Hamid Moghadam: Yeah. On the rental forecast, I am afraid you are going to have to wait for that when we issue guidance and we get into that. And one thing we are going to stay away from is quarter-by-quarter forecasting of rents. It’s hard enough to guess what it is on an annual basis, much less on a quarter-to-quarter forecast. So what was the first part of the question? Oh, occupancy trade-off.
Tim Arndt: Occupancy.
Hamid Moghadam: It depends on the actual markets. There are about 20% of the markets that I can see us driving for occupancy and about 80% of the markets that are still in equilibrium or tighter. But the key to your question is what you asked in the middle of it, which is, how do you expect that to change? And the reason we are not going to get super aggressive on rents is because we have a belief that, I mean, just look at the starts. They are down 65% and even with moderating demand, we are going to get something like 60% or 70% of that shortfall that we are going to encounter in the next three quarters shortfall of demand, we are going to get it back in the subsequent three quarters. So there’s no sense really going cheap, it’s just. But I would say 20% of our markets, we are going to be more focused on occupancy.
Operator: And the next question comes from the line of Nicholas Yulico with Scotiabank. Please proceed with your question.
Nicholas Yulico: Oh! Thanks. Just a two-porter on Southern California. So I guess, first, I wanted to see if you are seeing any benefit in your portfolio since September in terms of the port being resolved, the worker strikes impacting LA Basin or Inland Empire, if you are seeing any benefit there and pick up any activity. And then, secondly, just wanted to hear latest thoughts on why you think some of the weakness that you have cited there in rents in Southern California, what that dynamic is out there that would be different than other markets, meaning that Southern California is not a leading indicator for other parts of your portfolio?
Hamid Moghadam: Well, Southern California is very geared towards basically inflows, 40% of the inflows into this country came through Southern California and that number dropped dramatically because of the labor issues. It’s too soon to see any recovery because we are also going into the Christmas season and anything that’s going to be in a store for Christmas has already been on the water and through the ports and all that. So I think you are going to see the effects of that next year in terms of recovery of flows. About half of what used to come through LA used to stay in the LA Basin, Southern California and half of it was shipped elsewhere. We think the half that stays in Southern California for sure will stay there or come back and some of the rest will also revert back to Southern California.
I am not smart enough to know whether we are going to get half of it back or three quarters of it back, but we will get a pretty substantial portion of it back. It will be more into the first quarter or second quarter of next year before you see it in the numbers. Chris, do you want to add anything?
Chris Caton: Yeah. I will build on that by saying as the market is digesting the demand and supply picture that Hamid described. We are beginning to see some differentiation in submarkets where LA, Orange County is proving more resilient and the Inland Empire is a bit softer.
Operator: And the next question comes from the line of Camille Bonnel with Bank of America. Please proceed with your question.
Camille Bonnel: Good morning. First, a clarification that I want to get your thoughts on guidance. Can you clarify if the SoCal market rent change in the opening remarks is on a sequential or annual basis? And then appreciate majority of your leasing for 2023 has been addressed and there’s little that could change your core outlook from here, but want to better understand the level of conservatives being factored into guidance looking into your end. What could change your views more positively or negatively? Thank you.
