Q – Smedes Rose: Hi. Thank you. I just wanted to ask you in markets where you see the combination of LSI and ESR, have you seen any kind of significant changes in the strategy there? I mean like in New York and Miami, I think where you have — I mean I know you were competing with the individual assets already. But — any changes that you’re having to respond to or changes to your strategy going forward?
Chris Marr: I think as we look at competition across all brands in really all of our markets, it varies again by market, we see rate most constructive in New York and some of those other urban markets that I discussed, we see more pressure in some of the Southwest and Southeast markets that had the big run-up as migration patterns changed pretty quickly and dynamically during COVID. So, no, particular brand to point to that’s operating any different than any other. We have to just be cognizant of the competition in the micro market for the store that we own or manage, whether it be a national brand a regional brand or a local brand and react accordingly.
Q – Smedes Rose: Okay. Thanks. And then you talked a little bit about New York supply. But could you just talk a little bit about supply coming online next year for your portfolio? And some of other folks that kind of suggested that maybe supply outlook is probably overstated, and that we could see more developments falling out of the pipeline? Are you seeing that? Or do you agree with that notion?
Chris Marr: Yes. I think the challenge with some of the third-party data on storage supply is that our observation at least is that potential new developments get tracked, entered the database but there’s not a process that’s equally efficient to remove potential sites from the database as they grow stale and it becomes obvious that the developer has either paused for an elongated period or abandoned the project. So I think that the third-party data perhaps overstates we would agree with your premise that it overstates the actual amount of potential deliveries. Our outlook is that the overall impact of supply for the obvious reasons, cost of capital, cost of labor, cost of raw materials, the inconsistent rate environment for new customers in many markets.
All of that is putting a bit of pressure on the local developers, interest and ability to pull a permit and get started. So we would again think the new supply environment will be constructive for storage fundamentals in 2024. Again, given the timing in many markets hard to say how long into 2025 but it would feel like at least the first half of 2025 you can see that same constructive environment. So again, as I mentioned in my prepared remarks, I think supply along with the current health of our customer are two positives for storage as we go into next year.
Smedes Rose: Great. Thank you. Appreciate it.
Chris Marr: Thanks, Smedes
Operator: Thank you. And your next question comes from the line of Todd Thomas from KeyBanc Capital Markets. Please go ahead.
Todd Thomas: Hi, thanks. Good morning. First question, in relation to your comments about pricing in the quarter just being a little softer than you previously anticipated. Any sense whether there was a change in top-of-funnel demand from new customers? Or was that more related to competitor pricing which impacted your ability to drive customers into the portfolio?
Tim Martin: Yes I would say, it was more reflective of a pricing environment that was more aggressive than we would have anticipated when we sat here three months ago. What we were seeing at the time of the last call was obviously, the levels of overall demand were declining from where they had been over the last couple of years. But the demand that we were seeing and that we were capturing at the pricing that we were capturing it at was – it was in our expectations, what changed and really started to change in a meaningful way in September and then into October, was the pricing environment from competitors. And so our systems and our reaction to that necessitated us moving our pricing to new customers lower than we would have thought necessary three months ago.
