Bill Wheat: Yeah, I’m not sure I’ve got an answer for you for sure, Ken. If you don’t know the answer, I’m sure we don’t either in terms of why the industry has improved. The only thing I could come up with is, you have seen a shift in this industry to focus more on returns. And as we focused on returns, that really comes down to being more efficient with every asset you have. And so, if you can improve your absorption, improve your turns in each community, your returns on capital are improving. And so, perhaps you’re seeing a little bit of that come through in your observation of looking at higher pace, higher absorptions over time across the industry.
Ken Zener: Thank you.
Operator: Thank you. The next question is coming from Mike Dahl from RBC Capital. Mike, your line is live.
Mike Dahl: Good morning. Thanks for taking my questions. A couple of follow-ups on the rental side. So, there was a pretty well-publicized deal between yourselves and a large SFR company. Within the quarter and the guide, any color you can provide on how much of that deal already closed in 3Q? And whether or not the increase in the guide for the year reflects the full closing of that, or if there’s going to be some carryover into fiscal ’24?
Jessica Hansen: Sure. Our guide does and will continue to just incorporate the homes that we’ve closed and our leasing pace and when those projects are available to be sold and marketed. And so, we’ve sold projects on a one-off basis, but as we continue to scale that business, it’s opening up additional interested investors who — there’s institutional money that doesn’t necessarily want to buy just one project at a time. They’re interested in buying a portfolio of projects. The deal you’re talking about was press speculation. We haven’t publicly commented on any specifics of that transaction. But when we look at our rental communities, whether we’re selling multiple projects to one investor or not, they are all individual real estate transactions.
And so, we would continue to point to our disclosures on a unit basis in terms of the number of completed homes we have and rental units in terms of what that forward pace of sales looks like, and we’ll continue to do sales of individual projects, and I’m sure we’ll continue to do packages of sales going forward.
Mike Dahl: Okay, got it. And I guess a follow-up there, so without the specifics. Given the total units you are now guiding to and the inventory that you’ve outlined, you will close a significant portion of your existing inventory in 4Q. And so, I fully understand that this is a growth part of your business for the next couple of years. But just circling back to a question, I think, earlier on the call around specifics on ’24, should we be thinking that you’ve kind of pulled forward the timing of when some of that inventory you might have expected to close in terms of closing in ’23 versus ’24, so maybe it’s a little lower in ’24, or are you really in a position where even with this increased guide, you can keep growing in ’24 off that?
Jessica Hansen: We’ve generally been talking about our rental platform combined, but in our 10-Q, you can see a breakdown and we do give our unit breakdowns separately. So, ’24 is going to be a pretty big growth year from a multi-family perspective and we’re going to continue to scale the single family. But as we scale both sides of the business, it could still be choppy quarter-to-quarter, year-to-year, with ultimate overall growth on an annual basis expected.
Mike Dahl: Okay, great. Thank you.
Operator: Thank you. The next question is coming from Alan Ratner from Zelman & Associates. Alan, your line is live.
