ALEX

• CRE portfolio performance: Performed in line with expectations, with same-store NOI growth of 0.6% for the quarter, 49 leases executed in the improved-property portfolio, blended leasing spreads increased 4.4%, leased occupancy 95.6%, economic occupancy 94.3%, and SNO $6.4 million.
• Internal growth: At Komohana Industrial Park in West Oahu, broke ground on two new buildings; vertical construction at Maui Business Park build-to-suit project remains on schedule; at Kaka'ako Commerce Center, tenant exercised option to purchase 3 floors.
• External growth: Increased momentum in Hawaii investment market, with three large portfolios being marketed for sale and actively pursuing acquisition opportunities aligned with long-term growth strategy.

• Reaffirmed full year same-store NOI growth guidance of 3.4% to 3.8%, with an expected 4.4% same-store NOI growth at the midpoint for the fourth quarter.
• Raised CRE and Corporate FFO guidance to a range of $1.13 to $1.17 per share and total FFO guidance to $1.36 to $1.41 per share, up $0.01 from previous guidance due to lower-than-expected interest expense in the third quarter.

The CRE portfolio had a same-store NOI growth of 0.6% for the quarter. In the improved-property portfolio, 49 leases were executed, representing approximately 164,000 square feet of GLA and $3.3 million of ABR. Blended leasing spreads increased 4.4% on a comparable basis. Leased occupancy was 95.6%, economic occupancy at quarter end was 94.3%, and SNO at quarter end was $6.4 million. The portfolio generated $32.8 million of NOI in the third quarter, with same-store NOI being $31.9 million, a 60 basis point increase year-over-year.

Forward-looking statements are subject to risks and uncertainties such as prevailing market conditions, factors related to the company's REIT status, and risks discussed in Part 1, Item 1A of the company's most recent Form 10-K. G&A guidance includes transaction-related costs associated with the pursuit of acquisition opportunities, which need to be mitigated and controlled.

Q: Can you talk about when the $6.4 million of ABR from the SNO leases start to impact earnings?

A: SNO typically becomes economic over 9 to 12 months. The build-to-suit on Maui is expected to come economic in Q1 of next year, and Komohana is expected to be economic in the fourth quarter of 2026 or first quarter of 2027.

Q: Is the $24 million from the Kaka'ako Commerce Center sale asset identified yet?

A: It has not yet been determined, but there are active portfolios being marketed and the investment team is underwriting opportunities with sufficient time to identify and close on the uplink by Q1 of next year.

Q: Kaka'ako two floor sale, common in other properties?

A: Unique to Kaka'ako Commerce Center, a creative solution to extract value, and not common in other properties in the U.S. like overseas, but a unique structure in this building.

Q: Bullish on acquisition prospects, competitive landscape?

A: Competing with local buyers and sometimes smaller family offices for lower-priced assets, and Mainland capital for larger $100 million plus assets; typically see less competition in the middle space, and local knowledge gives a competitive edge.

Q: Ground lease portfolio renewal process for HART yard?

A: Highly likely to renew the tenant, but in early discussions, premature to provide color, and longer term involves internal growth from land inventory after renewal.