AvalonBay Communities (AVB) 26 Apr 242024 Q1 Earnings call transcript

Good morning, ladies and gentlemen, and welcome to AvalonBay Communities First Quarter 2024 Earnings Conference Call. [Operator Instructions] Your host for today's conference call is Mr. Jason Reilley, Vice President of Investor Relations. Mr. Reilly, you may begin your conference call.

welcome Communities and Earnings Quarter Diego, Call. Conference you, to First AvalonBay XXXX Thank

XX-Q please XX-K forward-looking of release of in note made begin, There afternoon's and we Before that press differ may and and discussion. associated forward-looking SEC. company's filed materially. are the uncertainties actual uncertainties yesterday results during a with statements as There a risks the and as variety discussion Form well risks is with Form statements, these this be may in

usual, press the you definitions on available may The financial refer to of other As the an discussion. review release attachment information operating results encourage our also which and measures performance. our to does this with and website terms, be include today's is financial non-GAAP used at in reconciliations www.avalonbay.com/earnings. during of attachment we and And

of and And for his will Schall, with that, I Ben? CEO the call Ben AvalonBay Communities, to over President turn remarks.

more everyone. by Officer. liquidity and Sean Investment the momentum sheet to discuss morning, O'Shea, enter positive Financial happy Officer; Chief season. balance Matt is good Chief we our and deploying operating prime outperformance lease-up our our developments I'm the and our as to our and Jason, how Sean preeminent outperformance leasing Chief will speak will our Officer; Birenbaum, joined and our we Thanks, Kevin Matt Operating to value. than continued for year-to-date And Breslin, and here speak questions of generate and to capital strategically are profile. Kevin is

identify these highlights the look Utilizing and key quarter ahead. X our we earnings provides Slide the presentation. themes as for

experienced outpacing build a are off strong and in quarter with to we meaningful than expected, able occupancy to improvements First in also debt were March. February first We bad start and and foremost, expectations. XXXX earlier to we results

positioned occupancy feel positive the momentum. as peak solid turnover, we and season, rental given we low rate enter well Second, leasing

to country. of continue improved outperform, [indiscernible] to our rest footprint drivers and coastal in suburban our delivering the demand and given the expect also We steady versus markets

Given trends, our our year for outperformance, and QX increased guidance. have in underlying quarter full applications first improvement we

We to in on million our NOI operating initiatives, $XX model November. strategic incremental executing here at uplift remain we Day track transformation. million operating [indiscernible], laser-focused remain We deliver from raised also annual including target on our a from $XX on Investor our our

And development outsized capabilities our in strongest with opportunities tap summary, balance sector, returns in drive increase on are can which operating wider the go the one and of shareholders. guidance. strength sheets from demand to the With supply results, me for strategic to our we backdrop on focused layer we our to that and our our finally, prowess deeper growth a let

was our returns are of XX basis better which For our the And FFO forma. X, we XXX lease-up prior on shown prior seeing outlook. quarter, as achieving growth above revenue produced and points Same-store increased than strong developments basis growth X.X%, points outlook. above pro and core Slide rents absorption and X.X% and our

be year with the to incur timing while better than outperformance expect later of estimated exceeded first expected, that from in Slide this we quarter still other we the Revenues same-store X higher forecast. is bulk by the of words, NOI. Expenses $X.XX originally note we than $X.XX outlook or FFO the prior QX had increase of shows the $X.XX to components expenses $X.XX. core were related just the in coming our in

is more portfolio X. Slide than to forecasted. Demand from benefiting job our originally growth for Turning

outlook has new estimate jobs. trajectory more have provides of For jobs or prior better as in same to XXXX, of an these be in that our on seem be to disproportionate This past, estimate economy. may now incremental its given we XXX,XXX the additional growth Economics, and list job of it concentrated million a Association of part-time X.X the demand, sectors up may lower-paying which the look to Business in necessarily share the job not estimates, the jobs National from NABE, increased of

the country to given own demand it And buy a differential record on in level benefit shown numbers right-hand As being low of a cost $X,XXX side home. home. month more This differential the renting. pronounced in across home prices, owning versus more for resulting this translates also particularly in most true [indiscernible] home the versus X, us residents of markets, the into than per of from to Slide rent to of continues leaving our expensive of a is the but

on Turning X. to supply Slide

suburban we X.X% of stock our this suburban, XX% today Day, XX% will than and less many new our suburban our deliveries Investor peers. faces As emphasized headed established averages. and In be historical towards at significantly line of portfolio, regions, with coastal in supply our year

will deliveries on and And in the stock XXXX, XXXX, of if a averages. pressure through XX X.X% XXXX. significantly the rents of be historical above In an lease-up project typical in end will the taking Sunbelt XX least, with the at by the months, of not contrast, occupancy additional into Sunbelt, to last,

values on below the This more continue attractive growing as our to weaker target. us of replacement for expansion journey market XX% operating from our to turn, our assets starting costs there, we acquire is, to which performance X% provides today in weigh in portfolio opportunity asset Sunbelt on a

FFO demand our are $XX.XX share to increasing outperformance XXXX. increase year the our relative year-to-date, core per we for backdrop a X.X% full With and guidance estimate supply to

up outlook. growth bulk is to revenue X Slides X.X%, be X.X% in With mainly our with NOI revenue higher by increase from now the the same-store original of detail projected the higher in driven on XX, and

growth the execute it to to above associate energizing moment continue level and turning are a a Day, a initiatives set Before high take to in years ahead. at near I'd also we the see and plan. Investor base, Sean, the the in It that of term and wider superior the who priorities AvalonBay the to like collective our that at to organization executing deliver team will on is thank detailed we confident

his to Sean deeper to perspectives. it and provide turn I'll go that, with And

All right. Thanks, Ben.

to Slide of economic accounted total quarter; drivers which of basis the roughly underlying growth revenue debt, were which of points outperformance outperformance for XX. for bad occupancy, primary another the XX%. and Turning our in X/X The QX roughly represented XX

XX XXs about expected, was an high to basis higher the at from year range than quarter. mid-XX% Occupancy points the of the the last end for increase

suburban grow new increased during While supply. we the and very we reflecting expected than demand coastal to strength underlying it more quickly primarily anticipated, QX, for portfolio limited our in occupancy

in to materially March, January about to our was budget in the original March. at original improvement X.X% roughly in February points points X.X% We [indiscernible] to is favorable of in expectations terms again and and quarter, February line XX basis with with our roughly all In budget. underlying for residents. debt XX which up declined X.X% the bad below from basis realized ended being

forward. We experience June. levels May see we been while consistently moving experienced of lower has these levels better by Therefore, we're confident reverted in few bad higher a results February encouraged dip similar at months in that to we'll to need feel in more The performance March, to a last year. debt and

and geographic in Seattle England, perspective, was a California. a more New New Jersey, York, to New in Southern initial material to the lesser From our favorable Northern and, expectations variance degree,

during prime is positioned move-outs indicators Moving portfolio XX. remains part are purchase QX, the healthy a turnover for to due X, In historical season. to and our portfolio home. well well low norms, very Slide to of a leasing below very in Key Chart level

XX% long residents reflects our in average favorable out of wasn't moved that established versus our the X% low. low only extremely being move-outs, certainly a own our XX% to a QX, XX% purchase of During highlighted is to XX% as and one of that the regions to X% communities referenced as purchasing ago we to economics long-term home. Ben rent It earlier. relative home of of

level turnover, change, low in above-average has and rent is availability in been Chart of relatively supportive asking the X recently, is accelerating of X. which stable growth Chart and reflected which rent reflected Given

the performance supply. with has been in experienced of change in and was the to established East X% while Columbia momentum District QX volatile our at sub-X%. a rent rent across X.X% of due positive at which Coast East As delivered throughout trending Coast range, expected, quarter was Florida Coast of regions markets, We change in soft number Mid-Atlantic, the new the the impact strongest while in particularly notable issues, the East including regions

during Northern The positive regions into change further and the the demonstrated Seattle with April. momentum. X.X%, range continued quarter, for Virginia the West which Maryland Rent market for at the X.X% leading was increased mid-X% suburbs Coast have

our improved weaker primary a urban Seattle significant amount meaningfully of the quarter. during is performance due soft new demand, to portfolio suburban across still supply and While

with on underpinnings flat not and performance the having appear, positive in yet change performance. current while Jose was in Francisco the offset by Rent of meaningful a California, In Northern change the negative Bay. change to rent East a starting San impact rent are quarter being it's better San for

at as X.X% is Transitioning of updated year. increased stronger revenue higher the rental leasing begin basis The an now to the rates season. as we driven us the outlook we into We XX expect originally start achieve address rates move to for original occupancy growth XXXX, has revenue our primarily Slide to to anticipated the allowed lease than of higher by guidance. prime for year XX our points same-store outlook of increase from

like-term about original now expect the range, point change outlook. effective rent increase a XX We from mid-X% in our basis

with low trend back quarter year, consistent half decelerating up in seasonal of the should X% second norms. the into the before The range

in of range points, low We roughly move-ins new move-ins decline balance which and the mid-X% for seasonal experiencing expect QX the in QX. range the the renewals reflects to for before QX normal low year, XX X% the basis average while

In a year addition, slightly in last more of X.X% improvement year bad we're with rate full the greater contribution underlying X.X%, debt rent down from and relief. from projecting a

which where than in New And outlook. XX, greater rent QX by change and you relative and improvement original Slide to with in projecting moving can performance regions followed We're delivering accelerated revenue stronger see the outperformed Seattle we're expectations X% further both our our New significant Metro York. most England, April, expecting to into finally,

is expected expectations, outperform Virginia original suburban supported Maryland. to Northern performance modestly our stronger Mid-Atlantic and The by in

California. modestly outlook, changed original also we our our than is Southern expected to perform better Northern and California forecast for haven't

and performance Matt? to XXXX. So lease-up our Matt recent capital I'll address turn over for plan allocation it to

All right. you, Thank Sean.

to lease-ups. X basis details generated development in leasing into is impressive had development increase XX translating per continued that which $XXX our a XX rents delivering in month are Turning yield. XX% underwriting, active the above results QX communities by being initial our point Slide communities. The our or

per XX traffic being seasonally month grew per in quarter, And This leases supported performance driven the net X XX quarter averaging factors. to velocity and is nearly which by in assets primary by strong first these month leasing this the with slow March. is outperformance throughout

First, completion. frequently trend time see we as time some will we the their since are and which designs. by usually at there's we at development how don't our lift to community economics and product state-of-the-art of to projected we responds into latest offerings development provides enter construction predicting communities start additional conservatively And respond incorporate report the premium our good market the second, our still new construction pretty development, the based the lease-up, rents period, our the market to unit features incremental while do growth until the during yields of some rent NOI on and

Slide to XX. Turning

plans owners or under of cuts a rate very in QX, average rate to were X on We of initial the While investment potential are expectations waiting our the quiet disposition to quarter development brought with with it closed X.X%. transactions assets for going All investment advantage agreement starts, a the looking a as at take still our regions consistent their before interest weighted established much with was investment activity no are track. in in for for market with now plans. pricing, many sales lull X getting our cap market year

start on our sales XX% expansion these to the we is We and regions year continue to months expect make our concentrated of pending proceeds over this from in development portfolio QX activity acquisitions allocation starts time. in market optimization the coming in objectives for into expected as some our proceeding our expansion also progress increase to redeploy Planning QX. with to as

rates. of in allow and spread which basis points construction seeing to some cap our between buyout us helpful regions, XXX development targeted savings certain are preserve will XXX to yields prevailing We

to in of to conservative And we that be expect through our SIP continue the grow business the do book, line modestly year. course but

concentrated years, all Fortunately, the and commitments still our maturity last $XXX X-plus program in supply in dispersed pressure out. have the years markets, that X are across the in dates today with initial submarkets million are new in were geographically originated less

So overhang our loan not burdening we have book. legacy do any

interesting attractiveness traction few the private been larger that sector It's capital might illustrates past transactions portfolio This of in increased sentiment also some gain bring as weeks. a to to our marks and the perhaps start to just progresses. see the year shift the continued deal flow in

preserve so of be continue on a opportunities unique We they to with future if advantage our in that capabilities. powder sheet dry take that to will we and may our strategic priorities balance our position are aligned emerge,

wrap I'll it things And turn to with up. to that, over Ben

Thanks, Matt.

results leasing expected, Demand to put And value. our for sheet capabilities excited that to our expectations, we're portfolio our to exceeded coastal than to generate have will faces have opportunities meaningfully stronger less into balance country. date originally and in the the the than strategic peak find we're confident work and Our shareholder heading we and suburban momentum season. is we supply elsewhere

I'll to and the end our turn prepared it the for open remarks line questions. to there operator

[Operator from And our Instructions] Citi. with first question Eric Wolfe comes

on Nick and It's with then just the Eric. here allocation Sunbelt. rotation the capital into Maybe

prepared in costs. You about opportunities replacement the seeing remarks made a comment below

just of product, of kind you the those replacement so the I how Obviously, seeing market average it's that. size also quantify you're in And of mean, can you're was opportunity kind markets. probably on range, curious the of then I in costs if far on terms expansion seeing but below

the extent Matt. there. depreciation on to obviously old I are cost cost because should the that discount mean, in of I Sure. based is going age some Yes. some below Nick, XX, to asset. say vary assets theory, trading the XX it's would years replacement there replacement is be

say cost. -- I'd XX replacement current XX% might But are XX% are to seeing be we It assets years are trading we that below old.

at market out We yet haven't seen coming lease-up of assets prices. compelling to of brand-new kind come

getting bridge active lending I their space. think people are extensions construction loans, a on pretty and there's

at those So we look would as well.

would I So of much cap would little as rates the being would one that's we I assets, seen that The honestly that younger be yet. been lower a light And to they than have but less have that, discount than reason has [ expect bit volume ]. supported haven't thought there as one that to market one as little but of we some been, a seller, is the a a and buyer, that's little we're of scarcity premium. anticipated we And But might advantage reason a a because that that's hand, bit assets bit brought on happen. frustrating. taking early

Or some -- of market? improve. the fast into rate and year your we supply of and to come you product Would more more kind hold? you trying acquisition that now expect start and to to to strategy how X, these, if a just wait right current I'm it's the urgency to the be understand of kind may of started uncertainty into owners moving maybe picture think do will forward has impact a and or supply

mean, busy when the to is say time volume knows? to brokers, there the BOVs they'll an volume. is with I transaction I This who ]. more they're if you And you seasonal coming. in that see pretty talk uptick Yes. the of would year [ start say

were QX volumes below transaction down they volumes -- from 'XX, below over 'XX. where are 'XX, QX which down QX in now 'XX, of were And 'XX. kind a was lot

point trading some to able see it. that will pickup we'll view, a little our hopeful you where be might accelerate disciplined from staying in think available. start But to environment I of move might And activity bit. to certainly, an we So asset start about into our be we are what we're

much quarters. say, X in that X or done the haven't last, We

put for guess generally of of it's the being I Per our well as window period add a to we supply the period one, of by time. in expect Matt. exist a reasons: decent I'll with remarks, couple Sunbelt. open see prepared for a and primary comments, Nick, that opportunity of time X us be my dynamics

occupancy is and rate think, here. we'll be on asset a softness on weight that So and we values

wave X, of we're maturities And of the of second at years then front capital done on is kind deals of world, ago. part really the part the the X X, just which

today I a seeing right it we're a to of not is with types ton still think So it also dislocation, of take opportunities. well prepared for -- but Matt, would agree seeing of early. And not ton advantage the we

And next our question from Feldman Wells comes with Jamie Fargo.

Great.

The Sunbelt at So I said a comment 'XX. could least, through 'XX. want through -- I rents pressure to go the to on 'XX made Sunbelt occupancy could in back last, at and you the and you on occupancy least, in possibly and rents into think last,

heard want that I sure So to I correctly. first, make

secondly, about year, that? confidence next about you this in And we've can the think if spring at end the it gives then got the year, slows saying of leasing leasing you talk you've And spring then more just down you what got year.

lot comments up cleaned a But think of I will won't. get kind indicate they people think probably of by things then. your

the just you're So what based seeing you're or you seeing plays hear ground on how trajectory on data that think out. of to want

Yes, couple a Jamie, with of I'll comments. start

just is and going dynamics of the So year, the known but to is exist. the Supply to peaking sort one going Sunbelt, remain this facts the yes, it XXXX. later into elevated is be it that in

when with period of know when Second those are are know we and -- is projects construction, are dynamic projects know under which time you we you lease-up. completing, known projects associated know the

lease-up. you on the the inherently XX of So to of that depending and velocity out project months that another size takes the XX

And impact the of then through into NOI this period that the rolling on of over rolls time. is rent gets third dynamic, the and

the gets time and frame. effective dynamic of early about XXXX last when that so And into that impact, last of you you think then type sort the NOI

it's dynamics. one our submarkets, certain slower supply area in the but known high minds, to It's where, growth it, we -- economic environment, to a the overlaid scenario And those better, continue a, of to of industry there pressure. the has gotten it's extent in be call in sort on economic expect

and painting of markets? Okay. are Austin, about there broad you I that think will the mean, pretty all for And longer? you're markets, [indiscernible] the the there Sunbelt pain when But heard some out brush. were as that then kind Is know child I I we've mean specific stand in we of really poster a be weakness.

of top be Yes. the list. Austin would also at that

stock we've those been coming point. into up percentage look supply. conscious urban-oriented of to be coming price the are in highest of reasons X as Just with one That Generally, levels submarket Sunbelt ourselves seeing supply markets, less more competing been the directly push submarkets the of at our That list. online. we've marketplaces on high that's expansion would online. a new with really density growing portfolio out generally the product, of And is further out lower market or the lower

Okay.

it like that. still find Sunbelt be So could your sounds would you if mostly expansion suburban,

Yes, It with as what is. been And about complementing very ours. of buying going a that's what we're it be building. we to conscious also we're choice think

the even price be further, Recognizing little will our still tend market. higher so it once we've lower development, will point, to that tends to mid-rise be product, and be point, comes to make a buying been it point lower bit what suburban, products. to And price density older slightly while

but and a also at focus our a on very portfolio talk it a we optimization, -- submarket think market perspective. as we level much we of in So about that overall terms about just

our next Markets. Austin from comes question Wurschmidt Capital with And KeyBanc

back want dispositions. Matt, go the Great. I to just to

any deep there today? think idiosyncratic related you that curious premium, sold there benefited sort And You highlighted you was Or buyer scarcity is of and contingencies? that but of valuations just you factors to if how reflective valuations whether the assets can financing share pool kind was not the the then I'm achieved? you factors maybe of specific is if or

them Sure. Well, the first have thing none yet. I'd say of is closed

one are a second Boston, we've provide California. the in quarter able more on urban good in end to past, little assets at call. be mix. Jersey, in a selling AVAs, the But bit pretty Seattle, one detail one the been it's one in So than -- what Three Southern the X of in so more

So geographies. a bifurcated good mix to market. it be of little continues And of a a bit

smaller million, And the be less syndicators, when then little kind So tend XXXX the private of buyers, $XXX bit ones either [ institutional. than you -- buyers, those find buyers lower probably less using ] deals, to bit where the more can -- that's an are are rates little cap if leverage. assets, bigger bid. less institutional And into of if you that's get

But getting are that of institutional that assets bid. there's plenty not

deeper And that kind even one asset, urban So based really which on pleasant bid are. [ is it -- surprise a have than ] larger of is does the that one was of relatively a there urban actually. others Boston, fair the any of you but And -- market. things vary where was the we probably

detail. helpful That's

switching Just to operations. over

Just wanted the hit Bay of commentary. on sort Area to

Bay momentum little What's You Coast going it as fundamental maybe then mentioned, a and West that less The that any positive there. I outperformance the to think, backdrop? sort underpinnings well? of submarkets were other of and take into bit translate better for to Area volatile and

it's so question Good and think, people's on question, the lot minds. a I Yes, Sean. of

X San example should Francisco that for are I is, I think in time. assets the as describe There issue are supply not period an X finishing an extended be or an first, way of lease-up. it

ground be I economics, given demand long and for on product, back just confident the period we side that San of really business But in the and nature issue the to Francisco. think is be on that timelines, an a more offices hearing we're for of their respective offices time. what It's part, leaders need the in most people sure do more to opening the won't that making really bringing

but political the a sure Certainly, issues. has associate [indiscernible] that to the seems living There in dynamic comfortable momentum shift of making some being those kind to takes population in way. is various that for is be market, that all started time. there, What's employers meaningful underneath positive that life

we job is growth particularly thing. seeing has little it choppy. and life, been some Obviously, But that's generative itself bit matters, a probably given thousands why are But signs say of showing I'd that into it's in these of the jobs to markets. boom, most manifested so yet the up AI important good speak. that, So not

And of being San an work, of there There's mixed technology about confidence broad that say. of think last and Francisco present, innovation to We're demand been sort still people around signs initial the in years. and bringing for of view the to But more particularly that certain San it so in Jose. Francisco, the back than the short-term that's of has I technology positive. epicenter is couple San life I see indicator more would That's bag to a the parts as it's East of relates sort Bay. of starting

more I quick this one just sort improvement, weren't Seattle and we ago, that the guess, sequential to I X it to just West seeing? X and of is -- those is asking turnover, those Coast broad so months Or you hearing rents you're given that specifically? Bay in is cetera, related markets driven lower And by are year-to-date Area, that about follow-up improvement being et talk there. mean

markets That's X% supported Certainly, X% L.A. being versus markets the Diego, are by to X% of to trend year-over-year at basis, up about San the roughly. asking are nice on parts Orange recovery. primarily County, And East I Coast it Coast Seattle if Coast up has that's mean rents, had it like relates a at as you look West the Yes. driven East markets. a by markets this

in the Seattle. trends I what's We've to what And into and the change greater reduction driving and my prepared April firming certainly in mentioned a QX just it seems part rent the seen about pretty in in sort The remarks, of concessions. Area as in we've Bay have significant been effective yet. than of a to in Seattle is foundation Seattle surprised,

XX%. XXX XX%. Concession 'XX QX [ XXX,XXX example, volume was QX, in about in in it was from almost for about to ] in down concessions Area, versus We of QX Bay down incurred us, the QX it as an versus

Seattle say relates I not but West the markets So Northern it's you're supported seeing to would California, broadly good being it the Southern in more by trends, Coast. California yet so as

from Evercore Our ISI. comes question next Sakwa with Steve

Sorry.

Sorry that. about

is on guess the showing Sorry. XXXX kind improvement. I the for occupancy basically Slide of economic no XX,

a sure But in time actually get I'm think So outlook. point the you I on. not pickup clearly, was XX the comps in had easier [ as quarter. basis the initial And goes what first ]

and given just talked side the that you're curious, doing curious just improved you're there top I'm is funnel rate bay? assuming I of being occupancy? keep the guess demand you occupancy that about something strong, reasonably I'm at growth Or might why not on So maybe

you a factors. Sean. to pressure X That Steve, occupancy. QX. Yes, really acceleration, We puts in seen experienced We've One of It's it's what which is is actually translating faster sort that little bit described. a rate improvement occupancy. in quickly of on

is actually And the the each other unit thing, higher. if you think dollar about value of rates, it with vacant higher from a revenue standpoint

side doesn't as is on X when you at sort reasons. the from might So does those weigh of revenue it you perspective. Anything that of more, that look to are worth and primary so vacant much contribute But it as it. revenue it think is the

expect we to physical that to a about way And that's be of by the time relative slide. push year-end our it terms it we why get on guidance. original roughly occupancy, In shows the up to

think Okay. some June, for the maybe renewal be X% July out I to But if X% were X%, those are could kind going growth, you I about of -- May, I heard mistaken, And wasn't period. discounting? substantially better of know you upside notices on don't sending year. maybe were I for renewal that say as you that than Or you there number? think and out a at where balance I follow-up, you're the some if assuming the heard I expecting said maybe

Yes.

You're state June are renewal May the correct. X% renewal for I and offers did around range. But offers. high not

settle reasonable in based on is to sort norms. historical to the them Xs mid of expecting So low

Got then on just lastly it. And development, Matt.

been starting some rate new I projects what's You you in are think, light of on Can upside you're what here, just the are of the delivering, the on I guys a couple things us, second today's interest new kind but today? there's know new targeting remind of hurdle new in that quarter. projects environment?

cap risky guess, -- actually we -- in based markets ultimately, markets There XXX where on target we're What to going going to Steve, mid- the into lower and expect one because not inverse Yes, of it's high looking kind yields investment point spread Xs stronger generally different that. have that's is profile less for growth higher XXX that then I different And return, target IRR. basis of it's are average markets translating the on for it's the risk the But be we different to markets also the be to number. it's to a to there's or in probably where submarkets even deal. yield. And are and down that about full that deals of rates.

And so the where in maps you deal of markets. actually start mid to those those Xs, are in Boston expect today, rates clearing cap a in see kind we suburban where deals to which where well

is then be a in in a cap because expansion might X. little the We lower X, would And to rates market. that of regions then that around and to it higher some suburban that, than Jersey, start around X closer a deal also which our expect are Mid-Atlantic, be

Adam from And Morgan Kramer comes question our Stanley. next with

wanted West to for expectations your Just ask markets. about Coast

at your correctly. they also I at think if [indiscernible] same-store a of for bit lagged I supplemental. the market-by-market growth But just revenue in pretty presentation looking little I'm kind have expectations are effective high your that if look markets these

revenue be kind in about rest I deck? there, one there? bring to at wanted that's just of the of Are looking year markets So ask -- going I'm same-store expected kind what's outsized there to best-performing if growth there of slide the your the to for the of you delta

it's one Sean. Adam, Yes, And the to debt is in Good mind factors underlying keep question. of in changing the markets. bad across what's

that debt, changes market, If it in California to one particularly occupancy, the component, was growth a you contributor bad for XXXX. meaningful And change total like it, think cetera. is say revenue about I et rent Southern is in but would

just to of churn those better To I in -- to the seeing sense underlying bad give first roughly units paying. then out, people was as folks revenue growth debt rerenting you and are some we're those Southern related the California, the XX% who think quarter,

a There's and few quarters gives lots the change There the bad seeing kind map a little back. help that that bit that attachment that the in is you may in driver. over are So table of debt, you a last of better. we're

And as maybe just Great. a follow-up.

guys You renewal just of year. kind about but expectations talked growth what already and for of the a through kind for today, would And apologies maybe walk you've this provided whole really helpful us be. the updated if new expectations

X%. were prior renewals think I

leading with flat, just through growth. blended previously. expectations roughly were little the may higher than was are those X% Maybe the assuming what updated a us bit new they to walk that New be guidance

decelerating of in mentioned in range X% is of kind in that range, the points original mid-X% my I about second quarter the change prepared our the the is probably trend above the remarks in half I What expect which indicated before up back is rent low Yes. year. we that outlook. effective like-term basis should What XX

to of which sort basis of of averaged QX. As XX decline in range low renewals, before roughly for year, experiencing and QX of QX, X% normal move-ins the to it kind while seasonal points, reflects the maybe balance mid-X% the low the new range relates kind for

we're that's looking of So it kind at right how now.

John question BMO Our Capital Kim next with comes from Markets.

raise what slightly. which headwind, you pretty I $X.XX your And activity. was good better-than-expected your due of that component wondering and capital guidance beat markets was expectations. Last Part a has breakdown outperformed improved to markets quarter, gave capital of on

John, primarily a and expense. income $X.XX markets better-than-expected as capital higher-than-budgeted by interest this driven favorable Really, was expense slightly Yes, -- is well interest as combination interest capital higher budgeted from the Kevin. of activity

where in most categories really the of realized. it's was favorability those So

investments? about on rate cap sales expectations your or What either

I Well, referring to was transactions in have QX. QX. We closed any didn't that

So transaction impact. activity rates cap really not have an did

at of range rates look we anticipated. the to you interest then that activity year As with basically markets adjustments activity due of movement selling on in debt things have existing we additional and fall as capital that buying assets expect guidance, and the a debt and full such

FFO $X.XX of being and our of the our initial $X.XX net core in capital by year for the getting We favorable markets, back outlook. relative on anticipate terms to full $X.XX

in we in what the in we're do markets terms broadly will So year activity. terms activity, of transaction capital of early

back but adjustments, later lot movement getting a of of been quarters caused the $X.XX the line the half, back of that the item. leave year $X.XX So in X in $X.XX haven't there's back on that shortfall made some additional us that that sort of year

originations proceeds. more tenure do or at cap Okay. you and look that supply of was whether on some metrics paid those mentioned favorable and would 'XX I reinvest the My that it's start forward 'XX had some second [ a maybe or What make to of off. reinvesting originations. wondering where or you rate when get in program? monitor vintage question the ] is on And the SIP 'XX exit cautious program, you you

it's Matt. John,

small So deal 'XX we next year is market. very only matures Northern that have stable, New $XX that Jersey, very loan a strong in the million

ones mature don't or So all 'XX the until later. other

So to first it so of speak. first necessarily kind wasn't in, out,

a out quite the book. So it's ways still still we're there. building And

that too we million the getting today. much money back. $XXX still in focused -- So on program reinvesting, We're haven't at we're really

I think for or XXX, is it to our be long-term goal XXX XXX. around

we're we'll of and we'll to from redemptions. some away we to there where couple this year still, point, getting continue million face in years start have $XX total that from At So -- balance we're yes, a at door maybe that. that 'XX. hoping grow But revolving then least,

of America. comes question Bank with Dennerlein next Joshua our from And

want just to I mentioned. picture big topic Ben, you a explore

kind where the did is wide. was so, how of the owning between front? on out talking if are differential benefiting time this Rents where delta play that. about your were really we You could it and there in just renting look back at wide? the like And from rent historical period growth any markets Is

own are appreciation, levels, the We've really led mortgage variations and rise the seen. that to in today has rates But small that. mean I particularly obviously, we've all-time of the versus seen seeing something home in combination markets we're rent economics in price time, our over unique, not that right?

I more expensive incremental demand would longer that economics. our an mean versus on we you're approaching forward, about cushion that's it to term where it's some rental of have we if own I rent. think kind that's as our frame Xx and supporting And of it looking markets

on may part Obviously, of is serve there's a not rates. it a stay that should today. nice that years. So for peak the as number trajectory it cushion us as based But is a of as interest of tailwind for

Is gap? Or like kind Or like as not it's a it's be potential would narrowing forecast year anything just of maybe multiyear. forecast there far And any upside? like your as rent assume your does that that of growth in X maybe dynamic, goes?

Just ] [ trying this. potential to through upside from think

level. of Yes. relatively sort bounce stable. stable I reflects outlook mean year this at where prices interest the remained the being rates forecast for have bounce around. in terms this relatively of reflected a point generally we are Obviously, But year current in around, time

Green Our next question comes [ ] from Chan Anne with Street.

I'm values you other things of assessments estate just more tax property in wondering suppressed aggressive apartments the seen sectors? fill examples by in beginning budgets with hole have get to left to real any of commercial help

year. are the of State it's is bit weighted half early I that in of Virginia. in and Anne, of have this Washington we thus for assessment mean is seen an midyear heavily the year little really back far a more kind and cycles towards of the What Sean. some calendar the uptick

the that's relates of. lag aware assessed We There's it a we're But jurisdictions into don't have values. insight to yet. in terms just what tax all of property portfolio, our as

Sunbelt would other see maybe that's run-up the of before be So our pressure through way couple move to on probably you there'll next the COVID the that still through its of working the occurred more system based years start be in on it sort direction. expectation the

kind the that's of for high-level XXXX seen we evidence view. that clear So haven't just of yet, but

should just enhancing of the what preservation? All level I'm that. few next CapEx unit in we and combined per between asset And right. expect years Appreciate NOI curious,

Anne, Yes. Matt. it's

our 'XX preservation or roughly over pretty X%. 'XX, looking really investment of So a between volume we I unit, X% increase CapEx, and last our consistent the that's to NOI, CapEx or where investment asset is, increased has well, a bit. our we're quite been around which guess, $X,XXX -- NOI-enhancing The $X,XXX, X%

across year most million $XX year. same portfolio, looking double which $XX think million, store. We're I about last this whole guess to invested the I we of that was

of an A the lot years. units of at think for that's driven expanded the opportunity about Day. in production the And expanded accessory that that talked is there solar that's Investor out and couple it we opportunity by dwelling California we by for next

years. would those to continue that. at I about opportunity think there increased the be that next least, of opportunities, have And couple for to excited will we're So the

with next Brad Our RBC Heffern from question Markets. Capital comes

Yes.

assumptions, normally blends further low the would pick to conservative given maybe you're rate the up expect from for second blended quarter, in you little the and On April. X% already at those a here, X.X% seems

for your am is muted I normal than second wrong? the more for year? rest So and seasonality Or the assumed of that the quarter perceiving

offers Brad. our what of I or rent growth. that kind yesterday. through is made seen just that really, I terms asking expectation so in X.X%, not low mean of for played No, ballpark. renewal growth in X.X%, we've rate X.X% That's somewhere mean X%, have through already been

in for And second somewhere reasonable. quarter. move rent second that will quarter growth then as to through you like continues range see seems the it the So have is we asking how

little how concessions anywhere about but Okay. a bit the regions, And and you any can they then I'm talked Bay of well. Seattle, go and trended? but concessions, as thinking other you through Area particularly regions have expansion on the the that else about

I would regions we portfolios in same-store of Yes. is basket What in terms those first, have relatively the regions. in small say, our expansion

markets anything you So have as we There's for assets don't only Austin. X in think Texas, example, in the of Dallas. in expansion

increase Dallas. in saw in was least of about we have QX, We QX. It year-over-year at a all In it concession roughly in leases. in seen year, half the previous volume -- about X/X was

you There submarkets geography, level submarkets a are. really broadly for volume. it's a it's large is are for well where every where depends lease. diversified, month almost other Dallas some half market, are very some -- where There a of month Dallas So on really over

So are. it really on depends you where

as If to you to story a I it's the referred move Ben earlier. of really versus market, think Denver urban suburban,

[indiscernible] more where are of we much the as to operating have where concessions one have the our compared If asset, most we urban submarkets assets. you're suburbs in

similar story then terms Charlotte, And expansion our as regions. in In Denver. a other of it's

end. the of a We XX%, the less. versus it's pronounced South are to assets have bit leases suburbs, closer to X.X move quite month Concessions average in the you of more XX% some for probably there, northern sort

be assets. little Florida. in of where kind writing rent many a what on Lease-up assets market more of but to people for. a price for to is And and then more as check I a Florida assets, existing it absolute based are rent tends different an a concessions existing effective little tend am of

rent they're so And concession. than the concerned the lease about most

but little the it amount haven't bit a concession volatile, think of that's seen than dynamics. of we I of sort volume. more Again, representative to behavior more huge a that's is our pricing So market

Haendel question comes St. next from Our

We'll Mizuho Securities. question. on our with to Juste move next

UBS. Our Goldsmith with comes next from question Michael

This is ] Michael. Amy [ with on

back, have been there the cycles supply periodic Looking in South.

is in can slow And So to concerning start But the back clearly, you increase starting development to your we're into heading seeing fast there? rents 'XX. to supply up to you how recover, exposure as look that Sunbelt? pick as

barriers to there's in entry Matt. Southern barriers. that There's Yes. certainly less Amy, the is less markets. It true it's regulatory

supply to more so quickly. to is demand able much And respond

really excesses a ago started in a Southern that some Sunbelt markets. are of the of couple quick you're COVID supply tremendous seeing some -- relatively were those now or of market years response kind to And demand with of

a it can cycle. there. X allocation attenuated there. our said Demand trying more lot portfolio those on to shorter is, So having get comes, And kind that, respond XX% demand our to a view cycle, into interplay But long-term quickly. I'd supply is a say, and the between factors there of of

both particularly there there thing supply other And selected, at some geographies we're within we lot. meaningful the are of pretty those these are and submarkets The to certainly -- those and do the expansion a acquisitions constraints -- matter submarkets good are development side. that barriers. for the some unlocking that would And more submarkets us, say have are attractive is even that markets on I

within region. that our each see strategy you'll inform So portfolio

that near perspective. the cost term, add I'll long-term ability attractive the from set about be in and the Sunbelt, to at Yes. find in And we're the and got replacement good that. opportunity thinking as a hold below to a we've basis buy

focused our are strategic We our initiatives. increasingly also capabilities model operating particularly bringing and on

some driving growth for density and There with to us of into assets the could that markets, we're been which that the be land finding fold. attractive and side appropriately, existing is expansion Sunbelt longer but position more in make accelerate. these on the new to opportunity start which of to and in bringing markets land competition bring we more we that increasingly more we term some and flywheel lot expect structured our less a sense as will And to It's immediately to the get assets, value. our generate

growth today's developers. provide for And seeing then that we've ability kind is driver quality our profile better a capital quality tool sponsor, other environment for real are in return used a in better sure, of a a to fourth less regions. there. better value abundant, is our expansion as world capital in where And of estate, to for us And

longer-term drive into that it's So tap that of of combination opportunities to markets. we'll those our expansion

terms land currently? in then seeing quick on that. cost a of are follow-up And you Great. just What

costs? Land

acquire you To if were to buy. land, Right. going

Yes.

like sellers seen time lot sensitivity, assets there's motivated regions, There's and obviously, seen, sellers. kind In of of So some not land we about, varies, talking some are in for no particularly holding have have particularly a prices they're who it our the come by region. [indiscernible] -- out. regions, we're we plenty down of significantly

was Investor say, in start deal But suburban been we than Quincy. where it had the Boston, to able 'XX. in actually deals QX buy to or the one looking that before, under in we were probably highlighted of we're our That's Boston that land suburban less Day in where deal 'XX XX% at land at -- the contract in

necessarily aggressive. expansion had costs. pricing Florida, we significant in seen incredibly But moves a So that seeing regions, we to in where it the haven't has come probably bit off land In gotten land some down little are extent.

is or lot. is, the say, percentage New XX%, It much smaller I total might the of cap moves York, that's would It's expansion a cap. your where deal it because of beta. deal many California than say very in Partially, regions, be of a total land the in XX% high land

If of XX% you're total deal in Charlotte, might doing garden be land only cap. deal a your

needle to going really much, not as it's going sensitive be it's not move either So to in as the and direction.

sticky begin tend were with. So it's cheaper stickier been -- to land general. those prices probably markets they They've in obviously, in be to where, been

from comes question Goldfarb Piper Sandler. with next Alex Our

So here. X questions

permits? resi a But law with First, this not your the to recent just to opportunity looks going down development New guys to lucrative, office capital you actually an office to for The conversions you, rent for of a be take there's your for expecting X-year program, landlords new represent quite building. York a capital a sort be who does updates. this lot have landlords that may of may and existing apply clock office given seems short So the attractive where it have be window to like them. shot contemplating to act, to

Alex, I it's would say no. Matt.

is funding regions. expanding program developer Our in our focused on growth expansion really our

looking investment we're our capital grow not So in to New York.

the there's overall out hard landing, Okay. sort just there. that about soft months certainly ahead what's comments economy. broader none outlook guys spoke that ago. your a going question few And weakness of provided guys you debate out that There's landing, to second about expectations the suggest then you happen the a was of of there to any is But impressive,

is seems anything environment? this later are an or year regions are seeing the you like a that I are improving feel different give mean towards markets suggest caution what Or there across Is the almost different all seeing takeaway? are that there healthy. markets, it would things the all from actually that -- fair

Yes, Alex, this Sean. is

of demand estate And But are business both. supply that brush reasons or you relatively challenged submarkets stated. here. for what are is either real I or there consistent broad a local think the is certainly,

doing of soft L.A. mentioned portfolio. about Seattle, is thing is driven Columbia both said District and well, in my by remarks, is reasons. while be I generally Mid-Atlantic pretty urban As a for little same the could The downtown The that supply prepared suburban bit our quite demand

an example. as asset one have there We

speaking, is say, correct. indicating you're would I what So broadly

you coastal, choppy. a But obviously, [ plentiful as For urban conditions more some base are still we primary that of quality exceptions challenging the with there where of little And portfolio, would suburban, healthy. customer submarkets life some are supply, point I to have ]. are really these

markets, some of And still layoffs growth, of then there then you're that where hearing there about are and some in there signs are job there Area are the certain signs here still of Bay media. the but

is is the So right but I everything now. say broad it brush rosy, looks wouldn't pretty good

Alex, year. But would on improved couple. beginning much expectations I beginning the those Sean inflationary highlighted I'll touched the true picture, consumer there change just add crosswinds, loans, for you are think of on the briefly. you and and renewal, up highlight We've from given impacts a very coming the when job I'm our I mean wallet. repayment. And student about right, there think the in are when of their loan car about the

consumer as generally of sort our describe So the has would improved, it of series still outlook a but facing crosswinds. I

our Dowling And from Anthony with next question comes Barclays.

Powell Anthony here.

in Just a core the there. improvement improving be detail that process, question their on What back it debt quarter. improvement? the bad getting you current? drove of saw in more great resi would coming Maybe the Was quicker, kind

Anthony, Sure, it's Sean.

for that people sort the been the child of of little a this. places Sort you I'd geographically, most which to like actually laid of for might have be those a in all out. combination was point is a which not what factors improvement surprise of just of poster L.A., bit And

in points decline sort it QX, very New was improvement area. Boston was of in It in metro saw to broader about we good But York X.X%. basis was X.X%. a points region QX, points. QX in of declined improvement XX debt the Underlying basis basis in Seattle. that XX of XXX bad In

a reasons the as as skip those the factors some driving the So improvement. and of for all sort combination all mentioned, you [indiscernible] on process, evict payments of up well

on going can comment? ]? capital views the on provisions just don't back office wanted see your to you law just broader to York. if provisions more comment also New maybe was that ready the and New Maybe want a just [ guess to or the development in Was both passed. that increase the York a the close wall you to I rental I

York we're journey -- of today. and think, the the mean regions Metro really I allocation, I look capital to our comment. is we It just portfolio a It a this Matt. been was our That's redeploy time. been -- expansion out you of broader at reduce When we've roughly capital area, New that XX% portfolio to Yes. has is on our over rotating one regions. into as allocation

as challenging, into operating strong overlay State and it performance. factor there, does that very that in there the City, our a New region then relative is about -- yields, challenging which So first development is overweight as goal. it when good our and foremost, New we're pretty well. long-term We're And investment not to these you there long-term but more of And York our days. are and New to can as York regulatory view just New region York York New talk Jersey going be specifically, finding is

from Linda question comes And Tsai our Jefferies. next with

any the wondering past a In so? moving along composition your in terms those the residents demographic of house, buy over of X% lines, the you've or shifts if to out seen year

It has levels, you. to roughly, would be only portfolio I the Sean. wouldn't only [ it's would the ], roommates might terribly the more say rates That thing imagine, could COVID, Linda, kind The come anything little point I volume to really normal has could some is that of declined. up point as across of you point ] to I room winter, as I data that for bit a the certainly significant. say. Yes. [ back

And in of residents. kind lower-income for demand? Is then in read growth there being of on AvalonBay the job concentrated through better terms resident any

we've that of those Coast, at other have than markets, particularly seen, certainly Yes, the assets lower Sean, of our we assets the some price performing where again. on Not greater well. a in point share are West point quite this

to certainly student bit car point, consumers with a from I et that of cetera. inflation, happened are think little there cetera, Ben's what's et loans, feeling pinch are leases expire,

And point those of some the than well, lower higher better submarkets. in so point in price assets quite certainly, those of price many are performing cases, some assets

reasons market-by-market you demand some overall, just cases, So it's have lower But the for in some a price maybe points. even stronger demand we and really for healthy of described, the maybe question.

next Wells [Operator Fargo. with comes question Instructions] Feldman Our Jamie from

guidance your any But $XXX 'XX of quickly, like -- kind thinking markets have maturities? in are outlook in 'XX pull of impact can about if pipeline that? what is unsecured. your your the I million general? wanted just And are get terms refinancing? Just maybe any larger of 'XX. you in might about in maturity what's to And a on much that talk thoughts forward and Obviously, to debt you'd with your thoughts you in there you your maturities Just did 'XX the us chance what on

as billion what This we recall, context, significantly capital changed outlook. Sure, just Jamie. Maybe XXXX, I'll billion is have kind has of for a November, a identified maturity Kevin. $X.X year million X.X% consists Yes. interest from it's rate. then of later true and spend with in our not debt just in $X.X today then And that of to It's which $XXX provide start our still initial some the is you plan for we this uses, investment which year. and

got the that's we've So for year. usage this

cash kind Our about that at year cash parts, sources XX year cash the of at X X end year. beginning drawing the in flow. We $XXX broad we have the million of of are unrestricted ending and and million of of pretty the had anticipate the straightforward with down $XXX free

X debt the lot we external sourced [ time change, of our be reforecast, or year, our capital, that assumed can million In $XXX which happen. combination of the so only the this incremental $XXX through do about a will proceeds net we we acquisition of year outlook at underway. We're what million contemplated we'll disposition of about contemplated that's the -- about $XXX then activity in so see And million early or would offerings. initial debt use disposition from and and QX probably ]

a lot not So of change.

deals, debt we deal. The that first intend struck are hedges debt $XXX effectively in X of apply to X.X%, So our rate. million to at $XXX place XX-year have we million basically a

the X cost ]. somewhere unhedged like would be of be [ if small we'd debt debt a the So versus X X we in were at that debt an deal, today, range XX-year more to probably looking do deal X, low X%

So we're goes in great shape. back I mean it of kind to Ben's comments. initial

have strong or X.Xx, maturities terrifically $XXX from low range lots flow, million to leverage of a million debt sheet, cash a well-laddered and a year. $XXX typically that year so balance We at free

it's of little still our over is year elevated, Next a bit X but more capitalization. points just

That also a there's million breaks and around into a one. XXXX modest in million $XXX at the relative then at X.X%. in broader another REIT industry, even is X.X%, So maturity that down November XXXX, $XXX maturity around to June

our So They're are spaced roughly spectrum. relatively out apart. and months X light across level maturities the

And so we're to expiring are that would roll unattractive we which certainly relatively to rates debt to today, forward unlikely them. they as positioned those anticipate where debt of them rate. early. is compared And retire pull kind the well maturities with not We currently they prepaying do It's due. come

debt, for capital take come And pretty we'll So as again, markets they this things as those probably come. we'll address activity, they light is a and year including due.

Great. want year, would a hedge the And put when that? next you helpful. for would you do to on And then That's very early?

opportunity year. the in do. the -- we continually of evaluate have We over sort one hedge maturity. of X don't of its hedging in it's is those about hedging. -- a plans course We Jamie, for maturity, we It's evolving advance doing anticipate fixed plan Yes. do that to capital our and like function really what And in the of debt something have looks set year of following and do years rigid percent of the the of what each for the the year? sense how market we think we'll the of current treasury

question Securities. Our Truist next comes with from Lewis Michael

X, XXXX a And in really in already that it to look in words, to regions advantage should and we're not versus talked other question. like. one your Slide I going In what X.X% the When clear regions you to is be? the 'XX a but me growth, your versus I established just the know at Sunbelt. have spread look the long, are there, topic growth where right? unit X.X% I about, relates It's which XXXX and going what established Sunbelt lies lot

at you Because your regions versus just fundamentals 'XX. looking I'm your ones if going to layer added, once expansion in are than maybe units households created 'XX like it, it to me demand have better likely looks onto and more established

that big what that you equilibrium an just me wondering, just not advantage I'm So there's difference in clear for is there. It's a supply? to do think

couple I'll Michael, Yes, of comments. a make

kind Sunbelt through more at kind mid stay volume, in of expected of given historical the this of then starts year. of get year, the XXXX. start in the as to levels towards So come you back point to the next peak get down end elevated as starts reduction And middle you some towards

there. part your think I of of sort comment So that was

will you're optimization. how markets look both we leads demand be then right. it portfolio impacts about to the supply very further deals Now out, deliver, you earlier, comments is do and our into think obviously It us, as on overall more And much my for if extended. And exactly story.

And feel expansion the in very in our region. performance XX% broadly, opportunity strongly We the nice markets. Also think addition. that's that's towards a we're about South reason the to continue headed

is normalized that Day, into we environment, longer-term went into a more how we we the there's that our into more leading as goals. So think but optimization Investor get to about

Okay.

So in pretty similar established that better. look is X.X% going gradually X -- growth to I fundamentals your think regions? sounds pretty get the number think versus supply But parts those mean that mean, I start -- year, like might if it concerning of kind are Sunbelt is those X.X% of in to things next portfolio Or are year? the a you you next

the the starting of barriers shortness to the market I time. for norms cycles. comment approach the Matt about those in to think and now Sunbelt earlier a to start made historical closer of they period deals

So overall factor do think how we it portfolio about optimization. does into our

I'd unique on isolating one a Mike, about of delivery be cycle the being terms the fundamentals. in is years impact And to here and keep thing, as little I careful very mind think, in

where to what this up. that beyond months the back Ben of will deliveries As chart see terms Putting XX terms you sort be of alluding in XX the leasing does the market dates for they're initial in those XXXX, on of half to of into delivery peak them units up. was people in it how earlier, year, leasing

think deliveries And that impact are beginning the in coming pricing, those have you've plus XXXX. deliveries got new you of if you in on

takes in So period as sort a of impact coming on long reset up. time to time And the clearing units market stabilized rents market are to to the new assets price. takes for them a of lease

it leases expire, those As has roll. roll to rent the through

And sort the So better that's effect, the performance it into reflected that rolls, take we're prices for in we assets new the Sunbelt. that stabilized the when be to lease saying about takes time sense. relative makes if that I should the those XXXX, of feel and regions think our in asset rent carry given you XXXX, compounded why to up to much established

Yes. Understood. 'XX supply was too, a right? high year,

And the are further closing remarks. to Ben I'll for Schall back no floor time. questions there this hand at

for you and talk And joining and support, your all we'll you us All thank engagement appreciate today. with soon. We right.

That our disconnect. All for may call today. you. parties concludes Thank