Adam Fountain вЂ“ Get ahead.
Adam Hooper вЂ“ when you raise a $200 million investment, you’ve got $200 million of ability, where youвЂ™re saying, if you are taking on leverage, in the event that you raise a $200 million investment, you may lever that to $400 million of capability.
Adam Fountain вЂ“ Right. And in which the issue can happen is, letвЂ™s assume you make a million buck loan. YouвЂ™ve raised $500,000 from investors, and after that you borrowed $500,000 from the bank in order to make that loan compared to that builder or designer. Now, if that loans goes laterally for you, along with to just take that home straight back, the lender will probably wish its cash. And today you have got, that you borrowed from if itвЂ™s a construction loan, you have a half finished project, and you have to give $500,000 back to the bank. In order that can eat into any kind of equity pillow pretty quickly. While in an investment like ours, weвЂ™re financing at a 65% loan to value ratio, of course we simply simply take home straight straight back, the theory is that, weвЂ™re no greater than 65% for the initial assessment value. Therefore we preserve that equity pillow.