Dan Hedigan: So from the economic side of it, it really is when we did the one year extension last year, we kind of changed the economics from a standpoint of kind of reimbursement cost to kind of just a set monthly management fee. And so that part has remained exactly the same. That’s just rollover exactly as it is. And we added basically two years and there’s been no change to our preferred return earning in connection with that. So that it’s really the big – the one change was really that adding those – actually just adding the time. On your question about the change in control, our partners in that are obviously very senior folks and we have spent a year and I’ve spent my year working with them and really working on that relationship and they actually really like the management team in place today.
And so one of the things that they’ve kind of said is, hey, we really like how everything is working today and we want to be sure that if you Dan or Mike or Stewart aren’t engaged that we have an opportunity to speak into that because we’ve got a very good operating relationship today – going together. So it’s really kind of more around kind of that keyman question. And the change in control is – and that’s going to also – it’s also a continuity issue for them. They really want continuity because of what we’ve been able to achieve the past year.
Unidentified Analyst: That makes a lot of sense. Really appreciate all that color. And can you talk a little bit about extra access to liquidity if you guys have a more prolonged slowdown and maybe if rates don’t really move and building kind of freezes up for a little bit longer?
Dan Hedigan: Well, obviously, we have the $125 million line that has zero drawn on it. As we kind of project out the market where we’re going, we don’t have the thoughts that additional liquidity will be needed. And certainly, if the market doesn’t recover we will be reducing costs materially. Right now, we’ve got capital for revenue communities later this year and into 2024, there is some capital, although we’re being very careful about it that needs to be spent. If we really believe there wasn’t an opportunity to generate revenue, we would stop all of that, which would clearly help liquidity.
Unidentified Analyst: Very good. Thank you very much for answering all my questions.
Dan Hedigan: You’re welcome. Thanks Ben.
Operator: And our next question comes from the line of Robert Heimowitz with Concise Capital. Please proceed.
Robert Heimowitz: Hi. I just wanted to start by saying this through it, I started my career in IR at Lennar and I learned so much there and you really have the hardest working in world class treasury and accounting teams. So now on to Dan, can we expect that you guys might build more homes through a fee build program. This was a very successful program when you guys did it. And it would emphasize to your guest builders that there — that you guys are working with scarce resources that if they don’t prioritize, you will.
Dan Hedigan: Robert, help me on what is your last comment? I’m not quite followed. If we don’t prioritize they will, what are you thinking there?
Robert Heimowitz: Like you guys had a fee build program where you guys were able to recognize good profits on and so you guys could go ahead and do that again if your guest builders don’t purchase the land from you.
