Essential Properties Realty Trust, Inc. (NYSE:EPRT) Q3 2023 Earnings Conference Call October 26, 2023 10:00 AM ET

Company Participants

Rob Salisbury – Senior Vice President and Head-Capital Markets

Pete Mavoides – President and Chief Executive Officer

Mark Patten – Executive Vice President and Chief Financial Officer

Conference Call Participants

Ravi Vaidya – Mizuho

Nick Joseph – Citi

Elmer Chang – Scotiabank

Sanket Agrawal – Evercore ISI

Ki Bin Kim – Truist Securities

Farrell Granath – Bank of America

Spenser Allaway – Green Street Advisors

Operator

Good morning, ladies and gentlemen, and welcome to Essential Properties Realty Trust Third Quarter 2023 Earnings Conference Call. [Operator Instructions] This conference call is being recorded and a replay of the call will be available two hours after the completion of the call for the next two weeks. The dial-in details for the replay can be found in yesterday’s press release.

Additionally, there will be an audio webcast available on Essential Properties Realty Trust’s website at www.essentialproperties.com. An archive of which will be available for 90 days. On the call this morning are Pete Mavoides, EPRT’s President and Chief Executive Officer; Mark Patten, EPRT’s Executive Vice President and Chief Financial Officer; and Rob Salisbury, EPRT’s Senior Vice President and Head of Capital Markets.

It’s now my pleasure to turn the call over to Rob Salisbury. Thank you, sir. You may begin.

Rob Salisbury

Thank you, operator. Good morning, everyone. And thank you for joining us today for the third quarter 2023 earnings conference call for Essential Properties Realty Trust. During this call, we will make certain statements that may be 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 may not release revisions to those forward-looking statements to reflect changes after the statements were made. 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 filings with the SEC and in yesterday’s earnings press release.

With that, I’ll turn the call over to Pete.

Pete Mavoides

Thanks, Rob, and thank you to everyone who is joining us today for your interest in Essential Properties. As our third quarter earnings release indicates, we are pleased to report another quarter of strong results, driven by the strength and stability of our portfolio that continues to perform well and was impacted favorably by our solid investment activity. Despite some areas of the broader consumer sector noting a slowdown in recent months, our growth oriented middle market tenants continued to perform well, as reflected by our unit level rent coverage that remained strong at 4.0 times. Our same-store rent growth, which remained favorable at 1.2% and just three vacant properties.