Jason Fox: Yes. Look, I mean it’s €“ as I mentioned earlier, I think that the sale-leaseback market right now is probably as strong as we have ever seen it, and there is a number of factors leading to that. One of which is private equity firms and how they capitalize their businesses. I think the alternatives are just not as competitive, cost-wise, mainly high-yield debt or leverage loans. I think the second factor, at least in how we compete within the sale-leaseback market is that mortgage availability really is still not all that strong or the execution is a little bit uncertain. So, a lot of the traditional real estate private equity buyers that we compete with I would say they are still largely on the sidelines. So, I think those two factors are really kind of coming together to €“ not to mention the fact that debt rates have stabilized a little bit, which has led to maybe a tightening of the bid-ask spread between buyers and sellers for deals.
I think all of that combined has really set us up well for a transaction market. Compared to this time last year, I mean look, when we started last year, we were quite bullish. And obviously, the sharp interest rate increases in the first quarter kind of changed the trajectory of kind of the pipeline from last year. But where we sit right now, this is as strong as the beginning of the year pipeline as we have had in a long time. There are some chunkier deals in there. As I mentioned earlier, several of those are supporting M&A activity so that timing can be a little bit uncertain, but we feel good about where we sit right now. And so I think it’s a good market, and we will see how the year progresses of course, but it’s quite favorable right now.
Spenser Allaway: Thank you.
Jason Fox: You’re welcome.
Operator: Thank you. The next question is coming from Mitch Germain of JMP Securities. Please go ahead. Mitch, your line is live. Please go ahead. Make sure your line is not muted on your end.
Mitch Germain: Sorry about that. Sorry, I guess it’s only about 5% of your debt that’s coming due this year. What’s the strategy for that mortgage debt?
Toni Sanzone: Yes, that’s right. I think it’s about a little over $400 million of mortgages maturing this year. I think in the context of the size of our balance sheet and really our positioning, we really see that as being pretty manageable. I think we have a lot of optionality. We have over $1.5 billion of capacity in our credit facility and about $560 million of equity forwards that are sitting kind of on the balance sheet, waiting to take out. So, I think we have a lot of options in terms of how we address that. You will expect to see us in the market on the debt side, given some of the size of the pipeline and the deal volume we expect this year. But I think we are in a good position with the $430 million being really manageable for us.
Mitch Germain: Great. And Jason, has anything evolved in your thinking on the operating storage portfolio?
Jason Fox: Yes. I mean look, we are still evaluating it. It’s a property type that we have €“ that we like. We have owned it for a long time. We have good property managers supporting us in Extra Space in CubeSmart. So,I wouldn’t say that the thinking has evolved. We are still considering all the options. We can continue to own these. We can convert some raw to net lease. We can also look at selling some of them at attractive prices if we think that’s the best way to fund new transactions. So €“ and it certainly could be a combination of all the above, but nothing big has changed. I think in the meantime, we like the fundamentals. Growth has maybe slowed from the industry’s peak of 2022, but we are still expecting a really strong same-store growth for this portfolio this year.
