Jonathan Hughes: Okay. And then maybe my follow-up is, and I realize we are still waiting on this. But any user or updated expectations just on the staffing mandate that we have all been waiting for a few months now. I think one of the operators said, hopefully, we can have it by the end of the month, but just any views there would be helpful. Thank you.
Megan Krull: Honestly, we don’t have that crystal ball at the moment. I mean, we hear the same things that I’m sure you guys here. I think we view the fact that this hasn’t come out yet despite the fact that, it should have come out in April as a positive that hopefully CMS has gotten a ton of comments related to this, in terms of, don’t have a one size this fall mandate, and hopefully push it out until there isn’t a staffing crisis. And we are hopeful that, they will take a balanced approach based on how long they are keeping. But we still have to put any clarity as to when it will come out. But remember, as well that it’s going to be come out of the proposed rule, right, there is going to be a comment period. And so, ACA has historically been very good at getting things more beneficial than what it first comes out of.
Operator: Thank you. And our next question comes from Connor Siversky from Wells Fargo. Go ahead.
Connor Siversky: Good morning. Thanks for having me on the call. I would like to dig into Maplewood and apologies if I missed this in Dan’s remarks. But could you quantify at all what that cash flow ramp looks like from today through the end of 2023 between the lease up of Second Avenue? And potential rate increases at the end of the year? Or worded differently, I mean, how much EBITDA can we see from second half? How much from rate increases? And do you think that would cover the rent shortfall?
Taylor Pickett: Yes. Just, I’m going to make this a relatively longer answer, Connor, just because I think the context is important. So, if you look at Maplewood as a whole, the core portfolio, excluding Second Avenue, is performing very well. Their occupancy is at pre-COVID levels. They have significant cash flow. And then you look at Second Avenue, which is in Philip 61% occupied. It has now positive cash flow pre-rent. So incremental occupancy is just going to add to that cash flow, and we expect another 10% of incremental occupancy so from 131 resins to 151 by year end. And obviously, that has a lot of power in terms of cash to the bottom-line. On the flip side, rate increases happen typically in January. So, you do have whatever inflationary impact between now and the end of the year that will cut into a little bit into that cash flow.
So to get you precise numbers is difficult it probably doesn’t change much from the million dollar deficit we’re seeing today. But then just to close the loop on the rate increase piece of the puzzle, Maplewood’s total revenue is about $200 million. So when you think about last year’s rate increases, which were high-single, low-double-digit. With the expectation in the industry of something similar for high end properties, that’s a really meaningful in terms of the amount of top-line revenue to overcome the cash deficit we have today. So long answer to your question, but I think that context is important.
Connor Siversky: Great. Appreciate the color Taylor. That’s helpful. And then just as it relates to the line of credit and the building deferral balance, I mean, what does the total TAB to OHI look like currently? How big do you expect that to get? And then is there a threshold that you wouldn’t want to cross?
Taylor Pickett: So, we’re at $270 million round numbers, and we don’t expect to fund any additional cash into that line. Remember, we have interest that we’re on a cash basis with Omega. So, we continue to accrue interest that obligation continue to run to Maplewood. But from a cash perspective, we’re done funding that one.
