Greetings, and welcome to the Safe & Green Holdings Third Quarter 2023 Business Update Conference Call. At this time, all participants are in listen-only mode and the floor will be open for questions after the presentation. [Operator Instructions] Please note, this conference is being recorded. I will now turn the conference over to your host, Mr. Ted Ayvas, Investor Relations. You may begin.

Good afternoon, and thank you for joining Safe & Green's third quarter 2023 conference call and business update. On the call with us today is Paul Galvin, Chairperson and Chief Executive Officer of Safe & Green Holdings, Inc. and Tricia Kaelin, Chief Financial Officer of Safe & Green Holdings, Inc. Earlier today, the company announced its operating results for the quarter ended September 30, 2023. The press release is posted on the company's website www.safeandgreenholdings.com. In addition, the company has filed its quarterly report on Form 10-Q with the US Securities and Exchange Commission, which will be accessible on the company's website as well as the SEC's website at www.sec.gov. If you have any questions after the call, I would like to arrange a one-on-one discussion with Mr. Galvin following the call. Please contact Crescendo Communications at 212-671-1020. Before I turn the call over to Paul, please remember that various remarks about future expectations, plans and prospects made on today's call constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. Safe & Green cautions that these forward-looking statements are subject to risks and uncertainties that may cause our actual results to differ materially from those indicated, including risks described in the company's filings with the SEC. These forward-looking statements are subject to a number of risks and uncertainties, which are described in the company's filings with the SEC. Any forward-looking statements made on this conference call speak only as of today's date, Tuesday, November 14, 2023. Safe & Green does not intend to update any of these forward-looking statements to reflect events or circumstances that occur after today. With that being said, I am now pleased to introduce Paul Galvin, Chairperson and CEO of Safe & Green. Paul?

Thanks Ted. Good afternoon. Thank you to everyone for joining us today. I would like to begin by extending our sincere thanks to our investors for your continued commitment to and support of our vision. We are focused on creating long-term value for our shareholders and are clearly executing on our strategy. During the third quarter of 2023, we experienced a 70% year-over-year increase in manufacturing for construction revenue, building on our recent momentum. We also celebrated a significant milestone event for Safe & Green Holdings as we successfully spun-off the company's real estate development subsidiary, SG DevCo, into an independent publicly traded company on NASDAQ under the symbol SGD. This significant achievement marks the successful conclusion of a two-year journey. Our success was the fruit of continued dedication and tireless efforts of our entire team. Following the spin-off, Safe & Green Holdings retained a substantial 70% interest in SG DevCo, with the balance of 30% going to you, our loyal shareholders. This is particularly noteworthy considering SG DevCo's $74 million third party fairness opinion. It's also important to note that we consolidate the financials of SG Devco as the 70% owner of this business. Furthermore, SG DevCo maintains a shared services agreement with Safe & Green Holdings. Under this agreement, Safe & Green Holdings offers base services to SG DevCo for which it receives monthly compensation. We anticipate ongoing and significant synergies with SG DevCo as it executes on plans to commence development of projects in the pipeline, which are currently valued at more than $800 million and are expected to drive further manufacturing growth for SG Echo. Additionally, our enthusiasm for the potential growth and future opportunities for both SG Holdings and SG DevCo are numerous. SG Holdings goal is to develop 10,000 units within the next seven…

Thanks, Paul. During the third quarter, we continued to focus on leveraging our robust asset base to secure non-dilutive financing, which we believe highlights the strength of our balance sheet. Furthermore, the company entered into a new non-binding letter of intent to sell our Lago Vista site for $11.5 million, the proceeds of which will be invested as equity in a new joint venture with a premier real estate development firm. The joint venture plans to develop the site using SG Echo's modular units. The Lago Vista property was initially acquired by the company in 2021 for $3.5 million demonstrating our ability to maximize the value of our assets. Moreover, we have reduced operating expenses by more than $2 million since the first quarter of 2023, which will be reflected in additional cost savings in 2024. Now, turning to our results for the quarter. Revenue for the third quarter of 2023 was $4.0 million compared to $4.1 million for the third quarter of 2022. The slight decrease was attributable to the lack of engineering services and medical revenue for the third quarter of 2023, which was partially offset by an increase in manufacturing for construction revenue. The manufacturing for Construction segment generated $4.0 million in revenue, a 48% increase for the third quarter of 2023 compared to the same quarter of last year, which is a 70% increase year-over-year for the nine months ended September 30. Total gross profit for the third quarter of 2023 was negative $536,000 compared to negative $165,000 in the third quarter of 2022. Operating expenses for the third quarter of 2023 were $2.4 million compared to $2.3 million for the third quarter of 2022. The third quarter of 2023 included significant expenses allocated to the build-out of SG DevCo and Safe & Green Medical Corp., now known as -- well Global Health that were not incurred for the same period last year. The net loss attributable to common shareholders was approximately $3.6 million or a $0.23 per share loss in the third quarter of 2023 compared to a net loss of $2.5 million or $0.18 per share loss in the third quarter of 2022. The company's adjusted EBITDA loss for the third quarter ended September 30, 2023, was approximately $1.4 million as compared to adjusted EBITDA loss of approximately $1.5 million for the third quarter ended September 30, 2022. As of September 30, 2023, the company had a cash balance of short-term investments of $713,000 compared to $600,000 at December 31, 2022. As of September 30, 2023, stockholders' equity was $6.4 million compared to $14.4 million as of September 30, 2022. The company believes it has sufficient cash and borrowing capacity to support near-term operations. I would now like to turn the call back over to Paul for closing remarks.

Thanks, Tricia. We would like to offer our sincere thanks to all of you for joining us today. We are extremely proud of Safe & Greens accomplishments and are optimistic that we will continue our commitment to excellence and success. We look forward to providing you with updates on our progress in the coming weeks and wish everyone a good day. Thank you. End of Q&A: Thank you very much. This does conclude today's conference call. You may disconnect your phone lines at this time, and have a wonderful rest of the day. Thank you for your participation.