to Steve. Thanks, Andrew. There are four pillars to our sector-leading AFFO per share growth. First, our lease mark-to-market opportunity is significant, representing a clear opportunity to capture embedded upside in our portfolio. Between 2027 and 2030, 28% of our rental income will expire with no remaining renewal options. Second, annual rent escalators provide a compounding tailwind. In 2027, approximately 52% of our rent will experience an escalation, a substantial increase from 5% in 2023 and higher than 37% in 2026. Moving forward, replacing legacy flat leases with new leases with escalators will further bolster our annual internal growth. Third, we benefit from retained cash flow. As we have scaled the business, this funding source has grown. With our AFFO available after dividend payments expected to increase to $16 million in 2026, up considerably from $3 million three years ago. This provides us flexible capital we can selectively use to repay debt or to pursue acquisitions that further accelerate our growth. Fourth, we are crystallizing day one accretion from acquisitions. While the majority of our AFFO growth has been and continues to be internally driven, our significantly improved cost of capital is making upfront accretion a more significant contributor to earnings growth. Our second quarter results reflect the strong growth foundation that these pillars establish. Yesterday, we reported AFFO per share of $0.36. This is a $0.03 increase from the first quarter and a $0.03 increase from 2025's second quarter. Note that in last year's second quarter, we earned approximately half a penny from one-time lump sum catch-up payments compared to a de minimis amount this year. Reviewing our balance sheet, we ended the second quarter with net debt to pro forma annualized adjusted EBITDA of 4.6x, down from 5.2x last quarter. As of yesterday, $48 million of gross forward equity proceeds remain unsettled at a weighted average share price of $22.05 per share. Including unsettled forwards and sales post quarter -end, pro forma adjusted net debt to pro forma annualized adjusted EBITDA was 4x. Leverage declined in the second quarter due to the expansion of our EBITDA, as well as our decision to further equitize acquisitions. Operating with a low leverage balance sheet increases the stability of our cash flows and positions us to acquire accretively in a variety of environments. As a result, we plan to maintain balance sheet leverage no higher than 5.5x net debt to pro forma annualized adjusted EBITDA going forward, a level consistent with our approach the last +3 years. We further improved our balance sheet through a credit facility recast in July. In addition to increasing our facility size by $60 million, we further laddered our maturity schedule by bifurcating our prior 2028 maturity of $190 million into a $90 million maturity in 2028 and a $100 million maturity in 2029. Our largest maturity tower has been pushed out to five years in 2031. Our goal is to have no more than 25% of debt maturing in a given year. We also extended our weighted average maturity from 2.8 years - 3.5 years, closer to our goal of five years or more. It is important to note the additional term loan borrowings and tenor extensions have been fully hedged on a fixed rate basis, keeping our floating rate exposure at less than 10% of debt after the recast. Lastly, we reduced our interest rate margin by 30 basis points, a meaningful cost savings. Turning to guidance, we are raising our AFFO per share range by $0.01 to $1.41-$1.43 per share, representing 7.6% growth at the midpoint for the year. The increase is supported by higher acquisition volume, our improved borrowing costs, and G&A efficiencies. Turning to additional guidance items, cash G&A is tracking below the midpoint of our previously stated range. Same-store cash NOI remains in line with our forecasts, and for the third quarter, we expect recurring capital expenditure in the range of $250,000-$350,000. Our guidance includes de minimis dilution from treasury stock method accounting for unsettled forward equity. To quantify the impact, a $2 per share increase in our stock price from June 30th through year end would result in a negative $0.002 impact on earnings. Similarly, a $2 per share decrease in our stock price over the period would result in a positive $0.002 benefit to earnings. Lastly, our board of directors has approved a quarterly dividend of $24.5, representing a 1% increase from last year. Our dividend payout ratio for the second quarter is approximately 68%, and our dividend yield as of yesterday was 4.3%. I will now turn it over to Jeremy. Thanks, Steve. As we like to remind investors, the real estate we own is critical American logistics infrastructure. These last-mile facilities form the backbone of the Postal Service's delivery network. These properties enable the Postal Service to meet its congressionally mandated obligation to provide universal service to approximately 170 million delivery points, six and often seven days a week. The cost to lease this real estate backbone of this network is only 1.5% of the US Postal Service's annual operating expenses. Turning to this quarter's leasing update, we have executed 90% of 2026 new leases by rent, and we anticipate executing the remaining 10% in the normal course of the back half of the year. As it relates to 2027 leases, substantially all rents have been agreed upon, and we are beginning the lease execution phase. All 2026 and 2027 new leases will have 3% escalators. The vast majority will have 10-year terms. This excludes leases subject to renewal options. As a result of leasing activities, 59% of leases in our portfolio contain annual escalators. 54% of our portfolio consists of leases with 10-year terms, and our weighted average lease term was 6.4 years at the end of the quarter, including executed and agreed upon leases through 2027. More than doubling the three-year wall we reported a couple of years ago. Shifting to acquisitions. In the second quarter, we acquired 37 properties for $45 million at a weighted average cash cap rate of 7.3%. This brings our year-to-date total through July to $88 million at a weighted average cash cap rate of 7.4%. In the second quarter, we added 237,000 sq ft to our portfolio, consisting of 29,600 sq ft from 20 last mile post offices, 141,500 sq ft from 16 flex properties, and 62,000 sq ft from one industrial property. This concludes our prepared remarks. Operator, we would like to open the call for questions. Thank you. We will now be conducting a question -and -answer session. If you would like to ask a question, please press star one on your telephone keypad. The confirmation tone will indicate that your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Our first question is coming from the line of Greg McGinnis with Scotiabank. Please proceed with your question. Hey, good morning. Andrew, you mentioned your confidence in scaling the platform accretively. To support the growing acquisition pipeline, how are you adding to or adjusting the investments team? What's the expected impact to G&A there? Maybe Steve can chime in on forward expectations or trends for G&A spend as a percentage of NOI. Good morning, thanks for the question. Our investment team is pretty secure. We've really created a very strong team and a very strong process that gives us the ability to scale the platform and do the volume that we've been doing and that we hope to continue to grow. I don't think there's going to be a significant change in the investment team. Adding to that, Greg, thanks for the question. If you look at our cash G&A as a percentage of revenue, we've been, on average, the last five years reducing that by about 150 basis points a year. Our guidance implies 10%-10.9% cash G&A as a percentage of revenue for the year. As we move forward, we continue to look for efficiencies. There's a lot of exciting technology out there. There are improvements to our approach and systems we can also look into that could help us derive additional efficiencies. Okay, thanks for that. One more on transactions. You had the one big industrial property acquired this quarter. You guys were also talking about an ability to maybe acquire some larger portfolios with the improved cost capital. Just curious what you're seeing out there in terms of more of these industrial properties or more of these potentially larger portfolios. Are these going to be a meaningful contributor to your acquisitions going forward? Yeah, appreciate the question. We've always been clear that we look at industrial assets. We don't find them to be the bread and butter of the business, but when we do see them, we do underwrite them and try to acquire them as long as they are accretive day one, and as long as there is some internal growth that can be added over the course of the lease. We look at, like in all assets, it doesn't matter if it's industrial or large assets or portfolios, or single assets for that matter. We looked at the basis that we're buying it. We look at the importance of the property to the Postal Service, and we want to make sure that this is accretive, not just day one, but over time. That tracks with everything that we buy. Over the years that we've been doing this, these acquisitions have always been accretive on day one. As our cost of capital gets better, it gives us the ability to buy more assets that fit those qualifications. Just to clarify, with the improved cost capital, which has come down significantly since the beginning of the year, are we talking about materially more assets that you're able to acquire accretively? Is this the investment team's doing what it can in terms of its ability to be acquiring right now, and this is just the best of the best, and so we could see material increase in acquisitions? Or is this incremental? Hey, Greg, this is Steve. Andrew, in his prepared remarks, spoke to some of the momentum we're seeing in our pipeline. I think from a cost of capital perspective, I'll say, last September when I was in the process of joining the company, we had around a 7.3% weighted average cost of capital, and we were acquiring at a 7.7% cost of capital. You can back into a 40 basis point investment spread from those numbers. Even with that, we were generating substantial growth because the majority of what we are really driving is internal growth. If you fast-forward to today, you can look at our investment presentation. We have a 6.0% weighted average cost of capital, and we're today, this quarter, buying at a 7.3% cap rate. We're deriving three or four times the investment spread that we were doing a short time ago, and we're feeling as confident as ever, if not more confident about the long-term growth prospects of the properties we're acquiring. Okay, thank you very much. Thanks, Greg. Thank you. Our next question is coming from the line of John Kim with BMO Capital Markets. Please proceed with your question. Thank you. Andrew, in the beginning of the call, you mentioned widening your acquisition opportunities, and you discussed the San Diego acquisition as one with a higher mark-to-market and growth potential and in a coastal market. I was wondering if you could just expand on that a little bit, especially the growth potential and the asset in a West Coast market. Is that something that's important to you, given it's a region that you're relatively underweight and land costs may be a little bit higher, but again, potentially has higher growth? Sure. I appreciate it. Like I said to Greg, the fundamentals of these properties are all relatively similar, right? We are still driving to buy things at a good basis, important to the Postal Service, and that are accretive in day one and have long-term growth potential. That applies everywhere, but what we do is we underwrite each asset within its particular market. We just highlighted San Diego just to show everybody that there's a wide breadth of types of properties that we buy, and San Diego, or types of properties like that, especially in the location at the basis that we buy them in with the growth, was something that I wanted the investor universe to really understand. Okay. As the USPS evaluates both its cost structure and the monetization of its network, including the recent DHL e-commerce deal, how are you seeing that impact either your current portfolio or acquisitions that you're looking at? Again, you used the word monetization of the last mile. We spoke about a process that they put in place a few months ago around trying to monetize the last mile. After that announcement, we saw Amazon and DHL renew and extend their relationships. I think it just shows how important these assets are to the Postal Service. These, as Andrew described, those are our bread and butter. As we continue to look at acquisition opportunities, the breadth of opportunities continues to expand. As I described, the Postal Service is showing us that these are the assets that are critical and important and that they want to make sure are secure. Maybe one quick last one for Steve. Your pro forma leverage is at 4x. To maximize your cost of capital, are you looking to further reduce leverage going forward, or are you comfortable at these levels? I think the short answer to your question is comfortable at these levels. We made an intentional decision to equitize acquisitions this quarter because we see a number of benefits from running with lower leverage with minimal impact on our forward earnings trajectory. We enhance the stability of our cash flows. It adds optionality for us to potentially zig while others are zagging in a challenging economic environment and continue to deploy capital maybe when others are on the sideline. Lastly, to the point you made, we think that our overall cost of capital, including both debt and equity, can be lower by running at lower leverage levels. Great. Thank you. Thank you. As a reminder, ladies and gentlemen, to ask a question, please press star one on your telephone keypad. Our next question is coming from the line of Anthony Paolone with JPMorgan. Please proceed with your question. Thank you. Good morning, guys. You have Nahom on for Tony this morning. My first question: it looks like cap rates came down from 1Q to 2Q. Was that driven by the industrial asset you guys purchased in the quarter? Maybe if you guys could give any color on as to what you guys are seeing in the transaction market in terms of pricing would be helpful as well. Thank you. Thanks for the question. Look, like I've said in the prepared remarks and like I've said before, our North Star is growing earnings per share. It's not based on the type of particular asset, right? We are going to buy assets that make sense, not just today out of the gate that are accretive, but that have long-term potential. The lowering of the cap rate is not specifically tied to that asset. As you see volumes rise and cap rates compress somewhat, just understand that we're solving for that higher earnings growth, not just currently, but in the future years. If we didn't do that, we would be settling for a lower volume, and some are higher cap rates. It would be less accretive to earnings, and that's really what we're driving for. Got it. Thanks. Looking at portfolio expirations, I think for about 40% of the portfolio that the USPS has the option to renew with sort of the older legacy terms, like the flat five-year lease terms. How long will it take for those to burn off? Is it when they expire on the next term that you'll be able to mark-to-market? Thank you. It really depends, Nahom. In 2027, we have a large master lease that is footnoted in our investor presentation. That one in particular has one more five-year extension before that rent, which is materially below market, has a chance to be mark-to-market. It depends asset by asset. One thing we could do or look into in the future is providing a fully extended expiration schedule to give you a better sense. I think for the next few years, we have ample growth opportunity simply within the mark-to-market leases. Got it. Thank you. Thank you. It appears we have no additional questions at this time, I'd like to pass the floor back over to management for any closing comments. Thank you, everybody, for joining us. Look, we've built a scalable platform designed to maximize the value of postal real estate, backed by a growing rent stream from a tenant who pays 100% of the rent 100% of the time. Our North Star is continued to delivering strong compound AFFO per share growth over time. We have never been more confident in our ability to consolidate the postal real estate market, given our access to capital, momentum in our acquisition pipeline, and the team and platform we have in place. We look forward to sharing our progress next quarter. Thank you, everybody. Thank you. Ladies and gentlemen, this does conclude today's teleconference. Once again, we thank you for your participation, and you may disconnect your lines at this time.