Unknown Analyst
Welcome to the Phillips Edison roundtable. Happy to have Jeff Edison, CEO of the company, with us here today and maybe introduce your team and then opening remarks, please.
Jeffrey Edison
Co-Founder, Chairman & CEO
John, our CFO; and Kim, our Head of IR. And in terms of opening remarks, it’s [ great to ] live in interesting times. You don’t need things to be this interesting because it’s really trying to figure out what’s going on. I mean we’re in one of the best operating environments we’ve been in. We saw a little run-up over the last 45 days ago. And then all of a sudden, it starts going back. And the operating market is as good as it’s ever been in terms of leasing, leasing margins, leasing occupancy, all just very, very strong, like record kind of strong. And not just like good, but really as good as they’ve been.
The acquisition market, our volume is going to be as high as it’s been, quite a bit higher actually than it’s been any time since we’ve been public. And at numbers that we think are very consistent with what we’ve been targeting. We have 9% unlevered IRRs on what we’re buying. We’re buying in at about a 6.7% initial yield. So very strong dynamic there. So you got great operating environment. You’ve got a great acquisition market where we’re seeing — we’re selling stuff at basically a 5.9% yield. So we’re buying at a 6.7%, we’re selling at a 5.9%. We have a really strong ask and buy on that side.