Matt Lichtman's questions to American Assets Trust Inc (AAT) leadership • Q3 2024
Question
Matt Lichtman of Morgan Stanley inquired about the dynamics driving the comparable cash blended leasing spreads in the office and retail portfolios for the quarter and the outlook for 2025.
Answer
SVP Steve Center explained that office leasing spreads can vary significantly quarter-to-quarter depending on the specific deal mix but have consistently remained positive. CFO Robert Barton added that retail leasing spreads have been trending positively since the pandemic and are expected to continue this trend, supported by a well-leased portfolio and inflationary pressures. Executive Chairman Ernest Rady concluded that the company's prime locations and reputation for delivering on promises help secure favorable leasing terms.