Andrew Joyner: Andrew Joyner is here. So, he may want to chime in a little bit on the detail, but I think the short answer, Dean is, no, we’re in very, very good shape. The vast majority of our costs are locked-in. It’s not to say, we haven’t seen significant cost inflation, we have over the years, but those costs are locked-in with rents moving up fairly precipitously. So, the economics of the deals look incredibly good. There is some issues around availability of financing, but we’re very fortunate to have a venture with Canada Pension Plan, where our new projects including Queen & Ontario and Symington are being funded with all equity or all cash. And so those projects are fully funded. So, we’re really in a great situation.
This portfolio is going to add a ton of value over time. It’s going to take probably a couple of more or a few more years, but over time we should be able to harvest significant value, and then we may be able to think about monetizing some of that and using it to grow SFR, pay down debt.
Dean Wilkinson: Right. Makes sense. To get a sense of how much, if you were to pencil that project, those projects out today, how much of that $2.2 billion could inflate too?
Wissam Francis: Oh, in terms of what the value of the gross value of the portfolio is? The way I think about, I don’t know that off the top of my head. The way I think about it is, we’ve got around $200 million invested equity that’s Tricon’s proportionate share. So, we’ve got about $200 million invested. I think the fair value, that’s about $250 million, that sound about right. And we think that’s going to easily be worth $400 million or $500 million. So that’s pretty significant value creation over time and we’re ready seeing that on The Taylor, like The Taylor is going exceptionally well. We’re already at 50% leased. We’re above budget — significantly above budget on time and on rents. And that’s looking like it’s going to pencil in to close to a 6% yield, which is obviously very attractive even with higher baseline rates today.
Dean Wilkinson: Great. That’s it from me. Thanks guys.
Wissam Francis: Thanks, Dean.
Operator: Your next question comes from the line of Jonathan Kelcher from (ph). Your line is open.
Jonathan Kelcher: Hi. Good afternoon. Just on the — going back to the regulatory front, how much does regulatory risk factor into your buy box on where you’re looking to buy? And are there any markets where you’re maybe looking to lower exposures to?
Gary Berman: Across the Board it really doesn’t, it’s a non-factor. There’s a lot of noise around it and we talked about before that in an environment where home prices and rents are moving up a lot. There’s going to be more noise. It’s going to ebb and flow, but obviously in an environment that’s more deflationary, some of that noise goes away. So, it’s always going to be there. It’s always going to ebb and flow. It’s not a factor for us for where we buy. There is nothing happening in virtually any market that rent is limiting our ability to run the portfolio to raise rents. I think the only place and Kevin might chime in, where I think we might want to limit our exposure would probably LA County. Kevin, if you could talk about LA County, but it’s a difficult place to operate and that might be a mark as we think about pruning our portfolio and recycling some capital that would be the one market where we would think about doing it.
