Based on that and as you’ve seen, we’ve had an increase in third quarter capital costs. While the key metric we monitor, that is leasing costs on a per square foot per lease year basis, actually declined to $2.23 a foot from $2.94 last quarter, the absolute amount of dollars we spent increased due to our accelerated level of current leasing activity and early prepayment of future leasing costs.
We are currently 88.5% leased and are maintaining about a 290 basis point spread in our lease versus occupied percentage. We will hold this 88 to 89% forward leasing level through year-end.
As a result of our leasing success and good expense management during the year, we are increasing our 2011 guidance to a range of $1.36 to $1.39 per share FFO versus our previous range of $1.32 to $1.36 in FFO.
A few other comments on our balance sheet and investment program – in looking at our balance sheet, an investment rating upgrade coupled with continued leverage reduction and debt maturity management remain key objectives. During the quarter, we continued to build the strength of our unencumbered pool and paid off our $60 million 1 Logan Square mortgage loan and also prepaid without penalty our $34 million Concord Airport Plaza mortgage. The total of $94 million was funded off our line of credit.In looking at our line, our $600 million line of credit and our $183 million term loan mature on June 29 of 2012. In addition, we have $152 million bond maturity expiring on April 1 in 2012. We have commenced the process of re-syndicating the $600 million line of credit. That process is going very well. We would expect pricing levels and terms consistent with those achieved by other investment-grade REITs. Additionally, we plan to refinance the $183 million term loan and are evaluating a potential upsizing to our term loan capacity with a laddered maturity schedule. Bank response on this initiative has also been very strong. We’ll be holding a bank group meeting in the next few weeks, expect to finalize commitments before year-end with a closing in the first quarter of 2012. We anticipate that any increased capacity provided by the expanded bank facility will provide another source to repay our April 2012 bond maturities.
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