Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from [Kunal] - Morgan Stanley.
Kunal - Morgan Stanley
Could you provide color on where you are currently with respect to your 2010 lease expirations and on that basis how you feel about an expert next year?
Rich Sokolov
This is Rick. So far through September 30, 2009 to 2010 we’re about 44% through our renewals and either excluded, we’re in progress. We’re making very good progress there. Compared that to September 30, 2008 we were about 53% through our ‘09 renewals and so we’re a little bit behind, but part of that is the deliberate strategy on our part to delayed renewals that are coming up in the second half of 2010, because we believe we will have a more advantageous environment to negotiate those renewals.
Kunal - Morgan Stanley
Also, although there haven’t been many transactions, it appears as a cap rates for B malls have moved, higher relative to A malls. Have you reconsider the possibility of stepping into the market acquire B quality malls either on your own or possibility in an institutional JV?
David Simon
I guess the answer is, we look at everything that’s available and if we like the property and we like the price and we like the growth characteristics, we’ll take a hard look at it.
Kunal - Morgan Stanley
Also do you have in the outlook for lease termination fees in Q4, whether they will be materially higher or lower, which is the current run rate?
Steve Sterrett
Year-to-date, ‘09 compared to year-to-date ‘08 is generally almost right on top of each other. There maybe a little bit more activity at the fourth quarter, but nothing that’s going to move the needle in any significant way.
Operator
Your next question comes from Christy McElroy - UBS.
Christy McElroy - UBS
Just looking at your mall releasing spreads, which forward from 17% in the first half to about 11% year-to-date, which could imply the spreads were flat to negative in Q3. Somewhat I understand your spreads are calculated based on store openings rather than leases sign.
So what I’m looking at is effectively a lagging spread number that reflect of leases signed three to six months ago, if I understand right. So what I’m wondering is, given that you know where leases are being signed today. Was that flat to down number sort of an anomaly based on the mix of leases you were signing any time or is this a new run rate, such that you’re no longer signing leases at a positive spread?
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