- **Revenue and Expense Crisis**: Annualized revenue down 18% YoY to $398M, interest expense up 37% to $53M, with $280M debt maturing in 2026.
- **Dividend Suspension**: $3M annual cash preservation to address liquidity ($90M) and covenant constraints.
- **Leasing Resilience**: 15 leases at 6.4% rate increase, 2/3 renewals securing $7M revenue, despite 742K sq ft at risk of non-renewal.
- **Disposition Challenges**: 56K sq ft sold for $2.2M, 3 properties under sale ($28.9M), but prolonged timelines and limited buyers.
- **Financial Outlook**: Q2 FFO $0.13/share (beat by $0.02), Q3 FFO $0.07-$0.09/share, 7%-9% NOI decline, $43M H2 CapEx.

**【Management Opening Remarks】**
- The call structure was outlined, emphasizing financial results, outlook, and cautionary notes on forward-looking statements and non-GAAP measures.

**【CEO Summary Section】**
- Portfolio: 125 properties (17.3M sq ft), 85.2% occupancy, 59% from investment-grade tenants.
- Financial decline: Annualized revenue $398M (-18% YoY), interest expense $53M (+37% YoY), $280M debt maturing in 2026, $90M liquidity.
- Strategic actions: Dividend suspended to save $3M annually.
- Leasing: 15 leases (416K sq ft) at 6.4% rate increase, 2/3 renewals, $7M revenue secured.
- Challenges: 1.3M sq ft expiring in 2026 ($30M revenue at risk), 742K sq ft likely not renewing.
- Dispositions: 56K sq ft sold for $2.2M, limited buyer pool prolonging sales.

**【CFO Financial Commentary】**
- Q2 2025: Normalized FFO $9.4M ($0.13/share), beat high end of guidance by $0.02 due to lower expenses.
- Q3 Outlook: FFO $0.07-$0.09/share, 7%-9% YoY NOI decline, $43M H2 CapEx ($10M building, $33M leasing).
- Liquidity: $90M cash, projected $45-55M cash use for operations in H2.
- Debt: $2.2M property sold to reduce debt, 3 properties under sale agreement ($28.9M), 2 to close in Q3, 1 in 2027.
- Constraints: Financial covenant restrictions, limited refinancing options.


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