We saw a significant increase in construction costs throughout the year. At this point, we’re not seeing that at the moment. It’s certainly our hope that as we get further into this year, the times where our developments will be starting second or third and fourth quarter that perhaps we get some relief there. The first signs of that are that we’re getting calls from contractors saying they didn’t think they had capacity to bid our job originally, but now they do. We’re hearing that from subcontractors as well. So given where the single-family market is and the fact that we expect new supply starts to come down on multifamily, we hope to see some relief on the construction side but for now, it’s just holding flat.
Robert Stevenson: Okay. And then, Al, G&A was 58.8 in ’22 and the guidance is 55.5 at the midpoint for ’23. Obviously, Tom’s left, but what else is in that expected decrease?
Albert Campbell: I think that’s, well, let me start with Rob, as we talked about, we really look at overhead as a total. And so I would focus more on the 128.5 and then that’s over 3% growth in total for the year, which we think is rise. But on that specific G&A line, the biggest item there is we had very strong performance in 2022. So you’ve got certain programs that performance incentive programs that are max and then we said our guidance for next year is based on target. So that’s a big part of that. And then on the property management expense line, the growth in that, that you see is really investments in, primarily in technology, both to strengthen our platform and to support the initiatives that were going on. So, and I answered both of those because I think that’s both together a part of that overall overhead growth for the year, Rob.
Robert Stevenson: Okay. Thanks guys. I appreciate it.
Operator: We’ll take our next question from Michael Goldsmith with UBS. Please go ahead.
Michael Goldsmith: Good morning. thanks for taking my question. What’s the expected expense growth cadence during the year? Is that relatively flat or is that accelerating? And within that are you have a midyear renewal or insurance but easier compares in the back half, how does that reconcile? And then on real estate taxes, the midpoint of the guidance is 6.25%, but that would be lower than 6.5% last year. So, just trying to understand the shape of the expenses through the year and also why the real estate taxes would be perhaps slightly down this year?
Albert Campbell: Okay. I’ll try to answer that. This is Al. I think what you €“ the cadence for expenses, you should see the most pressure in probably Q1 and that’s because you’ve got a continuation of sort of the inflationary levels that we saw in third and fourth quarter carrying sequentially over and comparing to Q1 last year with a lot of inflationary pressure wasn’t yet built in. So the highest point would probably be Q1 and it will moderate down Q2 and Q3 to more level more that mid-single-digit range. So that’s the main thing. In taxes, the 6.25%, I think we are €“ last year, what we saw in 2022 was looking back to a strong year, we saw millage rates come in that we thought would roll back more than they did. It surprised us a little bit in the fourth quarter as we talked about.
