Question-and-Answer Session
Operator
(Operator Instructions) And your first question comes from the line of Michael Billerman of Citi. Please proceed.
David Toti - Citigroup
Hi, this is David Toti here with Michael. A couple of questions. What are the terms on the $100 million refund?
Debra Cafaro
They would range probably a thread under 300 over comparable treasuries.
David Toti - Citigroup
Okay. And then my second question, relative to your debt repurchasing appetite, I know you've talked a little bit about how you weigh liquidity versus your spending power. Could you just sort of elaborate a little bit more on that relative to the spending that occurred in the third quarter?
Debra Cafaro
Yes, absolutely. And that spending continued to—that so you know into the—it accelerated into fourth quarter in October, when the market really crashed. Here’s the way we think about it, we have significant make whole premiums on those bond issues. We are only looking at near-term maturities because we’re really trading cheaper debt for more expensive debt, and since we know that we have to pay those maturities in the near term, we view that as a very positive trade-out.
What we have not been doing, and don’t intend to do, no matter what the rate is, to use our liquidity for the out maturity, because we don’t feel that that is really advancing the cause of near-term liquidity and balance sheet management.
David Toti - Citigroup
Right, okay, thank you and then just moving over to your leasing. Is there any update, or progress you can provide relative to leases rolling in 2010?
Debra Cafaro
Most of those leases are Kindred leases, and those are all in the pool of multi-facility master leases that are essentially all-or-nothing. So, just as Kindred renewed in 2008, we would expect them to do the same in 2010.
David Toti - Citigroup
Given the pressures in the environment, do you expect any sort of significant downward revisions? Or attempts to renegotiate outside of the current terms?
Debra Cafaro
We do not—and you notice, those assets are very, very profitable to Kindred, and they’re a significant portion of their business. Right now, we expect them to be getting about $2.1 in cash for every dollar in rent that they pay to us, and so we feel good about the renewals, as we did in 2008.
David Toti - Citigroup
Great, thank you, and then my last question is just relative to—it’s kind of a general question relative to your tenant concentration. There’s been a lot of focus on that over recent periods. Can you just sort of elaborate on your thinking about tenant concentration? Any desire to further diversify? Do you have any concerns over your existing roster?
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