I just really underscore what I said in my prepared remarks, which is that I think we’ve got significant capacity embedded within the range to absorb a wide range of tenant disruption in our current guidance range.
Operator: The next question comes from Anthony Powell with Barclays. Please proceed.
Anthony Powell: Hi, good morning. Question on dispositions, you did about $200 million last year, what’s your idea for further pruning of the portfolio? And if you don’t acquire assets, what are the best uses of those proceeds?
Jim Taylor: The best use of proceeds in this business is reinvesting in well-located centers that have attractive rent basis, which is what drives a good part of our fundamental growth and value-creation. So we’ll continue to find opportunities like that and I’m hopeful that we do find some opportunities from an external growth, our acquisition standpoint that present the same reinvestment growth and value-add. That’s really are our sweet-spot and it’s really where we can leverage our national platform, vis-a-vis private owners who typically don’t have the visibility on tenant demand or the access to liquidity that we have in our core markets, so we’ll see how that plays out. Expect us to be balanced and by that I mean, expect that the rate of disposition activity will roughly follow what we see from an external growth standpoint.
The timing may be some more front-end loaded, some more back-end loaded, we’ll see. But I’m very optimistic about seeing some acquisition opportunities that help us continue to leverage our platform. But importantly, we don’t have to and that’s a point I keep hammering, which is, we have tremendous growth embedded in what we own and control today, which is a good position to be in and allows us to be disciplined as we continue to deliver growth at the top of the sector.
Anthony Powell: Thanks. And then the lease spreads have been very strong, any pushback from tenants as you discuss with them lease terms or lease spreads escalators, how are tenants reacting to these conversation?
Jim Taylor: Well, that’s the beauty of low rent basis. And believe me, the tenants aren’t going to want to pay anymore rent and they have to for a space, they’re also much more sophisticated. In recent years, about what types of sales that they can model in a space and we work with them very closely.
Brian Finnegan: Yes, and it speaks to the both the transformation of the portfolio as well as the leasing environment, which is incredibly supply restricted. And with all the work the team has done in this portfolio, you’re seeing that come through in stronger rents, you’re seeing it come through in the highest retention rate that we’ve had in the last 5.5 years. So particularly, as you look at those renewal spreads last year, we are really encouraged by spreads that are close to 11%, which is up 480 basis-points over it was a year-ago. And then from a new lease perspective, we are seeing a significant amount of competition for space which is driving rate higher. So it’s really a combination of strong leasing environment, but also the work that the team has done to put the portfolio in a position to really drive rate with great tenants across the country.
Jim Taylor: And I appreciate the focus on those spreads, I don’t think we get enough credit for them. Particularly when you view them in the context of the sector overall, several 100 basis-points of outperformance quarter-in and quarter-out, which just simply underscores the strength of the plan and the strength of the assets and how great a job, Brian and team are doing capitalizing on tenant demand.
Operator: The next question is from Craig Mailman with Citi. Please proceed.
