Marguerite Nader: Sure. We continue to have discussions with owners but really the overall market has been slow as you point out. There’s really little distress in the market as far as owners of our assets. The owners have generally been conservative over the years with their balance sheet and they have really the luxury of taking the time to transact. I think it’s a good idea, Jamie, to think about a longer-term perspective on how we’ve grown as a company from 41 properties 30 years ago to 450 properties today the acquisition — that acquisition environment has been episodic. And I think there’s been a few times in our history where we’ve had a very low level of acquisition volume followed by a year of outsized growth. So, we really work on planting the seeds for that growth over the years and then are ready to act when it makes sense for us.
Jamie Feldman: Okay. I mean are you foreshadowing that it could get better soon? Or just we know just the flag that you keep working on it?
Marguerite Nader: Yes, I mean I think that we continue to be in conversations with owners. And to the extent we have closings, we’ll certainly let everyone know as soon as we have information to talk about.
Jamie Feldman: Do you think there’s opportunities to get involved in the capital stack like debt investments? Or do you think anything you do would be straight equity?
Marguerite Nader: No, I mean we have looked at it in the past certainly a debt structure where we have the ability to own the asset at some point. Also we’ve looked at management along those same lines. So, we have looked at things over the years and continue to look at unique structures that could make sense for us.
Jamie Feldman: Okay. All right. Thank you.
Marguerite Nader: Thanks Jamie.
Operator: Our next question will come from the line of Eric Wolfe with Citi.
Eric Wolfe: If I look at your other income and ancillary services it’s about 9% of your revenues. I know a lot of it is just utility income, but I was curious whether you’re sort of implementing any new initiatives to grow the other piece of it because I would assume that the RV members and MH tenants might want things like bundled Internet or smart home equipment, but just curious if there’s an opportunity to grow that side of the business more quickly?
Paul Seavey: I guess before Eric we talk about maybe some new initiatives which I would characterize as kind of modest in terms of generating incremental revenue. I would point to a couple of things. First, utility income as you said, we’ve continued to segregate utility charges from rents and build customers for those. We also have the impact of the real estate tax pass-throughs that you see driving some of that growth – excuse me, in 2024 compared to 2023. And then we do also have the business interruption insurance proceeds impacting that line item year-over-year. So –
Eric Wolfe: Got it. Yes. I guess it takes so much conversation on some of the departments and is call it adding like 50 basis points revenue per year. But I guess it just doesn’t sound like there’s probably something that’s going to be there. So I guess second question you mentioned the collection of property taxes. I was just curious how that is going so far? And if you could just share what you sort of baked into your forecast this year for that specifically?
Paul Seavey: Yes. So in terms of the recovery we have noticed those customers for the amount they have been paying it. So no issues with respect to that. And it was it represented about 95% of the increase that we realized in the MH portfolio the amount that we build back to the customers.
Eric Wolfe: Got it. There’s just a way for us to think about the aggregate amount that could it be other income right? I don’t know if there’s a deal like a $1 million number that’s sort of embedded in there
Paul Seavey: Yes. It’s a little bit tricky when you think about it quarter-to-quarter. But for the full year because of the timing of the leases and when those pass-throughs might start, but on a full year basis it’s a couple of million dollars in recovery.
Eric Wolfe: Okay. Thank you.
Marguerite Nader: Thanks, Eric.
Operator: Our next question will come from the line of Michael Goldsmith with UBS.
Michael Goldsmith: Good morning. Thanks for taking my questions.
Marguerite Nader: Good morning, Michael.
Michael Goldsmith: Can you hear me?
Marguerite Nader: We can hear you. Good morning
Michael Goldsmith: Good morning, guys. In the prepared remarks you talked a little bit about the reservation piece being similar to last year. Is that less encouraging than you’re expecting at this point in the year? Or was the base case kind of in line with last year?
Paul Seavey: I think it’s in line. I mean when we think about the reservation pacing that we used for seasonal and transient certainly the seasonal is tracking in line with reserve for almost 80% of that second quarter rent which is consistent. And I mean we talk often about the variability in the transient but the current pacing is in line with our expectations. No surprises there.
Michael Goldsmith: Got it. And then my second question relates to the last couple of years demand transient has been choppy, but I think what has been a pleasant surprise has been the ability to kind of match expenses to the choppiness in demand. So as you think about the outlook for this year what have been the learnings from managing payroll to transient demand? And are there already preparations in place to flex up or flex down payroll depending on how that piece of reservations plays out through the kind of peak transient year? Thanks.
Patrick Waite: There is a great deal of focus on matching the resources we have on site particularly with that transient customer flow to as an example, seasonal employees that are there to provide services and activities for those transient customers. And literally this morning I was talking to one of my SVPs about exactly that as we’re moving through ramping up for the summer season. And what that plan looks like in the next couple of weekends.
