Note 2 - Operating Property Activities

3 Months Ended

Mar. 31, 2013

Business Combination Disclosure [Text Block]

2. Operating Property Activities

Acquisitions -

During the three months ended March 31, 2013, the Company acquired the following properties, in separate transactions (in thousands):

			Purchase Price
Property Name	Location	Month Acquired	Cash		Debt Assumed		Other		Total		GLA*
Santee Trolley Square(1)	Santee, CA	Jan-13	$	26,863	$	48,456	$	22,681	$	98,000		311
Shops at Kildeer (2)	Kildeer, IL	Jan-13		-		32,724		-		32,724		168
Village Commons S.C.	Tallahassee, FL	Jan-13		7,100		-		-		7,100		125
Putty Hill Plaza (3)	Baltimore, MD	Jan-13		4,592		9,115		489		14,196		91
Columbia Crossing II S.C.	Columbia, MD	Jan-13		21,800				-		21,800		101
Roseville Plaza (Parcel)	Roseville, MN	Jan-13		5,143				-		5,143		80
Wilton River Park (4)	Wilton, CT	Mar-13		777		36,000		5,223		42,000		187
			$	66,275	$	126,295	$	28,393	$	220,963		1,063

* Gross leasable area ("GLA")

(1)   This property was acquired from a joint venture in which the Company had a 45% noncontrolling interest.  The Company evaluated this transaction pursuant to the FASB’s Consolidation guidance and as such recognized a gain of $22.7 million, before income tax, from the fair value adjustment associated with the Company’s original ownership due to a change in control, which is reflected in the purchase price above in Other.

(2)   This property was acquired from a joint venture in which the Company had a 19% noncontrolling interest.  The Company evaluated this transaction pursuant to the FASB’s Consolidation guidance.  This transaction resulted in a change in control with no gain or loss recognized.

(3)   The Company acquired the remaining 80% interest in an operating property from an unconsolidated joint venture in which the Company had a 20% noncontrolling interest.  The Company evaluated this transaction pursuant to the FASB’s Consolidation guidance and as such recognized a gain of $0.5 million from the fair value adjustment associated with the Company’s original ownership due to a change in control, which is reflected in the purchase price above in Other.

(4)   The acquisition of this property included the issuance of $5.2 million of redeemable units, which are redeemable at the option of the holder after one year and earn a yield of 6% per annum, which is included in the purchase price above in Other.  In connection with this transaction, the Company provided the sellers a $5.2 million loan at a rate of 6.5%, which is secured by the redeemable units.

The aggregate purchase price of the properties acquired during the three months ended March 31, 2013 has been allocated as follows (in thousands):

Land	$	71,797
Buildings		106,554
Above Market Rents		6,300
Below Market Rents		(7,134	)
In-Place Leases		11,309
Building Improvements		28,161
Tenant Improvements		5,892
Mortgage Fair Value Adjustment		(2,237	)
Other Assets		1,054
Other Liabilities		(733)
	$	220,963

Dispositions –

During the three months ended March 31, 2013, the Company disposed of two operating properties, in separate transactions, for an aggregate sales price of $10.3 million. These transactions, which are included in Discontinued Operations, resulted in an aggregate gain of $2.5 million.

Impairment Charges -

During the three months ended March 31, 2013, the Company recognized an aggregate impairment charge of $2.8 million relating to its investment in two operating properties, which is included in Impairment charges under Operating expenses on the Company’s Condensed Consolidated Statements of Income.  The aggregate book value of these properties was $17.5 million. The estimated fair value of these properties is based upon purchase price offers aggregating $14.7 million.  These impairment charges resulted from the Company’s efforts to market certain assets and management’s assessment as to the likelihood and timing of such potential transactions (see Footnote 12).