"Our project pipeline is robust, but there are still opportunities to increase that," said John Foy, chief financial officer. The company remains on track with earlier predictions of between $400 million and $600 million in planned developments and renovations, Foy said. The company has one million square feet scheduled to open in the fourth quarter, and 2.5 million square feet in the pipeline for next year. Concerns about banks' heavy investment in real estate are leading tenants to approach CBL about joint ventures to grow, Foy added.

However, the acquisition market remains tight. CBL examined an acquisition in South Florida earlier in the year, only to drop out early when bidding got too high. "We aren't seeing cap rates adjusting. I don't see us getting more active in acquisitions with pricing at these levels," said Stephen D. Lebovitz, president.

Net income for the third quarter ended Sept. 30, 2006, was $14.3 million compared with $60 million for the same quarter last year. Last year's earnings were boosted by the sale of five properties to Galileo America.